What's happening
This bill allows family tuition accounts to be used for substance use disorder treatment, including detoxification and rehabilitation, for beneficiaries.
Why it matters
Expands flexibility for families. By allowing family tuition accounts to cover substance use disorder treatment, families gain more options to address urgent health needs without financial penalty or complex withdrawal rules.
Acknowledges addiction as a barrier to education. The bill recognizes that substance use disorders can interrupt or derail educational progress, and supports recovery as an essential step toward academic and life success.
Promotes comprehensive treatment. The requirement for at least fifteen hours of treatment, including educational components, helps ensure that withdrawals are used for substantial, structured recovery efforts and not for unproven or incomplete treatments.
May reduce stigma and financial burden. Treating substance use disorder expenses as a “qualified” withdrawal—on par with tuition or other educational costs—could help destigmatize addiction and lessen out-of-pocket costs for affected families.
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Who cares
Family tuition account owners
The bill would let them make qualified withdrawals to fund substance use disorder treatment for their designated beneficiary.
Designated beneficiaries with substance use disorder
They could receive account-funded treatment, including detoxification and rehabilitation, consisting of at least fifteen hours and including classroom instruction.
Substance use disorder treatment providers
The bill would create an account-funding option for treatment that meets its duration and classroom instruction requirements.
State education officials
The commissioner would determine suitable areas for the classroom instruction required as part of qualifying treatment.
Headline styles
Let Tuition Accounts Fund Rehab
Plain English, a few words. Used as the page title.
Sponsors
History
- Referred to higher education
- Referred to higher education
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Let Tuition Accounts Fund Rehab
In Senate Committee · Higher Education · Sponsor Robert Rolison
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
1477
2025-2026 Regular Sessions
IN ASSEMBLY
January 10, 2025
Introduced by M. of A. SLATER -- read once and referred to the Committee on Higher Education
AN ACT to amend the education law, in relation to family tuition account withdrawals for treatment of substance use disorder
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 5 of section 695-e of the education law, as amended by chapter 593 of the laws of 2003, is amended to read as follows:
5. a. An account owner may withdraw all or part of the balance from an account on sixty days notice or such shorter period as may be authorized under rules governing the program. Such rules shall include provisions that will generally enable the determination as to whether a withdrawal is a nonqualified withdrawal or a qualified withdrawal.
b. For purposes of this subdivision, a qualified withdrawal shall include a withdrawal in which the account owner withdraws all or part of a balance from an account to fund treatment of substance use disorder, including detoxification and rehabilitation, for the designated beneficiary. Such treatment shall consist of at least fifteen hours and include, but need not be limited to, classroom instruction in areas deemed suitable by the commissioner.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01582-01-5
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.