BILL ANALYSIS �
SENATE COMMITTEE ON EDUCATION
Alan Lowenthal, Chair
2011-2012 Regular Session
BILL NO: AB 515
AUTHOR: Brownley
AMENDED: RN 1122615
FISCAL COMM: Yes HEARING DATE: July 6, 2011
URGENCY: No CONSULTANT: Kathleen Chavira
NOTE : This bill was previously heard by this Committee on
June 29, 2011. No vote was taken. The author has proposed
amendments to the bill. The revised analysis reflects these
amendments.
SUBJECT : Community College Extension Courses.
SUMMARY
This bill requires, until January 1, 2017, the Chancellor's
Office of the California Community Colleges to establish a
voluntary, pilot program for purposes of allowing eight
community college campuses from eight different community
college districts to establish and maintain an extension
program offering credit courses at fee levels that cover
the actual cost, as defined, of maintaining these courses.
BACKGROUND
Current law establishes the California Community Colleges
as a part of public higher education. Current law
establishes and differentiates the goals, missions and
functions of California's public segments of higher
education.
(Education Code � 66010)
Current law provides that the primary missions of the
community colleges are to offer academic and vocational
education at the lower division level for both recent high
school graduates and those returning to school. Another
primary mission is to advance California's economic growth
and global competitiveness through education, training, and
services that contribute to continuous workforce
improvement. In addition current law provides that
essential and important functions of the colleges include:
AB 515
Page 2
basic skills instruction, providing English as a second
language, adult noncredit instruction, and providing
support services that help students to succeed at the
postsecondary level. Community colleges are also authorized
to provide community service courses and programs so long
as their provision is compatible with an institution's
ability to meet its obligations in its primary missions. To
the extent funding is provided the colleges are authorized
to conduct institutional research concerning student
learning and retention as is needed to facilitate their
educational missions. (EC � 66010.4)
Current law requires the governing board of a local
community college district to admit any California
resident, (and authorizes them to admit any nonresident)
possessing a high school diploma or the equivalent and
authorizes the board to admit anyone who is capable of
profiting from the instruction offered, as specified. (EC �
76000)
Current law requires that community college students be
charged a per unit fee and statutorily prescribes the fee
level through the annual Budget process. Current law
exempts the student enrolled in noncredit courses and in
credit contract education courses, as specified, from these
fee requirements. Current law also exempts from these
requirements CSU and UC students enrolled in CCC remedial
classes, as specified, and provides for the waiver of these
fees for students who have financial need or meet other
specified criteria. (EC �76300)
ANALYSIS
This bill requires, until January 1, 2017, the Chancellor's
Office of the California Community Colleges to establish a
voluntary, pilot program for purposes of allowing a
community college district to establish and maintain an
extension program offering credit courses.
Selection of Pilot Participants
1) Authorizes any community college district to apply to
be selected.
2) Limits participation to eight campuses from eight
separate community college districts.
AB 515
Page 3
3) Requires the Chancellor, in selecting the campuses,
to:
a) Consider all the following:
i) Geographic, socio-economic, and
demographic diversity.
ii) Labor-Market Demand
iii) The district's program and
planning capacity
b) Ensure that each of the campuses selected meet
at least one of the following criteria:
i) A campus with high transfer
numbers
ii) A campus with a successful core
career technology education program
iii) A campus with a high number of
students currently utilizing the board of
governor's fee waiver.
iv) A campus with a low number of
students currently utilizing the board of
governors fee waiver
v) Two rural campuses
serving two separate geographical areas
vi) A campus with high basic skills
numbers
vii) A campus of the Chancellor's
choosing.
4) Prohibits the Chancellor from implementing the pilot
program until the LAO certifies to the Chancellor, in
writing, that at least six campuses meeting the
criteria in #3 (above) also meet the following:
a) An urban campus with a high board of
AB 515
Page 4
governor's waiver population.
b) An urban campus with a low board of governor's
waiver population.
c) Two campuses whose primary functions are
transfer preparation.
d) A campus whose primary function is career
technical education.
e) A campus that offers a significant number of
basic skills courses.
f) Two rural campuses that serve two different
geographical areas.
Requirements to be eligible to participate
5) Requires an applicant campus to meet the following
requirements in order to be eligible for participation
in the pilot program:
a) Requires that the applicant campus either:
i) meet its funding cap
in the prior three academic years
ii) Serve more students beyond its
funding cap for the prior academic year, to
be determined as specified.
b) Meet transfer, basic skills, or
career technical education objectives for all
courses in the state-funded programs offered for
credit.
c) Not offer avocational courses for
credit under the state funded program.
d) Prioritize enrollment in the state funded
programs as follows:
i) Implement policies
prioritizing enrollment for continuing
students who are making satisfactory
AB 515
Page 5
progress toward a basic skills, transfer or
workforce development goal.
ii) Prohibiting enrollment of students
in classes for purposes of personal
enrichment or avocational purposes.
iii) Prioritizing enrollment of
students who receive financial aid.
iv) Prioritizing enrollment of
California residents and other students who
qualify for resident tuition.
e) Prohibits a district from
receiving a stability adjustment to apportionment
funding.
Extension Program Requirements
6) Outlines the following requirements to be met by a
community college district in order to maintain the
authorized extension program:
a) Requires that a campus selected by
the Chancellor agree to the following:
i) That the Chancellor:
(1) Review programs
established.
(2) Monitor compliance with
these requirements.
(3) Have
authority to rescind the ability to
participate if the Chancellor
determines that the campus or district
is out of compliance with these
requirements.
b) Requires the program to be
self-supporting, and that all actual costs for
the program be recovered, and defines actual
costs to include costs of instruction, equipment
supplies, student services and institutional
AB 515
Page 6
support costs, and other costs incurred by the
campus or the district pursuant to 76140.
c) Requires districts to minimize the
costs of administration to the greatest extent
possible.
d) Requires that enrollment be open
to the public.
e) Prohibits a governing board from
expending any general fund moneys to establish
and maintain these courses.
f) Prohibits extension courses from
being offered at times or in locations that
supplant or limit offerings of state-supported
programs, nor in conjunction with courses funded
with state apportionments.
g) Requires each participating campus
to ensure that state and federal financial aid is
available to eligible students.
h) Requires the programs to ensure
that financial aid students receive same priority
for enrollment as all other students.
i) Requires that credit courses
offered be developed in accordance with relevant
provisions of the Education Code and Title 5 of
the California Code of Regulations governing
community college credit courses.
j) Applies the following statutes relative to
faculty and expenditures:
i) Requires a goal of
75:25 ratio of full-time to part-time
faculty in extension program credit classes.
ii) Requires the inclusion of pilot
program revenues and expenditures (which
conform to the "current expense" of
education) in the calculation/determination
of the district's compliance with the 50%
AB 515
Page 7
law governing program revenues and
expenditures (50% of current expense of
education must be for payment of salaries of
classroom instructors).
iii) Subjects the extension program to
collective bargaining agreements.
aa) Authorizes a governing board to
establish fees that do not exceed the actual cost
of maintaining extension programs and defines
actual costs, for this purpose, to include:
i) Actual cost of
instruction, cost of necessary equipment and
supplies, student services and institutional
support costs.
ii) Cost of an independent analysis to
be done by the Legislative Analyst's Office
iii) A fee to be assessed by the
Chancellor's Office to recover its
administrative costs for providing
oversight.
iv) Other costs of a district (76140)
bb) Grants the local governing board
the authority to redirect one-third of student
fee revenues to establish an institutional
financial aid program for participating students
who demonstrate financial need according to the
federal needs analysis.
cc) Authorizes campuses to set higher
levels of fees for nonresident students
participating in extension programs in
conformance with specified law.
Reporting Requirements
7) Requires each participating district to comply with
the following reporting requirements:
a) Annually collect student
information, as specified, and conduct an
AB 515
Page 8
analysis of the program effects on district
workload and financial status, and to submit this
information to the Chancellor's Office by August
1 annually.
b) Submit interim reports at
six-month intervals.
c) Submit a schedule of course fees
to the Chancellor by August 1 annually.
8) Requires the Chancellor to forward the data and
information submitted to the LAO.
9) Requires the LAO, on or before June 30, 2014, to
provide to the Legislature a report evaluating the
pilot program established drawing upon campus reports
and visits, interviews with faculty, students and
administrators, and any other source that LAO deems
relevant.
10) Requires the LAO report to include:
a) Summary statistics on course
offerings, enrollment, financing, and student
utilization of financial aid, funding, and
completion rates.
b) A discussion of full to part-time
faculty hiring practices. (KC a discussion of the
impacts of the applicable expenditure and faculty
related provisions on the program).
c) The extent of compliance with the
50 percent law.
d) A determination of the extent of
the pilot program's compliance with statutory
requirements and the extent to which it expanded
access for students.
e) An assessment of the program's
effect on the availability of, and enrollment in
state-supported courses, with particular
attention to the demographic make-up and
financial aid status of student enrolled in the
AB 515
Page 9
state-supported courses.
f) Recommendations regarding the
extension, expansion or modification of the
program and consideration of alternative
approaches that could achieve expanded access
without increased state funding.
11) Sunsets the bill's provisions on January 1, 2017.
STAFF COMMENTS
1) Need for the bill . According to the author, we are
at a time of unprecedented cuts and budget shortfalls.
Access to the community colleges exists for any person
as long as there is state funding. Permitting
community colleges to offer extension courses would
enable local boards to expand course offerings beyond
the limitations of state funding. Authorizing CCCs to
offer extension credit courses would allow students to
complete coursework and degrees faster and enter the
workforce sooner, at no additional cost to the State.
2) Technical amendments . The author has offered several
technical, clarifying and correction amendments which
are attached as part of this analysis. Staff
recommends these amendments be adopted
3) Recent changes . This bill was previously heard by the
Committee on June 29, 2011. No vote was taken. The
author has proposed amendments to the bill in response
to concerns/issues raised in the prior hearing. In
summary, the bill now:
Creates a voluntary, four-year, competitive
pilot program limited to 8 campuses from 8
different districts in six categories.
Requires the Chancellor to ensure that
selected campuses represent all six different
categories of campuses.
Prohibits the implementation of the program
unless the LAO certifies that all categories are
filled and other requirements have been met.
Requires campuses to meet specified
AB 515
Page 10
requirements regarding cap, course offering and
enrollment priority conditions.
Establishes a variety of requirements to be
met by the extension programs established under
the authority granted by the bill.
Authorizes the Chancellor's Office to
monitor compliance with requirements, to rescind
participation in the program for non-compliance,
and to assess a fee to recover administrative
costs for providing oversight.
Requires more extensive and independent
evaluation and reporting of the program's
implementation and effects.
Sunsets the program in 2017.
If it is the desire of this committee to implement a
smaller scale pilot extension program, staff
recommends additional amendments, as outlined in Staff
Comments 4 through 8.
1) Need for clarity and streamlining . The author has
amended the bill in an attempt to ensure that
extension program participants reflect the diversity
of campuses and populations served by the state prior
to implementation of the pilot program. As currently
drafted the bill needs clarification of this intent
and also contains unnecessary duplicative language.
Staff recommends the following amendments in 78280
subdivision (a):
a) Replace subdivision (a)(2) with "The
Chancellor shall ensure that the 8 campuses
selected collectively represent the diversity of
campuses and campus populations by selecting
campuses in each of the following six
categories:"
b) Modify subdivision (a) (2)(A) to read "Two
campuses with high transfer numbers serving two
separate geographical regions of the state." and
delete "(G) A campus of the chancellor's
choosing."
AB 515
Page 11
c) Replace subdivision (a)(3) with "The
Chancellor shall not implement the pilot program
established by this section until the Legislative
Analyst's Office has reviewed the selections made
and certifies compliance with the requirements
for participation specified in (a)(2). The LAO
shall submit its findings to the Chancellor's
Office, the selected campuses, and the
Legislature."
d) Delete redundant provisions (3) (A) through
(F).
2) Conditions to be met for participation . This bill
establishes criteria to be met by applicant districts
in order to be eligible for the pilot program. Staff
recommends this language be clarified and strengthened
to ensure that participating colleges have clear and
ongoing demand for credit courses and programs that
cannot be met with limited state support.
a) Replace subdivision (b)(1) with "Have served
more students beyond its funding cap (report
unfunded FTES) for the two prior academic years
as provided in the Budget Act and as reported by
the Chancellor's Office."
b) Replace subdivision (b)(2) and (b) (3),
replace with:
i) "(2) All courses in the
state-funded program offered for credit must
meet basic skills, transfer or workforce
development objectives."
ii) "(3) Limit the state-supported
enrollment of students in "activity"
courses, as defined in Title 5, California
Code of Regulations Section 55041. The
applicant shall not claim state
apportionment for students who repeat either
the same credit or non-credit physical
education or visual/performing arts course
that is part of the same sequence of
courses. This provision does not apply to
disabled students taking adaptive activity
AB 515
Page 12
courses, students participating in
intercollegiate athletics, or students with
an approved educational plan majoring in
physical education or the visual/performing
arts."
3) Priority enrollments . This bill requires applicant
campuses to adopt specified enrollment priorities.
These provisions should be clarified to ensure that
they are implemented as part of the local priority
system, do not conflict with existing statutory or
regulatory priorities, and to provide greater clarity
of the intent to ensure enrollment management policies
that target state funds to meet the state's highest
priorities for the colleges.
Staff recommends the bill be amended to replace
subdivision (b)(4) with "Prioritized enrollment of
students in the state-funded program in the priority
system established pursuant to the legal authority of
a community college local governing board and in
conformance with Education Code 66025.8 and in
accordance with Title 5 of the California Code of
Regulations section 58108, through policies that
provide for all the following:
a) (A) Prioritized enrollment for students who
are fully matriculated, as defined in Education
Code section 78212, and making satisfactory
progress toward a basic skills, transfer or
workforce development goal."
b) (4)(B) Prohibit enrollment of students in
state-funded credit courses for students with a
declared educational goal of personal enrichment.
c) (4)(C) Prioritized enrollment of students
who receive state financial aid under Education
Code Sections 69430-69460, or are eligible for a
waiver of fees under Education Code 76300.
d) (4)(D) Prioritized enrollment of students
who are eligible for in-state tuition" to ensure
the inclusion of California residents, military
dependents, and others who have met the
requirements for in-state tuition rates.
AB 515
Page 13
4) Institutional Aid . This bill provides for
institutional aid, derived from fees paid by extension
program students, for students desiring to attend the
extension program and who demonstrate unmet financial
need. However the bill also requires that Cal Grant
and BOG fee waiver students be prioritized for
enrollment and that extension programs ensure that
state and federal financial aid is available to
eligible students. Given these provisions, as well as
the administrative challenge and increased cost to
private pay students of implementing an institutional
aid program, is this language necessary?
If the committee desires to include an institutional
aid provision, staff recommends the bill be amended to
clarify these provisions as follows:
In 78280 subdivision (c), Delete (c)(13)(A), "and
shall include the authority to redirect one-third of
student fee revenues to establish an institutional
financial aid program for participating students who
demonstrate financial need according to the federal
needs analysis." and replace with:
a) "and the cost to establish an institutional
financial aid program for participating students
pursuant to (c)(14)."
b) "(c)(14)The campus shall have the authority
to redirect one-third of student fee revenues to
establish an institutional financial aid program
for participating students who demonstrate
financial need according to the federal needs
analysis."
5) Faculty provisions . This bill requires the extension
program to comply with specified statutes relative to
faculty and expenditures. These provisions raise a
number of questions. How will they be implemented and
calculated? What is the effect of these provisions on
the costs of these classes for students? Staff
recommends the bill be amended in 78280.5, to
consolidate LAO reporting language by deleting (b) (2)
and (3) and insert "(2) The implementation and impact
of provisions 78280 (c) (10), (11), and(12) in order
AB 515
Page 14
to ensure an examination of these issues in their
evaluative report.
6) Related Budget activity . The Governor's recently
enacted budget for 2011-12, among other things,
provides for a net reduction of $290 million for the
CCC and fee increases from $26 to $36 per unit
beginning in fall 2011. In addition, contingent upon
revenue levels for the year, community colleges may
realize a fee increase to $46 per unit, beginning
winter term 2011, as well as an additional reduction
in apportionments of $72 million. The Chancellor's
Office estimates that the 2011-12 budget will result
in at least 140,000 additional students losing access
due to further course reductions and the elimination
of some career training programs, and, absent
increased revenues or another source of funding, could
result in denying access to more than 400,000
students. The Chancellor's Office has also noted that
a statewide unemployment rate of 11.9%, as well as
budget reductions at UC and CSU, have created even
greater demand for the CCC as individuals turn to the
community colleges to access the training they need to
return to work or to begin their higher education.
7) Paradigm shift . This bill proposes a small scale pilot
program whose elements may signal the initial steps
toward a significant departure from the open access
mission established for the community colleges by the
Master Plan and by state statute. Although the UC and
the CSU offer self-support extension programs, these
segments serve a defined population whereas the
community colleges have traditionally served as
California's way of ensuring that affordable access to
education is provided for all others who can benefit.
Is this the first step toward privatizing educational
opportunity at California's community colleges and to
linking access to the ability to pay?
SUPPORT
None received on this version.
OPPOSITION
None received on this version.
AB 515
Page 15
AB 515
Page 16
AB 515 (Brownley)
Technical, clarifying and correction amendments to RN11
22615
1. On RN 11 22615, delete Amendment #5 and modify
Amendment #8 to read: "The districts also shall submit
interim reports at six-month intervals to allow the
Chancellor & LAO to review information submitted and
adjust reporting requirements as necessary" to
eliminate duplicative amendments and clarify the
intent of interim reporting.
2. In 78280 subdivision (c) clarify that these
requirements apply to the extension program.
3. In 78280, replace subdivision (c)(4) with "While not
reported for state apportionment, extension program
enrollment shall be open to the public pursuant to
Title 5, California Code of Regulations, Section
51006" for clarification.
4. In 78280 delete subdivision (c)(5) and replace with
"Governing boards shall not expend any general fund
moneys to establish and maintain an extension program
other than program revenues generated under this
section" for clarification.
5. In 78280, subdivision (c) insert, "Extension credit
courses shall not supplant courses funded with state
apportionments. Districts shall not reduce
state-funded course sections needed by students to
achieve basic skills, workforce training, or transfer
goals, in order to expand those course sections as
part of the extension program" as this language was
inadvertently omitted.
6. In 78280, replace subdivision (c)(9) "Courses offered
through the pilot program for credit shall meet all
the requirements, standards, and criteria for courses
in subdivision (a) and (b) of Section 55002 of Title 5
of the California Code of Regulations, including, but
not limited to, all criteria and procedures as
prepared, distributed, and maintained by the
Chancellor" for clarification.
7. In 78280 subdivision (c), delete "(2) The pilot
AB 515
Page 17
program shall be self-supporting, and all actual costs
associated with the program shall be recovered. Actual
costs include... etc." as the provision is duplicative
and conflicts with the definition of actual costs in
78280 subdivision (c) (13)(A).
8. In 78280 subdivision (d) delete "For districts
operating more than one college, the evaluation shall
be for each participating college" as author's
amendments only allow for one campus per district.