Bill Text: CA AB831 | 2015-2016 | Regular Session | Introduced
Bill Title: Student financial aid: Cal Grant Program.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2016-02-01 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB831 Detail]
Download: California-2015-AB831-Introduced.html
BILL NUMBER: AB 831 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Bonilla
FEBRUARY 26, 2015
An act to amend Sections 66021.2 and 69432 of the Education Code,
relating to student financial aid, and declaring the urgency thereof,
to take effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
AB 831, as introduced, Bonilla. Student financial aid: Cal Grant
Program.
Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant
Program, establishes the Cal Grant A and B Entitlement awards, the
California Community College Transfer Cal Grant 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 specifies the amounts of the maximum Cal
Grant A and B awards for students attending private nonprofit
postsecondary educational institutions and private for-profit
postsecondary educational institutions that are regionally
accredited, as specified.
This bill would change, in accordance with a prescribed formula,
the maximum Cal Grant awards for students attending private nonprofit
postsecondary educational institutions, commencing with the 2015-16
award year. The bill would impose requirements on private nonprofit
postsecondary educational institutions to provide specified data to a
specified association as a condition for the funding of Cal Grant
maximum awards to their students, and would require the association
to report on that information to the Legislature, the Governor, the
Department of Finance, and the Legislative Analyst's Office.
The bill would also make conforming changes.
This bill would declare that it is to take effect immediately as
an urgency statute.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) California relies on private nonprofit colleges and
universities accredited by the Western Association of Schools and
Colleges (WASC) to help meet the state's higher education needs.
(b) The maximum award for Cal Grant students attending WASC
accredited private nonprofit colleges and universities has not
increased since its maximum of $9,708 in 1999:
(1) It was cut by almost 15 percent for the 2004-05 and 2005-06
cohorts.
(2) It was cut by 5 percent for new and renewal students for the
2012-13 award year, and by an additional 1.5 percent in the 2013-14
award year. It is scheduled for an additional cut of 11.3 percent in
the 2015-16 award year for new awardees.
(3) If the 2000 Cal Grant maximum award had kept up with the rate
of inflation, the 2014 award level would be $13,346.
(4) The proposed maximum award for the 2015-16 award year will be
the lowest amount California has invested in academically qualified,
low-income students that attend private nonprofit WASC accredited
institutions since the 1997-98 academic year.
(c) The Cal Grant Program effectively and successfully helps
California's private nonprofit colleges and universities to recruit,
retain, and graduate historically underrepresented students from
low-income California families.
(d) Predictable and stable funding formulas and eligibility
requirements ensure that the state maximizes its investment by
allowing families to better plan and pay for higher education, in
addition to incentivizing private nonprofit colleges and universities
to enroll more low-income Californians.
(e) Legislative action is needed to adopt a reasonable and viable
formula that supports predictability and parity for California
students at private nonprofit colleges.
SEC. 2. Section 66021.2 of the Education Code is amended to read:
66021.2. Consistent with the state's historic commitment to
provide educational opportunity by ensuring both student access to
and selection of an institution of higher education for students with
financial need, the long-term policy of the
Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program established
pursuant to Chapter 1.7 (commencing with Section 69430) of Part 42
shall be as follows:
(a) Commencing with the 2001-02 academic year and every year
thereafter, an applicant for a Cal Grant A or B award shall receive
an award that is not in excess of the financial need amount
determined by the Student Aid Commission pursuant to Section 69432.9
if he or she complies with all of the following requirements:
(1) Demonstrates financial need under the criteria adopted
pursuant to Section 69432.9.
(2) Attains a grade point average, as defined in Section 69432.7,
meeting the requirements of Chapter 1.7 (commencing with Section
69430) of Part 42.
(3) Complies with each of the eligibility criteria applicable to
the type of Cal Grant award for which he or she is applying.
(b) (1) The maximum Cal Grant A award for a student attending the
University of California or the California State University shall
equal the mandatory systemwide fees in each of those segments.
(2) The maximum Cal Grant B award for a student to which this
subdivision is applicable shall equal the mandatory systemwide fees
in the segment attended by the student, except for community college
students who receive waivers from the Board of Governors of the
California Community Colleges, plus the access award calculated as
specified in Article 3 (commencing with Section 69435) of Chapter 1.7
of Part 42, except that in the first year of enrollment in a
qualifying institution, the maximum award shall be only for the
amount of the access award.
(c) The maximum Cal Grant awards for students attending nonpublic
institutions shall be as follows:
(1) The maximum Cal Grant A award shall equal the tuition award
level established in the Budget Act of 2000, or the amount as
adjusted in subsequent annual budget acts.
(2) The maximum Cal Grant B award shall equal the amount of the
tuition award as established in the Budget Act of 2000, or the amount
as adjusted in subsequent annual budget acts, plus the amount of the
access costs specified in Section 69435, except that, in the first
year of enrollment in a qualifying institution, the maximum award
shall be only for the amount of the access award.
(3) Notwithstanding paragraphs (1) and (2), and notwithstanding
Section 69432:
(A) The maximum Cal Grant award for a student attending a private
nonprofit postsecondary educational institution shall be set and
maintained at 75 percent of the base funding per Cal Grant student at
the University of California and the California State University, as
determined by the average General Fund support per student at the
California State University and the University of California, plus
the maximum Cal Grant award at those segments each multiplied by the
percentage of California resident full-time equivalent students at
both segments who attend the respective segment, except as provided
in clauses (i) to (iv), inclusive.
(i) For the 2015-16 award year, the maximum award shall be nine
thousand eighty-four dollars ($9,084).
(ii) For the 2016-17 award year, the maximum award shall be 70
percent of the amount calculated pursuant to subparagraph (A).
(iii) For the 2017-18 award year, the maximum award shall be 80
percent of the amount calculated pursuant to subparagraph (A).
(iv) For the 2018-19 award year, the maximum award shall be 90
percent of the amount calculated pursuant to subparagraph (A).
(v) For the 2019-20 award year and each year thereafter, the
maximum award shall be 100 percent of the amount calculated pursuant
to subparagraph (A).
(B) As a condition for the funding of Cal Grant maximum awards to
its students pursuant to subparagraph (A), a private nonprofit
postsecondary educational institution shall submit performance
metrics to the Association of Independent California Colleges and
Universities. The association, in collaboration with the public
segments of higher education, shall determine the form and content of
these metrics, to ensure data are defined, collected, and reported
in a consistent and comparable manner, and to ensure data integrity.
The association shall provide that information in a cumulative report
generated by the association to the Legislature, the Governor, the
Department of Finance, and the Legislative Analyst's Office on or
before March 15, 2016, and on or before March 15 of each year
thereafter. The report shall be submitted to the Legislature in
compliance with Section 9795 of the Government Code, and shall
include all of the following data with respect to each participating
private nonprofit postsecondary educational institution:
(i) The number of undergraduate students enrolled in that
institution.
(ii) The percentage of undergraduate students of that institution
who are California residents.
(iii) The number of graduate students enrolled in that
institution.
(iv) The number of transfer students from the California Community
Colleges enrolled in that institution.
(v) The percentage of undergraduate students of that institution
who are transfer students from the California Community Colleges.
(vi) The number of Pell Grant recipients enrolled in that
institution.
(vii) The percentage of undergraduate students of that institution
who are Pell Grant recipients.
(viii) The number of Cal Grant recipients enrolled in that
institution. With respect to those Cal Grant recipients:
(I) Their ethnic composition, expressed in percentages.
(II) The median amount of institutional aid provided to them.
(ix) The percentage of undergraduate students of that institution
who are Cal Grant recipients.
(x) The four- and six-year graduation rates for freshman entrants
of that institution:
(I) Disaggregated by Pell Grant recipients.
(II) Disaggregated by Cal Grant recipients.
(xi) The two- and three-year graduation rates for transfer
students from the California Community Colleges:
(I) Disaggregated by Pell Grant recipients.
(II) Disaggregated by Cal Grant recipients.
(xii) The number of degrees awarded annually by the institution in
total and in each of the following categories:
(I) Undergraduate students who first enrolled in the institution
as freshmen.
(II) Undergraduate students who first enrolled in the institution
as transfer students.
(III) Graduate students.
(IV) Pell Grant recipients.
(V) The number of degrees or credentials awarded in health-related
fields, teacher preparation, and the fields of science, technology,
engineering, and mathematics (STEM).
(C) The collection, reporting, and housing of data for the report
prepared pursuant to subparagraph (B) shall be conducted both in a
manner that ensures data integrity and security and that is in
conformance with any federal and state laws on the confidentiality of
student information.
(d) Commencing with the 2000-01 academic year, and each academic
year thereafter, the Cal Grant C award shall be utilized only for
occupational or technical training.
(e) Commencing with the 2000-01 academic year, and each academic
year thereafter, the Cal Grant T award shall be used only for one
academic year of full-time attendance in a program of professional
preparation that has been approved by the California Commission on
Teacher Credentialing.
(f) An institution of higher education in this state that
participates in the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant
Program shall not reduce its level of per capita need-based
institutional financial aid to undergraduate students, excluding
loans, below the total level awarded in the 2000-01 academic year.
(g) The implementation of the policy set forth in this section
shall maintain a balance between the state's policy goals of ensuring
student access to and selection of an institution of higher
education for students with financial need and academic merit.
(h) It is the policy of the State of California that the
Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program supplement
the federal Pell Grant program.
(i) An award under the Ortiz-Pacheco-Poochigian-Vasconcellos Cal
Grant Program shall not guarantee admission to an institution of
higher education or admission to a specific campus or program.
SEC. 3. Section 69432 of the Education Code is amended to read:
69432. (a) Cal Grant Program awards shall be known as "Cal Grant
A Entitlement Awards," "Cal Grant B Entitlement Awards," "California
Community College Transfer Entitlement Awards," "Competitive Cal
Grant A and B Awards," "Cal Grant C Awards," and "Cal Grant T Awards."
(b) Maximum award amounts for students at independent institutions
and for Cal Grant C and T awards shall be identified in the annual
Budget Act. Maximum award amounts for Cal Grant A and B awards for
students attending public institutions shall be referenced in the
annual Budget Act.
(c) (1) Notwithstanding subdivision (b), and subdivision
(c) of Section 66021.2, commencing with the 2013-14 award
year, the maximum tuition award amounts for Cal Grant A and B awards
for students attending private for-profit and nonprofit postsecondary
educational institutions shall be as follows:
(A) Four thousand dollars ($4,000) for new recipients attending
private for-profit postsecondary educational institutions.
(B) For the 2014-15 award year, nine thousand eighty-four dollars
($9,084) for new recipients attending private nonprofit postsecondary
educational institutions. For the 2015-16 award year and each award
year thereafter, eight thousand fifty-six dollars ($8,056)
for new recipients attending private nonprofit postsecondary
educational institutions. the amount
determined pursuant to paragraph (3) of subdivision (c) of Section
66021.2.
(2) The renewal award amount for a student whose initial award is
subject to a maximum award amount specified in this subdivision shall
be calculated pursuant to paragraph (2) of subdivision (a) of
Section 69433.
(3) Notwithstanding subparagraph (A) of paragraph (1),
commencing with the 2015-16 award year, the maximum tuition award
amount for new recipients attending private for-profit
postsecondary educational institutions that are accredited by the
Western Association of Schools and Colleges as of July 1, 2012, shall
have the same maximum tuition award amounts as are set
forth in subparagraph (B) of paragraph (1). be eight
thousand fifty-six dollars ($8,056).
SEC. 4. This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
In order to set the amounts of Cal Grant awards for students who
are attending private nonprofit postsecondary educational
institutions before the commencement of the 2015-16 award year, it is
necessary that this act take effect immediately.
