Senate Bill sb0550c1

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2006                            CS for SB 550

    By the Committee on Education; and Senators Baker, Diaz de la
    Portilla and Campbell




    581-1950-06

  1                      A bill to be entitled

  2         An act relating to scholarship programs;

  3         renaming the Florida Prepaid College Program as

  4         the "Stanley G. Tate Florida Prepaid College

  5         Program"; amending s. 1009.972, F.S.; providing

  6         for the Florida Prepaid Tuition Scholarship

  7         Program to be funded with moneys retained from

  8         certain terminated or cancelled contracts under

  9         the Florida Prepaid College Program; extending

10         the scholarship program to students with

11         disabilities; authorizing the Florida Prepaid

12         College Board and Prepaid College Foundation

13         Board to approve scholarship programs for such

14         funding; amending s. 1009.98, F.S.; deleting a

15         restriction on the types of postsecondary

16         educational institutions in which a qualified

17         beneficiary may use his or her benefits under

18         the Florida Prepaid College Program; requiring

19         certain advertisements to contain a disclaimer

20         regarding the program; conforming provisions to

21         changes made by the act; extending the

22         scholarship program to students with

23         disabilities; amending s. 1009.984, F.S.;

24         expanding the Florida Prepaid Tuition

25         Scholarship Program to provide scholarships to

26         students with disabilities and students

27         approved by the Florida Prepaid College Board

28         and the Prepaid College Foundation Board;

29         providing an effective date.

30  

31  Be It Enacted by the Legislature of the State of Florida:

                                  1

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                            CS for SB 550
    581-1950-06




 1         Section 1.  The Florida Prepaid College Program is

 2  renamed and may be cited as the "Stanley G. Tate Florida

 3  Prepaid College Program."

 4         Section 2.  Subsection (5) of section 1009.972, Florida

 5  Statutes, is amended to read:

 6         1009.972  Florida Prepaid College Trust Fund.--

 7         (5)  Notwithstanding the provisions of chapter 717,

 8  funds associated with terminated advance payment contracts

 9  pursuant to s. 1009.98(4)(k) and canceled contracts for which

10  no refunds have been claimed shall be retained by the board.

11  The board shall establish procedures for notifying purchasers

12  who subsequently cancel their advance payment contracts of any

13  unclaimed refund and shall establish a time period after which

14  no refund may be claimed by a purchaser who canceled a

15  contract. The board may transfer funds retained from such

16  terminated advance payment contracts and canceled contracts to

17  the Florida Prepaid Tuition Scholarship Program to provide

18  matching funds for prepaid tuition scholarships for

19  economically disadvantaged students or students with

20  disabilities youth who remain drug free and crime free or for

21  a scholarship program that is approved by the board and the

22  board of the direct-support organization established under s.

23  1009.983.

24         Section 3.  Paragraph (a) of subsection (3) and

25  paragraph (k) of subsection (4) of section 1009.98, Florida

26  Statutes, are amended to read:

27         1009.98  Florida Prepaid College Program.--

28         (3)  TRANSFER OF BENEFITS TO PRIVATE AND OUT-OF-STATE

29  COLLEGES AND UNIVERSITIES AND TO CAREER CENTERS.--A qualified

30  beneficiary may apply the benefits of an advance payment

31  contract toward:

                                  2

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                            CS for SB 550
    581-1950-06




 1         (a)  An independent college or university that is

 2  located and chartered in Florida, that is not for profit, that

 3  is accredited by the Commission on Colleges of the Southern

 4  Association of Colleges and Schools or the Accrediting Council

 5  for Independent Colleges and Schools, and that confers degrees

 6  as defined in s. 1005.02. Any advertisement disseminated by an

 7  eligible for-profit independent college or university which

 8  refers to the Florida Prepaid College Program must clearly

 9  state: "While the benefits of a Florida Prepaid College

10  contract may be used at this institution, the Florida Prepaid

11  College Board does not endorse any particular college or

12  university."

13  

14  The board shall transfer or cause to be transferred to the

15  institution designated by the qualified beneficiary an amount

16  not to exceed the redemption value of the advance payment

17  contract at a state postsecondary institution. If the cost of

18  registration or housing fees at such institution is less than

19  the corresponding fees at a state postsecondary institution,

20  the amount transferred may not exceed the actual cost of

21  registration and housing fees. A transfer authorized under

22  this subsection may not exceed the number of semester credit

23  hours or semesters of dormitory residence contracted on behalf

24  of a qualified beneficiary.  Notwithstanding any other

25  provision in this section, an institution must be an "eligible

26  educational institution" under s. 529 of the Internal Revenue

27  Code to be eligible for the transfer of advance payment

28  contract benefits.

29         (4)  ADVANCE PAYMENT CONTRACTS.--The board shall

30  develop advance payment contracts for registration and may

31  develop advance payment contracts for dormitory residence as

                                  3

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                            CS for SB 550
    581-1950-06




 1  provided in this section. Advance payment contracts shall be

 2  exempt from chapter 517 and the Florida Insurance Code. Such

 3  contracts shall include, but not be limited to, the following:

 4         (k)  The period of time after which advance payment

 5  contracts that have not been terminated or the benefits used

 6  shall be considered terminated. Time expended by a qualified

 7  beneficiary as an active duty member of any of the armed

 8  services of the United States shall be added to the period of

 9  time specified by the board. A No purchaser or qualified

10  beneficiary whose advance payment contract is terminated

11  pursuant to this paragraph is not shall be entitled to a

12  refund. Notwithstanding chapter 717, the board shall retain

13  any moneys paid by the purchaser for an advance payment

14  contract that has been terminated in accordance with this

15  paragraph. Such moneys may be transferred to the Florida

16  Prepaid Tuition Scholarship Program to provide matching funds

17  for prepaid tuition scholarships for economically

18  disadvantaged students or students with disabilities youths

19  who remain drug free and crime free or for a scholarship

20  program that is approved by the board and the board of the

21  direct-support organization established under s. 1009.983.

22         Section 4.  Section 1009.984, Florida Statutes, is

23  amended to read:

24         1009.984  Florida Prepaid Tuition Scholarship

25  Program.--The Florida Prepaid Tuition Scholarship Program is

26  established to provide economically disadvantaged students or

27  students with disabilities youth with prepaid postsecondary

28  tuition scholarships and to provide such scholarships to

29  others as approved by the board and the board of the

30  direct-support organization established under s. 1009.983. The

31  direct-support organization established pursuant to s.

                                  4

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                            CS for SB 550
    581-1950-06




 1  1009.983 shall administer the program with the assistance and

 2  cooperation of the Department of Education to:

 3         (1)  Provide an incentive for economically

 4  disadvantaged students or students with disabilities youth to

 5  improve school attendance and academic performance in order to

 6  graduate and pursue a postsecondary education.

 7         (2)  Obtain the commitment and involvement of private

 8  sector entities by virtue of funding matches with a ratio of

 9  50 percent provided by the private sector and 50 percent

10  provided by the state.

11         (3)  Purchase prepaid tuition scholarships for

12  economically disadvantaged students or students with

13  disabilities certified by the Department of Education to the

14  direct-support organization who meet minimum economic and

15  school requirements and remain drug free and crime free.

16         (a)  For the purpose of this subsection, "drug free"

17  means not being convicted of, or adjudicated delinquent for,

18  any violation of chapter 893 after being designated a

19  recipient of a Florida prepaid tuition scholarship.

20         (b)  For the purpose of this subsection, "crime free"

21  means not being convicted of, or adjudicated delinquent for,

22  any felony or first degree misdemeanor as defined in ss.

23  775.08 and 775.081 after being designated a recipient of a

24  Florida prepaid tuition scholarship.

25         (4)  Purchase prepaid tuition scholarships for students

26  who are eligible for a scholarship program that is approved by

27  the board and the board of the direct-support organization

28  established under s. 1009.983.

29         Section 5.  This act shall take effect July 1, 2006.

30  

31  

                                  5

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                            CS for SB 550
    581-1950-06




 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                         Senate Bill 550

 3                                 

 4  This committee substitute:

 5  Renames the Florida Prepaid College Program as the Stanley G.
    Tate Florida Prepaid College Program;
 6  
    Authorizes the Florida Prepaid College Board and the board of
 7  the direct-support organization to approve prepaid tuition
    scholarship programs;
 8  
    Extends prepaid tuition scholarships to students with
 9  disabilities; and

10  Requires advertisements disseminated by eligible for-profit
    colleges and universities to contain specified disclaimer
11  statements.

12  

13  

14  

15  

16  

17  

18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

                                  6

CODING: Words stricken are deletions; words underlined are additions.