HB237 • 2026

Education Opportunities Reserve Fund transfers for the fiscal year ending September 30, 2026

Education

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Garrett
Last action: 2026-04-09
Official status: Enacted
Effective date: 2026-04-09

Plain English Breakdown

The CHEER Fund transfer is conditional on other bills passing; if they do not pass, that part of this law does not take effect.

HB237: Moving Money to Education Funds for Fiscal Year 2026

This law moves $500 million from the Educational Opportunities Reserve Fund into two specific education funds during the fiscal year ending September 30, 2026.

What This Bill Does

Transfers a total of $500,000,000 from the Educational Opportunities Reserve Fund for the fiscal year ending in 2026.
Sends $399,150,000 to the RAISE Fund to continue and expand student excellence programs.
Sends $100,850,000 to the CHEER Fund to provide initial funding for higher education results.
Makes these transfers happen even if other state laws say something different about this money.

Who It Names or Affects

The Educational Opportunities Reserve Fund
The Renewing Alabama's Investment in Student Excellence (RAISE) Fund
The College and Higher Education Excellence and Results (CHEER) Fund

Terms To Know

Educational Opportunities Reserve Fund: A state fund that holds money set aside for education purposes.
RAISE Act: The Renewing Alabama's Investment in Student Excellence program, which focuses on student success.
CHEER Act: The College and Higher Education Excellence and Results program for higher education funding.

Limits and Unknowns

The transfer to the CHEER Fund only happens if House Bill 565 or Senate Bill 344 becomes law.
This act applies only to money moved during the fiscal year ending September 30, 2026.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

XDUYCEZ-1

R 873

Adopted

Plain English: This amendment moves $500 million from a state education savings account to two specific programs for the fiscal year ending in September 2026.

$399,150,000 is moved to the RAISE Fund to continue and expand student excellence efforts.
$100,850,000 is moved to the CHEER Fund to provide initial funding for college and higher education programs.

The transfer of money to the CHEER Fund only happens if a separate bill (HB 565 or SB 344) becomes law.
The exact details of how the RAISE Act will be expanded are not described in this text.

Bill History

2026-04-09 House
Enacted
2026-04-02 Senate
Motion to Read a Third Time and Pass - Adopted Roll Call 1104 (Yeas 33, Nays 0)
2026-04-02 Senate
Third Reading in Second House (Yeas 33, Nays 0)
2026-04-02 House
Delivered to Governor
2026-04-02 Senate
Signature Requested
2026-04-02 House
Enrolled
2026-04-02 House
Ready to Enroll
2026-04-02 House
Ready to Enroll
2026-04-01 Senate
Read for the Second Time and placed on the Calendar
2026-04-01 Senate
Reported Out of Committee Second House
2026-03-12 House
Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 874 (Yeas 104, Nays 0)
2026-03-12 House
Motion to Adopt - Adopted Roll Call 873 (Yeas 105, Nays 0)
2026-03-12 House
Third Reading in House of Origin (Yeas 104, Nays 0)
2026-03-12 Senate
Pending Committee Action in Second House
2026-03-12 Senate
Read for the first time and referred to the Senate Committee on Finance and Taxation Education
2026-03-12 House
Engrossed
2026-03-12 House
Ways and Means Education 1st Substitute Offered
2026-03-11 House
Read for the Second Time and placed on the Calendar
2026-03-11 House
Reported Out of Committee House of Origin
2026-03-11 House
Ways and Means Education 1st Substitute
2026-01-14 House
Pending Committee Action in House of Origin
2026-01-14 House
Read for the first time and referred to the House Committee on Ways and Means Education

Official Summary Text

This act transfers from the Educational Opportunities Reserve Fund, for the fiscal year ending September 30, 2026: (1) $399,150,000 to the Renewing Alabama's Investment in Student Excellence (RAISE) Fund for the continuation and expansion of RAISE Act; and (2) $100,850,000 to the College and Higher Education Excellence and Results (CHEER) Fund to provide initial funding to implement the CHEER Act.

Current Bill Text

Read the full stored bill text

HB237 ENROLLED
Page 0
HB237
XDUYCEZ-3
By Representative Garrett
RFD: Ways and Means Education
First Read: 14-Jan-26
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HB237 Enrolled
Page 1
First Read: 14-Jan-26
Enrolled, An Act,
To transfer $500,000,000 from the Educational
Opportunities Reserve Fund for the fiscal year ending September
30, 2026, as follows: $399,150,000 to the Renewing Alabama's
Investment in Student Excellence (RAISE) Fund; and $100,850,000
to the College and Higher Education Excellence and Results
(CHEER) Fund.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. Notwithstanding Section 29-9-4, Code of
Alabama 1975, during the fiscal year ending September 30, 2026,
$399,150,000 is transferred from the Educational Opportunities
Reserve Fund to the Renewing Alabama's Investment in Student
Excellence (RAISE) Fund established in Section 16-13-362, Code
of Alabama 1975, to be available for appropriation and used to
provide for the continuation and expansion of the Renewing
Alabama's Investment in Student Excellence (RAISE) Act pursuant
to Article 16, Chapter 13, of Title 16, Code of Alabama 1975.
Section 2. Notwithstanding Section 29-9-4, Code of
Alabama 1975, during the fiscal year ending September 30, 2026,
$100,850,000 is transferred from the Educational Opportunities
Reserve Fund to the College and Higher Education Excellence and
Results (CHEER) Fund established by House Bill or Senate Bill
of the 2026 Regular Session, or other act of the Legislature,
to provide initial funding to implement the CHEER Act. The
provisions of this section are only effective if House Bill 565
or Senate Bill 344 of the 2026 Regular Session is enacted.
Section 3. This act shall become effective immediately
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HB237 Enrolled
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Section 3. This act shall become effective immediately
following its passage and approval by the Governor, or its
otherwise becoming law.
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HB237 Enrolled
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otherwise becoming law.
________________________________________________
Speaker of the House of Representatives
________________________________________________
President and Presiding Officer of the Senate
House of Representatives
I hereby certify that the within Act originated in and
was passed by the House 12-Mar-26, as amended.
John Treadwell
Clerk
Senate 02-Apr-26 Passed
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