§ 59-2-50 — Powers of State Treasurer.

South Carolina § 59-2-50

• Jurisdiction: South Carolina
• Title 59: EDUCATION
• Ch. 2: SOUTH CAROLINA COLLEGE INVESTMENT PROGRAM

Text

In addition to the powers granted by any other provision of this chapter, the Office of State Treasurer shall have the powers necessary to carry out the purposes and provisions of this chapter and the purposes and objectives of the trust fund including, but not limited to, the following: (1) adopt those regulations as are necessary to implement the provisions of this chapter, subject to applicable federal laws and regulations, including regulations regarding transfers of funds between accounts established under prepaid tuition contracts and investment trust agreements; (2) execute contracts and other necessary instruments; (3) impose reasonable limits on the number of contract participants in the trust fund at any given period of time; (4) contract for necessary goods and services, to employ necessary personnel, and to engage the services of consultants and other qualified persons and entities for administrative and technical assistance in carrying out the responsibilities of the trust funds under terms and conditions that the State Treasurer deems reasonable, to include contract terms for periods of up to ten years which contract may be terminated, extended, or renewed with these entities for a term determined by the State Treasurer, but in no event shall such contract exceed a term of ten years at any one time; (5) solicit and accept gifts, as defined in Section 529 of the Internal Revenue Code of 1986, as amended, or other applicable federal law, as well as any regulations established by the Office of State Treasurer, and to participate in any other way in any federal, state, or local governmental programs in carrying out the purposes of this chapter; (6) define the terms and conditions under which payments may be withdrawn or refunded from the trust fund and impose reasonable charges for such withdrawal or refund; (7) impose reasonable time limits on the use of investment trust account distributions provided by the program; (8) regulate the receipt of contributions or payments to the trust fund; (9) establish agreements or other transactions with federal, state, and local agencies, including state institutions of higher learning; (10) segregate contributions and payments to the fund into various accounts and funds; (11) require and collect administrative fees and impose reasonable penalties, not to exceed the minimum penalties required under Section 529 of the Internal Revenue Code of 1986, as amended, for withdrawal of funds for nonqualified higher educational expenses or for entering into an investment trust agreement on a fraudulent basis; (12) require that account owners of investment trust agreements verify, under oath, any requests for contract conversions, substitutions, transfers, cancellations, or refund requests; (13) solicit proposals and contract for the marketing of SCCIP, provided that any materials produced by a marketing contractor for the purpose of marketing the program must be approved by the State Treasurer prior to being made available to the public, and neither the State nor the Office of State Treasurer shall be liable for misrepresentation of the program by a marketing contractor; (14) delegate responsibility for administration of the comprehensive investment plan to contractors or consultants the State Treasurer determines to be qualified; (15) create as a part of the comprehensive investment plan various age-based investment options for the contributor to choose among and to transfer qualified college investment account assets among these options, within the limitation of Section 529 of the Internal Revenue Code of 1986, as amended, if the investment options meet the requirements of Section 529 of the Internal Revenue Code of 1986, as amended, and neither a contributor nor beneficiary is directly or indirectly directing the investment of any contribution to the program; (16) establish procedures to allow for transfer of funds from an existing South Carolina Tuition Prepayment Program account or any other college investment account as allowable under Section 529 of the Internal Revenue Code of 1986, as amended; (17) to make all necessary and appropriate arrangements with colleges and universities or other entities in order to fulfill its obligations under investment trust agreements; (18) establish other policies, procedures, and criteria necessary to implement and administer the provisions of this chapter in compliance with Section 529 of the Internal Revenue Code of 1986, as amended, and other applicable provisions of federal and state law.

Legislative History

HISTORY: 2001 Act No. 72, SECTION 3(A).