SB597 Alabama 2010 Session

This bill would propose an amendment to the Constitution of Alabama of 1901, to (1) mandate that the Board of Directors of the Wallace-Folsom College Savings Investment Plan invest all of the assets of the Prepaid Affordable College Tuition (PACT) Trust Fund, with certain exceptions, in investments that will generate a return of principal and interest that provides equal annual payments to the PACT Trust Fund over a twenty-year amortization period; (2) prohibit new enrollees from being accepted into the PACT program after the ratification of this amendment; and (3) allow the Board of Directors of the Wallace-Folsom College Savings Investment Plan to borrow from the Alabama Trust Fund the difference between the PACT program's investment returns and benefit payments.

Proposing an amendment to the Constitution of Alabama of 1901, to mandate that the Board of Directors of the Wallace-Folsom College Savings Investment Plan invest all of the assets of the Prepaid Affordable College Tuition (PACT) Trust Fund, with certain exceptions, in investments that will generate a return of principal and interest that provides equal annual payments to the PACT Trust Fund over a twenty-year amortization period; to prohibit new enrollees from being accepted into the PACT program after the ratification of this amendment; and to allow the Board of Directors of the Wallace-Folsom College Savings Investment Plan to borrow from the Alabama Trust Fund the difference between the PACT program's investment returns and benefit payments.