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Amend HB 860 as follows:
(1) On page 7, line 19 strike the word "The" and insert in
lieu thereof "Except as provided in subsection (f),"
(2) Add a new subsection (f) on page 8, after line 25 to read
as follows:
(f) This subsection applies only to a university system, as
defined by Section 61.003(10), education code. The appropriation
for expenditure in any year of an amount greater than nine percent
of the fair market value of an endowment fund with an aggregate
value of $450 million or more, calculated on the basis of market
values determined at least quarterly and averaged over a period of
not less than three years immediately preceding the year in which
the appropriation for expenditure was made, creates a rebuttable
presumption of imprudence. For an endowment fund in existence for
fewer than three years, the fair market value of the endowment fund
must be calculated for the period the endowment fund has been in
existence. This subsection does not:
(1) apply to an appropriation for expenditure
permitted under law other than this chapter or by the gift
instrument; or
(2) create a presumption of prudence for an
appropriation for expenditure of an amount less than or equal to
nine percent of the fair market value of the endowment fund.
(3) Renumber subsequent subsections accordingly.