Article
1. General Provisions
69405.
This chapter shall be known, and may be cited, as the Cal Grant Reform Act. This chapter continues, without interruption or diminution, the operation of the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program established under Chapter 1.7 (commencing with Section 69430) as it read on December 31, 2021, until July 1, 2024, or the date determined by the annual Budget Act. This chapter shall only become operative upon the appropriation by the Legislature, in the annual Budget Act or another statute, of sufficient funds to fully implement its provisions.69406.
As used in this chapter, the following terms have the following meanings:(a) An “academic year” is July 1 to June 30, inclusive. The starting date of a session shall determine the academic year in which it is included.
(b) “Access costs” means living expenses and expenses for transportation, supplies, technology, and books.
(c) “Award year” means one academic year, or the equivalent, of attendance at a qualifying institution.
(d) “College grade point average” and “community college grade point
average” mean a grade point average calculated on the basis of all college work completed, except for nontransferable units and courses not counted in the computation for admission to a California public institution of higher education that grants a baccalaureate degree.
(e) “Commission” means the Student Aid Commission.
(f) “Eligibility index for student aid,” with respect to an applicant, shall be determined using the federal methodology pursuant to subdivision (a) of Section 69506 (as established by Title IV of the federal Higher Education Act of 1965, as amended (20 U.S.C. Sec. 1070 et seq.)) and applicable rules and regulations adopted by the commission.
(g) “Enrollment status” means part- or full-time status.
(1) “Part time,” for purposes of Cal Grant eligibility, means 6 to 11 semester units, inclusive, or the equivalent.
(2) “Full time,” for
purposes of Cal Grant eligibility, means 12 or more semester units or the equivalent.
(h) “High school grade point average” means a grade point average calculated on a 4.0 scale, using all academic coursework, for the sophomore year, the summer following the sophomore year, the junior year, and the summer following the junior year, excluding physical education, Reserve Officers’ Training Corps (ROTC), and remedial courses, and computed pursuant to regulations of the commission. However, for high school graduates who apply after their senior year, “high school grade point average”
includes senior year coursework.
(i) “Instructional program of not less than one academic year” means a program of study that results in the award of an associate or baccalaureate degree or certificate requiring at least 24 semester units or the equivalent, or that results in eligibility for transfer from a community college to a baccalaureate degree program.
(j) “Instructional program of not less than two academic years” means a program of study that results in the award of an associate or baccalaureate degree requiring at least 48 semester units or the equivalent, or that results in eligibility for transfer from a community college to a baccalaureate degree program.
(k) (1) “Qualifying
institution” means an institution that complies with paragraphs (2) and (3) and is any of the following:
(A) A California private or independent postsecondary educational institution that participates in the Pell Grant Program and in at least two of the following federal student aid programs:
(i) Federal Work-Study Program.
(ii) Federal Stafford Loan Program.
(iii) Federal Supplemental Educational Opportunity Grant Program.
(B) A nonprofit institution headquartered and operating in California that certifies to the commission that 10 percent of the institution’s operating budget, as demonstrated in an
audited financial statement, is expended for purposes of institutionally funded student financial aid in the form of grants, that demonstrates to the commission that it has the administrative capacity to administer the funds, that is accredited by the Western Association of Schools and Colleges, and that meets any other state-required criteria adopted by regulation by the commission in consultation with the Department of Finance. A regionally accredited institution that was deemed qualified by the commission to participate in the Cal Grant Program for the 2000–01 academic year shall retain its eligibility as long as it maintains its existing accreditation status.
(C) A California public postsecondary educational institution.
(2) (A) The institution shall provide
information on where to access California license examination passage rates for the most recent available year from graduates of its undergraduate programs leading to employment for which passage of a California licensing examination is required, if that data is electronically available through the internet website of a California licensing or regulatory agency. For purposes of this paragraph, “provide” may exclusively
include placement of an internet website address labeled as an access point for the data on the passage rates of recent program graduates on the internet website where enrollment information is also located, on an internet website that provides centralized admissions information for postsecondary educational systems with multiple campuses, or on applications for enrollment or other program information distributed to prospective students.
(B) The institution shall be responsible for certifying to the commission compliance with the requirements of subparagraph (A).
(3) (A) The commission shall certify by November 1 of each year the institution’s latest official three-year cohort default rate and graduation rate as most recently reported by the
United States Department of Education. For purposes of this section, the graduation rate is the percentage of full-time, first-time degree or certificate-seeking undergraduate students who graduate in 150 percent or less of the expected time to complete degree requirements as most recently reported publicly in any format, including preliminary data records, by the United States Department of Education.
(B) For purposes of the 2012–13 academic year, and every academic year thereafter, an otherwise qualifying institution with a three-year cohort default rate that is equal to or greater than 15.5 percent, as certified by the commission on October 1, 2011, and every year thereafter, shall be ineligible for initial and renewal Cal Grant awards at the institution.
(C) (i) An otherwise qualifying institution that becomes ineligible
under this paragraph for initial and renewal Cal Grant awards shall regain its eligibility for the academic year for which it satisfies the requirements established in subparagraph (B) or (E), as applicable.
(ii) If the United States Department of Education corrects or revises an institution’s three-year cohort default rate or graduation rate that originally failed to satisfy the requirements established in subparagraph (B) or (E), as applicable, and the correction or
revision results in the institution’s three-year cohort default rate or graduation rate satisfying those requirements, that institution shall immediately regain its eligibility for the academic year to which the corrected or revised three-year cohort default rate or graduation rate would have been applied.
(D) An otherwise qualifying institution for which no three-year cohort default rate or graduation rate has been reported by the United States Department of Education shall be provisionally eligible to participate in the Cal Grant Program until a three-year cohort default rate or graduation
rate has been reported for the institution by the United States Department of Education.
(E) For purposes of the 2012–13 academic year, and every academic year thereafter, an otherwise qualifying institution with a graduation rate of 30 percent or less, as certified by the commission pursuant to subparagraph (A), shall be ineligible for initial and renewal Cal Grant awards at the
institution.
(F) Notwithstanding any other law, the requirements of this paragraph shall not apply to institutions with 40 percent or less of undergraduate students borrowing federal student loans, using information reported to the United States Department of Education for the academic year two years before the academic year in which the commission is certifying the three-year cohort default rate or graduation rate pursuant to subparagraph (A).
(G) The commission shall do all of the following:
(i) Notify initial Cal Grant recipients seeking to attend, or attending, an institution that
is ineligible for initial and renewal Cal Grant awards under subparagraph (B) or (E) that the institution is ineligible for initial Cal Grant awards for the academic year for which the student received an initial Cal Grant award.
(ii) Notify renewal Cal Grant recipients attending an institution that is ineligible for initial and renewal Cal Grant awards at the institution under subparagraph (B) or (E) that the student’s Cal Grant award will be reduced by 20 percent, or eliminated, as appropriate,
if the student attends the ineligible institution in an academic year in which the institution is ineligible.
(iii) Provide initial and renewal Cal Grant recipients seeking to attend, or attending, an institution that is ineligible for initial and renewal Cal Grant awards at the institution under subparagraph (B) or (E) with a complete list of all California postsecondary educational institutions at which the student would be eligible to receive an unreduced Cal Grant award.
(iv) (I) Establish an appeal process for an otherwise qualifying institution that fails to satisfy the
three-year cohort default rate and graduation rate requirements in subparagraphs (B) and (E), respectively.
(II) The commission may grant an appeal for an academic year only if the commission has determined the institution has a cohort size of 20 individuals or less and the cohort is not representative of the overall institutional performance.
(l) “Satisfactory academic progress” means those criteria required by applicable federal standards published in Title 34 of the Code of Federal Regulations. The commission may adopt regulations defining “satisfactory academic progress” in a manner that
is consistent with those federal standards. The regulations adopted by the commission under this subdivision shall, to the extent consistent with applicable federal standards, provide that homelessness, as defined as a “homeless individual” within the meaning of the federal McKinney-Vento Homeless Assistance Act (42 U.S.C. Sec. 11302(a)), or as defined as a “homeless child or youth,” as defined in subsection (2) of Section 725 of the federal McKinney-Vento Homeless Assistance Act (42 U.S.C. Sec. 11434a(2)), is an extenuating circumstance for students who are otherwise unable to meet the requirements deemed to constitute “satisfactory academic progress” at the institution they attend, and that extenuating circumstance may be considered by the institution to alter or excuse compliance with those progress requirements.
69407.
(a) Consistent with the state’s historic commitment to provide educational opportunity by ensuring both student access to, and selection of, an institution of higher education for students with financial need, the long-term policy of the Cal Grant Reform Act established pursuant to this chapter shall be that, commencing with the 2023–24 academic year and every year thereafter, an applicant for a Cal Grant award shall receive an award for payment of tuition or student fees, nontuition costs, or both tuition or student fees and nontuition costs, as specified for each Cal Grant award type, if the applicant complies with both of the following requirements:(A) Demonstrates financial need.
(B) Complies with each of the applicable eligibility criteria.
(b) An institution of higher education in this state that participates in the Cal Grant Program shall not reduce its level of need-based institutional financial aid to undergraduate students, excluding loans, below the total level awarded in the academic year before July 1, 2022.
(c) The implementation of the policy set forth in this section shall maintain a balance between the state’s policy goals of ensuring student access to, and selection of, an institution of higher education for students with financial need.
(d) It is the policy of the State of
California that the Cal Grant Program supplement the federal Pell Grant program.
(e) An award under the Cal Grant Program shall not guarantee admission to an institution of higher education or admission to a specific campus or program.
69408.
(a) The commission shall adopt regulations necessary to implement this chapter, and these regulations shall become operative no sooner than July 1, 2023. Notwithstanding any other provision of law, the commission may adopt emergency regulations pursuant to Section 11346.1 of the Government Code in order to ensure that the program enacted by this chapter may function in its first academic year. Those emergency regulations shall be deemed necessary for the immediate preservation of the public peace, health, safety, or general welfare within the meaning of
Section 11346.1 of the Government Code.(b) Regulations pursuant to subdivision (a) shall not affect the application of Chapter 1.7 (commencing with Section 69430), as it read on December 31, 2021, to students already receiving assistance pursuant to that chapter. These regulations shall provide guidance to institutions that assist in applying Chapter 1.7 (commencing with Section 69430) and this chapter during any period of overlap.
69409.
Pursuant to the long-term policy of the Cal Grant Program established pursuant to Section 69407, the commission shall make awards under the Cal Grant Program for payment of tuition or student fees, nontuition costs, or both tuition or student fees and nontuition costs, in accordance with the following:(a) The commission shall determine the timelines and procedures for the application process for awards, as well as the timelines and procedures for the distribution of those awards, under this chapter. In determining those timelines and procedures, the commission shall take into consideration the relevant academic calendars of high schools and postsecondary educational institutions and shall ensure
that students and their families have sufficient time to complete the application process and, once the results of that process are known, to make informed decisions about achieving the students’ educational goals with any available Cal Grant award.
(b) (1) As a continuation of the Cal Grant C Program established under Article 6 (commencing with Section 69439) of Chapter 1.7, as it read on December 31, 2021, an otherwise eligible student enrolled in qualifying occupational and technical training program who would have been eligible for aid under the Cal Grant C Program, shall be eligible to receive a prorated award amount, based on program duration, for a Cal Grant 2 award or Cal Grant 4 award for an occupational or technical training program.
(2) A qualifying
occupational and technical training program shall be defined and determined based on the criteria established under Article 6 (commencing with Section 69439) of Chapter 1.7, as it read on December 31, 2021.
69410.
(a) (1) As a condition for its voluntary participation in the Cal Grant Reform Act Program, each Cal Grant participating institution shall annually report to the commission, and as further specified in an institutional participation agreement, both of the following for its undergraduate programs:(A) Enrollment, persistence, and graduation data for all students, disaggregated by race and financial aid recipient status.
(B) The job placement rate and salary and wage information for each program that is either designed or advertised to lead to a particular type of job or advertised or promoted with a
claim regarding job placement.
(2) The institutional participation agreement shall not be subject to the requirements of the Administrative Procedures Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code).
(b) As a condition for participation in the Cal Grant Program, a participating institution shall submit an annual report to the Department of Finance and the Legislature on the uses of its institutional aid, and how the average financial aid award packages compare to the total cost of attendance at that institution. A participating institution shall include in the report submitted pursuant to this subdivision the enrollment, persistence, and graduation data reported to the commission under paragraph (1) of
subdivision (a).
(c) The commission shall provide both of the following on its internet website:
(1) The information submitted by a Cal Grant participating institution pursuant to subdivision (a), which shall be made available in a searchable database.
(2) Other information and links that are useful to students and parents who are in the process of selecting a college or university. This information may include, but not necessarily be limited to, local occupational profiles available through the Employment Development Department’s Labor Market Information Data Library.
69411.
To be eligible for a Cal Grant Program award under this chapter, a student shall be all of the following:(a) A citizen of the United States, or an eligible noncitizen, as defined for purposes of financial aid programs under Title IV of the federal Higher Education Act of 1965, as amended from time to time (20 U.S.C. Sec. 1070 et seq.).
(b) A resident of California, as determined by the commission pursuant to Part 41 (commencing with Section 68000). The recipient shall remain eligible for award renewal only if the recipient is a California resident, and is attending, and making satisfactory academic progress at, a qualifying
institution, as determined by the commission.
(c) Not in default on any student loan within the meaning of Section 69507.5.
69412.
(a) Except as otherwise provided in this section, Cal Grant 2 and 4 awards may be renewed for a total of the equivalent of four years of full-time attendance in an undergraduate program, provided the student still meets other program eligibility requirements. Commencing with the 2023–24 academic year, the total number of years of eligibility for grants pursuant to this section shall be based on the student’s educational level in the student’s course of study as designated by the institution of attendance when the recipient initially receives payment for a grant.(b) For a student enrolled in an institutionally prescribed five-year undergraduate program, Cal
Grant 2 and 4 awards may be renewed for a total of five years of full-time attendance.
(c) (1) A Cal Grant recipient who has completed a baccalaureate degree, and who has been admitted to and is enrolled in a program of professional teacher preparation at an institution approved by the California Commission on Teacher Credentialing is eligible for, but not entitled to, renewal of a Cal Grant 2 or 4 award for a total of five years of full-time attendance, provided they still meet other program eligibility requirements.
(2) Payment for the fifth year of full-time attendance is limited to only those courses required for an initial teaching authorization. An award made under this subdivision may not be used for other courses.
(3) A student’s Cal Grant 2 or 4 renewal eligibility shall not have lapsed more than 15 months before the payment of an award for purposes of this subdivision.
(d) (1) For a current or former foster youth, Cal Grant 2 or 4 awards may be renewed for a total of the equivalent of eight years of full-time attendance in an undergraduate program.
(2) For purposes of this subdivision, “current or former foster youth” means a person whose dependency was established or continued by the court on or after the date on which the person reached 13 years of age.
69413.
(a) For purposes of this section, “associate degree for transfer commitment” means a commitment by an independent institution of higher education that chooses to accept the California Community College associate degree for transfer pursuant to Section 66749.6.(b) Maximum Cal Grant 2 and 4 award amounts for students at independent institutions of higher education and private for-profit postsecondary educational institutions shall be identified in the annual Budget Act. Maximum Cal Grant 2 and 4 award amounts for students attending public institutions and maximum Cal Grant 2 and 4 award amounts at
private for-profit institutions shall be referenced in the annual Budget Act.
(c) Notwithstanding subdivision (b), the maximum tuition award amounts for Cal Grant 2 and 4 students attending independent institutions of higher education for the 2023–24 award year and each award year thereafter shall be as follows:
(1) If the number of new unduplicated transfer students accepted by independent institutions of higher education who have been given associate degree for transfer commitments in the prior award year
meets or exceeds the target specified in subdivision (h), nine thousand two hundred twenty dollars ($9,220) for new recipients.
(2) If the number of new unduplicated transfer students accepted by independent institutions of higher education who have been given associate degree for transfer commitments in the prior award year is less than the target specified in subdivision (f), eight thousand
fifty-six dollars ($8,056) for new recipients.
(d) It is the intent of the Legislature that independent institutions of higher education make a good faith effort to make the process for transferring from the California Community Colleges easier for resident students and a decision determining the maximum award amounts made pursuant to this section for students attending an independent institution of higher education will be made with consideration of the effort of the institution to make that process easier.
(e) The association representing the largest number of independent institutions of higher education shall submit a report relative to the implementation of this section to the Department of Finance and the Legislature, in conformity with Section 9795 of the Government
Code, on or before April 15 of each year following the 2023–24 award year.
(f) For the 2024–25 award year and each award year thereafter, the target number of new unduplicated recipients accepted by independent institutions of higher education who have been given associate degree for transfer commitments shall be equal to the number of new transfer students attending independent institutions of higher education who were given associate degree for transfer commitments in the prior award year, adjusted by the percentage change in the total number of new transfer students from the year two years prior, compared to the prior year.
(i) For purposes of this section, “independent institution of higher education” has the same meaning as in Section 66010.
69414.
The commission may determine that an advance payment is essential to ensure that funds provided pursuant to this chapter to assist students to enroll in postsecondary education are available at the time students enroll. Upon making that determination, the commission may, on the basis of institutional academic calendars, advance, per term to authorized postsecondary educational institutions, the funds for eligible students who have indicated they will attend those institutions, less an amount based on historical claim enrollment attrition information. Each institution shall disburse the funds in accordance with the provisions set forth in the institutional agreement between the commission and the
institution.69415.
(a) A Cal Grant applicant shall submit a complete official financial aid application pursuant to applicable regulations adopted by the commission. Each pupil enrolled in grade 12 in a California public school, including a charter school, other than pupils who opt out as provided in subdivision (d), shall be deemed to be a Cal Grant applicant.(b) (1) Financial need shall be determined to establish an applicant’s initial eligibility for a Cal Grant award and a renewing recipient’s continued eligibility using the federal
methodology pursuant to subdivision (a) of Section 69506 and applicable regulations adopted by the commission, and as established by Title IV of the federal Higher Education Act of 1965, as amended (20 U.S.C. Sec. 1070 et seq.).
(2) “Eligibility index for student aid,” with respect to an applicant or renewing recipient, shall be determined using the federal methodology pursuant to subdivision (a) of Section 69506 (as established
by Title IV of the federal Higher Education Act of 1965, as amended (20 U.S.C. Sec. 1070 et seq.)) and applicable rules and regulations adopted by the commission.
(c) (1) The commission shall require that a grade point average be submitted to it for all Cal Grant applicants.
(2) The commission shall require that a grade point average be submitted to it electronically on a standardized form for all grade 12 pupils at public schools, including charter schools, no later than October 1 of each academic year, except for pupils who have opted out as provided in subdivision (d). Social security numbers shall not be included in the information submitted to the commission. However, if the commission determines that a social security number is required to complete the application for financial aid, the school, school district, or charter school may obtain permission from the parent or guardian of the pupil, or the pupil, if the pupil is 18 years of age, to submit the pupil’s social security number to the commission.
(3) The commission shall require that each report
of a grade point average include a certification, executed under penalty of perjury, by a school official, that the grade point average reported is accurately reported. The certification shall include a statement that it is subject to review by the commission or its designee.
(4) The commission shall adopt regulations that establish a grace period for receipt of the grade point average and any appropriate corrections, and that set forth the circumstances under which a student may submit a specified test score designated by the commission, by regulation, in lieu of submitting a qualifying grade point average.
(5) It is the intent of the Legislature that high schools and institutions of higher education certify the grade point averages of their students in time to meet the
application deadlines imposed by this chapter.
(6) It is the intent of the Legislature that the commission make available to each high school and school district a report identifying all grade 12 pupils within the high school or school district, respectively, who have and have not completed the Free Application for Federal Student Aid or the California Dream Act Application.
(d) (1) The school district or charter school shall, no later than January 1 of a pupil’s grade 11 academic year, notify, in writing, each grade 11 pupil and, for a pupil under 18 years of age, the pupil’s parent or guardian that, pursuant to subdivision (a), the pupil will be deemed a Cal Grant applicant unless the pupil opts out within a period of time specified in the notice, which shall not
be less than 30 days. The required notice shall indicate when the school will first send grade point averages to the commission and the submission deadline of October 1. The school district or charter school shall provide an opportunity for the pupil to opt out of being automatically deemed a Cal Grant applicant.
(2) Until a pupil turns 18 years of age, only a parent or guardian may opt the pupil out. Once a pupil turns 18 years of age, only the pupil may opt the pupil out and, if before the conclusion of the notice period, the pupil may opt in over the prior decision of a parent or guardian to opt out.
69416.
(a) The commission may require verification of high school graduation or its equivalent to be electronically submitted for all former grade 12 pupils who graduated from public schools, including charter schools, in the prior academic year, except for pupils who have opted out as provided in subdivision (d) of Section 69415.(b) If the commission requires verification of high school graduation or its equivalent pursuant to subdivision (a), the commission shall provide guidance to high schools or high school districts to ensure that high schools and high school districts verify the graduation of their pupils as soon as possible upon a pupil’s graduation and no
later than August 31 of the academic year following the pupils’ graduation. This subdivision also applies to pupils who graduate during the summer following the grade 12 academic year.
69417.
(a) For purposes of this section, “qualifying institution” has the same meaning as in subdivision (k) of Section 69406.(b) Upon the initial award and renewal of a Cal Grant award, the commission shall notify the award recipient in writing, which may include electronic mail, of both of the following:
(1) A Cal Grant award is limited to four academic years, except as provided in Section 69412.
(2) A student needs to take 15 units per semester or the equivalent quarter units, or 30 semester units or the equivalent quarter units per academic year, in
order to graduate within four years.
(c) During the orientation of a new student, a qualifying institution shall notify the student in writing of the information described in paragraphs (1) and (2) of subdivision (b).
(d) Upon annual registration by a student receiving state financial aid, the financial aid office of a qualifying institution shall notify that student in writing of the information described in paragraphs (1) and (2) of subdivision (b).
(e) During online registration by a student for fewer than 15 semester units or the equivalent quarter units, the information contained in paragraphs (1) and (2) of subdivision (b) must be provided to the student with a box for the student to check acknowledging
receipt of the provided information.
69418.
(a) Only a resident of California, as determined by the commission pursuant to Part 41 (commencing with Section 68000), is eligible for an initial Cal Grant award. The recipient shall remain eligible for award renewal only if the recipient is a California resident, in attendance, and making satisfactory academic progress at a qualifying institution, as determined by the commission.(b) A part-time student shall not be discriminated against in the selection of Cal Grant Program award recipients, and an award to a part-time student shall be approximately proportional to the time the student spends in the instructional program, as determined by the commission. A first-time
Cal Grant Program award recipient who is a part-time student shall be eligible for a full-time renewal award if the recipient becomes a full-time student.
(c) Cal Grant Program awards shall be awarded without regard to race, religion, creed, sex, sexual orientation, gender identity, gender expression, or age.
(d) An applicant shall not receive more than one type of Cal Grant Program award concurrently. An applicant shall not:
(1) Receive one or a combination of Cal Grant Program awards in excess of the amount equivalent to the award level for a total of four years of full-time attendance in an undergraduate program, except as provided in Section 69412.
(2) Have obtained a baccalaureate degree before receiving a Cal Grant Program award.
69419.
(a) As used in this section, “fund” means the College Access Tax Credit Fund created by Section 17053.87 of the Revenue and Taxation Code.(b) Any moneys allocated to the commission from the fund for purposes of this section shall be in addition to, and are intended to supplement, other moneys appropriated for the Cal Grant Program or the Cal Grant Reform Act. Upon the creation of the fund, and during its existence, the amount of the Cal Grant access award as established in the annual Budget Act shall not be adjusted below the amount set forth in the Budget Act of 2012.
(c) (1) The
moneys allocated to the commission pursuant to Section 17053.87 of the Revenue and Taxation Code shall be available for the purpose of making awards to students in accordance with this section.
(2) To the extent feasible, the commission shall make annual disbursements from the moneys allocated to the commission to supplement awards made for access costs under Article 2 (commencing with Section 69424), Article 3 (commencing with Section 69425), Article 3 (commencing with Section 69435), as it read on December 31, 2021, Article 4 (commencing with Section 69436), as it read on December 31, 2021, and Article 5 (commencing with Section 69437), as it read on December 31, 2021. The amount of the supplemental award, when added to the amount of the award made for access costs established by the annual Budget Act, shall not exceed five thousand
dollars ($5,000). An award under this section is payable only to the extent that moneys are available from the fund. The commission shall inform each recipient of an award under this section that the award is for one academic year only, is not an entitlement, and that future supplemental awards are subject to the availability of moneys in the fund.
(d) If, after making supplemental awards pursuant to subdivision (c), moneys remain in the fund, those moneys shall remain in the fund for allocation in future fiscal years.