Existing law establishes the Middle Class Scholarship Program (MCSP) under the administration of the Student Aid Commission. Existing law makes an undergraduate student eligible for a scholarship award under the MCSP if the student is enrolled at the University of California or the California State University, or enrolled in upper division coursework in a community college baccalaureate program, and meets certain eligibility requirements.

This bill would extend awards under the MCSP to community college students who are current or former foster youth pursuing transfer to a 4-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a community college career technical education certificate and meet other MCSP requirements, as provided. The bill would require the commission to summarize the provisions of the MCSP that apply to these current or former foster youth and title those provisions as The Fostering Futures Program on a page on its internet website.

Existing law establishes the Middle Class Scholarship Program (MCSP) under the administration of the Student Aid Commission. Existing law makes an undergraduate student eligible for a scholarship award under the MCSP if the student is enrolled at the University of California or the California State University, or enrolled in upper division coursework in a community college baccalaureate program, and meets certain eligibility requirements.

This bill would extend awards under the MCSP to community college students who are current or former foster youth pursuing transfer to a 4-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a community college career technical education certificate and meet other MCSP requirements, as provided. The bill would require the commission to summarize the provisions of the MCSP that apply to these current or former foster youth and title those provisions as The Fostering Futures Program on a page on its internet website.

 THIRD READING  

Bill No: SB 307

Author: Ashby (D) and McGuire (D), et al.

Introduced: 2/2/23

Vote: 21

SENATE EDUCATION COMMITTEE: 7-0, 3/29/23

AYES: Newman, Ochoa Bogh, Cortese, Glazer, McGuire, Smallwood-Cuevas, Wilk

SENATE HUMAN SERVICES COMMITTEE: 5-0, 4/24/23

AYES: Alvarado-Gil, Ochoa Bogh, Hurtado, Menjivar, Wahab

SENATE APPROPRIATIONS COMMITTEE: 6-1, 5/18/23

AYES: Portantino, Ashby, Bradford, Seyarto, Wahab, Wiener

NOES: Jones

SUBJECT: Middle Class Scholarship Program: community colleges: current and former foster youth

SOURCE: John Burton Advocates for Youth

DIGEST:

This bill expands eligibility for the Middle Class Scholarship (MCS) to community college students who are current or former foster youth pursuing transfer to a four-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a certificate. This bill additional relaxes eligibility MCS requirements for this group of students.

ANALYSIS: Existing law establishes the MCS program under the administration of the California Student Aid Commission (Commission). Existing law makes an undergraduate student eligible for a scholarship award under the MCS if the student is enrolled at the University of California (UC) or the California State University (CSU), or enrolled in upper division coursework in a community college baccalaureate program, and meets certain eligibility requirements. (Education Code (EC) Sections 70020 – 70023)

This bill:

1. Expands eligibility for the MCS program to community colleges students who are current or former foster youth pursuing transfer to a four-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a certificate and who do not exceed the program’s current annual household income and asset thresholds.
2. Relaxes the MCS eligibility requirements for community college students who are current and former foster youth as follows:
   1. Moves the deadline for submitting FAFSA or a CADA from March 2 to September 2.
   2. Uses the satisfactory academic progress standard established for Chafee program.
   3. Removes the requirement that students be pursuing their first undergraduate baccalaureate degree to be eligible.
3. Excludes the student contribution requirement from consideration when determining a current or former foster youth’s remaining financial need to cover costs associated with college attendance and requires that the amount necessary to fund MSC awards for community college students who are current or former foster youth be set aside when determining the percentage of each student’s remaining cost covered by the award.
4. Establishes the maximum MCS award amount for community college students who are current or former foster youth to be the full amount for which they are eligible to receive rather than a percentage of their eligible amount as prescribed for all other recipients and increases the number of years an MCS award can be renewed from 4 to 8 years of full-time attendance for a current or former foster youth enrolled at the UC, CSU or the CCCs.
5. Exempts scholarship awards for current or former foster youth attending community college from being reduced in the manner prescribed by current law for all other MCS awards when sufficient funds are unavailable. (Due to a drafting error, the incorrect paragraph is cited in the bill but the intent of the author is described here.)
6. Requires that the Commission maintain a page on its internet website that summarizes the provisions of the Middle Class Scholarship Program that apply to current and former foster youth and title it as “The Fostering Futures Program.”

Comments

1. Need for this bill. According to the author, “California has been making strides to improve access to financial aid for foster youth, but more can be done. Currently, California offers the Chafee Education and Training Voucher, which provides up to $5,000 annually to eligible foster youth, as well as a $6,000 Cal Grant award for non-tuition costs. However, even with these investments, the state’s financial aid program has not kept pace with significant increases to the cost of living for students, and foster youth are among those hit hardest by this disparity.”
2. New benefit for foster youth within MCS. This bill seeks to have 100 percent of each current or former foster youth’s remaining costs covered at community colleges. It accomplishes this by prohibiting award amounts from being reduced and sets aside the amount necessary to fund these awards when award amounts for other recipients are being determined. It also excludes the student contribution requirement (i.e. work requirement) when assessing the amount for which they are qualified, allowing for a larger award. These changes effectively establish a scholarship dedicated for a unique population within the MCS program’s appropriation and framework. The remainder of the MCS appropriation will be rationed among all other qualified students, which may affect their award amounts.
3. Who is eligible? Under the bill’s provisions, eligibility is extended to current and former foster youth attending a CCC who have submitted the FAFSA or a CADA application by September 2. Community college students must be pursuing transfer, an associate degree, or a certificate, and their annual household income and assets must not exceed the threshold for the MCS program. A current or former foster youth is defined as current or former foster whose dependency was established or continued by the court after their 13^th birthday.
4. Foster youth. According to the letter of support submitted to the committee from John Burton Advocates for Youth, “Children and youth enter foster care due to serious abuse and neglect. This trauma is often compounded by the instability they experience while in foster care, through placement and school changes. Together, these lead to poor educational outcomes, most notably low rates of college completion: in California, just 10% of foster youth obtain a two-year or four-year degree by the age of 23 compared to 36% of their non-foster youth peers. However, a recent student found that foster youth who receive a Chafee Education and Training Voucher are twice as likely to graduate as those who did not.” This bill seeks to further support foster youth cover their remaining financial need associated with college attendance, including housing, transportation and materials.
5. Award renewals. This bill, in addition to the benefits provided to community college students, increases the number of years an MCS award can be renewed for current or former foster youth at UC or CSU by four years. This is similar to the renewal limits established in state's Cal Grant program for foster youth. Unlike the Cal Grant, MCS is not an entitlement program and not all eligible students will get their full scholarship.
6. Relaxes some eligibility requirements. This measure also relaxes some MCS eligibility rules specifically for current and former foster youth, including changes that could make the program available to students pursuing a second baccalaureate degree, extends the application deadline, and employs a less stringent process when failing to meet satisfactory academic progress standards. These changes do not apply to non-foster youth.
7. MCS implementation concerns. Making changes to the MCS to better serve those with the greatest financial need such as current or former foster youth is a worthy goal, but doing so in the manner prescribed by the bill may present implementation challenges, given the difficulties mentioned in the Senate Education Committee analysis. Additionally, because the bill grows the program at the community colleges, it is unclear whether the community college financial aid offices are prepared or equipped to participate in this program, given that they do not currently administer MCS at the proposed level. To ensure that implementation is feasible so that newly eligible current or foster youth, as well as other students, receive awards in a timely manner and campuses and the Commission are equipped to administer the program the author may wish to consider extending the bill’s implementation date.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Senate Appropriations Committee:

• This bill provides that its provisions would be implemented within the existing MCS program budget, therefore any costs exceeding that amount would result in reductions to MCS awards. The Commission estimates that this bill’s impact on the existing MCS appropriation would range from $65.7 million to $288.9 million. On the low end, this estimate assumes there would be a minimum of 4,417 foster youth students attending community college part-time. On the high end, the estimate assumes there would be approximately 16,620 students attending community college full-time. A precise number would depend on a variety of factors, most notably student behavior and the number of students that transition from part-time or less to full-time due to the availability of the new community college MCS grant. The Commission indicates it assumed an average cost of attendance of $25,000 for community college students and then subtracted the estimated Pell, Cal and Chafee grant amounts.
• The Commission estimates one-time General Fund costs of $614,000 in the first year of implementation, and ongoing General Fund costs of $292,000 to administer the MCS program for foster youth. These resources would be needed to support program implementation and IT systems development since the Commission’s existing IT processes were not designed to communicate or interact with all of the 115 community college campuses and their different automated systems or manual processes. The Commission indicates that IT enhancements would also be necessary for the MCS programs at UC and CSU.

SUPPORT: (Verified 5/18/23)

John Burton Advocates for Youth (source)

3rd Street Youth Center & Clinic

A Better Way, Inc.

Alameda County Office of Education, Foster Youth Services Coordinating

Aspiranet

Associated Students of Pasadena City College

Barstow Community College

Berkeley Hope Scholars

Beyond Emancipation

Butte College Inspiring Scholars

California Alliance of Caregivers

California Chamber of Commerce

California Charter Schools Association

California Court Appointed Special Advocate Association

California Professional Firefighters

California State University, Dominguez Hills - Toro Guardian Scholars Program

California Teachers Association

Casa Pacifica Centers for Children and Families

Cerritos College

Chief Probation Officers' of California

Children Now

Children Youth & Family Collaborative

Children's Advocacy Institute

Children's Institute

Children's Law Center of California

Children's Legal Services of San Diego

City Year Inc.

County of Santa Clara

County Welfare Directors Association of California

Cuesta College

Doing Good Works

EA Family Services

East Bay Leadership Council

FASD Network of Northern California

FASDNow! a California Alliance

First Place for Youth

Foster Care Counts

Foster Youth Services at College of the Desert

GENup

Haven of Hope

Jovenes, Inc.

League of Women Voters of California

Los Angeles County

Mary Graham Children's Foundation

Merced County Independent Living Program

Monterey County Office of Education - Foster Youth Services

Mt. San Antonio College

Mt. San Antonio College- REACH Guardian Scholars

National Association of Social Workers, California Chapter

Natomas Unified School District

Norco College

North Orange Community College District

Northern California College Promise Coalition

Oak Grove Sanctuary Palm Springs

On The Move/VOICES

Pivotal

Power to Soar Foundation

Prevail

Rancho Santiago Community College District

Razing The Bar

Reedley College

Rio Hondo College

Riverside City College, Guardian Scholar Program

San Benito County - Health & Human Services Agency - Child Welfare Division

San Diego City College

San Jose-Evergreen Community College District

Schoolhouse Connection

Shasta College - Inspiring & Fostering Independence

Smart Justice California

Sonoma County - Family Youth & Children's Services

Students Rising Above

Sycamores

TLC Child & Family Services - Transition Age Youth Housing

Together We Rise Dba Foster Love

United Friends of the Children

Unite-LA

USC Rossier Pullias Center for Education

Waking the Village

Walden Family Services

Wind Youth Services

Woodland Community College Foster & Kinship Care Education

Youth Law Center

Youth Leadership Institute

OPPOSITION: (Verified 5/18/23)

None received

Prepared by: Olgalilia Ramirez / ED. / (916) 651-4105

5/20/23 12:41:18

**** END ****

SENATE COMMITTEE ON

Senator Anthony Portantino, Chair

2023 - 2024 Regular Session

SB 307 (Ashby) - Middle Class Scholarship Program: community colleges: current and former foster youth

Bill Summary:

This bill would expand eligibility for the Middle Class Scholarship (MCS) to community college students who are current or former foster youth pursuing transfer to a four-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a certificate.

Fiscal Impact:

• This bill provides that its provisions would be implemented within the existing MCS program budget, therefore any costs exceeding that amount would result in reductions to MCS awards. The Commission estimates that the bill’s impact on the existing MCS appropriation would range from $65.7 million to $288.9 million. On the low end, this estimate assumes there would be a minimum of 4,417 foster youth students attending community college part-time. On the high end, the estimate assumes there would be approximately 16,620 students attending community college full-time. A precise number would depend on a variety of factors, most notably student behavior and the number of students that transition from part-time or less to full-time due to the availability of the new community college MCS grant. The Commission indicates it assumed an average cost of attendance of $25,000 for community college students and then subtracted the estimated Pell, Cal and Chafee grant amounts.
• The California Student Aid Commission estimates one-time General Fund costs of $614,000 in the first year of implementation, and ongoing General Fund costs of $292,000 to administer the MCS program for foster youth. These resources would be needed to support program implementation and IT systems development since the Commission’s existing IT processes were not designed to communicate or interact with all of the 115 community college campuses and their different automated systems or manual processes. The Commission indicates that IT enhancements would also be necessary for the MCS programs at UC and CSU.

Background:

Existing law establishes the MCS program under the administration of the Commission. Existing law makes an undergraduate student eligible for a scholarship award under the MCS if the student is enrolled at the University of California (UC) or the California State University (CSU), or enrolled in upper division coursework in a community college baccalaureate program, and meets certain eligibility requirements.

Existing law provides that a student is eligible to receive an MCS award if in addition to meeting the specified criteria, submits a complete financial aid application, submitted and postmarked no later than March 2. It also provides that a student is eligible to receive an MCS award if in addition to meeting the specified criteria, is pursuing the student’s first undergraduate baccalaureate degree or has completed a baccalaureate degree and has been admitted to, and is enrolled in, a program of professional teacher preparation at an institution approved by the Commission on Teacher Credentialing.

Existing law provides that a student is eligible to receive an MCS award if in addition to meeting the specified criteria, maintains satisfactory academic progress in a manner that is consistent with the requirements applicable to the Cal Grant program. It also prohibits an applicant from receiving a MCS program award in excess of the amount equivalent to the award level for a total of a 4-year period of full-time attendance in an undergraduate program at UC or CSU or two-year period of full-time upper division coursework attendance in the community college baccalaureate degree program.

Existing law requires that scholarships be reduced proportionately by an equal percentage for all recipients of scholarships if amounts appropriated for the MCS program are not sufficient. It also provides that the maximum amount of a student’s scholarship award be determined by taking the amount appropriated for the MCS program for the applicable award year, and dividing that by the sum of the projected amount computed for all eligible students, as described.

Proposed Law:

This bill expands eligibility for the MCS program to community colleges students who are current or former foster youth pursuing transfer to a four-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a certificate and who do not exceed the program’s current annual household income and asset thresholds.

This bill relaxes the MCS eligibility requirements for community college students who are current and former foster youth as follows:

• 1. Moves the deadline for submitting FAFSA or a CADA from March 2 to

September 2.

• 1. Uses the satisfactory academic progress standard established for

Chafee program.

• 1. Removes the requirement that students be pursuing their first

undergraduate baccalaureate degree to be eligible.

This bill excludes the student contribution requirement from consideration when determining a current or former foster youth’s remaining financial need to cover costs associated with college attendance, and requires that the amount necessary to fund MSC awards for community college students who are current or former foster youth be set aside when determining the percentage of each student’s remaining cost covered by the award.

This bill establishes the maximum MCS award amount for community college students who are current or former foster youth to be the full amount for which they are eligible to receive rather than a percentage of their eligible amount as prescribed for all other recipients. It also increases the number of years an MCS award can be renewed from 4 to 8 years of full-time attendance for a current or former foster youth enrolled at the UC, CSU or the CCCs.

This bill exempts scholarship awards for current or former foster youth attending community college from being reduced in the manner prescribed by current law for all other MCS awards when sufficient funds are unavailable. This bill also requires that the Commission maintain a page on its internet website that summarizes the provisions of the Middle Class Scholarship Program that apply to current and former foster youth and title it as “The Fostering Futures Program.”

Staff Comments:

The MCS provides undergraduate students with a scholarship, which accounts for the cost of attendance, to attend a UC, CSU or community college Bachelor’s degree program. Students with family income and assets up to $201,000 may be eligible. To determine each student’s award amount, the Commission will first determine each student’s remaining cost of attendance, after accounting for other available gift aid, a student contribution from part-time work earnings, and a parent contribution for dependent students with a household income of more than $100,000. Then the Commission determines what percentage of each student’s remaining costs to cover based on the annual appropriation for the program. In 2022-23, the program is estimated to cover 24 percent of each student’s remaining costs.

This bill seeks to have 100 percent of each current or former foster youth’s remaining costs covered at community colleges. It accomplishes this by prohibiting award amounts from being reduced and sets aside the amount necessary to fund these awards when award amounts for other recipients are being determined. The bill also excludes the student contribution requirement (i.e. work requirement) when assessing the amount for which they are qualified which would allow for a larger award. The remainder of the MCS appropriation will be rationed among all other qualified students, which may reduce their award amounts. For the 2022-23 academic year, the average MCS awards for UC and CSU students were $2,074 and $2,429, respectively.

-- END --

SENATE COMMITTEE ON HUMAN SERVICES

Senator Alvarado-Gil, Chair

2023 - 2024 Regular

Subject: Middle Class Scholarship Program: community colleges: current and former foster youth

SUMMARY

This bill expands eligibility for the Middle Class Scholarship Program (MCSP) to current or former foster youth who are attending community college and pursuing transfer to a four-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a certificate.

ABSTRACT

Existing Law:

1. Establishes a state and local system of child welfare services (CWS), including foster care, for children who have been adjudged by the court to be at risk of abuse and neglect or to have been abused or neglected, as specified. (WIC 202)
   
2. Establishes a system of juvenile dependency for children for specified reasons, and designates that a child who meets certain criteria is within the jurisdiction of the juvenile court and may be adjudged as a dependent child of the court, as specified. (WIC 300 et seq.)
   
3. Requires each campus of the CSU and CCC, and requests each campus of the UC, to grant priority enrollment to current and former foster youth and current and former homeless youth. (Education Code (EDC) 66025.9)
   
4. Defines a current or former foster youth for the purposes of priority enrollment as a person in California whose dependency was established or continued by the court on or after the youth’s 13th birthday and who is no older than 25 years of age at the commencement of the academic year. (EDC 66025.9)
   
5. Authorizes the CCC Chancellor’s Office to enter into agreements with up to 20 community college districts to provide additional funds for services in support of postsecondary education for foster youth, also known as the Cooperating Agencies Foster Youth Education Support Program (NextUp). Further provides that services are to include, when appropriate, outreach and recruitment; consultation and eligibility verification; consultation and referrals for students deemed ineligible; service coordination; counseling; book and supply grants; tutoring; independent living and financial literacy skills support; frequent in-person contact; career guidance; transfer counseling; childcare and transportation assistance; referrals to health services, mental health services, housing assistance; and other related services. (EDC 79220)
   
6. 6) Requires a student participating in the foster youth education support program to meet both of the following requirements: a) Be a current or former California foster youth whose dependency was established or continued by the court on or after the youth’s 16th birthday; and b) Be no older than 25 years of age at the beginning of any academic year in which the student participates in the program. (EDC 79222)
   
7. Establishes as eligibility criteria, among other things, that the student qualify to receive a fee waiver with a calculated Expected Family Contribution of $0. (California Code of Regulations, Title 5, Sec. 56403)

This Bill:

1. Expands MCSP to community colleges students who are current or former foster youth pursuing transfer to a four-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a certificate and who do not exceed the program’s current annual household income and asset thresholds.
   
2. Relaxes the MCSP eligibility requirements for community college students who are current and former foster youth.
   
3. Excludes the student contribution requirement from consideration when determining a current or former foster youth’s remaining financial need to cover costs associated with college attendance.
   
4. Requires that the amount necessary to fund MSC awards for community college students who are current or former foster youth be set aside when determining the percentage of each student’s remaining cost covered by the award.
   
5. Establishes the maximum MCS award amount for community college students who are current or former foster youth to be the full amount for which they are eligible to receive rather than a percentage of their eligible amount as prescribed for all other recipients.
   
6. Increases the number of years an MCS award can be renewed from 4 to 8 years of full-time attendance for a current or former foster youth enrolled at the UC, CSU or the CCCs.
   
7. Exempts scholarship awards for current or former foster youth attending community college from being reduced in the manner prescribed by current law for all other MCS awards when sufficient funds are unavailable. (Due to a drafting error, the incorrect paragraph is cited in the bill but the intent of the author is described here.)
   
8. Requires that the Commission maintain a page on its internet website that summarizes the provisions of the Middle Class Scholarship Program that apply to current and former foster youth and title it as “The Fostering Futures Program.”

FISCAL IMPACT

This bill has not yet been analyzed by a fiscal committee.

BACKGROUND AND DISCUSSION

Purpose of the Bill: According to the authors, “California has been making strides to improve access to financial aid for foster youth, but more can be done. Currently, California offers the Chafee Education and Training Voucher, which provides up to $5,000 annually to eligible foster youth, as well as a $6,000 Cal Grant award for non-tuition costs. However, even with these investments, the state’s financial aid program has not kept pace with significant increases to the cost of living for students, and foster youth are among those hit hardest by this disparity.”

The authors go on to say, “Every foster youth deserves the opportunity to achieve their college dream, but in too many cases, that dream is out of reach due to financial barriers and extreme challenges that come about in the foster system. This is simply unacceptable. SB 307 will change countless lives by guaranteeing California’s foster youth the financial resources to go to and through college.”

Child Welfare Services (CWS)

The CWS system is an essential component of the state’s safety net. Social workers in each county who receive reports of abuse or neglect, investigate and resolve those reports. When a case is substantiated, a family is either provided with services to ensure a child’s well-being and avoid court involvement, or a child is removed and placed into foster care. In 2022, the state’s child welfare agencies received 440,212 reports of abuse or neglect. Of these, 51,806 reports contained allegations that were substantiated and 19,953 children were removed from their homes and placed into foster care via the CWS system.

Abused and neglected children who have been removed from their homes fall under the jurisdiction of the county’s juvenile dependency court. The dependency court holds legal jurisdiction over the child, while the child is served by a CWS system social worker. This system seeks to ensure the safety and protection of these children, and where possible, preserve and strengthen families through visitation and family reunification. It is the state’s goal to reunify a foster child or youth with their biological family whenever possible. Reunification is accomplished through the child’s biological parents completing all reunifications requirements ordered by a dependency court judge, which typically involves the provision of services, such as drug counseling or parenting classes, to that parent. In instances where reunification is not possible, due to the parent being unable or unwilling to meet the court’s requirements, it is the state’s goal to provide a permanent placement alternative, such as adoption or guardianship, with priority placed on uniting children with other relatives or nonrelative extended family members.

Foster Youth and Higher Education

Children and youth typically enter the CWS system because of abuse and/or serious neglect. This trauma is then further compounded by the instability they experience while in foster care, through placement and school changes. The result is well-documented disparities in education outcomes between foster youth and their non-foster peers, with the CalYouth Study reporting that in California just 11 percent of foster youth obtain a degree by age 23 as compared to 36 percent of the same-age non-foster youth population.^[1]

This bill deals with a current or former foster youth’s eligibility for the MCS and relaxes some eligibility requirements to make such financial aid easier to obtain. Foster youth obtain degrees at a rate much lower than non-foster youth. Financial burdens are often a huge barrier to receiving a degree. This bill makes it easier for current or former foster youth to avail themselves of the MCS and in doing so, increases their chances to achieve their educational goals.

Expanding MCS Benefits for Foster Youth

California provides two years of free community college tuition. However, that assistance is limited to tuition and does not include expenses such as books or housing. MSC helps to fill that gap by providing money for unmet needs of students.

MCS provides undergraduate students with a scholarship, and was recently revamped to account for cost of attendance, to attend a UC, CSU or community college Bachelor’s degree program. Currently, a community college student pursing an associate degree or certificate is not eligible for MCS. Students with family income and assets up to $201,000 may be eligible. To determine each student’s award amount, the Commission will first determine each student’s remaining cost of attendance, after accounting for other available gift aid, a student contribution from part-time work earnings, and a parent contribution for dependent students with a household income of more than $100,000. Then, the Commission will determine what percentage of each student’s remaining costs to cover based on the annual appropriation for the program. In 2022-23, the program is estimated to cover 24 percent of each student’s remaining costs. This bill seeks to have 100 percent of each current or former foster youth’s remaining costs covered at community colleges.

Related/Prior Legislation:

SB 228 (Leyva) This bill would have expanded eligibility for priority enrollment for current and former foster youth at the University of California, California State University, and California

Community Colleges (CCCs). This bill also would have expanded eligibility for a student support program for current and former foster youth at the CCCs by lowering the age in care requirement from 16 to 13, thus increasing the number of eligible youth. This bill was held on the Senate floor, but the provisions described above were amended into SB 512 (Min, Chapter 574, Statutes of 2021), which was signed into law.

COMMENTS

As noted in the Senate Education Committee analysis, due to a drafting error, the incorrect paragraph is cited in Education Code Section 70023 (b)(3) of the bill. Should the bill move forward, the author may wish to correct the error by referencing the appropriate subdivision.

PRIOR VOTES

POSITIONS

Support:

John Burton Advocates for Youth (Sponsor)

3rd Street Youth Center & Clinic

A Better Way, INC.

Alameda County Office of Education

Aspiranet

Associated Students of Pasadena City College

Barstow Community College

Berkeley Hope Scholars

Beyond Emancipation

Butte College Inspiring Scholars

California Alliance of Caregivers

California Chamber of Commerce

California Charter Schools Association (CCSA)

California Court Appointed Special Advocate Association

California Professional Firefighters

California State University, Dominguez Hills - Toro Guardian Scholars Program

California Teachers Association

Casa Pacifica Centers for Children and Families

Cerritos College

Children Now - Child Welfare

Children Youth & Family Collaborative

Children's Advocacy Institute

Children's Institute

Children's Legal Services of San Diego

Cuesta College - Financial Aid

Doing Good Works

Ea Family Services

East Bay Leadership Council

Fasd Network of Northern California

Fasd Now! a California Alliance

First Place for Youth

Foster Care Counts

Foster Youth Services At College of The Desert

Haven of Hope

Jovenes, INC.

Mary Graham Children's Foundation

Merced County Independent Living Program

Monterey County Office of Education - Foster Youth Services

Mt. San Antonio College

Mt. San Antonio College- Reach Guardian Scholars

National Association of Social Workers, California Chapter

Natomas Unified School District

Norco College

North Orange Community College District

Northern California College Promise Coalition

Oak Grove Sanctuary Palm Springs

Pivotal

Power to Soar Foundation

Prevail

Razing the Bar

Reedley College

Rio Hondo College

Riverside City College, Guardian Scholar Program

San Benito County - Health & Human Services

San Diego City College - Nextup Program

San Jose-evergreen Community College District

Schoolhouse Connection

Shasta College - Inspiring & Fostering Independence (SCI*FI)

Smart Justice California

Sonoma County - Family Youth & Children's Services

Students Rising Above

Sycamores

Tlc Child & Family Services - Transition Age Youth Housing

Together We Rise Dba Foster Love

Unite-la

United Friends of The Children

Usc Rossier Pullias Center for Higher Education

Voices - Solano

Waking the Village

Walden Family Services

Wind Youth Services

Woodland Community College Foster & Kinship Care Education

Youth Law Center

Youth Leadership Institute

Oppose:

None received

-- END --

1. https://www.chapinhall.org/wp-content/uploads/CY_YT_RE1020.pdf ↑

SENATE COMMITTEE ON EDUCATION

Senator Josh Newman, Chair

2023 - 2024 Regular

Bill No: SB 307 Hearing Date: March 29, 2023

Subject: Middle Class Scholarship Program: community colleges: current and former foster youth.

NOTE: This bill has been referred to the Committees on Education and Human Services. A “do pass” motion should include referral to the Committee on Human Services.

SUMMARY

This bill: 1) expands eligibility for the Middle Class Scholarship (MCS) to community college students who are current or former foster youth pursuing transfer to a four-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a certificate; 2) relaxes some MCS eligibility requirements; 3) excludes the student contribution requirement from consideration when determining a student’s remaining financial need; and 4) requires that the California Student Aid Commission (Commission) set aside funds from the MCS program’s total appropriation for current or former foster youth when determining the percentage of each student’s remaining cost covered by the award.

BACKGROUND

Existing law:

1. Establishes the MCS program under the administration of the Commission. Existing law makes an undergraduate student eligible for a scholarship award under the MCS if the student is enrolled at the University of California (UC) or the California State University (CSU), or enrolled in upper division coursework in a community college baccalaureate program, and meets certain eligibility requirements. (Education Code (EC) Sections 70020 – 70023)
2. Provides that a student is eligible to receive an MCS award if in addition to meeting the specified criteria, submits a complete financial aid application, submitted and postmarked no later than March 2. (EC Section 70020 (a)(3)(F))
3. Provides that a student is eligible to receive an MCS award if in addition to meeting the specified criteria, is pursuing the student’s first undergraduate baccalaureate degree or has completed a baccalaureate degree and has been admitted to, and is enrolled in, a program of professional teacher preparation at an institution approved by the Commission on Teacher Credentialing. (EC Section 70020 (a)(3)(I))
4. Provides that a student is eligible to receive an MCS award if in addition to meeting the specified criteria, maintains satisfactory academic progress in a manner that is consistent with the requirements applicable to the Cal Grant program. (EC Section 70020 (a)(3)(H))
5. Prohibits an applicant from receiving a MCS program award in excess of the amount equivalent to the award level for a total of a 4-year period of full-time attendance in an undergraduate program at UC or CSU or two-year period of full-time upper division coursework attendance in the community college baccalaureate degree program. (EC Section 70022.5 (a))
6. Requires that scholarships be reduced proportionately by an equal percentage for all recipients of scholarships if amounts appropriated for the MCS program are not sufficient. (EC Section 70023 (b)(3))
7. Provides that the maximum amount of a student’s scholarship award be determined by taking the amount appropriated for the MCS program for the applicable award year, and dividing that by the sum of the projected amount computed for all eligible students, as described. (EC Section 70020 (B) and (C))
8. Existing federal law establishes the federal John H. Chafee Foster Care Independence Program to provide, among other benefits, education and training vouchers to qualifying current and former foster youth. (United States Code, Title 42, § 677)
9. Requires the Commission, through an interagency agreement with the Department of Social Services, to operate a federally-funded scholarship program that provides grant aid to California’s current and former foster youth. Existing law requires funds to be used to assist students who are current and former foster youth, for career and technical training or traditional college courses. (EC Section 69519)
10. Prohibits Chafee funds from being released to Chaffee awardees who have failed satisfactory academic progress for two consecutive semesters, three consecutive quarters, or an equivalent enrollment period, unless the student has worked with a qualified college staff member, as specified, to develop and submit an academic progress improvement plan to the Office of Financial Aid. A student who fails to update their plan, or who fails to meet satisfactory academic progress for a fourth consecutive semester, a fifth consecutive quarter, or an equivalent enrollment period, shall lose Chafee eligibility.(EC Section 69519 (h))
11. Requires that a student who loses Chafee eligibility due to failing satisfactory academic progress standards and subsequently un-enrolls for at least one semester, quarter, or other applicable period, is to regain Chafee eligibility upon re-enrollment at a qualifying postsecondary institution. (EC Section 69519 (i))
12. Defines for purposes of the Cal Grant program, “current or former foster youth” to mean a person whose dependency was established or continued by the court on or after the date on which the person reached 13 years of age.
    

ANALYSIS

This bill:

1. Expands eligibility for the MCS program to community colleges students who are current or former foster youth pursuing transfer to a four-year postsecondary educational institution, an associate degree, an associate degree for transfer, or a certificate and who do not exceed the program’s current annual household income and asset thresholds.
2. Relaxes the MCS eligibility requirements for community college students who are current and former foster youth as follows:
   1. Moves the deadline for submitting FAFSA or a CADA from March 2 to

September 2.

• 1. Uses the satisfactory academic progress standard established for

Chafee program.

• 1. Removes the requirement that students be pursuing their first

undergraduate baccalaureate degree to be eligible.

1. Excludes the student contribution requirement from consideration when determining a current or former foster youth’s remaining financial need to cover costs associated with college attendance.
2. Requires that the amount necessary to fund MSC awards for community college students who are current or former foster youth be set aside when determining the percentage of each student’s remaining cost covered by the award.
3. Establishes the maximum MCS award amount for community college students who are current or former foster youth to be the full amount for which they are eligible to receive rather than a percentage of their eligible amount as prescribed for all other recipients.
4. Increases the number of years an MCS award can be renewed from 4 to 8 years of full-time attendance for a current or former foster youth enrolled at the UC, CSU or the CCCs.
5. Exempts scholarship awards for current or former foster youth attending community college from being reduced in the manner prescribed by current law for all other MCS awards when sufficient funds are unavailable. (Due to a drafting error, the incorrect paragraph is cited in the bill but the intent of the author is described here.)
6. Requires that the Commission maintain a page on its internet website that summarizes the provisions of the Middle Class Scholarship Program that apply to current and former foster youth and title it as “The Fostering Futures Program.”

STAFF COMMENTS

1. Need for this bill. According to the author, “California has been making strides to improve access to financial aid for foster youth, but more can be done. Currently, California offers the Chafee Education and Training Voucher, which provides up to $5,000 annually to eligible foster youth, as well as a $6,000 Cal Grant award for non-tuition costs. However, even with these investments, the state’s financial aid program has not kept pace with significant increases to the cost of living for students, and foster youth are among those hit hardest by this disparity.”

The author further asserts, “Every foster youth deserves the opportunity to achieve their college dream, but in too many cases, that dream is out of reach due to financial barriers and extreme challenges that come about in the foster system. This is simply unacceptable. SB 307 will change countless lives by guaranteeing California’s foster youth the financial resources to go to and through college.”

1. New benefit for foster youth within MCS. MCS provides undergraduate students, including students pursuing a teaching credential, with a scholarship, and was recently revamped to account for cost of attendance, to attend a UC, CSU or community college Bachelor’s degree program. Currently, a community college student pursing an associate degree or certificate is not eligible for MCS. Students with family income and assets up to $201,000 may be eligible. To determine each student’s award amount, the Commission will first determine each student’s remaining cost of attendance, after accounting for other available gift aid, a student contribution from part-time work earnings, and a parent contribution for dependent students with a household income of more than $100,000. Then, the Commission will determine what percentage of each student’s remaining costs to cover based on the annual appropriation for the program. In 2022-23, the program is estimated to cover 24 percent of each student’s remaining costs.

This bill seeks to have 100 percent of each current or former foster youth’s remaining costs covered at community colleges. It accomplishes this by prohibiting award amounts from being reduced and sets aside the amount necessary to fund these awards when award amounts for other recipients are being determined. It also excludes the student contribution requirement (i.e. work requirement) when assessing the amount for which they are qualified, allowing for a larger award. These changes effectively establish a scholarship dedicated for a unique population within the MCS program’s appropriation and framework. The remainder of the MCS appropriation will be rationed among all other qualified students, which may affect their award amounts.

1. Who is eligible? Under the bill’s provisions, eligibility is extended to current and former foster youth attending a CCC who have submitted the FAFSA or a CADA application by September 2. Community college students must be pursuing transfer, an associate degree, or a certificate, and their annual household income and assets must not exceed the threshold for the MCS program. A current or former foster youth is defined as current or former foster whose dependency was established or continued by the court after their 13^th birthday.
2. Foster youth. According to information provided by the author’s office, foster youth experience extremely high rates of housing insecurity, which can lead to instability that permeates to other areas of adulthood. A 2019 analysis by the Commission found that 56% of community college students in California lived with their parents. Families play an important role in the housing stability of their adult children, in particular those attending college. Foster youth, by definition, have been removed from their parents and therefore are less likely to have a parental home to fall back on. This is further borne out by research on homelessness among college students that has shown that the rate of homelessness among former foster youth (43%) is more than double that of other students (19%).

According to the letter of support submitted to the committee from John Burton Advocates for Youth, “Children and youth enter foster care due to serious abuse and neglect. This trauma is often compounded by the instability they experience while in foster care, through placement and school changes. Together, these lead to poor educational outcomes, most notably low rates of college completion: in California, just 10% of foster youth obtain a two-year or four year degree by the age of 23 compared to 36% of their non-foster youth peers. However, a recent student found that foster youth who receive a Chafee Education and Training Voucher are twice as likely to graduate as those who did not.” This bill seeks to further support foster youth cover their remaining financial need associated with college attendance, including housing, transportation and materials.

1. Award renewals. This bill, in addition to the benefits provided to community college students, increases the number of years an MCS award can be renewed for current or former foster youth at UC or CSU by four years. This is similar to the renewal limits established in state's Cal Grant program for foster youth. Unlike the Cal Grant, MCS is not an entitlement program and not all eligible students will get their full scholarship. The Commission estimates there to be 200 foster youth at UC, 800 at CSU and 3,000 at community colleges. It is unclear to staff whether extending the eligibility period in this manner would have a significant impact on MCS.
2. Relaxes some eligibility requirements. This measure also relaxes some MCS eligibility rules specifically for current and former foster youth, including changes that could make the program available to students pursuing a second baccalaureate degree, extends the application deadline, and employs a less stringent process when failing to meet satisfactory academic progress standards. These changes do not apply to non-foster youth.
3. MCS implementation concerns. The 2021 Budget Act significantly changed the MCS program. The Legislative Analyst’s Office (LAO) assessment of the MCS noted various challenges as the Commission and campus financial aid offices implemented the redesigned MCS program for the first time this year. In Spring 2022, when students considered admissions offers, the Commission had no data to anticipate MCS award levels under the new approach. Students and families were not informed of their award amounts in time to affect college enrollment or financial planning. According to the LAO Assessment, some of the MCS implementation issues that the Commission and campus financial aid offices faced in 2022-23 are expected to be resolved over time. The Commission and the segments, however, indicate that other challenges may persist under the current program structure. MCS award amounts change often. These modifications may occur to reflect new student gift aid (such as merit scholarships or emergency grants), to comply with federal financial aid packaging rules, or to maintain MCS expenditure within the annual appropriation. These changes increase the workload on the Commission and campus financial aid offices. Furthermore, they cause student frustration and potential hardship, especially when award amounts are reduced mid-year.

Making changes to the MCS to better serve those with the greatest financial need such as current or former foster youth is a worthy goal, but doing so in the manner prescribed by the bill may present implementation challenges, given the difficulties mentioned in the above paragraph. Additionally, because the bill grows the program at the community colleges, it is unclear whether the community college financial aid offices are prepared or equipped to participate in this program, given that they do not currently administer MCS at the proposed level. Should the bill move forward the author may wish to consider working with the Commission to ensure that implementation is feasible so that newly eligible current or foster youth, as well as other students, receive awards in a timely manner and campuses and the Commission are equipped to administer the program. As such, the author may wish to consider extending the bill’s implementation date.

1. Drafting error. Due to a drafting error, the incorrect paragraph is cited in Education Code Section 70023 (b)(3) of the bill. Should the bill move forward, the author may wish to correct the error by referencing the appropriate subdivision.

SUPPORT

John Burton Advocates for Youth (Sponsor)

3rd Street Youth Center & Clinic

A Better Way, INC. - Permanency Program

Alameda County Office of Education

Barstow Community College

Berkeley Hope Scholars

Beyond Emancipation

Butte College Inspiring Scholars

California Alliance of Caregivers

California Chamber of Commerce

California State University, Dominguez Hills - Toro Guardian Scholars Program

Casa Pacifica Centers for Children and Families

Center for Public Interest Law/children's Advocacy Institute/university of San Diego

Cerritos College

Children Now - Child Welfare

Children Youth & Family Collaborative

Children's Institute

Children's Legal Services of San Diego

College of The Desert - Foster Youth Services

Cuesta College - Financial Aid

Doing Good Works

EA Family Services

Emmanuel Gomez, President, Associated Students of Pasadena City College

FASD Network of Northern California

FASD Now! a California Alliance

Foster Care Counts

Haven of Hope

Jovenes, INC.

Mary Graham Children's Foundation

Merced County - Children's Services Branch

Monterey County Office of Education - Foster Youth Services

Mt. San Antonio College

Mt. San Antonio College Reach

National Association of Social Workers, California Chapter

Norco College - Special Funded Programs

North Orange Community College District

Northern California College Promise Coalition

Oak Grove Sanctuary Palm Springs

Pivotal

Power to Soar

Razing the Bar

Reedley College - EOPS

Rio Hondo College

Riverside City College

San Benito County - Health & Human Services

San Diego City College - Nextup Program

Shasta College - Inspiring & Fostering Independence (SCI*FI)

Smart Justice California

Sonoma County - Family Youth & Children's Services

Students Rising Above

TLC Child & Family Services - Transition Age Youth Housing

Together We Rise Dba Foster Love

Unite-la, INC.

United Friends of The Children

USC Rossier Pullias Center for Higher Education

Voices - Solano

Waking the Village

Walden Family Services

Wind Youth Services

Woodland Community College Foster & Kinship Care Education

Youth Law Center

Youth Leadership Institute

OPPOSITION

None received

-- END --