H. B. 2685

                        (By Delegates Campbell, Perry, Ellington, Ashley, Moore,

                          Rowan, Hamrick, Perdue, Kelly, Rohrbach and Pasdon)

                        [Introduced February 10, 2015; referred to the

                        Committee on Education then Finance.]

A BILL to amend the Code of West Virginia, 1931, as amended, by adding thereto a new section, to be designated §18-30-14, relating to eligible uses of prepaid tuition plans generally; providing for use of prepaid tuition plans for students who require accommodations in instruction, testing procedures or learning environments; allowing funds to be used at an out-of-state educational institution in certain cases; and providing that state-administered prepaid tuition plans may be used for a student with a alternative graduation requirements or an alternative diploma.

Be it enacted by the Legislature of West Virginia:

            That the Code of West Virginia, 1931, as amended, be amended by adding thereto a new section, designated §18-30-14, to read as follows:

§18-30-14. Eligible uses of account distributions for students with special needs.

            Where a savings plan contract or prepaid tuition plan is established under this article for the benefit of a student with cognitive or other disabilities which require accommodations in instruction, testing procedures or learning environments, the contract or plan shall allow distributions from the account for qualified higher education expenses at any eligible educational institution in West Virginia. Distributions may also be allowed for qualified higher education expenses for a particular program at an eligible educational institution outside of this state if no comparable program is available at an eligible educational institution in this state. Distributions from a contract or plan account may not be denied or disqualified on the basis that the plan beneficiary has received an alternative diploma or has met alternative graduation requirements preceding application for admission to the eligible educational institution.

            NOTE: The purpose of this bill is to ensure that students with alternative diplomas or alternative graduation requirements may receive the benefits of a 529 plan for prepaid college tuition.

            §18-30-14 is new; therefore, it has been completely underscored.