Roadrunner Capitol Reports
Legislation Detail

SB 159/a HIGHER EDUCATION TRUST FUND

Sen Pete Campos

Actions: [2] SCC/SEC/SFC-SCC [4]germane-SEC [6] DP/a-SFC- DP - PASSED/S (37-5) [9] HEC/HAFC-HEC [11] w/drn-HAFC [12] DP [14] PASSED/H (43-18) SGND BY GOV (Mar. 5) Ch. 61.

Scheduled: Not Scheduled

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Summary:
 Senate Bill 159 (SB 159) creates the Higher Education Trust Fund and Higher Education Program Fund. SB 159 transfers $959 million dollars from the Tax Revenue Stabilization Reserve to the trust fund and provides for an annual distribution. 
Legislation Overview:
 Senate Bill 159 (SB 159) creates the Higher Education Trust Fund (trust fund) administered by the state investment officer who will provide quarterly and annual reports to pertinent bodies. The trust is intended to fund Higher Education Department programs.

SB 159 also creates the Higher Education Program Fund (program fund). 

Annually a distribution from the trust fund into the program fund in an amount equal to 5% of its three-year average value. Should General Fund (GF) obligations become unmet, money may be moved from the trust fund by legislative action only after other contingency and reserve funds are exhausted. Otherwise, program funds do not revert to GF.

SB 159 authorizes a transfer of $959 million from the Tax Stabilization Reserve to the trust fund.
 
Amendments:
 Amended January 31, 2024 in SEC

SECa/SB 159: The Senate Education Committee amends Senate Bill 159 as follows:

In Section 1 (page 2, line 14) the Senate Education Committee provides for a distribution from the trust fund to the program fund in the amount of $47.95 million. 

In Section 1 (page 2, line 15) the date of distribution begins in year 2025 and each July 1 after.