LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 79TH LEGISLATIVE REGULAR SESSION

March 30, 2005

TO:	Honorable Craig Eiland, Chair, House Committee on Pensions & Investments
FROM:	John S. O'Brien, Deputy Director, Legislative Budget Board
IN RE:	HB815 by Burnam (Relating to a prohibition on the investment of state funds in private business entities doing business in Sudan.), As Introduced

This bill would prohibit state funds from being invested in equities or obligations of a private corporation or other private business entity doing business in the Democratic Republic of Sudan.  According to some of the state investing entities, the bill's restrictions would significantly reduce the rate of return the State earns on its investments.  In addition, the investing entities would incur additional administrative costs.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

304 Comptroller of Public Accounts, 323 Teacher Retirement System, 327 Employees Retirement System, 720 The University of Texas System Administration

LBB Staff:

JOB, SR, WP, DLBe