Signed by Governor Brian Sandoval

Vote Smart's Synopsis:

Vote to pass a bill that establishes education savings accounts, effective January 1, 2016.

Highlights:

• Authorizes an individual to enter into a written agreement with the state treasurer and establish an education savings account for his or her child, if the child is a student who has been enrolled in a public school for 100 consecutive school days immediately prior to the establishment of the account (Sec. 7).

• Requires the agreement between the individual and the treasurer to include the following provisions (Sec. 7):
• The student receives in-state instruction from a “participating entity”;
• The student receives a grant deposited into the education savings account, which is appropriated according to the provisions of this bill; and
• The treasurer freezes the education savings account during any break in the school year, including any break between school years.

• Defines a “participating entity” as a licensed private school, a program of distance education not operated by a public school or the Department of Education, an accredited tutor or tutoring facility, the parent of a child, or an eligible institution (Secs. 5 & 11).
• Requires that funds deposited into an education savings account be used only for purposes including, but not limited to, the following purposes (Sec. 9):
• To pay for tuition, fees, and textbooks for participating entities; and
• To pay for special instruction or services for students with disabilities.

• Requires the treasurer to appropriate funds to education savings accounts as follows (Sec. 8):
• Students with disabilities, or students who meet the federal poverty level receive 100 percent of the of the per-pupil statewide average support;
• Students who attend public school and a participating entity part-time receive a sum based on the percentage of the instruction provided by the participating entity in proportion to the total instruction provided to the student; and
• Students who do not fall into either category receive 90 percent of the statewide average support.

• Prohibits an individual from establishing an education savings account if his or her child is instructed outside the state, enrolled full-time in a public school, or homeschooled, with the exception of children who are enrolled in public school and a participating entity part-time (Sec. 7).

• Requires an education savings account to be audited randomly each year by a certified or licensed public accountant (Sec. 10).

Full Bill Text