California's community colleges and campuses in the California State University System both have made progress in encouraging the use of a two-year degree aimed at transfer, according to a new report from the Public Policy Institute of California. About half the state's community colleges now offer 10 or more versions of the transfer degree, the report found. And Cal State campuses have made "significant progress" in increasing the number of transfer degrees they accept in similar majors.

Challenges remain, however. The report said capacity constraints at Cal State may limit the degrees' promise. It also found that the lack of participation by the University of California means that the transfer degrees are not as much of a "statewide" pathway as intended by the ambitious legislation that led to their creation.

More work also needs to be done at two-year colleges, according to the report. Awareness among community colleges students about the degrees remains limited.

Last year California passed a bill to nudge community colleges and Cal State campuses to comply with the legislation's timeframe, which required all of the new transfer degree tracks to be completed this year.