Bill Text: CA AB640 | 2013-2014 | Regular Session | Amended
Bill Title: Cal Grant Program: renewal awards.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Engrossed - Dead) 2014-08-14 - In committee: Held under submission. [AB640 Detail]
Download: California-2013-AB640-Amended.html
BILL NUMBER: AB 640 AMENDED
BILL TEXT
AMENDED IN SENATE JULY 2, 2014
AMENDED IN SENATE JUNE 19, 2014
AMENDED IN SENATE AUGUST 28, 2013
AMENDED IN SENATE AUGUST 27, 2013
AMENDED IN SENATE JULY 3, 2013
AMENDED IN SENATE JUNE 20, 2013
AMENDED IN ASSEMBLY MARCH 19, 2013
INTRODUCED BY Assembly Member Hall
( Coauthor: Senator Galgiani
)
FEBRUARY 20, 2013
An act to amend Section 69432.7 of the Education Code, relating to
student financial aid.
LEGISLATIVE COUNSEL'S DIGEST
AB 640, as amended, Hall. Cal Grant Program: renewal awards.
The Cal Grant Program establishes the Cal Grant A and B
Entitlement awards, the California Community College Transfer
Entitlement awards, the Competitive Cal Grant A and B awards, the Cal
Grant C awards, and the Cal Grant T awards under the administration
of the Student Aid Commission, and establishes eligibility
requirements for awards under these programs for participating
students attending qualifying institutions.
Existing law requires the commission to certify by October 1 of
each year a qualifying institution's latest 3-year cohort default
rate and graduation rate as most recently reported by the United
States Department of Education. Existing law provides that, for
purposes of the 2012-13 academic year, and every academic year
thereafter, an otherwise qualifying institution with a 3-year cohort
default rate that is equal to or greater than 15.5% is ineligible for
initial and renewal Cal Grant awards at the institution. Existing
law provides that an otherwise qualifying institution is ineligible
for an initial or renewal Cal Grant award at the institution if the
institution has a graduation rate of 30% or less for students taking
150% or less of the expected time to complete degree requirements, as
specified, with certain exceptions.
This bill would require the commission to establish an appeal
process for an otherwise qualifying institution that fails to satisfy
the 3-year cohort default rate and graduation rate requirements, and
would make nonsubstantive and conforming changes.
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 69432.7 of the
Education Code is amended to read:
69432.7. As used in this chapter, the following terms have the
following meanings:
(a) An "academic year" is July 1 to June 30, inclusive. The
starting date of a session shall determine the academic year in which
it is included.
(b) "Access costs" means living expenses and expenses for
transportation, supplies, and books.
(c) "Award year" means one academic year, or the equivalent, of
attendance at a qualifying institution.
(d) "College grade point average" and "community college grade
point average" mean a grade point average calculated on the basis of
all college work completed, except for nontransferable units and
courses not counted in the computation for admission to a California
public institution of higher education that grants a baccalaureate
degree.
(e) "Commission" means the Student Aid Commission.
(f) "Enrollment status" means part- or full-time status.
(1) "Part time," for purposes of Cal Grant eligibility, means 6 to
11 semester units, inclusive, or the equivalent.
(2) "Full time," for purposes of Cal Grant eligibility, means 12
or more semester units or the equivalent.
(g) "Expected family contribution," with respect to an applicant,
shall be determined using the federal methodology pursuant to
subdivision (a) of Section 69506 (as established by Title IV of the
federal Higher Education Act of 1965, as amended (20 U.S.C. Sec. 1070
et seq.)) and applicable rules and regulations adopted by the
commission.
(h) "High school grade point average" means a grade point average
calculated on a 4.0 scale, using all academic coursework, for the
sophomore year, the summer following the sophomore year, the junior
year, and the summer following the junior year, excluding physical
education, reserve officer training corps
Reserve Officer Training Corps (ROTC), and remedial courses,
and computed pursuant to regulations of the commission. However, for
high school graduates who apply after their senior year, "high school
grade point average" includes senior year coursework.
(i) "Instructional program of not less than one academic year"
means a program of study that results in the award of an associate or
baccalaureate degree or certificate requiring at least 24 semester
units or the equivalent, or that results in eligibility for transfer
from a community college to a baccalaureate degree program.
(j) "Instructional program of not less than two academic years"
means a program of study that results in the award of an associate or
baccalaureate degree requiring at least 48 semester units or the
equivalent, or that results in eligibility for transfer from a
community college to a baccalaureate degree program.
(k) "Maximum household income and asset levels" means the
applicable household income and household asset levels for
participants, including new applicants and renewing recipients, in
the Cal Grant Program, as defined and adopted in regulations by the
commission for the 2001-02 academic year, which shall be set pursuant
to the following income and asset ceiling amounts:
CAL GRANT PROGRAM INCOME CEILINGS
+--------------------+--------------+--------------+
| Cal Grant |
| A, |
| C, and T Cal Grant B |
+--------------------+--------------+--------------+
|Dependent and Independent students with |
|dependents* |
+--------------------+--------------+--------------+
|Family Size |
+--------------------+--------------+--------------+
| Six or more $74,100 $40,700 |
+--------------------+--------------+--------------+
| Five $68,700 $37,700 |
+--------------------+--------------+--------------+
| Four $64,100 $33,700 |
+--------------------+--------------+--------------+
| Three $59,000 $30,300 |
+--------------------+--------------+--------------+
| Two $57,600 $26,900 |
+--------------------+--------------+--------------+
|Independent |
+--------------------+--------------+--------------+
| Single, no $23,500 $23,500 |
|dependents |
+--------------------+--------------+--------------+
| Married $26,900 $26,900 |
+--------------------+--------------+--------------+
*Applies to independent students with dependents other than a
spouse.
CAL GRANT PROGRAM ASSET CEILINGS
+----------------------+-------------+-------------+
| Cal Grant |
| A, |
| C, and T Cal Grant B |
+----------------------+-------------+-------------+
|Dependent** $49,600 $49,600 |
+----------------------+-------------+-------------+
|Independent $23,600 $23,600 |
+----------------------+-------------+-------------+
**Applies to independent students with dependents other than a
spouse.
The commission shall annually adjust the maximum household income
and asset levels based on the percentage change in the cost of living
within the meaning of paragraph (1) of subdivision (e) of Section 8
of Article XIII B of the California Constitution. The maximum
household income and asset levels applicable to a renewing recipient
shall be the greater of the adjusted maximum household income and
asset levels or the maximum household income and asset levels at the
time of the renewing recipient's initial Cal Grant award. For a
recipient who was initially awarded a Cal Grant for an academic year
before the 2011-12 academic year, the maximum household income and
asset levels shall be the greater of the adjusted maximum household
income and asset levels or the 2010-11 academic year maximum
household income and asset levels. An applicant or renewal recipient
who qualifies to be considered under the simplified needs test
established by federal law for student assistance shall be presumed
to meet the asset level test under this section. Prior to disbursing
any Cal Grant funds, a qualifying institution shall be obligated,
under the terms of its institutional participation agreement with the
commission, to resolve any conflicts that may exist in the data the
institution possesses relating to that individual.
( l ) (1) "Qualifying institution" means an institution
that complies with paragraphs (2) and (3) and is any of the
following:
(A) A California private or independent postsecondary educational
institution that participates in the federal Pell Grant
Program and in at least two of the following federal campus-based
student aid programs:
(i) Federal Work-Study Program .
(ii) Federal Perkins Loan Program.
(iii) Federal Supplemental Educational Opportunity
Grant Program.
(B) A nonprofit institution headquartered and operating in
California that certifies to the commission that 10 percent of the
institution's operating budget, as demonstrated in an audited
financial statement, is expended for purposes of institutionally
funded student financial aid in the form of grants, that demonstrates
to the commission that it has the administrative capacity to
administer the funds, that is accredited by the Western Association
of Schools and Colleges, and that meets any other state-required
criteria adopted by regulation by the commission in consultation with
the Department of Finance. A regionally accredited institution that
was deemed qualified by the commission to participate in the Cal
Grant Program for the 2000-01 academic year shall retain its
eligibility as long as it maintains its existing accreditation
status.
(C) A California public postsecondary educational institution.
(2) (A) The institution shall provide information on where to
access California license examination passage rates for the most
recent available year from graduates of its undergraduate programs
leading to employment for which passage of a California licensing
examination is required, if that data is electronically available
through the Internet Web site of a California licensing or regulatory
agency. For purposes of this paragraph, "provide" may exclusively
include placement of an Internet Web site address labeled as an
access point for the data on the passage rates of recent program
graduates on the Internet Web site where enrollment information is
also located, on an Internet Web site that provides centralized
admissions information for postsecondary educational systems with
multiple campuses, or on applications for enrollment or other program
information distributed to prospective students.
(B) The institution shall be responsible for certifying to the
commission compliance with the requirements of subparagraph (A).
(3) (A) The commission shall certify by October 1 of each year the
institution's latest three-year cohort default rate and graduation
rate as most recently reported by the United States Department of
Education.
(B) For purposes of the 2011-12 academic year, an otherwise
qualifying institution with a three-year cohort default rate reported
by the United States Department of Education that is equal to or
greater than 24.6 percent shall be ineligible for initial and renewal
Cal Grant awards at the institution, except as provided in
subparagraph (F). institution.
(C) For purposes of the 2012-13 academic year, and every academic
year thereafter, an otherwise qualifying institution with a
three-year cohort default rate that is equal to or greater than 15.5
percent, as certified by the commission on October 1, 2011, and every
year thereafter, shall be ineligible for initial and renewal Cal
Grant awards at the institution, except as provided in
subparagraph (F). institution.
(D) (i) An otherwise qualifying institution that becomes
ineligible under this paragraph for initial and renewal Cal Grant
awards shall regain its eligibility for the academic year for which
it satisfies the requirements established in subparagraph (B), (C),
or (G), (F), as applicable.
(ii) If the United States Department of Education corrects or
revises an institution's three-year cohort default rate or graduation
rate that originally failed to satisfy the requirements established
in subparagraph (B), (C), or (G), (F),
as applicable, and the correction or revision results in the
institution's three-year cohort default rate or graduation rate
satisfying those requirements, that institution shall immediately
regain its eligibility for the academic year to which the corrected
or revised three-year cohort default rate or graduation rate would
have been applied.
(E) An otherwise qualifying institution for which no three-year
cohort default rate or graduation rate has been reported by the
United States Department of Education shall be provisionally eligible
to participate in the Cal Grant Program until a three-year cohort
default rate or graduation rate has been reported for the institution
by the United States Department of Education.
(F) (i) An institution that is ineligible for initial and renewal
Cal Grant awards at the institution under subparagraph (B), (C), or
(G) shall be eligible for renewal Cal Grant awards for recipients who
were enrolled in the ineligible institution during the academic year
before the academic year for which the institution is ineligible and
who choose to renew their Cal Grant awards to attend the ineligible
institution. Cal Grant awards subject to this subparagraph shall be
reduced as follows:
(I) The maximum Cal Grant A and B awards specified in the annual
Budget Act shall be reduced by 20 percent.
(II) The reductions specified in this subparagraph shall not
impact access costs as specified in subdivision (b) of Section 69435.
(ii) This subparagraph shall become inoperative on July 1, 2013.
(G)
(F) For purposes of the 2012-13 academic year, and every
academic year thereafter, an otherwise qualifying institution with a
graduation rate of 30 percent or less for students taking 150
percent or less of the expected time to complete degree requirements,
as reported by the United States Department of Education and as
certified by the commission pursuant to subparagraph (A), shall be
ineligible for initial and renewal Cal Grant awards at the
institution, except as provided for in subparagraphs (F) and
(I). subparagraph (H).
(H)
(G) Notwithstanding any other law, the requirements of
this paragraph shall not apply to institutions with 40 percent or
less of undergraduate students borrowing federal student loans, using
information reported to the United States Department of Education
for the academic year two years before the year in which the
commission is certifying the three-year cohort default rate or
graduation rate pursuant to subparagraph (A).
(I)
(H) Notwithstanding subparagraph (G),
(F), an otherwise qualifying institution with a
three-year cohort default rate that is less than 15.5 percent and a
graduation rate above 20 percent for students taking 150 percent or
less of the expected time to complete degree requirements, as
certified by the commission pursuant to subparagraph (A), shall be
eligible for initial and renewal Cal Grant awards at the institution
through the 2016-17 academic year.
(J)
(I) The commission shall do all of the following:
(i) Notify initial Cal Grant recipients seeking to attend, or
attending, an institution that is ineligible for initial and renewal
Cal Grant awards under subparagraph (C) or (G)
(F) that the institution is ineligible for initial Cal
Grant awards for the academic year for which the student received an
initial Cal Grant award.
(ii) Notify renewal Cal Grant recipients attending an institution
that is ineligible for initial and renewal Cal Grant awards at the
institution under subparagraph (C) or (G) (F)
that the student's Cal Grant award will be reduced by 20
percent, or eliminated, as appropriate, if the student attends the
ineligible institution in an academic year in which the institution
is ineligible.
(iii) Provide initial and renewal Cal Grant recipients seeking to
attend, or attending, an institution that is ineligible for initial
and renewal Cal Grant awards at the institution under subparagraph
(C) or (G) (F) with a complete list of
all California postsecondary educational institutions at which the
student would be eligible to receive an unreduced Cal Grant award.
(iv) (I) Establish an appeal process for an otherwise qualifying
institution that fails to satisfy the three-year cohort default rate
and graduation requirements in subparagraphs (C) and (F),
respectively.
(II) In assessing whether to grant an appeal, the commission may
consider cohort size and the likelihood of an otherwise qualifying
institution regaining eligibility in the academic year next following
the institution's loss of eligibility.
(III) It is the intent of the Legislature that the commission
shall define a specific cohort size or range of sizes that constitute
a small cohort for the purposes of the appeals process.
(K)
(J) By January 1, 2013, the Legislative Analyst shall
submit to the Legislature a report on the implementation of this
paragraph. The report shall be prepared in consultation with the
commission, and shall include policy recommendations for appropriate
measures of default risk and other direct or indirect measures of
quality or effectiveness in educational institutions participating in
the Cal Grant Program, and appropriate scores for those measures. It
is the intent of the Legislature that appropriate policy and fiscal
committees review the requirements of this paragraph and consider
changes thereto.
(m) "Satisfactory academic progress" means those criteria required
by applicable federal standards published in Title 34 of the Code of
Federal Regulations. The commission may adopt regulations defining
"satisfactory academic progress" in a manner that is consistent with
those federal standards.
SECTION 1. Section 69432.7 of the Education
Code is amended to read:
69432.7. As used in this chapter, the following terms have the
following meanings:
(a) An "academic year" is July 1 to June 30, inclusive. The
starting date of a session shall determine the academic year in which
it is included.
(b) "Access costs" means living expenses and expenses for
transportation, supplies, and books.
(c) "Award year" means one academic year, or the equivalent, of
attendance at a qualifying institution.
(d) "College grade point average" and "community college grade
point average" mean a grade point average calculated on the basis of
all college work completed, except for nontransferable units and
courses not counted in the computation for admission to a California
public institution of higher education that grants a baccalaureate
degree.
(e) "Commission" means the Student Aid Commission.
(f) "Enrollment status" means part- or full-time status.
(1) "Part time," for purposes of Cal Grant eligibility, means 6 to
11 semester units, inclusive, or the equivalent.
(2) "Full time," for purposes of Cal Grant eligibility, means 12
or more semester units or the equivalent.
(g) "Expected family contribution," with respect to an applicant,
shall be determined using the federal methodology pursuant to
subdivision (a) of Section 69506 (as established by Title IV of the
federal Higher Education Act of 1965, as amended (20 U.S.C. Sec. 1070
et seq.)) and applicable rules and regulations adopted by the
commission.
(h) "High school grade point average" means a grade point average
calculated on a 4.0 scale, using all academic coursework, for the
sophomore year, the summer following the sophomore year, the junior
year, and the summer following the junior year, excluding physical
education, reserve officer training corps (ROTC), and remedial
courses, and computed pursuant to regulations of the commission.
However, for high school graduates who apply after their senior year,
"high school grade point average" includes senior year coursework.
(i) "Instructional program of not less than one academic year"
means a program of study that results in the award of an associate or
baccalaureate degree or certificate requiring at least 24 semester
units or the equivalent, or that results in eligibility for transfer
from a community college to a baccalaureate degree program.
(j) "Instructional program of not less than two academic years"
means a program of study that results in the award of an associate or
baccalaureate degree requiring at least 48 semester units or the
equivalent, or that results in eligibility for transfer from a
community college to a baccalaureate degree program.
(k) "Maximum household income and asset levels" means the
applicable household income and household asset levels for
participants, including new applicants and renewing recipients, in
the Cal Grant Program, as defined and adopted in regulations by the
commission for the 2001-02 academic year, which shall be set pursuant
to the following income and asset ceiling amounts:
CAL GRANT PROGRAM INCOME CEILINGS
+--------------------+--------------+--------------+
| Cal Grant |
| A, |
| C, and T Cal Grant B |
+--------------------+--------------+--------------+
|Dependent and Independent students with |
|dependents* |
+--------------------+--------------+--------------+
|Family Size |
+--------------------+--------------+--------------+
| Six or more $74,100 $40,700 |
+--------------------+--------------+--------------+
| Five $68,700 $37,700 |
+--------------------+--------------+--------------+
| Four $64,100 $33,700 |
+--------------------+--------------+--------------+
| Three $59,000 $30,300 |
+--------------------+--------------+--------------+
| Two $57,600 $26,900 |
+--------------------+--------------+--------------+
|Independent |
+--------------------+--------------+--------------+
| Single, no $23,500 $23,500 |
|dependents |
+--------------------+--------------+--------------+
| Married $26,900 $26,900 |
+--------------------+--------------+--------------+
*Applies to independent students with dependents other than a
spouse.
CAL GRANT PROGRAM ASSET CEILINGS
+----------------------+-------------+-------------+
| Cal Grant |
| A, |
| C, and T Cal Grant B |
+----------------------+-------------+-------------+
|Dependent** $49,600 $49,600 |
+----------------------+-------------+-------------+
|Independent $23,600 $23,600 |
+----------------------+-------------+-------------+
**Applies to independent students with dependents other than a
spouse.
The commission shall annually adjust the maximum household income
and asset levels based on the percentage change in the cost of living
within the meaning of paragraph (1) of subdivision (e) of Section 8
of Article XIII B of the California Constitution. The maximum
household income and asset levels applicable to a renewing recipient
shall be the greater of the adjusted maximum household income and
asset levels or the maximum household income and asset levels at the
time of the renewing recipient's initial Cal Grant award. For a
recipient who was initially awarded a Cal Grant for an academic year
before the 2011-12 academic year, the maximum household income and
asset levels shall be the greater of the adjusted maximum household
income and asset levels or the 2010-11 academic year maximum
household income and asset levels. An applicant or renewal recipient
who qualifies to be considered under the simplified needs test
established by federal law for student assistance shall be presumed
to meet the asset level test under this section. Prior to disbursing
any Cal Grant funds, a qualifying institution shall be obligated,
under the terms of its institutional participation agreement with the
commission, to resolve any conflicts that may exist in the data the
institution possesses relating to that individual.
( l ) (1) "Qualifying institution" means an
institution that complies with paragraphs (2) and (3) and is any of
the following:
(A) A California private or independent postsecondary educational
institution that participates in the federal Pell Grant Program and
in at least two of the following federal campus-based student aid
programs:
(i) Federal Work-Study.
(ii) Perkins Loan Program.
(iii) Federal Supplemental Educational Opportunity Grant Program.
(B) A nonprofit institution headquartered and operating in
California that certifies to the commission that 10 percent of the
institution's operating budget, as demonstrated in an audited
financial statement, is expended for purposes of institutionally
funded student financial aid in the form of grants, that demonstrates
to the commission that it has the administrative capacity to
administer the funds, that is accredited by the Western Association
of Schools and Colleges, and that meets any other state-required
criteria adopted by regulation by the commission in consultation with
the Department of Finance. A regionally accredited institution that
was deemed qualified by the commission to participate in the Cal
Grant Program for the 2000-01 academic year shall retain its
eligibility as long as it maintains its existing accreditation
status.
(C) A California public postsecondary educational institution.
(2) (A) The institution shall provide information on where to
access California license examination passage rates for the most
recent available year from graduates of its undergraduate programs
leading to employment for which passage of a California licensing
examination is required, if that data is electronically available
through the Internet Web site of a California licensing or regulatory
agency. For purposes of this paragraph, "provide" may exclusively
include placement of an Internet Web site address labeled as an
access point for the data on the passage rates of recent program
graduates on the Internet Web site where enrollment information is
also located, on an Internet Web site that provides centralized
admissions information for postsecondary educational systems with
multiple campuses, or on applications for enrollment or other program
information distributed to prospective students.
(B) The institution shall be responsible for certifying to the
commission compliance with the requirements of subparagraph (A).
(3) (A) The commission shall certify by October 1 of each year the
institution's latest three-year cohort default rate and graduation
rate as most recently reported by the United States Department of
Education.
(B) For purposes of the 2011-12 academic year, an otherwise
qualifying institution with a three-year cohort default rate reported
by the United States Department of Education that is equal to or
greater than 24.6 percent
shall be ineligible for initial and renewal Cal Grant awards at the
institution.
(C) For purposes of the 2012-13 academic year, and every academic
year thereafter, an otherwise qualifying institution with a
three-year cohort default rate that is equal to or greater than 15.5
percent, as certified by the commission on October 1, 2011, and every
year thereafter, shall be ineligible for initial and renewal Cal
Grant awards at the institution.
(D) (i) An otherwise qualifying institution that becomes
ineligible under this paragraph for initial and renewal Cal Grant
awards shall regain its eligibility for the academic year for which
it satisfies the requirements established in subparagraph (B), (C),
or (F), as applicable.
(ii) If the United States Department of Education corrects or
revises an institution's three-year cohort default rate or graduation
rate that originally failed to satisfy the requirements established
in subparagraph (B), (C), or (F), as applicable, and the correction
or revision results in the institution's three-year cohort default
rate or graduation rate satisfying those requirements, that
institution shall immediately regain its eligibility for the academic
year to which the corrected or revised three-year cohort default
rate or graduation rate would have been applied.
(E) An otherwise qualifying institution for which no three-year
cohort default rate or graduation rate has been reported by the
United States Department of Education shall be provisionally eligible
to participate in the Cal Grant Program until a three-year cohort
default rate or graduation rate has been reported for the institution
by the United States Department of Education.
(F) For purposes of the 2012-13 academic year, and every academic
year thereafter, an otherwise qualifying institution with a
graduation rate of 30 percent or less for students taking 150 percent
or less of the expected time to complete degree requirements, as
reported by the United States Department of Education and as
certified by the commission pursuant to subparagraph (A), shall be
ineligible for initial and renewal Cal Grant awards at the
institution, except as provided for in subparagraph (H).
(G) Notwithstanding any other law, the requirements of this
paragraph shall not apply to institutions with 40 percent or less of
undergraduate students borrowing federal student loans, using
information reported to the United States Department of Education for
the academic year two years before the year in which the commission
is certifying the three-year cohort default rate or graduation rate
pursuant to subparagraph (A).
(H) Notwithstanding subparagraph (F), an otherwise qualifying
institution with a three-year cohort default rate that is less than
10 percent and a graduation rate above 20 percent for students taking
150 percent or less of the expected time to complete degree
requirements, as certified by the commission pursuant to subparagraph
(A), shall remain eligible for initial and renewal Cal Grant awards
at the institution through the 2016-17 academic year.
(I) The commission shall do all of the following:
(i) Notify initial Cal Grant recipients seeking to attend, or
attending, an institution that is ineligible for initial and renewal
Cal Grant awards under subparagraph (C) or (F) that the institution
is ineligible for initial Cal Grant awards for the academic year for
which the student received an initial Cal Grant award.
(ii) Notify renewal Cal Grant recipients attending an institution
that is ineligible for initial and renewal Cal Grant awards at the
institution under subparagraph (C) or (F) that the student's Cal
Grant award will be reduced by 20 percent, or eliminated, as
appropriate, if the student attends the ineligible institution in an
academic year in which the institution is ineligible.
(iii) Provide initial and renewal Cal Grant recipients seeking to
attend, or attending, an institution that is ineligible for initial
and renewal Cal Grant awards at the institution under subparagraph
(C) or (F) with a complete list of all California postsecondary
educational institutions at which the student would be eligible to
receive an unreduced Cal Grant award.
(iv) (I) Establish an appeal process for an otherwise qualifying
institution that fails to satisfy the three-year cohort default rate
and graduation rate requirements in subparagraphs (C) and (F),
respectively.
(II) In assessing whether to grant an appeal, the commission may
consider cohort size and the likelihood of an otherwise qualifying
institution regaining eligibility in the academic year next following
the institution's loss of eligibility.
(J) By January 1, 2013, the Legislative Analyst shall submit to
the Legislature a report on the implementation of this paragraph. The
report shall be prepared in consultation with the commission, and
shall include policy recommendations for appropriate measures of
default risk and other direct or indirect measures of quality or
effectiveness in educational institutions participating in the Cal
Grant Program, and appropriate scores for those measures. It is the
intent of the Legislature that appropriate policy and fiscal
committees review the requirements of this paragraph and consider
changes thereto.
(m) "Satisfactory academic progress" means those criteria required
by applicable federal standards published in Title 34 of the Code of
Federal Regulations. The commission may adopt regulations defining
"satisfactory academic progress" in a manner that is consistent with
those federal standards.
