Modifications to College Kickstarter Account Program

The bill modifies the college kickstarter account program (program). Under current law, an account may be opened by a parent or parents of an eligible child. The bill expands who may open an account and be an account sponsor on or after January 1, 2025 , requiring that an account sponsor must provide the birth certificate number or order of adoption for an eligible child in accordance with the requirements of the program to open an account. Further, the bill clarifies that on or after January 1, 2025, the amount of kickstarter funding that can be claimed is the base amount as adjusted for inflation in the year claimed plus, if the kickstarter funding is claimed in a year after the child's birth year, interest that has accrued on the base amount from the birth year to the claim year. The bill also expands the membership of the advisory board, requires the advisory board to meet at least on a quarterly basis each year, and makes changes to certain reporting requirements for the program.

Currently, a parent or parents of an eligible child must claim kickstarter funding within 5 years of the date of the eligible child's birth or adoption. The bill expands this period to 8 years for an account sponsor to claim kickstarter funding, and clarifies that an account is an "individual college savings account", which is any collegeinvest account.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)