SB147 Alabama 2025 Session

Summary

Primary Sponsor

Greg AlbrittonSenator

Republican

Session

2025 Regular Session

Title

Children First Trust Fund, appropriations from for fiscal year ending September 30, 2026, use of allocation pursuant to Section 41-15B-2.2, Code of Alabama 1975 and this act, tobacco settlement revenues deposited in fund within 30 days of receipt.

Summary

SB147 reallocates and appropriates tobacco settlement funds for FY2026 through the Children First Trust Fund, sets deposit and allocation rules, and adds reporting and oversight requirements.

What This Bill Does

The bill appropriates 36,616,436 from the Children First Trust Fund for FY2026 to designated agencies. It also appropriates 44,177,773 from other tobacco settlement funds for FY2026 to specific entities. Tobacco settlement revenues must be deposited into the Children First Trust Fund within 30 days of receipt, with quarterly allocations and allocations conditioned on receipt of tobacco revenues; a portion currently allocated to the State Board of Education would be transferred to the State General Fund in FY2026. Additional tobacco revenue, if available, may be appropriated conditionally upon recommendations by key officials and Governor approval, and any remaining funds stay in the Children First Trust Fund rather than reverting to the General Fund. The bill also requires plans of investment, quality measures, and regular reporting to oversight bodies, with protections and notifications to legislators.

Who It Affects

• State agencies and programs that receive appropriations from the Children First Trust Fund in FY2026 (examples include Alcoholic Beverage Control Board, Department of Human Resources, Department of Public Health, Department of Youth Services, Alabama Medicaid Agency, and others specified in the plan of investment). These agencies would receive funds in quarterly allocations and must follow the investment plan and reporting requirements.
• State fiscal officers and legislative oversight entities (Director of Finance, Governor, chairs of the House Ways and Means General Fund Committee and the Senate Finance and Taxation-General Fund Committee, Joint Interim Legislative Oversight Committee, and the Alabama Children's Policy Council) who manage, approve, monitor, and report on funding allocations and plans, including notifications to legislators and quarterly progress reporting.

Key Provisions

• Section 1: Appropriation of $36,616,436 from the Children First Trust Fund for FY2026 to agencies and purposes designated in Section 41-15B-2.2, with specified allocations per the approved plan of investment.
• Section 1(b): Tobacco settlement revenues designated for the Children First Trust Fund must be deposited within 30 days of receipt; at the start of each quarter in FY2026, agencies are allocated at least one-fourth of their total appropriation when funds are available, with equal quarterly allocations if funds are later available; allocations are contingent on receipt of tobacco revenues; SBOE allocations to the General Fund transfer in FY2026.
• Section 3: Additional appropriation of $44,177,773 from other tobacco settlement funds for FY2026 to several entities (including Department of Early Childhood Education, Medicaid, Senior Services, and related funds).
• Section 4: Any additional tobacco revenues available for FY2026 are conditionally appropriated upon recommendation by the Director of Finance, chairs of specified committees, and Governor approval.
• Section 5: Plan of investment required for each agency receiving funds, including at least four quality assurance items; the Department of Early Childhood Education sets investment standards and requires notification to legislators 10 days before funds reach recipients; funds must be expended in accordance with Section 41-15B-2.2; unspent funds stay in the Children First Trust Fund and do not revert.

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

Subjects

Appropriations