(a)Establishment; purposes. ─
The Plans Management Board is established. The Board’s purpose is to administer the Delaware DE529 Education Savings Plan established pursuant to subchapter XII, Chapter 34 of Title 14, the Delaware Achieving a Better Life Experience Program established pursuant to Chapter 96A of Title 16, the Deferred Compensation Program established pursuant to Chapter 60A of this title, and the Expanding Access for Retirement and Necessary Saving Program (EARNS) established pursuant to Chapter 38 of Title 19 (collectively, “the Plans”), in each case, in accordance with the individual purposes of each of the Plans.
(b)Composition. —The Board shall be composed of 11 members as follows:
(1) The following persons shall serve by virtue of their position and may appoint a person to serve in their stead and at their pleasure:
a. The State Treasurer.
b. The Secretary of Finance.
c. The Director of the Office of Management and Budget.
d. The Insurance Commissioner.
e. The Secretary of Education.
(2) Two state employees shall be appointed by the Governor, 1 of whom shall be eligible to participate in the deferred compensation program established in accordance with § 403(b) of the Internal Revenue Code [26 U.S.C. § 403(b)].
(3) Four public members, who by reason of education or experience are qualified to serve, shall be appointed by the Governor.
(c)Term of appointed members; conduct of meetings. —(1) Each appointed member shall be appointed to serve a term of up to 3 years. Members shall be appointed for staggered terms, so that no more than 2 appointed members’ terms shall expire in any 1 calendar year. Appointed members shall be eligible for reappointment.
(2) Each member of the Board shall have 1 vote and the powers of the Board shall be exercised by a majority vote of all members present; provided that a majority of current members shall constitute a quorum necessary to hold a meeting of the Board.
(3) There shall be a Chairperson of the Board who shall be appointed by the Governor from among the public members appointed by the Governor, to serve at the pleasure of the Governor.
(4) The Board shall meet as often as shall be necessary to properly discharge its duties; provided, however, that the Board shall meet at least 4 times annually; and provided further, that the State Treasurer or the Chairperson of the Board shall be authorized to call special meetings of the Board and to set the agenda for these meetings.
(5) Meetings and/or documents relating to investment strategy or negotiations concerning investment of money belonging to the Plans shall be exempt from Chapter 100 of this title.
(d)Standard of care. —(1) With respect to the Deferred Compensation Program, and the EARNS Program, (Programs) the Board, its subcommittees, and each of their members shall discharge their duties with respect to the Programs solely in the interest of the participants and beneficiaries of the Programs and for the exclusive purpose of providing Programs’ benefits to the participants and their beneficiaries, including defraying reasonable expenses of administering the Programs, with the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use to attain the purposes of the Programs.
(2) With respect to the DE529 Education Savings Plan (“Plan”) and Delaware Achieving a Better Life Experience Program (“Program”), the Board, its subcommittees, and each of their members shall discharge their duties with respect to the Plan and Program in accordance with the implementing Plan and Program trust documents and applicable law. When investing, managing, or using trust assets, the Board, its subcommittees, and each of their members shall act with the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use to attain the purposes of the Plan and Program. The Board may authorize the use of administrative fees from the Plan and Program to defray reasonable expenses of administering each Plan and Program, including marketing expenses, and to fund scholarship, match, or promotional programs as the Board, in its discretion, may establish.
(e)Powers and duties of Board. —(1) The Board is authorized and empowered to adopt rules and regulations for the general administration of its duties.
(2) The Board is authorized and empowered to establish subcommittees. Subcommittees may include persons who are not members of the Board.
(3) The Board is authorized and empowered to make and enter into any and all contracts, agreements, or arrangements for goods and services necessary or desirable for carrying out the purposes of any of the Plans.
(4) The Board shall have the power and duty to maintain, invest, and reinvest the funds contributed into the Plans consistent with the standard of care set forth in subsection (d) of this section.
(5) The Board shall approve the annual budget for each of the Plans and the collection of application, account, and administrative fees from the assets of each Plan in order to defray all costs of the Plans, to the extent permitted by law.
(6) The Board in the exercise of its sole discretion and without liability is specifically authorized to remove any of the Plans’ funds from any financial institution and to reinvest the funds in a similar or different investment alternative at another financial institution at any time.
(7) The Board shall arrange for an annual financial audit of each of the Plans, which shall be provided annually to the General Assembly. The Board shall enter into a memorandum of understanding with the Auditor of Accounts regarding each such audit, and payment for each such audit shall be approved by the Board.
(8) The use of teleconferencing or videoconferencing is authorized for use in conducting meetings of the Board and its subcommittees, including in order to obtain a quorum and for voting purposes.
(9) Assume the powers and duties of the Delaware EARNS Program Board established under Chapter 38 of Title 19.
(f)Compensation; indemnification. —(1) Members may not receive compensation for serving on the Board or its subcommittees. Except for ex officio members, all members are entitled to reimbursement by the State for travel and other expenses incurred in attending meetings of the Board or a subcommittee. A state employee appointed to the Board under paragraph (b)(2) of this section is permitted to count the time spent attending or traveling to and from Board meetings (as well as participation on subcommittees, selection committees, and their like) as part of the employee’s regular work day and may not be required to expend leave time.
(2) The Board, its subcommittees, and each of their members is entitled to the immunities under Chapter 40 of Title 10, and in addition, a member of the Board or a subcommittee is not liable for any act or omission made during the member’s tenure on the Board or a subcommittee, or for any loss incurred by any person as a result of participation in any of the Plans. Further, the State shall indemnify each Board or subcommittee member who is a party to or is threatened to be made a party to any threatened, pending, or completed action, suit, or proceeding, whether civil, criminal, administrative, or investigative, arising by reason of such member’s participation on the Board or a subcommittee, against any expenses (including attorneys’ fees if the Attorney General determines that such Board or subcommittee member is not entitled to representation by the State), judgments, fines, and amounts paid in settlement actually and reasonably incurred by that member in connection with such action, suit, or proceeding, if that member acted in good faith and in a manner that member reasonably believed to be in the best interest of the State, and with respect to any criminal action or proceeding, so long as that member had no reasonable cause to believe that the member’s conduct was unlawful. Any expenses incurred by such Board or subcommittee member in defending a civil, administrative, or investigative action, suit, or proceeding may be paid by the State in advance of the final disposition of such action, suit, or proceeding on authorization by a majority of the members of the Board and by the Governor.
(g)Administrative support. —The Board shall receive administrative support from the Office of the State Treasurer.