BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 851
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          ASSEMBLY THIRD READING
          AB 851 (Nestande)
          As Amended  April 25, 2011
          Majority vote 

           HIGHER EDUCATION    8-0         APPROPRIATIONS      17-0        
           
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          |Ayes:|Block, Donnelly,          |Ayes:|Fuentes, Harkey,          |
          |     |Achadjian, Brownley,      |     |Blumenfield, Bradford,    |
          |     |Fong, Galgiani, Miller,   |     |Charles Calderon, Campos, |
          |     |Portantino                |     |Davis, Donnelly, Gatto,   |
          |     |                          |     |Hall, Hill, Lara,         |
          |     |                          |     |Mitchell, Nielsen, Norby, |
          |     |                          |     |Solorio, Wagner           |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  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 








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            self-supporting but does not preclude WGU students from 
            qualifying for the state's student financial aid programs.

           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 Board of Governors to, among other responsibilities, 
          enhance awareness and utilization of online courses of study.  
            
           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee, CCC currently reports 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 (GF) (Proposition 
          98) reimbursable costs would be $140,000 to $210,000.  The 
          Chancellor's Office of the CCC will incur GF one-time costs of 
          $24,000 to update its curriculum inventory.  CSU will incur 
          one-time GF costs of $60,000 to $100,000 to implement the 
          reporting requirements.  UC indicates that any costs would be 
          absorbable.


           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 








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          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." 

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


           Analysis Prepared by  :    Laura Metune / HIGHER ED. / (916) 
          319-3960 


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