A. As used in this section:
"Funded status" means the ratio of the assets of the Plan to the actuarially estimated value of tuition obligations of the Plan, expressed as a percentage.
"Pricing reserve" means the percentage by which the actuarially determined prepaid tuition contract price exceeds the amount estimated to meet the actuarially determined tuition obligation for such prepaid tuition contract.
B. In the event that the funded status of the Plan meets or exceeds 105 percent, the pricing reserve shall not exceed five percent.
C. In the event that the funded status of the Plan does not meet or exceed 105 percent, the pricing reserve may exceed five percent but shall not exceed 10 percent.
D. The board shall provide to the House Committee on Appropriations, the Senate Committee on Finance and Appropriations, and the Joint Legislative Audit and Review Commission written notification and a detailed explanation of any change to the pricing reserve within 30 days of such change.
2019, cc. 805, 806.
Structure Code of Virginia
Title 23.1 - Institutions of Higher Education; Other Educational and Cultural Institutions
Chapter 7 - Virginia College Savings Plan and ABLE Savings Trust Accounts
§ 23.1-701. Plan established; moneys; governing board
§ 23.1-702. Advisory committees to the board; membership; terms; qualifications; duties
§ 23.1-703. Chief executive officer of the Plan
§ 23.1-704. Powers and duties of the board
§ 23.1-705. Board actions not a debt of Commonwealth
§ 23.1-706. Standard of care; investment and administration of the Plan
§ 23.1-707. Prepaid tuition contracts and college and ABLE savings trust agreements
§ 23.1-707.1. Prepaid tuition contracts; pricing reserves; limitations
§ 23.1-708. Assets of the Plan exempt from taxation
§ 23.1-710. Forms and audit of accounts and records
§ 23.1-711. Admission to institutions not guaranteed; coverage limitations