BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1143
                                                                  Page  1

          Date of Hearing:   June 22, 2010

                       ASSEMBLY COMMITTEE ON HIGHER EDUCATION
                                 Marty Block, Chair
                      SB 1143 (Liu) - As Amended:  June 21, 2010

           SENATE VOTE  :   22-10 (vote does not reflect the current version  
          of the bill)
           
          SUBJECT  :   Community college funding.

           SUMMARY  :   Requires the California Community Colleges (CCC)  
          Board of Governors (BOG) to adopt a plan for promoting and  
          improving CCC student success after convening a taskforce to  
          examine best practices within the colleges and effective models  
          throughout the nation that accomplish this objective.   
          Specifically, this bill:

          1)Requires the CCC BOG to adopt a plan for promoting and  
            improving CCC student success after convening a taskforce to  
            examine best practices within the colleges and effective  
            models throughout the nation that accomplish this objective  
            and requires the focus of the task force to include, but not  
            be limited to:

             a)   Multiple measures for assessing completion and success;

             b)   Effective programs for ensuring student completion and  
               success;

             c)   Statutory and regulatory barriers to student success;

             d)   Best practices for promoting student success and  
               completion, including, but not limited to, basic skills;

             e)   Alternative funding options for promoting best practices  
               in student completion and providing necessary services to  
               students;

             f)   Alternative funding options instituted in other states;  
               and

             g)   The effective use of technology for CCC colleges and  
               districts to promote, evaluate and improve student success.









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          2)Specifies that the task force shall include a broad  
            representation of stakeholders, including but not limited to  
            faculty.

          3)Requires the task force and the CCC BOG, prior to presenting  
            its recommendations, as specified, to facilitate discussions  
            with key community college stakeholders and others to provide  
            input on the findings and recommendations of the task force.

          4)Requires the CCC BOG, prior to implementation of this plan, to  
            report its recommendations to the Senate Education Committee  
            and the Assembly Higher Education Committee at a joint hearing  
            to be convened no later than June 1, 2012.   

           EXISTING LAW  establishes CCC districts, administered by a  
          governing board, and requires CCC districts to adhere to  
          numerous statutes and regulations (Title 5 of the California  
          Code of Regulations), including regulation that CCC funding is  
          based, in part, on a calculation using the enrollment as of the  
          Monday of the week nearest to one-fifth of the length of the  
          term (generally the third week).  

           FISCAL EFFECT  :   Unknown  

           COMMENTS  :    Background  :  The Institute for Higher Education  
          Leadership & Policy (IHELP) has issued several reports in the  
          last few years calling on California to make CCC student  
          completion, as well as access, a state priority, particularly in  
          light of the need for a more highly skilled workforce.   
          According to IHELP, less than one-fourth of the students who  
          enroll in CCC intending to complete a college program do so, and  
          much of the reason lies with the state's policies.  

          IHELP identifies the current financing system, which funds CCC  
          based on the number of FTES it reports at a date set early in  
          the term, as a policy that disproportionately emphasizes the  
          front end of the student's college pathway and does not  
          encourage support or reward for the student's success.  Thus,  
          IHELP recommends funding completions along with enrollments,  
          with bonus funding for completions by disadvantaged and  
          under-prepared students.

           Other barriers to student success  :  In addition to funding  
          changes, IHELP recommends the following policy changes, among  
          others:








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          1)Increase flexibility in hiring in order to meet student  
            demand;
          2)Provide CCC more flexibility in the use of its funds;
          3)Allow CCC to keep fee revenues;
          4)Remove restrictions on campus-based fees;
          5)Develop an affordability policy based on the total cost of  
            college attendance;
          6)Revise assessment and placement policies; and,
          7)Revise campus matriculation policies to provide clear guidance  
            that students can follow to progress quickly toward completion  
            of their selected programs.

           Need for this bill  :  According to the author, "Only about 10 to  
          12 percent of a community college entering class transfer to a  
          four-year college or university (Sengupta and Jepsen, 2006).   
          Increasing the transfer rates from community college is one of  
          several strategies that can help boost the college-educated  
          ranks in the workforce over time.  According to PPIC, transfer  
          students have higher graduation rates than the entering class as  
          a whole once they reach UC or CSU."
          
           Previous version of this bill  :  The June 1, 2010, version of  
          this bill altered the calculation of full-time equivalent  
          student enrollment for purposes of revenue apportionment within  
          CCC to the average enrollment in a course at the one-fifth point  
          and at course completion, as specified, and prohibited any  
          reduction in revenues as a result of the changed calculation  
          until the 2013-14 fiscal year.  This version was opposed by  
          numerous CCC stakeholders, including CCC district board members,  
          faculty, the CCC Chancellor's Office, and the Hispanic  
          Association of Colleges and Universities as having potentially  
          detrimental affects on underrepresented students and inequitably  
          shifting resources among CCC districts.  The author worked with  
          stakeholders and Committee staff to craft the June 21, 2010,  
          amendments to initiate adoption of a plan to increase CCC  
          student success based upon a comprehensive study.  Not all  
          stakeholders were able to formally respond to the amendments  
          before this analysis was sent to print.

           Related legislation  :  AB 2542 (Conway) of 2010, which failed  
          passage in this Committee on April 20, 2010, would have created  
          a pilot program to provide relief from specified statutes and  
          regulations, and funded the pilot programs based on student  
          completion rather than third week enrollment, in return for  








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          meeting specified student success goals.  

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          None for the current version of the bill.
           
            Opposition 
           
          None for the current version of the bill.


           Analysis Prepared by  :    Sandra Fried / HIGHER ED. / (916)  
          319-3960