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Report 93-7: The Restructuring of California's Financial Aid Programs and Its Short-Term Aid Policy: Recommendations of the California Postsecondary Education Commission

Published by The California Postsecondary Education Commission

April 1993

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The idea of "decentralizing" California State-funded and State-administered financial aid programs for college and university students -- that is, administering these programs by the State's individual systems of higher education rather than continue to have them all administered by the California Student Aid Commission -- is currently receiving much discussion. In this report, the Commission states its opinion on this issue and makes recommendations concerning four issues that need to be resolved should the State decide on decentralization.

The Commission supports decentralization for several reasons -- in particular, "in order to reduce the confusion associated with the availability of student financial aid, as well as to direct as much of the State's limited resources as possible to providing aid to California residents enrolled in its postsecondary institutions." It also offers its recommendations regarding answers to these four questions:

  1. How should the presently State-funded financial aid monies be distributed among the educational systems?
  2. Should these funds remain a separate appropriation in the State Budget Act in future years?
  3. How much responsibility should the State General Fund have for providing financial aid funds in the future?
  4. Once decentralized, how should the previously State-funded financial aid monies be distributed to students within each system?
The Commission adopted this report at its meeting on April 19, 1993, on recommendation of its Ad Hoc Committee on the Financing and Future of California Higher Education.
Related Topics: Fees, Tuition, Costs and Financial Aid

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(916) 445-1000 or via e-mail at

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