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A BILL TO BE ENTITLED
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AN ACT
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relating to the investment authority of the Teachers Retirement |
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System of Texas and Employees Retirement System of Texas |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 815.301, Government Code, is amended to |
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read as follows: |
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(c) The board of trustees may contract with private |
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professional investment managers to assist the board in investing |
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the assets of the retirement system. In a contract made under this |
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subsection, the board of trustees shall specify at minimum 25 |
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percent of the services acquired be rendered by women-owned or |
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minority-owned private professional investment managers. The |
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board of trustees may not contract under this subsection for |
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investment and management services to be performed on or after |
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September 1, 2014. |
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SECTION 2. Section 825.301, Government Code, is amended to |
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read as follows: |
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(a-2) The board of trustees may delegate investment |
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authority and contract with one or more private professional |
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investment managers for investment and management of not more than |
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30 percent of the total assets held in trust by the retirement |
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system. In a contract made under this subsection, the board of |
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trustees shall specify any applicable policies, requirements |
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including at minimum 7.5 percent of the total assets are managed by |
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women-owned or minority-owned private professional investment |
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managers, or restrictions, including criteria for determining the |
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quality of investments or the use of standard rating services, that |
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the board of trustees adopts for investments of the system. The |
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board of trustees may not contract under this subsection for |
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investment and management services to be performed on or after |
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September 1, 2014 [2012]. |
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(b) In addition to the board's authority under Subsection |
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(a-2), the board of trustees may contract with private professional |
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investment managers, advisors, and consultants to assist and advise |
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the board and the staff of the retirement system in investing the |
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assets of the retirement system. In a contract made under this |
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Subsection, the board of trustees shall specify 25 percent of |
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private professional managers, advisors, and consultants are |
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women-owned or minority-owned private professional managers. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2009. |