BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 1456
                                                                  Page  1

          Date of Hearing:   August 8, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                   SB 1456 (Lowenthal) - As Amended:  July 5, 2012 

          Policy Committee:                              Higher 
          EducationVote:7-1

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

           SUMMARY  

          This bill establishes additional requirements for students to be 
          eligible to receive a California Community Colleges (CCC) Board 
          of Governors (BOG) fee waiver, and places new conditions on 
          community colleges for use of state funds made available for 
          matriculation services. Specifically, this bill:

          1)Requires otherwise eligible students to meet academic and 
            progress standards, as adopted by the BOG, in order to receive 
            a BOG fee waiver.

          2)Stipulates that the academic and progress standards per (1) 
            are to be adopted by the BOG in consultation with students, 
            faculty and other stakeholders and are to include a reasonable 
            implementation period, and states legislative intent that the 
            standards be implemented only to the extent adequate student 
            support services and interventions are made available to 
            ensure no disproportionate impact to students based on 
            ethnicity, gender, disability or socioeconomic status.

          3)Recasts the Seymour-Campbell Matriculation Act of 1986 as the 
            Seymour-Campbell Success Act of 2012, and establishes a 
            Student Success and Support Program, which, in addition to 
            existing services provided under a matriculation agreement, is 
            to include the development of an educational plan related to a 
            student's academic and career goals.

          4)States that a student's responsibility under a matriculation 
            agreement is to identify an academic and career goal, declare 
            a specified course of study within a time period or course 
            unit accumulation to be determined by the BOG, and maintain 








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            academic progress toward the academic/career goal identified 
            in their educational plan. 

          5)Requires the BOG to establish an implementation period for the 
            Student Success and Support Program, to be phased in as 
            resources are available.

          6)Requires the BOG, in consultation with stakeholders, to 
            establish policies and processes requiring all students, 
            except those determined to be exempt, to complete orientation 
            and assessment and to develop educational plans and to adopt 
            an appeals process. This requirement is to be implemented over 
            a period of time, as determined by the BOG in consideration of 
            available resources.

          7)Requires the BOG to develop a funding formula, as 
            specified-replacing the existing funding formula developed for 
            matriculation services-to allocate funding among districts 
            under the Student Success and Support Program. The funding 
            formula is to include a requirement that, if participating 
            districts use an assessment tool, they use the BOG's common 
            assessment tool.

          8)Requires participating colleges to develop a Student Success 
            and Support Program plan, as specified.

          9)Stipulates that (3) through (8) are only operable in any 
            fiscal year when funds are appropriated specifically for these 
            purposes.

          10)Requires the Legislative Analyst's Office (LAO) to report to 
            the Legislature by July 1, 2014 on the implementation and 
            impacts of the Seymour-Campbell Student Success Act of 2012.

           FISCAL EFFECT  

          1)Since 2009-10, when significant budget reductions were enacted 
            across the CCC, annual state funding for matriculation has 
            totaled $49.2 million. (In 2008-09, funding for matriculation 
            totaled $101.8 million.)

            This bill, over time, will create significant General Fund 
            (Prop 98) cost pressure to increase funding for matriculation 
            services, specifically for expansion of orientation, 
            assessment, and development of students' educational plans. 








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            (The student/counselor ratio at the CCC is currently about 
            1900:1.)

            Using more efficient means to deliver these services, such as 
            a systemwide common assessment and web-based 
            counseling/planning tools, where appropriate, will ameliorate 
            some of these cost pressures. Aside from these efficiencies, 
            expansion of matriculation funding will be dependent annual 
            budget decisions.

          2)Any additional costs for districts to determine students' 
            eligibility for BOG fee waivers will depend on the qualifying 
            academic and progress standards established by the board. To 
            the extent these standards involve student performance 
            characteristics already acquired by districts, costs should 
            not be significant. If any districts have to modify IT systems 
            to determine students' eligibility for waivers under these new 
            requirements, those one-time costs would be 
            state-reimbursable.

          3)To the extent more students are no longer eligible for a BOG 
            fee waiver due to the academic and progress standards, there 
            will be an increase in student fee revenue if these students 
            nevertheless continue to enroll.

          4)To the extent implementation of this bill increases the rate 
            of student course completion, and ultimately the number of 
            enrolled CCC students attaining their educational goals, over 
            time the system will benefit from reduced administrative costs 
            and greater efficiencies, and the state will benefit from a 
            more educated workforce, which tends to increase wages and 
            thus tax revenues.

           COMMENTS  

           1)Background and Purpose  . Due to concerns regarding the 
            relatively small proportion of CCC students who are actually 
            completing their educational goals, SB 1143 (Liu)/Chapter 409 
            of 2010 required the CCC Chancellor to convene a task force to 
            make recommendations for improving student success. The 
            Student Success Task Force (SSTF) issued its report, including 
            22 recommendations, in January. The recommendations are 
            designed to refocus priorities on the core missions of 
            remedial education, workforce preparation, certificate and 
            degree attainment, and transfer, by improving matriculation 








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            services and incentivizing successful student behaviors, 
            aligning course offerings to student needs, improving basic 
            skills education and professional development, strengthening 
            statewide CCC leadership, increasing CCC coordination, 
            maintaining a student success scorecard and data system, and 
            aligning resources with these recommendations. Most of these 
            recommendations can be implemented through regulation, the 
            budget act, or state administrative policy. This bill contains 
            the principal SSTF recommendations that require statutory 
            changes.

            The bill is supported by the CCC Academic Senate, the 
            Community College League, several community college districts, 
            and numerous community and education groups.

           2)Opposition  . The California Teachers Association's Community 
            College Association argues that implementation of this bill 
            will "create a two-tier system of students, between those 
            life, family, and educational experiences that foster their 
            movement through the existing cumbersome community college 
            system vs. students who lack the necessary language, computer, 
            and mathematical skills necessary for college success."

            The California Community College Independents, an association 
            of independent bargaining units for faculty, are opposed 
            unless the bill is amended to ensure that disadvantaged 
            students receive appropriate support services and 
            interventions, clarify application of the terms "educational 
            goals" and "academic and career goals," and incorporate 
            academic probation into the application of academic and 
            progress standards.
           
           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081