Rep. Kelly M. Burke
Filed: 3/3/2023
 
 


 




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1
AMENDMENT TO HOUSE BILL 3811 




2 AMENDMENT NO. ______. Amend House Bill 3811 by replacing 
3everything after the enacting clause with the following:


4 "Section 5. The State Treasurer Act is amended by changing 
5Sections 16.5 and 16.6 as follows:




6 (15 ILCS 505/16.5)



7 Sec. 16.5. College Savings Pool. 
8 (a) Definitions. As used in this Section:
9 "Account owner" means any person or entity who has opened 
10an account or to whom ownership of an account has been 
11transferred, as allowed by the Internal Revenue Code, and who 
12has authority to withdraw funds, direct withdrawal of funds, 
13change the designated beneficiary, or otherwise exercise 
14control over an account in the College Savings Pool.
15 "Donor" means any person or entity who makes contributions 
16to an account in the College Savings Pool.
 
 
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1 "Designated beneficiary" means any individual designated 
2as the beneficiary of an account in the College Savings Pool by 
3an account owner. A designated beneficiary must have a valid 
4social security number or taxpayer identification number. In 
5the case of an account established as part of a scholarship 
6program permitted under Section 529 of the Internal Revenue 
7Code, the designated beneficiary is any individual receiving 
8benefits accumulated in the account as a scholarship.
9 "Eligible educational institution" means public and 
10private colleges, junior colleges, graduate schools, and 
11certain vocational institutions that are described in Section 
121001 of the Higher Education Resource and Student Assistance 
13Chapter of Title 20 of the United States Code (20 U.S.C. 1001) 
14and that are eligible to participate in Department of 
15Education student aid programs. 
16 "Member of the family" has the same meaning ascribed to 
17that term under Section 529 of the Internal Revenue Code. 
18 "Nonqualified withdrawal" means a distribution from an 
19account other than a distribution that (i) is used for the 
20qualified expenses of the designated beneficiary; (ii) results 
21from the beneficiary's death or disability; (iii) is a 
22rollover to another account in the College Savings Pool; or 
23(iv) is a rollover to an ABLE account, as defined in Section 
2416.6 of this Act, or any distribution that, within 60 days 
25after such distribution, is transferred to an ABLE account of 
26the designated beneficiary or a member of the family of the 
 
 
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1designated beneficiary to the extent that the distribution, 
2when added to all other contributions made to the ABLE account 
3for the taxable year, does not exceed the limitation under 
4Section 529A(b) of the Internal Revenue Code; or (v) is a 
5rollover to a Roth IRA account to the extent permitted by 
6Section 529 of the Internal Revenue Code.
7 "Qualified expenses" means: (i) tuition, fees, and the 
8costs of books, supplies, and equipment required for 
9enrollment or attendance at an eligible educational 
10institution; (ii) expenses for special needs services, in the 
11case of a special needs beneficiary, which are incurred in 
12connection with such enrollment or attendance; (iii) certain 
13expenses, to the extent they qualify as qualified higher 
14education expenses under Section 529 of the Internal Revenue 
15Code, for the purchase of computer or peripheral equipment or 
16Internet access and related services, if such equipment, 
17software, or services are to be used primarily by the 
18beneficiary during any of the years the beneficiary is 
19enrolled at an eligible educational institution, except that, 
20such expenses shall not include expenses for computer software 
21designed for sports, games, or hobbies, unless the software is 
22predominantly educational in nature; (iv) room and board 
23expenses incurred while attending an eligible educational 
24institution at least half-time; (v) expenses for fees, books, 
25supplies, and equipment required for the participation of a 
26designated beneficiary in an apprenticeship program registered 
 
 
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1and certified with the Secretary of Labor under the National 
2Apprenticeship Act (29 U.S.C. 50); and (vi) amounts paid as 
3principal or interest on any qualified education loan of the 
4designated beneficiary or a sibling of the designated 
5beneficiary, as allowed under Section 529 of the Internal 
6Revenue Code. A student shall be considered to be enrolled at 
7least half-time if the student is enrolled for at least half 
8the full-time academic workload for the course of study the 
9student is pursuing as determined under the standards of the 
10institution at which the student is enrolled. 
11 (b) Establishment of the Pool. The State Treasurer may 
12establish and
administer the College Savings Pool as a 
13qualified tuition program under Section 529 of the Internal 
14Revenue Code. The Pool may consist of one or more college 
15savings programs. The State Treasurer, in administering the 
16College Savings
Pool, may: (1) receive, hold, and invest 
17moneys paid into the Pool; and (2) perform any other action he 
18or she deems necessary to administer the Pool, including any 
19other actions necessary to ensure that the Pool operates as a 
20qualified tuition program in accordance with Section 529 of 
21the Internal Revenue Code.

22 (c) Administration of the College Savings Pool. The State 
23Treasurer may delegate duties related to the College Savings 
24Pool to one or more contractors. The contributions deposited 
25in the Pool, and any earnings thereon, shall not constitute 
26property of the State or be commingled with State funds and the 
 
 
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1State shall have no claim to or against, or interest in, such 
2funds; provided that the fees collected by the State Treasurer 
3in accordance with this Act, scholarship programs administered 
4by the State Treasurer, and seed funds deposited by the State 
5Treasurer under Section 16.8 of the Act are State funds. 

6 (c-5) College Savings Pool Account Summaries. The State 
7Treasurer shall provide a separate accounting for each 
8designated beneficiary. The separate accounting shall be 
9provided to the account owner of the account for the 
10designated beneficiary at least annually and shall show the 
11account balance, the investment in the account, the investment 
12earnings, and the distributions from the account. 
13 (d) Availability of the College Savings Pool. The State 
14Treasurer may permit persons, including trustees of trusts and 
15custodians under a Uniform Transfers to Minors Act or Uniform 
16Gifts to Minors Act account, and certain legal entities to be 
17account owners, including as part of a scholarship program, 
18provided that: (1) an individual, trustee or custodian must 
19have a valid social security number or taxpayer identification 
20number, be at least 18 years of age, and have a valid United 
21States street address; and (2) a legal entity must have a valid 
22taxpayer identification number and a valid United States 
23street address. In-state and out-of-state persons, trustees, 
24custodians, and legal entities may be account owners and 
25donors, and both in-state and out-of-state individuals may be 
26designated beneficiaries in the College Savings Pool.
 
 
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1 (e) Fees. Any fees, costs, and expenses, including 
2investment fees and expenses and payments to third parties, 
3related to the College Savings Pool, shall be paid from the 
4assets of the College Savings Pool. The State Treasurer shall 
5establish fees to be imposed on accounts to cover such fees, 
6costs, and expenses, to the extent not paid directly out of the 
7investments of the College Savings Pool, and to maintain an 
8adequate reserve fund in line with industry standards for 
9government operated funds. The Treasurer must use his or her 
10best efforts to keep these fees as low as possible and 
11consistent with administration of high quality competitive 
12college savings programs. 
13 (f) Investments in the State. To enhance the safety and 
14liquidity of the College Savings Pool,
to ensure the 
15diversification of the investment portfolio of the College 
16Savings Pool, and in
an effort to keep investment dollars in 
17the State of Illinois, the State
Treasurer may make a 
18percentage of each account available for investment in

19participating financial institutions doing business in the 
20State.

21 (g) Investment policy. The Treasurer shall develop, 
22publish, and implement an investment policy
covering the 
23investment of the moneys in each of the programs in the College 
24Savings Pool. The policy
shall be published each year as part

25of the audit of the College Savings Pool by the Auditor 
26General, which shall be
distributed to all account owners in 
 
 
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1such program. The Treasurer shall notify all account owners in 
2such program
in writing, and the Treasurer shall publish in a 
3newspaper of general
circulation in both Chicago and 
4Springfield, any changes to the previously
published 
5investment policy at least 30 calendar days before 
6implementing the
policy. Any investment policy adopted by the 
7Treasurer shall be reviewed and
updated if necessary within 90 
8days following the date that the State Treasurer
takes office.

9 (h) Investment restrictions. An account owner may, 
10directly or indirectly, direct the investment of his or her 
11account only as provided in Section 529(b)(4) of the Internal 
12Revenue Code. Donors and designated beneficiaries, in those 
13capacities, may not, directly or indirectly, direct the 
14investment of an account. 
15 (i) Distributions. Distributions from an account in the 
16College
Savings Pool may be used for the designated 
17beneficiary's qualified expenses, and if not used in that 
18manner, may be considered a nonqualified withdrawal. Funds 
19contained in a College Savings Pool account may be rolled over 
20into: 
21  (1) an eligible ABLE account, as defined in Section 
22 16.6 of this Act to the extent permitted by Section 529 of 
23 the Internal Revenue Code; , or 
24  (2) another qualified tuition program, to the extent 
25 permitted by Section 529 of the Internal Revenue Code; or
26  (3) a Roth IRA account, to the extent permitted by 
 
 
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1 Section 529 of the Internal Revenue Code.
2 Distributions made from the College Savings Pool may be

3made directly to the eligible educational institution, 
4directly to a vendor,
in the form of a check payable to both 
5the designated beneficiary and the institution or
vendor, 
6directly to the designated beneficiary or account owner, or in 
7any other manner that is permissible under Section 529 of the 
8Internal Revenue Code.

9 (j) Contributions. Contributions to the College Savings 
10Pool shall be as follows:
11  (1) Contributions to an account in the College Savings 
12 Pool may be made only in cash. 
13  (2) The Treasurer shall limit the contributions that 
14 may be made to the College Savings Pool on behalf of a

15 designated beneficiary, as required under Section 529 of 
16 the Internal Revenue Code, to prevent contributions for 
17 the benefit of a designated beneficiary in excess of those 
18 necessary to provide for the qualified expenses of the 
19 designated beneficiary. The Pool shall not permit any 
20 additional contributions to an account as soon as the sum 
21 of (i) the aggregate balance in all accounts in the Pool 
22 for the designated beneficiary and (ii) the aggregate 
23 contributions in the Illinois Prepaid Tuition Program for 
24 the designated beneficiary reaches the specified balance 
25 limit established from time to time by the Treasurer. 
26 (k) Illinois Student Assistance Commission. The Treasurer 
 
 
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1and the Illinois Student Assistance Commission shall each 
2cooperate in providing each other with account information, as 
3necessary, to prevent contributions in excess of those 
4necessary to provide for the qualified expenses of the 
5designated beneficiary, as described in subsection (j). 
6 The Treasurer shall
work with the Illinois Student 
7Assistance Commission to coordinate the
marketing of the 
8College Savings Pool and the Illinois Prepaid Tuition
Program 
9when considered beneficial by the Treasurer and the Director 
10of the
Illinois Student Assistance
Commission. 
11 (l) Prohibition; exemption. No interest in the program, or 
12any portion thereof, may be used as security for a
loan. Moneys 
13held in an account invested in the College Savings Pool shall 
14be exempt from all claims of the creditors of the account 
15owner, donor, or designated beneficiary of that account, 
16except for the non-exempt College Savings Pool transfers to or 
17from the account as defined under subsection (j) of Section 
1812-1001 of the Code of Civil Procedure.

19 (m) Taxation. The assets of the College Savings Pool and 
20its income and operation shall
be exempt from all taxation by 
21the State of Illinois and any of its
subdivisions. The accrued 
22earnings on investments in the Pool once disbursed
on behalf 
23of a designated beneficiary shall be similarly exempt from all

24taxation by the State of Illinois and its subdivisions, so 
25long as they are
used for qualified expenses. Contributions to 
26a College Savings Pool account
during the taxable year may be 
 
 
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1deducted from adjusted gross income as provided
in Section 203 
2of the Illinois Income Tax Act. The provisions of this

3paragraph are exempt from Section 250 of the Illinois Income 
4Tax Act.

5 (n) Rules. The Treasurer shall adopt rules he or she 
6considers necessary for the
efficient administration of the 
7College Savings Pool. The rules shall provide
whatever 
8additional parameters and restrictions are necessary to ensure 
9that
the College Savings Pool meets all the requirements for a 
10qualified
tuition program under Section 529 of the Internal 
11Revenue Code.

12 Notice of any proposed
amendments to the rules and 
13regulations shall be provided to all account owners
prior to 
14adoption.

15 (o) Bond. The State Treasurer shall give bond
with at 
16least one surety, payable to and for the benefit of the
account 
17owners in the College Savings Pool, in the penal sum of 
18$10,000,000,
conditioned upon the faithful discharge of his or 
19her duties in relation to
the College Savings Pool.

20 (p) The changes made to subsections (c) and (e) of this 
21Section by Public Act 101-26 are intended to be a restatement 
22and clarification of existing law. 
23(Source: P.A. 101-26, eff. 6-21-19; 101-81, eff. 7-12-19; 
24102-186, eff. 7-30-21.)


25 (15 ILCS 505/16.6)
 
 
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1 Sec. 16.6. ABLE account program.
2 (a) As used in this Section:
3 "ABLE account" or "account" means an account established 
4for the purpose of financing certain qualified expenses of 
5eligible individuals as specifically provided for in this 
6Section and authorized by Section 529A of the Internal Revenue 
7Code.
8 "ABLE account plan" or "plan" means the savings account 
9plan provided for in this Section.
10 "Account administrator" means the person or entity 
11selected by the State Treasurer to administer the daily 
12operations of the ABLE account plan and provide marketing, 
13recordkeeping, investment management, and other services for 
14the plan.
15 "Aggregate account balance" means the amount in an account 
16on a particular date or the fair market value of an account on 
17a particular date.
18 "Beneficiary" or "designated beneficiary" means the ABLE 
19account owner.
20 "Contracting state" means a state without a qualified ABLE 
21program which has entered into a contract with Illinois to 
22provide residents of the contracting state access to a 
23qualified ABLE program.
24 "Designated representative" means a person or entity who 
25is authorized to act on behalf of a "designated beneficiary". 
26A designated beneficiary is authorized to act on his or her own 
 
 
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1behalf unless the designated beneficiary is a minor or the 
2designated beneficiary has been adjudicated to have a 
3disability so that a guardian has been appointed. A designated 
4representative acts in a fiduciary capacity to the designated 
5beneficiary. A person or entity seeking to open an ABLE 
6account on behalf of a designated beneficiary must provide 
7certification, subject to penalties of perjury, of the basis 
8for the person's or entity's authority to act as a designated 
9representative and that there is no other person or entity 
10with higher priority to establish the ABLE account under 
11Section 529A of the Internal Revenue Code and federal 
12regulations.
13 "Disability certification" has the meaning given to that 
14term under Section 529A of the Internal Revenue Code.
15 "Eligible individual" has the meaning given to that term 
16under Section 529A of the Internal Revenue Code.
17 "Internal Revenue Code" means the federal Internal Revenue 
18Code. 
19 "Participation agreement" means an agreement to 
20participate in the ABLE account plan between a designated 
21beneficiary and the State, through its agencies and the State 
22Treasurer.
23 "Qualified disability expenses" has the meaning given to 
24that term under Section 529A of the Internal Revenue Code.
25 "Qualified withdrawal" or "qualified distribution" means a 
26withdrawal from an ABLE account to pay the qualified 
 
 
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1disability expenses of the beneficiary of the account.
2 (b) Establishment of the ABLE Program. The "Achieving a 
3Better Life Experience" or "ABLE" account program is hereby 
4created and shall be administered by the State Treasurer. The 
5purpose of the ABLE program is to encourage and assist 
6individuals and families in saving private funds for the 
7purpose of supporting individuals with disabilities to 
8maintain health, independence, and quality of life, and to 
9provide secure funding for disability-related expenses on 
10behalf of designated beneficiaries with disabilities that will 
11supplement, but not supplant, benefits provided through 
12private insurance, federal and State medical and disability 
13insurance, the beneficiary's employment, and other sources. 
14Under the plan, a person or entity may make contributions to an 
15ABLE account to meet the qualified disability expenses of the 
16designated beneficiary of the account. The plan must be 
17operated as an accounts-type plan that permits saving persons 
18to save for qualified disability expenses incurred by or on 
19behalf of an eligible individual.
20 (c) Promotion of the ABLE Program. The State Treasurer 
21shall promote awareness of the availability and advantages of 
22the ABLE account plan as a way to assist individuals and 
23families in saving private funds for the purpose of supporting 
24individuals with disabilities.
25 (d) Availability of the ABLE Program. An ABLE account may 
26be established under this Section for a designated beneficiary 
 
 
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1who is a resident of Illinois, a resident of a contracting 
2state, or a resident of any other state.
3 Annual contributions to an ABLE account on behalf of a 
4beneficiary are subject to the requirements of subsection (b) 
5of Section 529A of the Internal Revenue Code. No person or 
6entity may make a contribution to an ABLE account if such a 
7contribution would result in the aggregate account balance of 
8an ABLE account exceeding the account balance limit authorized 
9under Section 529A of the Internal Revenue Code. The Treasurer 
10shall review the contribution limit at least annually. A 
11separate account must be maintained for each beneficiary for 
12whom contributions are made, and no more than one account 
13shall be established per beneficiary. If an ABLE account is 
14established for a designated beneficiary, no account 
15subsequently established for such beneficiary shall be treated 
16as an ABLE account. The preceding sentence shall not apply in 
17the case of an ABLE account established for purposes of a 
18rollover as permitted under Sections 529 and 529A of the 
19Internal Revenue Code. 
20 (e) Administration of the ABLE Program. The State 
21Treasurer shall administer the plan, including accepting and 
22processing applications, maintaining account records, making 
23payments, and undertaking any other necessary tasks to 
24administer the plan, including the appointment of an account 
25administrator. The State Treasurer may contract with one or 
26more third parties to carry out some or all of these 
 
 
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1administrative duties, including, but not limited to, 
2providing investment management services, incentives, and 
3marketing the plan. The State Treasurer may enter into 
4agreements with other states to either allow Illinois 
5residents to participate in a plan operated by another state 
6or to allow residents of other states to participate in the 
7Illinois ABLE plan. The State Treasurer may require any 
8certifications that he or she deems necessary to implement the 
9program, including oaths or affirmations made under penalties 
10of perjury.
11 (f) Fees. The State Treasurer may establish fees to be 
12imposed on participants to cover the costs of administration, 
13recordkeeping, and investment management. The State Treasurer 
14must use his or her best efforts to keep these fees as low as 
15possible, consistent with efficient administration.
16 (g) The Illinois ABLE Accounts Administrative Fund. The 
17Illinois ABLE Accounts Administrative Fund is created as a 
18nonappropriated trust fund in the State treasury. The State 
19Treasurer shall use moneys in the Administrative Fund to cover 
20administrative expenses incurred under this Section. The 
21Administrative Fund may receive any grants or other moneys 
22designated for administrative purposes from the State, or any 
23unit of federal, state, or local government, or any other 
24person, firm, partnership, or corporation. Any interest 
25earnings that are attributable to moneys in the Administrative 
26Fund must be deposited into the Administrative Fund. Any fees 
 
 
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1established by the State Treasurer to cover the costs of 
2administration, recordkeeping, and investment management shall 
3be deposited into the Administrative Fund.
4 Subject to appropriation, the State Treasurer may pay 
5administrative costs associated with the creation and 
6management of the plan until sufficient assets are available 
7in the Administrative Fund for that purpose.
8 (h) Privacy. Applications for accounts and other records 
9obtained or compiled by the Treasurer or the Treasurer's 
10agents reflecting , designated beneficiary information data, 
11account information data, or designated representative 
12information and data on beneficiaries of accounts are 
13confidential and exempt from disclosure under the Freedom of 
14Information Act.
15 (i) Investment Policy. The Treasurer shall prepare and 
16adopt a written statement of investment policy that includes a 
17risk management and oversight program which shall be reviewed 
18annually and posted on the Treasurer's website prior to 
19implementation. The risk management and oversight program 
20shall be designed to ensure that an effective risk management 
21system is in place to monitor the risk levels of the ABLE plan, 
22to ensure that the risks taken are prudent and properly 
23managed, to provide an integrated process for overall risk 
24management, and to assess investment returns as well as risk 
25to determine if the risks taken are adequately compensated 
26compared to applicable performance benchmarks and standards. 
 
 
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1To enhance the safety and liquidity of ABLE accounts, to 
2ensure the diversification of the investment portfolio of 
3accounts, and in an effort to keep investment dollars in the 
4State, the State Treasurer may make a percentage of each 
5account available for investment in participating financial 
6institutions doing business in the State, except that the 
7accounts may be invested without limit in investment options 
8from open-ended investment companies registered under Section 
980a of the federal Investment Company Act of 1940. The State 
10Treasurer may contract with one or more third parties for 
11investment management, recordkeeping, or other services in 
12connection with investing the accounts. 
13 (j) Investment restrictions. The State Treasurer shall 
14ensure that the plan meets the requirements for an ABLE 
15account under Section 529A of the Internal Revenue Code. The 
16State Treasurer may request a private letter ruling or rulings 
17from the Internal Revenue Service and must take any necessary 
18steps to ensure that the plan qualifies under relevant 
19provisions of federal law. Notwithstanding the foregoing, any 
20determination by the Secretary of the Treasury of the United 
21States that an account was utilized to make non-qualified 
22distributions shall not result in an ABLE account being 
23disregarded as a resource.
24 (k) Contributions. A person or entity may make 
25contributions to an ABLE account on behalf of a beneficiary. 
26Contributions to an account made by persons or entities other 
 
 
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1than the designated beneficiary become the property of the 
2designated beneficiary. Contributions to an account shall be 
3considered as a transfer of assets for fair market value. A 
4person or entity does not acquire an interest in an ABLE 
5account by making contributions to an account. A contribution 
6to any account for a beneficiary must be rejected if the 
7contribution would cause either the aggregate or annual 
8account balance of the account to exceed the limits imposed by 
9Section 529A of the Internal Revenue Code.
10 Any change in designated beneficiary must be done in a 
11manner consistent with Section 529A of the Internal Revenue 
12Code.
13 (l) Notice. Notice of any proposed amendments to the rules 
14and regulations shall be provided to all designated 
15beneficiaries or their designated representatives prior to 
16adoption. Amendments to rules and regulations shall apply only 
17to contributions made after the adoption of the amendment. 
18Amendments to this Section automatically amend the 
19participation agreement. Any amendments to the operating 
20procedures and policies of the plan shall automatically amend 
21the participation agreement after adoption by the State 
22Treasurer.
23 (m) Plan assets. All assets of the plan, including any 
24contributions to accounts, are held in trust for the exclusive 
25benefit of the designated beneficiary and shall be considered 
26spendthrift accounts exempt from all of the designated 
 
 
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1beneficiary's creditors. The plan shall provide separate 
2accounting for each designated beneficiary sufficient to 
3satisfy the requirements of paragraph (3) of subsection (b) of 
4Section 529A of the Internal Revenue Code. Assets must be held 
5in either a state trust fund outside the State treasury, to be 
6known as the Illinois ABLE plan trust fund, or in accounts with 
7a third-party provider selected pursuant to this Section. 
8Amounts contributed to ABLE accounts shall not be commingled 
9with State funds and the State shall have no claim to or 
10against, or interest in, such funds.
11 Plan assets are not subject to claims by creditors of the 
12State and are not subject to appropriation by the State. 
13Payments from the Illinois ABLE account plan shall be made 
14under this Section.
15 The assets of ABLE accounts and their income may not be 
16used as security for a loan.
17 (n) Taxation. The assets of ABLE accounts and their income 
18and operation shall be exempt from all taxation by the State of 
19Illinois and any of its subdivisions to the extent exempt from 
20federal income taxation. The accrued earnings on investments 
21in an ABLE account once disbursed on behalf of a designated 
22beneficiary shall be similarly exempt from all taxation by the 
23State of Illinois and its subdivisions to the extent exempt 
24from federal income taxation, so long as they are used for 
25qualified expenses.
26 Notwithstanding any other provision of law that requires 
 
 
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1consideration of one or more financial circumstances of an 
2individual, for the purpose of determining eligibility to 
3receive, or the amount of, any assistance or benefit 
4authorized by such provision to be provided to or for the 
5benefit of such individual, any amount, including earnings 
6thereon, in the ABLE account of such individual, any 
7contributions to the ABLE account of the individual, and any 
8distribution for qualified disability expenses shall be 
9disregarded for such purpose with respect to any period during 
10which such individual maintains, makes contributions to, or 
11receives distributions from such ABLE account.
12 (o) Distributions. The designated beneficiary or the 
13designated representative of the designated beneficiary may 
14make a qualified distribution for the benefit of the 
15designated beneficiary. Qualified distributions shall be made 
16for qualified disability expenses allowed pursuant to Section 
17529A of the Internal Revenue Code. Qualified distributions 
18must be withdrawn proportionally from contributions and 
19earnings in a designated beneficiary's account on the date of 
20distribution as provided in Section 529A of the Internal 
21Revenue Code. Unless prohibited by federal law, upon the death 
22of a designated beneficiary, proceeds from an account may be 
23transferred to the estate of a designated beneficiary, or to 
24an account for another eligible individual specified by the 
25designated beneficiary or the estate of the designated 
26beneficiary, or transferred pursuant to a payable on death 
 
 
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1account agreement. A payable on death account agreement may be 
2executed by the designated beneficiary or a designated 
3representative who has been granted such power. Upon the death 
4of a designated beneficiary, prior to distribution of the 
5balance to the estate, account for another eligible 
6individual, or transfer pursuant to a payable on death account 
7agreement, the State Treasurer may require verification that 
8the funeral and burial expenses of the designated beneficiary 
9have been paid. An agency or instrumentality of the State may 
10not seek payment under subsection (f) of Section 529A of the 
11federal Internal Revenue Code from the account or its proceeds 
12for benefits provided to a designated beneficiary.
13 (p) Rules. The State Treasurer may adopt rules to carry 
14out the purposes of this Section. The State Treasurer shall 
15further have the power to issue peremptory rules necessary to 
16ensure that ABLE accounts meet all of the requirements for a 
17qualified state ABLE program under Section 529A of the 
18Internal Revenue Code and any regulations issued by the 
19Internal Revenue Service.

20 (q) Name. The ABLE Account Program may also be referred to 
21as the Senator Scott Bennett ABLE Program. 
22(Source: P.A. 101-329, eff. 8-9-19; 102-392, eff. 8-16-21; 
23102-1024, eff. 5-27-22.)


24 Section 99. Effective date. This Act takes effect upon 
25becoming law.".