Prepaid tuition support for existing account holders.
The Alabama Prepaid Affordable College Tuition (PACT) Program is a Section 529 prepaid tuition program administered by the State Treasurer’s Office. Although enrollment closed in 2008, the Treasury continues to support existing account holders. Account owners may access payment schedules, program documents, and account information online.
Program Information
Learn more about PACT rules & law and view MasterPACTs and Disclosure Statements.
PACT Account Owners
Access PACT forms and information for account owners.
Tuition & Fees Payments
Find schedules of payment rates for Two-Year, Four-Year, and Alabama Independent/Private, Out-of-State, or Foreign Eligible Educational Institutions.
PACT Program Information
The Alabama Prepaid Affordable College Tuition (PACT) Program is a Section 529 prepaid college tuition program administered by the State of Alabama Treasurer’s office and has been closed to enrollment since 2008.
Adopted May 22, 2013
Additional definitions and a list of Administrative Fees are available in the Disclosure Statement.
1.00 “Actuarial Assessment” means a contract amount assessed to compensate the Trust Fund for a change from the Extended Payment Plan to the 5-Year Payment Plan and is the difference between the future values of the PACT Contract payments of each plan.
1.01 “Adjustment Rate” means an increase in Tuition and Qualified Fees as approved at the discretion of the Board based upon the actuarial projections of its professional advisors. If approved, such rate shall be determined annually prior to the commencement of the Fall semester or equivalent term and applied to the amount of Tuition and Qualified Fees paid by the PACT Program for the Fall semester or term of the prior academic year.
1.02 “Class Action Settlement Agreement” means the agreement signed May 4, 2011, and upheld May 7, 2013, between the PACT class members (defined as all PACT Purchasers and Beneficiaries) and the Board for the purpose of establishing a baseline monetary amount to be paid as Tuition and Qualified Fees under PACT Contracts, with Contract Purchasers and
Beneficiaries assuming responsibility for the payment of tuition and fees above the specified amount.
1.03 “Contract – “Four-Year University” – means PACT benefits for the payment of Alabama instate public undergraduate Tuition of up to 128 semester hours, or 135 semester hours for contracts purchased prior to 2006, and payment of Qualified Fees for up to eight (8) registration periods at all Eligible Educational Institutions.
1.04 “Contract – “One-Year ” – means PACT benefits for the payment of Alabama instate public undergraduate Tuition of up to 32 semester hours and payment of Qualified Fees for up to two (2) registration periods at all Eligible Educational Institutions.
1.05 “Current Tuition Value for the Four-Year Universities” means the weighted average (by resident headcount) of basic instate Tuition and Qualified Fees at the Alabama “Four-Year Universities as certified for the Fall 2010 semester and incorporated into the Class Action Settlement Agreement, plus any increases by the Adjustment Rate as approved from time to time.
1.06 “Four-Year Universities” means Alabama regionally accredited public postsecondary educational institutions offering credit that leads to, at a minimum, a baccalaureate degree.
1.07 “Matriculation” means the process of enrolling and attending an Eligible Educational Institution.
1.08 “Qualified Fees” means the Fall 2010 qualified fees certified by each respective Alabama public Eligible Educational Institution as incorporated into the Class Action Settlement Agreement, plus any increases by the Adjustment Rate that might be approved from time to time.
1.09 “Redemption Value” means the sum of PACT Contract payments made, less any Administrative Fees and benefits paid, as of the date of cancellation.
1.10 “Substitute Beneficiary” means an Immediate Family Member of the Beneficiary named by the Contract Purchaser to receive, in place of the originally named Beneficiary, the benefits provided under the PACT Contract.
1.11 “Successor Account Owner” means an individual named by the Contract Purchaser who meets the requirements to be a Purchaser and becomes the owner of the PACT Contract upon the death of the Contract Purchaser.
1.12 “Tuition” means the Fall 2010 basic undergraduate tuition (on a per-hour basis) certified by each respective Alabama public Eligible Educational Institution as incorporated into the Class Action Settlement Agreement, plus any increases by the Adjustment Rate that might be approved from time to time.
2.00 PACT Enrollment Period – Enrollment in PACT is closed permanently and no new applications will be accepted.
2.01 Application – A completed and signed application submitted by a Contract Purchaser during an enrollment period.
2.02 Participation and Payment Schedule – The Participation and Payment Schedule outlines the payment plan selected by the Purchaser on the original Application and the Projected College Entrance Date of the original Beneficiary.
2.03 Projected College Entrance Date – At the time of application, the Beneficiary’s Projected College Entrance Date corresponds to the Beneficiary’s current age and/or grade as provided on the Application. A written request should be submitted to change the Projected College Entrance Date.
3.00 General – The PACT Contract shall consist of the completed application signed by the Contract Purchaser, the Participation and Payment Schedule, and the Disclosure Statement and Rules.
3.01 Contract Benefits – Benefits are purchased for a Four-Year University Contract or a OneYear Contract.
3.02 Contract Benefits Period- Benefits under a PACT Contract may be received for the number of Tuition hours and Qualified Fee registration periods purchased on behalf of the Beneficiary, OR until the award of a baccalaureate degree to the Beneficiary, OR for ten (10) years after the Projected College Entrance Date of the original Beneficiary, whichever occurs
first.
3.03 Contract Term Expiration – If a PACT Contract has a Redemption Value ten (10) years from the Projected College Entrance Date of the original Beneficiary, or from the actual college entrance date for an accelerated student, reasonable effort will be made to locate the Purchaser. If the Purchaser cannot be located, the Redemption Value will be transferred to the Unclaimed
Property Division of the State Treasurer’s Office according to Code of Alabama, Title 35, Chapter 12. The ten year period will be extended per year of active military service by the Beneficiary.
3.04 Contract Revisions by Purchaser -All requests by Purchasers for a revision of the PACT Contract provisions, such as change in payment schedule or purchaser, must be submitted in writing and must be accompanied by the applicable administrative fee. A list of these fees is available in the Disclosure Statement or at www.800alapact.com. Forms for PACT Contract revisions are available on line or by request from PACT.
3.05 Contract Conversions – Conversions between One-Year and Four-Year PACT contracts are not permitted.
3.06 Contract Prices- PACT Contract prices do not include the application processing fee, but do include a nonrefundable account maintenance fee. After a Purchaser has entered into a PACT Contract, the PACT Contract price will not change, unless otherwise specified herein.
4.00 PACT Contract Payments—PACT Contract payments are based on the age/grade of the Beneficiary. Monthly payments are calculated based on an implied rate of interest and include a monthly account maintenance fee.
PACT Contract payment schedules are as follows:
(a) A lump sum payment due in full on February 1; or
(b) Monthly payments over a period of sixty (60) months. The payments shall begin on February 1 and will continue on a monthly basis thereafter until the PACT Contract is fully paid. The amount of the monthly payment is specified in the Participation and Payment Schedule. The sixty (60) month payment option is not available for Beneficiaries who are in the eighth (8th) or ninth (9th) grade; or
(c) Extended monthly payments begin on February 1 and continue on a monthly basis until May of the Projected College Entrance Date of the Beneficiary. The amount of the monthly payment is specified in the Participation and Payment Schedule.
4.01 Change in PACT Contract Payment Schedule—The Purchaser may request a change in payment schedule. A fee will be charged. Additional amounts may be due when changing from the extended to the five-year monthly plan.
4.02 PACT Contract Payment Grace Period—All PACT Contract payments are due on the first day of the month and are delinquent after the 15th day of the month. A late fee is assessed for all delinquent payments.
4.03 PACT Contract Payment Methods—The following payment methods are available to the Purchaser:
(1) Payment by coupon book;
(2) Automatic deduction from a bank account; or
(3) Payroll deduction if offered by employer.
4.04 Early Payoff—Purchasers electing a monthly payment plan may pay off the plan early without penalty.
4.05 Advance Payments—The Purchaser can make payments larger than the specified payment amount or more frequently than monthly.
5.00 Contract Benefits – The number of undergraduate Tuition and Qualified Fee benefits will be based on the contract purchased.
5.01 Non Traditional Studies – If the Beneficiary takes nontraditional courses, including, but not limited to, on-line studies, distance learning, study abroad, Internet/Web classes, independent study, or off campus study, tuition payment will be made based on the Tuition amount, not to exceed the actual cost of tuition. Payment for qualified fees will be made based on the Qualified Fee amount as defined herein.
5.02 Payment of Benefits – Alabama Public Eligible Educational Institutions – The Purchaser or Beneficiary must inform the Eligible Educational Institution that PACT Contract benefits are available. Payment will be made directly to the Eligible Educational Institution based on the Tuition and Qualified Fee amounts as defined herein. The Tuition payment will not
exceed the actual cost of tuition.
5.03 Payment of Benefits – Alabama Independent/Private, an Out-of-State or Foreign Eligible Educational Institution- The Purchaser or Beneficiary must inform the Eligible Educational Institution that PACT Contract benefits are available. Payment will be made directly to the Eligible Educational Institution based on the Current Tuition Value for the Four Year Universities. The tuition payment will not exceed the actual cost of tuition. A processing fee is deducted by PACT from the amount paid each term.
Payment of PACT Contract benefits to these institutions will be made only when all of the following have occurred:
(1) The Purchaser or Beneficiary has provided information to PACT on the Eligible Educational Institution the Beneficiary will attend no less than sixty (60) days in advance of the first academic term for which PACT Contract benefits are to be paid; and
(2) PACT has received a valid invoice from the Beneficiary’s Eligible Educational Institution after the end of the official drop/add period; and
(3) For foreign institutions, the Eligible Educational Institution must agree to accept payment in United States currency.
5.04 Payment of Benefits – Multiple Contracts – For multiple contracts for the same Beneficiary:
(1) Benefits will be paid from each contract in the order the contracts were received and processed by PACT.
(2) Each contract must be depleted of tuition hours before the next contract can be used.
5.05 Advancement of PACT Contract Benefits. – PACT Contract benefits can be used up to three (3) years in advance of the Projected College Entrance Date of the original Beneficiary. However, the ten year period for the use of benefits will commence on the advanced Projected College Entrance Date. The Purchaser should provide written notice 60 days in advance and the
PACT Contract must be paid in full.
If the Beneficiary advances in school after the PACT Contract is purchased or elects to take college courses while attending high school, there will be no adjustment in the PACT Contract payment schedule and no additional payment will be required.
5.06 Identification for Beneficiaries- A list of Beneficiaries is made available to the Eligible Educational Institutions in the State of Alabama.
5.07 Payment of Benefits/No Adjustment- Any tuition credit hours paid on behalf of a Beneficiary reduce the remaining available credit hours under the PACT Contract, even if the credit hours are not counted toward a college degree. Once an invoice has been paid, there will be no adjustment to the Beneficiary’s account unless an error was made by the Eligible
Educational Institution.
5.08 Payment of Backdated Invoices – The Purchaser is responsible for instructing the Eligible Educational Institution to invoice PACT on behalf of the Beneficiary. PACT will not pay previous invoices submitted for payment more than a year from the date of the term when the benefits were received. Previous invoices will be paid at the Tuition and Qualified Fee rates as defined herein.
5.09 Scholarship – If the Beneficiary receives a scholarship, the Purchaser may:
(1) Instruct the institution to invoice PACT for Tuition/Qualified Fees;
(2) Transfer the benefits to a Substitute Beneficiary; or
(3) Cancel the PACT Contract. The cancellation fee will be waived.
6.00 Purchaser Eligibility -The Purchaser of a PACT Contract may be a natural person, a corporation, a trust, or a charitable organization. The Purchaser, if a natural person, must be nineteen (19) years of age or older, or must be represented by a court appointed conservator or guardian, or a trustee, or a designated custodian under the provisions of Title 26-2-20, Code of Alabama, 1975, (as last amended).
6.01 Purchaser’s Rights – The following are rights reserved strictly for the Purchaser:
(1) Voluntary cancellation of the PACT Contract;
(2) Right to any refund;
(3) Right to request revisions to the PACT Contract;
(4) Right to restrict the use of PACT Contract benefits;
(5) On-line access to the PACT account(s) information.
6.02 Number of Purchasers per PACT Contract- Only one (1) individual or entity may be named on each PACT application and in the PACT Contract as the Purchaser. Joint purchasers are not permitted. However, a Successor Account Owner may be designated by the Purchaser.
6.03 Transfer of PACT Contract Ownership- All requests to transfer ownership of the PACT Contract to another qualified Purchaser must be submitted on the official form. If the current Purchaser has died, proof of death and a copy of the section from the will evidencing the authority to make the change or Letters Testamentary or Letters of Administration must
accompany the request. A fee is charged for this service and is waived for death of the Purchaser.
6.04 Successor Account Owner – If a Successor Account Owner is named on the account, the transfer of ownership will occur when a copy of the death certificate of the Purchaser is received. A form to name a Successor Account Owner can be requested from PACT or obtained on line and no fee is required. The Successor must meet the eligibility requirements for a Purchaser.
6.05 On Line Access to PACT Accounts – The Purchaser is the only authorized person who can request on line access to a PACT Account. A password is provided to the Purchaser for access and it is the sole responsibility of the Purchaser to keep it secure and confidential. PACT accepts changes to an account in writing signed by the Purchaser, or electronic changes and
forms submitted online from the Purchaser through the authorized PACT website where the identity of the Purchaser is ascertainable through the authorized password or other methods established by PACT.
7.00 Beneficiary Eligibility-The original Beneficiary met the following requirements:
(1) Had not completed the ninth (9th) grade as of the first day of the PACT enrollment period; and
(2) Had been born at the time the application was submitted or was born no later than August 31 following the enrollment period, and
(3) Was a U.S. citizen, a permanent resident alien, or a dependent of a U.S. citizen or of a permanent resident alien.
7.01 Beneficiary Substitutions-The benefits of a PACT Contract may be transferred to an eligible Substitute Beneficiary once during the life of the Contract. A fee is charged for this service, and is waived for death of the Beneficiary. All requests for a beneficiary substitution must be submitted on the official form which is available at www.800alapact.com. To qualify, the Substitute Beneficiary must meet all of the following requirements:
(1) Must be born; and
(2) Must be an Immediate Family Member of the original Beneficiary; and
(3) Must assume the same ten year period for the use of PACT Contract benefits as the original Beneficiary. Furthermore, if the original Beneficiary has utilized PACT Contract benefits, the following additional requirement applies:
(4) There must be at least thirty two (32) semester hours of tuition remaining.
If the substitution occurs before the Projected College Entrance Date of the Beneficiary and the Substitute Beneficiary is older than the original Beneficiary, an Actuarial Assessment will be assessed. In the event of a Beneficiary substitution to a younger Beneficiary, monies previously paid to PACT will not be refunded.
7.02 Use of Benefits – No benefits will be paid for the Substitute Beneficiary prior to the date of the substitution.
7.03 Beneficiary – The Beneficiary is the only individual eligible to receive PACT Contract benefits.
8.00 Voluntary PACT Contract Cancellation –The Purchaser can request cancellation of a PACT Contract at any time by providing a signed written request.
8.01 Involuntary PACT Contract Cancellation – A PACT Contract will be automatically cancelled and a refund issued if PACT Contract payments are 6 months (180 days) in default or if no payment is received within 45 days of the first payment due date.
8.02 Reinstatement of a PACT Contract – A PACT Contract can not be reinstated after cancellation.
9.00 General – Refunds will be paid to the Purchaser.
9.01 Refund Amount –PACT Contract refund amounts will be the Redemption Value of thePACT Contract.
9.02 No Refund – If the Beneficiary achieves a baccalaureate degree in fewer than the maximum number of credit hours provided under a PACT Contract, a refund will not be available.
9.03 Refund in the Event of Death or Disability, Receipt of a Full or Partial Scholarship or Admittance to a Military Academy – In any of these events, the Cancellation Fee will be waived.
9.04 Refunds for PACT Contract Purchased Prior to 1996 – For PACT Contracts purchased prior to 1996, cancellation based on death/disability of the Beneficiary, or Matriculation in a Military Academy or foreign institution, will result in a refund as defined in the Rules of the year the PACT Contract was purchased. The refund is the contract purchase amount with the Weighted Average Tuition rate applied from the date of purchase to the cancellation as calculated by the Board’s professional actuary.
9.05 Refund Resulting from Overpayment – Once a PACT Contract is paid in full, any overpayment will be refunded to the Purchaser.
9.06 Rollover – To rollover a PACT Contract to another Qualified Tuition Program, the Purchaser may submit a written request for cancellation of the PACT Contract. A refund check will be issued to the Purchaser. The cancellation letter from PACT may serve as documentation for the transfer to another Qualified Tuition Program.
10.00 General- Any aggrieved Contract Purchaser desiring to petition for relief from the Rules may do so by submitting a written petition to the Board. The Advisory Council of the Board, upon recommendation from Legal Counsel, will render decisions on behalf of the Board. The response to the petition will be in writing within ninety (90) days of receipt.
10.01 – Requirements – The following information is required in the petition:
(1) The name and address of the Contract Purchaser and Beneficiary;
(2) The specific nature of the relief requested and the specific Rule;
(3) The PACT Contract account number(s) in question;
(4) The date and signature of the Contract Purchaser.
11.00 General- For the purpose of these Rules, the term Entity shall mean any corporation, trust, charitable organization, or any other business or organization which is not a natural person.
11.01 Application of the Rules – Unless specifically exempted herein, all Rules pertaining to Contract Purchasers and Beneficiaries apply.
11.02 Naming the Beneficiary-A Beneficiary must be named not less than six (6) months prior to the Projected College Entrance Date on the application.
The Legislature of Alabama hereby finds and determines that the advancement and improvement of higher education in the State of Alabama is a proper governmental function and purpose of the State of Alabama. It is therefore the legislative intent of this chapter to establish the WallaceFolsom College Savings Investment Plan that consists of two alternatives to assist individuals in paying costs and expenses of attending colleges and universities and thereby encourage students to attend colleges and universities. In establishing this plan, it is further the intent of the Legislature to encourage timely financial planning for higher education.
(Acts 1989, No. 89-862, p. 1717, §1; Acts 1990, No. 90-570, p. 970, §1; Act 2001-427, p. 544, §1.)
This chapter shall be known as the “Wallace-Folsom College Savings Investment Plan Act.”
(Acts 1989, No. 89-862, p. 1717, §2; Act 2001-427, p. 544, §1.)
There is hereby created the Wallace-Folsom College Savings Investment Plan (plan) as an agency and instrumentality of the State of Alabama. The plan consists of the PACT Program and the ACES Program. The plan shall be administered by the State Treasurer in accordance with the provisions of this chapter and rules, regulations, and guidelines established by the board. The
facilities and resources of the State Treasurer’s office shall be used and employed in the administration of the plan. The official location of the plan shall be the State Treasurer’s office.
(Act 2001-427, p. 544, §2.)
The following terms as used in this chapter shall have the meanings ascribed to them, unless the
context clearly indicates otherwise:
(1) ACES ADMINISTRATIVE FUND. The ACES Administrative Fund created in Section 16-33C-10.
(2) ACES BOARD. The board of directors and trustees of the ACES Trust Fund
(3) ACES PROGRAM. The Alabama College Education Savings Program created under subsection (a) of Section 16-33C-10.
(4) ACES TRUST FUND. The fiduciary trust fund created in Section 16-33C-10.
(5) ADMINISTRATIVE COST. Any expense of administering the PACT or ACES Programs, including, but not limited to, the costs associated with administering the programs throughout the State Treasurer’s office, and any records administration expense.
(6) ADMINISTRATIVE FEE. Any fee or penalty required by the board to be paid by a participant in the plan.
(7) CONTRACT PAYMENT. Any amount paid to the PACT Trust Fund toward the purchase of a PACT contract.
(8) CONTRIBUTION. Any amount paid to the ACES Trust Fund for deposit into an ACES savings account.
(9) CONTRIBUTOR. Any person who contributes money to an ACES Program savings account on behalf of a designated beneficiary and who is listed as the owner of the savings account.
(10) DESIGNATED BENEFICIARY. The person designated at the time the PACT contract is entered into or ACES savings account opened as the person who benefits from payments of qualified higher education costs at eligible educational institutions, or that person’s replacement.
(11) ELIGIBLE EDUCATIONAL INSTITUTION. An institution defined in Section 529 of the Internal Revenue Code of 1986, as amended, and in Section 481 of the Higher Education Act of 1965 (20 U.S.C. 1988) which is eligible to participate in a program under Title IV of the act.
(12) INVESTMENT COST. Any expense of the PACT or ACES Trust Funds, including, but not limited to, investment manager fees, actuary fees, custodial fees, brokerage commissions, and transactional costs.
(13) LEGISLATURE. The Legislature of Alabama.
(14) PACT BOARD. The board of directors and trustees of the PACT Trust Fund.
(15) PACT PROGRAM. The Alabama Prepaid Affordable College Tuition Program created in subsection (a) of Section 16-33C-6.
(16) PACT TRUST FUND. The fiduciary trust fund created in subsection (b) of Section 16-33C6.
(17) PACT ADMINISTRATIVE FUND. The PACT Administrative Fund created in subsection (c) of Section 16-33C-6.
(18) PACT CONTRACT. A contract entered into by the board and a participant in the PACT Program.
(19) PLAN. The Wallace-Folsom College Savings Investment Plan created under Section 16-33C-2.1 that consists of the PACT Program and the ACES Program.
(20) PURCHASER. A person who is obligated to make contract payments in accordance with a PACT contract entered into pursuant to this chapter.
(21) QUALIFIED HIGHER EDUCATION COST. Any higher education expense permitted under Section 529 of the Internal Revenue Code of 1986, as amended, and required for the enrollment or attendance of a designated beneficiary at an eligible educational institution. These expenses include tuition, fees, books, supplies, equipment, and, subject to certain limits, room
and board.
(22) SAVINGS ACCOUNT. An individual ACES Trust Fund account established by a contributor pursuant to this chapter on behalf of a designated beneficiary in order to apply distributions from the account toward qualified higher education costs at eligible educational institutions.
(23) SAVINGS AGREEMENT. An agreement entered into between the board and a contributor establishing a savings account.
(24) STATE TREASURER. The State Treasurer of Alabama.
(Acts 1989, No. 89-862, p. 1717, §3; Acts 1990, No. 90-570, p. 970, §1; Act 2001-427, p. 544, §1; Act 2010-725, p.1800, §7.)
(a) The ACES board shall consist of 10 members as follows:
(1) The Lieutenant Governor, or his or her designee.
(2) The Executive Director of the Alabama Commission on Higher Education (ACHE), or his or her designee.
(3) The State Treasurer.
(4) The Chancellor of the Alabama Department of Postsecondary Education, or his or her designee.
(5) One person appointed by the Council of College and University Presidents.
(6) One person appointed by the Speaker of the House of Representatives.
(7) One person appointed by the Lieutenant Governor.
(8) One person appointed by the State Treasurer.
(9) Two persons appointed by the Governor.
(b) Members shall serve for terms of office of four years and shall be eligible for reappointment, and shall serve until a successor is appointed. Any person appointed to fill a vacancy on the ACES board shall be appointed in a like manner and shall serve for only the unexpired term.
(c) Each person so appointed shall possess knowledge, skill, and experience in business or financial matters commensurate with the duties and responsibilities of the plan. No person holding a full-time office or position of employment with the state, any county or municipality in the state, any educational institution, or any instrumentality, agency, or subdivision of the foregoing, shall be eligible for appointment to the ACES board.
(d) Members of the ACES board shall serve without compensation, but may be reimbursed for each day’s official duties of the ACES board at the same per diem and travel rate as is paid the employees of the state.
(e) The State Treasurer shall be the chair and presiding officer of the ACES board, and the State Treasurer may appoint such other officers as the ACES board may deem advisable or necessary. A majority of the members of the ACES board shall constitute a quorum for the transaction of the business of the plan.
(Acts 1989, No. 89-862, p. 1717, §4; Acts 1990, No. 90-570, p. 970, §1; Act 2001-427, p. 544, §1; Act 2006-62, p.
75, §1; Act 2010-725, p. 1800, §7.)
(a) The PACT board shall consist of 15 members as follows:
(1) The Director of Finance.
(2) The State Treasurer.
(3) Two persons appointed by the Governor.
(4) Two persons appointed by the Speaker of the House of Representatives, one of whom shall be a PACT contract holder.
(5) One person appointed by the Lieutenant Governor.
(6) One person appointed by the Senate President Pro Tempore.
(7) The President of the Council of College and University Presidents or his or her designee.
(8) The Chancellor of the Postsecondary Education Department or his or her designee.
(9) The Executive Director of the Alabama Commission on Higher Education.
(10) One member of the House of Representatives appointed by the Speaker of the House of Representatives.
(11) One member of the Senate appointed by the Lieutenant Governor.
(12) The Chief Executive Officer of the Retirement Systems of Alabama or his or her designee.
(13) The President of the Alabama Association of Independent Colleges and Universities or his or her designee.
(b) Members shall serve for terms of office of four years and shall be eligible for reappointment, and shall serve until a successor is appointed. Any person appointed to fill a vacancy on the PACT board shall be appointed in a like manner and shall serve for only the unexpired term.
(c) With the exception of those members serving on the PACT board by virtue of their respective offices, a person appointed to the PACT board shall be an expert in the field of investments, market analysis, or financial planning, or on similar matters commensurate with the duties and responsibilities of the plan. Additionally, all members of the PACT board have the fiduciary
responsibility to devise and implement an investment strategy designed to maximize investment returns in a manner that correlates with future projected benefit payouts.
(d) Members of the PACT board shall serve without compensation, but may be reimbursed for each day’s official duties of the PACT board at the same per diem and travel rate as is paid the employees of the state.
(e) The State Treasurer shall be the chair and presiding officer of the PACT board, and the State Treasurer may appoint such other officers as the PACT board may deem advisable or necessary. A majority of the members of the PACT board shall constitute a quorum for the transaction of the business of the plan.
(f) The membership of the PACT board shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state. The PACT board shall annually report to the Legislature by the fifth legislative day of each regular session the extent to which the PACT board has complied with the diversity provisions provided for in this subsection.
(Act 2010-725, p. 1800, §8.)
It is the intent of the Legislature that there be an orderly transition between the current PACT board and the PACT board created in Section 16-33C-4.1. As a result, on June 1, 2010, the PACT-related responsibilities of the current PACT board shall terminate and the term of office of the members of the PACT board created in Section 16-33C-4.1 shall commence. Additionally, the PACT board created in Section 16-33C-4.1 shall hold its first official meeting prior to July 1, 2010.
(Act 2010-725, p. 1800, §9.)
In addition to the powers granted by any other provision of this chapter, the ACES board and PACT board shall have, as agents of the State of Alabama, the powers necessary or convenient to carry out the purposes and provisions of this chapter and the powers delegated by any other law of the state or any executive order thereof including, but not limited to, the following express powers:
(1) To adopt and amend bylaws.
(2) To adopt the rules and regulations necessary to implement the provisions of this chapter either with or without compliance with the state Administrative Procedure Act.
(3) To invest as they deem appropriate any funds in the PACT Trust Fund and ACES Trust Fund in any instrument, obligation, security, or property that constitutes legal investments for public funds in the state, including legal investments for the State Treasurer and the Alabama Trust Fund, and to name and use depositories for its investments and holdings.
(4) To execute contracts and other necessary instruments.
(5) To contract with a purchaser under the PACT Program.
(6) To enter into savings agreements under the ACES Program.
(7) To contract for necessary goods and services, to employ necessary personnel, and to engage the services of qualified persons and entities for administrative and technical assistance in carrying out the responsibilities of the plan, including the PACT Trust Fund and ACES Trust Fund, under terms and conditions that the PACT board or ACES board deems reasonable and
appropriate. All such contracts awarded by the PACT board or ACES board may be for periods not exceeding five years, except that professional services contracts awarded by the board for the ACES Program may be for periods not exceeding ten years.
(8) To solicit and accept gifts, including bequeathments or other testamentary gifts made by will, trust or other disposition, grants, loans, and other aids from any personal source for deposit into the PACT or ACES Trust Fund as designated by the donor, or if no such designation is made, into either as determined by the PACT board or ACES board, or to participate in any other way in any federal, state, or local governmental programs in carrying out the purposes of this chapter.
(9) To define the terms and conditions of and enter into PACT contracts and ACES savings agreements.
(10) To delegate to the State Treasurer the responsibilities of the day-to-day administration of the plan.
(11) To establish other policies, procedures, and criteria necessary to implement and administer the provisions of this chapter.
(12) To authorize the State Treasurer to approve marketing material produced for the plan. Neither the state, the State Treasurer, the PACT board, nor the ACES board is liable for misrepresentation by a marketing agent.
(Acts 1989, No. 89-862, p. 1717, §5; Acts 1990, No. 90-570, p. 970, §1; Act 2001-427, p. 544, §1; Act 2010-725, p. 1800, §7.)
(a) The PACT Program is established as one college savings alternative under the plan whereby purchasers enter into PACT contracts for the future payment of tuition and mandatory fees at eligible educational institutions. The PACT Program includes the PACT Trust Fund and the PACT Administrative Fund created pursuant to this chapter.
(b) The official location of the trust fund shall be the State Treasurer’s office, and the facilities of the State Treasurer shall be used and employed in the administration of the fund including, but without limitation thereto, the keeping of records, the management of bank accounts and other investments, the transfer of funds, and the safekeeping of securities evidencing investments. The PACT Trust Fund is hereby created as the source for payment of the PACT Program’s obligations under PACT contracts. The amounts on deposit in the PACT Trust Fund shall not constitute property of the state, and the state may have no claim or interest in them. Payments which are received by the PACT Program from any public or private source, except those which are payments of administrative fees, shall be prudently placed in the PACT Trust Fund. In order to provide funds to enable the PACT Program to pay amounts due under the terms of its PACT contracts, there is irrevocably pledged to that purpose from the PACT Trust Fund the moniesnecessary to pay those amounts. A PACT contract and any other contract entered into by or onbehalf of the trust, does not constitute a debt or obligation of the state, and no participant is
entitled to any benefits except those for which he or she contracted.
(c) Payments received by the PACT board from purchasers on behalf of designated beneficiaries or from any other source, ublic or private, shall be placed in the trust fund, and the fund may be divided into separate accounts as may be determined by the PACT board. The PACTAdministrative Fund is hereby created as a separate fund within the State Treasurer’s office for the purpose of administering the PACT Program. All administrative fees received by the PACT Program shall be deposited into the PACT Administrative Fund. All funds in the PACT Administrative Fund are hereby irrevocably pledged to the payment of administrative costs of the PACT Program. Funds in the PACT Administrative Fund may be invested by the State
Treasurer in any investment facility allowed by this chapter. Any interest and earnings from the investment of funds in the PACT Administrative Fund shall be deposited to, and become a part of, the PACT Administrative Fund for use as authorized by this chapter. All funds in the PACT Administrative Fund at the end of each fiscal year of the State of Alabama shall remain in the PACT Administrative Fund and be automatically carried forward and available to be appropriated by the Alabama Legislature for the administration of the PACT Program.
(d) Gross earnings on PACT Trust Fund principal may be directly used by the PACT board to satisfy investment costs of the PACT Trust Fund and to supplement balances in the PACT Administrative Fund to cover outstanding administrative costs of the PACT Program as the board deems necessary. Gross earnings on the principal of the PACT Trust Fund remaining after payment of investment costs and deposits into the PACT Administrative Fund as authorizedherein shall be deposited into, and become a part of, the principal of the PACT Trust Fund. In acquiring, investing, reinvesting, exchanging, retaining, selling, and managing property of the PACT Trust Fund, the PACT board and any person or investment manager to whom the PACT board delegates any of its investment authority shall exercise the judgment and care under the circumstances then prevailing which persons of prudence, discretion, and intelligence exercise in the management of their own affairs, not in regard to speculation but to permanent disposition of funds, considering the probable income as well as the safety of their capital. When acting within
this standard of care, no PACT board member, or any person or investment manager to who the PACT board delegates any of its investment authority, shall be held personally liable for losses suffered by the PACT Program on investments made pursuant to this chapter. No PACT board member shall be held personally liable for any losses, damages, or claims which have
arisen or may arise from or are related to any act or omission of the board member taken in service as a member of the board or as a trustee, so long as the board member acted in good faith.
(e) The PACT board shall obtain appropriate actuarial assistance to establish, maintain, and certify a fund sufficient to defray the obligation of the PACT Trust Fund, and shall annually evaluate or cause to be evaluated, the actuarial soundness of the PACT Trust Fund. After that determination has been made, all monies on deposit in the PACT Trust Fund, up to and including
the amount of the future obligations, shall remain on deposit in the PACT Trust Fund. If the ACT board perceives a need for additional assets in order to preserve actuarial soundness of the PACT Trust Fund, it may adjust the terms of subsequent prepaid tuition contracts to ensure the soundness.
(f) Property and income of the PACT Trust Fund and PACT Administrative Fund shall be exempt from all taxation by the state and by all of its political subdivisions.
(Acts 1989, No. 89-862, p. 1717, §6; Acts 1990, No. 90-570, p. 970, §1; Acts 1997, No. 97-547, p. 957, §1; Act
2001-427, p. 544, §1; Act 2010-725, p. 1800, §7.)
(a) Each PACT contract shall include, but shall not be limited to, the following terms:
(1) The amount and the number of contract payments required from a purchaser on behalf of a designated beneficiary.
(2) The terms and conditions under which purchasers shall remit contract payments, including, but not limited to, the date or dates upon which each contract payment shall be due.
(3) Provisions for late payment charges and for default.
(4) Provisions for withdrawal from the PACT Program, including refunds and any penalty therefor.
(5) The name and date of birth of the designated beneficiary on whose behalf a contract is drawn.
(6) Terms and conditions under which another person may be subsequently substituted for the designated beneficiary originally named.
(7) The name of the person entitled to terminate the PACT contract, the terms and conditions under which a PACT contract may be terminated, and the name of the person entitled to any refund due as a result of termination of a PACT contract.
(8) The period of time during which the designated beneficiary must claim benefits through the PACT Program.
(9) The number of credit hours contracted for by the purchaser.
(10) All other rights and obligations of the purchaser and the PACT Program.
(11) Such other terms, conditions, and provisions as the board considers in its sole discretion to be necessary or appropriate.
(b) In the event a designated beneficiary is accepted by and elects to attend a college or university outside the State of Alabama, the PACT board shall, upon receipt of evidence of admission to said college or university, remit contract benefits pursuant to the terms of the PACT contract.
(c) A PACT contract shall also specifically provide that, if after ten years following the designated beneficiary’s college entrance date or the actual entrance date of a designated beneficiary who is an accelerated student, neither the PACT contract has been terminated nor the designated beneficiary’s rights under the contract exercised, the PACT board, after making reasonable effort to locate the purchaser, shall presume the contract purchase amount unclaimed and abandoned property, and thereafter administered in accordance with the Alabama Uniform Disposition of Unclaimed Property Act, Article 2 of Chapter 12 of Title 35.
(d) Nothing in this chapter, nor in a PACT contract entered into pursuant to this chapter, shall be construed as a promise or guarantee by the PACT board or the state that: A person shall be admitted to a particular college or university; or that a person shall be allowed to continue to attend a college or university after having been admitted; or that a person shall be graduated from a college or university; or that Alabama resident status shall be conferred. Each state college or university shall establish its own residency requirements for matriculation.
(e) The state or any state agency, or any county, or municipality, or any other employer in the state is hereby authorized, by contract, or otherwise, to agree with any employee to remit contract payments through payroll deduction made by the appropriate official of the state, state agency, political subdivision, or other employer under the terms of an accepted PACT contract.
(Acts 1989, No. 89-862, p. 1717, §7; Act 2001-427, p. 544, §1; Act 2010-725, p. 1800, §7.)
In addition to any other requirements of this chapter, the PACT board shall:
(1) Make available summary information on the financial condition of the PACT Program to all purchasers of PACT contracts.
(2) Prepare, or cause to be prepared, an annual report of the PACT Program, including details regarding the actuarial soundness of the program, and transmit a copy of same to the Governor, the Lieutenant Governor, and the Speaker of the House of Representatives. Such report shall be submitted not later than the fifth legislative day of the regular legislative session. Additionally, such report shall be presented during annual legislative budget hearings.
(3) Make all necessary and appropriate arrangements with colleges and universities in order to fulfill its obligations under PACT contracts.
(4) Submit, before any PACT-related investment or administrative contract is duly executed, a request for proposals (RFP).
(5) Require, before any PACT-related investment or administrative contract is duly executed, such contract to be approved by a majority vote of the PACT board.
(6) Prepare, or cause to be prepared, a quarterly report detailing the current projected funding status of the PACT Program, with a copy of such report transmitted to the Governor, the Lieutenant Governor, and the Speaker of the House of Representatives.
(7) Establish specific investment guidelines that include failsafe measures designed to limit future susceptibility of PACT investments to extreme market fluctuations.
(Acts 1989, No. 89-862, p. 1717, §8; Acts 1990, No. 90-570, p. 970, §1; Acts 1997, No. 97-547, p. 957, §1; Act 2001-427, p. 544, §1; Act 2010-725, p. 1800, §7.)
Repealed by Act 2010-725, p. 1800, §10, effective April 30, 2010.
(Act 2001-427, p. 544, §2.)
(a) The ACES Program is established as one college savings alternative under the plan whereby contributors open savings accounts according to savings agreements for the payment of qualified higher education costs for a designated beneficiary at eligible educational institutions. The ACES Program includes the ACES Trust Fund, the ACES Administrative Fund, and the ACES
Opportunity Enhancement Fund created pursuant to this chapter.
(b) The ACES Trust Fund is hereby created and shall be comprised of separate savings accounts held in segregated accounts as established by savings agreements. Funds contributed to the savings accounts established pursuant to the ACES Program are held in trust by the ACES board for the sole benefit of the contributor and designated beneficiary. Contributions and investment earnings to the savings account may be used for any qualified higher education costs of the designated beneficiary. The amounts on deposit in the ACES Trust Fund shall not constitute property of the state, and the state may have no claim or interest in them. Contributions which are received by the ACES Program from any public or private source, except those which are payments of administrative fees, shall be placed in the ACES Trust Fund. A savings agreement, or any other agreement entered into by or on behalf of the ACES Program or ACES Trust Fund, does not constitute a debt or obligation of the state, and no contributor is entitled to any amounts except for those amounts on deposit in or accrued to the respective savings account.
(c) The ACES Administrative Fund is hereby created as a separate fund within the State Treasurer’s office for the purpose of administering the ACES Program. The ACES Administrative Fund shall accept, deposit, and disburse funds for the purpose of administering the ACES Program. All funds in the ACES Administrative Fund are hereby irrevocably pledged to the payment of the administrative costs of the ACES Program. Funds in the ACES Administrative Fund may be invested by the State Treasurer in any investment facility allowed by this chapter. Any interest and earnings from the investment of funds in the ACES Administrative Fund shall be deposited to, and become a part of, the ACES Administrative Fund for use as authorized by this chapter. All funds in the ACES Administrative Fund at the end of each fiscal year of the State of Alabama shall remain in that administrative fund and be automatically carried forward and available to be appropriated by the Alabama Legislature for the administration of the ACES Program.
(d) The State Treasurer is authorized to retain the services of one or more persons as staff members in order to implement and manage the ACES Program. Any expenses incurred shall be paid from the ACES Administrative Fund.
(e) Gross earnings on ACES Trust Fund corpus may be directly used by the ACES board to satisfy investment costs of the ACES Trust Fund and to supplement balances in the ACES Administrative Fund to cover outstanding administrative costs of the ACES Program as the ACES board deems necessary. Gross earnings on the principal of the ACES Trust Fund remaining after payment of investment costs and deposits into the ACES Administrative Fund as authorized herein shall be deposited into, and become a part of, the corpus of the ACES Trust Fund. In acquiring, investing, reinvesting, exchanging, retaining, selling, and managing property of the ACES Trust Fund, the ACES board, and any person or investment manager to whom the ACES board delegates any of its investment authority, shall exercise the judgment and care under the circumstances then prevailing which persons of prudence, discretion, and intelligence exercise in the management of their own affairs, not in regard to speculation but to permanent disposition of funds, considering the probable income as well as the safety of their capital. When acting within this standard of care, no ACES board member, or any person or investment manager to whom the ACES board delegates any of its investment authority, shall be held personally liable for losses suffered by the ACES Program on investments made pursuant to this chapter. No ACES board member shall be held personally liable for any losses, damages, or claims which have arisen or may arise from or are related to any act or omission of the board member taken in service as a member of the board or as a trustee, so long as the board member acted in good faith.
(f) Property and income of the ACES Trust Fund, ACES Administrative Fund, and the ACES Opportunity Enhancement Fund shall be exempt from all taxation by the state and by all of its political subdivisions.
(g) The ACES Opportunity Enhancement Fund is created as a separate fund within the State Treasurer’s office for the purpose of enhancing and providing higher education opportunities and programs, as the ACES board deems necessary and appropriate. The fund may receive contributions from individuals, private business entities, public corporations, and contractual agreements with service providers. The funds shall be utilized in the discretion and solely at the direction of the ACES board. The amounts on deposit in the fund shall not constitute property of the state, and the state shall have no claim or interest in them.
(Act 2001-427, p. 544, §2; Act 2006-62, p. 75, §1; Act 2010-725, p. 1800, §7.)
(a) Each savings agreement made pursuant to the ACES Program shall include, but shall not be limited to, the following terms and provisions:
(1) The maximum and minimum contributions allowed on behalf of a designated beneficiary.
(2) Provisions for withdrawals, refunds, transfers, and any penalties.
(3) The terms and conditions for remitting contributions, including, but not limited to, that contributions may be made in cash only.
(4) The name, address, date of birth, and Social Security number of the designated beneficiary on whose behalf the savings account is opened.
(5) Terms and conditions for designation of a substitute beneficiary.
(6) Terms and conditions for termination of the account, including any refunds, withdrawals, or transfers, and applicable penalties, the name of the person entitled to any refund due as a result of termination, and the name of the person entitled to terminate the account.
(7) The time period during which the designated beneficiary is required to use benefits from the ACES Program.
(8) All other rights and obligations of the contributor and the ACES Program.
(9) Any other terms and conditions which the board deems necessary or appropriate, including those necessary to conform the ACES Program and ACES Trust Fund to the requirements of Section 529 of the Internal Revenue Code of 1986, as amended, or other applicable federal law.
(b) Each savings agreement made pursuant to this chapter shall provide all of the following:
(1) If, after the specified time period determined by the ACES board under which the designated beneficiary is required to use benefits from the ACES Program, the savings agreement has not been terminated nor the designated beneficiary’s rights exercised, the ACES board, after making reasonable effort to contact the contributor, shall presume the savings account monies unclaimed and abandoned property, and thereafter administered in accordance with the Alabama Uniform Disposition of Unclaimed Property Act, Article 2 of Chapter 12 of Title 35.
(2) Participation in the ACES Program does not guarantee that sufficient funds will be available to cover qualified higher education expenses of a designated beneficiary.
(3) Contributions shall be made exclusively for the purpose of meeting the qualified higher education expenses of a designated beneficiary at eligible educational institutions.
(c) Nothing in this chapter shall make any provisions or warranties except as provided in savings agreements, including that a person shall be admitted to, allowed to continue in, graduated from a college or university, or conferred Alabama resident status.
(d) The state or any state agency, county, municipality, or any other employer in the state is hereby authorized, by contract, or otherwise, to agree with any employee to remit contributions through payroll deduction made by the appropriate official of the state, state agency, political subdivision, or other employer under the terms of a savings agreement in the ACES Program.
(Act 2001-427, p. 544, §2; Act 2010-725, p. 1800, §7.)
In addition to any other requirements of this chapter, the ACES board shall:
(1) Make available summary information on the ACES Program to all contributors to savings agreements.
(2) Prepare, or cause to be prepared, an annual accounting of the ACES Program and transmit a copy of same to the Governor, the Lieutenant Governor, and the Speaker of the House of Representatives.
(3) Make all necessary and appropriate arrangements with colleges and universities in order to fulfill its obligations under savings agreements.
(Act 2001-427, p. 544, §2; Act 2010-725, p. 1800, §7.)
In the event of dissolution of the ACES Program by the Alabama Legislature, any balances which remain in the ACES Trust Fund and in the ACES Administrative Fund after all costs and liabilities of the ACES Program have been paid, shall be returned to contributors according to savings agreements. Any unclaimed assets remaining in the ACES Program thereafter shall be
administered in accordance with the Alabama Uniform Disposition of Unclaimed Property Act, Article 2 of Chapter 12 of Title 35.
(Act 2001-427, p. 544, §2.)
(a) There is annually appropriated from the Education Trust Fund to the Trust Fund of the Prepaid Affordable College Tuition (PACT) Program the following amounts in the following fiscal years:
(1) For the fiscal year ending 2015 — $23,558,000
(2) For the fiscal year ending 2016 — $23,952,000
(3) For the fiscal year ending 2017 — $22,622,000
(4) For the fiscal year ending 2018 — $41,783,000
(5) For the fiscal year ending 2019 — $42,539,000
(6) For the fiscal year ending 2020 — $81,646,000
(b) These appropriations represent an amount that as of May 1, 2010, is less than or equal to the difference between the Education Trust Fund’s portion of the FY 2014 debt service obligations of the Alabama Public School and College Authority (APSCA) and the Education Trust Fund’s portion of the debt service obligations of the APSCA for the applicable fiscal year.
(Act 2010-725, p. 1800, §1.)
(a) In addition to the appropriations made in Section 16-33C-14, there is also annually appropriated from the Education Trust Fund to the PACT Trust Fund the following amounts in the following fiscal years:
(1) For the fiscal year ending 2020 — $7,092,300
(2) For the fiscal year ending 2021 — $31,881,600
(3) For the fiscal year ending 2022 — $32,181,600
(4) For the fiscal year ending 2023 — $33,494,400
(5) For the fiscal year ending 2024 — $33,728,700
(6) For the fiscal year ending 2025 — $38,449,500
(7) For the fiscal year ending 2026 — $39,201,000
(8) For the fiscal year ending 2027 — $32,500,000
(b) These appropriations represent an amount that as of May 1, 2010, is less than or equal to 30 percent of the difference between the Education Trust Fund’s portion of the FY 2014 debt service obligations of the Alabama Public School and College Authority (APSCA) and the Education Trust Fund’s portion of the debt service obligations of the APSCA for the applicable fiscal year. Traditionally, approximately 70 percent of the appropriations in the annual Education Trust Fund budget have been allocated to agencies and entities providing educational services for K-12 students while approximately 30 percent of the appropriations in the annual Education Trust Fund budget have been allocated to agencies and entities providing postsecondary educational services. The appropriations made in subsection (a) represent, as of May 1, 2010, the portion of
the difference between the Education Trust Fund’s portion of the FY 2014 debt service obligations of the Alabama Public School and College Authority (APSCA) and the Education Trust Fund’s portion of the debt service obligations of the APSCA for the applicable fiscal year that would normally be appropriated to agencies and entities providing postsecondary
educational services. As a result, the remaining 70 percent of the difference between the Education Trust Fund’s portion of the FY 2014 debt service obligations of the Alabama Public School and College Authority (APSCA) and the Education Trust Fund’s portion of the debt service appropriation to APSCA for the applicable fiscal year shall be appropriated to K-12.
Appropriations made in this section shall be appropriated entirely from funds that would otherwise be appropriated for or received by colleges and universities. For budgetary purposes and calculations, the appropriations made in this section shall be considered to be a portion of the funding received by colleges and universities. In no event shall the K-12 portions of the
Education Trust Fund budget be reduced or altered in any manner as a result of appropriations made in this section.
(Act 2010-725, p. 1800, §2.)
In addition to the appropriations made in Section 16-33C-14 and Section 16-33C-15, there is annually appropriated from the Education Trust Fund to the PACT Trust Fund the following amounts in the following fiscal years:
(1) For the fiscal year ending 2016 — $10,000,000
(2) For the fiscal year ending 2017 — $20,000,000
(3) For the fiscal year ending 2018 — $20,000,000
(4) For the fiscal year ending 2019 — $13,000,000.
(Act 2010-725, p. 1800, §3; Act 2012-198, p. 328, §1.)
Repealed by Act 2012-198, §3, effective April 12, 2012.
(Act 2010-725, p. 1800, §4.)
On behalf of all current and future postsecondary students, the Legislature strongly encourages all public institutions of higher education to limit any annual percentage increases in mandatory fees and tuition to the average percentage amount such fees and tuition were annually increased over the previous 10-year period, to the extent such limitation is possible.
(Act 2010-725, p. 1800, §11.)
Repealed by Act 2012-198, §3, effective April 12, 2012.
(Act 2010-725, p. 1800, §12.)
In the event that the PACT Program’s Board of Directors receives an actuarial report certifying that any appropriation made in Section 16-33C-14, Section 16-33C-15, or Section 16-33C-16 is no longer necessary, the PACT Program’s Board of Directors shall certify to the Legislature that no future appropriations are necessary.
(Act 2010-725, p. 1800, §5; Act 2012-198, p. 328, §1.)
Any funds in the PACT Trust Fund remaining after the payment of all of the obligations of the fund shall be transferred to the Education Trust Fund in the fiscal year immediately following the year in which the last obligations are met.
(Act 2010-725, p. 1800, §6.)
Once all benefits or obligations owed to the PACT contract holders have been paid, the PACT Program shall be dissolved and the provisions of this chapter shall be void.
(Act 2010-725, p. 1800, §13.)
The PACT Board is expressly authorized to negotiate, accept, and implement a legally binding resolution with PACT purchasers and beneficiaries to address any actuarial deficit in the PACT Trust Fund, which includes all powers granted elsewhere in this chapter and all other powers necessary or convenient under this section.
(Act 2012-198, p. 328, §2.)
In accordance with Title 16, Sections 33C-1 through 33C-9, Code of Alabama, 1975 (as amended) (“Code”), the Legislature of Alabama created the Wallace-Folsom College Savings Investment Plan as an agency and instrumentality of the State to assist individuals in paying costs and expenses of attending colleges and universities. The Plan includes the Prepaid Affordable College Tuition Program (“PACT”).
The PACT Board of Directors (hereinafter “the Board”) is established to create rules, regulations and guidelines for PACT.
Section 1. Composition. (§ 16-33C-4.1).
The Board shall consist of fifteen (15) members. Appointed members include:
- Two Persons appointed by Governor
- Two Persons appointed by Speaker (one must be PACT purchaser)
- One member of the House appointed by Speaker
- One Person appointed by Lt Governor
- One member of the Senate appointed by Lt. Gov
- One Person appointed by Senate President Pro Tempore
Ex officio members and their successors in office, by virtue of assuming such office, include:
- Director of Finance
- State Treasurer
- Director of Commission on Higher Education
- Chancellor of Alabama Community College System, or designee
- President of Alabama Association of Independent Colleges or Universities, or designee
- President of Council of College and University Presidents, or designee
- Chief Executive Officer of RSA or designee
Section 2. Qualifications for Appointed Board Members. (§16-33C-4.1(c))
An appointed Board member shall be an expert in the field of investments, market analysis, or financial planning or on similar matters commensurate with the duties and responsibilities of PACT. All members of the Board shall have the fiduciary responsibility to devise and implement an investment strategy designed to maximize investment returns in a manner that correlates with future projected benefit payouts.
Section 3. Membership. (§16-33C-4.1(f))
The membership of the PACT Board shall be inclusive and reflect the racial, gender, geographic, urban/rural and economic diversity of the State. It is the responsibility of the Board appointing authority, and not the Chairman or Board member, to determine membership acceptability.
The Chairman shall annually report to the Legislature the membership of the Board. The report shall be made by the fifth legislative day of each regular session.
Section 4. Duties . ((§16-33C-5)
The Board, as agents of the State, have the following powers, which include, but are not limited to:
- To adopt and amend bylaws;
- To adopt rules and regulations;
- To invest funds in the PACT Trust Fund;
- To execute contracts and other necessary documents;
- To provide summary information on the financial condition of the PACT Program
- to all purchasers
- To contract for necessary goods and services for periods not exceeding five years;
- To solicit and accept gifts;
- To prepare reports for distribution to the Governor, Lieutenant Governor, and
- Speaker of the House of Representatives;
- To establish other policies, procedures and criteria to administer PACT.
Section 5 Term. (§16-33C-4.1(b))
Each appointed member serves for a term of four years and shall be eligible for reappointment, and shall serve until a successor is appointed. Any person appointed to fill a vacancy shall be appointed in a like manner and shall serve for only the unexpired term.
Ex-officio members serve an unlimited term by virtue of position.
Section 1. Officers and Staff.
Chairman. (§16-33C-5, §16-33C-4.1(e), §16-33C-6)
The State Treasurer serves as the Chairman of the Board and presides at Board meetings. Duties and responsibilities of the Chairman shall include:
- Day-to-day administration of PACT;
- Provide facilities of the State Treasurer’s office in the administration of PACT and to serve as the official location of PACT;
- Approve marketing materials produced for PACT;
- Distribute agenda and board materials to the Board;
- Publicly post Board Meeting notices;
- Rule on all matters relating to the length of testimony and who shall be heard at meetings, but such rulings shall be subject to change upon a majority vote of the Board members present;
- Represent the Board before the Legislature and other public forums.
- Serve, or designate an official spokesperson for PACT.
Vice-Chairman.
The Board shall elect from its members a Vice-Chairman. The Vice-Chairman shall hold office for a term of twenty-four months. Election of Vice-Chairman shall take place at the Board’s first regularly scheduled meeting following the adoption of these Bylaws.
The Vice Chairman shall be a member of the Board and shall perform the duties and have the powers of the Chairman during the absence or disability of the Chairman. At the end of the term or upon resignation, a Vice Chairman will be elected at the next duly called meeting of the Board.
Board Secretary.
The Director of College Savings Programs (“PACT Director”) shall serve as Secretary to the Board. Duties include:
- To attend all meetings of the Board;
- To keep a register or roll of the members, to call the roll at the direction of the Chairman, and to confirm whether a quorum is present.
- To assist the Chairman and Committee Chair(s) on all matters related to PACT.
Board Attorney.
The General Counsel to the State Treasurer shall serve as Board Attorney to provide legal advice and counsel.
Section 2. Committees and Advisory Council.
The Board, by resolution of a majority of the members of the Board, may designate and appoint one or more committees to represent the Board, and perform other responsibilities as the Board deems suitable. Committee members may be appointed by the Chairman or may volunteer to serve, and shall serve at the pleasure of the Board. The chair(s) of committee(s) may be designated by the Board or may be selected by the members of the committee(s).
Committee members shall serve for one year and shall be appointed at the Board’s discretion following the adoption of these Bylaws.
Meetings of Committees shall be called by the Committee Chair of the particular committee or any two members of the committee. The Board Secretary shall conduct each committee meeting and will provide each committee member with an agenda prior to meetings; and minutes of each committee meeting will be prepared and submitted to the Board.
Request for Proposals (RFP) Committee. The RFP Committee is established to review with staff, board attorney, and consultant, if applicable, proposals submitted for professional services. The committee is hereby authorized by the Board to choose one or more candidates from RFP Respondents for Board consideration and final selection. In the event of an emergency, as determined by the Chairman, the committee shall have the authority to make a selection for later ratification by the Board.
Petition Advisory Council: The Petition Advisory Council (the “Council”) is established as hereinafter set forth to oversee the Board response to purchaser petitions, grievances and requests for actions addressed to PACT Staff or to the Board. The Council shall have authority to review recommendations of the Board Attorney for disposition of the Petition and for waiver of the PACT Rules when appropriate. The Board Attorney will provide the Council his suggested written response to such Petitions which shall include his opinion of the legal authority supporting the recommendation and references to applicable contractual provisions, the Disclosure Statement, the Program Rules and statutory provisions of the Alabama Code, where necessary or appropriate. The recommendation of the Board attorney is presumed correct. It is not the duty of the Council to convene meetings or vote to approve the recommended actions. Each Council member may individually comment, ask or submit questions to the Board Attorney. Either the Board Attorney or the Council shall defer extraordinary, controversial or substantially complex petitions that appear likely to result in legal proceedings to the entire Board for consideration at a regularly scheduled meeting. If such deferral occurs, the Petitioner shall be notified of the Board meeting date and may appear at the Board meeting to answer questions and present further factual or legal authority concerning the submitted Petition.
The Council shall consist of the following three (3) members:
- The PACT purchaser appointed by the Speaker of the House of Representatives;
- The Senator appointed by the Lt. Governor;
- The Chancellor of the Department of Postsecondary Education, or designee
Section 1. Regular Meetings.
Regular meetings of the Board shall be held at least quarterly.
Section 2. Emergency or Special Meetings.
Emergency or special meetings of the Board may be called by the Chairman, or upon written request of a majority of members of the Board.
Section 3. Meetings Open to the Public.
All regular, special and emergency meetings of the Board shall be open to the public as required by law.
Section 4. Public Recording of Meeting
All persons attending the Board Meeting may openly record the Meeting through a tape recorder or other “sonic” recording device, by a video recorder and by a photographic camera. The recording of the Meeting cannot disrupt the conduct of the Meeting. Neither the public nor the media have the right to record Executive Sessions. Requests to record must be delivered to the Treasurer in writing or by electronic mail 48 hours in advance. The requests are for informational and planning purposes and do not diminish the right of the public to record a Meeting.
- Each recording citizen should sign in with current address and telephone numbers at the time of entry to the Meeting.
- Equipment should be in place thirty minutes in advance of the scheduled Meeting time. Equipment should be in a stable, secure and non-disruptive position during the Meeting. Recording equipment will be placed as directed by Treasury staff.
- All recording equipment and persons operating same should remain at a non disruptive distance from the table where Board members are seated.
- Broadcasting of the Meeting to the internet via web casting, web cameras or any other device should be requested in writing or by electronic mail 48 hours in advance.
- All audio and video recording should cease immediately upon adjournment of the Meeting except for brief question and answer session that may be allowed and announced by the Board at the time of adjournment.
- All video and audio recording devices should be in plain view and easily identifiable to Board members and treasury staff. Possession or use of secret or undisclosed recording devices is strictly prohibited and will be reason for ejectment from the Meeting.
Section 5. Meetings by Telephone or Other Electronic Media.
Members of the Board may participate in a meeting of such Board or committee by means of a conference telephone or other communications equipment by means of which all persons participating in the meeting can hear each other at the same time. However, members participating in a meeting of the Board or committee by means of a conference telephone or other communications equipment shall not count toward a quorum or be allowed to vote.
Telephone conference calls among a quorum of the Board or a committee is strictly limited to receiving objective data, investment performance results or requesting such other objective data delivered without opinion, discussion or recommendation and that do not involve the deliberative process.
Section 6. Notice of Meetings.
Regular Meetings. The Board shall submit notice of all regular meetings in accordance with the procedures and requirements established by the Alabama Secretary of State. Notice must be submitted to the Secretary of State in sufficient time for the Office of the Secretary of State to receive the notice of a meeting, process the notice information, issue a confirmation of receipt to the Board, and post the notice on the Internet website of the Office of the Secretary of State for at least seven calendar days prior to the day of the meeting.
Notice shall include the time, date and place of meeting. An agenda shall be posted as soon as practicable in the same manner as the notice. The Board may discuss at a meeting additional matters not included in the preliminary agenda. Until a preliminary agenda is posted, the notice shall include a general description of the nature and purpose of the meeting.
Special or Emergency Meetings. Notice of Special or Emergency called meetings shall be submitted to the Secretary of State as soon as practicable after the meeting is called and in no event less than one hour before the meeting is scheduled to begin, unless such notice is prevented by emergency circumstances requiring immediate action to avoid physical injury to persons or damage to property.
Committee Meetings. Notice of Committee Meetings will be submitted to the Secretary of State to be posted not less than 24 hours prior to the meeting.
All meeting notices will be posted on the Treasury website.
Section 7. Executive Sessions.
At any Board meeting, the Board may proceed in Executive Session as authorized by law upon a vote of majority of the entire membership of the Board. Prior to proceeding in Executive Session, the Chairman shall announce to the public the general topic of the Executive Session. Only those persons invited by the Board may be present at an Executive Session. Executive sessions may be held by Board only for the following purposes:
- To discuss the general reputation and character, physical condition, professional competence, or mental health of individuals. Discussions of Job Performance are not appropriate and are generally prohibited in Executive Session except as may be specifically allowed by the Law for certain public employees. The Board will not discuss job performance of any employee in Executive Session without advance consultation with legal counsel and the Board agreement that such discussion is allowed by Law.
- When expressly allowed by federal law or state law, to consider the discipline or dismissal of, or to hear formal written complaints or charges brought against a public employee, a corporation, partnership, or other legal entity subject to the regulation of The Board.
- To discuss with the Board attorney the legal ramifications of and legal options for pending litigation, controversies not yet being litigated but imminently likely to be litigated if the Board pursues a proposed course of action, or to meet or confer with a mediator or arbitrator with respect to any litigation or decision concerning matters within the jurisdiction of the Board.
- To discuss security plans, procedures, assessments, measures, or systems, or the security or safety of persons, structures, facilities, or other infrastructures, including, without limitation, information concerning critical infrastructure, as defined by federal law, and critical energy infrastructure information, as defined by federal law, the public disclosures of which could reasonably be expected to be detrimental to public safety or welfare.
Section 8. Executive Session Procedure.
Before the Board may convene an executive session, it shall utilize the following procedure:
- A quorum of the Board must first convene a regular meeting.
- A quorum vote of the members of the Board must adopt, by recorded vote, a motion calling for the executive session and setting out the purpose of the executive session.Prior to voting to convene an executive session, the Board shall receive a written opinion or oral declaration reflected in the minutes from Board’s counsel that the matter to be presented during the executive session falls within one of the allowed exceptions under the Alabama Open Meetings Act.
- The vote of each member shall be recorded in the minutes.
- Prior to calling the executive session to order, the presiding officer shall state whether the Board will reconvene after the executive session and, if so, the approximate time the body expects to reconvene.
Section 1. Actions of the Board.
The Board shall act by resolution or motion at a duly called meeting of the Board and no individual member of the Board shall exercise individually any administrative authority with respect to the Board. No individual member of the Board shall make a statement of Board policy which purports to be that of the Board unless the Board shall have adopted such policy, but no one shall be prohibited from stating his or her personal opinions, provided they are clearly identified as such.
Section 2. Rules of Order.
The rules contained in Roberts’ Rules of Order (Revised, 10th Edition) shall govern in all cases to which they are applicable and in which they are not inconsistent with the bylaws of the Board.
Section 3. Agenda.
The prepared agenda with appropriate information shall be sent by the Chairman to each member of the Board in advance of any regular meeting of the Board. This agenda shall govern the order of business for the meeting. The Agenda and other pertinent information will be posted to the PACT website prior to a Board meeting.
Section 4. Quorum. (§16-33C-4.1(e.))
The quorum of members necessary for the Board to transact business shall be a simple majority of the Board which is eight members physically present at the meeting.
Section 5. Voting.
All votes of the Board shall be made during the open or public portion of a meeting for which notice has been provided. The Board may not vote by secret ballot. Voice votes may be allowed. No votes shall be taken in executive sessions.
No person except a regular member of the Board or a duly authorized designee shall be entitled to vote in determining the action of the Board at any time. Proxy voting is not allowed.
A roll call vote shall be taken upon the request of any Board member. The names of the Board members shall be called and each member shall vote “yes” or “no” at such time unless he/she chooses to abstain.
An abstention from a voice vote must be declared by the abstainer immediately before or immediately after the voice vote in order to be reflected in the official minutes.
Section 6. Minutes.
The Secretary shall have prepared minutes of the proceedings of the Board and Committee meetings. A copy of the minutes of each meeting of the Board or committee shall be transmitted to each Board member for review prior to approval at the succeeding meeting. The minutes shall not be considered official unless and until approved by the Board.
The Board shall maintain accurate records of its Meetings, excluding Executive Sessions, setting forth the date, time, place, members present or absent, and actions taken at each Meeting. The minutes of the Meeting will be signed by the Chairman after approval by the Board.
Section 7. Compensation. §16-33C-4.1(d.).
Members of the Board shall serve without compensation, but shall be reimbursed for each day’s official duties of the PACT Board as allowable under statute and state fiscal guidelines.
Section 8. Personal Attendance at all Meetings.
Board members shall make every attempt to personally attend all meetings unless prevented from doing so by disability or other causes beyond their control. No person, except a duly authorized designee may attend any meeting of the Board as a substitute for any Board member.
Section 9. Appearances Before the Board.
Individuals or groups who wish to appear before the Board shall complete information on a “Sign In” sheet including name, phone number and nature of the matter to be discussed. If the matter is applicable for consideration, the Chairman, at his or her discretion, may approve the request and allot a reasonable time for presentation. At any meeting, the Chairman may recognize unscheduled appearances before the Board by individuals or groups. The Chairman shall limit presentations as necessary to maintain the timely conduct of business by the Board.
Section 10. Public Records.
The Board shall maintain accurate records of its meetings, excluding executive sessions, setting forth the date, time, place, members present or absent, and action taken at each meeting. The records of each meeting shall become a public record and be madeavailable to the public as soon as practicable after approval, except as otherwise provided by law.
PACT records and minutes of the Board Meetings will be available upon completion of a “Public Records Request Form” by the requesting party. Each request will be processed as soon as practical.
Section 11. Conflict of Interest.
No Board member shall vote on, or participate in, the discussion or consideration of any matter coming before the Board in which such member, personally or through family connections or business associations, has any direct or indirect pecuniary interest, including, but without limitation thereto, decisions of the Board concerning the investment of moneys constituting part of the trust fund in any deposit or obligation of any bank or corporation in which such Board member may have such an interest. If there shall be brought before the Board any matter in which a member shall have any interest which may conflict with his or her duties as a Board member, he or she shall immediately make a complete verbal disclosure to the Board of such interest and shall thereafter withdraw from participation in any deliberation and decision of the board with respect to such matter.
Ownership of a PACT Contract shall not be considered a conflict of interest.
Section 12. The Alabama Ethics Law
Board members serve in the capacity of appointed public officials and are therefore required to annually file the “Statement of Economic Interests” form. Board members will be notified in January of each year
Section 1. Amendment. These Bylaws may be amended at any meeting of the Board by a majority vote of the members present or amended and ratified at the next duly called meeting of the Board.
Section 2. Effective Date. Amendments shall go into effect immediately upon their adoption, unless the motion to adopt specifies a time for the amendment to go into effect, or unless the Board has previously adopted a motion to that effect. It being the desire of the Board to meet its responsibilities to the State of Alabama, and, in the most efficient and conscientious manner possible, to discharge its duties under the law, the PACT Board does by resolution hereby adopt these amended bylaws this ____ day of _____, 2010, to be effective immediately.
Account Owners
For additional information, please call our office at 800-252-7228.
- Contracts must be paid in full, including any outstanding fees, before a beneficiary may utilize benefits.
- PACT may only be utilized for undergraduate degrees, not graduate or professional degrees.
- When completing financial aid forms, you may be asked for the value of your PACT assets which is the calculated redemption value of your contract. For this information, please contact the PACT office at 800-252-7228.
- PACT payment is limited to the rates for tuition and fees certified for fall 2010, plus any increases if approved by the Board. Each student assumes responsibility for paying any difference between the PACT payment and current charges. Charts indicating the amount of tuition/fees to be paid by PACT for each college/university are available below.
- A $25.00 processing fee will be deducted from each payment made to private or out of state colleges and universities.
- All PACT payments are made directly to the institution.
- You are not required to take a minimum number of undergraduate hours per term and you are not limited to four years. You may utilize your benefits as you choose for undergraduate study within the ten year period defined in the Rules.
- Your benefits may be used for dual enrollment while you are still in high school or may be advanced up to three years if you enroll in college ahead of your scheduled graduation. To do so, the account owner must submit a written request.
- Be sure to tell your college or university that you have PACT so that they will bill our office directly.
- If you areIf you are a first time attendee to an out of state institution, notify PACT 60 days in advance of your attendance at the school.
- PACT deducts hours and fee terms from your account (not specific dollar amounts) each time an invoice is processed for payment.
- PACT is billed after the drop/add date, but before partial refunds begin. If you fail a course or withdraw after the drop/add date, any hours and fees already deducted from the account will not be adjusted.
- A letter will be mailed to graduating high school seniors to provide information regarding the utilization of PACT benefits.
- A statement is mailed annually to provide the tuition hours and fee payments that have been deducted from your account. It is important for you to check this statement to ensure that it reflects the correct number of hours you have taken during the previous year. If you identify a discrepancy or if you have questions about your account, please call 800-252-7228.
Tuition & Fees Payments
Payments are in accordance with the 2011 Class Action Settlement Agreement. The following rate increases have been applied:
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017) + 7.0% (effective September 2018) + 7.0% (effective September 2019) + 7.0% (effective September 2020) + 10.0% (effective September 2021) + 24% (effective September 2022) + 23% (effective September 2023) + 4% (effective September 2024) + 4% (effective September 2025).
Two Year Schools
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community College
- JF Drake State Community College
- Lawson State Community College
- Lurleen B Wallace Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest Shoals Community College
- Reid State Community College
- Shelton State Community College
- Snead State Community College
- Southern Union Community College
- Trenholm State Community College
- Wallace Community College Dothan
- Wallace Community College Hanceville
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State
- Auburn University
- Auburn University Montgomery
- Jacksonville State
- Troy University
- University of Alabama
- University of Alabama at Birmingham (Arts & Sciences, Business, and Engineering)
- University of Alabama at Birmingham (Health Professions, Nursing, Public Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017) + 7.0% (effective September 2018) + 7.0% (effective September 2019) + 7.0% (effective September 2020) + 10.0% (effective September 2021) + 24% (effective September 2022) + 23% (effective September 2023)+ 4% (effective September 2024).
Two Year Schools
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community College
- JF Drake State Community College
- Lawson State Community College
- Lurleen B Wallace Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest Shoals Community College
- Reid State Community College
- Shelton State Community College
- Snead State Community College
- Southern Union Community College
- Trenholm State Community College
- Wallace Community College Hanceville
- Wallace State Community College Dothan
- Wallace State Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State
- Auburn University
- Auburn University Montgomery
- Jacksonville State
- Troy University
- University of Alabama
- University of Alabama at Birmingham (Arts & Sciences, Business, and Engineering)
- University of Alabama At Birmingham (Health Professions, Nursing, Public Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017) + 7.0% (effective September 2018) + 7.0% (effective September 2019) + 7.0% (effective September 2020) + 10.0% (effective September 2021) + 24% (effective September 2022) + 23% (effective September 2023).
Two Year Schools
- Bevil State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community College
- JF Drake State Technical College
- Lawson State Community College
- Lurleen B. Wallace Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest-Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union Community College
- Trenholm State Technical College
- Wallace Community College Hanceville
- Wallace Community College Dothan
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State
- Auburn University
- Auburn University Montgomery
- Jacksonville State
- Troy University
- University of Alabama
- University of Alabama at Birmingham (Arts & Sciences, Business, and Engineering)
- University of Alabama at Birmingham (Health Professions, Nursing, Public Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017) + 7.0% (effective September 2018) + 7.0% (effective September 2019) + 7.0% (effective September 2020) + 10.0% (effective September 2021) + 24% (effective September 2022)
Two Year Schools
- Bevil State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community College
- JF Drake State Technical College
- Lawson State Community College
- Lurleen B. Wallace Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest-Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union Community College
- Trenholm State Technical College
- Wallace Community College Hanceville
- Wallace Community College Dothan
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State
- Auburn University
- Auburn University Montgomery
- Jacksonville State
- Troy University
- University of Alabama
- University of Alabama at Birmingham (Arts & Sciences, Business, and Engineering)
- University of Alabama at Birmingham (Health Professions, Nursing, Public Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017) + 7.0% (effective September 2018) + 7.0% (effective September 2019) + 7.0% (effective September 2020) + 10.0% (effective September 2021)
Two Year Schools
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community College
- JF Drake State Technical College
- Lawson State Community College
- Lurleen B Wallace Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union Community College
- Trenholm State Technical College
- Wallace Community College Dothan
- Wallace Community College Hanceville
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State
- Auburn University
- Auburn University Montgomery
- Jacksonville State
- Troy University
- University of Alabama
- University of Alabama at Birmingham (Arts & Sciences, Business, and Engineering)
- University of Alabama at Birmingham (Health Professions, Nursing, Public Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabamaa
Independent/Private, Out-of-State, or Foreign Eligible Institutions
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017) + 7.0% (effective September 2018) + 7.0% (effective September 2019) + 7.0% (effective September 2020)
Two Year Schools
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community College
- JF Drake State Technical College
- Lawson State Community College
- Lurleen B Wallace Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union Community College
- Trenholm State Technical College
- Wallace Community College Dothan
- Wallace Community College Hanceville
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State
- Auburn University
- Auburn University Montgomery
- Jacksonville State
- Troy University
- University of Alabama
- University of Alabama at Birmingham (Arts & Sciences, Business, and Engineering)
- University of Alabama At Birmingham (Health Professions, Nursing, Public Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017) + 7.0% (effective September 2018) + 7.0% (effective September 2019)
Two Year Schools
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community College
- JF Drake State Technical College
- Lawson State Community College
- Lurleen B Wallace Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union Community College
- Trenholm State Technical College
- Wallace Community College Dothan
- Wallace Community College Hanceville
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State
- Auburn University
- Auburn University Montgomery
- Jacksonville State
- Troy University
- University of Alabama
- University of Alabama at Birmingham (Arts & Sciences, Business, and Engineering)
- University of Alabama Birmingham (Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017) + 7.0% (effective September 2018)
Two Year Schools
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community College
- JF Drake State Technical College
- Lawson State Community College
- LBW Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest-Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union State Community College
- Trenholm State Technical College
- Wallace Community College Dothan
- Wallace Community College Hanceville
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State University
- Auburn University Montgomery
- Auburn University
- Jacksonville State University
- Troy University
- University of Alabama Birmingham (Arts & Sciences, Business & Engineering)
- University of Alabama Birmingham (Health)
- University of Alabama Huntsville
- University of Alabama
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016) + 8.0% (effective September 2017)
Two Year Schools
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Coastal Alabama Community College
- Enterprise State Community College
- Gadsden State Community College
- Jefferson State Community Colleg
- JF Drake State Technical College
- Lawson State Community College
- LBW Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest-Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union State Community College
- Trenholm State Community College
- Wallace Community College Dothan
- Wallace Community College Hanceville
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State University
- Auburn University
- Auburn University Montgomery
- Jacksonville State University
- Troy University
- University of Alabama
- University of Alabama Birmingham (Arts & Sciences, Business & Engineering)
- University of Alabama Birmingham (Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
- PACT 2016 Benefit Rates + 8%
- PACT Tuition: $269.72/hour. If the actual tuition charged is less than this amount, PACT will pay the lesser amount.
- PACT Qualified Fees: $170.33 per registration period
- Other: PACT charges a $25.00 fee for all payments made to these institutions. The fee will be deducted from the payments made on behalf of the student.
Fall 2010 Tuition Rates + 3.0% (effective September 2015) + 6.0% (effective September 2016)
Two Year Schools
- Alabama Southern Community College
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Enterprise State Community College
- Faulkner State Community College
- Gadsden State Community College
- Jefferson Davis Community College
- Jefferson State Community College
- JF Drake State Technical College
- Lawson State Community College
- Lawson State Community College
- LBW Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest-Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union State Community College
- Trenholm State Community College
- Wallace Community College Dothan
- Wallace Community College Hanceville
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State University
- Auburn University
- Auburn University Montgomery
- Jacksonville State University
- Troy University
- University of Alabama
- University of Alabama Birmingham (Arts & Sciences, Business and Engineering)
- University of Alabama Birmingham (Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
- PACT 2015 Benefit Rates +6%
- PACT Tuition: $249.74/hour. If the actual tuition charged is less than this amount, PACT will pay the lesser amount.
- PACT Qualified Fees: $157.71 per registration period
- Other: PACT charges a $25.00 fee for all payments made to these institutions. The fee will be deducted from the payments made on behalf of the student.
Fall 2010 Tuition Rates + 3.0% (effective September 2015)
Two Year Schools
- Alabama Southern Community College
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- Chattahoochee Valley Community College
- Enterprise State Community College
- Faulkner State Community College
- Gadsden State Community College
- Jefferson Davis Community College
- Jefferson State Community College
- JF Drake State Technical College
- Lawson State Community College
- LBW Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest-Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union State Community College
- Trenholm State Community College
- Wallace Community College Dothan
- Wallace Community College Hanceville
- Wallace Community College Selma
Four Year Schools
- Alabama A&M
- Alabama State University
- Athens State University
- Auburn University
- Auburn University Montgomery
- Jacksonville State University
- Troy University
- University of Alabama
- University of Alabama at Birmingham (Arts & Sciences, Business, and Engineering)
- University of Alabama Birmingham (Health)
- University of Alabama Huntsville
- University of Montevallo
- University of North Alabama
- University of South Alabama
- University of West Alabama
Independent/Private, Out-of-State, or Foreign Eligible Institutions
- Base 2010 Rates plus 3%
- PACT Tuition: $235.60/hour. If the actual tuition charged is less than this amount, PACT will pay the lesser amount.
- PACT Qualified Fees: $148.78 per registration period
- Other: PACT charges a $25.00 fee for all payments made to these institutions. The fee will be deducted from the payments made on behalf of the student.
Two Year Schools
- Alabama Southern
- Bevill State Community College
- Bishop State Community College
- Calhoun Community College
- Central Alabama Community College
- CVCC
- Drake State Technical College
- Enterprise State Community College
- Faulkner State Community College
- Jefferson Davis Community College
- Jefferson State Community College
- Lawson State Community College
- Lurleen B Wallace Community College
- Marion Military Institute
- Northeast Alabama Community College
- Northwest Shoals Community College
- Reid State Technical College
- Shelton State Community College
- Snead State Community College
- Southern Union
- Trenholm State
- Wallace Dothan
- Wallace Hanceville
- Wallace Selma
Board of Directors
CollegeCounts is governed by a board of directors committed to responsible oversight and accountability.
Young Boozer
State Treasurer, Secretary
Montgomery, AL
Jimmy Baker
Montgomery, AL
David Bronner
Montgomery, AL
Donnie Chesteen
Montgomery, AL
Thomas Dismukes
Montgomery, AL
Annie Furrer
Guntersville, AL
Danny Garrett
Trussville, AL
Paul Hankins
Montgomery, AL
Jay Hare
Alexander City, AL
Chuck Karr
Huntsville, AL
Wes Lambert
Mobile, AL
JC Love
Montgomery, AL
Will Martin
Millbrook, AL
Bill Poole
Finance Director of Alabama
Montgomery, AL
Jim Purcell
Montgomery, AL
Board Meeting Materials
2026
- 1 Agenda
- 10 FY25 Annual Report Of PACT, CollegeCounts 529 & ABLE Savings Programs
- 2 PACT Meeting Minutes 11182025
- 3 Program Report
- 4 PACT Program Report Budget December 2025
- 5 Statement Of Plan Assets December 2025
- 6 Regions AL_PACT_Pres_2025_12_31
- 7 Sherman Qtlry Report 2025.12
- 8 Kassouf PACT Issued SAS 114 Letter
- 9 Kassouf PACT Audited Financial Statements 9.30.2025
2025
- 02 Agenda
- 03 PACT Meeting Minutes 052025 (002)
- 04 Program Report
- 05 Statement Of Plan Assets June 2025
- 06 Program Report Budget June 2025
- 07 Regions AL PACT Pres 2025 06 30
- 08 Sherman Qtlry Report 2025.6
- 09 Sherman Assumptions 2025
- 10 Assumptions Resolution
- Approved PACT Board Meeting Minutes for 08/19/2025
- Agenda 05/20/2025
- Agenda Item 1. Minutes from 02/18/2025
- Agenda Item 2.A. Program Report
- Agenda Item 2.A. Program Report Budget March 2025
- Agenda Item 2.A. Statement of Plan Assets March 2025
- Agenda Item 2.B. Regions PACT Pres 2025 03 31
- Agenda Item 2.C. Sherman Qtlry Report 2025.3
- Agenda Item 2.C. Sherman Qtlry Report 2025.3 Increase
- Agenda Item 3. Proposed Resolution 2025 Increase
- PACT Board Meeting Minutes 5/20/2025
- Agenda 02/18/25
- Agenda Item 1. Minutes from 11/19/24
- Agenda Item 2.A. Program Report
- Agenda Item 2.A.1 Program Report Budget December 2024
- Agenda Item 2.B. Program Report
- Agenda Item 2.B. Regions Bank 12/31/24 Report
- Agenda Item 2.C. Sherman Actuarial Report Dec. 2024
- Agenda Item 3.A. Kassouf Annual Audit 2024
- Agenda Item 3.A.1. Kassouf PACT Audited Financials 2024
- Agenda Item 3.B. State Examiner’s Report
- Agenda Item 3.B.1 Annual Report Of PACT, CC529 & ABLE Programs
2024
- Agenda 11/19/24
- Agenda Item 1. Approval of 08/20/24 Minutes
- Agenda Item 2.A. Program Report
- Agenda Item 2.A.1. Program Report
- Agenda Item 2.A.2. PACT EOY 2024 Budget
- Agenda Item 2.A.3. Program Report Budget Sept. 2024
- Agenda Item 2.B. Regions Bank 09/30/24 Report
- Agenda Item 2.C. Sherman Actuarial 2024 Report
2023
- Agenda 11/14/23
- Agenda Item 1. Minutes from 08/22/23
- Agenda Item 2.A. Program Report
- Agenda Item 2.A. Program Report: FY 2023 Budget
- Agenda Item 2.A. Program Report: FY 2024 Budget
- Agenda Item 2.A. Program Report: Statement of Plan Assets
- Agenda Item 2.B. Investment Report
- Agenda Item 2.C. Annual Actuarial Report
- Agenda Item 3. Kassouf Audit of Financial Statements 09/30/22
- Agenda 05/23/23
- Agenda Item 2.A. Program Report
- Agenda Item 2.A. Program Report: Budget
- Agenda Item 2.A. Program Report: Statement of Plan Assets
- Agenda Item 2.B. Investment Report
- Agenda Item 2.C. Actuarial Report
- Agenda Item 3.A.2. Proposed Resolution for Tuition and Fee Adjustment Rate
- Agenda Item 3.B.3. Proposed Resolution for Financial Auditor
- Agenda 02/21/23
- Agenda Item 1. Minutes from 02/21/23
- Agenda Item 3. Minutes from 11/15/22
- Agenda Item 4.A. Program Report
- Agenda Item 4.A. Program Report: Budget
- Agenda Item 4.A. Program Report: Statement of Plan Assets
- Agenda Item 4.B. Investment Report
- Agenda Item 4.C. Actuarial Report
- Agenda Item 5. Kassouf Annual Audit
2022
- Agenda 05/24/22
- Agenda Item 1. Minutes from 08/17/21
- Agenda Item 3.A. Program Report
- Agenda Item 3.A. Program Report – Board Financials
- Agenda Item 3.A. Program Report – Budget
- Agenda Item 3.B. Investment Report
- Agenda Item 3.C. Actuarial Report
- Agenda Item 4.A. Proposed Resolution to Rescind Portion of August 18, 2020 Resolution
- Agenda Item 4.B. Proposed Resolution for Tuition and Fee Adjustment Rate
- Agenda Item 4.C. Proposed Resolution for GAX Interface Modification
- Agenda Item 5.C. 11/16/21 Board Meeting Note
- Agenda Item 5.D. 03/01/22 Board Meeting Notes
- Agenda 03/01/22
- Agenda Item 1. Minutes from 08/17/2021
- Agenda Item 2.A. Program Report
- Agenda Item 2.A. Program Report Budget
- Agenda Item 2.A. Program Report Financials
- Agenda Item 2.B. Investment Report
- Agenda Item 2.C. Actuarial Report
- Agenda Item 3. Annual Audit Report
- Agenda Item 4.C. 11/16/21 Meeting Notes
2021
- 11/17/20 Virtual Meeting Summary
- Agenda 11/16/21
- Agenda Item 1. Minutes from 08/17/2021
- Agenda Item 2.A. Program Report
- Agenda Item 2.A. Program Report-2021 EOY Budget
- Agenda Item 2.A. Program Report-2022 Budget
- Agenda Item 2.A. Program Report-Board Financials
- Agenda Item 2.B. Investment Report
- Agenda Item 2.C. Actuarial Report
2020
- Agenda 11/17/20
- Item 1: Minutes 8/18/20 Meeting
- Item 2:A Program Report
- Item 2:A:2 Program Report Board Financials
- Item 2:A:3 Program Report Historical Spreadsheet
- Item 2:A:4 Program Report EOY Budget
- Item 2:A:5 Program Report Budget
- Item 2:B Investment Report
- Item 2:C Actuarial Report
- 11/17/20 Virtual Meeting Summary
2019
2018
- Agenda 11/14/2018
- Item 1. Minutes 08/08/2018
- Item 2.A.1. Program Report
- Item 2.A.2. Program Report: Financials
- Item 2.A.3. Program Report: Historical Spreadsheet
- Item 2.A.4. Program Report: Budget EOY 2018
- Item 2.A.5. Program Report: Budget FY19
- Item 2.B. Investment Report
- Item 2.C. Actuarial Report
- Item 3. Decision Item: Investment Policy Update
- Investment Policy and Guidelines
- Agenda 02/14/18 Meeting
- Agenda Item 1. Minutes 11/8/17
- Agenda Item 2.A. Program Report: Administrative
- Agenda Item 2.A. Program Report: Board Financials
- Agenda Item 2.A. Program Report: Budget
- Agenda Item 2.B. Investment Report
- Agenda Item 2.C. Actuarial Report
- Agenda Item 3. Annual Audit Report
- Agenda Item 5.A. Legislation Update