BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                            Senator Kevin de Le�n, Chair


          SB 1196 (Liu) - Public Postsecondary Education: State Goals
          
          Amended: May 7, 2014            Policy Vote: Education 9-0
          Urgency: No                     Mandate: No
          Hearing Date: May 23, 2014      Consultant: Jacqueline  
          Wong-Hernandez
          
          SUSPENSE FILE.
          
          
          Bill Summary: SB 1196 establishes a process for setting specific  
          educational attainment goals for the state's postsecondary  
          education segments and requires that these goals guide the  
          development of 5-year plans by the California Community Colleges  
          (CCC), the California State University (CSU), and the University  
          of California (UC) for making progress toward the state's goals  
          to; improve access, equity and success, better align with  
          workforce and economic needs, and use resources effectively and  
          efficiently while maintaining quality .

          Fiscal Impact: 
              Work group: Potentially significant costs to the Governor's  
              designee, to consult with private industry and policy  
              research entities to establish state goals, and to convene  
              the required work group. 
              UC: Approximately $800,000 in costs to participate in the  
              intensive work group, to develop a 5-year plan, collaborate  
              with the other segments, establish a process at the campus  
              and regional levels for achieving goals, and annually report  
              on progress toward attaining the goals.
              CSU: Significant costs, likely in the hundreds of thousands  
              of dollars, to conduct similar work to UC.
              CCC: Significant costs, potentially in the hundreds of  
              thousands of dollars, but costs would depend on the extent  
              to which the work would be duplicative of work already  
              completed by the Student Success Task Force.

          Background: Existing law outlines the following goals for  
          guiding budget and policy decisions in higher education:

                 Improved student success, to include, but not be limited  
               to, greater participation by demographic groups that have  








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               participated at lower rates, greater completion by all  
               students and improved outcomes for graduates.
              
                 Better alignment of degrees and credentials awarded with  
               the state's economic, workforce and civic needs.

                 Effective and efficient use of resources in order to  
               increase high-quality postsecondary educational outcomes  
               and maintain affordability.  (Education Code � 66010.91)

          Existing law also declares the Legislature's intent that  
          appropriate metrics be identified, defined, and formally adopted  
          to monitor progress toward the achievement of the state's goals.  
          In addition, current law declares the intent that the metrics be  
          used to ensure the effective and efficient use of state  
          resources available to postsecondary education, and that  
          progress on the adopted metrics be reported and considered as  
          part of the state's annual budget process. (EC 66010.93) 

          Proposed Law: SB 1196 establishes a process for setting specific  
          educational attainment goals for California's postsecondary  
          education segments. This bill requires the Governor, or his  
          designee, to consult with private industry, policy research  
          entities, and any other entity the Governor deems appropriate,  
          to identify and establish specific educational attainment goals  
          for the state and a target date for their achievement.
               
          This bill declares the Legislature's intent that the attainment  
          goals: a) be challenging and quantifiable; b) address  
          achievement gaps for underrepresented populations; c) increase  
          and align the educational level of California's adult population  
          to address the state's economic and workforce needs; d) be  
          guided by the statewide goals currently in statute; and, e)  
          guide the content of the plans to be developed by the segments  
          for meeting those goals.

          This bill requires the CSU Trustees, the CCC Board of Governors,  
          and the UC Regents to each develop and adopt a 5-year plan for  
          making progress toward meeting the statewide goals. It also  
          requires a designee of the Governor to convene a technical  
          working group, with specified responsibilities, to advise in the  
          development of the plan. 

          The plans must include, but not be limited to, specific  








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          objectives for meeting the state's attainment goals and their  
          progress in each of the performance measures established for  
          their respective segments. Each of the segments, in developing  
          their plans, must: 1) establish a process for setting attainment  
          goals and performance targets at a regional and campus level;  
          and, 2) collaborate to establish attainment goals and  
          performance targets based upon both statewide and regional  
          needs.  

          Related Legislation: SB 721 (Lowenthal) 2011 would have  
          established specified goals to guide budget and policy decisions  
          regarding postsecondary education and required the Legislative  
          Analyst's Office (LAO) to convene a working group to develop  
          metrics to measure progress in meeting the goals. It also  
          required the LAO to annually and publicly report statewide  
          performance on each of the measures adopted by the Legislature,  
          as part of the budget process. That bill was vetoed by Governor  
          Brown, with the following message:

             This bill sets three goals for our colleges and postsecondary  
             institutions and orders the Legislative Analyst to create a  
             committee to establish metrics that measure progress towards  
             these goals. The bill also requires annual reports.

             Questions about who should measure, what to measure and how  
             to measure what is learned in college are way too important  
             to be delegated to the Legislative Analyst.
          
          Staff Comments: This bill will result in significant costs to  
          each of the segments to implement the required process for  
          setting specific segment goals within the state's established  
          postsecondary goals, as well as to develop 5-year plans to  
          achieve those goals. The most substantial costs, however, will  
          likely be incurred by the activities required to carry out the  
          plans and meet the identified goals.

          This bill declares the Legislature's intent that the attainment  
          goals, among other things, be challenging and quantifiable,  
          address achievement gaps for underrepresented populations, and  
          increase and align the educational level of California's adult  
          population to address the state's economic and workforce needs.  
          This bill's requirement of a plan to create and meet the goals,  
          and to annually report on progress toward that end will likely  
          drive substantial new costs to each of the segments to carry out  








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          the tasks necessary to do so.