BILL ANALYSIS �
SB 1022
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Date of Hearing: June 24, 2014
ASSEMBLY COMMITTEE ON HIGHER EDUCATION
Das Williams, Chair
SB 1022 (Huff) - As Amended: June 16, 2014
SENATE VOTE : 36-0
SUBJECT : Public postsecondary education: labor market outcome
information.
SUMMARY : Requires the California State University (CSU) and
requests the University of California (UC) to provide publicly
graduate salary data. Specifically, this bill :
1)Expresses Legislative intent that the impact of public
postsecondary education on the employment and earnings of
students be made publicly available to students and families
consistently across the segments.
2)Requires the CSU and requests the UC to publicly provide labor
market prematriculation and outcome information relating to
graduates. Data shall include salary data and the percentage
distribution of graduates, classified by industry from, among
other potential sources, the Employment Development Department
(EDD).
3)Requires the data to:
a) Be presented in terms of easily understood labor market
measures, such as median annual wage;
b) Be aggregated to the system wide level and by particular
areas of study;
c) Be sorted by category that, at a minimum, provides data
six years prior to graduation, and one or two years, and
five years, after their graduation and encourages CSU and
UC to additionally provide data for periods longer than
five years after graduation;
d) Adhere to all state and federal privacy laws, in
collection and publication of data.
4)Requires the information to be made publicly available on the
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segment internet websites and updated no later than June 1 of
each year.
EXISTING LAW Requires EDD to permit the use of information for
the purposes of, among other allowances, enabling the Chancellor
of the California Community Colleges (CCC), the State Department
of Education, CSU and UC to obtain quarterly wage data on
students to:
1)Assess the impact of education on employment and earnings of
students;
2)Conduct annual evaluations of district-level, individual
college or system performance in achieving priority
educational outcomes; and
3)Submit required reports to the Legislature and Governor.
Existing law also requires that the information from EDD be
provided to the extent permitted by federal statutes and
regulations.
FISCAL EFFECT : According to the Senate Appropriations
Committee: one-time costs of up to $100,000 for CSU to collect
and publish data by June 1, 2016, and annual minor workload
increases thereafter; minor ongoing workload increase for UC;
and, potential workload to amend existing contracts between EDD
and UC/CSU that would be minor and absorbable to EDD.
COMMENTS : CCC Salary Surfer . In 2013, the CCC Chancellor's
Office began making available to students and families
comparative information about the earnings of recent graduates
who received an award in a specific program area at CCCs. To
accomplish this, community college student records from the
Chancellor's Office Management Information system are joined
with California Employment Development Department wage records.
The Salary Surfer uses the aggregated earnings of graduates from
a five year period to provide an estimate on the potential wages
to be earned two years and five years after receiving a
certificate or degree in certain disciplines. The information
is displayed on a searchable website hosted by the CCC
Chancellor's Office.
Purpose of this bill . According to the author, giving students
a picture of college graduate salary earnings and industry
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placement will allow students to make thoughtful, data-driven
decisions about where and what they want to study. Current law
authorizes public higher education institutions to access this
data, but does not require CSU and UC to provide students with
outcome information. As a result, students are not able to take
market data into consideration when selecting an area of study.
This bill will require CSU and request UC to provide salary and
employer industry data of student graduates.
What about private institutions ? Private institutions, most of
whom receive public funding through participation in student aid
programs, are not covered by the provisions of this bill.
However, existing law does appear to provide the Bureau for
Private Postsecondary Education (Bureau) authority to obtain
some wage data from EDD for purposes of ensuring compliance with
existing laws governing private postsecondary education.
Institutions regulated by the Bureau are currently required to
provide self-reported employment and wage data of graduates.
The Bureau posts this institutional student outcome information
on the Bureau website; however, Committee staff understands that
the Bureau does not currently verify the data - this raises
questions regarding the reliability of reported data. Moving
forward, the author and committee may wish to consider whether
it would be appropriate to expand these disclosure requirements,
and the EDD data match, to include graduates of independent and
for-profit institutions.
REGISTERED SUPPORT / OPPOSITION :
Support
Associated Students, Incorporated; California State University
Long Beach
California Edge Coalition
California State Student Association
California State University
Campaign for College Opportunity
Coalition for Humane Immigrant Rights of Los Angeles
La Verne Chamber of Commerce
Los Angeles Area Chamber of Commerce
Los Angeles County Economic Development Corporation
North Bay Leadership Council
Orange County Business Council
Regional Economic Association Leaders Coalition
San Jose/Silicon Valley Chamber of Commerce
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San Jose State University Lobby Corps
Silicon Valley Leadership Group
SIA Tech
Southern California College Access Network
Opposition
None on file.
Analysis Prepared by : Laura Metune / HIGHER ED. / (916)
319-3960