AB 183 – Expansion And Creates Various Grant Programs For Higher Educational Institutions

AB 183 makes necessary changes to implement the higher education provisions adopted as part of the Budget Act of 2022. The bill is known as the higher education budget trailer bill. AB 183 took effect upon approval by the Governor on June 30, 2022.

1. The Higher Education Student Housing Grant Program provides one-time grants for the construction of student housing or for the acquisition and renovation of commercial properties into student housing for the purpose of providing affordable, low-cost housing options for students enrolled in public postsecondary education in California. AB 183 appropriates funds from the General Fund as follows: $1,428,133,000 for grants under the Higher Education Student Housing Grant Program to be allocated to the various institutions as outlined in the bill, $17,974,000 for the purpose of providing planning grants for California community colleges (CCC) that are exploring or determining if it is feasible to offer affordable student rental housing and $3,893,000 to support specific Education Student Housing Grant Program projects to be identified in subsequent legislation.
2. The Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program authorizes community colleges to award an associate degree for transfer and provides that the amount of Cal Grant A and B tuition awards for future years for students at independent institutions of higher education depends on the number of commitments those institutions make to accept associate degrees for transfer. AB 183 fixes the 2022–2023 award year amount for a new recipient at an independent institution of higher education at $9,358 and commencing with the 2023–2024 award year, set the maximum tuition award amount as either $9,358 or $8,056, with the higher amount conditioned on the achievement of the target numbers for the associate degree for transfer commitments that apply for the prior award year. AB 183 fixes the amount for a renewal recipient at an independent institution of higher education at $9,358, if the recipient first received a new award before the 2022–2023 award year.
3. Authorizes a student who receives a California Community College Expanded Entitlement Award and who subsequently transfers to an independent institution of higher education to remain eligible to receive the award, but only if certain criteria are met with regard to funding and forecasts with the General Fund money and the annual Budget Act.
4. Provides an additional award to Cal Grant A and B Entitlement, Competitive Cal Grant A and B, and Cal Grant C recipients who: (1) attend an independent institution of higher education and have a dependent child or dependent children; or (2) are foster youth or former foster youth attending an independent institution of higher education.
5. AB 183 increases the maximum amount of a grant under the California Dreamer Service Incentive Grant Program to up to $2,250 per semester or $1,500 per quarter. It fixes a student’s award amount per term based on whether the student is enrolled in a semester-based or quarter-based system and would set the minimum amount of a grant awarded in a semester or quarter at $450, without regard to a student’s part-time or full-time status. Makes a Cal Grant A award recipient who is not a recipient of a Cal Grant B award, but was eligible for a Cal Grant B award, eligible to receive a grant under the program if the student meets the other eligibility requirements.
6. Creates additional requirements for community colleges and community college districts that participate in, and receive funding for, the California College Promise. Community colleges and community college districts must maximize available resources to address student’s basic needs. AB 183 makes students who have taken a break of one or more semesters, or the equivalent quarters, eligible for the fee waiver if they complete the Free Application for Federal Student Aid or a California Dream Act application.
7. Creates the California Community College Equitable Placement and Completion Grant Program under the administration of the office of the Chancellor of the California Community Colleges to award grants to ensure the implementation of equitable placement and completion policies and practices at community colleges, as provided. AB 183 appropriates $64,000,000 from the General Fund to the Board of Governors of the California Community Colleges to support the program.
8. Establishes the Hire UP Program and authorizes the Chancellor of the California Community Colleges to enter into agreements with up to 10 community college districts to provide funding for stipends to formerly incarcerated individuals, CalWORKs recipients, and former foster youth. Under the Hire UP Program, a community college student enrolled in a certificate or degree program at a California community college participating in the Hire UP Program is eligible for a stipend if the student was released from incarceration within the last 3 years and is a current participant in the Rising Scholars Network or in another dedicated reentry program, or if the student is a CalWORKs recipient or former foster youth.
9. Revises and recasts provisions Cooperating Agencies Foster Youth Educational Support Program and renames the program to NextUp. It also authorizes the office of the Chancellor of the California Community Colleges to enter into agreements with all community college districts under NextUp to provide additional funds for services in support of postsecondary education for foster youth.
10. Establishes the Native American Student Support and Success Program under the administration of the office of the Chancellor of the California Community Colleges to provide grants to up to 20 community colleges for the purpose of developing local Native American student support and success programs and delivering matriculation services for Native American students.
11. The office of the Chancellor of the CCC is currently required to annually calculate a base allocation, supplemental allocation, and student success allocation for each community college district in California. Beginning with the 2025-2026 fiscal year, each community college district must receive the greater of the district’s total revenue computed pursuant to the sum of the base allocation, supplemental allocation, and student success allocation for that fiscal year, or the general purpose apportionment funding computed for the 2024–2025 fiscal year, including the greater of discretionary resources or specified revenue received by the district.
12. Establishes the Classified Community College Employee Summer Assistance Program, which would authorize community college districts to participate in the Classified Community College Employee Summer Assistance Program and would authorize classified employees of a participating community college district who meet certain requirements to withhold an amount from their monthly paychecks during the academic year to be paid out during the summer recess period.
13. Extends the California Community Colleges Economic and Workforce Development Program through January 1, 2025.
14. Increases the amount of the grants eligible CCC students can receive to help offset their total cost of community college attendance to (1) $1,298 per semester for students enrolled in 12, 13, or 14 units; and (2) $4,000 for students enrolled in 15 units per semester or quarterly equivalent.
15. Establishes the California Community Colleges Asian American, Native Hawaiian, and Pacific Islander (AANHPI) Student Achievement Program at the CCC to provide culturally responsive services to enhance student educational experiences and promote higher education success for low-income, underserved, and first-generation AANHPI students and other underrepresented students.
16. Extends the California Community Colleges Economic and Workforce Development Program through January 1, 2025.
17. Extends an exemption from advertising for and inviting bids for certain contracts provided to the Chancellor of the CCC until July 1, 2025. The  Chancellor of the CCC is not required to advertise for or invite bids, for: (1) contracts or other agreements that are $20 million or less with the governing board of any community college district whereby the district performs services or acts as a fiscal agent on behalf of the CCC if the funds for the contract or agreement meet certain requirements under the California Constitution; and (2) the renewal of existing contracts or other agreements that the chancellor has entered into with a governing board, regardless of the amount.
18. Makes multiple appropriations of approximately $1.2 billion from the General Fund to the Board of Governors of the CCC for various purposes.

(AB 183 amends Sections 17200, 17201, 17202, 17203, 17204, 69432, 69438.3, 69438.5, 69465, 69470, 69969, 69996.2, 69996.3, 69996.9, 70023, 76396.1, 76396.2, 76396.3, 79220, 79221, 79223, 79228, 84750.4, 88651, 88931, 89046, and 89753 of, amends and repeals Sections 66021.2 and 69506 of, amends, repeals, and adds Section 69435.5 of, adds Sections 69438.9, 78213.2, and 89348 to, adds Article 10, commencing with Section 79510) and Article 11, commencing with Section 79520, to Chapter 9 of Part 48 of, and Article 11, commencing with Section 88280) to Chapter 4 of Part 51 of, Division 7 of, Article 8, commencing with Section 89270, and Article 11, commencing with Section 89297,  to Chapter 2 of Part 55 of Division 8 of, Article 6.7, commencing with Section 92663, to Chapter 6 of Part 57 of Division 9 of, and Chapter 1.5, commencing with Section 69405, to Part 42 of Division 5 of, Title 3 of, to add and repeal Section 17203.5 of, adds and repeal Article 7, commencing with Section 78080, of Chapter 1 of Part 48 of Division 7 of, and Article 11, commencing with Section 69475, of Chapter 1.7 of Part 42 of Division 5 of, Title 3 of, and to repeal Section 79229 of, the Education Code, amends Section 20662 of the Public Contract Code, amends the Budget Act of 2020 by amending Item 6870-101-0001 of Section 2.00 of that act, to amends the Budget Act of 2021 by amending Item 6870-101-0001 of Section 2.00 of that act.)