23-38.73 - Virginia College Savings Fund. - Virginia Statutes

§ 23-38.73. Virginia College Savings Fund.

The State Treasurer may contract subject to the Virginia Public ProcurementAct (§ 2.2-4300 et seq.) with a financial institution or consortium offinancial institutions chartered or located in Virginia to establish a fundor funds to be known as the Virginia College Savings Fund. Such financialinstitution or institutions shall be known as the Fund Managing Agent. TheManaging Agent may contract with such investment managers and servicingagents as necessary for the prudent and efficient operation of the Fund. TheTreasurer may authorize, subject to the approval of the Treasury Board,investment vehicles suitable for such fund or funds. Securities shall beinsured against default to the extent appropriate according to the creditrating of each eligible security in the fund or funds.

Shares in the fund or funds shall be sold to parents and other individuals inorder to facilitate their saving for college expenses. To ensure that theshares are readily available to those persons who wish to obtain them, anyfinancial institution chartered or located in Virginia may participate in theprogram through purchases of shares through the Fund Managing Agent.

For the purposes of this section, the term "financial institution" or"financial institutions" shall include: banks, savings institutions, trustsubsidiary companies, investment banking companies, brokerage companies,insurance companies, and credit unions.

(1988, c. 247; 1989, c. 60.)