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Students arrive at a Los Angeles Unified school in December 2015. Ringo Chiu/AFP/Getty Images
Students arrive at a Los Angeles Unified school in December 2015. (Ringo Chiu/AFP/Getty Images)

L.A. Unified May Create College Savings Accounts for its 640,000 Students

L.A. Unified May Create College Savings Accounts for its 640,000 Students

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The Los Angeles Unified school board is considering a proposal to open college savings accounts for all of its students to encourage more of them to enroll and graduate from college.

“This is part of a multilayered strategy to increase college access for students and families who have been traditionally excluded from this part of the American Dream,” said school board president Steve Zimmer, who authored the resolution.

If the plan is adopted, the school district would partner with the city of Los Angeles and outside groups, including the L.A. Area Chamber of Commerce, to hammer out the specifics of how the accounts would be opened. Zimmer said that L.A. City Councilman David Ryu approached him with the idea.

But there are lots of details to hammer out if L.A. Unified’s school board decides to move forward with the plan. Big questions include the cost of such a program to the school district, what financial institution would offer the accounts and how much seed money would go into each account.

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Zimmer said that he envisions opening accounts for every student with a $100 starting balance and matching funds for parent deposits. If the district were to open accounts for each of its current 640,000 students, the price tag would reach about $64 million.

Read the full story via KPCC

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