Senate Study Bill 1022 - Introduced SENATE/HOUSE FILE _____ BY (PROPOSED DEPARTMENT OF EDUCATION/COLLEGE STUDENT AID COMMISSION BILL) A BILL FOR An Act relating to the duties and activities of the college 1 student aid commission regarding educational programs, 2 career planning tools, and trusts; permitting the commission 3 to authorize a nonprofit foundation; and creating an 4 educational planning grant fund. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 6 TLSB 1206XD (5) 84 kh/sc

S.F. _____ H.F. _____ Section 1. Section 21.2, subsection 1, Code 2011, is amended 1 by adding the following new paragraph: 2 NEW PARAGRAPH . k. A nonprofit foundation authorized by 3 the college student aid commission pursuant to section 261.2, 4 subsection 12. 5 Sec. 2. Section 22.1, subsection 1, Code 2011, is amended 6 to read as follows: 7 1. The term “government body” means this state, or 8 any county, city, township, school corporation, political 9 subdivision, tax-supported district, nonprofit corporation 10 other than a fair conducting a fair event as provided in 11 chapter 174 , whose facilities or indebtedness are supported 12 in whole or in part with property tax revenue and which is 13 licensed to conduct pari-mutuel wagering pursuant to chapter 14 99D ; the governing body of a drainage or levee district as 15 provided in chapter 468 , including a board as defined in 16 section 468.3 , regardless of how the district is organized; 17 or other entity of this state, or any branch, department, 18 board, bureau, commission, council, committee, official, or 19 officer of any of the foregoing or any employee delegated 20 the responsibility for implementing the requirements of this 21 chapter . For purposes of this chapter, a nonprofit foundation 22 authorized by the college student aid commission pursuant to 23 section 261.2, subsection 12, shall be considered a government 24 body. 25 Sec. 3. Section 261.2, subsection 3, Code 2011, is amended 26 to read as follows: 27 3. a. Develop and implement, in cooperation with the 28 state board of regents and the department of education , an 29 educational program programs and marketing strategies designed 30 to inform students and parents about the options available 31 for financing planning, preparing, and paying for a college 32 education and the need to accumulate the financial resources 33 necessary to pay for a college education. The educational 34 program programs shall include but not be limited to 35 -1- LSB 1206XD (5) 84 kh/sc 1/ 3

S.F. _____ H.F. _____ distribution of informational material to public and nonpublic 1 elementary schools for distribution to parents and guardians 2 of five-year and six-year old children and administration of a 3 career planning internet-based tool . 4 b. Administer the educational planning grant fund. 5 The educational planning grant fund is created in the 6 state treasury as a separate fund under the control of the 7 commission. Moneys in the educational planning grant fund 8 shall be used for educational programs and marketing strategies 9 developed and implemented in accordance with paragraph “a” . 10 The fund shall consist of moneys appropriated by the general 11 assembly and any other moneys available to and obtained 12 or accepted by the commission from the federal government 13 or private sources for placement in the fund. The moneys 14 credited to the fund are not subject to section 8.33, and 15 moneys in the fund shall not be transferred, used, obligated, 16 appropriated, or otherwise encumbered except as provided by 17 law. Notwithstanding section 12C.7, subsection 2, interest or 18 earnings on moneys deposited in the educational planning grant 19 fund shall be credited to the fund. 20 Sec. 4. Section 261.2, Code 2011, is amended by adding the 21 following new subsections: 22 NEW SUBSECTION . 11. Accept and administer trusts deemed by 23 the commission to be beneficial for Iowa students and families. 24 NEW SUBSECTION . 12. Authorize, at its discretion, 25 a nonprofit foundation acting solely for the support of 26 commission activities authorized or required pursuant to this 27 chapter. The nonprofit foundation may accept and administer 28 trusts, gifts, grants, and other bequests, contributions, or 29 donations deemed by the commission to be beneficial to Iowa 30 students and families. Notwithstanding section 633.63, the 31 commission and the nonprofit foundation may act as trustees 32 in such instances. The commission shall require that moneys 33 belonging to the nonprofit foundation be audited annually. 34 The foundation is not a state agency, shall not exercise any 35 -2- LSB 1206XD (5) 84 kh/sc 2/ 3

S.F. _____ H.F. _____ sovereign power of the state, and the state shall not be 1 liable for any of the foundation’s debts. The foundation is 2 a governmental body solely for purposes of chapter 21 and a 3 government body solely for purposes of chapter 22. 4 EXPLANATION 5 This bill requires the college student aid commission 6 to administer a career planning internet-based tool and an 7 educational planning grant fund and to accept and administer 8 trusts, and allows the commission to authorize a nonprofit 9 foundation that acts solely for the support of commission 10 activities. 11 The nonprofit foundation is authorized to accept and 12 administer trusts, gifts, grants, and other bequests, 13 contributions, or donations. The commission and the nonprofit 14 foundation may act as trustees in those instances. Moneys 15 belonging to the nonprofit foundation must be audited annually. 16 For purposes of the open meetings law, the nonprofit foundation 17 is a governmental body. For purposes of the open records 18 law, the nonprofit foundation is a government body. The bill 19 provides that the foundation is not a state agency, nor shall 20 it exercise any sovereign power of the state, and the state 21 shall not be liable for any of the foundation’s debts. 22 The educational planning grant fund is created in the state 23 treasury under the control of the commission. The fund must 24 be used for educational programs and marketing strategies 25 developed and implemented by the commission. The fund consists 26 of moneys appropriated by the general assembly and any other 27 moneys available to and obtained or accepted by the commission 28 from the federal government or private sources. 29 The bill requires the commission to cooperate with the 30 department of education in developing and implementing 31 educational programs and marketing strategies designed to 32 inform students and parents about planning, preparing, and 33 paying for a college education. 34 -3- LSB 1206XD (5) 84 kh/sc 3/ 3