Alabama Senate Bill SB79

Alabama 2023 Regular Session

• Introduced: 3/21/23
• Refer: 3/21/23

Caption

To make an appropriation of $39,097,848 from the Children First Trust Fund for the fiscal year ending September 30, 2024, to the entities and for the purposes designated in Section 41-15B-2.2, Code of Alabama 1975; to provide for the deposit of tobacco settlement revenues into the Children First Trust Fund; to require written notification of anticipated agency allocations by the State Director of Finance; to require quarterly allocations; to condition allocations on receipt of tobacco revenues; to provide for the transfer to the State General Fund during fiscal year 2024 that portion of Children First Trust Fund receipts currently allocated for the State Board of Education; to make an appropriation of $50,511,261 from other tobacco settlement funds for the fiscal year ending September 30, 2024; and to make a conditional appropriation and allocation of additional tobacco revenues upon the recommendation of the Director of Finance, the Chairman of the House Ways and Means General Fund Committee and the Chairman of the Senate Finance and Taxation-General Fund Committee, and the approval of the Governor.

Impact

The bill mandates written notifications of anticipated agency allocations by the State Director of Finance, and stipulates that allocations are to be conducted quarterly. Additionally, allocations are conditioned on the receipt of tobacco revenues, ensuring that the financial support for children’s programs aligns with income generated from tobacco settlements. This can have a significant impact on funding stability for relevant state agencies during the fiscal year.

Summary

SB79 is a legislative bill proposing an appropriation of $39,097,848 from the Children First Trust Fund for the fiscal year ending September 30, 2024. The bill details allocations to specific entities as designated in Section 41-15B-2.2 of the Code of Alabama 1975. It includes provisions for the deposit of tobacco settlement revenues into the trust fund, which aims to support programs related to child welfare and development.

Contention

One notable aspect of SB79 is the provision for the transfer of a portion of Children First Trust Fund receipts to the State General Fund during fiscal year 2024, which might raise concerns about the availability of funds for children's services. Moreover, the additional conditional appropriation of tobacco revenues upon recommendations from the Director of Finance and legislative leaders—along with the need for gubernatorial approval—may create potential areas of contention regarding the control and distribution of these funds.