(e) If the beneficiary is awarded a scholarship, tuition waiver or similar subsidy that cannot be converted into cash by the beneficiary, the department shall refund to the individual who entered into the contract, upon his or her request, an amount equal to the value of the tuition units that are not needed because of the scholarship, waiver or similar subsidy and that would otherwise have been paid by the department on behalf of the beneficiary during the semester in which the beneficiary is enrolled.
(f) Except as provided under par. (c), the department shall determine the method and schedule for the payment of refunds under this subsection.
(8) Exemption from garnishment, attachment and execution. Moneys deposited in the tuition trust fund and a beneficiary's right to the payment of tuition under this section are not subject to garnishment, attachment, execution or any other process of law.
(9) Contract with actuary. The department shall contract with an actuary or actuarial firm to evaluate annually whether the assets in the tuition trust fund are sufficient to meet the obligations of the department under this section and to advise the department on setting the price of a tuition unit under sub. (2) (b).
(10) Reports. (a) Annually, the department shall submit a report to the governor, and to the appropriate standing committees of the legislature under s. 13.172 (3), on the program under this section. The report shall include any recommendations for changes to the program that the department determines are necessary to ensure the sufficiency of the tuition trust fund to meet the department's obligations under this section.
(b) The department shall submit a quarterly report to the state investment board projecting the future cash flow needs of the tuition trust fund. The state investment board shall invest moneys held in the tuition trust fund in investments with maturities and liquidity that are appropriate for the needs of the fund as reported by the department in its quarterly reports. All income derived from such investments shall be credited to the fund.
(10m) Repayment to general fund. The secretary shall transfer from the tuition trust fund to the general fund an amount equal to the amount encumbered from the appropriation under s. 20.505 (9) (a) in the 1996-97 fiscal year when the secretary determines that funds in the tuition trust fund are sufficient to make the transfer. The secretary may make the transfer in instalments.
(11) Construction. (a) Nothing in this section guarantees an individual's admission to, retention by or graduation from any institution of higher education.
(b) The requirements to pay tuition under sub. (5) and to make refunds under sub. (7) are subject to the availability of sufficient assets in the tuition trust fund.
(12) Additional department duties and powers. (a) The department shall do all of the following:
1. Annually publish a list of the institutions of higher education located in this state and the number of tuition units necessary to pay for one year of full-time attendance as a resident undergraduate at each institution.
2. Actively promote the program under this section.
3. Promulgate rules to implement and administer this section.
(b) The department may contract with any person for the management and operation of the program or any part of the program under this section.
(13) Program termination. If the department determines that the program under this section is financially infeasible, the department shall discontinue entering into tuition prepayment contracts under sub. (3) and discontinue selling tuition units under sub. (4).
403,2
Section 2
. 20.005 (3) (schedule) of the statutes: at the appropriate place, insert the following amounts for the purposes indicated:
-
See PDF for table 
403,3
Section 3
. 20.505 (9) of the statutes is created to read:
20.505 (9) College tuition prepayment program. (a) Administrative expenses; initial funds. The amounts in the schedule for the administrative expenses of the college tuition prepayment program under s. 16.24, including the expense of promoting the program. No funds may be encumbered from this appropriation after June 30, 1997.
(q) Payment of tuition. From the tuition trust fund, a sum sufficient for the payment of tuition under s. 16.24 (5).
(r) Payment of refunds. From the tuition trust fund, a sum sufficient for the payment of refunds under s. 16.24 (7).
(s) Administrative expenses. From the tuition trust fund, the amounts in the schedule for the administrative expenses of the college tuition prepayment program under s. 16.24, including the expense of promoting the program.
403,4
Section 4
. 25.14 (1) of the statutes is amended to read:
25.14 (1) There is created a state investment fund under the jurisdiction and management of the investment board (hereinafter referred to as “board") to be operated as an investment trust for the purpose of managing the securities of all the state's funds consisting of the funds specified in s. 25.17 (1) except the state life fund, fixed retirement investment trust, variable retirement investment trust, capital improvement fund, bond security and redemption fund, state building trust fund, the state housing authority reserve fund, the children's trust fund, the patients compensation fund, the tuition trust fund, funds which under article X of the constitution are controlled and invested by the board of commissioners of public lands, funds which are required by specific provision of law to be controlled and invested by any other authority, the university trust funds and the trust funds of the state universities except that the respective authorities controlling the investment of any such excluded fund may authorize the transfer of any temporary cash assets of any such excluded fund to the state investment fund in accordance with subs. (2) and (3).
403,5
Section 5
. 25.17 (1) (vm) of the statutes is created to read:
25.17 (1) (vm) Tuition trust fund (s. 25.80).
403,6
Section 6
. 25.80 of the statutes is created to read:
25.80 Tuition trust fund. There is established a separate nonlapsible trust fund designated as the tuition trust fund, consisting of all revenue from enrollment fees and the sale of tuition units under s. 16.24.
403,6g
Section 6g. 71.05 (6) (b) 22. of the statutes is created to read:
71.05 (6) (b) 22. Any increase in value of a tuition unit that is purchased under a tuition contract under s. 16.24.
403,7
Section 7
. 815.18 (3) (o) of the statutes is created to read:
815.18 (3) (o) Tuition units. Tuition units purchased under s. 16.24.
403,7m
Section 7m.
Nonstatutory provisions.
(1) The authorized FTE positions for the department of administration are increased by 4.0 GPR positions on July 1, 1996, to be funded from the appropriation under section 20.505 (9) (a) of the statutes, as created by this act, for the purpose for which the appropriation is made.
403,8
Section 8
.
Effective date.
(1) This act takes effect on July 1, 1996.
