The bill establishes the "Innovation in State Government Fund," a nonreverting fund within the state treasury aimed at enhancing state agencies' capacity to address climate change. The fund will be composed of various financial contributions, including appropriations, gifts, and investment income, and will be administered by the Department of Finance and Administration. Funds can be appropriated to state agencies for creating master plans and increasing their capacity to achieve net-zero emissions, implement sustainable economic policies, provide technical support for grant applications related to climate change, and reduce barriers to implementing climate change policies.

Additionally, the bill outlines provisions for the use of the fund in case of insufficient general fund balances to meet authorized appropriations for a fiscal year, allowing the legislature to appropriate necessary amounts from the fund to avoid deficits. Agencies receiving funding must submit annual reports detailing their expenditure plans and justifications for any changes to their program structures. The bill also defines key terms such as "greenhouse gas," "net-zero emissions," and "sustainable economic policies," emphasizing the importance of job creation and economic diversification in the context of climate change initiatives.