1-1 By: Armbrister S.B. No. 481
1-2 (In the Senate - Filed February 6, 1997; February 11, 1997,
1-3 read first time and referred to Committee on Intergovernmental
1-4 Relations; February 27, 1997, reported favorably by the following
1-5 vote: Yeas 7, Nays 3; February 27, 1997, sent to printer.)
1-6 A BILL TO BE ENTITLED
1-7 AN ACT
1-8 relating to investment of the volunteer Fire Fighters' Relief and
1-9 Retirement Fund.
1-10 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11 SECTION 1. Subsection (b), Section 14, Texas Statewide
1-12 Volunteer Fire Fighters Retirement Act (Article 6243e.3, Vernon's
1-13 Texas Civil Statutes), is amended to read as follows:
1-14 (b) In making investments of the fund, the commissioner and
1-15 the state board of trustees shall exercise the judgment and care,
1-16 under the circumstances prevailing at the time of the investment,
1-17 that persons of ordinary prudence, discretion, and intelligence
1-18 exercise in the management of their own affairs, not in speculation
1-19 but when making a permanent disposition of their funds, considering
1-20 the probable income from the disposition and the probable safety of
1-21 their capital [The surplus may be invested in:]
1-22 [(1) bonds or other interest-bearing obligations and
1-23 securities issued by governmental entities;]
1-24 [(2) shares or share accounts of savings and loan
1-25 associations insured by the Federal Savings and Loan Insurance
1-26 Corporation;]
1-27 [(3) shares and share accounts of banks insured by the
1-28 Federal Deposit Insurance Corporation;]
1-29 [(4) first lien real estate mortgage securities
1-30 insured by the Federal Housing Administration under the National
1-31 Housing Act, as amended;]
1-32 [(5) investments made by a life insurance company in
1-33 order to effect a group annuity contract;]
1-34 [(6) corporation bonds, preferred stocks, and common
1-35 stocks;]
1-36 [(7) mutual funds; and]
1-37 [(8) international stocks traded as American
1-38 depository receipts].
1-39 SECTION 2. The importance of this legislation and the
1-40 crowded condition of the calendars in both houses create an
1-41 emergency and an imperative public necessity that the
1-42 constitutional rule requiring bills to be read on three several
1-43 days in each house be suspended, and this rule is hereby suspended,
1-44 and that this Act take effect and be in force from and after its
1-45 passage, and it is so enacted.
1-46 * * * * *