CA AB1241

Requires the California Student Aid Commission, in consultation with the Legislative Analyst's Office, to study the effects of creating a "Pay it Forward, Pay it Back Pilot Program" that would allow students to attend UC, CSU, community colleges, or independent institutions without paying upfront tuition, fees, or room and board

Participating students would instead pay 2-4% of their annual adjusted gross income to the state for a specified number of years after graduation, as an alternative financing option alongside existing grants, scholarships, and loans

The study must identify at least one regionally diverse campus from each of the four higher education segments to participate in a potential pilot program

The study must identify funding sources for the first 15-20 years of the program, including a revolving fund for student payments and potential use of social impact bonds

Commission must submit the study report to the Assembly Committee on Higher Education and Senate Committee on Education by September 30, 2027, with provisions becoming inoperative on September 30, 2030, and repealed January 1, 2031