The governor has signed legislation that does everything about tuition other than allocate money to stop it from rising. It is (sort of) voluntary for the Regents and UC. And it feels so good.
LEGISLATIVE COUNSEL'S DIGEST
AB 970, Fong. University of California and California State University:
systemwide student fees.
Existing law, known as the Donahoe Higher Education Act, sets forth the
missions and functions of the segments of public postsecondary education in the
state. The California State University, which is governed by the Trustees of
the California State University (trustees), and the University of California,
which is governed by the Regents of the University of California (regents), are
2 of the segments of public postsecondary education. The provisions of the
Donahoe Higher Education Act apply to the University of California only to the extent that the regents act by resolution
to make them applicable.
Under existing law, the California State University and the University
of California are authorized to charge fees to students attending their
respective institutions. This bill
would establish the Working Families Student Fee Transparency and
Accountability Act as a part of the Donahoe Higher Education Act, and would
establish various policies relating to student fees and student financial aid
at the University of California and the California State University.
The bill would require the regents and the trustees to comply with prescribed
public notice and student consultation procedures prior to adopting an increase
in mandatory systemwide fees, and would prohibit them from adopting a mandatory
systemwide fee increase before specified dates, except as specified. The bill
would require the regents and the trustees, by April 2, 2013, to develop a list
of
factors that would be required to be taken into consideration when developing
recommendations to adjust mandatory systemwide fees.
The bill, commencing with the 2012-13 academic year, would require the
trustees and the regents to provide annual reports on expenditures and
financial aid to the Legislature, and would require the Legislative Analyst's
Office to annually review and report to the Legislature its findings,
conclusions, or recommendations regarding the implementation of policies
implemented pursuant to the bill.
Because the provisions of the
bill would be added to the Donahoe Higher Education Act, they would apply to
the University of California only to the extent that the regents act by
resolution to make them applicable.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds
and declares all of the following:
(a) The California 1960 Master Plan for Higher Education declared that
a tuition-free higher education is in the best interest of the state and should
be continued for all California residents.
(b) The state has long
recognized the value of providing broad access to postsecondary education to
the state's diverse residents and has demonstrated that commitment by investing
in postsecondary education. This act seeks to continue the state's historic
commitment to ensuring affordability and access and maintaining quality through
the state's public universities, while recognizing the fiscal challenges that
confront both the state and postsecondary education.
(c) Despite large increases in
the number of high school graduates, state General Fund spending on
postsecondary education has declined notably. In 2010-11, the state spent $1.6
billion less on postsecondary education than it did 10 years earlier. According
to the 2012 Public Policy Institute of California report, "Defunding Higher
Education," the University of California and the California
State University have responded to funding cuts by reducing course offerings
and limiting enrollment, as well as increasing tuition and fees.
(d) The state's working families who have children attending the state's
public colleges and universities have endured significant increases in
mandatory systemwide student fees. While financial aid has alleviated some of
the impact from this increase in fees, the increased cost of a college
education remains of concern for working families.
(e) A report by the California Postsecondary Education Commission, published
in 2011 and entitled "College Costs and Family Income: The Affordability
Issue at the UC and the CSU," detailed that rising costs are making an
education at California's public universities more of a financial strain for
many Californians as their incomes have not kept pace with these increasing
costs.
(f) Between 1990 and 2009, costs for a University of California student
living on campus rose by 70 percent. Costs for a California State University
student living with his or her family rose by over 80 percent. In this period,
median family income in California grew by only 16 percent. With rising costs,
and flat or falling incomes, the cost of supporting a student is taking an
increasing percentage of the incomes of these families.
(g) In 2009, the total cost of attendance for a student living on campus
at the University of California was $27,100, an increase of 18 percent from
three years earlier. Costs at the California State University increased by 23
percent, to $20,100, during that period.
(h) Even with grants and fee
waivers, the net cost of a year of attendance at a University of California or
a California State University campus is one-third of annual income for a lower
income family. Net costs for middle-income families are about one-quarter of annual
income. As a result, students may have to work additional hours or increase
their debt burden to meet college expenses.
(i) Increased costs can hinder a
student's progress toward a degree, forcing students to cut their class load to
work more hours, leave for semesters at a time, or drop out of school entirely.
(j) According to the
"Student Expenses and Resources Survey" conducted by the Student Aid
Commission during the 2006-07 academic year, approximately 74 percent of all
undergraduate students in the California State University system worked for pay
for an average of 24 hours per week. Fifty-one percent of these students
reported working over 20 hours per week on average. In the University of California system, approximately 54 percent of all undergraduate students
worked for pay for an average of 17 hours per week, and 23 percent of these
students reported working over 20 hours per week on average.
(k) The Institute for College Access and Success, in its report "Student
Debt and the Class of 2009," showed that average debt accumulation for
California students at public universities has risen by 18 percent since 2005.
In California, the average student debt for students who completed a bachelor's
degree was $17,326, and national data show that some of the lowest income
students who generally have family incomes under $50,000 are much more likely
to borrow, and borrow more than their higher income peers, impacting job opportunities
and choices after graduation.
(l) The Regents of the
University of California have raised mandatory systemwide student fees by 68
percent since the 2007-08 academic year, and over 200 percent in the past
decade. The Trustees of the California State University have raised mandatory systemwide
student fees by 76 percent since the 2007-08 academic year, and over 242
percent in the past decade.
(m) The state does not have a
proper accounting of the total costs of educating students at either the
University of California or the California State University, or the actual uses
of student fee revenues, and it is critical for the state's public colleges and
universities to demonstrate transparency and accountability to the general
public.
(n) The state, in partnership with the state's colleges and universities,
is committed to ensuring that all financially needy students have the financial
assistance necessary for them to enroll in institutions of higher education and
complete their postsecondary education objectives.
(o) The principles expressed in this act seek to continue the state's
historic commitment to ensuring access to the state's public universities for
all Californians by ensuring sufficient notification to the general public,
students, and the state's working families of any increases in student fees,
proper consultation with students, and accountability and transparency with
respect to student fee revenue.
(p) Changes in resident student fees or in student financial aid funding
or packaging policies should take into consideration the total cost to the
student of attending the university, including mandatory campus-based student
fees, housing and living expenses, as well as all other expenses associated
with university attendance.
(q) Any increases in mandatory systemwide fees should be accompanied by
appropriate increases in funding for need-based student financial aid.
SEC. 2. Article 3.7 (commencing with Section 66028)
is added to Chapter 2 of Part 40 of Division 5 of Title 3 of the Education
Code, to read:
Article 3.7. Working Families
Student Fee Transparency and Accountability Act
66028. This article shall be
known, and may be cited, as the Working Families Student Fee Transparency and
Accountability Act.
66028.1. For purposes of this
article, the following terms have the following meanings:
(a) "Consultation" or "consult" means a meeting
between representatives from the University of California or the California State
University and their respective statewide student association representatives
in which the representatives from the institutions provide, at minimum, all the
following information at least five days before the meeting:
(1) A justification for a fee increase proposal, setting forth the facts
supporting the fee increase.
(2) A statement specifying the purposes for which revenue derived from
a fee increase will be used.
(3) A description of the efforts to mitigate the impact of the fee increase
on needy students.
(4) The potential impact to students, including, but not limited to,
the changes to the minimum workload burden for all students, if applicable,
institutional financial aid awards, and the average student loan debt for
undergraduates.
(5) Alternative proposals that can be considered in lieu of the proposed
net student fee revenue proposal.
(b) "Cost of attendance" means the mandatory systemwide fees,
books and supplies, room and board, transportation, and miscellaneous personal
expenses for an undergraduate California resident student, as used in
determining financial aid eligibility.
(c) "Mandatory systemwide
fees" means the fees that resident students enrolled in the California
State University or the University of California, as applicable, are required
to pay in order to enroll in courses for the academic term pursuant to any law
or any policy adopted by the trustees or the regents, as applicable.
(d) "Regents" means the Regents of the University of
California.
(e) "Resident" means a student who is exempt from paying nonresident
tuition pursuant to Chapter 1 (commencing with Section 68000) of Part 41.
(f) "Trustees" means the Trustees of the California State University.
66028.2. The following state
policies apply to student financial aid for resident students, and mandatory
systemwide fees charged at the University of California and the California
State University:
(a) As any changes in mandatory systemwide fees and financial aid resources
are considered, the impact on students should be explained to students,
including, but not limited to, changes to the minimum work or loan burden for
all students, if applicable, institutional financial aid awards, and the
average student loan debt for undergraduate students.
(b) Students should be consulted before increases on mandatory systemwide
fees are proposed, so that students can provide input and ask questions
regarding the need for any increases in mandatory systemwide fees.
(c) Adequate advance notice should be provided to students regarding
any future mandatory systemwide fees, thereby allowing the students and their
families greater time to prepare for the mandatory systemwide fees to be
assessed.
(d) In order to ensure that access is not precluded for any eligible
student, and particularly for financially needy students, all current and
prospective students should be provided with timely information concerning
student financial aid, including the processes associated with applying for and
obtaining student financial assistance.
(e) In order for the general public to maintain confidence in the state's
public colleges and universities, every effort should be made to ensure
increased transparency in the uses of mandatory systemwide fee revenue and the
rationale for implementing mandatory systemwide fee increases.
66028.3. (a) Ten days prior to
holding a meeting to discuss or adopt an increase in mandatory systemwide fees,
the University of California and the California State University shall provide
public notice of the proposed mandatory systemwide fee increase as a discussion
item in the public agenda for a meeting of the respective governing board. The
public notice shall allow for comments to be received, both verbally and in
writing, at the meeting and during the 45-day period required pursuant to
subdivision (c). The public notice of the proposed mandatory systemwide fee
increase shall, at a minimum, include all of the following:
(1) A justification for the fee
increase proposal, setting forth the facts supporting the fee increase.
(2) A statement specifying the purposes for which revenue derived from
a fee increase will be used.
(3) A description of the efforts to mitigate the impact of the fee increase
on needy students.
(4) The potential impact to students, including, but not limited to,
the changes to the minimum workload burden for all students, if applicable,
institutional financial aid awards, and the average student loan debt for
undergraduates.
(5) Alternative proposals that can be considered in lieu of the proposed
net student fee revenue proposal.
(b) The University of California and the California State University
shall consult with their respective statewide student associations at least 30
days prior to providing public notice of the proposed mandatory systemwide fee
increase. The range of potential mandatory systemwide fees under consideration
for the next fiscal year shall be discussed with appropriate student
representatives at the time of consultation before public notice of the
mandatory systemwide fee increase proposal.
(c) The regents and the trustees shall not act to adopt a mandatory
systemwide fee increase until at least 45 days after a public meeting is held
to discuss the fee. The regents and the trustees shall provide a summary of the
comments received pursuant to subdivision (a) in the public notice provided
before the meeting to adopt a mandatory systemwide fee increase.
(d) The regents and the trustees shall not adopt an increase in mandatory
systemwide fees after the 90th day prior to the commencement of classes for the
academic year. This prohibition shall not apply to an increase in mandatory
systemwide fees for a summer session.
(e) (1) In cases where the Governor's proposed budget reduces General
Fund appropriations from the prior annual Budget Act for the support of the
operations of University of California or California
State University, the Legislature enacts or authorizes reduced General
Fund appropriations from the prior annual Budget Act for the support of the
operations of University of California or California
State University, the Legislature enacts a budget reduction for the General
Fund support of the operation of the University of California or California
State University in the middle of a fiscal year, or the Governor implements a
budget reduction for the General Fund support of the operation of the
University of California or California State University in the middle of a
fiscal year, subdivisions (a), (b), (c), and (d) shall not apply.
(2) In the instances described in paragraph (1), the University of California
and the California State University shall discuss with their respective
statewide student associations proposals for mandatory systemwide fee increases
at least seven days before posting notice of action to increase those fees. An
increase in the mandatory systemwide fees at the University of California or
the California State University shall not become effective until at least 30
days have elapsed after the date on which the fee increase was adopted.
(f) Following the adoption of an increase in mandatory systemwide fees
in accordance with this act, the University of California and the California
State University shall notify matriculated students of the mandatory systemwide
fees to be assessed in the upcoming academic year or the upcoming quarter or
semester. In addition, the respective institution shall simultaneously inform
students about the availability of student financial aid and the procedures for
obtaining that financial aid in order to assist students with meeting the
increased costs of attendance.
66028.4. (a) On or before April
2, 2013, the regents and the trustees each shall develop a list of factors that
shall be taken into consideration when developing recommendations to adjust mandatory
systemwide fees consistent with the policies set forth in this article. The
factors shall include, at a minimum, the level of state support, total cost of
attendance, impact on various categories of students, including historically
underrepresented students and low- to middle-income students, as well as
efforts to mitigate the impacts.
(b) The factors, and any subsequent amendments to those factors, shall
be developed in consultation with the appropriate statewide student body
associations and shall be formally adopted by the regents or the trustees in an
open and public meeting.
(c) Nothing in this section shall be construed to exempt any increase
in mandatory systemwide fees from the requirements of Section 66028.4.
66028.5. (a) The regents and the
trustees are urged to maintain their commitment to institutional financial aid
program funding by ensuring that at least 33 percent of the revenues of an
increase to existing mandatory systemwide fees charged to resident students is set
aside by the regents or the trustees, as applicable, for institutional student
aid to assist students and families in meeting the total cost of education.
(b) The regents and trustees shall report their compliance with this
section in their respective annual reports on institutional financial aid
pursuant to Section 66021.1.
66028.6. (a) Notwithstanding
Section 10231.5 of the Government Code, commencing with the 2012-13 academic
year, the regents and the trustees shall annually provide the Legislature, by
February 1 of each year, with detailed information regarding expenditures of revenues
derived from student fees and uses of institutional financial aid, and shall
provide information regarding the systemwide average total cost of attendance
per student. For purposes of meeting the requirements of this section, the
regents and the trustees may include this information in their respective
annual report on institutional financial aid pursuant to Section 66021.1.
(b) Notwithstanding Section 10231.5 of the Government Code, commencing
with the 2012-13 academic year, the Legislative Analyst's Office shall annually
review, by March 1 of each year, institutional compliance with the policies set
forth in this article, and report, in writing, to the Legislature its findings,
conclusions, or recommendations regarding the implementation of these policies.
This report shall include an assessment of the information provided by the regents
and the trustees pursuant to subdivision (a).
(c) A report submitted pursuant to this section shall be submitted in
compliance with Section 9795 of the Government Code.
As the song says, it feels so good (to pass legislation like this), although the Good Times in terms of budget allocation are definitely not rolling:
