Kansas treasurer and advocates back bill to send newborns information on savings accounts

The Kansas Senate Education Committee heard testimony supporting Senate Bill 304, the Born to Invest Act, which would authorize the state treasurer to receive specified birth‑record data from the registrar of vital statistics in order to distribute informational materials about government‑administered savings accounts to parents.

Tamara Lawrence, the committee reviser, told senators the bill would permit the registrar to provide data on children born in Kansas before July 1, 2026, who are currently eligible for these accounts and on children born on or after July 1, 2026. The bill requires data to be submitted in a secure electronic manner consistent with state and federal law and says nothing in the section authorizes disclosure of confidential or protected records.

Kansas State Treasurer Stephen Johnson said the measure would expand the treasurer’s financial‑literacy outreach. He described existing tools — 529 college‑savings plans, 529A (ABLE) accounts for people with disabilities, and an account referenced in testimony as a ‘Trump’ account — and said early, simple information can help families choose the tool that fits their goals. Johnson discussed risk management around timing and asset allocation, noted an anticipated July funding cycle for at least some federal seed money, and described outreach plans including a roundtable with the Financial Literacy Education Commission and other stakeholders.

Advocates told the committee they expect the bill to produce measurable benefits. Nathan Kessler, principal economist at Kansas Action for Children, cited research (including an Aspen Institute report referenced in his written testimony) and White House estimates about the impact of early seed investments; he said the federal $1,000 seed payment for babies born through 2028 and even modest parental contributions can yield substantially larger balances by age 18. Sarah Hart Weir of the Kansas Council on Developmental Disabilities and Whit Downing of the same council urged the committee to ensure families of children with disabilities learn about ABLE accounts early so savings do not jeopardize benefits.

Committee members pressed for specifics on privacy and opt‑outs. Senator Petty asked whether families can choose not to have their information provided; the reviser and Treasurer Johnson said the bill does not include an explicit family opt‑out and Johnson said his office could work with the committee and vital statistics on possible amendments to add one. Senators also asked whether the treasurer had coordinated with the Department of Health and Environment; Johnson said his office had attempted outreach in January but had not yet received a response.

No neutral or opponent testimony was presented during the hearing. Proponents asked the committee to consider that the bill is intended primarily to inform, not to mandate account opening, and to leave room for implementation details (data security, format, and opt‑out mechanisms) to be refined through interagency agreements.

What happens next: the committee closed proponent testimony on SB 304 and moved on to subsequent bills. Any changes addressing opt‑out language or interagency procedures would require amendment or follow‑up from the reviser and sponsors.

Quotes

"There are more options, and with that there are more opportunities that people can take advantage of," Kansas State Treasurer Stephen Johnson said, arguing for early outreach and education.

"Having that information early would have changed how my mom and my family navigated disability services from the very beginning," Whit Downing of the Kansas Council on Developmental Disabilities said of ABLE account information.

Ending

The committee closed the SB 304 hearing with supporters urging practical, low‑cost outreach; senators signaled interest in potential language to address family privacy and opt‑out options before any final action.