SRC-JEC S.B. 1908 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 1908
78R11774 JSA-DBy: Ellis, Rodney
Subcommittee on Higher Education
4/16/2003
As Filed


DIGEST AND PURPOSE 

Current law provides that the investment records of the nonprofit
investment management corporation handling assets under the fiduciary care
of The University of Texas System board of regents are public information.
As proposed, S.B. 1908 clarifies the disclosure of this information and
requires the continued disclosure of investment information by entities
with whom the board of regents contracts to follow certain guidelines. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 66.08, Education Code, by adding Subsection
(p), as follows: 

(p)  Requires the nonprofit corporation (corporation) or any other entity
with whom the board of regents of The University of Texas System (board)
contracts for the investment of the permanent university fund or other
funds under the management and control of the board to disclose to the
board, and to require any person with whom the corporation or other entity
enters into any agreement, including a limited partnership or joint
venture agreement, for investment of a portion of those funds, to disclose
to the board, the annual performance of all investments, joint ventures,
partnerships or limited partnerships, or other business activities that
the corporation, investing entity, or other person managed or participated
in managing on behalf of the board for the preceding five years.  Requires
the disclosure to include a general description of the nature of each of
those investments or other activities.  Provides that the information
disclosed is public information under Chapter 552 (Public Information),
Government Code.  Provides that this subsection does not require the
disclosure of information regarding the internal operations of any person
or of any investment, joint venture, partnership or limited partnership,
or other business activity managed by the person or of the name or
identity of any other person participating in an investment or other
activity for which disclosure is required. 

SECTION 2.  Effective date:  upon passage or September 1, 2003.