BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1584
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          Date of Hearing:   May 16, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                     AB 1584 (Eng) - As Amended:  April 23, 2012 

          Policy Committee:                              Education 
          Vote:9-0

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:              No

           SUMMARY  

          This bill extends the sunset date of the Health Science and 
          Medical Technology (HSMT) Project, administered by the State 
          Department of Education (SDE), from January 1, 2014 to July 1, 
          2018.  Specifically, this bill: 

          1)Requires the Superintendent of Public Instruction (SPI) to 
            approve all final grant allocations and specifies allocations 
            for the HSMT Project are contingent upon funding provided in 
            the annual budget act. 

          2)Requires grant recipients, at a minimum, to design and 
            implement a multi-year coherent sequence of standards-based 
            academic and career technical education (CTE) courses and 
            work-based learning experiences that provide pupils as early 
            as middle school with a structured progression of secondary 
            and postsecondary education, as specified.  

          3)Limits funding for the HSMT Project to specific activities, 
            including, implementation of an articulated multiyear sequence 
            of courses from middle school to postsecondary education in a 
            selected pathway; providing materials/equipment to support 
            academic and technical curriculum alignment in the selected 
            pathway; and development of standards-based health/science and 
            medical-technology-focused curriculum. 

          4)Requires SDE to monitor a grantee and provide technical 
            assistance to ensure the grantee is meeting program 
            requirements. 

          5)Changes the report date for this program from January 1, 2012 








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            to January 1, 2016.  

           FISCAL EFFECT  

          1)Annual GF/98 costs of at least $2.5 million to continue this 
            program.  The average grant amount for the 2009-10 allocation 
            was $58,000 GF/98.  According to SDE, 43 LEAs received funding 
            for this project in the 2009-10 fiscal year (FY).  

          2)Minor, absorbable GF administrative costs to SDE to continue 
            administering the HSMT Project beyond the 2013-14 FY.




           COMMENTS  

           1)Background  .  SB 1309 (Scott), Chapter 837, Statutes of 2006, 
            established the HSMT Project until January 1, 2014 to develop 
            health-related career pathway programs prepare pupils in 
            grades 7-12 for the academic rigor of nursing and other 
            health-career education.  Local education agencies (LEAs), 
            including charter schools, provide programs under this project 
            in different educational settings, including regional 
            occupational center programs (ROC/Ps) and/or partnership 
            academies.  The 2005 Budget Act allocated $2.5 million GF/98 
            for this project.

            SB 70 (Scott), Chapter 352, Statutes of 2005, allocated $20 
            million in GF/98 reversion account funding to establish 
            Governor Schwarzenegger's Career Technical Education 
            Initiative.  The HSMT Project was funded through this 
            allocation.  Subsequently, SB 1133 (Torlakson), Chapter 751, 
            Statutes of 2006, provided an additional $32 million GF/98 
            annually to SB 70 programs (including the HSMT Project) until 
            the 2013-14 fiscal year.  This funding was level was agreed to 
            in order to settle CTA et.al. v. Schwarzenegger et. al., which 
            discharged the outstanding balance of the maintenance factor 
            resulting from the 2004 Budget Act's suspension of the state's 
            obligation to meet the constitutionally-required Proposition 
            98 minimum funding level for K-14 schools.  

           2)Purpose  .  According to the author, "Since 2008, the 
            continuation of the $2.5 million from the Governor's CTE 
            Initiative has funded school sites that are continuing to 








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            implement health science pathway programs. Students who 
            benefit from this program represent the diversity of our 
            state, with 43% Latino, 30% White, 12% Asian, and 6.6% African 
            American. Many of the students are also on free and reduced 
            lunch programs. Findings demonstrate that students enrolled in 
            the HSMTP attend more days of school, enter post-secondary 
            education and graduate at a higher rates than the general 
            population of their high schools."  

            The author further states: "Unfortunately, the HSMT Project is 
            set to expire on January 1, 2014. Hence, this bill would 
            extend the HSMT Project for five years, to continue to 
            establish rich, rigorous, integrated health science and 
            medical technology careers pathway programs to serve students 
            from every school in California."      

           3)Preliminary extension of the HSMT Project  .  This project is 
            scheduled to sunset on January 1, 2014, which is two years 
            from now.  The timing of this sunset coincides with the last 
            FY in which all SB 70 program (extended via SB 1133) funding 
            statutorily expires.  This funding allocates $2.5 million 
            GF/98 for the HSMT Project.  Given the state's severe fiscal 
            crisis, it is unclear the need to extend the sunset of this 
            program now and thereby commit to funding it until the 2017-18 
            FY.        


           Analysis Prepared by  :    Kimberly Rodriguez / APPR. / (916) 
          319-2081