TALLAHASSEE – Gov. Rick Scott recently signed into law House Bill 851, a bill sponsored by Sen. Jack Latvala that will reduce the cost of a four-year Florida University Plan for newborn children by nearly $20,000.
Among several sweeping changes, the bill provides a reduction in the future cost of Florida’s state universities, allowing the Florida Prepaid College Board to better predict tuition and fee costs covered by the Stanley G. Tate Florida Prepaid College Program.
Before passage of the bill, the cost of a Florida Prepaid Contract for a university had grown to more than $50,000 for a four-year newborn plan, pricing many families out of their dream of saving enough money so that their children can get a higher education.
“Providing greater access to a college education is one of the most fundamental ways we can ensure economic growth and a better quality of life for the people in our state,” Latvala said in a press release.
Latvala said he considered this bill a top priority during the 2014 Legislative Session.
“This bill will make higher education in Florida more affordable for everyone so that their dreams of success can become a reality,” he added.
The Florida Prepaid Board estimates that the lump sum price of the four-Year Florida University Plan for a newborn will drop from the current price of $54,000 to $35,000 or less. Those with current Florida Prepaid plans will also see a reduction in the cost of their plans, with about 50,000 existing plans receiving refunds or payment reductions because of the new law. According to the Board, eligible accountholders with Florida Prepaid can expect to be notified in September about their specific refund or payment reduction.