{"data":{"id":"us-ok/okla.-stat.-tit.-70-70-3970.6","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 70, § 70-3970.6","heading":"Financial institutions as depositories and managers","body":"A. The Board of Trustees of the Oklahoma College Savings Plan\n\nshall implement the program through the use of one or more financial\n\ninstitutions to act as the depositories and managers. Under the\n\nprogram, persons may establish accounts through the program at a\n\ndepository that has been selected by the Board.\n\nB. The Board shall solicit proposals from financial\n\ninstitutions to act as the depositories and managers of the program.\n\nFinancial institutions that submit proposals shall provide all\n\ninformation required by the Board which is sufficient to enable the\n\nevaluation of the investment strategies and asset allocations\n\nconsistent with the program objectives set by the Board.\n\nC. The Board shall select as program depositories and managers\n\nthe financial institution or institutions from among bidding\n\nfinancial institutions that demonstrate the most advantageous\n\ncombination, both to potential program participants and this state,\n\nof the following factors:\n\n1. Financial stability and integrity;\n\n2. The safety of the investment instruments being offered by\n\nthe financial institution, taking into account any insurance\n\nprovided with respect to these instruments;\n\n3. The ability of the financial institution to ensure that the\n\nplan it offers tracks requirements of the Internal Revenue Code,\n\nregulations of the Internal Revenue Service, other pertinent federal\n\nand state laws and regulations, and rules and requirements of the\n\nRegents;\n\n4. The ability of the financial institution to track estimated\n\ncosts of higher education as provided by the Regents and provided by\n\nthe financial institution to the account holder;\n\n5. The ability of the financial institutions, directly or\n\nthrough a subcontract, to satisfy recordkeeping and reporting\n\nrequirements, including those created by Section 529 of the Internal\n\nRevenue Code and Internal Revenue Service regulations;\n\n6. The financial institution's plan for promoting the program\n\nand the investment it is willing to make to promote the program,\n\nincluding any use of institutions with offices in Oklahoma as plan\n\nmarketers and enrollment agents;\n\n7. The fees, if any, proposed to be charged to persons for\n\nmaintaining accounts;\n\n8. The minimum initial deposit and minimum contributions that\n\nthe financial institution will require and the willingness of the\n\nfinancial institution to accept contributions through payroll\n\ndeduction plans and other deposit plans; and\n\n9. Any other benefits to this state or its residents included\n\nin the proposal, including an account opening fee payable to the\n\nBoard by the account owner and an additional fee from the financial\n\ninstitution for statewide program marketing by the Board.\n\nD. The Board shall enter into a contract with a financial\n\ninstitution, or institutions provided in subsection E of this\n\nsection to serve as program managers and depositories.\n\nE. The Board shall determine a minimum term for contracts\n\nexecuted between the Board and a financial institution pursuant to\n\nthis section and shall establish procedures by which a contract may\n\nbe renewed.\n\nF. The Board may select more than one financial institution and\n\ninvestment for the program if the following conditions exist:\n\n1. The United States Internal Revenue Service has provided\n\nguidance that giving a contributor a choice of more than one\n\ninvestment instrument under a state plan will not cause the plan to\n\nfail to qualify for favorable tax treatment under Section 529 of the\n\nInternal Revenue Code; and\n\n2. The Board concludes that the choice of instrument vehicles\n\nis in the best interest of college savers and will not interfere\n\nwith the promotion of the program.\n\nG. A program manager shall:\n\n1. Take all action required to keep the program in compliance\n\nwith the requirements of this act and shall not take action contrary\n\nto this act or its contract to manage the program so that it is\nage 1590\n\n2. The Board concludes that the choice of instrument vehicles\n\nis in the best interest of college savers and will not interfere\n\nwith the promotion of the program.\n\nG. A program manager shall:\n\n1. Take all action required to keep the program in compliance\n\nwith the requirements of this act and shall not take action contrary\n\nto this act or its contract to manage the program so that it is\n\ntreated as a qualified tuition plan under Section 529 of the\n\nInternal Revenue Code;\n\n2. Keep adequate records of each account, keep each account\n\nsegregated from each other account and provide the Board with the\n\ninformation necessary to prepare statements required by federal and\n\nstate law or regulation or file these statements on behalf of the\n\nBoard;\n\n3. Compile and total information contained in statements\n\nrequired to be prepared under federal and state law and regulation\n\nand provide these compilations to the Board;\n\n4. If there is more than one program manager, the program\n\nmanagers shall provide the Board with sufficient information to\n\ndetermine compliance with subsection P of Section 3970.7 of this\n\ntitle;\n\n5. Provide representatives of the Board, including other\n\ncontractors or other state agencies, access to the books and records\n\nof the program manager to the extent needed to determine compliance\n\nwith the contract; and\n\n6. Hold all accounts in trust for the benefit of this state and\n\nthe account owner.\n\nH. If a contract executed between the Board and a financial\n\ninstitution pursuant to this section is not renewed, all of the\n\nfollowing conditions apply at the end of the term of the nonrenewed\n\ncontract:\n\n1. Accounts previously established and held in investment\n\ninstruments at the financial institution shall not be terminated;\n\n2. Additional contributions may be made to the accounts; and\n\n3. No new accounts may be placed with that financial\n\ninstitution.\n\nI. The Board may terminate a contract with a financial\n\ninstitution at any time for good cause. If a contract is terminated\n\npursuant to this section, the Board shall take custody of accounts\n\nheld at that financial institution and shall seek to promptly\n\ntransfer the accounts to another financial institution that is\n\nselected as a program manager and into investment instruments as\n\nsimilar to the original investments as possible.","path":["OK Code","Title 70"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os70.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"b063ce158a0d510fee9784ab14a80cd1cd87bb34efae9ac0159418d87515f10b","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-70-70-3970.5","next":"us-ok/okla.-stat.-tit.-70-70-3970.7"},"notice":"GroundRules: Original legal text. Not legal advice."}