Amended in Senate April 29, 2014

Amended in Senate March 26, 2014

Senate Bill No. 1069

Introduced by Senator Torres

February 18, 2014

An act to amend Section 94923 of the Education Code, relating to private postsecondary education.

LEGISLATIVE COUNSEL’S DIGEST

SB 1069, as amended, Torres. Student Tuition Recovery Fund: claims.

Existing law, the California Private Postsecondary Education Act of 2009, which is repealed on January 1, 2015, provides begin insert for end insert , among other things, begin delete for end delete student protections and regulatory oversight of private postsecondary institutions in the state. The act is enforced by the Bureau for Private Postsecondary Education in the Department of Consumer Affairs. The act requires the bureau to adopt regulations governing the administration and maintenance of the Student Tuition Recovery Fund, including requirements relating to assessments on students and student claims against the Student Tuition Recovery Fund, a continuously appropriated fund.

This bill would provide that a student who begin delete utilizes end delete begin insert uses end insert a Cal Grant or a Pell Grant to pay tuition at a qualifying institution is not thereby made ineligible to apply for payment from the Student Tuition Recovery Fund. begin insert The bill would also provide that, when end insert begin insert the application of a student who uses a Cal Grant to pay tuition at a qualifying institution for payment from the Student Tuition Recovery Fund is granted, the bureau shall pay that amount to the Student Aid Commission. end insert

This bill would become operative only if an act that becomes operative on or before January 1, 2015, delays or eliminates the January 1, 2015, repeal date of the California Private Postsecondary Education Act of 2009.

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

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

SECTION 1.  

Section 94923 of the Education Code is amended
to read:

94923.  

(a) The bureau shall, by January 1, 2011, adopt by
regulation procedures governing the administration and
maintenance of the Student Tuition Recovery Fund, including
requirements relating to assessments on students and student claims
against the Student Tuition Recovery Fund.

(b) A student who begin delete utilizes end delete begin insert uses end insert a Cal Grant, Pell Grant, or both,
to pay tuition at a qualifying institution is not thereby made
ineligible to apply for payment from the Student Tuition Recovery
Fund.

begin insert

(c) When the application of a student who uses a Cal Grant to
pay tuition at a qualifying institution for payment from the Student
Tuition Recovery Fund is granted, the bureau shall pay that amount
to the Student Aid Commission.

end insert

SEC. 2.  

This act shall become operative only if an act that
becomes operative on or before January 1, 2015, amends or repeals
Section 94950 of the Education Code to delay or eliminate the
January 1, 2015, repeal date of the California Private Postsecondary
Education Act of 2009 (Chapter 8 (commencing with Section
94800) of Part 59 of Division 10 of Title 3 of the Education Code).