SAN JOSE — With the launch of an ambitious new community college scholarship program, San Jose leaders believe they will propel hundreds of low-income students into higher education.

Mayor Sam Liccardo and community college leaders unveiled the San Jose Promise program Wednesday, which will cover two years of community college costs — tuition, fees, books, materials and transportation — for up to 800 students.

“I know there are going to be lots of questions for all of us about ‘How are we going to pay for this and how are we going to pay for that?'” Liccardo said before citing statistics from the state Department of Education that show only 84 out of 100 San Jose students graduate from high school. Of those, just 60 students enter college — and only half earn a degree or certificate.

“So I ask you — how can we not invest in this?” the mayor said. “The cost of doing nothing is far too great.”

The program covers students attending San Jose City College, Evergreen Valley College and West Valley College. High school students can begin applying for the grants in June by visiting the school’s financial aid office. The scholarships are available to students based on income.

The money comes from the California College Promise Innovation Grant Program, which awarded $750,000 to each campus. But San Jose will have to chip in some taxpayer dollars to launch the initiative — a “six-figure” amount the mayor’s office says is still unknown.

The proposal drew some criticism from those who argue education isn’t the city’s responsibility.

“Funding college education is not a function of city government,” said Pat Waite, president of Citizens for Fiscal Responsibility, a budget watchdog group. “We’ve got people getting stabbed and shot on the streets, and I’m not sure how this program helps fix that or fill potholes.”

Liccardo responded by saying when so many San Jose students fail to finish college, “all the other basic functions of a city become much harder — from public safety to economic development.”

As part of the initiative, Evergreen and West Valley will launch new scholarships — expected to help 500 students — while West Valley will expand an existing grant program that provides free tuition to graduating high school students.

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A similar idea could expand the scholarships to all San Jose students.

San Jose State Professor Scott Myers-Lipton, who’s led successful campaigns to raise the minimum wage and business taxes, began research on an initiative last year to offer free college to all. His idea is modeled after San Francisco’s successful Prop. W, which increased real estate tax on property sales to pay for higher education.

Myers-Lipton, who’s discussing his plan with City Council members, said his program could be funded by tax revenue from recreational marijuana sales, a conveyance or sugar tax.

“We have 16,000 students that are San Jose residents. What about those students?” Myers-Lipton said Wednesday. “It should be a good education for all — not just for 800 students. How can we make sure all students are covered?”

Education leaders say community college is the place to start since it’s the “equity engine” of California.

“Over 40 percent of San Jose residents are immigrants,” said Deborah Budd, chancellor of San Jose-Evergreen Community College District. “The way to high-paying jobs is education.”

Staff writer Sharon Noguchi contributed to this report.