BILL ANALYSIS �
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THIRD READING
Bill No: AB 131
Author: Cedillo (D)
Amended: 5/27/11 in Assembly
Vote: 21
SENATE EDUCATION COMMITTEE : 7-2, 6/22/11
AYES: Lowenthal, Alquist, Hancock, Liu, Price, Simitian,
Vargas
NOES: Blakeslee, Huff
NO VOTE RECORDED: Runner, Vacancy
SENATE APPROPRIATIONS COMMITTEE : 6-3, 8/25/11
AYES: Kehoe, Alquist, Lieu, Pavley, Price, Steinberg
NOES: Walters, Emmerson, Runner
ASSEMBLY FLOOR : 50-27, 6/1/11 - See last page for vote
SUBJECT : California Dream Act of 2011
SOURCE : Author
DIGEST : This bill establishes the California Dream Act
of 2011 which expands the existing exemption from
non-resident tuition established by AB 540 (Firebaugh),
Chapter 814, Statutes of 2001, to include students who
graduate from technical schools and adult schools and,
beginning July 1, 2012, expands eligibility for financial
aid benefits to all students exempt from paying
non-resident tuition under AB 540.
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ANALYSIS : Existing law provides for a variety of student
financial aid programs including the Cal Grant programs,
the Community College Board of Governors (BOG) fee waiver,
a variety of systemwide and/or campus-specific grant and/or
loan programs and other state administered financial aid
programs. Participation in these programs is, among other
criteria, typically limited to California residents.
Existing law, established by AB 540 (Firebaugh), exempts
specified California nonresidents from paying nonresident
tuition at University of California (UC), California State
University (CSU) and the California Community Colleges
(CCCs) if they meet all of the following:
1. Attended a California high school for three or more
years.
2. Graduated from a California high school or attained an
equivalent degree.
3. Registered or attended an accredited California higher
education institution not before fall of the 2001-02
academic year.
4. Filed an affidavit, if an alien without lawful
immigration status, stating that the student has filed
an application to legalize their immigration status or
will file such an application as soon as they are
eligible to so do.
In general, these students are not currently eligible for
federal, state and/or campus-based financial aid.
Existing law also designates secondary schools as high
schools, technical schools, and adult schools.
This bill establishes the California Dream Act of 2011.
Specifically, this bill:
1. Expands the existing exemption from non-resident tuition
established by AB 540 to include students who attend and
graduate from technical schools and adult schools, if at
least one of those years included attendance at a high
school.
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2. Beginning January 1, 2013:
A. Requests the UC and requires the CSU and the BOG
of the CCC to establish procedures and forms to
enable AB 540 students to apply for and participate
in all student aid programs administered by these
segments, to the full extent permitted by federal
law.
B. Prohibits the number of financial aid awards
received by California resident students from
financial aid programs administered by the segments
from being diminished as a result of (A).
C. Makes AB 540 students eligible to apply for and
participate in any state administered student
financial aid program to the full extent permitted by
federal law.
D. Requires the California Student Aid Commission to
establish procedures and forms that enable AB 540
students to apply for and participate in all state
administered student financial aid programs to the
full extent permitted by federal law.
E. Prohibits AB 540 students from being eligible for
Competitive Cal Grant A and B awards unless funding
remains available after all other eligible California
students have received awards.
F. Requires the CCC to waive the student fees of any
person exempt from paying nonresident tuition under
the provisions of AB 540 and who would otherwise
qualify for a waiver and declares this provision to
be consistent with specified federal immigration law.
Comments
Related court case . In 2005, Martinez v. Regents of the
University of California et al. was filed against the UC,
CSU, and the BOG of the CCC, challenging the legality of AB
540. In October 2006 a California Superior Court ruled in
favor of AB 540 stating its provisions were in accordance
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with federal law. In September 2008 a California Court of
Appeal overturned the Superior Court's ruling in Martinez
v. Regents and held that California state law authorizing
in-state tuition to "illegal aliens" is preempted by
federal immigration law and void. The decision was
appealed and in December 2008 the Supreme Court of
California agreed to review the case.
In November 2010, the California Supreme Court reversed the
judgment of the Court of Appeal, finding that the
provisions of AB 540 did not violate the federal
immigration law and concluding that the plaintiffs'
remaining challenges to the provisions of AB 540 lacked
merit. Plaintiffs then filed a petition for a writ of
certiorari with the U.S. Supreme Court seeking further
review. On June 6, 2011, the U.S. Supreme Court announced
that it had declined to review the California Supreme
Court's unanimous decision upholding the legality of AB
540.
What financial aid programs would these students be
eligible for ? The majority of student financial aid is
provided through either federal or state administered
programs (e.g., Pell grants which is a federal program or
Cal grants which is a state program). However, in addition
to this aid, individual campuses also directly administer
some financial aid programs including specialized grants,
loans and work study as well as aid derived from student
fees (typically 20 percent- 30 percent of student fee
revenue is set aside for institutional financial aid at UC
and CSU). This bill makes AB 540 students eligible for Cal
Grants, institutional aid at the UC and CSU, BOG fee
waivers at the community colleges, and any other state
administered programs.
Limits on awards . This bill specifically provides that the
number of awards received by California residents through
campus administered programs not be diminished as a result
of expanding access to these programs to include AB 540
students. While the number of institutional aid awards
cannot be diminished, the bill could result in a change in
the mix of recipients and a change in the amounts received
by students. This bill also makes provision for AB 540
students to be eligible for Competitive Cal Grant A and B
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awards once all California students have received an award.
Given that demand for the Competitive Cal Grant far
exceeds the amount of funding typically provided it is
unlikely that AB 540 students would receive funds from this
program.
Adding adult schools . High school students who combine
attendance at a high school with attendance at an adult
school may jeopardize their eligibility for the nonresident
tuition exemption if their attendance at the high school is
for less than three years. This bill addresses this
situation by requiring one year of attendance at a high
school, but allowing the remaining two years of attendance
to be at a high school, adult school, or technical school,
or any combination thereof.
How many students ? Recent data from the UC, CSU and CCC
indicate that overall, AB 540 students make up less than
one percent of enrollment at all
three systems. More specifically:
1. At the UC, AB 540 students were less than three-tenths
of a percent of 220,000 students in 2007-08. More than
68 percent of the 1,941 students were U.S. citizens or
"documented" immigrants.
2. At the CSU, 3,633 AB 540 students were less than one
percent of the 440,000 students enrolled in the current
school year.
3. In the CCC, 34,057 students of the
2.89 million students enrolled in the 2008-09 school year
were granted AB 540 waivers, again, less than one
percent.
The CSU and the CCC do not identify the immigration status
of AB 540 students, but believe that undocumented students
make up a larger proportion of these students than they do
at the UC.
Prior/Related Legislation
AB 130 (Cedillo), Chapter 93, Statutes of 2011, effective
July 1, 2012, requires that AB 540 students attending CSU,
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the CCC, or the UC be eligible to receive a scholarship
derived from non-state funds (received for the purpose of
scholarships) at the segment where the student is enrolled.
Passed the Senate with a vote of 26-11 on July 14, 2011.
SB 1460 (Cedillo), 2009-10 Session, and AB 1432 (Fuentes),
2009-10 Session, which were substantively similar to each
other in that they proposed the expansion of the existing
exemption from nonresident tuition established by AB 540 to
include students who graduated from technical schools and
adult schools and proposed expansion of eligibility for
financial aid benefits to all students exempt from paying
nonresident tuition under AB 540. Both bills were
ultimately vetoed by Governor Schwarzenegger whose veto
message read, in pertinent part:
"I have always wholeheartedly supported the policy of
making higher education opportunities as affordable as
possible for all California's students. Our state's
university and community college systems are amongst the
finest in the country and should be made accessible to
those seeking a better life through higher education.
Unfortunately, given the precarious fiscal situation that
the state faces, it would not be practical to adopt a new
policy that could limit the financial aid available to
students that are in California legally, in order to
provide that benefit to those students who are not."
Other similar Dream Act measures include:
SB 160 (Cedillo), 2009-10 Session, would have expanded
eligibility for state postsecondary institutional financial
aid programs to include students who are exempted from
paying nonresident tuition due to specified provisions in
law. (Held under submission in Senate Appropriations
Committee)
SB 1 (Cedillo), 2007-09 Session, would have made California
high school graduates who meet the non-resident in-state
tuition requirements eligible for a fee waiver at community
colleges and able to participate in the Cal Grant program.
Passed the Senate with a vote of 24-7 on September 12,
2007. The bill was subsequently vetoed by then-Governor
Schwarzenegger, whose veto message read:
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"At a time when segments of California public higher
education, the University of California and the
California State University, are raising fees on all
students attending college in order to maintain the
quality of education provided, it would not be prudent to
place additional strain on the General Fund to accord the
new benefits of providing state subsidized financial aid
to students without lawful immigration status. Under
existing law, undocumented students, who meet the
required criteria, already qualify for the lower in-state
tuition rate while attending California public colleges
and universities."
SB 160 (Cedillo), 2007-08 Session, would have expanded
eligibility for state postsecondary financial aid and
community college fee waiver programs to include students
who are exempted from paying nonresident tuition due to
specified provisions in law. (Held under submission in
Senate Appropriations Committee)
AB 2083 (Nunez), 2007-08 Session, would have requested the
UC and requires the CSU, and the BOG of the CCC to
establish procedures and forms to enable students who are
exempt from paying nonresident tuition, as specified, to be
eligible to receive institutional financial aid awards.
(Died in Senate Rules Committee)
SB 1301 (Cedillo), 2007-09 Session, would have requested
the UC, and would have required the CSU, and the BOG of the
CCC, to establish procedures and forms to enable students
who are exempt from paying nonresident tuition, as
specified, to be eligible to receive institutional
financial aid awards. Passed the Senate with a vote of
23-13 on May 12, 2008. The bill was subsequently vetoed by
then-Governor Schwarzenegger, whose veto message read:
"I share the author's goal of making affordable education
available to all California students, but given the
precarious fiscal condition the state faces at this time,
it would not be prudent to place additional demands on
our limited financial aid resources as specified in this
bill."
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SB 160 (Cedillo), 2005-06 Session, would have requested the
UC and required the CSU, and CCCs to establish procedures
and forms to enable students who are exempt from paying
nonresident tuition, based on their three-year attendance
at, and graduation from, a California high school, to
participate in all student aid programs administered by
these segments. The bill passed the Senate with a vote of
24-15 on August 31, 2006. The bill was subsequently vetoed
by then-Governor Schwarzenegger, whose veto message read,
in part:
"Current law allows undocumented students who have
attended a California high school for three years and
graduate from a California high school to attend a state
college and get a reduced in state tuition rate but not
be eligible for public financial aid dollars. California
has over 100,000 students here legally who apply annually
for financial aid to attend college, and our state has
limited funds available for this important purpose.
"While I do not believe that undocumented children should
be penalized for the acts of their parents, this bill
would penalize students here legally by reducing the
financial aid they rely on to allow them to go to college
and pursue their dreams."
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
According to the Senate Appropriations Committee:
Fiscal Impact (in thousands)
Major Provisions 2011-12 2012-13
2013-14 Fund
CSAC administration $733 $252* General
Cal Grants $13,000* General
Institutional aid:
-UC up to 2,300 $3,800
-$4,600* General
-CSU up to $3,800
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$7,600*General
CCC fee waivers $3,750-$7,500*
$7,500-$15,000* General**
* on-going, annual costs, based on current estimated
undocumented student enrollment rates.
** Counts toward meeting the Proposition 98 minimum
funding guarantee.
SUPPORT : (Verified 8/30/11)
Advancement Project
AltaMed
American Civil Liberties Union
American Federation of State, County and Municipal
Employees, AFL-CIO
American Federation of Teachers, Local 2121
Anti-Defamation League
Association of Independent California Colleges and
Universities
California Association of Student Financial Aid
Administrators
California Catholic Conference
California Communities United Institute
California Community College Chancellor's Office
California Council For Adult Education
California Democratic Party
California Dream Network
California Federation of Teachers
California Immigrant Policy Center
California League of United Latin American Citizens
California Postsecondary Education Commission
California School Employees Association, AFL-CIO
California State Student Association
California State University
California Student Aid Commission
California Teachers Association
Camino Nuevo Charter Academy
Chicano Federation of San Diego County
Chicano Latino Caucus of the California Democratic Party
Cities of Berkeley, Oakland, San Pablo, and Watsonville
Clergy and Laity United for Economic Justice
Coalition for Humane Immigrant Rights of Los Angeles
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Community Charter Middle School
Community College League of California
Equality California
Faculty Association of California Community Colleges
Fontana Unified School District
Friends Committee on Legislation of California
Gay-Straight Alliance Network
Hartnell College
Hispanas Organized for Political Equality
Hispanic Association of Colleges and Universities
Korean Resource Center
La Raza Law Students Association at University of
California, Davis
Latino Equality Alliance
Lieutenant Governor Gavin Newsom
Los Angeles Chamber of Commerce
Los Angeles Community College District
Los Angeles County Democratic Party
Los Angeles Leadership Academy
MAAC Community Charter School
Mayor of Los Angeles, Antonio Villaraigosa
Mexican American Legal Defense and Educational Fund
National Council of La Raza
National Korean American Service and Education Consortium
Para Los Ni�os
Peralta Community College District
Rio Hondo Community College District
San Diego Community College District
San Jose-Evergreen Community College District
Santa Rosa Charter Academy
Service Employees International Union
Service Employees International Union, United Long Term
Care Workers
Services, Immigrant Rights & Education Network
Silicon Valley Leadership Group
State Superintendent of Public Instruction, Tom Torlakson
Student Senate for California Community Colleges
UAW Local 2865
University of California
University of California Student Association
University of California, Berkeley Graduate Assembly
Yolo County Supervisor, Jim Provenza
Youth Speak Collective
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OPPOSITION : (Verified 8/30/11)
California Right to Life Committee, Inc.
Californians for Population Stabilization
Concerned Women for America of California
ARGUMENTS IN SUPPORT : The author's office is concerned
that California high school graduates who have been
accepted to our premier public colleges and universities
may be ineligible for state financial aid. According to
the author's office, these students confront a difficult
challenge in financing their college education because they
are ineligible for any federal grants or loans and are
unable to legally work. This bill allows the state to fund
its neediest students while they await legalization by
authorizing their eligibility for state and campus
administered student aid programs and require the creation
of procedures to apply for this aid using state-developed
forms.
ARGUMENTS IN OPPOSITION : In opposition, California for
Population Stabilization state:
"California also engages in an annual struggle to achieve
a balanced budget. The state must balance its limited
resources with virtually unlimited demands. Now the
Assembly has voted to give millions of dollars in
financial assistance to illegal immigrants who already
receive heavily subsidized, in-state tuition rates in
their higher education.
"Not only is this an inappropriate use of taxpayer
dollars, but it is also an enticement to further illegal
immigration and the negative economic consequences that
imposes on the state. California is suffering greatly
from uncontrolled immigration. It makes no sense that
taxpayers should have to subsidize an activity that
damages our environment, hampers the economy, and strains
the state budget."
The California Right to Life Committee, Inc. states, in
opposition:
"AB 131 would have the voter believe that this is fair
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and equitable for students who were brought to CA
illegally by parents without their understanding of their
own status. However, it is unfair and inequitable to
thwart the goals of legal residents and California born
students who desire to attend a California college or
university.
"Financial realities show that cut-backs in funding
continue and that freshman attendance numbers had to be
decreased. Therefore, encouraging illegal status
students to expect to have easy access to student aid for
CA colleges and universities is actually not fair to
them. It is definitely not fair to our own California
resident students to deprive them of this assistance for
our tax-payer supported institutions in order to award
illegal status students with those funds. In actually,
it is not fair to the illegal status student to award
higher education diplomas to them when they are not able
to be employed once they graduate."
ASSEMBLY FLOOR : 50-27, 6/1/11
AYES: Alejo, Allen, Ammiano, Atkins, Beall, Block,
Blumenfield, Bonilla, Bradford, Brownley, Buchanan,
Butler, Charles Calderon, Campos, Carter, Cedillo,
Chesbro, Davis, Dickinson, Eng, Feuer, Fong, Fuentes,
Furutani, Galgiani, Gordon, Hall, Hayashi, Roger
Hern�ndez, Hill, Hueso, Huffman, Lara, Bonnie Lowenthal,
Ma, Mendoza, Mitchell, Monning, Pan, Perea, V. Manuel
P�rez, Portantino, Skinner, Solorio, Swanson, Torres,
Wieckowski, Williams, Yamada, John A. P�rez
NOES: Achadjian, Bill Berryhill, Conway, Cook, Donnelly,
Fletcher, Beth Gaines, Garrick, Grove, Hagman, Halderman,
Harkey, Jeffries, Jones, Knight, Logue, Mansoor, Miller,
Morrell, Nestande, Nielsen, Norby, Olsen, Silva, Smyth,
Valadao, Wagner
NO VOTE RECORDED: Gatto, Gorell, Huber
CPM:kc 8/30/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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