House Bill No. 889, introduced by Representative Emerson, seeks to amend Louisiana law regarding the management and allocation of state treasury funds, particularly focusing on the Louisiana Education Quality Trust Fund and the Millennium Trust. A key feature of the bill is the establishment of the Louisiana Quality Education Support Fund, which will receive allocations from the Permanent Trust Fund. The bill modifies the distribution of funds from the Millennium Trust, directing a larger portion of proceeds from the Master Settlement Agreement to the TOPS Fund, which supports educational initiatives. It also repeals certain existing treasury funds and introduces new investment provisions, allowing the state treasurer to manage investments in a broader range of financial instruments, including stocks, with the potential for increased investment limits through legislative approval.

Additionally, the bill outlines changes to the appropriations process for the Health Excellence Fund and the TOPS Fund, ensuring that appropriations are limited to estimated annual earnings from investments. It removes references to the Education Excellence Fund and establishes it as a special fund within the Millennium Trust, while mandating the state treasurer to submit an annual performance report on the Millennium Trust to enhance accountability. The proposed law aims to streamline investment procedures and improve the financial management of state funds, aligning them with current market practices and regulations. The bill will take effect upon the adoption of a proposed amendment to Article 7 of the Louisiana Constitution at a statewide election.

Statutes affected:
HB579 Original: 17:3801(A), 17:3802(A)(1), 39:2(A), 39:3(A), 39:161(B)(3), 17:3801(B), 39:3(E), 39:3(C)
HB579 Engrossed: 17:3801(A), 17:3802(A)(1), 39:2(A), 39:3(A), 39:161(B)(3), 17:3801(B), 39:3(E), 39:3(C), 39:116(A)(9)