Student financial aid: Cal Grant Program and the California Community College Expanded Entitlement Program.

Assembly Member Patel's proposal to modify California's Cal Grant Program adjusts award amounts for students attending independent institutions of higher education and revises transfer student policies. The bill sets the 2024-25 Cal Grant A and B award amount at $9,358 for new recipients at independent institutions, while establishing a two-tier system beginning in 2025-26 that ties maximum awards to institutions' success in accepting transfer students.

Under the new framework, independent institutions that meet or exceed targets for accepting students with associate degrees for transfer would qualify their students for maximum awards of $9,708. Those falling short of transfer targets would see their students' maximum awards limited to $8,056. The bill also maintains the $9,708 maximum for renewal recipients who first received awards before 2024-25. For California Community College Expanded Entitlement Award recipients who transfer to independent institutions, the legislation removes existing conditions that tied award eligibility to General Fund forecasts and Budget Act appropriations.

The measure requires the association representing the largest number of independent institutions to submit annual implementation reports to state officials. It preserves the existing prohibition on students transferring to private for-profit institutions from maintaining their Expanded Entitlement Awards, though these students may still pursue other Cal Grant opportunities if they meet eligibility requirements.