HR 99: General Assembly; Baby Bond Savings Plan Trust Fund; authorize creation - CA

Georgia's Constitution generally requires that public money be spent only in exchange for some benefit to the state, which has blocked programs like 'baby bonds' that give money to individuals with no return required. This resolution proposes a constitutional amendment letting the General Assembly authorize the state or local governments to run baby bond savings programs without needing a benefit in return, and clarifies that money in such programs would not count as state debt or become state property. The resolution also lets the General Assembly create a Baby Bond Savings Plan Trust Fund run by a board, with money usable for higher education, buying a home, investments, or other purposes once a beneficiary reaches a certain age. Contributions to the fund would not lapse each year like most state money does. Because this is a constitutional amendment, it must be approved by Georgia voters in a statewide ballot before taking effect.

• Amends the Georgia Constitution to let the General Assembly spend public funds on baby bond savings programs without requiring a benefit back to the state in return.
• Declares that money in these baby bond programs is not counted against the state's constitutional debt limits and is not state property.
• Authorizes creation of a Baby Bond Savings Plan Trust Fund, run by a board set up under general law, to hold and manage baby bond money.
• Allows trust fund money to be used for higher education, buying a home, investments, or other purposes set by the board or triggered when a beneficiary reaches a certain age.
• Exempts contributions to the trust fund from the usual rule that unspent state funds lapse at year's end.
• Sends the proposed amendment to Georgia voters for a statewide yes-or-no vote.

Georgia voters, who would decide the amendment at the ballot box; state and local governments, which could set up baby bond programs; the future board managing the trust fund; and potential beneficiaries of baby bond accounts, likely children who could use the funds later for education, housing, or other purposes.

If ratified, Georgia could launch savings programs that give money to individuals such as children without requiring anything back from them, something the Constitution currently restricts. This would open the door to state-funded savings accounts for education, homeownership, or other future needs.

• Section 1 amends Article III, Section VI, Paragraph VI to authorize spending public funds on baby bond programs without requiring a benefit in return, and states such funds are not subject to constitutional debt limits or state property claims.
• Section 1 also redesignates an existing subparagraph about state highway employee indemnification from (g) to (h) to make room for the new provision.
• Section 2 amends Article III, Section IX, Paragraph VI to authorize a Baby Bond Savings Plan Trust Fund managed by a board created under general law.
• Section 2 specifies trust fund money can pay for higher education, home purchases, investments, or other board-approved purposes, and exempts deposits from normal fund-lapsing rules.
• Section 2 voids any appropriation from the trust fund other than for its stated purposes.
• Section 3 sets the exact ballot language voters will see and requires the amendment to be ratified by statewide vote before becoming part of the Constitution.

1. 2025-02-03House Second Readers (House)
2. 2025-01-30House First Readers (House)
3. 2025-01-29House Hopper (House)

• Kim Schofield (D, HD-063)Primary sponsor
• Carolyn Hugley (D, HD-141)
• Viola Davis (D, HD-087)
• Park Cannon (D, HD-058)
• Sandra Scott (D, HD-076)

• baby bonds
• constitutional amendment
• state trust fund
• child savings accounts
• higher education funding