By: Huffman, et al.	S.B. No. 1333
	(Bonnen)

	A BILL TO BE ENTITLED
	AN ACT
	relating to the creation of the Texas state buildings preservation
	endowment fund, including the transfer to the fund of the
	unencumbered balances of certain other funds.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 443.0102(b), Government Code, is amended
	to read as follows:
	(b)  The Capitol fund created by Section 443.0101 and the
	Texas state buildings preservation endowment fund created by
	Section 443.0103 are [is] not subject to Subchapter F, Chapter 404.
	A provision of this chapter or other law that provides for the
	deposit of money or another thing of value into the Capitol fund or
	the Texas state buildings preservation endowment fund prevails over
	Subchapter F, Chapter 404.
	SECTION 2.  Section 443.0103, Government Code, is amended to
	read as follows:
	Sec. 443.0103.  TEXAS STATE BUILDINGS PRESERVATION
	ENDOWMENT [CAPITAL RENEWAL TRUST] FUND. (a) In this section:
	(1)  "Fund" means the Texas state buildings
	preservation endowment fund.
	(2)  "Trust company" means the Texas Treasury
	Safekeeping Trust Company.
	(b)  The Texas state buildings preservation endowment
	[capital renewal trust] fund is created as a [trust] fund outside
	the treasury. The purpose of the fund is to maintain, preserve,
	rehabilitate, and restore the state buildings and grounds over
	which the board has jurisdiction [with the comptroller and shall be
	administered by the board, as a trustee on behalf of the people of
	this state, to maintain and preserve the Capitol, the General Land
	Office Building, their contents, and their grounds].
	(c)  The fund consists of:
	(1)  money transferred or appropriated to the fund by[:
	[(1)  at the direction of] the legislature, including
	money transferred to the fund from the former capital renewal trust
	fund, Governor's Mansion renewal trust fund, and State Cemetery
	preservation trust fund; [or]
	(2)  gifts, grants, and donations contributed to the
	fund for a purpose for which money in the fund may be used under [in
	accordance with] this section; and
	(3)  any returns received from the investment of money
	in the fund.
	(d)  The trust company shall hold, manage, and invest the
	fund, and shall determine the amount available for distribution
	from the fund each year in accordance with a distribution policy
	adopted by the comptroller. The distribution policy must be
	designed to preserve the purchasing power of the assets of the fund,
	provide a stable and predictable series of annual distributions
	from the fund, and meet the liquidity needs of the fund as
	necessary. The expenses of managing the fund and its assets shall
	be paid from the fund. Except as otherwise provided by this
	section, money [(b)  Money] in the fund may not be used [only] for
	any other [the] purpose.
	(e)  In managing the assets of the fund, through procedures
	and subject to restrictions the trust company considers
	appropriate, the trust company may acquire, exchange, sell,
	supervise, manage, or retain any kind of investment that a prudent
	investor, exercising reasonable care, skill, and caution, would
	acquire or retain in light of the purposes, terms, distribution
	requirements, and other circumstances of the fund then prevailing,
	taking into consideration the investment of all the assets of the
	fund rather than a single investment. At the request of the trust
	company, the board shall provide the trust company with information
	the trust company determines is necessary to ensure that the trust
	company is able to achieve the objectives specified by Subsection
	(d).
	(f)  The board annually may request a distribution from the
	fund in an amount that may not exceed the amount the trust company
	determines is available for distribution in the applicable year
	under Subsection (d). Money distributed from the fund to the board
	may be used only for the purpose of maintaining, [and] preserving,
	rehabilitating, and restoring the buildings [the Capitol, the
	General Land Office Building, their contents,] and [their] grounds
	over which the board has jurisdiction. The board shall allocate to
	projects at the Bob Bullock Texas State History Museum an amount
	equal to at least one-third of each annual distribution from the
	fund under this subsection, other than the portion of the
	distribution made using money transferred to the fund from the
	former capital renewal trust fund, Governor's Mansion renewal trust
	fund, and State Cemetery preservation trust fund. The board, with
	the written approval of the Legislative Budget Board, may use money
	received from an annual distribution under this subsection to
	acquire land in close proximity to the State Cemetery for expansion
	of the cemetery. The board may not use money received from an
	annual distribution under this subsection to pay salaries, employee
	benefits, costs associated with employee benefits, or
	administration, operating, or program costs of the board or the
	buildings and grounds over which the board has jurisdiction.
	(g)  Subject to Subsection (h) and not more frequently than
	once each calendar year, the board may request an additional
	distribution from the fund in an amount that exceeds the amount the
	trust company determines is available for distribution from the
	fund in that year under Subsection (d). An additional distribution
	under this subsection may be used for a purpose described by
	Subsection (f). The trust company may not make an additional
	distribution under this subsection if the distribution would
	negatively affect the purchasing power of the assets of the fund as
	determined by the terms of the distribution policy adopted by the
	comptroller under Subsection (d).
	(h)  The board may receive an additional distribution from
	the fund under Subsection (g) only after the board certifies to the
	Legislative Budget Board that:
	(1)  the board has reviewed and approved the use of the
	money;
	(2)  all purchases made with the money will conform to
	any applicable provision of law governing state procurement and
	contracting; and
	(3)  the money will not be used to:
	(A)  pay salaries, employee benefits, costs
	associated with employee benefits, or administration, operating,
	or program costs of the board or the buildings and grounds over
	which the board has jurisdiction;
	(B)  except as provided by Subsection (f), acquire
	new historic sites or real property; or
	(C)  purchase capital equipment that is not
	related to the rehabilitation or restoration of a building or
	grounds.
	(i)  All expenditures by the board under this section are
	subject to audit by the state auditor.
	(j)  The board shall include in the strategic plan submitted
	under Section 2056.002 a report on each project funded using money
	in the fund during the two-year period preceding the date on which
	the board submits the plan and a list of each project the board
	anticipates will be funded using money in the fund for the period
	covered by the plan.
	[(c)  The interest received from investment of money in the
	fund shall be credited to the fund.
	[(d)  The board may transfer money from any account of the
	Capitol fund to the capital renewal trust fund, other than money
	that was donated to the board, derived from a security or other
	thing of value donated to the board, or earned as interest or other
	income on a donation to the board, if the board determines that
	after the transfer there will be a sufficient amount of money in the
	applicable account of the Capitol fund to accomplish the purposes
	for which the account was created.
	[(e)  The board may transfer money from the capital renewal
	trust fund to any account of the Capitol fund, provided that money
	transferred shall only be used for the purposes outlined in
	Subsection (b).]
	SECTION 3.  Effective September 1, 2024, the following
	provisions of the Government Code are repealed:
	(1)  Section 443.0295;
	(2)  Section 2165.2565, as added by Chapter 72 (S.B.
	574), Acts of the 84th Legislature, Regular Session, 2015; and
	(3)  Section 2165.2565, as added by Chapter 932 (H.B.
	2206), Acts of the 84th Legislature, Regular Session, 2015.
	SECTION 4.  On September 1, 2024, the Governor's Mansion
	renewal trust fund and the State Cemetery preservation trust fund
	are abolished and the unencumbered balances of those funds are
	transferred to the comptroller of public accounts for deposit in
	the Texas state buildings preservation endowment fund created under
	Section 443.0103, Government Code, as amended by this Act. Money
	transferred under this section is available for expenditure in the
	manner prescribed by Section 443.0103, Government Code, as amended
	by this Act, except that the requirement that one-third of the
	amount spent be used as required by Subsection (f) of that section
	does not apply to money transferred under this section.
	SECTION 5.  On September 1, 2024, the unencumbered balance
	of the capital renewal trust fund is transferred to the comptroller
	of public accounts for deposit in the Texas state buildings
	preservation endowment fund created under Section 443.0103,
	Government Code, as amended by this Act. Money transferred under
	this section is available for expenditure in the manner prescribed
	by Section 443.0103, Government Code, as amended by this Act,
	except that the requirement that one-third of the amount spent be
	used as required by Subsection (f) of that section does not apply to
	money transferred under this section.
	SECTION 6.  Except as otherwise provided by this Act, this
	Act takes effect September 1, 2023.