By Ellis                                              S.B. No. 1127
       74R6924 RJA-F
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to public funds investment pool portfolios.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Subchapter A, Chapter 2256, Government Code, is
    1-5  amended by adding Section 2256.0142 to read as follows:
    1-6        Sec. 2256.0142.  INVESTMENT POOL PORTFOLIO.  The portfolio of
    1-7  a public funds investment pool must be market to market daily and
    1-8  stabilize, to the extent reasonably possible, at a $1 net asset
    1-9  value.  If the ratio of the market value of the portfolio divided
   1-10  by the book value of the portfolio is less than 0.9965 or greater
   1-11  than 1.0035, portfolio holdings shall be sold as necessary to
   1-12  maintain the ratio between 0.9965 and 1.0035.
   1-13        SECTION 2.  This Act takes effect September 1, 1995.
   1-14        SECTION 3.  The importance of this legislation and the
   1-15  crowded condition of the calendars in both houses create an
   1-16  emergency and an imperative public necessity that the
   1-17  constitutional rule requiring bills to be read on three several
   1-18  days in each house be suspended, and this rule is hereby suspended.