Baby Bonds: Investing in CT Children
House Speaker Matt Ritter, Governor Ned Lamont, Treasurer Erick Russell, Senate President Pro Tempore Martin Looney, and State Senator Pat Billie Miller announced that funding has been identified for CT Baby Bonds, a first-in-the-nation initiative that invests directly in Connecticut children born into poverty, that will allow the program to begin on-time and reduce the overall cost by over $200 million.
The agreement, which will require legislative action, repurposes available reserves set aside during the restructuring of the Teachers’ Retirement Fund in 2019 and replaces them with a relatively inexpensive insurance policy. As a result, $381 million will be available for deposit into the CT Baby Bonds Trust, reducing the overall cost of the program by more than $200 million while maintaining the amount invested in each child and allowing those investments to begin as scheduled for the first eligible babies beginning this July.
“With CT Baby Bonds we are providing a footing for families who often feel like they are stuck in financial quicksand. I want to thank Treasurer Russell, Governor Lamont, and my legislative colleagues for keeping the conversations going and finding solutions to ensure CT Baby Bonds are available to invest in Connecticut children."