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AB 885

Public postsecondary education: College Access for All Fund.

2025-2026 Regular Session Introduced by José Solache

Creates a state fund to lower UC/CSU undergraduate costs via tuition cuts or loan repayment; funds are provided only by future appropriations, with no set rules yet.

From committee: Filed with the Chief Clerk pursuant to Joint Rule 56.
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Bill Summary · AB 885

AB 885 (Solache) — Summary: Debt Free College at the UC and the CSU / College Access for All Fund

Status: In committee — Held under submission (as of 2025-05-23)
Introduced: February 19, 2025

Purpose

AB 885 creates a dedicated state fund to support efforts to lower the cost of undergraduate attendance at the University of California (UC) and California State University (CSU). The measure frames this action as a response to rising tuition, widespread student debt, and workforce/ economic concerns.

Key provisions

  • Establishes the "Debt Free College at the UC and the CSU College Access for All Fund" in the State Treasury (adds Chapter 15.8, commencing with Education Code §67394).
  • All moneys in the fund are to be made available, upon appropriation by the Legislature, to UC and CSU.
  • Use of funds is limited to lowering the cost of undergraduate attendance via:
    • Tuition reductions, or
    • Loan repayment programs, or
    • A combination of both.
  • The bill does not specify revenue sources, allocation formulas, eligibility rules, or required amounts — those details would be determined through future legislative appropriations or implementing actions.

Findings included in the bill

The bill cites several findings to justify the policy:
- A college degree has become increasingly necessary for well-paying jobs.
- Public university graduates in California earn significantly more than high school graduates.
- Tuition and fees have grown substantially over decades (UC nearly quadrupled; CSU sixfold).
- Current numbers cited: total UC attendance costs over $45,000 annually (with $14,934 in tuition and fees); CSU tuition and fees average nearly $8,000.
- Two-thirds of UC/CSU undergraduates take on student debt; nearly 4 million Californians owe over $142 billion in student debt.

Who is affected

  • Direct beneficiaries: undergraduate students at the University of California and California State University (the fund's uses are restricted to these two segments).
  • Indirect effects: state budget and legislative appropriations process (funds are distributed only upon appropriation), and broader economic impacts related to student debt and workforce development.
  • The California Community Colleges are not included.

Fiscal/implementation notes

  • The bill itself does not appropriate funds or identify revenue sources; it establishes a receptacle fund and authorizes future legislative appropriations.
  • Digest indicates a fiscal committee review was required.
  • Because disbursement requires appropriation, the program’s scale and timing depend on subsequent budget decisions.

Procedural timeline (key actions)

  • 2025-02-19: Introduced and read first time.
  • March–April 2025: Multiple referrals and author’s amendments; re-referred to Assembly Higher Education.
  • 2025-04-30: Committee (Higher Ed) do pass and re-referred to Appropriations (suspense file).
  • 2025-05-14: Set, first hearing; referred to Appropriations suspense file.
  • 2025-05-23: In committee — held under submission.

Limitations and open questions

  • No specified funding source, allocation formula, eligibility criteria, or reporting/oversight mechanisms in the bill text.
  • Actual impact depends on future appropriations and any implementing legislation or administrative rules.

Compiled from official sources — confirm details with the bill’s official record.

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