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Assembly Bill 1400 – Requires Use Of The College Access Tax Credit Fund To Award Grants To Community College Students Transferring To Historically Black Colleges And Universities
Existing law establishes the Cal Grant A and B Entitlement Awards, the California Community College Expanded 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 the eligibility requirements for awards under these programs for participating students attending qualifying institutions.
The College Access Tax Credit Fund provides a tax credit to taxpayers and businesses who contribute to Cal Grants, the State of California’s largest source of educational financial aid. The credit can be used to offset or reduce taxes. The credit is equal to 50% of a contribution to the College Access Tax Credit Fund. The moneys in the College Access Tax Credit Fund go to the General Fund, then, upon appropriation, to specified agencies for administrative costs related to this credit, and lastly continuously appropriated for Cal Grant awards.
This bill instead requires that the College Access Tax Credit Fund moneys continuously appropriated to the Student Aid Commission be used to provide a one-time grant to a student transferring from a community college to regionally accredited Historically Black Colleges and Universities that have associate degree for transfer memoranda of understanding on file with the office of the Chancellor of the California Community Colleges. The bill makes an appropriation by changing the purposes for which moneys are used in a continuously appropriated fund.
(AB 1400 amends Education Code Section 69431.7.)