Broad debate, close vote: proposal to let state invest general‑fund dollars in precious metals and digital assets fails
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Summary
House Bill 429 would have authorized a new state special revenue account for investments in precious metals and digital assets and proposed a $50 million transfer; after extensive floor debate about fiscal risk, transparency and the source of funds the bill failed second reading 41–59.
Representative Schommer sponsored House Bill 429 to authorize investment in precious metals and digital assets and to create a state special revenue account seeded by a legislative transfer (the bill’s fiscal note showed a proposed $50 million transfer). Proponents argued diversifying state holdings against inflation and seeking greater returns was prudent stewardship of excess state funds.
Opponents raised concerns about using general‑fund dollars for higher‑risk investments and said the proposal required clearer transparency, reporting and limits. Representative Gillette and multiple others questioned the purpose of the initial $50 million transfer and whether the account’s purpose had been adequately defined in the bill text. Representative Vinton and others urged using interest earnings from ARPA or other revenue rather than the general fund.
An amendment to replace the proposed general‑fund transfer with interest earnings on certain ARPA funds was offered and failed in a recorded vote (46–54). After lengthy debate and a cloture call, the Committee of the Whole recorded a second‑reading vote of 41 yes and 59 no; House Bill 429 did not advance.