BILL ANALYSIS
SB 957
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Date of Hearing: August 4, 2010
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Felipe Fuentes, Chair
SB 957 (Price) - As Amended: June 29, 2010
Policy Committee: Higher
EducationVote:9-0
Urgency: No State Mandated Local Program:
Noq Reimbursable:
SUMMARY
This bill requires that Cal Grant C awards be prioritized for
students seeking training in fields based on specified criteria.
Specifically, this bill:
1)Requires the California Student Aid Commission (CSAC), in
consultation with the Employment Development Department, to
determine the areas of occupational and technical training for
which students may utilize Cal Grant C awards. CSAC must
update this determination at least every five years.
2)Requires CSAC to give priority in granting Cal Grant C awards
to students pursuing occupational or technical training in
areas meeting at least two of the criteria below, and to
publish the list of such areas on the CSAC website:
a) High employment need;
b) High employment salary or wage projections; and/or,
c) High employment growth.
3)Requires the Legislative Analyst's Office (LAO) to report, by
April 1, 2014 and biennially thereafter, on the outcomes of
the Cal Grant C Program, including information on the age,
gender, segment of attendance, the occupational and technical
training program categories prioritized, and the number and
percentage of students who received awards based on the
priorities established pursuant to (2).
FISCAL EFFECT
1)Annual GF costs to CSAC of $40,000 for one-half position to
SB 957
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administer the new Cal Grant C program requirements.
2)Minor absorbable costs to the LAO for the biennial reporting
requirement.
COMMENTS
1)Background . Cal Grant C awards assist with fees and tuition
and training-related costs such as special clothing or
required tools at occupational or vocational schools of four
months or longer and provides that grants may be renewed until
the completion of the training, up to a maximum of two years.
The total number of new annual Cal Grant C awards is
established in state law as the number awarded in the 2000-01
(7,761). About 16,500 new and renewal awards are offered
annually. The maximum award amount, which has not increased
since 2000-01, is $2,592 toward tuition and fees and $576 for
training-related costs. According to the commission, Cal Grant
C recipients are most likely to pursue a career technical
certificate or degree at the California Community Colleges
(63%) or at a private for-profit institution (35%).
2)Purpose . The author notes that current law is silent on how to
best prioritize the awarding of Cal Grant C funds, to ensure
that recipients are students seeking jobs that track well with
the state's most urgent labor and employment needs. SB 957
seeks to direct Cal Grant C funds to recipients seeking
occupations with high employment demand, growth potential,
wages, and/or importance to California's strategic
initiatives. The author asserts that this bill will maximize
the opportunities for Californians to acquire the necessary
job skills to gain and keep employment.
Effective with the 2009-10 grant cycle, CSAC selects
applicants for awards through a point scoring process that
examines educational history, occupational history, and GPA.
Point earners above a cut-off level receive award offers.
Under the provisions of this bill, student eligibility
requirements would not change, but CSAC would implement a
procedure whereby additional points would be awarded for
applicants in the high-growth, high-need, and high-wage
training programs.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081