BILL ANALYSIS �
SB 1028
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Date of Hearing: August 6, 2014
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
SB 1028 (Jackson) - As Amended: June 26, 2014
Policy Committee: Higher
EducationVote:13-0
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill establishes criteria for consideration of Cal Grant C
awards that emphasize economic hardship and applicants'
employment status. Specifically, this bill:
1)Establishes the following criteria for the California Student
Aid Commission (CSAC) to consider in selecting students for
Cal Grant C awards:
a) Family income and household size.
b) The student's or their parent's household status,
including whether the student is a single parent or child
of a single parent.
c) The applicant's employment status and whether the
applicant is unemployed, giving greater weight to someone
unemployed for more than 26 weeks at the time of their
application.
2)Allows Cal Grant C awards to also be used by the students for
their living expenses, and also allows the commission, in
determining individual award amounts, to also take into
account a student's financial means and their costs of
attendance.
3)Requires CSAC, when identifying priority areas for
occupational and technical training where Cal Grant C awards
may be used, to consult with specified entities and to update
the areas of training by January 1, 2016.
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4)Requires CSAC to consult with the Employment Development
Department (EDD), the Economic and Workforce Development
Division of the California Community Colleges Chancellor's
Office (CCC EWD), and the California Workforce Investment
Board (WIB) to publicize the existence of the Cal Grant C
award program and to make students receiving awards aware of
job search and placement services available through EDD and
local workforce investment boards.
FISCAL EFFECT
General Fund costs to CSAC of around $80,000 for one staff to
oversee program modifications and coordination with EDD, CCC,
and WIB on outreach to targeted cohorts. Costs to the other
entities should be minor and absorbable.
COMMENTS
1)Background . Cal Grant C awards assist with tuition and
training costs for occupational, technical, and vocational
programs at Community Colleges, independent colleges, or
vocational/career schools. Funding is available for up to two
years, and programs must be at least four months long. The
award currently includes up to $547 for books, tools and
equipment, and up to $2,462 for tuition and fees.
In 2012-13, CSAC awarded 9,288 new and 5,876 renewal awards.
According to the CSAC, about 50% of eligible applicants
receive awards. Most of the awards (10,248) went to community
colleges students, with the remainder to students attending
private colleges. CSAC reports that 85% of recipients are
independent students and 64% earned less than $18,000
annually.
Awards are based on supplemental information provided by
applicants, who are scored based on work experience,
educational history, vocational aptitude, and occupational
goal. SB 451 (Price)/ Statutes of 2011, requires CSAC to give
priority to students pursuing occupational or technical
training in areas that meet two of the following three
criteria: high employment need, high employment growth, and
high wage.
2)Purpose . The author notes that there is currently no training
program specifically targeting the long-term unemployed,
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though there are training programs that they may qualify for,
like the Workforce Investment Act dislocated worker program.
That program typically provides access to short term job
training programs, but does so for only a very small fraction
of those who might benefit from the program. SB 1028 bill
differs in that it specifically targets the long-term
unemployed and provides access to longer-term occupational
training, for up to two years, and focuses on growth
industries and occupations, providing skills that are in
demand by employers.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081