BILL ANALYSIS                                                                                                                                                                                                    �



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          Date of Hearing:   March 15, 2011

                       ASSEMBLY COMMITTEE ON HIGHER EDUCATION
                                 Marty Block, Chair
                 AB 2 (Portantino) - As Introduced:  December 6, 2010
           
          SUBJECT  :   Postsecondary education: Educational and Economic 
          Goals for California Higher Education.

           SUMMARY  :   Establishes a state accountability framework for the 
          purpose of biennially assessing the collective progress of the 
          state's system of postsecondary education in meeting specified 
          educational and economic goals.   Specifically,  this bill  : 

          1)Requires that the framework be used to measure progress toward 
            specified goals by collecting and reporting information that 
            answers six statewide policy questions:

             a)   Are enough Californians prepared for postsecondary 
               education? 

             b)   Are enough Californians going to college?

             c)   Is the state's postsecondary education system affordable 
               to all Californians?

             d)   Are enough Californians successfully completing 
               certificates and degrees?

             e)   Are college graduates prepared for life and work in 
               California?

             f)   Are California's people, communities, and economy 
               benefiting? 

          2)Requires that the questions in (1) be answered by collecting 
            data for up to 30 progress indicators, which may include any 
            or all of 25 indicators delineated in this bill.

          3)Requires the segments of higher education, as represented by 
            the governing boards of the University of California (UC), the 
            California State University (CSU), and the California 
            Community Colleges (CCC), and the Association of Independent 
            California Colleges and Universities (AICCU), to provide data 
            for the framework to the California Postsecondary Education 








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            Commission (CPEC) by May 31 of each odd-numbered year.  The 
            segments are to (a) rely on existing data to the extent 
            possible, and (b) post this data on the Internet.

          4)Requires CPEC to make the collected data available on the 
            Internet and report the data-by August 1, 2012, and by August 
            1 of each even-numbered year-on an aggregate statewide level, 
            by segment, by region, and by race and ethnicity, gender, Cal 
            Grant recipient status, and socioeconomic status to the extent 
            these data are available, and requires the indicators to be 
            collected and maintained by each segment longitudinally where 
            appropriate and possible.

          5)Requires the Legislative Analyst's Office (LAO) and the 
            Department of Finance (DOF) to convene an advisory committee 
            to coordinate the technical specifications of the data 
            collection and indicators. 

          6)Requires the LAO, in consultation with DOF, to report to the 
            Legislature and governor by January 30, 2012, on the 
            recommended indicator data, including any data limitations in 
            responding to the suggested indicators, and expresses 
            Legislative intent that to the extent the Legislature and 
            governor with the LAO's recommendations, the indicators be 
            formally adopted by statute.

          7)Requires the LAO, within 120 days of receiving the CPEC report 
            per (4), to assess the extent to which the state is making 
            progress regarding the six questions in (1), and present its 
            analysis to a joint hearing of the appropriate legislative 
            policy and budget subcommittee by December 30 of each 
            even-numbered year.

          8)Authorizes the segments to provide reports, including 
            specified information regarding each segment's efforts toward 
            meeting the statewide goals, at the joint legislative hearing.

          9)Declares legislative intent that the governor do the 
            following:

             a)   Appoint and convene a task force by January 1, 2012 to 
               review the accountability framework and recommend any 
               modifications, and 

             b)   Establish an advisory body to the task force for 








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               technical expertise and guidance.

          10)Declares legislative intent that UC, CSU, CCC, and the 
            private and independent colleges and universities provide 
            information, as specified, for students and parents that 
            improves their understanding and comparison of postsecondary 
            educational institutions.

          11)Declares the following educational and economic goals for 
            California by 2020:

             a)   Improve the educational pipeline numbers so that 
               California is among the top 10 states in the nation in this 
               regard.

             b)   Increase California's per capita income to the average 
               of the top 10 new economy states, as defined.

             c)   To rank in the top 10 states nationally for the 
               percentages of its age groups with degrees and certificates 
               conferred.

          12)Repeals the following existing provisions, which will be 
            included in the accountability framework: 

             a)   CPEC to annually report on significant indicators of 
               performance at the state's public colleges and universities

             b)   UC, CSU, and the CCC to provide annual statistical 
               reports on transfer patterns, and CPEC to report biennially 
               on the effectiveness of the segments' transfer programs.
           
           EXISTING LAW  : 

          1)CCC is required to provide an annual evaluation of 
            district-level performance in meeting statewide educational 
            outcomes, known as the Accountability Reporting for the 
            Community Colleges (ARCC). The ARCC currently contains data 
            for a variety of indicators.     

          2)UC and CSU have entered into system-specific "compacts" and 
            then "partnerships" with several Governors to ensure stable 
            multi-year funding in exchange for a commitment to deliver on 
            specific performance measures.









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          3)CPEC is required to prepare an annual report on performance 
            indicators for California higher education on a segmental 
            basis, focusing on demographics, fiscal context, student 
            preparation, student access, and student outcomes.

           FISCAL EFFECT  :  Unknown, although according to an analysis by 
          the Assembly Appropriations Committee of a substantially similar 
          bill from 2009:

          1)To the extent the bill does not add new reporting duties on 
            UC, CSU, and CCC, costs will be absorbable.

          2)Data collection costs for CPEC will be absorbable as they 
            generally replace current commission data collection and 
            assessment activities being repealed by this bill.

          3)LAO costs to convene the advisory committee and analyze the 
            CPEC data biennially will be absorbable.

          4)Any costs for the governor's task force and advisory body will 
            be absorbable.

           COMMENTS  :   Background  : There is a growing trend toward state 
          accountability systems for higher education, using different 
          approaches and indicators.  Nearly all states have some form of  

          mandated statewide accountability program for higher education.  
          California has relied upon segmental accountability, reflecting 
          the missions and functions outlined in the California Master  
          Plan for Higher Education.  None of these efforts combine to 
          measure how California's students perform as a whole nor does 
          California engage in a statewide approach to higher education 
          policy planning.  

           Purpose of this bill  :  According to the author, when it comes to 
          higher education policy, "California is data rich and 
          information poor."  This bill establishes a framework for 
          measuring the collective performance of California's system of 
          higher education in achieving state goals of access and 
          workforce preparation by:

          1)Articulating statewide public policy goals for California's 
            higher education segments;

          2)Identifying specific indicators and benchmarks to be reported 








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            by higher education institutions in order to track progress 
            toward those goals; and,

          3)Establishing a process for collecting, reporting, and 
            analyzing the collective progress toward the articulated 
            goals.
           
          How were the indicators determined  ?  In 2002, the Senate Office 
          of Research commissioned a study of higher education 
          accountability models in other states in order to develop a 
          framework that could function well in California.  The 
          indicators included in this bill are the result of that study, 
          along with the input of a workgroup that included the higher 
          education segments, LAO, and other stakeholders.  It is 
          anticipated that much of the data are presently available.  Once 
          it is centralized and analyzed, it will provide the basis for 
          higher education policy decisions and priorities.

           Related efforts  :  Each of the segments has undertaken planning 
          efforts to ensure its ability to meet future student and state 
          needs.  In December 2010, the UC Regents adopted a report by its 
          Commission on the Future that addressed how UC can best serve 
          the state in the years ahead and maintain access, quality and 
          affordability in a time of diminishing resources.  In February 
          2009, CSU adopted a ten-year strategic plan-Access to 
          Excellence-that identifies priorities for attention for 
          policy-makers and the broad public in order to meet California's 
          educational needs.  The Community College League of California, 
          which is comprised of the trustees and executive officers of the 
          CCC districts, issued a study in November 2010, outlining 
          effective policy and practice changes that, if incorporated, 
          could be reasonably implemented by 2020 and would enable the 
          system to increase the number of students who have access to, 
          and are able to complete, high-quality degrees, certificates and 
          transfer pathways in our community colleges. The CCC Board of 
          Governors, pursuant to SB 1143 (Liu), Chapter 409, Statutes of 
          2010, has established a task force to examine best practices for 
          promoting student success and adopt a plan for improving CCC 
          student success.   

           Technical amendments  :  This bill includes references to the 
          Secretary for Education, which has been abolished by the 
          Governor.  Staff recommends these references be deleted from 
          Sections 67051.5(b), 67052(d), and 67053(a).  









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           Previous legislation  :  AB 218 (Portantino) of 2009, which was 
          held in the Senate Appropriations Committee, and SB 325 (Scott) 
          of 2008, which was vetoed by Governor Schwarzenegger, were 
          nearly identical to this bill.  The Governor's veto message 
          expressed the desire to for penalties to be included as part of 
          the accountability framework.  SB 721 (Lowenthal), pending in 
          the Senate, would require an undesignated state entity to 
          establish an additional accountability framework for achieving 
          prescribed educational and economic goals.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          American Federation of State, County and Municipal Employees
          California Community Colleges Chancellor's Offic
          California Postsecondary Education Commission
          California State University
          Hispanic Association of Colleges and Universities

           Opposition 
           
          None on file.

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