(2) [The university plan; and] A 4-YEAR COLLEGE;
[(3) The two plus two plan.]

(3) A UNIVERSITY; OR

(4) ANY COMBINATION OF A COMMUNITY COLLEGE, COLLEGE, OR
UNIVERSITY.

(b) (1) For the purpose of entering into a higher education investment
contract, either the purchaser or the qualified beneficiary must be a resident of
Maryland at the time that the purchaser enters into the contract.

(2) For the purposes of determining residency for the purchase of a
higher education investment contract, "resident" has the meaning stated in §
10-101(h) of the Tax - General Article.

(c) The cost of a higher education investment contract shall be based on:

(1) The average current in-state tuition costs at the time the contract is
purchased at public institutions of higher education in the State;

(2) The number of years expected to elapse between the purchase of a
higher education investment contract and the use of the benefits of the contract; and

(3) The projected tuition costs at the time that the benefits will be

exercised.

(d) Each higher education investment contract made under the provisions of
this subtitle shall include the following provisions:

(1) The amount of each payment and the number of payments required
from a purchaser;

(2) The terms and conditions under which purchasers shall remit
payments, including the dates of the payments;

(3) Provisions for late payment charges and defaults;

(4) Penalties for early withdrawal from the Program;

(5) The amount and terms of any administrative fees that must be paid
by the purchaser or the beneficiary;

(6) The name and date of birth of the qualified beneficiary on whose
behalf the contract is made;

(7) Terms and conditions for a substitution for the qualified beneficiary
originally named;

(8) Terms and conditions for the termination of the contract;

(9) The time period during which the qualified beneficiary may claim
benefits from the Program;