SAN FRANCISCO – At San Francisco City Hall on Tuesday, 17 first graders from Bryant Elementary School helped deposit the 11 millionth dollar into a college savings fund that will help each and every public school student in the city get a financial head start on higher education costs.
The youngsters were joined by Gov. Newsom, San Francisco Mayor Breed, California State Treasurer Fiona Ma and City Treasurer José Cisneros, who explained how the money will help them go to college.
“Who here is going to college?” Cisneros asked the kids sprawled on the carpeted floor.
“I’m not going to college,” one boy blurted out.
“We’ll talk about that later,” Cisneros responded. No doubt he will.
Cisneros and other state leaders have a common goal: They want to give all students an equal chance to pursue higher education. The gathering was part of a celebration and announcement that San Francisco now has amassed $11 million in funding for college savings for public school kids.
San Francisco students aren’t the only ones in California who will get a leg up to paying for exceedingly pricey college applications and tuition if they choose to pursue higher education, Breed said on Tuesday. More is on the way for kids across California. And recently, Los Angeles Unified launched a program that gives every first grader a $50 college savings account.
Newsom and Cisneros founded San Francisco’s program in 2011, when Newsom was mayor, pledging to deposit $50 into an account for every kindergartener. Newsom and his administration have since launched CalKids, a statewide program with the goal of putting kids, especially from low-income communities, on a “pathway to college” from a young age. The program will be accessible regardless of immigration status.
The state’s investment includes $170 million for incoming and eligible first-graders. All children born in the state after July 1 will have savings accounts opened for them, Newsom said. Every newborn will receive a $25 base deposit, and can receive up to $75 extra for registering an account online.
In July, all students in grades 1-12 will have savings accounts opened on their behalf, with those who are low-income receiving $500, with foster children or homeless youth receiving $500 more, up to $1,500 if they choose to attend college in the future.
The first set of accounts are expected to be opened for about 3.5 million students this year, with an estimated 300,000 students added each year after, said Danella Debel, a spokeswoman for Gov. Newsom’s office.
“It’s the first publicly funded universal child savings account program in the country,” according to a news release from Newsom’s office.
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“The accounts will be tax-advantaged, allow for investment growth potential for younger participants, and ensure capital preservation to accommodate high school students who will be withdrawing funds soon,” Debel said.
“Once low-income children from this cohort reach first grade at public school, the intent is to make base and supplemental deposits into these accounts, eliminating the need to set up new accounts for first graders every year,” she added.
Source: www.mercurynews.com