Assemblymember Bonnie Lowenthal (D-Long Beach) has introduced, with sponsorship from the California State University (CSU), Assembly Bill 1222, the alumni affinity program reauthorization bill. This proposal hopes to eliminate the sunset on a law that gives alumni associations the ability to provide benefits and services to their alumni through non-state support.

The original bill, SB 569, which created the law and subsequently the sunset was introduced in 2005 by Assemblymember Tom Torlakson amended the Education Code to specifically allow associations to offer these benefits to their alumni within the context of a new law dealing with financial institutions privacy practices.

Affinity programs have been offered by associations as a way to provide benefits such as health and life insurance to their alumni at a discounted rate for decades. Unfortunately in 2003, Senate Bill 1introduced by Senator Jackie Speier established the California Financial Information Privacy Act (IPA) which focused on privacy and broader consumer protections and in doing so inadvertently impacted the ability of our public university alumni associations to develop these affinity programs. Specifically, the IPA prohibited public institutions, including the CSU and UC, from distributing names and contact information of any individual (Civil Code Section 1798.60).

SB 569 addressed the current inequity between private universities and nonprofit organizations and California’s public universities in continuing their affinity partnerships. The bill explicitly states that under no circumstances are campuses allowed share student information with affinity partners.

In addition, SB 569 set a higher standard for CSU and the University of California (UC) by requiring that all affinity partnerships contain confidentiality clauses to prohibit misuse of alumni information as well as statutory requirements regarding no cost “opt out” means for graduates and alumni association members.

The statute authorizing CSU and UC affinity programs sunsets January 1, 2011. The CSU and the UC proposes removing this sunset clause from the Education Code.

All 23 CSU campus associations currently use the funding they receive from these programs to further their programming and outreach to alumni as well as to provide both general and athletic scholarships to students.

Throughout the last three years of implementation of this statute both public universities have held the privacy of their alumni in the highest regard, keeping meticulous record of all opt-out information obtained from alumni as well as continually following the letter of the law by ensuring ample opportunities for alumni to have their information removed from records.

The CSU and the UC believe strongly in the benefit these programs provide and their positive influence they have to provide opportunities for both alumni and students on our campuses.