The purpose and effect of this rule development is to update the Master Contract, consolidate rules, and reflect modifications to the Stanley G. Tate Florida Prepaid College Program.

 

STATE BOARD OF ADMINISTRATION

Florida Prepaid College Board

RULE NOS.:RULE TITLES:

19B-4.001Application

19B-4.002Contract Prices

PURPOSE AND EFFECT: The purpose and effect of this rule development is to update the Master Contract, consolidate rules, and reflect modifications to the Stanley G. Tate Florida Prepaid College Program.

SUMMARY: The primary purposes of updating the rules and incorporated document are to create the new 1-Year Florida University Plan; explain how the Plans may be purchased and used; and clarify and consolidate existing rules.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION: The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: During a discussion of the economic impact of these rules at its Board meeting, the Board, based upon the expertise and experience of its members, determined that a SERC was not necessary and that the rules will not require ratification by the Legislature. No person or interested party submitted additional information regarding the economic impact.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 1009.971(1), (4), (6) FS.

LAW IMPLEMENTED: 1009.97(3)(f), 1009.971, 1009.975, 1009.98 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 48 hours before the workshop/meeting by contacting: William Thompson, Deputy Executive Director, 1801 Hermitage Blvd., Suite 210, Tallahassee, FL, [phone], [e-mail]. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: William Thompson, Deputy Executive Director, 1801 Hermitage Blvd., Suite 210, Tallahassee, FL, [phone], [e-mail]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

19B-4.001 Application.

(1)(a) Rule Chapters 19B-4 through 19B-13 and 19B-15, F.A.C., apply to advance payment contracts for the prepayment of the postsecondary Rregistration Fee, Llocal Ffees, Ttuition Ddifferential Ffees and/or Ddormitory residency Ffees under the Stanley G. Tate Florida Prepaid College Program, the “Program.” “Purchaser” means “Account Owner” and “Co-Purchaser” means “Survivor.” See the Master Contract, which is incorporated by reference in subsection (2), for defined terms.

(b) The application period shall commence and terminate on dates set annually by the Board and published in the Florida Administrative Register. Applications for advance payment contracts purchased through the Board’s direct support organization, The Florida Prepaid College Foundation, Inc., for Ppurchasers participating in employer participation programs or by Ppurchasers pursuant to a court order will be accepted by the Board at any time. The Board may permit oOther applications for Ppurchasers of advance payment contracts to submitted an Application to the Board outside the Open Enrollment annual application Pperiod to will be processed for data collection and administrative purposes, but the Application will not be accepted by the Board until the beginning of the next succeeding open enrollment annual application period.

(c) The Plan contract prices associated with Aapplications submitted to the Board during the Open Enrollment annual application Pperiod shall be the Plan contract prices applicable to advance payment contracts for the Open Enrollment Period annual application period. The Plan contract prices associated with Aapplications received by submitted to the Board outside the Open Enrollment annual application Pperiod, except for those purchased through the Board’s direct support organization, The Florida Prepaid College Foundation, Inc., for Ppurchasers participating in employer participation programs or by Ppurchasers pursuant to a court order, shall be the Plan contract prices applicable to advance payment contracts for the next succeeding Open Enrollment annual application Pperiod. After acceptance by the Board of the purchaser’s application, a participation and payment schedule shall be mailed to the purchaser.

(d) The advance payment contract shall be comprised of the application, Master Contract, and participation and payment schedule.

(2) The Florida Prepaid College Plan Master Contract, Form No. FPCB 20154-02, https://www.flrules.org/Gateway/reference.asp?No=Ref-04374 https://www.flrules.org/gateway/reference.asp?No=Ref-03230, is hereby incorporated by reference.

(3) The Board may only require that applicants provide the following information to enroll in the Program:

(a) For the Account Owner, Survivor, Parent and Beneficiary:

1.Full legal name and salutation;

2. Social Security Number;

3. Date of birth;

4. Full mailing address;

5. Two telephone numbers;

6. Two e-mail addresses.

(b) Age, grade, and projected enrollment year of the Beneficiary.

(c) The pPlan type and payment option of Florida Prepaid College Plan(s) selected for enrollment.

(d) Proof of, or information used to verify proof of the Parent’s or Beneficiary’s Florida residency as defined in the Master Contract, which is incorporated by reference in subsection (2) Rule 19B-7.002, F.A.C.

(e) Marketing information:

1. How did you hear about the Program?

2. Annual Family Income;

3. Purchaser’s relationship to the Beneficiary;

4. Beneficiary gender;

5. Beneficiary race.

(f) A Florida 529 Savings Plan Account Number for the same Beneficiary to apply a discount on the Application Fee, if offered and applicable.

(g) Information required for the processing of a one-time and recurring automatic withdrawal authorization.

(4) A copy of the Master Contract and Application may be obtained from the Board by submitting a request to: P.O. Box 6448, Tallahassee, Florida 32314-6448.

Rulemaking Authority 1009.971(1), (4), (6) FS. Law Implemented 1009.98 FS. History–New 3-29-89, Amended 2-6-90, 3-19-92, Formerly 4G-4.001, Amended 12-5-93, 5-31-95, 6-20-96, 10-20-96, 12-16-97, 2-18-99, 6-6-99, 2-8-00, 5-21-00, 1-3-01, 10-9-01, 11-27-02, 10-1-03, 1-29-04, 12-28-04, 6-2-05, 12-20-05, 1-1-07, 11-27-07, 12-17-07, 11-18-08, 1-28-09, 4-5-09, 10-26-09, 10-18-10, 12-5-11, 11-5-12, 10-7-13,__________.

 

19B-4.002 Contract Prices.

The Board will approve evaluate Plan prices for each Open Enrollment Period revision periodically. The value of the projected fees for included within the Florida College System or the State University System will be based primarily on Florida law and empirical data for national and Florida postsecondary tuition, required fees, and housing costs. All Plan prices and the interest rate for installment payment plans for the current Open Enrollment Period will be published periodically on the Board’s website (www.MyFloridaPrepaid.com).

Rulemaking Authority 1009.971(1), (4), (6) FS. Law Implemented 1009.98(2) FS. History–New 3-29-89, Amended 2-6-90, 3-19-92, Formerly 4G-4.002, Amended 5-31-95, 2-18-99, 2-8-00, 12-28-03, 12-28-04, 12-20-05, 12-17-07, 11-30-09, 10-18-10, 10-7-13,____________.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Florida Prepaid College Board

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Florida Prepaid College Board

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: June 12, 2014

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: June 6, 2014