1-1     By:  Sibley                                           S.B. No. 1834
 1-2           (In the Senate - Filed March 24, 1999; March 25, 1999, read
 1-3     first time and referred to Committee on State Affairs;
 1-4     April 28, 1999, reported favorably by the following vote:  Yeas 8,
 1-5     Nays 0; April 28, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to authorized investments for entities subject to the
 1-9     Public Funds Investment Act.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Subsection (a), Section 2256.009, Government
1-12     Code, is amended to read as follows:
1-13           (a)  Except as provided by Subsection (b), the following are
1-14     authorized investments under this subchapter:
1-15                 (1)  obligations of the United States or its agencies
1-16     and instrumentalities;
1-17                 (2)  direct obligations of this state or its agencies
1-18     and instrumentalities;
1-19                 (3)  collateralized mortgage obligations directly
1-20     issued by a federal agency or instrumentality of the United States,
1-21     the underlying security for which is guaranteed by an agency or
1-22     instrumentality of the United States;
1-23                 (4)  other obligations, the principal and interest of
1-24     which are unconditionally guaranteed or insured by, or backed by
1-25     the full faith and credit of, this state or the United States or
1-26     their respective agencies and instrumentalities; [and]
1-27                 (5)  obligations of states, agencies, counties, cities,
1-28     and other political subdivisions of any state rated as to
1-29     investment quality by a nationally recognized investment rating
1-30     firm not less than A or its equivalent; and
1-31                 (6)  bonds issued, assumed, or guaranteed by the State
1-32     of Israel.
1-33           SECTION 2.  The importance of this legislation and the
1-34     crowded condition of the calendars in both houses create an
1-35     emergency and an imperative public necessity that the
1-36     constitutional rule requiring bills to be read on three several
1-37     days in each house be suspended, and this rule is hereby suspended,
1-38     and that this Act take effect and be in force from and after its
1-39     passage, and it is so enacted.
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