By Woolley                                            H.B. No. 3333
         Line and page numbers may not match official copy.
         Bill not drafted by TLC or Senate E&E.
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to permissible investments by deferred compensation plans
 1-3     for employees of political subdivisions.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Section 609.101, Government Code, is amended to
 1-6     read as follows:
 1-7           Sec. 609.101.  Definitions. In this subchapter:
 1-8                 (1)  "Deferred compensation plan" means a plan
 1-9     established under this subchapter.
1-10                 (2)  "Deferred compensation trust fund" means the fund
1-11     in which deferred amounts and investment income of participating
1-12     employees are temporarily held.
1-13                 (3)  "Investment product" includes a life insurance
1-14     policy, fixed or variable rate annuity, mutual fund, certificate of
1-15     deposit, money market account, [(and)] passbook savings account,
1-16     stocks, bonds, obligations, and any other investment products not
1-17     prohibited under either Section 457 or 401(k) of the Internal
1-18     Revenue Code, as applicable.
1-19           SECTION 2.  This Act takes effect September 1, 2001.