Assigned to ED & APPROP FOR COMMITTEE ARIZONA STATE SENATE Fifty-Fifth Legislature, Second Regular Session FACT SHEET FOR H.B. 2658 community colleges; adult education Purpose Establishes the Community College Adult Education Workforce Development Program (Program) to, through community colleges, provide adult learners with education, training and support services leading to a high school diploma or high school equivalency diploma (diploma) and an industry-recognized credential or community college degree. Establishes the Program Fund and outlines requirements for Program school eligibility, performance expectations, funding and administration. Background Schools must admit children who are between the ages of 6 and 21, who reside in the school district and who meet the requirements for enrollment in one of the grades or programs offered in the school (A.R.S. § 15-821). An adult may obtain a high school equivalency (HSE) diploma by: 1) passing the graduation equivalency diploma test; 2) participating in the College Credit Pathway to complete 25 college credits in specified subject areas; or 3) participating in the HSE PLUS Career Readiness Pathway offered exclusively by adult education providers under the federal Workforce Innovation and Opportunity Act (ADE). The Arizona Department of Education's (ADE's) Adult Education Services authorizes adult education providers to provide educational services and training for adults who are at least 16 years old to continue their basic education and pass an HSE diploma test approved by the State Board of Education (SBE). An adult education provider is a school district, community college district, correctional facility or community-based organization, an institution serving educationally disadvantaged adults or any other institution that receives public funds to provide adult education services (A.R.S. §§ 15-232 and 15-234). If directing funding to Program schools in specified amounts per student in FYs 2023 and 2024 and, beginning in FY 2025, according to an SBE-adopted funding model results in increased costs to the state General Fund, there may be a fiscal impact. Provisions Program Administration 1. Establishes the Program, within the State Board of Education (SBE) and operated in cooperation with ADE, to provide adult learners with integrated education and training programs and additional study and support services that lead to the issuance of: a) a diploma; and b) an industry-recognized credential or community college degree. FACT SHEET H.B. 2658 Page 2 2. Requires a Program applicant to be a regionally-accredited community college that is a recognized diploma provider and provides education and workforce training that leads to industry-recognized credentials or community college degrees. 3. Allows the SBE, in cooperation with ADE, to develop a process to bring a Program school into compliance or revoke the Program school's authorization to participate in the Program at the SBE's and ADE's discretion. 4. Allows the SBE, in cooperation with ADE, to request information from any program applicant or school to determine Program eligibility and funding distributions. Program Fund and Performance Expectations 5. Establishes the Program Fund, administered by ADE, consisting of legislative appropriations and any other monies. 6. Requires, by July 1, 2024, SBE, in consultation with ADE, to adopt: a) performance expectations to evaluate Program schools; and b) an adult education and workforce performance funding model (Program funding model). 7. Requires the SBE-adopted performance expectations to include: a) measurements of adult learner progress toward earning a diploma; b) the graduation rates of adult learners earning at least one academic credit; c) the number of industry-recognized credentials earned; d) the number of adult learners who have newly-acquired proficiency in the English language; e) the number of adult learners or graduates who have matriculated at an institution of higher learning or a postsecondary educational institution; f) the number of adult learners or graduates who have newly-acquired employment at a wage that is at least 150 percent of the state minimum wage; and g) other relevant measures. 8. Funds a Program school as follows: a) for FYs 2023 and 2024, up to $3,000 per full-time student each fiscal year and, for part- time students, funding in proportion to the number of enrolled courses or hours of instruction; and b) beginning in FY 2025 and subject to legislative appropriation, funding determined by the SBE-adopted Program funding model. 9. Requires a Program school to use Program monies for adult learners to participate in a diploma program that also offers an industry-recognized credential for community college degrees. 10. Requires, for the Program funding model: a) Program school funding to be based on the average performance of the community college in the prior two fiscal years; and b) the SBE to consider all adopted performance expectations, except enrollment. 11. Requires a Program school to use Program monies to supplement and not supplant current program offerings. FACT SHEET H.B. 2658 Page 3 12. Allows a portion of the Program monies to be used for additional support services to ensure the success of adult learners, including: a) transportation assistance for adult learners with a demonstrated need; b) childcare services for dependents while the adult learner is on site; c) college and career counseling; and d) job placement assistance. 13. Allows ADE to: a) retain up to five percent of the Program Fund monies received each fiscal year for administrative costs associated with the Program; and b) accept and spend federal monies and private grants, gifts, contributions and devises for Program purposes. 14. Specifies that Program Fund monies are continuously appropriated and exempt from lapsing. Miscellaneous 15. Requires, by September 30 of each year in which the Legislature appropriates monies to the Fund, each Program school to submit a report regarding the Program to the Governor, Legislature and Secretary of State that includes at least: a) the number of adult learners enrolled; b) the completion rate of diplomas earned by adult learners; c) the average progress of adult learners toward meeting completion criteria; d) the number and type of industry-recognized credentials, community college degree credits and community college degrees earned by adult learners; e) a descriptive summary of the program offered; f) the number of adult learners who have newly-acquired proficiency in the English language; g) the number of adult learners or graduates who have matriculated at an institution of higher learning or postsecondary educational institution; and h) the number of adult learners or graduates who have newly-acquired employment at a wage that is at least 150 percent of the state minimum wage. 16. Becomes effective on the general effective date. House Action ED 2/8/22 DPA 8-2-0-0 3 rd Read 2/23/22 44-15-1 Prepared by Senate Research March 4, 2022 LB/MS/slp