HB562 Alabama 2012 Session

Summary

Primary Sponsor

Jim Barton

Republican

Session

Regular Session 2012

Title

Children First Trust Fund, appropriations from for fiscal year ending September 30, 2012, use of allocation pursuant to Section 41-15B-2.2 and this act, tobacco settlement revenues deposited in fund within 30 days of receipt, Finance Director to notify each agency of allocation, appropriations conditional on tobacco revenues, appropriation of additional tobacco settlement funds, audit, Children's Affairs Department to report to Legislature and Children's Policy Council

Summary

HB562 would appropriate funds from the Children First Trust Fund and tobacco settlement funds for FY 2013, require tobacco revenues to fund allocations, distribute funds quarterly with oversight, and set investment and reporting rules to ensure aid reaches children.

What This Bill Does

HB562 appropriates $41,045,827 from the Children First Trust Fund for FY2013 to specified agencies and programs, and $45,084,505 from other tobacco settlement funds to additional programs. It requires tobacco revenues to be deposited into the Children First Trust Fund within 30 days and distributed quarterly to agencies, with allocations conditioned on revenue receipts. It redirects the SBOE portion of CFTF receipts to the General Fund, authorizes a $1,000,000 payment to the University of South Alabama, and establishes plan-of-investment requirements, performance reporting, and oversight for fund use.

Who It Affects

• Children and families who receive services from programs funded by the Children First Trust Fund (e.g., child welfare services, juvenile probation, public health, youth services, mental health, and Medicaid-related programs) will see targeted funding for FY2013 and must be served under quarterly allocation schedules and investment plans.
• State agencies and entities involved in funding and oversight (including the Department of Children's Affairs, Department of Human Resources, Alabama Medicaid Agency, Department of Youth Services, Department of Public Health, Department of Mental Health, University of South Alabama, the State Board of Education, and legislative oversight bodies) will experience changes in funding flows, reporting requirements, and governance of allocations, including a transfer of SBOE funds to the General Fund and new plan-of-investment and reporting duties.

Key Provisions

• Appropriation of $41,045,827 from the Children First Trust Fund for FY2013 to designated agencies and purposes under Section 41-15B-2.2; appropriation of $1,000,000 to the University of South Alabama as partial satisfaction of a 1999 tobacco settlement.
• Appropriation of $45,084,505 from other tobacco settlement funds for FY2013 to specified entities, including Department of Children's Affairs, 21st Century Debt Service, Senior Services Trust Fund, Alabama Medicaid Agency, and Department of Senior Services - Medicaid Waiver.
• All tobacco revenues previously designated for the Children First Trust Fund shall be deposited into the fund within 30 days of receipt; allocations to agencies are made quarterly and conditioned on tobacco revenue receipts; the State Director of Finance must notify agencies of anticipated allocations and degrees of available funds.
• Portion of Children First Trust Fund receipts allocated to the State Board of Education shall be transferred to the State General Fund in FY2013.
• Any additional tobacco revenues available in FY2013 may be appropriated conditionally upon recommendations by the Director of Finance, the chairs of key budget committees, and Governor approval.
• Allocations from the Children First Trust Fund must be made only after a plan of investment has been approved for each agency, including at least four quality assurance items and periodic audit reporting; the Commissioner of the Department of Children's Affairs shall set reporting formats and require performance measures.
• The Commissioner of the Department of Children's Affairs must notify legislators for areas receiving grants 10 days before funds reach recipients; plans of investment must be reported to the Joint Interim Legislative Oversight Committee and the Alabama Children's Policy Council; adjusted plans may be approved upon agency request.
• Any unused funds at the end of the fiscal year shall remain in the Children First Trust Fund (not revert to General Fund) unless otherwise provided by subsequent law; act becomes effective immediately upon approval.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Children First Trust Fund