The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Rules
BILL: SB 1136
INTRODUCER: Senator Rodrigues
SUBJECT: Board of Directors of Florida ABLE, Inc.
DATE: April 2, 2021 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Delia Cox CF Favorable
2. McVaney McVaney GO Favorable
3. Delia Phelps RC Favorable
I. Summary:
SB 1136 revises the member composition of the board of directors of the Florida Achieving a
Better Life Experience (ABLE) program. The bill authorizes the Florida Prepaid College Board
to appoint up to three individuals (rather than one) who possess knowledge, skill, and experience
in the area of accounting, risk management, or investment management.
The bill also removes the limit on the number of terms board members appointed by the
Governor and presiding officers of the Legislature may serve.
The bill is not expected to have a fiscal impact. See Section V. Fiscal Impact Statement.
The bill is effective July 1, 2021.
II. Present Situation:
ABLE Programs
Federal ABLE Act
Congress enacted the ABLE Act (Achieving a Better Life Experience Act) in 2014.1 The ABLE
Act permits a state to implement an ABLE Program and establish ABLE accounts for eligible
individuals with disabilities2 to spend distributions on “qualified disability expenses.”3 The
1
Pub. L. No. 113-295, 128 Stat. 4056 (Dec. 19, 2014).
2
26 U.S.C. § 529(e). An individual is an eligible individual for a taxable year if during such taxable year: (1) the individual is
entitled to benefits based on blindness or disability under title II or XVI of the Social Security Act, and such blindness or
disability occurred before the date on which the individual attained age 26; or (2) a disability certification with respect to
such individual is filed with the Secretary of Education for such taxable year.
3
26 U.S.C. §529(e)(5). “Qualified disability expense” is defines as “any expense related to the eligible individual’s blindness
or disability which are made for the benefit of an eligible individual who is the designated beneficiary, including the
BILL: SB 1136 Page 2
purposes of the ABLE Act are to encourage individuals and families to save money to support
individuals with disabilities to maintain health, independence, and quality of life and to provide
secure funding for disability-related expenses on behalf of designated beneficiaries with
disabilities to supplement benefits provided through other sources.4
Florida ABLE Program
The Florida ABLE Program was created in 2015 to encourage and assist the saving of private
funds in tax-exempt accounts in order to pay for the qualified expenses of eligible individuals
with disabilities.5 The Florida Prepaid College Board (Florida Prepaid) was required to establish
a direct-support organization to be known as “Florida ABLE, Inc.,” (ABLE United) to establish
and administer the Florida ABLE Program.6
The mission of ABLE United is to encourage and assist the saving of private funds to help
persons with disabilities cover costs that support their health, independence, and quality of life.7
Among the individuals in the program, 44 percent have a developmental disability.8 As of
May 15, 2020, 4,724 individuals have an ABLE United account.9 The average account balance is
$5,474.10
Florida ABLE Program - Board of Directors
Current law requires the board of directors of the Florida ABLE program to consist of:
The chair of Florida Prepaid, who must serve as the chair of the board;
One individual who possesses knowledge, skill, and experience in the areas of accounting,
risk management, or investment management, appointed by Florida Prepaid. A current
member of Florida Prepaid, other than the chair, may be appointed as this director.
One individual who possesses knowledge, skill, and experience in the areas of accounting,
risk management, or investment management, appointed by the Governor.
Two individuals who are advocates of persons with disabilities, one of whom is appointed by
the President of the Senate and one of whom is appointed by the Speaker of the House of
Representatives. At least one of these individuals must be an advocate of persons with
developmental disabilities, as that term is defined in s. 393.063, F.S.11
following expenses: education, housing, transportation, employment training and support, assistive technology and personal
support services, health, prevention and wellness, financial management and administrative services, legal fees, expenses for
oversight and monitoring, funeral and burial expenses, and other expenses, which are approved by the Secretary under
regulations and consistent with the purposes of this section.”
4
26 U.S.C. § 529(b).
5
Section 2, ch. 2015-56, L.O.F.
6
Section 1009.986(3), F.S.
7
ABLE United, Direct Support Organization Disclosures p. 1, (July 8, 2020), available at
http://flprepaidstage.wpengine.com/wp-content/uploads/2020-Florida-ABLE-Disclosure-Required-pursuant-to-Section-
20.058-Florida-Statutes.pdf (last visited March 5, 2021).
8
Id.
9
Id.
10
Id.
11
Section 1009.986(3)(d)1., F.S.
BILL: SB 1136 Page 3
Currently, the each director appointed by the Governor or the presiding officers of the
Legislature appointed for a 3-year term and may be reappointed for one consecutive term.12
III. Effect of Proposed Changes:
The bill modifies the makeup of the Florida ABLE program’s board of directors. Specifically,
the bill authorizes Florida Prepaid to appoint up to three individuals, rather than the current one,
who possesses knowledge, skill, and experience in the areas of accounting, risk management, or
investment management.
The bill also eliminates the current term limits for the directors appointed by the Governor and
the presiding officers of the Legislature. Under the bill, there is no limit on the number of terms
for which these members may serve.
The bill is effective July 1, 2021.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
Not applicable. The mandate restrictions do not apply because the bill does not require
counties and municipalities to spend funds, reduce counties’ or municipalities’ ability to
raise revenue, or reduce the percentage of state tax shared with counties and
municipalities.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None.
D. State Tax or Fee Increases:
None.
E. Other Constitutional Issues:
None identified.
V. Fiscal Impact Statement:
A. Tax/Fee Issues:
None.
12
Section 1009.986(3)(d)2.b., F.S.
BILL: SB 1136 Page 4
B. Private Sector Impact:
None.
C. Government Sector Impact:
None.
VI. Technical Deficiencies:
None.
VII. Related Issues:
None.
VIII. Statutes Affected:
This bill substantially amends section 1009.986 of the Florida Statutes.
IX. Additional Information:
A. Committee Substitute – Statement of Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
None.
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
Statutes affected: S 1136 Filed: 1009.986
S 1136 er: 1009.986