A. An individual development account may be established for an eligible individual; provided that the money deposited in the account is expended for allowable uses for the account owner or the account owner's spouse or dependents unless otherwise approved by the program administrator.

B. An individual development account program shall be approved and monitored by the director for compliance with applicable law, the Individual Development Account Act and rules adopted pursuant to that act.

C. The program administrator shall establish a reserve account sufficient to meet the matching fund commitments made to all account owners participating in the individual development account program and shall report at least quarterly to each account owner the amount of money available in the reserve account for use by the program administrator to match withdrawals for allowable uses. Notwithstanding any matching commitment otherwise required, the amount of state funds deposited in a reserve account during a calendar year to match deposits from any single account owner shall not exceed the higher of:

(1) two thousand dollars ($2,000); or

(2) an amount determined by rule of the office.

D. The program administrator shall provide financial education and other necessary training pertinent to allowable uses by account owners, develop partnerships with financial institutions, develop matching funds and manage the operations of an individual development account that is established within the program.

E. An eligible individual may open an individual development account upon verification by the program administrator that the individual maintains no other individual development account.

F. More than one eligible individual per household may hold an individual development account.

G. An account owner shall complete a financial education program prior to the withdrawal of money from the account owner's individual development account unless written approval is obtained from the program administrator.

History: Laws 2003, ch. 362, § 7; 2005, ch. 111, § 18; 2006, ch. 96, § 7; 2007, ch. 349, § 7.

The 2007 amendment, effective July 1, 2007, changes the title of the act and changes "family opportunity account" to "individual development account".

The 2006 amendment, effective July 1, 2006, changes "individual development account" to "family opportunity account" in Subsections A through F; changes "Individual Development Account Act" to "Family Opportunity Accounts Act" in Subsection B; changes "individual development account program" to "program administrator" in Subsections C and D; in Subsection C, provides a limitation on the amount of the deposit of state funds in a reserve account to match deposits from an account owner; and provides in Subsection G that the program administrator may permit withdrawal from an account before the owner completes a financial education program.

The 2005 amendment, effective April 4, 2005, changes the reference from the local government division to the office of workforce training and development.