Allows START distributions for K-12 expenses. (8/1/18)
Impact
The passage of SB448 is expected to have significant implications for state laws governing education financing in Louisiana. By allowing education savings accounts to cover K-12 expenses, it is anticipated that more families will take advantage of the program, potentially increasing the number of participants. This shift could also empower parents to make choices regarding their children's education while addressing the rising costs of schooling. Additionally, it recognizes the need for flexible funding options in the context of modern educational demands.
Summary
Senate Bill 448, also known as the Louisiana Student Tuition Assistance and Revenue Trust Program (START) amendment, was designed to expand the applicability of the START program. Originally focused solely on higher education, SB448 allows distributions from START accounts to be utilized for K-12 educational expenses, thereby aligning state provisions with recent changes in federal tax laws regarding 529 College Saving Plans. By enabling withdrawals for elementary and secondary education expenses, the bill aims to support families in managing educational costs from an earlier point in their children's academic journeys.
Sentiment
General sentiment surrounding SB448 has been cautiously positive, with supporters arguing that the bill represents an important step toward making education more accessible and affordable to families. However, concerns have been raised regarding the implications of increased private education funding and its effects on public schools. Advocates for public education warn that funneling funds towards private schooling options could erode public school resources, prompting a polarized discussion on educational priorities and funding distribution.
Contention
Notable points of contention include debates on the efficacy of education savings accounts in delivering quality education outcomes. Critics argue that while SB448 promotes choice, it might disadvantage public schools by redirecting necessary funds. Supporters counter that the bill enables families to make financial choices that best suit their needs, indicating a fundamental belief in parental rights over children's education. The discussions around the passage of the bill highlight the ongoing conflict between supporting public versus private educational frameworks within the state.
Excludes amounts deposited into certain education savings accounts for tuition expenses for elementary and secondary schools from state income tax. (1/1/22) (EN DECREASE GF RV See Note)
Excludes amounts deposited into certain education savings accounts for tuition expenses for elementary and secondary schools from state income taxes (RE DECREASE GF RV See Note)
Excludes certain amounts deposited into ABLE accounts for qualified expenses of persons with disabilities from state income tax. (8/1/25) (OR DECREASE GF RV See Note)
Provides relative to the definition of institution of postsecondary education for purposes of the La. Student Tuition Assistance and Revenue Trust (START) Program (EN NO IMPACT See Note)
In tuition account program, further providing for declaration of policy, for definitions, for Tuition Account Programs Bureau, for powers of department, for Tuition Account Guaranteed Savings Program, for Tuition Account Investment Program, for general provisions governing both tuition account programs and for Federal taxation; establishing the Keystone Scholars Grant Program and the Keystone Scholars Grant Program Account; and making a repeal.
Creates the La. Postsecondary Education Board of Trustees as the sole governing board for postsecondary education and provides relative to the powers, duties, and functions of the board.