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California Association of Private Postsecondary Schools

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California A.B. 1538 - State Financial Aid


Sponsor: Assemblymember Susan Eggman (D)

Summary: Stipulates that a qualifying institution with a three-year cohort default rate that is equal to or greater than 15.5 percent, as certified by the Student Aid Commission by October 1 of the prior academic year, may be ineligible for initial and renewal Cal Grant awards at the institution.

Provides that an institution that is ineligible for initial and renewal Cal Grant awards at the institution may be eligible if that institution has an undergraduate student body comprised of at least 2/3 low-income students as certified by the commission by October 1 of the prior academic year, has a three-year cohort default rate less than 20 percent, or has a graduation rate greater than 70% for students taking 150% or less of the expected time to complete degree requirements.

Status: Introduced 1/22/2014. Referred to Assembly Committee on Higher Education 1/30/2014. Hearing scheduled 3/18/2014.

Outlook: The committee will accept public testimony during the March 18 hearing. Written testimony should be submitted in advance of the hearing. Generally, measures are acted upon during their public hearing if they are considered by the committee. Action will be taken at the discretion of the chairman.

The sponsor is a member of the majority party but has not registered any cosponsors from the chamber. The sponsor has garnered to support of two majority Senate cosponsors, Senators Cathleen Galgiani (D) and Jerry Hill (D). The Democratic Party controls both legislative chambers as well as the Governor's office.

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