Assigned to ED FOR COMMITTEE
ARIZONA STATE SENATE
Fifty-Sixth Legislature, Second Regular Session
FACT SHEET FOR S.B. 1454
AZ529 savings plan; committee; membership
Purpose
Allows a member's designee to serve on AZ529, Arizona's Education Savings Plan (AZ529
Plan) Advisory Committee and requires at least one of the AZ529 Plan Advisory Committee's
public members to have financial planning experience.
Background
The State Treasurer administers the AZ529 Plan to allow an individual to contribute to a
savings account for a designated beneficiary's qualifying educational expenses. AZ529 Plan
earnings accrue tax-free and are not subject to federal or state income taxes on withdrawals for
qualified educational expenses. The AZ529 Plan Advisory Committee assists the State Treasurer
and makes recommendations on AZ529 Plan promotional and informational activities, with an
emphasis on increasing access to the AZ529 Plan for economically-disadvantaged, minority and
underrepresented student populations (26 U.S.C. § 529; A.R.S. §§ 15-1876 and 41-179; AZ529)
The AZ529 Plan Advisory Committee membership includes: 1) the State Treasurer, or their
designee, who serves as the Chairperson of the Advisory Committee; 2) one member who
represents a community college district in a county with a population of more than 500,000
persons; 3) one member who represents a community college district in a county with a population
of fewer than 500,000 persons; 4) one member a university under the jurisdiction of the Arizona
Board of Regents; 5) one member who represents an accredited private educational institution in
Arizona that offers higher education degrees; 6) one member who represents an accredited private
educational institution that offers private vocational training in Arizona; 7) one member who
represents an accredited private school or organization that offers instruction to pupils in
kindergarten or grades 1 through 12; 8) one teacher who currently provides classroom instruction
in Arizona; 9) one member who represents a federally-recognized Indian tribe in Arizona; 10) one
member who represents a U.S. Department of Labor-approved program; and 11) three public
members who are Arizona residents, with at least one representing an Arizona 501(c)(3) nonprofit
(A.R.S. § 41-179).
There is no anticipated fiscal impact to the state General Fund associated with this
legislation.
Provisions
1. Allows an AZ529 Plan Advisory Committee member's designee to serve in the member's place
on the AZ529 Plan Advisory Committee.
2. Requires at least one of the AZ529 Plan Advisory Committee public members to have financial
planning experience. FACT SHEET
S.B. 1454
Page 2
3. Retains all current members of the AZ529 Plan Advisory Committee until the expiration of
their terms, after which the State Treasurer is required to make all subsequent appointments.
4. Makes conforming changes.
5. Becomes effective on the general effective date.
Prepared by Senate Research
February 2, 2024
MH/LB/slp