HB2237 Summary

• Establishes the Illinois Higher Education Savings Program to provide $50 seed fund deposits into 529 college savings accounts for eligible children born or adopted after December 31, 2020, to Illinois resident parents.

• State Treasurer enrolls eligible children beginning in 2021 after receiving birth and adoption records from the Department of Revenue and Department of Public Health on a quarterly basis.

• Beneficiaries may use seed funds for qualified higher education expenses if parents claim funds by child's 10th birthday, child has completed secondary education or reached age 18, and child remains an Illinois resident.

• Unclaimed seed funds by age 10 or unused funds by age 26 are forfeited and returned to the omnibus account for future beneficiaries.

• Creates the Illinois Higher Education Savings Program Fund held outside the state treasury; authorizes State Treasurer to accept gifts, grants, and matching contributions to supplement the program and develop financial literacy partnerships with educational organizations.