State Treasurer Fiona Ma called Assembly Bill 132, signed by Governor Gavin Newsom, a “visionary plan and game-changer.” The bill implements the 2021-22 State Budget plan, which allocates $1.9 billion to fund college savings accounts of $500 each for 3.7 million low-income California public school students from first to 12th grade, starting in 2022. Students who are in foster care or are homeless will get an additional $500.
“This inspiring and ambitious program takes aim at a persistent and pernicious social inequity – unequal access to higher education,” said Treasurer Ma. “Providing college savings accounts to all low-income students sends a message that college is a possibility, and that if students pursue their higher education dreams, they will have help from California. In addition, increasing the number of residents who have a degree or some form of higher education will help California’s economy continue to prosper and thrive.”