PURPOSE: This regulation provides the public with a description of the Missouri Higher Education Savings Program Board’s operations and the methods and procedures where the public may obtain information. This rule is adopted to fulfill the statutory requirement of section 536.023(3), RSMo.

1. (1) House Bill No. 1694, 2nd Regular Session, 89th General Assembly (1998) as amended by Senate Bill No. 460, 1st Regular Session, 90th General Assembly (1999) (effective August 28, 1999), codified at sections 166.400 through 166.455 (the statute) creates the Missouri Higher Education Savings Program (the program), to be administered by the Missouri Higher Education Savings Program Board (the board). The board consists of the state treasurer (who serves as chairman), the commissioner of the state Department of Higher Education, the commissioner of the state Office of Administration, the director of the state Department of Economic Development, and two (2) persons having demonstrable experience and knowledge in the areas of finance and investment and management of public funds, one of whom will be selected by the president pro tem of the state Senate and the other selected by the speaker of the state House of Representatives. The board’s primary purpose is to administer the program and the board possesses all powers necessary to carry out and effectuate the purposes, objectives and provisions of the statute.
2. (2) The program is designed to promote access to higher education by providing individuals with a convenient method to fund the increasingly expensive cost of post-secondary education. By allowing participants to make current contributions for designated beneficiaries and by investing these contributions with the goal of achieving a rate of return that reflects increases in educational costs, the program is intended to provide designated beneficiaries with funds needed for the costs of their post-secondary school education. Within limits set by state and federal law, contributions to a savings account pursuant to the program are deductible from the contributor’s state income tax, and income earned or received from the program by a contributor or beneficiary are not subject to state income tax.
3. (3) Pursuant to the statute, the board has selected and approved a program manager to administer the program. The program manager manages the day-to-day operation of the program.
4. (4) The public may obtain information or make submissions or requests to the State Treasurer’s Office, P.O. Box 210, Jefferson City, MO 65102, (573-751-2411).

AUTHORITY: sections 166.416 and 536.023, RSMo Supp. 1998.* Original rule filed Aug. 30, 1999, effective Feb. 29, 2000. *Original authority: 536.023, RSMo 1975, amended 1976, 1997.