MPACT Report Highlights Plan’s Need for Money
JACKSON, Miss. (AP) – A report on Mississippi’s prepaid college tuition program says it’s unlikely to earn enough money to meet investment expectations and calls for future contract purchasers to pay more.
However, it’s unclear if the Mississippi Prepaid Affordable College Tuition Program will ever take new enrollees. State Treasurer Lynn Fitch says consultants are still examining options, and won’t present recommendations for three or four more months.
Fitch released findings of the report Friday.
The board that runs MPACT suspended new enrollments in August, saying investment returns weren’t keeping up with rising tuition costs. The plan still has more than 22,000 contracts, and the state is required to pay full price of tuition for those enrollees.
Fitch said the plan now has about 77 percent of money it will need to pay benefits.