NY A09281

Replaces specific investment authorization requirements under the Retirement and Social Security Law with a prudent person standard for the New York State College Choice Tuition Savings Program and ABLE Savings Account Program.

Removes previous provisions allowing trust fund investments in funding agreements issued by life insurance companies, including guarantees on minimum rates of return and separate account allocations.

Eliminates the $350 million aggregate investment cap per single life insurance company and the requirement that issuers maintain highest or second highest ratings from nationally recognized rating services.

Establishes that the Comptroller, as trustee, must invest assets with the care, skill, prudence and diligence that a prudent person would use in managing a similar enterprise.

Takes effect immediately upon enactment.