This bill amends the existing law regarding the state children's trust fund, which is established within the Department of Treasury. Key changes include the requirement that the fund "must" be expended only as specified in the law, replacing the previous language that stated it "shall" be expended. The state treasurer is granted the authority to invest the trust fund assets similarly to an investment fiduciary under the public employee retirement system investment act, and must comply with the divestment from terror act. Additionally, the bill specifies that beginning in fiscal year 2026, up to 8% of the 12-quarter rolling average of the fund must be available for disbursement.

Other notable amendments include the stipulation that money received as gifts or donations to the trust fund is available for disbursement upon appropriation, and that the annual accounting of revenues and expenditures must specifically identify the interest and earnings of the trust fund. The accounting must also detail how these amounts have been affected by the expanded investment options and how any increased earnings have been utilized. Overall, the bill aims to enhance the management and transparency of the children's trust fund while ensuring its resources are effectively allocated for child welfare initiatives.

Statutes affected:
Senate Introduced Bill: 21.171
As Passed by the Senate: 21.171