House Journal: Page 1755: Thursday, May 1, 2003
21 education costs. The creation of the means of
22 encouragement for citizens to invest in such a program
23 represents the carrying out of a vital and valid
24 public purpose. In order to make available to the
25 citizens of the state an opportunity to fund future
26 higher education needs, it is necessary that a public
27 trust be established in which moneys may be invested
28 for future educational use. It is also necessary to
29 establish an endowment fund which may be funded with
30 public funds, among other sources, the income from
31 which will be made available to participants in the
32 trust to enhance their savings invested for the
33 payment of future higher education costs.
34 Sec. . Section 12D.1, subsections 5 and 13,
35 Code 2003, are amended by striking the subsections.
36 Sec. . Section 12D.2, subsections 4, 8, 10, 11,
37 and 12, Code 2003, are amended to read as follows:
38 4. Accept any grants, gifts, legislative
39 appropriations, and other moneys from the state, any
40 unit of federal, state, or local government, or any
41 other person, firm, partnership, or corporation which
42 the treasurer of state shall deposit into the
43 administrative fund, the endowment fund, or the
44 program fund.
45 8. Solicit and accept for the benefit of the
46 endowment fund gifts, grants, and other moneys,
47 including legislative appropriations and grants from
48 any federal, state, or local governmental agency.
49 10. Make payments to institutions of higher
50 education, participants, or beneficiaries pursuant to
Page 2
1 participation agreements on behalf of beneficiaries.
2 11. Make refunds to participants upon the
3 termination of participation agreements and partial
4 nonqualified distributions to participants pursuant to
5 the provisions, limitations, and restrictions set
6 forth in this chapter.
7 12. Invest moneys from the endowment fund and the
8 program fund in any investments which are determined
9 by the treasurer of state to be appropriate.
10 Sec. . Section 12D.3, subsections 2 and 3, Code
11 2003, are amended to read as follows:
12 2. Beneficiaries designated in participation
13 agreements may be designated from date of birth up to,
14 but not including, their eighteenth birthday at any
15 age. A substitute beneficiary may be older than age
16 eighteen provided that the substitute beneficiary is
17 not older than the original beneficiary.
18 3. A participant's account balance shall be
19 refunded to the participant, less endowment fund
© 2003 Cornell College and
League of Women Voters of Iowa
Comments about this site or page?
hjourn@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.
Last update: Tue Aug 19 10:25:00 CDT 2003
URL: /DOCS/GA/80GA/Session.1/HJournal/01700/01755.html
jhf