BILL ANALYSIS Ó
AB 2136
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Date of Hearing: May 4, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
AB
2136 (Mayes) - As Amended April 11, 2016
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Urgency: No State Mandated Local Program: YesReimbursable:
Yes
SUMMARY:
This bill requires the California State University (CSU) and the
California Community Colleges (CCC), and requests the University
of California (UC) to provide exemptions from paying nonresident
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tuition to a nonimmigrant alien student who is the dependent of
someone with an E-2 nonimmigrant classification, as long as the
student remains continuously enrolled and meets the same
California high school attendance and graduation requirements as
an undocumented student granted a nonresident tuition exemption
pursuant to AB 540.
FISCAL EFFECT:
To the extent additional students at UC, CSU, and the CCC
qualify for an exemption from nonresident tuition charges
pursuant to this bill, the segments will experience revenue
losses.
UC indicates that about 100 students systemwide have an E-2
visa. If only 10% of these students receive an exemption under
this bill (which only impacts students over age 20), the total
revenue loss would be $267,000 annually. Neither CSU nor the CCC
know how many E-2 students are in their system. For every such
student qualifying for an exemption under this bill, the revenue
losses would be about $11,000 at CSU and $5,000 at the CCC.
(CSU's total undergraduate resident enrollment is more than
twice that of UC, so it's total revenue loss could be similar to
UC's.
COMMENTS:
1)Background. The federal E-2 nonimmigrant visa is authorized
for a foreign national who is coming to the United States
solely to direct and develop the operations of an enterprise
in which the individual has invested or is actively involved
in the process of investing a substantial amount of capital.
Spouses and unmarried children under the age of 21 of an E2
nonimmigrant may be granted the same status to accompany the
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E2. As long as the dependents are in E2 status, they can
attend school without changing to another nonimmigrant status.
E-2 visa holders are allowed a maximum initial stay of two
years. Requests for extension of stay may be granted in
increments of up to two years each. There is no maximum limit
to the number of extensions an E-2 nonimmigrant may be
granted. All E-2 nonimmigrants, however, must maintain an
intention to depart the United States when their status
expires or is terminated.
2)Purpose. According to the author, "federal policy allows E-2
dependents to remain in the United States until age 21, at
which time they can transition to a student visa. This
transition removes their exemption from nonresident tuition
under California policy. The end result is that an E-2
dependent pays in-state tuition until 21, but then pays
nonresident tuition at age 21 or older, even if the student
met the high school attendance and graduation requirements of
AB 540."
According to the author, "E-2 visa holders have often lived in
the United States legally for decades, with their children
identifying as Americans. Their investments in the American
economy create jobs and contribute to California's tax base.
There is no reason to allow undocumented immigrants to receive
in-state tuition, but not legal, nonimmigrant aliens who meet
the same criteria."
Analysis Prepared by:Chuck Nicol / APPR. / (916)
319-2081
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