(A) The South Carolina Tuition Prepayment Program is created as a program within the Office of the State Treasurer. The chief administrative and operating official for the program is the director who must be appointed and supervised by the Treasurer. The director must be a state official or employee.
(B) The Treasurer is responsible for developing and adopting the investment policies, guidelines, and strategies for the fund and determining the costs, termination, and withdrawal options of the prepaid tuition contracts. The Treasurer shall promulgate regulations in accordance with the Administrative Procedures Act which:
(1) provide for the number and types of contract plans to be offered, to include both public and independent colleges and universities;
(2) prescribe the terms and conditions of the prepaid tuition contracts, including the terms and conditions under which funds may be withdrawn or refunds made from the fund;
(3) prescribe the requirements, procedures, and guidelines regarding advanced payment contracts;
(4) provide for the contract contents to include, at a minimum, tuition and credit hour guarantees, beneficiary substitutions, default, withdrawal, refund, termination and penalty information, and contributor payment amounts and conditions;
(5) provide for the receipt of advance payments;
(6) prescribe guidelines governing the program;
(7) provide for the charging and retention of fees for the cost of services and administration of the fund;
(8) prescribe the investment and management policies of the fund; and
(9) prescribe other policies, procedures, and criteria necessary to implement and administer the program.
These regulations must be developed in consultation with the chairmen or their designees of the Senate Finance Committee, the Senate Education Committee, the House Ways and Means Committee, and the House Education and Public Works Committee, and submitted in sufficient time for the General Assembly to begin its approval process by January 15, 1998. It is the intent of the General Assembly to have these regulations in force so that the program may begin to offer contracts by July 1, 1998.
HISTORY: 1997 Act No. 155, Part II, Section 4A; 2000 Act No. 410, Section 2(B).