This bill amends the existing law regarding the low-income family postsecondary savings accounts incentive program, specifically altering the role of the state treasurer and the structure of the program. Notably, the treasurer will no longer have the authority to accept or approve applications for the program starting in 2028. Additionally, the bill reduces the number of grants available from 1,200 to 1,000 applications per year and decreases the number of audits required under the program. The audit process for certain withdrawals is also established, allowing for retrospective audits of withdrawals made during the years 2025, 2026, and 2027.

Furthermore, the bill specifies that contributions made by account owners to family postsecondary savings accounts will be matched by the state on a dollar-for-dollar basis, with a cap of $600 per calendar year. The treasurer is tasked with ensuring that all withdrawals of matching funds are used for qualified purposes, and any nonqualified withdrawals will require the participant to refund the matching portion. The treasurer is also required to submit a report on the program's performance by January 31 for the years 2026, 2027, and 2028, detailing various metrics related to the program's operation.

Statutes affected:
As introduced: 75-648, 75-650
Sub for: 75-650