Amended in Senate June 26, 2014

Amended in Senate May 29, 2014

Amended in Assembly May 24, 2013

Amended in Assembly April 22, 2013

Amended in Assembly April 2, 2013

Amended in Assembly March 21, 2013

California Legislature—2013–14 Regular Session

Assembly BillNo. 1318


Introduced by Assembly Member Bonilla

February 22, 2013


An act to amend Section 66021.2 of the Education Code, relating to student financial aid.

LEGISLATIVE COUNSEL’S DIGEST

AB 1318, as amended, Bonilla. Student financial aid: Cal Grant Program.

Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program, establishes the Cal Grant A and B Entitlement awards, the California Community College Transfer Cal Grant Entitlement awards, the Competitive Cal Grant A and B awards, the Cal Grant C awards, and the Cal Grant T awards under the administration of the Student Aid Commission, and establishes eligibility requirements for awards under these programs for participating students attending qualifying institutions, as defined.

This bill would add provisions that would set the maximum Cal Grant award levels for students attending nonpublic postsecondary educational institutions that are accredited by the Western Association of Schools and Colleges, commencing with the 2015-16 award year. The bill would require, as a condition for the funding of Cal Grant maximum awards to its students, that a nonpublic postsecondary educational institution accredited by the Western Association of Schools and Colleges submit specified performance metrics related to its students in a cumulative report generated by the Association of Independent California Colleges and Universities to the Legislature, the Governor, the Department of Finance, and the Legislative Analyst’s Office on or before March 15, 2015, and on or before March 15 of each year thereafter.begin insert The bill would require the form and content of these metrics to be determined by the Association of Independent California Colleges and Universities, in collaboration with the public segments of higher education. The bill also would require that the collection, reporting, and housing of data for this report be conducted both in a manner that ensures data integrity and security and that is in conformance with any federal and state laws on the confidentiality of student information.end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

The Legislature finds and declares all of the
2following:

3(a) California relies on private colleges and universities
4accredited by the Western Association of Schools and Colleges
5(WASC) to help meet the state’s higher education needs.

6(b) The maximum award for Cal Grant students attending
7WASC accredited private colleges and universities has not
8increased since 1999:

9(1) It was cut by almost 15 percent for the 2005-06 and 2006-07
10cohorts.

11(2) It was cut by 5 percent for new and renewal grants for the
122012-13 award year, and is scheduled to be cut by an additional
131.5 percent in the 2013-14 award year and 11 percent in the
142014-15 award year for new awardees.

15(3) Even if the maximum award had not been cut, its value
16 would have decreased by over 37 percent due to inflation since
172000.

P3    1(4) The proposed maximum award for the 2014-15 award year
2will be the lowest amount California has invested in academically
3qualified, financially deserving students that attend private WASC
4accredited institutions since the 1997-98 academic year.

5(c) The Cal Grant Program effectively and successfully helps
6California’s private colleges and universities to recruit, retain, and
7graduate historically underrepresented students from low-income
8families.

9(d) Predictable and stable funding formulas and eligibility
10requirements ensure that the state maximizes its investment and
11allows families to plan and pay for higher education.

12(e) Legislative action is needed to adopt a reasonable formula
13that supports predictability and supports parity for students at
14private colleges.

15

SEC. 2.  

Section 66021.2 of the Education Code is amended to
16read:

17

66021.2.  

Consistent with the state’s historic commitment to
18provide educational opportunity by ensuring both student access
19to and selection of an institution of higher education for students
20with financial need, the long-term policy of the
21Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program
22established pursuant to Chapter 1.7 (commencing with Section
2369430) of Part 42 shall be as follows:

24(a) Commencing with the 2001-02 academic year and every
25year thereafter, an applicant for a Cal Grant A or B award shall
26receive an award that is not in excess of the financial need amount
27determined by the Student Aid Commission pursuant to Section
2869432.9 if he or she complies with all of the following
29requirements:

30(1) Demonstrates financial need under the criteria adopted
31pursuant to Section 69432.9.

32(2) Attains a grade point average, as defined in Section 69432.7,
33meeting the requirements of Chapter 1.7 (commencing with Section
3469430) of Part 42.

35(3) Complies with each of the eligibility criteria applicable to
36the type of Cal Grant award for which he or she is applying.

37(b) (1) The maximum Cal Grant A award for a student attending
38the University of California or the California State University shall
39equal the mandatory systemwide fees in each of those segments.

P4    1(2) The maximum Cal Grant B award for a student to which
2this subdivision is applicable shall equal the mandatory systemwide
3fees in the segment attended by the student, except for community
4college students who receive waivers from the Board of Governors
5of the California Community Colleges, plus the access award
6calculated as specified in Article 3 (commencing with Section
769435) of Chapter 1.7 of Part 42, except that in the first year of
8enrollment in a qualifying institution, the maximum award shall
9be only for the amount of the access award.

10(c) The maximum Cal Grant awards for students attending
11nonpublic institutions shall be as follows:

12(1) The maximum Cal Grant A award shall equal the tuition
13award level established in the Budget Act of 2000, or the amount
14as adjusted in subsequent annual budget acts.

15(2) The maximum Cal Grant B award shall equal the amount
16of the tuition award as established in the Budget Act of 2000, or
17the amount as adjusted in subsequent annual budget acts, plus the
18amount of the access costs specified in Section 69435, except that,
19in the first year of enrollment in a qualifying institution, the
20maximum award shall be only for the amount of the access award.

21(3) Notwithstanding paragraphs (1) and (2), and notwithstanding
22Section 69432:

23(A) The maximum Cal Grant award for a student attending a
24nonpublic postsecondary educational institution accredited by the
25Western Association of Schools and Colleges shall be set and
26maintained at 75 percent of the base funding per Cal Grant student
27at the University of California and the California State University,
28as determined by the average General Fund support per student at
29the California State University and the University of California,
30plus the maximum Cal Grant award at those segments each
31multiplied by the percentage of California resident full-time
32equivalent students at both segments who attend the respective
33segment, except as provided in clauses (i) to (iv), inclusive.

34(i) For the 2015-16 award year, the maximum award shall be
3570 percent of the amount calculated pursuant to subparagraph (A).

36(ii) For the 2016-17 award year, the maximum award shall be
3780 percent of the amount calculated pursuant to subparagraph (A).

38(iii) For the 2017-18 award year, the maximum award shall be
3990 percent of the amount calculated pursuant to subparagraph (A).

P5    1(iv) For the 2018-19 award year and each award year thereafter,
2the maximum award shall be 100 percent of the amount calculated
3pursuant to subparagraph (A).

4(B) As a condition for the funding of Cal Grant maximum
5awards to its students pursuant to subparagraph (A), a nonpublic
6postsecondary educational institution accredited by the Western
7Association of Schools and Colleges shall submit performance
8metricsbegin insert to the Association of Independent California Colleges and
9Universities (AICCU). The AICCU, in collaboration with the public
10segments of higher education, shall determine the form and content
11of these metrics, to ensure data are defined, collected, and reported
12in a consistent and comparable manner, and to ensure data
13integrity. The AICCU shall provide that informationend insert
in a
14cumulative reportbegin delete generated by the Association of Independent
15California Colleges and Universitiesend delete
to the Legislature, the
16Governor, the Department of Finance, and the Legislative Analyst’s
17Office on or before March 15, 2015, and, notwithstanding Section
1810231.5 of the Government Code, on or before March 15 of each
19year thereafter. The report shall be submitted to the Legislature in
20compliance with Section 9795 of the Government Code, and shall
21include all of the following data with respect to each participating
22nonpublic postsecondary educational institution:

23(i) The number of undergraduate students enrolled in that
24 institution.

25(ii) The percentage of undergraduate students of that institution
26who are California residents.

27(iii) The number of graduate students enrolled in that institution.

28(iv) The number of transfer students from the California
29Community Colleges enrolled in that institution.

30(v) The percentage of undergraduate students of that institution
31who are transfer students from the California Community Colleges.

32(vi) The number of Pell Grant recipients enrolled in that
33institution.

34(vii) The percentage of undergraduate students of that institution
35who are Pell Grant recipients.

36(viii) The number of Cal Grant recipients enrolled in that
37institution. With respect to those Cal Grant recipients:

38(I) Their ethnic composition, expressed in percentages.

39(II) The median amount of institutional aid provided to them.

P6    1(ix) The percentage of undergraduate students of that institution
2who are Cal Grant recipients.

3(x) The four- and six-year graduation rates for freshman entrants
4of that institution:

5(I) Disaggregated by Pell Grant recipients.

6(II) Disaggregated by Cal Grant recipients.

7(xi) The two- and three-year graduation rates for transfer
8students from the California Community Colleges:

9(I) Disaggregated by Pell Grant recipients.

10(II) Disaggregated by Cal Grant recipients.

11(xii) The number of degrees awarded annually by the institution
12in total and in each of the following categories:

13(I) Undergraduate students who first enrolled in the institution
14as freshmen.

15(II) Undergraduate students who first enrolled in the institution
16as transfer students.

17(III) Graduate students.

18(IV) Pell Grant recipients.

19(V) The number of degrees or credentials awarded in
20health-related fields, teacher preparation, and the fields of science,
21technology, engineering, and mathematics (STEM).

begin insert

22(d) The collection, reporting, and housing of data for the report
23prepared pursuant to subparagraph (B) shall be conducted both
24in a manner that ensures data integrity and security and that is in
25conformance with any federal and state laws on the confidentiality
26of student information.

end insert
begin delete

27(d)

end delete

28begin insert(e)end insert Commencing with the 2000-01 academic year, and each
29academic year thereafter, the Cal Grant C award shall be utilized
30only for occupational or technical training.

begin delete

31(e)

end delete

32begin insert(f)end insert Commencing with the 2000-01 academic year, and each
33academic year thereafter, the Cal Grant T award shall be used only
34for one academic year of full-time attendance in a program of
35professional preparation that has been approved by the California
36Commission on Teacher Credentialing.

begin delete

37(f)

end delete

38begin insert(g)end insert An institution of higher education in this state that
39participates in the Ortiz-Pacheco-Poochigian-Vasconcellos Cal
40Grant Program shall not reduce its level of per capita need-based
P7    1institutional financial aid to undergraduate students, excluding
2loans, below the total level awarded in the 2000-01 academic year.

begin delete

3(g)

end delete

4begin insert(h)end insert The implementation of the policy set forth in this section
5shall maintain a balance between the state’s policy goals of
6ensuring student access to and selection of an institution of higher
7education for students with financial need and academic merit.

begin delete

8(h)

end delete

9begin insert(i)end insert It is the policy of the State of California that the
10Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program
11supplement the federal Pell Grantbegin delete program.end deletebegin insert Program.end insert

begin delete

12(i)

end delete

13begin insert(j)end insert An award under the Ortiz-Pacheco-Poochigian-Vasconcellos
14Cal Grant Program shall not guarantee admission to an institution
15of higher education or admission to a specific campus or program.



O

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