Texas Senate Bill SB108

Texas 2019 - 86th Regular

Caption

Relating to measures to increase participation in state programs relating to saving money or prepaying for college.

Impact

The bill is expected to significantly impact participation rates in higher education savings plans by introducing measures to improve accessibility and competitiveness. By targeting low-income families and minorities, SB108 seeks to alleviate financial barriers and promote a culture of savings for college education. The establishment of a task force is intended to review and enhance funding sources and mechanisms for the existing higher education savings programs, ensuring that they meet the needs of Texas families effectively.

Summary

SB108 aims to enhance participation in state programs related to saving money and prepaying for college tuition. This bill amends certain sections of the Education Code to define and expand the Texas Save and Match Program, which provides support to beneficiaries by matching savings contributions made on their behalf. The proposal also establishes automatic enrollment options and emphasizes equitable access for economically disadvantaged students and those from geographically diverse backgrounds, particularly encouraging their involvement in savings plans designed for higher education expenses.

Contention

Notable points of contention surrounding SB108 may include debates over resource allocation and the effectiveness of the proposed automatic enrollment system. Opponents may raise concerns regarding the impact of mandated participation on individuals who might prefer more flexibility in choosing involvement in such financial programs. Furthermore, as this initiative invites regulatory changes, discussions may arise about maintaining transparency and ensuring proper audit mechanisms to safeguard state funds allocated to these programs.