BILL ANALYSIS �
-----------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 1028|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
-----------------------------------------------------------------
UNFINISHED BUSINESS
Bill No: SB 1028
Author: Jackson (D), et al.
Amended: 8/22/14
Vote: 21
SENATE EDUCATION COMMITTEE : 8-1, 4/30/14
AYES: Liu, Wyland, Block, Correa, Galgiani, Hancock, Hueso,
Monning
NOES: Huff
SENATE APPROPRIATIONS COMMITTEE : 5-2, 5/23/14
AYES: De Le�n, Hill, Lara, Padilla, Steinberg
NOES: Walters, Gaines
SENATE FLOOR : 28-9, 5/28/14
AYES: Beall, Berryhill, Block, Cannella, Corbett, Correa, De
Le�n, DeSaulnier, Evans, Galgiani, Hancock, Hernandez, Hill,
Hueso, Jackson, Lara, Leno, Lieu, Liu, Mitchell, Monning,
Padilla, Pavley, Roth, Steinberg, Torres, Wolk, Wyland
NOES: Anderson, Fuller, Gaines, Huff, Knight, Morrell, Nielsen,
Vidak, Walters
NO VOTE RECORDED: Calderon, Wright, Yee
ASSEMBLY FLOOR : Not available
SUBJECT : Cal Grant C awards
SOURCE : Author
DIGEST : This bill requires the California Student Aid
CONTINUED
SB 1028
Page
2
Commission (CSAC), in selecting students to receive a Cal Grant
C award, to give special consideration to students who meet
specified criteria, including the employment status of the
applicant, giving greater weight to the long term unemployed;
requires a Cal Grant C award to be utilized only for
occupational or technical training in a course of not less than
four months, as specified; and establishes new criteria and
processes for identifying areas of occupational and workforce
training which qualify for the awards.
Assembly Amendments (1) requires the Director of the Employment
Development Department, to the extent permitted by federal law
and regulations, provide the CSAC with wage information in order
to verify the employment status of an individual applying for a
Cal Grant C award as specified; and (2) add double-jointing
language to avoid chaptering out issues with SB 1141(Hancock)
and AB 1792 (Gomez).
ANALYSIS : Existing law authorizes the Cal Grant Program,
administered by the CSAC, to provide grants to financially needy
students to attend college. The Program consists of the Cal
Grant A, Cal Grant B, and Cal Grant C programs, and eligibility
is based upon financial need, grade point average, California
residency, and other eligibility criteria, as specified.
Cal Grant C awards assist with tuition and training costs at
occupational or vocational programs and may be used for
institutional fees, charges, and other costs, including tuition,
plus training-related costs, such as special clothing, local
transportation, required tools, equipment, supplies, and books.
Existing law establishes the total number of Cal Grant C awards
as the number awarded in the 2000-01 fiscal year (7,761) with
the maximum award amount and the total amount of funding being
determined in the annual Budget Act.
Existing law requires the CSAC to consult with appropriate state
and federal agencies to develop areas of occupational and
technical training for which students may utilize Cal Grant C
awards. The CSAC, if necessary, may also consult with
nongovernmental stakeholders that develop or provide workforce
training or employ graduates of occupational and technical
training programs for this purpose. These areas of occupational
and technical training are required to be regularly reviewed and
updated at least every five years, beginning in 2012.
CONTINUED
SB 1028
Page
3
The CSAC is also required to undertake various activities to
support the granting of priority to certain Cal Grant C
applicants. Specifically, the CSAC is required to:
1. Give priority in granting Cal Grant C awards to students
pursuing occupational or technical training in areas that
meet at least two of the following criteria: high employment
need, high employment salary or wage projections, and high
employment growth. The CSAC is required to determine areas
of occupational or technical training that meet these
criteria in consultation with the Employment Development
Department (EDD) using projections available through the
Labor Market Information Data Library.
2. Publish, and retain, on its Internet Web site a current list
of the areas of occupational or technical training that meet
these criteria and to update this list as necessary.
3. Examine the graduation rates and job placement data of
eligible programs, and commencing with the 2014-15 academic
year, to give priority to Cal Grant C applicants seeking to
enroll in programs that rate high in graduation rates and job
placement data.
Existing law requires the Legislative Analyst's Office (LAO) to
submit a report to the Legislature on the outcomes of the Cal
Grant C program on or before April 1, 2015, and on or before
April 1 of each odd-numbered year thereafter, as specified.
This bill:
1.Requires special consideration be given to the social and
economic situations of students applying for Cal Grant C
awards, giving additional weight to disadvantaged applicants,
applicants who face economic hardship, and applicants who face
particular barriers to employment, with criteria including all
of the following:
A. Family income and household size;
B. Student or parent's household status, including whether
the student is a single parent or the child of a single
parent; and
CONTINUED
SB 1028
Page
4
C. The employment status of the applicant and whether the
applicant is unemployed, giving greater weight to the
long-term unemployed.
1.Provides that Cal Grant C awards may be used for, in
additional to training and equipment costs, living expenses.
2.Requires the CSAC to, when identifying areas of training where
Cal Grant C awards may be used, consult with the Economic and
Workforce Development Division of the California Community
Colleges Chancellor's Office (CCC EWD), the California
Workforce Investment Board (CWIB), and to the extent feasible,
representatives of leading competitive and emerging industry
clusters, workforce professionals, and career technical
educators to determine which occupational training programs
and industry clusters should be prioritized.
3.Requires areas of occupational and technical training to be
updated by
January 1, 2016.
4.Clarifies the job quality criteria for Cal Grant C award
prioritization to include jobs that are a part of a
well-articulated career pathway to a job providing economic
security, among other clarifying changes; and requires
programs to meet, at least, either the aforementioned criteria
or high salary and wage projection criteria.
5.Requires the CSAC to consult with EDD, CCC EWD, and CWIB 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.
6.Requires the CSAC using the best available data to examine the
graduation rates and job placement data, or salary data, of
eligible programs. Commencing with the 2014-15 academic year,
the CSAC shall give priority to Cal Grant C award applicants
seeking to enroll in programs that rate high in graduation
rates and job placement data, or salary data.
7.Provides, to the extent permitted by federal law and
regulations, the CSAC with wage information in order to verify
CONTINUED
SB 1028
Page
5
the employment status of an individual applying for a Cal
Grant C award as specified.
8.Adds double-jointing language to avoid chaptering out issues
with
SB 1141(Hancock) and AB 1792 (Gomez).
Prior legislation . SB 451 (Price, Chapter 627, Statutes of
2011) required the CSAC to prioritize Cal Grant C awards to
students pursuing study in areas of high employment need, high
salary or wage protection, or high growth, and established
related authority and requirements for identifying these areas
of employment. The bill also required CSAC to examine
graduation rates and job placement data of eligible programs
and, commencing in 2014-15, to give priority to Cal Grant C
applicants seeking enrollment in programs rating highly in these
factors. The bill also requires the LAO report to the
Legislature to contain specified information.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
According to the Senate Appropriations Committee:
Administration: Potentially significant costs to the CSAC to
coordinate with specified state, local, and private entities
to identify priority occupational areas, and to make
application scoring changes. The bulk of the costs would be
for an additional Associate Governmental Programs Analyst, at
a cost of approximately $80,000, to act as the lead for
implementing these provisions.
Program publicity: Potentially significant costs to develop
and implement a plan to publicize the Cal Grant Program to
California's long-term unemployed.
SUPPORT : (Verified 8/26/14)
Board of Governors, California Community Colleges
California Hospital Association
California Labor Federation
California Manufacturers & Technology Association
EDGE Coalition
Institute for College Access and Success
CONTINUED
SB 1028
Page
6
Jewish Vocational Service of San Francisco
Santa Barbara Chamber of Commerce
SEIU
ARGUMENTS IN SUPPORT : According to the author's office,
California has one of the highest long term unemployment rates
in the country. In February 2014, the author reports that 39%
of the 1.6 million unemployed had been so for six months or
longer. Time out of work results in skills erosion making it
harder for workers to go back to work. In addition, this bill
requires that the CSAC utilize information already developed by
other governmental agencies to help determine priority sectors
and occupations based on growth trends and job quality.
PQ:k 8/26/14 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
**** END ****
CONTINUED