HB217 Alabama 2020 Session

Summary

Primary Sponsor

Pebblin W. WarrenRepresentative

Democrat

Session

Regular Session 2020

Title

Children First Trust Fund, appropriations from for fiscal year ending September 30, 2021, 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, appropriations from General Fund to various entities

Summary

HB 217 would redraw how the Children First Trust Fund and tobacco settlement funds are used in FY2021, directing revenues into the fund, setting quarterly agency allocations, moving some funds to the General Fund, and adding investment and oversight requirements.

What This Bill Does

Authorizes an appropriation of 40,427,150 from the Children First Trust Fund for FY2021 to designated agencies for the purposes specified in Section 41-15B-2.2. Requires tobacco settlement revenues to be deposited into the Children First Trust Fund within 30 days of receipt, and mandates written notification to each agency of anticipated allocations, quarterly allocations, and that allocations depend on tobacco revenues. Transfills the portion of Children First Trust Fund receipts currently allocated for the State Board of Education to the State General Fund during FY2021. Allocates 53,148,004 from other tobacco settlement funds for FY2021 to multiple entities, and allows additional tobacco revenue to be appropriated conditionally upon recommendations by finance and committee leaders and governor approval. Establishes a detailed plan of investment process overseen by the Department of Early Childhood Education, including quality assurance measures, reporting requirements, and notification to legislators before funds reach recipients.

Who It Affects

• State agencies listed in Section 1(a) (Alcoholic Beverage Control Board; Children's Trust Fund; Department of Forensic Sciences; Department of Human Resources; Juvenile Probation Services Fund; Alabama Medicaid Agency; Department of Mental Health; State Multiple Needs Children's Fund; Department of Public Health; Department of Rehabilitation Services; Department of Youth Services) will receive specified CF Fund allocations for FY2021.
• State Board of Education will lose its portion of funds currently allocated from the Children First Trust Fund and have those receipts transferred to the State General Fund in FY2021.
• Department of Early Childhood Education and the recipient agencies must implement and report on an approved plan of investment, with quarterly funding and quality assurance requirements, affecting how funds are used and measured.
• Legislative bodies (Joint Interim Legislative Oversight Committee and Alabama Children's Policy Council) receive investment plans and annual reporting on fund use; the Governor and finance chairs must approve certain additional tobacco revenue allocations.
• Entities receiving additional tobacco settlement funds in Section 3 (e.g., Department of Early Childhood Education, 21st Century Debt Service, Senior Services Trust Fund, Alabama Medicaid Agency, Department of Senior Services - Medicaid Waiver) will receive specified additional appropriations for FY2021.

Key Provisions

• Section 1(a): Appropriation from the Children First Trust Fund of 40,427,150 for FY2021 to named agencies in amounts listed (Alcoholic Beverage Control Board 426,500; Children's Trust Fund 2,612,313; Department of Forensic Sciences 511,212; Department of Human Resources 11,000,000; Juvenile Probation Services Fund 4,646,647; Alabama Medicaid Agency 1,685,236; Department of Mental Health 2,142,457; State Multiple Needs Children's Fund 4,350,550; Department of Public Health 4,698,154; Department of Rehabilitation Services 246,763; Department of Youth Services 8,107,318).
• Section 1(b): Tobacco settlement revenues deposited into the Children First Trust Fund within 30 days of receipt; the Director of Finance must notify each agency of anticipated allocations; agencies receive quarterly allocations that must be available within five working days of each quarter; allocations are conditioned on tobacco revenue availability.
• Section 2: Transfers the portion of Children First Trust Fund receipts currently allocated for the State Board of Education to the State General Fund during FY2021.
• Section 3: Appropriation from other tobacco settlement funds of 53,148,004 for FY2021 to: Department of Early Childhood Education 500,000; 21st Century Debt Service 16,000,000; Senior Services Trust Fund 1,425,727; Alabama Medicaid Agency 33,229,330; Department of Senior Services - Medicaid Waiver 1,992,947.
• Section 4: Any additional tobacco revenues available for FY2021 may be appropriated conditionally on recommendation of the Director of Finance and chairs of key committees and with Governor’s approval.
• Section 5: All CF Fund allotments occur only after the Commissioner of the Department of Early Childhood Education certifies an approved plan of investment for each agency; plans must include at least four quality assurance items, be auditable, and include measures of service reach and success; the Commissioner must notify area legislators 10 days before funds reach recipients.
• Section 6: The Commissioner must report approved plans to the Joint Interim Legislative Oversight Committee and the Alabama Children's Policy Council; adjusted plans may be approved upon agency request; funds should meet immediate needs of children.
• Section 8: The act becomes effective immediately upon passage and Governor approval.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Children First Trust Fund