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CSU PRIORITY LEGISLATION

2006

AB 2597 (Pavley) California State University Revenue Bond Act of 1947 
Sponsored by the CSU Board of Trustees.

Existing law establishes the (California) State University Revenue Bond Act of 1947 authorizing the University to utilize the revenue streams that derive from fees, charges, and enterprises to secure revenue bonds to fund construction of revenue generating facilities such as parking lots, health centers, or student centers.

Existing law designates the State Treasurer to act as trustee for California State University (CSU) Trustees and  the holders of CSU issued revenue bonds, with power to act  on behalf of the bond holders, and to authenticate and  prepare the bonds.

This measure would authorize the CSU Board of Trustees to issue commercial paper directly, without having to go through an auxiliary organization, by including "commercial paper" within the statutory definition of notes and revenue bond anticipation notes.

Allows interest to be variable as well as fixed and paid as often as necessary to take advantage of variable interest rates.

Authorizes CSU Trustees to loan or advance proceeds from its revenue bonds or revenue bond anticipation notes to any person or state or local government entity through a loan agreement or similar instrument in connection with a project approved by the CSU Trustees.

Allows a financial institution designated by the State Treasurer, and approved by the CSU Board of Trustees, to  act as a trustee for CSU revenue bonds in lieu of the State Treasurer.

Authorizes the allocation of unused balances from specific revenue bond accounts for purposes to be determined by the CSU Trustees.

 

Outcome: This bill was referred out of the Senate Committee on November 30, 2006 without any action.

For more information, visit:
http://www.leginfo.ca.gov/pub/05-06/bill/asm/ab_2551-2600/ab_2597_bill_20061130_history.html

AB 2813 (DeLaTorre) Student Financial Aid: Cal Grant Act
Sponsored by the CSU Board of Trustees.

This measure raises the age of eligibility in the California Community College Transfer Entitlement Program (CCCTEP) to allow students under the age of 28 (instead of 24) to be considered for a Cal Grant.

Existing law limits eligibility in the CCCTEP to students under the age of 24, and does so by using the federal student financial aid rule as a proxy for this age limitiation.

The CSU and the California State Student Association report that the average transfer student is 27 years of age and that this bill would accommodate this population.

Outcome: Governor Schwarzenegger signed AB 262 into law on September 30, 2006.  The bill will take effect on January 1, 2007.

For more information, visit:
http://leginfo.ca.gov/pub/05-06/bill/asm/ab_2801-2850/ab_2813_bill_20060930_history.html

Voting Record for CSUF Delegation:

Senate (29:7):
Ayes: Dunn and Harman
Noes: Ackerman

Assembly (61:14):
Ayes: Daucher, Tran and Umberg
Noes: DeVore and Spitzer

AB 2951 (Goldberg) Capital Facilities Fees
CSU Board of Trustees opposed this measure.

This proposed legislation would eliminate current protections that prevent the CSU from being charged unfair utility rates.

AB 2951 would change existing law by expanding the scope of capital facilities fees that may be assessed by publicly owned utilities against public educational ratepayers.  It would also eliminate the requirement that government agency customers only pay for those utility facilities that actually serve them.

AB 2951 allows municipal utilities to take millions of dollars from public schools and universities without any independent oversight from the Governor, Legislature, or any regulatory agency. If this legislation passes, it would increase the CSU’s facilities-related charges by up to 35 percent, which translates to almost $ 4 million annually.   


Outcome:  Governor Schwarzenegger signed AB 2951 into law on September 30, 2006.  The bill will take effect on January 1, 2007.

For more information, please visit:
http://leginfo.ca.gov/pub/05-06/bill/asm/ab_2951-3000/ab_2951_bill_20060930_history.html

Voting Record for CSUF Delegation:

Senate (26:9):
Ayes: Dunn and Harman
Noes: Ackerman

Assembly (46:18):
Ayes: DeVore, Spitzer, and Tran
Noes: Daucher
Absent, Abstain or No Vote: Umberg

 

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