Amended IN Assembly April 16, 2018 Amended IN Assembly March 23, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 2248Introduced by Assembly Members McCarty and ArambulaFebruary 13, 2018 An act to amend Sections 69432.7 and 69433 of add Section 69432.95 to the Education Code, relating to student financial aid. LEGISLATIVE COUNSEL'S DIGESTAB 2248, as amended, McCarty. Student financial aid: Cal Grant program.Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program (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 and maximum levels for awards under these programs for participating students attending qualifying institutions, as defined. Existing law, for the purposes of the Cal Grant Program, defines full time to mean 12 or more semester units or the equivalent and defines part time to mean 6 to 11 semester units or the equivalent.This bill would require the commission, upon the initial awarding and the renewal of a Cal Grant award, to notify in writing a Cal Grant award recipient that, if he or she takes less than 15 semester units or the equivalent per semester or the equivalent or less than 30 semester units or the equivalent per academic year, he or she will not graduate in 4 years, except as specified. The bill also would require a qualifying institution, as defined, to notify in writing a student during new student orientation and annual registration that, if he or she takes less than 15 semester units or the equivalent per semester or the equivalent, or less than 30 semester units or the equivalent per academic year, he or she will not graduate in 4 years, except as specified.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.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 defines full time for purposes of determining Cal Grant eligibility to mean 12 or more semester units or the equivalent, and part time to mean 6 to 12 semester units or the equivalent.The bill would instead, commencing with the start of the 201920 academic year, define full time for purposes of determining Cal Grant eligibility to mean 30 or more semester units or the equivalent, in an academic year for new awards and all subsequent renewals of that eligibility, and for all awards starting with the 202223 academic year. This bill would define part time to mean between 6 and below 30 semester units or the equivalent, for the academic year, in the above-described range of academic years, when at least 6 semester units, or the equivalent, are taken per semester. The definition of full time and part time for the enrollment status at a California community college would remain unchanged for the purposes of Cal Grant eligibility.Existing law provides that an award to a part-time student shall be a fraction of a full-time grant, as determined by the commission.This bill would provide that a Cal Grant award is prorated for a part-time student based on the number of units in which the student is enrolled. Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 69432.95 is added to the Education Code, immediately preceding Section 69433, to read:69432.95. (a) For purposes of this section, qualifying institution has the same meaning as in Section 69432.7.(b) Upon the initial award and renewal of a Cal Grant award, the commission shall notify in writing the award recipient of all of the following:(1) A Cal Grant award is limited to four years, except as provided in subdivision (c) of Section 69433.6.(2) A student needs to take 15 units or the equivalent per semester or the equivalent or 30 units or the equivalent per academic year to graduate within four years.(c) During the orientation of a new student, a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).(d) Upon annual registration by a student, the financial aid office of a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).SEC. 2. If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.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 determining Cal Grant eligibility, means between six and below 30 semester units, or the equivalent, in an academic year, when six or more semester units, or the equivalent, are taken each semester or the equivalent.(2)Full time, for purposes of determining Cal Grant eligibility, means:(A)Twelve or more semester units or the equivalent, in a semester, for new Cal Grant award eligibility until the start of the 201920 academic year, and for renewal of a Cal Grant award eligibility until the start of the 202223 academic year.(B)Thirty or more semester units or the equivalent, in an academic year, for new Cal Grant award eligibility commencing with the start of the 201920 academic year, and for all subsequent renewals of that eligibility, and for all Cal Grant award eligibility commencing with the start of the 202223 academic year.(3)Notwithstanding paragraphs (1) and (2), for the purposes of determining Cal Grant eligibility of a student attending a California community college:(A)Part time means between six and below 12 semester units or the equivalent, in a semester or the equivalent.(B)Full time means 12 or more semester units or the equivalent, in a semester 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 Officers 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)(1)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 200102 academic year, which shall be set pursuant to the following income and asset ceiling amounts:CAL GRANT PROGRAM INCOME CEILINGSCal Grant A, C, and TCal Grant BDependent and Independent students with dependents*Family SizeSix or more$74,100$40,700Five$68,700$37,700Four$64,100$33,700Three$59,000$30,300Two$57,600$26,900 IndependentSingle, no dependents$23,500$23,500Married$26,900$26,900*Applies to independent students with dependents other than a spouse.CAL GRANT PROGRAM ASSET CEILINGSCal Grant A, C, and TCal Grant B Dependent**$49,600$49,600Independent$23,600$23,600**Applies to independent students with dependents other than a spouse.(2)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 recipients initial Cal Grant award. For a recipient who was initially awarded a Cal Grant for an academic year before the 201112 academic year, the maximum household income and asset levels shall be the greater of the adjusted maximum household income and asset levels or the 201011 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. Before 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 Pell Grant Program and in at least two of the following federal student aid programs:(i)Federal Work-Study Program.(ii)Federal Stafford 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 institutions 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 200001 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 November 1 of each year the institutions latest official three-year cohort default rate and graduation rate as most recently reported by the United States Department of Education. For purposes of this section, the graduation rate is the percentage of full-time, first-time degree or certificate-seeking undergraduate students who graduate in 150 percent or less of the expected time to complete degree requirements as most recently reported publicly in any format, including preliminary data records, by the United States Department of Education.(B)For purposes of the 201112 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 201213 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 institutions 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 institutions 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 201213 academic year, and every academic year thereafter, an otherwise qualifying institution with a graduation rate of 30 percent or less, 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 academic 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 that maintains 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 201617 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 students 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)The commission may grant an appeal for an academic year only if the commission has determined the institution has a cohort size of 20 individuals or less and the cohort is not representative of the overall institutional performance.(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.SEC. 2.Section 69433 of the Education Code is amended to read:69433.(a)(1)A Cal Grant Program award shall be based upon the financial need of the applicant, and shall not exceed the calculated financial need for any individual applicant. The minimum level of financial need of each applicant shall be determined by the commission pursuant to Section 69432.9. The commission may provide renewal awards.(2)A student attending a nonpublic institution shall receive a renewal award for tuition or fees, or both, in an amount not to exceed the maximum allowable award amount that was in effect in the year in which the student first received a new award.(b)A Cal Grant award authorized pursuant to this chapter shall be defined as a full-time equivalent grant. An award to a part-time student shall be a prorated portion of a full-time grant, as determined by the commission, based on the number of semester units, or the equivalent, being taken by the student.(c)(1)The commission shall prescribe the use of standardized student financial aid applications for California. These applications shall be simple in nature, and collect common data elements required by the federal government and those elements needed to meet the objectives of state-funded and institutional financial aid programs.(2)The applications prescribed in paragraph (1) shall be utilized for the Cal Grant Program, all other programs funded by the state or a public institution of postsecondary education (except for the Financial Assistance Program of the Board of Governors of the California Community Colleges authorized by Chapter 1118 of the Statutes of 1987, for which a simplified application designed for that sole purpose may be used), and all federal programs administered by a public postsecondary education institution.(3)Supplemental application information may be utilized if the information is essential to accomplishing the objectives of individual programs. All supplemental application information used for the purposes of commission-administered programs shall be subject to approval by the commission, and applications shall be identical for programs with similar objectives, as determined by the commission.(4)Public postsecondary institutions are encouraged to use, but may decide whether to use, the standard applications for funds provided by private donors.(5)The Legislature finds and declares that it is in the best interest of students that all postsecondary education institutions in California participating in federal and state-funded financial aid programs accept the standard applications prescribed by the commission.(d)Nothing in this chapter shall prevent an individual public postsecondary institution from processing, with its own staff and fiscal resources, the standard financial aid applications specified in subdivision (c) for student aid programs for which it has legal responsibility.(e)The commission may enter into contracts with a public agency or a private entity to improve the processing and distribution of grants, fellowships, and loans through the use of electronic networks and unified data bases.
Amended IN Assembly April 16, 2018 Amended IN Assembly March 23, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 2248Introduced by Assembly Members McCarty and ArambulaFebruary 13, 2018 An act to amend Sections 69432.7 and 69433 of add Section 69432.95 to the Education Code, relating to student financial aid. LEGISLATIVE COUNSEL'S DIGESTAB 2248, as amended, McCarty. Student financial aid: Cal Grant program.Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program (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 and maximum levels for awards under these programs for participating students attending qualifying institutions, as defined. Existing law, for the purposes of the Cal Grant Program, defines full time to mean 12 or more semester units or the equivalent and defines part time to mean 6 to 11 semester units or the equivalent.This bill would require the commission, upon the initial awarding and the renewal of a Cal Grant award, to notify in writing a Cal Grant award recipient that, if he or she takes less than 15 semester units or the equivalent per semester or the equivalent or less than 30 semester units or the equivalent per academic year, he or she will not graduate in 4 years, except as specified. The bill also would require a qualifying institution, as defined, to notify in writing a student during new student orientation and annual registration that, if he or she takes less than 15 semester units or the equivalent per semester or the equivalent, or less than 30 semester units or the equivalent per academic year, he or she will not graduate in 4 years, except as specified.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.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 defines full time for purposes of determining Cal Grant eligibility to mean 12 or more semester units or the equivalent, and part time to mean 6 to 12 semester units or the equivalent.The bill would instead, commencing with the start of the 201920 academic year, define full time for purposes of determining Cal Grant eligibility to mean 30 or more semester units or the equivalent, in an academic year for new awards and all subsequent renewals of that eligibility, and for all awards starting with the 202223 academic year. This bill would define part time to mean between 6 and below 30 semester units or the equivalent, for the academic year, in the above-described range of academic years, when at least 6 semester units, or the equivalent, are taken per semester. The definition of full time and part time for the enrollment status at a California community college would remain unchanged for the purposes of Cal Grant eligibility.Existing law provides that an award to a part-time student shall be a fraction of a full-time grant, as determined by the commission.This bill would provide that a Cal Grant award is prorated for a part-time student based on the number of units in which the student is enrolled. Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOYES
Amended IN Assembly April 16, 2018 Amended IN Assembly March 23, 2018
Amended IN Assembly April 16, 2018
Amended IN Assembly March 23, 2018
CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION
Assembly Bill No. 2248
Introduced by Assembly Members McCarty and ArambulaFebruary 13, 2018
Introduced by Assembly Members McCarty and Arambula
February 13, 2018
An act to amend Sections 69432.7 and 69433 of add Section 69432.95 to the Education Code, relating to student financial aid.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 2248, as amended, McCarty. Student financial aid: Cal Grant program.
Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program (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 and maximum levels for awards under these programs for participating students attending qualifying institutions, as defined. Existing law, for the purposes of the Cal Grant Program, defines full time to mean 12 or more semester units or the equivalent and defines part time to mean 6 to 11 semester units or the equivalent.This bill would require the commission, upon the initial awarding and the renewal of a Cal Grant award, to notify in writing a Cal Grant award recipient that, if he or she takes less than 15 semester units or the equivalent per semester or the equivalent or less than 30 semester units or the equivalent per academic year, he or she will not graduate in 4 years, except as specified. The bill also would require a qualifying institution, as defined, to notify in writing a student during new student orientation and annual registration that, if he or she takes less than 15 semester units or the equivalent per semester or the equivalent, or less than 30 semester units or the equivalent per academic year, he or she will not graduate in 4 years, except as specified.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.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 defines full time for purposes of determining Cal Grant eligibility to mean 12 or more semester units or the equivalent, and part time to mean 6 to 12 semester units or the equivalent.The bill would instead, commencing with the start of the 201920 academic year, define full time for purposes of determining Cal Grant eligibility to mean 30 or more semester units or the equivalent, in an academic year for new awards and all subsequent renewals of that eligibility, and for all awards starting with the 202223 academic year. This bill would define part time to mean between 6 and below 30 semester units or the equivalent, for the academic year, in the above-described range of academic years, when at least 6 semester units, or the equivalent, are taken per semester. The definition of full time and part time for the enrollment status at a California community college would remain unchanged for the purposes of Cal Grant eligibility.Existing law provides that an award to a part-time student shall be a fraction of a full-time grant, as determined by the commission.This bill would provide that a Cal Grant award is prorated for a part-time student based on the number of units in which the student is enrolled.
Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program (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 and maximum levels for awards under these programs for participating students attending qualifying institutions, as defined. Existing law, for the purposes of the Cal Grant Program, defines full time to mean 12 or more semester units or the equivalent and defines part time to mean 6 to 11 semester units or the equivalent.
This bill would require the commission, upon the initial awarding and the renewal of a Cal Grant award, to notify in writing a Cal Grant award recipient that, if he or she takes less than 15 semester units or the equivalent per semester or the equivalent or less than 30 semester units or the equivalent per academic year, he or she will not graduate in 4 years, except as specified. The bill also would require a qualifying institution, as defined, to notify in writing a student during new student orientation and annual registration that, if he or she takes less than 15 semester units or the equivalent per semester or the equivalent, or less than 30 semester units or the equivalent per academic year, he or she will not graduate in 4 years, except as specified.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
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 defines full time for purposes of determining Cal Grant eligibility to mean 12 or more semester units or the equivalent, and part time to mean 6 to 12 semester units or the equivalent.
The bill would instead, commencing with the start of the 201920 academic year, define full time for purposes of determining Cal Grant eligibility to mean 30 or more semester units or the equivalent, in an academic year for new awards and all subsequent renewals of that eligibility, and for all awards starting with the 202223 academic year. This bill would define part time to mean between 6 and below 30 semester units or the equivalent, for the academic year, in the above-described range of academic years, when at least 6 semester units, or the equivalent, are taken per semester. The definition of full time and part time for the enrollment status at a California community college would remain unchanged for the purposes of Cal Grant eligibility.
Existing law provides that an award to a part-time student shall be a fraction of a full-time grant, as determined by the commission.
This bill would provide that a Cal Grant award is prorated for a part-time student based on the number of units in which the student is enrolled.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 69432.95 is added to the Education Code, immediately preceding Section 69433, to read:69432.95. (a) For purposes of this section, qualifying institution has the same meaning as in Section 69432.7.(b) Upon the initial award and renewal of a Cal Grant award, the commission shall notify in writing the award recipient of all of the following:(1) A Cal Grant award is limited to four years, except as provided in subdivision (c) of Section 69433.6.(2) A student needs to take 15 units or the equivalent per semester or the equivalent or 30 units or the equivalent per academic year to graduate within four years.(c) During the orientation of a new student, a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).(d) Upon annual registration by a student, the financial aid office of a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).SEC. 2. If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.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 determining Cal Grant eligibility, means between six and below 30 semester units, or the equivalent, in an academic year, when six or more semester units, or the equivalent, are taken each semester or the equivalent.(2)Full time, for purposes of determining Cal Grant eligibility, means:(A)Twelve or more semester units or the equivalent, in a semester, for new Cal Grant award eligibility until the start of the 201920 academic year, and for renewal of a Cal Grant award eligibility until the start of the 202223 academic year.(B)Thirty or more semester units or the equivalent, in an academic year, for new Cal Grant award eligibility commencing with the start of the 201920 academic year, and for all subsequent renewals of that eligibility, and for all Cal Grant award eligibility commencing with the start of the 202223 academic year.(3)Notwithstanding paragraphs (1) and (2), for the purposes of determining Cal Grant eligibility of a student attending a California community college:(A)Part time means between six and below 12 semester units or the equivalent, in a semester or the equivalent.(B)Full time means 12 or more semester units or the equivalent, in a semester 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 Officers 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)(1)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 200102 academic year, which shall be set pursuant to the following income and asset ceiling amounts:CAL GRANT PROGRAM INCOME CEILINGSCal Grant A, C, and TCal Grant BDependent and Independent students with dependents*Family SizeSix or more$74,100$40,700Five$68,700$37,700Four$64,100$33,700Three$59,000$30,300Two$57,600$26,900 IndependentSingle, no dependents$23,500$23,500Married$26,900$26,900*Applies to independent students with dependents other than a spouse.CAL GRANT PROGRAM ASSET CEILINGSCal Grant A, C, and TCal Grant B Dependent**$49,600$49,600Independent$23,600$23,600**Applies to independent students with dependents other than a spouse.(2)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 recipients initial Cal Grant award. For a recipient who was initially awarded a Cal Grant for an academic year before the 201112 academic year, the maximum household income and asset levels shall be the greater of the adjusted maximum household income and asset levels or the 201011 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. Before 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 Pell Grant Program and in at least two of the following federal student aid programs:(i)Federal Work-Study Program.(ii)Federal Stafford 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 institutions 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 200001 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 November 1 of each year the institutions latest official three-year cohort default rate and graduation rate as most recently reported by the United States Department of Education. For purposes of this section, the graduation rate is the percentage of full-time, first-time degree or certificate-seeking undergraduate students who graduate in 150 percent or less of the expected time to complete degree requirements as most recently reported publicly in any format, including preliminary data records, by the United States Department of Education.(B)For purposes of the 201112 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 201213 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 institutions 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 institutions 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 201213 academic year, and every academic year thereafter, an otherwise qualifying institution with a graduation rate of 30 percent or less, 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 academic 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 that maintains 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 201617 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 students 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)The commission may grant an appeal for an academic year only if the commission has determined the institution has a cohort size of 20 individuals or less and the cohort is not representative of the overall institutional performance.(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.SEC. 2.Section 69433 of the Education Code is amended to read:69433.(a)(1)A Cal Grant Program award shall be based upon the financial need of the applicant, and shall not exceed the calculated financial need for any individual applicant. The minimum level of financial need of each applicant shall be determined by the commission pursuant to Section 69432.9. The commission may provide renewal awards.(2)A student attending a nonpublic institution shall receive a renewal award for tuition or fees, or both, in an amount not to exceed the maximum allowable award amount that was in effect in the year in which the student first received a new award.(b)A Cal Grant award authorized pursuant to this chapter shall be defined as a full-time equivalent grant. An award to a part-time student shall be a prorated portion of a full-time grant, as determined by the commission, based on the number of semester units, or the equivalent, being taken by the student.(c)(1)The commission shall prescribe the use of standardized student financial aid applications for California. These applications shall be simple in nature, and collect common data elements required by the federal government and those elements needed to meet the objectives of state-funded and institutional financial aid programs.(2)The applications prescribed in paragraph (1) shall be utilized for the Cal Grant Program, all other programs funded by the state or a public institution of postsecondary education (except for the Financial Assistance Program of the Board of Governors of the California Community Colleges authorized by Chapter 1118 of the Statutes of 1987, for which a simplified application designed for that sole purpose may be used), and all federal programs administered by a public postsecondary education institution.(3)Supplemental application information may be utilized if the information is essential to accomplishing the objectives of individual programs. All supplemental application information used for the purposes of commission-administered programs shall be subject to approval by the commission, and applications shall be identical for programs with similar objectives, as determined by the commission.(4)Public postsecondary institutions are encouraged to use, but may decide whether to use, the standard applications for funds provided by private donors.(5)The Legislature finds and declares that it is in the best interest of students that all postsecondary education institutions in California participating in federal and state-funded financial aid programs accept the standard applications prescribed by the commission.(d)Nothing in this chapter shall prevent an individual public postsecondary institution from processing, with its own staff and fiscal resources, the standard financial aid applications specified in subdivision (c) for student aid programs for which it has legal responsibility.(e)The commission may enter into contracts with a public agency or a private entity to improve the processing and distribution of grants, fellowships, and loans through the use of electronic networks and unified data bases.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 69432.95 is added to the Education Code, immediately preceding Section 69433, to read:69432.95. (a) For purposes of this section, qualifying institution has the same meaning as in Section 69432.7.(b) Upon the initial award and renewal of a Cal Grant award, the commission shall notify in writing the award recipient of all of the following:(1) A Cal Grant award is limited to four years, except as provided in subdivision (c) of Section 69433.6.(2) A student needs to take 15 units or the equivalent per semester or the equivalent or 30 units or the equivalent per academic year to graduate within four years.(c) During the orientation of a new student, a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).(d) Upon annual registration by a student, the financial aid office of a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).
SECTION 1. Section 69432.95 is added to the Education Code, immediately preceding Section 69433, to read:
### SECTION 1.
69432.95. (a) For purposes of this section, qualifying institution has the same meaning as in Section 69432.7.(b) Upon the initial award and renewal of a Cal Grant award, the commission shall notify in writing the award recipient of all of the following:(1) A Cal Grant award is limited to four years, except as provided in subdivision (c) of Section 69433.6.(2) A student needs to take 15 units or the equivalent per semester or the equivalent or 30 units or the equivalent per academic year to graduate within four years.(c) During the orientation of a new student, a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).(d) Upon annual registration by a student, the financial aid office of a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).
69432.95. (a) For purposes of this section, qualifying institution has the same meaning as in Section 69432.7.(b) Upon the initial award and renewal of a Cal Grant award, the commission shall notify in writing the award recipient of all of the following:(1) A Cal Grant award is limited to four years, except as provided in subdivision (c) of Section 69433.6.(2) A student needs to take 15 units or the equivalent per semester or the equivalent or 30 units or the equivalent per academic year to graduate within four years.(c) During the orientation of a new student, a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).(d) Upon annual registration by a student, the financial aid office of a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).
69432.95. (a) For purposes of this section, qualifying institution has the same meaning as in Section 69432.7.(b) Upon the initial award and renewal of a Cal Grant award, the commission shall notify in writing the award recipient of all of the following:(1) A Cal Grant award is limited to four years, except as provided in subdivision (c) of Section 69433.6.(2) A student needs to take 15 units or the equivalent per semester or the equivalent or 30 units or the equivalent per academic year to graduate within four years.(c) During the orientation of a new student, a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).(d) Upon annual registration by a student, the financial aid office of a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).
69432.95. (a) For purposes of this section, qualifying institution has the same meaning as in Section 69432.7.
(b) Upon the initial award and renewal of a Cal Grant award, the commission shall notify in writing the award recipient of all of the following:
(1) A Cal Grant award is limited to four years, except as provided in subdivision (c) of Section 69433.6.
(2) A student needs to take 15 units or the equivalent per semester or the equivalent or 30 units or the equivalent per academic year to graduate within four years.
(c) During the orientation of a new student, a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).
(d) Upon annual registration by a student, the financial aid office of a qualifying institution shall notify in writing a student all of the information described in paragraphs (1) and (2) of subdivision (b).
SEC. 2. If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
SEC. 2. If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
SEC. 2. If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
### SEC. 2.
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 determining Cal Grant eligibility, means between six and below 30 semester units, or the equivalent, in an academic year, when six or more semester units, or the equivalent, are taken each semester or the equivalent.
(2)Full time, for purposes of determining Cal Grant eligibility, means:
(A)Twelve or more semester units or the equivalent, in a semester, for new Cal Grant award eligibility until the start of the 201920 academic year, and for renewal of a Cal Grant award eligibility until the start of the 202223 academic year.
(B)Thirty or more semester units or the equivalent, in an academic year, for new Cal Grant award eligibility commencing with the start of the 201920 academic year, and for all subsequent renewals of that eligibility, and for all Cal Grant award eligibility commencing with the start of the 202223 academic year.
(3)Notwithstanding paragraphs (1) and (2), for the purposes of determining Cal Grant eligibility of a student attending a California community college:
(A)Part time means between six and below 12 semester units or the equivalent, in a semester or the equivalent.
(B)Full time means 12 or more semester units or the equivalent, in a semester 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 Officers 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)(1)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 200102 academic year, which shall be set pursuant to the following income and asset ceiling amounts:
CAL GRANT PROGRAM INCOME CEILINGS
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 dependents $23,500 $23,500
Married $26,900 $26,900
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 dependents
$23,500
$23,500
Married
$26,900
$26,900
*Applies to independent students with dependents other than a spouse.
CAL GRANT PROGRAM ASSET CEILINGS
CAL GRANT PROGRAM ASSET CEILINGS
Cal Grant A, C, and T Cal Grant B
Dependent** $49,600 $49,600
Independent $23,600 $23,600
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.
(2)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 recipients initial Cal Grant award. For a recipient who was initially awarded a Cal Grant for an academic year before the 201112 academic year, the maximum household income and asset levels shall be the greater of the adjusted maximum household income and asset levels or the 201011 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. Before 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 Pell Grant Program and in at least two of the following federal student aid programs:
(i)Federal Work-Study Program.
(ii)Federal Stafford 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 institutions 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 200001 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 November 1 of each year the institutions latest official three-year cohort default rate and graduation rate as most recently reported by the United States Department of Education. For purposes of this section, the graduation rate is the percentage of full-time, first-time degree or certificate-seeking undergraduate students who graduate in 150 percent or less of the expected time to complete degree requirements as most recently reported publicly in any format, including preliminary data records, by the United States Department of Education.
(B)For purposes of the 201112 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 201213 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 institutions 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 institutions 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 201213 academic year, and every academic year thereafter, an otherwise qualifying institution with a graduation rate of 30 percent or less, 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 academic 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 that maintains 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 201617 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 students 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)The commission may grant an appeal for an academic year only if the commission has determined the institution has a cohort size of 20 individuals or less and the cohort is not representative of the overall institutional performance.
(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.
(a)(1)A Cal Grant Program award shall be based upon the financial need of the applicant, and shall not exceed the calculated financial need for any individual applicant. The minimum level of financial need of each applicant shall be determined by the commission pursuant to Section 69432.9. The commission may provide renewal awards.
(2)A student attending a nonpublic institution shall receive a renewal award for tuition or fees, or both, in an amount not to exceed the maximum allowable award amount that was in effect in the year in which the student first received a new award.
(b)A Cal Grant award authorized pursuant to this chapter shall be defined as a full-time equivalent grant. An award to a part-time student shall be a prorated portion of a full-time grant, as determined by the commission, based on the number of semester units, or the equivalent, being taken by the student.
(c)(1)The commission shall prescribe the use of standardized student financial aid applications for California. These applications shall be simple in nature, and collect common data elements required by the federal government and those elements needed to meet the objectives of state-funded and institutional financial aid programs.
(2)The applications prescribed in paragraph (1) shall be utilized for the Cal Grant Program, all other programs funded by the state or a public institution of postsecondary education (except for the Financial Assistance Program of the Board of Governors of the California Community Colleges authorized by Chapter 1118 of the Statutes of 1987, for which a simplified application designed for that sole purpose may be used), and all federal programs administered by a public postsecondary education institution.
(3)Supplemental application information may be utilized if the information is essential to accomplishing the objectives of individual programs. All supplemental application information used for the purposes of commission-administered programs shall be subject to approval by the commission, and applications shall be identical for programs with similar objectives, as determined by the commission.
(4)Public postsecondary institutions are encouraged to use, but may decide whether to use, the standard applications for funds provided by private donors.
(5)The Legislature finds and declares that it is in the best interest of students that all postsecondary education institutions in California participating in federal and state-funded financial aid programs accept the standard applications prescribed by the commission.
(d)Nothing in this chapter shall prevent an individual public postsecondary institution from processing, with its own staff and fiscal resources, the standard financial aid applications specified in subdivision (c) for student aid programs for which it has legal responsibility.
(e)The commission may enter into contracts with a public agency or a private entity to improve the processing and distribution of grants, fellowships, and loans through the use of electronic networks and unified data bases.