House Bill No. HLS 25RS-620 proposes a constitutional amendment to address the unfunded accrued liability of the Teachers' Retirement System of Louisiana by repealing several existing funds, including the Education Excellence Fund, the Louisiana Education Quality Trust Fund, and the Louisiana Quality Education Support Fund. The assets from these repealed funds will be redirected to the Teachers' Retirement System, with a mandate for the state treasurer to transfer their liquidated fair market value by April 1, 2027. The bill also establishes a new section in the Louisiana Constitution that outlines the process for applying these funds to the retirement system's liabilities.

In addition to the fund transfers, the bill includes provisions for the Overcollections Fund, which will be designated for specific educational purposes, such as instructional enhancements for students from pre-kindergarten through twelfth grade. The use of these funds will be restricted to educational programs, explicitly prohibiting expenditures for maintenance, renovations, or salary increases. The legislation also requires that any net savings from payments to the Teachers' Retirement System be utilized as provided by law. The proposed amendment will be presented to voters in a statewide election on November 3, 2026, and is set to take effect on January 1, 2027, if approved.