BILL ANALYSIS                                                                                                                                                                                                    �



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          Date of Hearing:   June 26, 2013

                           ASSEMBLY COMMITTEE ON EDUCATION
                                Joan Buchanan, Chair
                       SB 173 (Liu) - As Amended:  May 28, 2013

          [Note: This bill is doubled referred to the Assembly Higher  
          Education Committee and will be heard as it relates to issues  
          under its jurisdiction.]
          
           SENATE VOTE  :   36-1
           
          SUBJECT  :   Education funding: adult health and safety education

           SUMMARY  :  Establishes guidelines and recommendations for adult  
          education program in the areas of assessment, performance  
          accountability, and teacher requirements; and eliminates  
          specified classes and courses authorized to be funded from the  
          adult education fund and California Community Colleges (CCC)  
          adult education noncredit apportionments.  Specifically,  this  
          bill  :  

          1)Requires the California Department of Education (CDE), in  
            conjunction with the chancellor's office of the CCC, to  
            coordinate and issue assessment policy guidelines regarding  
            assessments to be used by school districts and community  
            college districts for purposes of placement in adult education  
            courses.

          2)Requires the CDE and the chancellor's office to do the  
            following:

             a)   Jointly establish and implement a comprehensive  
               performance accountability system for adult education  
               courses; and, 

             b)   Develop guidelines and procedures for all adult  
               education funded providers for assessment, evaluation, and  
               data collection to document participant outcomes and  
               placement and other performance measures they deem  
               appropriate.  Specifies that performance measures may  
               include receipt of a secondary school diploma or its  
               recognized equivalent, placement in a postsecondary  
               educational institution, training, and employment.   
               Specifies that to the extent possible, these performance  








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               measures shall be consistent with those required and  
               implemented pursuant to the federal Workforce Investment  
               Act (WIA) of 1998, Title II, Adult Education and Family  
               Literacy Act.  Requires all funded programs to annually  
               submit demographic and other student-level outcome  
               information.

          3)Defines "chancellor's office" as the Office of the Chancellor  
            of the CCC, and "department" to mean the CDE.

          4)Removes the following classes from the list of authorized  
            classes and courses offered by school districts and county  
            superintendent of schools for apportionment purposes from the  
            adult education fund:

             a)   Adult programs in parenting, including parent  
               cooperative preschools, and classes in child growth and  
               development, parent-child relationships, and parenting;
             b)   Adult programs for older adults;
             c)   Adult programs in home economics; and, 
             d)   Adult programs in health and safety education.  

          5)Authorizes the governing board of a community college district  
            to charge a fee for classes it offers, except for classes in  
            English and citizenship in order to ensure that community  
            college districts have the capacity to meet the demand for  
            adult education courses for recent immigrants.  Specifies that  
            any community college district that chooses to charge a fee  
            shall report the amount of the fee, the number of classes, and  
            enrollment in those classes to the Office of the Chancellor of  
            the CCC.  Requires the chancellor's office to make the  
            information available to the Legislative Analyst's Office  
            (LAO).  Requires the LAO to provide a summary and analysis of  
            the reported information to the Assembly Budget, Education and  
            Higher Education Committees, and the Senate Budget and Fiscal  
            Review and Education Committees by January 1, 2016.

          6)Removes the following noncredit adult education courses and  
            classes as eligible classes for funding:

             a)   Parenting, including parent cooperative preschools,  
               classes in child growth and development and parent-child  
               relationships;
             b)   Education programs for older adults; 
             c)   Education programs for home economics; and,








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             d)   Health and safety education.

          7)Requires, by July 1, 2014, the Commission on Teacher  
            Credentialing (CTC) and the Academic Senate for the CCC to  
            meet to review their current requirements for noncredit adult  
            education and adult education instructors, and develop and  
            submit recommendations to the appropriate policy and fiscal  
            committees of the Legislature for modifying or establishing  
            reciprocity standards for instructors of adult education  
            courses. 

          8)Expresses the intent of the Legislature that:

             a)   Nothing in this bill shall be construed to limit the  
               authority of school districts and community college  
               districts to offer adult education programs and courses  
               other than those specified in law, provided that those  
               programs or courses are funded through alternative funding  
               sources, including fees, if the district is authorized to  
               charge fees.

             b)   Beginning in the 2015-16 fiscal year, base adult  
               education funds and noncredit adult education funds shall  
               be allocated to providers on the basis of a combination of  
               enrollment and performance in courses.  

           EXISTING LAW  :

          1)Authorizes the establishment of adult school programs and  
            specifies eligibility criteria, programmatic requirements, and  
            the manner in which school districts' adult education revenue  
            limit per unit of average daily attendance (ADA) shall be  
            determined.  

          2)Authorizes a county office of education (COE) to administer an  
            adult education program and authorizes each eligible school  
            district within its jurisdiction to participate in the  
            program.  Authorizes a COE to report the ADA of each school  
            district participating in the adult education program for the  
            purpose of receiving revenue limit apportionments.

          3)Authorizes the following classes and courses to be offered by  
            the school districts and county superintendent of schools for  
            apportionment purposes from the adult education fund:









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             a)   Adult programs in parenting, including parent  
               cooperative preschools, and classes in child growth and  
               development, parent-child relationships, and parenting.
             b)   Adult programs in elementary and secondary basic skills  
               and other courses and classes required for the high school  
               diploma.  
             c)   Adult education programs in English as a second  
               language.
             d)   Adult education programs for immigrant eligible for  
               educational services in citizenship, English as a second  
               language, and workforce preparation classes in the basic  
               skills of speaking, listening, reading, writing,  
               mathematics, decisionmaking and problem solving skills, and  
               other classes required for preparation to participate in  
               job specific technical training.
             e)   Adult education programs for adults with disabilities.
             f)   Adult short-term career technical education programs  
               with high employment potential. 
             g)   Adult programs for older adults.
             h)   Adult education programs for apprentices.
             i)   Adult programs in home economics.
             j)   Adult programs in health and safety education.

          4)Prohibits state apportionment to be made for any course or  
            class not specified in law.  

          5)Authorizes the governing board of a school district to require  
            a fee.  For a class in English and citizenship, a fee may be  
            charged only until July 1, 2015.  Prohibits the total of the  
            fees required and revenues derived from the ADA from exceeding  
            the estimated cost of all such classes maintained.

          6)Defines "adult" as a person 18 years of age or older for a  
            person who is not concurrently enrolled in a regular high  
            school program.  

          7)For the 2008-09 to 2014-15 fiscal years, authorizes recipients  
            of specified categorical program funds to use those funds for  
            any educational purpose. 

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, savings in excess of $26 from the elimination of the  
          specified courses and potentially significant up-front costs and  
          ongoing workload for the CDE and the chancellor's office to meet  
          the coordination and reporting requirements.  








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           COMMENTS  :   Background  .  Adult education is provided by a number  
          of delivery systems, including community colleges, public  
          libraries, nonprofit and faith-based organizations, prisons, and  
          COEs.  In 2008-09, adult education programs enrolled 1.2 million  
          adult learners in almost 300 adult schools throughout  
          California.  Prior to 2009-10, school districts' funding levels  
          were based on what they received in 1977-78 and grew by a cap of  
          2.5% from the previous year's funding level.  The revenue limit  
          in 2007-08 for each unit of ADA (comprised of 525 hours of  
          accumulated seat time) was $2,645.30.  The 2012-13 budget  
          allocated $635 million for adult education programs.  Due to  
          budget problems, from the 2008-09 through 2014-15 fiscal years,  
          local educational agencies (LEAs) are allowed to use  
          approximately 40 categorical programs funds for any educational  
          purposes. According to the LAO, schools districts have diverted  
          between 50 to 60 percent of the adult education program funds  
          for other general fund uses.  

          Adult education schools offer the following ten programs:

          1)Adult Basic Education;
          2)English as a Second Language;
          3)High School Diploma or Adult Secondary Education, including  
            General Education Development certification;
          4)Citizenship Preparation; 
          5)Career Technical Education;
          6)Adults with Disabilities;
          7)Health and Safety;
          8)Parent Education; 
          9)Home Economics; and,
          10)Older Adult.

           Purpose of the bill  .  According to the author's office, this  
          bill is based on a December 2012 report by the LAO titled,  
          "Restructuring California's Adult Education System."  The author  
          states, "This bill begins the implementation of programmatic  
          changes necessary to better align the bifurcated system of  
          delivering adult education and non-credit adult education  
          courses, and to begin a shift towards a more rational and  
          coordinated funding approach for K-12 adult education and CCC  
          noncredit adult education programs in California."

          The two largest providers of adult education are school  
          districts and the CCC, with, according to the LAO, the majority  








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          provided by the CCC (about 66% of full-time equivalent students  
          (525 hours of instructional hours) in 2009-10).  The LAO argues  
          that the two systems have unclear lines of responsibility, an  
          overly broad mission, inconsistent state-level policies, lack of  
          coordination among providers, and limited student data, despite  
          serving the same student populations.  The December report  
          suggests that the system is in need of comprehensive  
          restructuring.

          This bill addresses the following:

           Authorized classes  .  The LAO argues that while all classes have  
          value, adult education programs should focus on the knowledge  
          and skills needed to participate in civic life and workforce,  
          which includes the first six on the list above.  This bill  
          eliminates the authorization to use adult education  
          apportionments to offer the following course and classes:

          1)Parenting programs:  According to the CDE, these are classes  
            that promote the healthy development of children, high-quality  
            family relationships, and children's success in school.   
            Classes in this program help individuals and families meet the  
            challenges of daily living through health and financial  
            literacy to improve the quality of home and family life.   
            Examples of classes offered include "Parenting the newborn-14  
            month old," and "Parenting an elementary school age child."

          2)Older adult programs:  According to the CDE, these are classes  
            designed specially to deal with issues related to aging.   
            These classes provide intellectual, physical, financial, and  
            social stimulation and resources addressing the demands of a  
            growing and active older population.  Classes offered include  
            "Exercise and fitness", "Ceramics", and "Understanding and  
            using computers."

          3)Home economics programs:  These classes include "cooking",  
            "knitting", and "wood working".

          4)Health and safety education:  These classes include basic CPR  
            and first aid, aerobics, and weight management.   

          Several organizations oppose the elimination of some or all of  
          these courses, expressing concerns that their elimination will  
          decrease access.  These organizations state that these classes  
          provide some adults a second chance and recent immigrants a  








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          first chance at a quality education.  They also argue that  
          courses such as parenting education offer adults critical life  
          skills.  Others, such as the San Francisco Advisory Council to  
          Aging and Adult Services, oppose the elimination of programs for  
          older adults.  As part of a $4 million federal nutrition grant  
          received by the city that provides meal to senior and persons  
          with disabilities, participants are required to attend nutrition  
          courses.  The City College of San Francisco provides weekly  
          classes in 26 congregate meal locations for older adults to meet  
          this requirement.  In San Francisco, the school district chooses  
          not to operate an adult education program; the community college  
          district is the sole provider.  

          According to the CDE, in 2008-09, enrollment for these four  
          programs was approximately 255,000, representing 20.9% of the  
          total enrollment of adult education.

          The bill expresses legislative intent that school districts and  
          CCC have the authority to offer programs and courses other than  
          those authorized for funding, provided that those programs and  
          courses are funded by other sources, including fees.  

           Assessment  .  K-12 adult schools and the CCC use assessments for  
          enrollment and placements.  While the CCC is required to only  
          use assessment tools approved by the chancellor's office for  
          advisory purposes and not for placement of students in classes,  
          adult schools can use any assessments they choose and can use  
          them for minimum qualifications to enroll in a class or to  
          determine appropriate class placement.  This bill directs the  
          CDE, in conjunction with the chancellor's office, to develop  
          assessment policy guidelines to be used by both systems for  
          purposes of placement in K-12 and CCC adult education courses.   
          The bill is silent on whether the assessment can be used to  
          determine whether a student meets minimum qualification for  
          enrollment.  

           Performance accountability.   This bill requires the CDE and the  
          chancellor's office to develop guidelines and procedures for all  
          adult education funded providers for assessment, evaluation and  
          data collection to document participant outcomes and placement,  
          and other performance measures they deem appropriate, such as  
          whether the student received a secondary school diploma,  
          placement in a postsecondary educational institution, or became  
          employed.  









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          Concerns have been expressed that this provision is unnecessary  
          and duplicative.  States that receive federal WIA Title II funds  
          are already required to collect performance data.  The state  
          received $91 million in 2011-12 to provide adult elementary and  
          secondary education and English as a second language classes.   
          The CDE allocates its share of funding to providers based on  
          performance points.   

          The CCC already has a robust data collection system that was  
          augmented by the Student Success Scorecard released in April  
          this year.  The scorecard was a recommendation of the Student  
          Success Task Force, enacted by SB 1143 (Liu), Chapter 409,  
          Statutes of 2010.  The scorecard provides performance data that  
          includes completion and persistence rates that can be broken  
          down by student demographics. 

          The Committee may wish to consider requiring the CDE and the  
          chancellor's office to develop recommendations to submit to the  
          Legislature before requiring implementation of a performance  
          accountability system.  

          The bill requires all funded programs to annually submit  
          demographic and other student-level outcome information, but the  
          bill does not specify to whom the data is reported to.  If the  
          Committee chooses to pass this bill, staff recommends an  
          amendment to clarify that the data is to be reported to the CDE  
          and the chancellor's office.  

          This bill also states legislative intent that beginning in  
          2015-16, base adult education funds and noncredit adult  
          education funds shall be allocated to providers on the basis of  
          a combination of enrollment and performance in courses.  It may  
          be premature to make such a declaration before the CDE and the  
          chancellor's office develop and agree to a joint performance  
          accountability system.  Staff recommends revising this provision  
          to strike the reference to 2015-16 and amend the provision to  
          declare the Legislature's intent to evaluate and consider  
          funding adult education programs based on enrollment and  
          performance in courses.    

           Teacher qualifications  .  K-12 adult school teachers are required  
          to have a teaching credential, while CCC instructors are  
          required to have a bachelor or master's degree depending on the  
          type of course taught.  The LAO believes that adult education  
          instructors should be able to teach in either system.  Requiring  








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          a teaching credential limits a CCC instructor's ability to teach  
          in K-12 adult schools; the LAO recommends eliminating the  
          requirement for adult school teachers to have a teaching  
          credential.  This bill directs the CTC and the Academic Senate  
          for the CCC to review the requirements for noncredit adult  
          education and adult school instructors, and develop and submit  
          recommendations to the appropriate policy and fiscal committees  
          of the Legislature by July 1, 2014.  The CTC is concerned that  
          the timeline may be too short. Staff recommends extending the  
          date of the required report.  

           Governor's proposals  .  In January, the Governor proposed in his  
          2013-14 budget shifting the coordination and administration of  
          all adult education programs to the CCC.  The K-12 adult  
          education program would be eliminated, but CCC could contract  
          with school districts to provide instruction.  Due to concerns  
          about the timing and structure of the proposal, the Governor's  
          may revision of the budget withdrew the proposal and instead  
          maintains the current system for two years while allocating $30  
          million for planning grants awarded to regional consortia  
          comprised of K-12 and CCC districts for the purpose of creating  
          plans to integrate existing programs and determine how best to  
          serve adult students within regions throughout the state.  The  
          budget adopted by the Legislature reduced the planning grants to  
          $25 million and adopted trailer bill language in AB 86 (Budget  
          Committee), which is pending on the Governor's desk.   

          The trailer bill establishes the Adult Education Consortium  
          Program with the following features:

          1)Eligibility is limited to consortiums consisting of at least  
            one community college district and at least one school  
            district within the boundaries of a community college  
            district.  Consortia may include other entities providing  
            adult education courses, such as correctional facilities,  
            other local public entities and community-based organizations.

          2)Planning grants must be used to create and implement a plan to  
            better provide adults in its region with all of the following:

             a)   Elementary and secondary basic skills, including classes  
               requires for a high school diploma or high school  
               equivalency certificate.
             b)   Classes and courses for immigrants eligible for  
               educational services in citizenship and English as a second  








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               language, and workforce preparation classes in basic  
               skills.
             c)   Education programs for adults with disabilities.
             d)   Short-term career technical education program with high  
               employment potential.
             e)   Programs for apprentices.

          3)The regional consortium plan shall include an evaluation of  
            existing levels and types of adult education programs in the  
            region, current needs, how the parties that make up the  
            consortium will integrate their programs to create seamless  
            transitions into postsecondary education or the workforce,  
            plans to address gaps identified in the current offerings and  
            needs, plans to employ approaches to accelerate a student's  
            programs toward his or her academic or career goals, plans to  
            collaborate in the provision of ongoing professional  
            development opportunities, and plans to leverage existing  
            regional structures, including local workforce investment  
            areas.  

          The chancellor and the CDE shall submit a joint status report by  
          March 1, 2014 and a final report by March 1, 2015.  The intent  
          of the Governor is to provide some level of additional funding  
          ($500 million has been proposed) to provide adult education  
          services through the regional consortia beginning in 2015-16.   
          The courses allowed to be provided through the consortia are  
          consistent with the intent of this bill.  School districts and  
          CCC can continue to offer their existing adult education  
          programs separate from the regional consortia.  Because  
                     categorical funds are eliminated through the Local Control  
          Funding Formula, school districts choosing to continue their  
          adult education programs would do so using their base funds.   
          CCC may continue to earn revenue limit funding.  However, under  
          this bill, the CCC and school districts may not offer the four  
          courses eliminated by this bill.  In order to give districts  
          time to plan and to better coordinate with the Consortium  
          Program, staff recommends delaying the elimination of the four  
          courses by two years. 

           Technical amendment  :  The provisions relating to assessments and  
          performance accountability in Section 1 of the bill were  
          incorporated in the section of the Education Code establishing  
          the CDE and specifying the duties of the CDE.  Staff recommends  
          moving these provisions to the adult education sections of the  
          law.  








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           Arguments in support  .  The California Council for Adult  
          Education and the California Adult Education Administrators  
          Association state, "Over a hundred and fifty years after its  
          founding and after years of financial distress, adult education  
          needs reforming - a notion that has been echoed by the  
          California Department of Education's Strategic Plan, Legislative  
          Analyst's Office and now the Governor.  Importantly, the LAO and  
          CDE do not call for dismantling adult education.  On the  
          contrary, both entities acknowledge the important and valuable  
          programs that K-12 based adult education provides to its  
          students and the broader community."

           Arguments in opposition  .  The California Federation of Teachers  
          (CFT) states, "CFT understands your goal is to strengthen adult  
          education as the state emerges from the past few years of budget  
          cuts, which in combination with categorical flexibility,  
          resulted in the decimation of adult education offerings by too  
          many K-12 school districts.  This is a goal we share.  Two  
          sections of [the] bill - those dealing with collaboration  
          between the community college and K-12 systems on performance  
          assessments and reciprocal instructor qualifications - create  
          opportunities for greater coordination and efficiency between  
          segments?Unfortunately, the remaining provisions in SB 173 will  
          decrease access for adult learners in California."  CFT, along  
          with a number of other groups, have an "oppose unless amended"  
          position.  The requested amendments restore the elimination of  
          the four courses and eliminate the performance accountability  
          provision.  

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          Association of California School Administrators
          California Adult Education Administrators Association
          California Council for Adult Education
           
            Opposition 

           Association of Continuing and Community Education
          California Community College League of California
          California Federation of Teachers 
          Faculty Association of California Community Colleges
          San Diego Community College District 








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          Los Rios Community College District 
          San Francisco Advisory Council to Aging and Adult Services
          South Orange County Community College District
          Yosemite Community College District 
          Many individuals

           Analysis Prepared by  :    Sophia Kwong Kim / ED. / (916) 319-2087