Existing law establishes the Governor Guinn Millennium Scholarship Program and creates the Millennium Scholarship Trust Fund to fund the Program. Existing law requires the State Treasurer to deposit in the Millennium Scholarship Trust Fund: (1) forty percent of all money received by the State of Nevada pursuant to any settlement entered into by the State and a manufacturer of tobacco products; and (2) forty percent of all money recovered by the State from a judgment in a civil action against a manufacturer of tobacco products. Existing law authorizes up to 3 percent of the anticipated annual revenue to the State from the settlement agreements with and civil actions against manufacturers of tobacco products anticipated for deposit in the Millennium Scholarship Trust Fund to be used to pay the costs of administering the Trust Fund. (NRS 396.926) Existing law also creates the Nevada College Savings Trust Fund and an Endowment Account within the Nevada College Savings Trust Fund. (NRS 353B.340) Existing law authorizes money in Endowment Account to be expended for any purpose related to the Governor Guinn Millennium Scholarship Program, including the costs of administering the Program, up to an amount equal to 3 percent of the anticipated annual revenue to the State from the settlement agreements with and civil actions against manufacturers of tobacco products anticipated for deposit in the Millennium Scholarship Trust Fund. (NRS 353B.350) Between these two sources, existing law therefore authorizes administrative funding for the Millennium Scholarship Trust Fund up to 6 percent of the anticipated annual revenue to the State from the settlement agreements with and civil actions against manufacturers of tobacco products anticipated for deposit in the Trust Fund. This bill increases the amount of the anticipated annual revenue to the State from the settlement agreements with and civil actions against manufacturers of tobacco products anticipated for deposit in the Millennium Scholarship Trust Fund which is authorized to be used from the Trust Fund to pay the costs of administering the Trust Fund from 3 percent to 10 percent. This bill does not increase the amount of money in the Endowment Account in the Nevada College Savings Trust Fund which may be used to pay for the administrative costs of the Millennium Scholarship Trust Fund, thereby capping the total administrative funding that is available between these sources at 13 percent of the anticipated annual revenue to the State from the settlement agreements with and civil actions against manufacturers of tobacco products anticipated for deposit in the Millennium Scholarship Trust Fund.

Statutes affected:
As Introduced: 396.926
BDR: 396.926