Los Angeles ( CNN ) -- California Gov . Jerry Brown signed into law a measure that will allow undocumented immigrant students to receive privately funded scholarships administered at public universities and community colleges , officials said Tuesday . The law was needed because the University of California and California State University systems avoided giving the private scholarships to their undocumented students , citing vagueness in laws , said Luis Quinonez , legislative aide to the new law 's author , Assemblyman Gilbert Cedillo . Also , community colleges in California often raised money from private sources and diverted those funds to independent nonprofit groups , which in turn gave those funds as scholarships to undocumented students , Quinonez told CNN on Tuesday . Under the new law , community colleges will be able to give those privately financed scholarships directly to undocumented immigrant students , Quinonez said . Since 2005 , bills containing an identical measure were vetoed four times by Gov . Arnold Schwarzenegger , a Republican , but on Monday , Brown , a Democrat , ceremoniously signed the law on the back of Cedillo , who has long championed the proposal , Quinonez said . Cedillo , D-Los Angeles , told CNN on Tuesday that the new law will help boost the California labor force with educated workers , especially as a million college graduates who are baby boomers are projected to retire by 2025 . He also said `` thousands '' of undocumented students will now be able to achieve their personal dreams . `` Education is for life , but their legal status will change , '' Cedillo said of the undocumented immigrant students . `` Something is going to happen that their status is going to change '' some day , he added . The new law is called California 's Dream Act . It differs from a proposed federal bill called the Development , Relief and Education for Alien Minors -- or DREAM -- Act , which would create a path to citizenship for immigrants who entered the United States illegally as children under the age of 16 and have lived in the United States for at least five years , obtained a high school or General Education Development diploma and demonstrated `` good moral character , '' according to a White House fact sheet . `` Signing this Dream Act is another investment in people , '' Brown said at Monday 's signing . Angelica Salas , executive director for the Coalition for Humane Immigrant Rights of Los Angeles , a regional immigrant rights organization , praised the new law . `` While many states have chosen to legislate hate and division by approving anti-immigrant laws , California 's governor sends a strong message that investing in today 's student population , regardless of their immigration status , is smart , practical , and the right thing to do , '' Salas said in a written statement . The law requires undocumented immigrant students to have attended a California high school for three or more years , to have attained a diploma or a GED , to have filed an affidavit with the college stating they have applied for a lawful immigration status or will apply as soon as they are eligible to do so , Quinonez said . The new law also applies to citizen or resident students who may have left the state and want to return to a California higher education institution ; they too have to meet the same high school attendance and diploma or GED criteria , Quinonez said . The University of California system 's 10 campuses have about 670 undocumented students who could benefit under the new law , Quinonez said . The UC system has a total enrollment of 237,000 , according to a Cedillo statement . Figures for undocumented immigrant students in the Cal State and community college systems were n't available , Quinonez said . Cedillo has also introduced a Dream Act Part II , which would allow undocumented immigrant students to receive state-funded financial aid at higher education institutions , Quinonez said . That measure , which passed the Assembly in June , is scheduled for a vote in the Senate Appropriations Committee on August 25 , Quinonez said .
Public schools in California have raised funds for private scholarships . But the private scholarships did not go directly to undocumented immigrant students . A new law now allows for the use of such privately financed scholarships . ` ` Education is for life , but their legal status may change ''