AZ SB1589

Establishes the AZ529 Arizona's Education Savings Plan Baby Scholars Program, administered by the state treasurer.

Deposits $25 into 529 education savings accounts for eligible newborns and adopted children born or adopted on or after January 1, 2023, if an account is opened within one year of birth or adoption.

Requires account owners to meet income eligibility requirements based on federal free and reduced-price lunch program standards and be Arizona residents at the time of deposit.

Appropriates $1,250,000 from the state general fund in fiscal year 2022-2023 and each fiscal year thereafter to fund the program, with appropriations exempt from lapsing provisions.

Specifies that the $25 deposits do not disqualify recipients from any public benefits and allows the treasurer to retain up to 10 percent of fund monies for program administration.