Assembly Bill 286 proposes to lapse $172,000,000 to the general fund from a federal program revenue appropriation to the Department of Administration upon the bill's enactment. This action follows a report from the secretary of administration indicating that, as of the end of April 2025, the total interest earned on advanced coronavirus state and local fiscal recovery funds amounted to $171,487,101.82. Currently, miscellaneous receipts collected by state agencies, including interest earnings, are required to be credited to the general purpose revenues of the general fund unless specified otherwise by law.

The bill specifically addresses the interest earned on these recovery funds, ensuring that the substantial amount is redirected to the general fund. This legislative change aims to manage the financial implications of the coronavirus recovery efforts more effectively and to utilize the interest earnings for broader state funding needs.