HB331 Alabama 2021 Session

Updated Feb 22, 2026

Summary

Primary Sponsor: Pebblin W. WarrenRepresentative
Democrat
Session: Regular Session 2021
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: HB331 redirects tobacco settlement funds to the Children First Trust Fund for FY2022, sets quarterly, revenue-dependent allocations, transfers a portion to the General Fund, and establishes investment planning and reporting requirements.
What This Bill Does
It allocates 40,368,723 from the Children First Trust Fund to multiple state agencies for FY2022 per the approved investment plan. It requires tobacco settlement revenues to be deposited into the Children First Trust Fund within 30 days of receipt and allocated quarterly when available. It transfers the portion of CF Trust Fund receipts currently allocated for the State Board of Education to the State General Fund in FY2022. It also appropriates 47,110,312 from other tobacco settlement funds for FY2022 to additional entities, with further conditional appropriations possible if approved by specified officials. The act requires investment plans with quality assurance measures, notification to legislators, and ongoing reporting to oversight bodies.

Who It Affects
State agencies receiving Children First Trust Fund allocations for FY2022 (e.g., Alcoholic Beverage Control Board, Children's Trust Fund, Department of Forensic Sciences, Department of Human Resources, Juvenile Probation Services Fund, Medicaid Agency, Mental Health, State Multiple Needs Children's Fund, Department of Public Health, Rehabilitation Services, Department of Youth Services) and the purposes for which funds are designated.
Department of Early Childhood Education, which must approve investment plans, oversee quarterly allocations, require quality assurance reporting, and notify legislators before funds reach recipients.
State General Fund, which will receive the portion of Children First Trust Fund receipts previously allocated to the State Board of Education for FY2022.
Legislative bodies and policy oversight groups (Joint Interim Legislative Oversight Committee and Alabama Children's Policy Council), which will receive plans and reports on investments and may be involved in modifications.
Additional tobacco settlement fund recipients (Early Childhood Education, 21st Century Debt Service, Senior Services Trust Fund, Medicaid, Medicaid Waiver) that would receive the new or expanded allocations.

Key Provisions
Provision 1: Appropriates 40,368,723 from the Children First Trust Fund for FY2022 to designated agencies per the approved plan of investment, with specific allocation amounts listed for each agency.
Provision 2: Requires all tobacco revenues previously designated for the Children First Trust Fund to be deposited into the fund within 30 calendar days of receipt.
Provision 3: Directs the Director of Finance to notify each agency and the Department of Early Childhood Education of anticipated allocations before September 1, 2021, for FY2022, with quarterly allocations starting when revenues are available.
Provision 4: States that allocations are conditioned upon receipt of tobacco revenues and that additional sums, if appropriated, be allocated across remaining quarters or in one sum when funds are available.
Provision 5: Transfers the portion of CF Trust Fund receipts currently allocated for the State Board of Education to the State General Fund during FY2022.
Provision 6: Appropriates 47,110,312 from other tobacco settlement funds for FY2022 to the Department of Early Childhood Education, 21st Century Debt Service, Senior Services Trust Fund, Alabama Medicaid Agency, and Medicaid Waiver.
Provision 7: Allows for additional tobacco revenue appropriations in FY2022 to be conditioned on the recommendation of the Director of Finance, chairs of key appropriations committees, and Governor’s approval.
Provision 8: Requires all allocations from the Children First Trust Fund to be made only after the Commissioner of the Department of Early Childhood Education certifies an approved plan of investment; plans must include at least four quality assurance items and be auditable, with progress reported to the legislature.
Provision 9: Requires the Commissioner to notify legislators 10 days before funds reach the recipient agency and to report plans to the Joint Interim Legislative Oversight Committee and the Alabama Children's Policy Council, with ability to adjust plans upon request.

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