HR396: HR396 General Assembly; creation of Georgia's Children First Trust Fund; authorize - CA

This resolution asks Georgia voters to amend the state constitution to authorize a new fund called the Georgia's Children First Trust Fund. If created by law, the General Assembly would make a one-time $3 billion appropriation into the fund, drawn from the state's Revenue Shortfall Reserve (the state's savings account). Lawmakers could also choose to add more money later, though they would not be required to. Money in the fund would not be subject to Georgia's normal rule that unspent state funds lapse (revert) at the end of the budget year. Instead, the money would stay available to provide scholarships, grants, or other financial assistance for child care services. Part of the fund would be invested, and any investment returns would also go toward child care assistance. Because this is a constitutional amendment, it must be approved by Georgia voters in a statewide referendum before taking effect.

• Authorizes the General Assembly to create by law the Georgia's Children First Trust Fund to help pay for child care services statewide.
• Directs a one-time $3 billion appropriation into the fund from the state's Revenue Shortfall Reserve once the fund is created.
• Allows, but does not require, the General Assembly to appropriate additional money into the fund in future years.
• Exempts the fund's money from Georgia's constitutional rule that unspent state funds lapse at the end of the fiscal year.
• Requires part of the fund to be invested and reinvested, with investment returns used for child care scholarships, grants, or financial assistance.
• Places the proposed constitutional amendment on the ballot for Georgia voters to ratify or reject.

Georgia families seeking child care assistance, child care providers who may receive funding through scholarships or grants, the General Assembly and state budget officials who manage the Revenue Shortfall Reserve, and Georgia voters who must approve the amendment at the ballot box.

If voters approve it, Georgia would set aside a large, ongoing pool of money specifically for child care assistance instead of letting related state funds lapse or go unused, potentially expanding access to scholarships or grants for families and child care providers over time.

• Section 1 amends Article III, Section IX, Paragraph VI of the Georgia Constitution to add a new subparagraph authorizing the trust fund.
• The fund receives a one-time $3 billion appropriation from the Revenue Shortfall Reserve once created, with additional contributions left to the General Assembly's discretion.
• Fund money is exempted from the constitutional lapsing rule in Article III, Section IX, Paragraph IV(c), so it can carry over between budget years.
• A portion of the fund must be invested and reinvested as provided by law, and any returns must be used for child care scholarships, grants, or assistance.
• Section 2 requires the amendment to be published and submitted to voters under Article X, Section I, Paragraph II, with specific ballot language quoted in the resolution.

1. 2025-02-28House Second Readers (House)
2. 2025-02-27House First Readers (House)
3. 2025-02-26House Hopper (House)

• Lisa Campbell (D, HD-035)Primary sponsor
• Carolyn Hugley (D, HD-141)
• Tanya Miller (D, HD-062)
• Lydia Glaize (D, HD-067)
• Karlton Howard (D, HD-129)
• Carl Gilliard (D, HD-162)

• child care funding
• constitutional amendment
• state budget surplus
• Georgia ballot measures