Home Encyclopedia Standards of Excellence Reauthorization LearnStudentAid.org Parents & Students
 
NASFAA
1101 Connecticut Avenue, NW, Suite 1100
Washington, DC 20036-4303

Phone: 202-785-0453
Fax: 202-785-1487
Web@NASFAA.org

Financial Aid in the News

Tennessee: Prepaid Tuition Plan May Succumb to Unsteady Economy (The Tennessean)

"With tuition increases outpacing investment returns, the state is considering a variety of options, including suspending a program through which parents buy future college tuition credits in today's dollars," The Tennessean reports. "State Treasurer David Lillard Jr. could recommend suspending new enrollment in the prepaid tuition plan, among the possibilities, depending on findings from an analysis of assets and liabilities later this year, said Blake Fontenay, his spokesman. A snapshot taken a year ago found a $12.7 million deficit, although the state's treasury department, which administers the program, said there was enough money to cover at least a decade's worth of tuition expenses. Keeping enrollment open would bring in more funds to help with short-term obligations, but would also increase long-term liabilities, officials said."

You can read the complete August 28, 2009 Tennessean article on-line.

Posting of "Financial Aid in the News" does not imply endorsement or support by NASFAA. If you attempt to access an article and receive a "not found" message, it is likely that the article has been removed from the site. Posted 08/28/09 to www.NASFAA.org. Please submit Web site questions or comments to Web@NASFAA.org.