The bill amends existing laws regarding the investment of state funds, specifically focusing on the common school account within the permanent land fund. It decreases the annual spending policy amount from five percent (5%) to four and three-quarters percent (4.75%) for fiscal year 2026, and further reduces it to four and one-half percent (4.5%) for each fiscal year thereafter. Additionally, the bill specifies the distribution of investment earnings and federal mineral royalties, ensuring that appropriations are credited to the common school account and the common school permanent fund reserve account in equal amounts, unless the reserve account exceeds 420% of the spending policy amount.

The bill also makes conforming amendments to clarify the disposition of investment earnings and the appropriations process. It removes references to the "common school permanent fund reserve account" in certain sections and replaces them with "accounts specified in this paragraph," thereby streamlining the language. The effective date for the implementation of this act is set for July 1, 2025.

Statutes affected:
Introduced: 9-4-601, 9-4-719
Engrossed: 9-4-601, 9-4-719