By: Brown S.B. No. 112
A BILL TO BE ENTITLED
AN ACT
1-1 relating to investing in the Texas tomorrow fund.
1-2 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-3 SECTION 1. Subsection (a), Section 142.004, Property Code,
1-4 is amended to read as follows:
1-5 (a) In a suit in which a minor or incapacitated person who
1-6 has no legal guardian is represented by a next friend, any money
1-7 recovered by the plaintiff, if not otherwise managed under this
1-8 chapter, may be invested:
1-9 (1) by the next friend in:
1-10 (A) the Texas tomorrow fund established by
1-11 Subchapter F, Chapter 54, Education Code; or
1-12 (B) interest-bearing time deposits in a
1-13 financial institution doing business in this state and insured by
1-14 the F.D.I.C.; or
1-15 (2) by the clerk of the court, on written order of the
1-16 court of proper jurisdiction, in:
1-17 (A) interest-bearing deposits in a financial
1-18 institution doing business in this state that is insured by the
1-19 Federal Deposit Insurance Corporation;
1-20 (B) United States treasury bills;
1-21 (C) an eligible interlocal investment pool that
1-22 meets the requirements of Sections 2256.016, 2256.017, and
1-23 2256.019, Government Code; or
1-24 (D) a no-load money market mutual fund, if the
2-1 fund:
2-2 (i) is regulated by the Securities and
2-3 Exchange Commission;
2-4 (ii) has a dollar weighted average stated
2-5 maturity of 90 days or fewer; and
2-6 (iii) includes in its investment
2-7 objectives the maintenance of a stable net asset value of $1 for
2-8 each share.
2-9 SECTION 2. Section 868, Texas Probate Code, is amended by
2-10 adding Subsection (f) to read as follows:
2-11 (f) If the trustee determines that it is in the best
2-12 interest of the ward, the trustee may invest funds of the trust in
2-13 the Texas tomorrow fund established by Subchapter F, Chapter 54,
2-14 Education Code.
2-15 SECTION 3. The importance of this legislation and the
2-16 crowded condition of the calendars in both houses create an
2-17 emergency and an imperative public necessity that the
2-18 constitutional rule requiring bills to be read on three several
2-19 days in each house be suspended, and this rule is hereby suspended,
2-20 and that this Act take effect and be in force from and after its
2-21 passage, and it is so enacted.