The 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, rather than "shall." The state treasurer is granted the authority to invest the trust fund's assets similarly to an investment fiduciary under the public employee retirement system investment act, and must comply with the divestment from terror act when making investments. Additionally, the bill specifies that beginning in fiscal year 2025, up to 8% of the 12-quarter rolling average of the fund must be available for disbursement.

Other notable amendments include the clarification that money received as gifts or donations to the trust fund is available for disbursement upon appropriation and is not considered assets of the trust fund for certain calculations. The state treasurer is also required to prepare an annual accounting of revenues and expenditures from the trust fund, which must detail the interest and earnings, how they have been affected by investment options, and how any increased earnings have been expended. This accounting must be provided to the appropriations committees of both the Senate and House of Representatives.

Statutes affected:
House Introduced Bill: 21.171