All students attending a CSU or UC with family incomes less than $150,000 that do not already have fees covered will receive a Middle Class Scholarship that cuts costs by 2/3

(SACRAMENTO, CA) —Assemblymember Mariko Yamada (D-Davis) joined with her Assembly Democratic colleagues today in announcing new legislation to create the Middle Class Scholarship program.  AB 1500 and AB 1501, introduced by Assembly Speaker John A. Pérez (D – Los Angeles), are proposals designed to keep more money in the pockets of middle-income families with students attending the state’s higher education institutions.

“California’s public colleges and universities were founded on the ideas of affordability, allowing education for all,” said Assemblymember Yamada.  “Cal Grants and Pell Grants are a great help to the most disadvantaged among us, but the middle class has borne the burden of higher costs resulting from the national recession and budgetary shortfalls.  The Middle Class Scholarships proposal makes distinguished public universities like UC Davis within reach for all Californians again.”

Since the 2003-2004 school year, CSU fees have increased 191%, UC fees have increased by 145%, and community college student fees have also increased significantly.  Many middle income families subsidize these fee hikes with a greater use of student loans. This leads to years of chronic debt, or worse, some students give up on the promise of higher education altogether.  These circumstances are highly damaging for the long term health of the economy.

Under this proposal:

• Approximately 150,000 CSU families will save more than $4,000 per year;
• Nearly 42,000 UC families will see a savings of $8169; and
• Community Colleges will receive $150 million to expand affordability efforts.

“This investment in our future will be covered by closing a tax loophole that only benefits out-of-state corporations,” continued Assemblymember Yamada.  “I am proud to say that I am a co-author of this important legislation.”

This effort will require a 2/3 vote of the Legislature, which means some Republican legislators will be required to join Democrats in supporting the plan in order for it to succeed.

Contact: Rachel Linn, (916) 319-2008