BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 851
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          Date of Hearing:   April 12, 2011

                       ASSEMBLY COMMITTEE ON HIGHER EDUCATION
                                 Marty Block, Chair
                   AB 851 (Nestande) - As Amended:  March 14, 2011
           
          SUBJECT  :  Distance learning.

           SUMMARY  :   Establishes a definition for a "distance learning 
          course" for public postsecondary education and requires the 
          California State University (CSU) and the California Community 
          Colleges (CCC), and requests the University of California (UC), 
          to report specified data regarding distance education courses 
          and programs.  Specifically,  this bill  :  

          1)Defines "distance learning course" to mean a course where a 
            majority of the instruction is delivered by the Internet, 
            television, or other means in which the student and instructor 
            are in different locations and instruction is delivered 
            through the use of technology. 

          2)Requires CSU and CCC, and requests the UC, by January 1, 2014, 
            and every two years thereafter, to report to the Legislature 
            on workload and key performance data on distance learning 
            including the number of students enrolled at each campus 
            categorized by the type of delivery method for the distance 
            learning course, completion rates for distance learning 
            courses, and program completion rates for degree programs that 
            include exclusively distance learning courses.  Requires the 
            data to be made available by student demographics such as age, 
            gender, and ethnicity.

          3)Requires the California Virtual Campus (CVC) and CSU to report 
            to the Legislature on the California Online Program Planner 
            project by July 1, 2012, and to provide an updated report on 
            July 1, 2013.

          4)Requires CCC and CSU to report to the Legislature by January 
            1, 2013, on the feasibility of developing accelerated 
            associate's and bachelor's degree completion programs 
            consisting of distance learning courses, aimed at students who 
            started college but never obtained a degree.  Requires an 
            updated report on July 1, 2013.

          5)Requires, by November 1, 2011, the Legislative Analyst's 








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            Office (LAO) to convene a task force composed of members of 
            the Legislature and members of the Administration to identify 
            the needed steps to establish the Western Governors University 
            (WGU) and requires the task force to report to the Legislature 
            on findings and recommendations by November 1, 2012.

          6)Repeals the provisions of this bill on January 1, 2018.   

           EXISTING LAW  :  Establishes a California Distance Learning Policy 
          to set forth guiding goals and principles for the use of 
          technology in California postsecondary education.  Establishes 
          the California Virtual Campus pursuant to funding provided to 
          the CCC BOG to, among other responsibilities, enhance awareness 
          and utilization of online courses of study.  
            
           FISCAL EFFECT  :  Unknown

           COMMENTS  :   Background  :  Distance learning generally refers to 
          instruction in which faculty and students are in separate 
          locations and communicating using technology.  Most distance 
          learning is delivered over the internet or with television.  In 
          California, the main providers of distance learning are private 
          for-profit colleges and CCC.  CSU also offers some instruction 
          using distance education; however, UC use of distance education 
          is limited.  Distance education has experienced tremendous 
          growth in recent years.  According to estimates, approximately 
          4.6 million students (about one-quarter of total enrollments) 
          nationwide took at least one course online at their college or 
          university in the fall of 2008.  According to information 
          compiled by the LAO in 1999-00, about 115,000 students in the 
          CCC system took at least one class via distance education (out 
          of a system-wide headcount of 2.5 million).  By 2009-10, over 
          600,000 CCC students were taking distance education courses, out 
          of a system-wide headcount of 2.8 million.  

           Purpose of this bill  :  According to the author, this bill seeks 
          to increase college access to those that are unable to 
          participate in traditional classroom college instruction and/or 
          who find distance learning to be a better option.  The 
          provisions of this bill are based on the recommendations 
          contained in the recent LAO report, "Using Distance Education to 
          Increase College Access and Efficiency." 

           Defining distance education  :  According to LAO, there is no 
          common definition of distance learning among California's public 








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          postsecondary institutions, making it impossible for the 
          Legislature and segments to measure workload and track 
          enrollment trends.  This bill would establish a definition 
          similar to that already used by the CCC, where a majority of the 
          instruction is delivered through the use of technology where the 
          student and instructor are in different locations.  Committee 
          staff notes that based on the background provided by the author 
          this definition appears intended solely for the use of distance 
          learning data collection and reporting.  Additionally, AB 626 
          (Blumenfield) set for hearing in this Committee on April 12, 
          2011, establishes a definition for a slightly different 
          definition for distance learning.  Committee staff recommends 
          the following:

            66942. (a)  For the purposes of data collection and reporting 
            by the California Community Colleges, the California State 
            University and the University of California   As used in this 
            section  , "distance learning course" means a course  conducted 
            with   where  a majority of the instruction  al   content   is 
             delivered  by the Internet, television, or other means in which 
            the student and instructor are in   when faculty and students 
            are in  different locations and instruction is delivered 
            through the use of technology.  
           
           Committee staff notes that UC has expressed concern that hybrid 
          course offerings are not easily categorized and has requested 
          amendments to provide institutions the right to determine a 
          distance learning course when the course includes face-to-face 
          instruction.  However, Committee staff notes that allowing 
          institutions to individually determine distance learning courses 
          appears to undermine the intent of the bill to create a standard 
          definition that would allow comparisons across segments and 
          campuses.  Committee staff suggests that the author and UC 
          continue working together on these issues as the bill moves 
          forward. 

           Reporting requirements  :  This bill contains significant 
          reporting requirements for CCC, CSU and UC that could prove 
          costly in terms of staff time and resources.  In response to 
          California's budget shortfall, estimated at $26.6 billion, all 
          three of the state's public postsecondary education segments 
          face significant reductions.  CCC will see a $400 million 
          unallocated reduction to apportionments and a student fee 
          increase of $10 per unit.  CSU and UC each face a reduction of 
          $500 million.  To address concerns about the cost of CCC, CSU, 








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          and UC compliance with the reporting requirements of this 
          proposal, the author has agreed to the following:

          1)Remove the requirement that CVC and CSU report on the 
            California Online Program Manager (page 2, line 23 - page 3, 
            line 3).  

          2)Remove the requirement that CCC and CSU report on the 
            feasibility of accelerated associate's and bachelor's degree 
            completion programs (page 3, lines 4-9). 

           WGU  :  The WGU is an accredited, nonprofit, online private 
          university based in Utah that was founded by the governors in 19 
          western states in the 1990's.  Indiana has formed a partnership 
          under which WGU operates a virtual branch in Indiana, and the 
          state allows residents to apply for financial-aid toward 
          attendance at WGU.  This bill would require the LAO to convene a 
          task force by November 1, 2011, to identify steps toward the 
          establishment of a WGU California.  Recommendations are required 
          by November 1, 2012.  This bill currently requires task force 
          representatives to include the Legislature and the 
          Administration.  Committee staff suggests including 
          representatives from the Western Association of Schools and 
          Colleges on the task force, and requiring the task force to 
          consult with California's public higher education segments and 
          the California Postsecondary Education Commission.  Assuming 
          this bill will take effect January 1, 2012, the start date for 
          the task force, November 1, 2011, is prior to the implementation 
          of this legislation.  Committee staff suggests this date be 
          adjusted accordingly.  To ensure that any future partnership 
          with WGU not undermine California's historic commitment to 
          public higher education, Committee staff recommends intent 
          language clarifying that WGU be established as a self-supporting 
          institution.  Committee staff recommends the following 
          amendments:  

            66942. (e) (1) By  November 1  February 1, 2012, the Legislative 
            Analyst shall convene a task force composed of members of the 
            Legislature  ,   and  members of the administration  , and 
            representatives of the Western Association of Schools and 
            Colleges   to identify the steps needed to establish the 
            Western Governors University, California.   The task force 
            shall consult with the University of California, the 
            California State University, the California Community Colleges 
            and the California Postsecondary Education Commission.








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             (2) It is the intent of the Legislature that the task force 
            evaluates the establishment of Western Governors University, 
            California as a degree-granting institution that is 
            self-supporting and that does not receive state funding.  This 
            provision is not intended to preclude the task force from 
            evaluating Western Governors University, California as a 
            potential qualifying institution for the purposes of 
            California's student financial aid programs  .  

            (3)   (2)  By   November 1, 2012  February 1, 2013,  the task force 
            convened pursuant to this subdivision shall report to the 
            Legislature on the findings and recommendations of the task 
            force.

          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Ed Voice

           Opposition 
           
          None on File
           
          Analysis Prepared by  :    Laura Metune / HIGHER ED. / (916) 
          319-3960