W. Va. Code R. § 112-20-2

Current through Register Vol. XLI, No. 50, December 13, 2024

Section 112-20-2 - Definitions

2.1. "Account" means a Jumpstart Savings Program account, established pursuant to W. Va. Code § 18-30A-1et seq. and this rule. Any investment account issued by the board or the trust constitutes an interest in the Jumpstart Savings Program Trust and, for securities law purposes, is classified as a municipal fund security issued by the trust.

2.2. "Account owner" means the individual who establishes and owns an account and who is authorized to receive distributions, designate a beneficiary, select investment options, if applicable, and be eligible to receive any and all necessary state or federal tax documentation, according to W. Va. Code § 18-30A-1et seq. and this rule.

2.3. "ACH" means automated clearinghouse, a national EFT network which enables participating financial institutions to distribute electronic credit and debit entries to financial institution accounts and to settle the entries.

2.4. "Board" means the Board of Trustees of the West Virginia College and Jumpstart Savings Programs, established in W. Va. Code § 18-30-4. The term "board" shall also include the program manager or designee when referring to such tasks and duties delegated by the board.

2.5. "Cash" includes checks, money orders, wire transfers, or EFTs, but does not include currency.

2.6. "Contribution" means any payment directly allocated to an account for the benefit of a designated beneficiary or that is used to pay administrative or other fees associated with the account according to the procedures established by the board.

2.7. "Designated beneficiary" means the individual designated as a beneficiary at the time an account is established, or the individual designated as the beneficiary when the beneficiary is changed, according to the requirements of W. Va. Code § 18-30A-1et seq. and this rule.

2.8. "EFT" means electronic funds transfer through wire transfers, ACH, online transaction processing, payroll deduction, automatic contribution plans, or similar methods.

2.9. "Jumpstart Savings Program" or "program" means the Jumpstart Savings Program, established in W. Va. Code § 18-30A-1et seq.

2.10. "Jumpstart Savings Program Trust" or "trust" means the Jumpstart Savings Program Trust created in W. Va. Code § 18-30A-8.

2.11. "Jumpstart Savings Website" or "website" means the program website and/or account owner portal where account owners can access and transact on their accounts, as well as obtain program information, program documents, and program forms.

2.12. "Immediate family," as used to describe an individual's relationship to another individual, has the meaning provided in W. Va. Code § 18-30A-3 and includes any of the following:

2.12.1. The spouse of the designated beneficiary;

2.12.2. A child of the designated beneficiary or a descendant of the designated beneficiary's child;

2.12.3. A brother, sister, stepbrother, or stepsister of the designated beneficiary;

2.12.4. The father or mother of the designated beneficiary, or an ancestor of either;

2.12.5. A first cousin of the designated beneficiary;

2.12.6. A stepfather or stepmother of the designated beneficiary;

2.12.7. A son or daughter of a brother or sister of the designated beneficiary;

2.12.8. A brother or sister of the father or mother of the designated beneficiary;

2.12.9. A son-in-law, daughter-in-law, father-in-law, mother-in-law, brother-in-law, or sister-in-law of the designated beneficiary; or

2.12.10. The spouse of any person described in this section 2.12.

2.12.11. Any term set forth in this rule means and includes such term as established through a lawful adoption, including, but not limited to, adoptions of a child or children, or other individual, by an individual or individuals who are not the father, mother, or stepparent of the child or person.

2.13. "Individual" means a natural person and includes an individual acting as the individual's legal representative (for example, in his or her capacity as custodian of a trust established for the benefit of a natural person).

2.14. "Labor organization" means any organization, agency, association, union, or employee representation committee of any kind that exists, in whole or in part, to assist employees in negotiating with employers concerning grievances, labor disputes, wages, rates of pay, or other terms or conditions of employment.

2.15. "Non-qualified distribution" means any distribution of funds from an account that is not a qualified distribution for the purposes of W. Va. Code § 11-21-12m and § 18-30A-3(a)(11).

2.16. "Person" includes an individual, a trust, estate, partnership, association, company, or corporation.

2.17. "Program description and participation agreement" means the contract between an account owner and the board setting forth the terms and conditions under which the account owner participates in the program.

2.18. "Program manager" means the entity the board selects and designates to serve as the administrator of the program or a substantial function of the program, and to undertake any other program duties specified by the board.

2.19. "Qualified distribution" means any distribution of funds from an account, pursuant to a distribution request from the account owner, that is used to pay for qualified expenses.

2.20. "Qualified expenses" includes any expense treated as a qualified expense under W. Va. Code §18-30A-3(a)(11) and this rule.

2.21. "Qualifying profession" means an occupation or profession for which the designated beneficiary is required to:

2.21.1. Complete an apprenticeship program registered and certified with the United States Department of Labor, as provided in 29 U.S.C. § 50;

2.21.2. Complete an apprenticeship program required by any provision of the West Virginia Code or a legislative rule promulgated pursuant to said Code;

2.21.3. Earn an associate degree or certification from a community and technical college or from a school or program, authorized by the West Virginia Council for Community or Technical College Education or a similar agency in another state, to award associates degrees or technical certifications;

2.21.4. Earn a license or certification from an Advanced Career Education (ACE) career center;

2.21.5. Earn a license or certification from a career and technical education or vocational training program at a public secondary school; or

2.21.6. Complete any other apprenticeship or educational program consistent with the purposes of this article, as approved by the board.

2.22. "Rollover contribution" means the transfer of all or part of an account from a SMART529 College Savings account to a Jumpstart Savings account or from a Jumpstart Savings account to a West Virginia ABLE account, pursuant to and in accordance with the requirements of W. Va. Code § 11-21-12m.

2.23. "SMART529" refers to the college savings program and plan established in W. Va. Code § 18-30-1et seq.

2.24. "State Treasurer" means the West Virginia State Treasurer or his or her designee.

2.25. "West Virginia ABLE" means the program and plan established in W. Va. Code § 16-48-1et seq.

W. Va. Code R. § 112-20-2