BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  SB 1143|
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                                 THIRD READING


          Bill No:  SB 1143
          Author:   Liu (D), et al
          Amended:  6/1/10
          Vote:     21

           
           SENATE EDUCATION COMMITTEE  :  7-0, 4/21/10
          AYES:  Romero, Huff, Alquist, Hancock, Liu, Price, Wyland
          NO VOTE RECORDED:  Maldonado, Simitian

           SENATE APPROPRIATIONS COMMITTEE  :  8-0, 5/27/10
          AYES:  Kehoe, Alquist, Denham, Price, Walters, Wolk,  
            Wyland, Yee
          NO VOTE RECORDED:  Cox, Corbett, Leno


           SUBJECT  :    Community college funding

           SOURCE  :     Los Angeles Area Chamber of Commerce


           DIGEST  :    This bill changes the calculation of full-time  
          equivalent student (FTES) enrollment for purposes of  
          revenue apportionment within the California Community  
          Colleges to the average enrollment in a course at the  
          one-fifth point and at course completion, as specified, and  
          prohibits any reduction in revenues as a result of the  
          changed calculation until the 2013-14 fiscal year. 

           ANALYSIS  :    Current law requires that attendance at a  
          California Community College be recorded and kept according  
          to rules and regulations prescribed by the Board of  
          Governors (BOG). Current law also provides that attendance  
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          means "full-time equivalent student" or FTES, as that term  
          is defined by regulations adopted by BOG.

          Funding for California community colleges is based, in  
          part, on a calculation using the FTES.  Regulations adopted  
          by BOG specify the method of computing FTES for  
          apportionment purposes and, generally, require its  
          computation using the enrollment as of the Monday of the  
          week nearest to one-fifth of the length of the term. 

          This bill:

          1.Changes the calculation of full-time equivalent student  
            enrollment for purposes of revenue apportionment within  
            the California Community Colleges to the average active  
            enrollment in a course as of the one-fifth point and at  
            course completion.

          2.Authorizes BOG to adopt an alternative equivalent  
            calculation for short term and irregularly scheduled  
            credit courses, open entry/exit courses, in-service  
            training courses, non-credit courses (except for distance  
            courses), apprenticeship classes, and tutoring courses.

          3.Requires BOG to adopt one or more weighting factors for  
            the FTES calculation to ensure that districts do not have  
            disincentives to enroll students from demographic groups  
            with historically lower rates of course completion.

          4.Prohibits any reduction in revenues as a result of the  
            changed FTES calculation until the 2013-14 fiscal year.

          5.Adds additional groups to weighting criteria, including  
            low-income students, English language learners, students  
            with disabilities, and students entering with English or  
            math competencies below college level.

          6.Total funding to the system would not be reduced as a  
            result of the new FTES calculation and apportionment.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          According to the Senate Appropriations Committee: 







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                          Fiscal Impact (in thousands)

           Major Provisions                2010-11     2011-12     
           2012-13   Fund  
          Administrative costs                         unknown,  
          potentially millions                              General*

          *Counts toward meeting the Proposition 98 minimum funding  
          guarantee

           SUPPORT  :   (Verified  6/1/10)

          Los Angeles Area Chamber of Commerce (source) 
          Business Council of San Joaquin County
          Campaign for College Opportunity
          Contra Costa Council 
          Long Beach Chamber of Commerce
          Long Beach City College 
          Los Angeles Area Chamber of Commerce 
          Los Angeles County Business Federation 
          REAL Coalition
          Regional Chamber of Commerce- San Gabriel Valley

           OPPOSITION  :    (Verified  6/1/10)

          Bakersfield College and Board of Governors of the  
          California Community  Colleges 
          Board of Governors of the California Community Colleges 
          California School Employees Association 
          Community College League of California 
          Faculty Association of California Community Colleges 
          Hispanic Association of Colleges and Universities 
          Kern, Los Angeles, Los Rios, Mt. San Jacinto and Yosemite  
          Community                                               
          College Districts
          San Bernardino Community College District 
          State Center Community College District 
          Yuba Community College District 

           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          increasing the rate of community college degree and  
          certificate completion will help build a skilled and  
          economically productive labor force.  The author notes  







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          that, of those entering the community colleges seeking a  
          degree (as opposed to remediation or enrichment); only 29  
          percent complete a certificate or degree or transfer to a  
          university within seven years of enrolling.  This bill  
          seeks to establish a funding formula that rewards increased  
          completion rates.  Using a student census that averages the  
          count of those enrolled one-fifth of the way into a course  
          with the count of students who complete the course, creates  
          an incentive for community colleges to assist students to  
          enroll in appropriate courses, and complete their courses,  
          certificates, and degrees.

           ARGUMENTS IN OPPOSITION  :    Opponents argue that this bill  
          would lead to a decrease in funding for community colleges  
          due to circumstances that are, many times, beyond the  
          college's control, without recognizing that community  
          colleges are currently underfunded.  This bill would only  
          serve to reduce the resources that students need in order  
          to ensure success. 


          PQ:nl  6/1/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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