Bill Text: TX SB1927 | 2015-2016 | 84th Legislature | Introduced
Bill Title: Relating to the investment of a portion of the economic stabilization fund balance.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2015-04-09 - Left pending in committee [SB1927 Detail]
Download: Texas-2015-SB1927-Introduced.html
| 2015S0474-2 03/13/15 | ||
| By: Seliger | S.B. No. 1927 | |
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| relating to the investment of a portion of the economic | ||
| stabilization fund balance. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Subchapter C, Chapter 404, Government Code, is | ||
| amended by adding Section 404.0241 to read as follows: | ||
| Sec. 404.0241. INVESTMENT OF CERTAIN ECONOMIC | ||
| STABILIZATION FUND BALANCES. (a) The comptroller, with the | ||
| approval of the Legislative Budget Board under Subsection (c), may | ||
| invest an amount of the economic stabilization fund equal to the | ||
| sufficient balance adopted under Section 316.092(d) for the | ||
| applicable state fiscal biennium in accordance with the investment | ||
| standard described by Section 404.024(j). The comptroller's | ||
| investment under this subsection is not subject to any other | ||
| limitation or other requirement provided by Section 404.024. | ||
| (b) The comptroller, with the approval of the Legislative | ||
| Budget Board under Subsection (c), shall adjust the investment | ||
| portfolio of economic stabilization fund money periodically to | ||
| ensure that, as appropriated money is withdrawn or money is | ||
| otherwise transferred from the fund or as the sufficient balance | ||
| adopted under Section 316.092(d) changes, only the amount of funds | ||
| specified by Subsection (a) is invested in a manner that does not | ||
| comply with all limitations and other requirements of Section | ||
| 404.024. | ||
| (c) Not later than February 1 of each year, the comptroller, | ||
| in consultation with the investment advisory board established | ||
| under Section 404.028, shall submit to the Legislative Budget Board | ||
| at least two investment plans detailing proposed investments under | ||
| Subsection (a) or adjustments under Subsection (b). At least one of | ||
| the proposed investment plans may not provide for any participation | ||
| by the Texas Treasury Safekeeping Trust Company. Not later than the | ||
| 30th day after the date of receiving proposed investment plans from | ||
| the comptroller, the Legislative Budget Board shall conduct and the | ||
| comptroller shall attend a public hearing on the proposed | ||
| investment plans. The Legislative Budget Board shall approve or | ||
| disapprove each proposed investment plan not later than the 10th | ||
| day after the date of the hearing. If, after the 10th day after the | ||
| date of a hearing, the Legislative Budget Board has not approved an | ||
| investment plan, the comptroller may, not later than the 40th day | ||
| after the date of the hearing, submit additional investment plans | ||
| to the board in the manner described by this section. | ||
| (d) Not later than January 1 of each year, the Legislative | ||
| Budget Board, in consultation with the comptroller, shall publish | ||
| an annual report on the risk-adjusted performance of investments | ||
| under this section during the fiscal year ending on the preceding | ||
| August 31. The comptroller shall provide the Legislative Budget | ||
| Board with the information the board requests regarding the | ||
| performance of the investments under this section and, at the | ||
| request of the board, shall appear before the board to present | ||
| information and receive questions and comments. The annual report | ||
| must include: | ||
| (1) statements of assets and a schedule of changes in | ||
| book value of the investments under this section; | ||
| (2) a summary of the gains, losses, and income from | ||
| investments under this section on August 31; | ||
| (3) an itemized list of the securities held as | ||
| investments under this section on August 31; and | ||
| (4) any other information needed to clearly indicate | ||
| the nature and extent of the investments under this section and the | ||
| income realized from those investments. | ||
| (e) The comptroller and the Legislative Budget Board shall | ||
| each make the report described by Subsection (d) available on the | ||
| respective agency's Internet website. | ||
| (f) Funds invested under this section are considered for all | ||
| purposes to be part of the economic stabilization fund. | ||
| SECTION 2. This Act takes effect immediately if it receives | ||
| a vote of two-thirds of all the members elected to each house, as | ||
| provided by Section 39, Article III, Texas Constitution. If this | ||
| Act does not receive the vote necessary for immediate effect, this | ||
| Act takes effect September 1, 2015. | ||
