Bill > HB4805

This bill amends the law governing the Children's Trust Fund, which is a charitable endowment fund managed by the Department of Treasury. The key change is to increase the percentage of the fund's "rolling average" that can be disbursed annually. The "rolling average" refers to the average value of the fund over the past 12 quarters, including any unrealized gains or losses, which provides a more stable measure of the fund's value than its current balance. Specifically, starting in fiscal year 2025, up to 8% of this rolling average can be disbursed, an increase from the previous limits of 4.25% or 5% depending on the fund's total value. This fund receives money from various sources, including appropriations from income tax, vehicle registration fees, and civil fines, and its investments are managed by the State Treasurer with specific guidelines. The bill also makes minor technical changes to the wording of the existing law, replacing "shall" with "must" in several instances to clarify mandatory actions.

Government Affairs

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-4805