BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 851
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          Date of Hearing:   May 4, 2011

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                   AB 851 (Nestande) - As Amended:  April 25, 2011 

          Policy Committee:                              Higher 
          EducationVote:8-0

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:               

           SUMMARY  

          This bill establishes a common definition of "distance learning 
          course" and requires data gathering and reporting on such 
          courses offered by the state public postsecondary institutions. 
          Specifically, this bill:

          1)Defines "distance learning course" as a course conducted with 
            a majority of the instructional content delivered when faculty 
            and students are in different locations and instruction is 
            delivered through technology.

          2)Requires the California State University (CSU) and the 
            California Community Colleges (CCC), and requests the 
            University of California (UC), by January 1, 2014 and every 
            two years thereafter, to report specified workload and 
            performance data to the Legislature, including program 
            completion rates for degree programs that include exclusively 
            distance learning courses.

          3)Requires the Legislative Analyst's Office (LAO), by February 
            1, 2012, to convene a task force to identify steps needed to 
            establish a virtual Western Governors University (WGU), 
            California, and requires the task force to report its findings 
            by February 1, 2013.

          4)States legislative intent that the task force evaluate 
            establishing a WGU as a degree-granting institution that is 
            self-supporting but does not preclude WGU students from 
            qualifying for the state's student financial aid programs.

           FISCAL EFFECT  








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          1)Community colleges currently report all the information 
            required in this bill except distance education program 
            completion rates. Assuming all districts incurred costs 
            averaging a few thousand dollars for programming, total 
            General Fund (Prop. 98) reimbursable costs would be $140,000 
            to $210,000. The Chancellor's Office of the CCC will incur 
            General Fund one-time costs of $24,000 to update its 
            curriculum inventory.

          2)CSU will incur one-time General Fund costs of $60,000 to 
            $100,000 to implement the reporting requirements. UC indicates 
            that any costs would be absorbable.

           


          COMMENTS  

           1)Background  . Distance learning generally refers to instruction 
            where faculty and students are in separate locations and 
            communicating using technology-usually over the internet or 
            with television.  The main providers of distance learning in 
            California are private for-profit colleges and CCC.  The CSU 
            offers some instruction using distance education, but UC's use 
            of this method is limited. Approximately 4.6 million 
            postsecondary education students (about one-quarter of total 
            nationwide enrollment) took at least one course online in the 
            fall of 2008.  According to the LAO in 1999-00, about 115,000 
            students of the 2.5 million students in the CCC system at that 
            time took at least one class via distance education. By 
            2009-10, over 600,000 of the CCC's 2.8 million students were 
            taking distance education courses.  

           2)Purpose  .  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 
            bill's provisions based on the recommendations contained in 
            the recent LAO report, "Using Distance Education to Increase 
            College Access and Efficiency."

           3)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 








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            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 to identify steps 
            toward the establishment of a WGU, California, and to report 
            recommendations by February 1, 2012. 

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081