Private firm begins MPACT audit; state leaders in disagreement

Auditors from a private firm out of Michigan were at the state treasurer’s office Wednesday loading up information and financial documents as they begin the process of examining Mississippi’s Prepaid College Tuition Program.

“Our program has continued to down spiral,” said State Treasurer Lynn Fitch.

Fitch requested an actuarial audit and froze the program to new enrollees because of what she says are red flags in the program’s sustainability. With a current $94 million shortfall and yearly return investments averaging just more than 4%, well below the calculated 7.8% needed to stay afloat, Fitch says the program needs to be evaluated.

WLBT
9/20/12