Gov. Ron DeSantis announces $1.3 billion cut to Florida Prepaid prices

State announces cut in costs to investors in prepaid college tuition program

JACKSONVILLE, Fla. – Florida’s governor chose Florida State College at Jacksonville’s Downtown campus to announce Monday the state was cutting prices of the Florida Prepaid college tuition program. He added that more than 200,000 people who have already bought into the program would get rebates, reports News 6 partner WJXT.

“This is great news for people who have been saving for college through Florida Prepaid,” Gov. Ron Desantis said. “I’m pleased to announce we’re going to be lowering Prepaid plan $1.3 billion, a reduction that benefits 224,000 current customers ... nearly half of the affect families will get refunds.”

Click the play button above to watch DeSantis’ full remarks.

Those making payments on current plans will have lower monthly payments and may be able to pay off the plan sooner. Some people who have paid off plans purchased in 2008 or later will receive an average cash refund of $4,700.

Those buying into new plans will see the lowest rates in five years at the same time that Florida’s University System ranked No. 1 among state university systems.

DeSantis said Florida has the largest, longest-running and most successful state college prepaid program in the nation.

The governor said the was possible because of lower-than-anticipated tuition increases and the board of Florida Prepaid plan, which has $14 billion in assets, voted to pass along the $500,00 in savings to those who invested in the program.

“Our goal has always been to empower and support Florida families by making college savings simple and affordable,” Florida Prepaid Chairman Mr. Rood added at Monday’s news conference. ““The gift of college is one of the greatest gifts we can give our children or our grandchildren. They are the future of Florida.”

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