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Thursday, May 31, 2012

Two Thirds?

There are two bills kicking around in the legislature that would, if both are passed, provide a $1 billion subsidy for tuition at UC, CSU, and the community colleges financed by a change in corporate tax law.  However, one of these bills – the tax bill – would require a two-thirds vote of both houses of the legislature.  Assembly speaker Pérez claims he has the necessary Republican votes, although that seems unlikely.  It is unclear from an account today in the San Francisco Chronicle whether that claim also applies to the state senate:

Assembly Speaker John Pérez, who introduced AB1501, which he is calling the "Middle Class Scholarship," noted the ballooning tuition costs in making the case for his proposal…

The Assembly passed the [non-tax] bill 55-17, with four Republicans in favor. The bill sets up the technical structure of administering the grants, which would provide significant aid to students whose families make less than $150,000 but too much to qualify for a Cal Grant.  However, a second bill that comprises a significant part of the proposal - a change in the tax code that would generate about $1 billion annually to pay for the grants - has yet to be heard by the Assembly. Pérez said he is confident he has the necessary Republican support to pass that measure, as it requires approval by two-thirds of lawmakers.  He did not say when that bill will be heard…


There is a saying about this; something about chickens…

Another version of the story appears in TopEd and suggests getting 2/3 will be difficult: (excerpt)
Modesto Assemblymember Kristin Olsen, vice chair of the Higher Education Committee and one of the Republicans who broke ranks and supported the measure, defended her position during the floor debate as a vote for the state’s economic prosperity.  "We have slashed state investment in higher education, and that’s criminal,” Olsen said. “One of the only ways we’re going to grow a strong economy over the long term is by investing in our public universities to make sure that we are graduating educated employees who are prepared to compete in a global workforce.”  ...But her colleague in the GOP caucus, Assemblymember Tim Donnelly from Twin Peaks, wasn’t moved, except to sarcasm. “I see these programs and they sound so nice – middle class scholarship fund – woo-hoo, hallelujah, Praise the Lord! I love it, sounds wonderful, why don’t we give one to everybody?” he quipped. “Oh yeah, there’s a slight little problem: we don’t have the money.”  Donnelly blamed union wage demands and injudicious spending decisions by UC and CSU for their financial problems, especially giving huge pay raises to new campus presidents while increasing student fees. Then he offered this sage advice: “I remember when I went to school. I went to the University of California at Irvine; I got three jobs to pay my way through. My idea of a middle class scholarship is a job.”...
Full story at 
http://toped.svefoundation.org/2012/05/31/middle-class-tuition-break-at-uc-csu/

And there is this political analysis: (excerpt)  …A spokesman for Speaker Perez says given that there's more time, the tax companion bill wasn't fast tracked (though Wednesday's was also an 'urgency' measure and thus could have waited).  Still, Perez clearly sees a greater political value to the scholarship package -- especially if, as expected, the taxes fail to get bipartisan support by the end of the legislative session on August 31.  After all, Democrats could then easily criticize GOP legislators on the campaign trail this fall as being more interested in protecting big business than helping middle-class kids.  Passage of the plan to actually create scholarships, one could argue, helps his cause... because it now forces a showdown on the taxes.  But Republicans who voted for the AB 1501 scholarships clearly see things differently.  A spokesperson for one of them --Assemblywoman Kristin Olsen, R-Modesto -- says Olsen agrees that students need more financial assistance but thinks a different funding source needs to be found, even if means additional cuts in programs Democrats like.  In other words, the GOP play on the issue may be this: if Democrats really care about the kids and not just politics, they'll work to find the money from somewhere that both parties can support…

Full article at 

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