Senate committee weighs allowing treasurer to run privately funded five-year baby bonds pilot

The Senate Committee on Economic Development, Housing & General Affairs on May 29 considered whether to concur with House amendments to S.122 that would allow the state treasurer to accept private funding and run a five-year baby bonds pilot program under sections 8–10 of the bill.

The pilot described in the proposed language would let the treasurer create a special fund to accept private grants, assemble an advisory committee and research partners, and require annual reports to the Legislature during the five-year pilot and a final report at the end of the period. The language does not appropriate state money, and the treasurer’s office said any implementation would rely on privately raised funds and, for administration, likely a contracted third-party program administrator.

Representative Abby Duke, the bill reporter from the House Commerce and Economic Development Committee, said the sections “basically take create some new language associated with, allowing the state treasurer to do a 5 year baby bonds pilot program.” Duke said the draft aligns the statute to permit the treasurer to raise private money and to design a time-limited,…