BILL ANALYSIS

S.B. 940

By: Taylor, Van

International Trade & Intergovernmental Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties note that the comptroller of public accounts is required to maintain a list of scrutinized companies that engage in certain business operations with the governments of Sudan or Iran. The parties further note that upon receiving this list, certain public retirement systems, including the Employees Retirement System of Texas and the Teacher Retirement System of Texas, are required to notify the comptroller of the listed companies in which the system owns direct or indirect holdings within a specified time period. The parties contend that the given time period is insufficient to effectively fulfill this statutory requirement. S.B. 940 seeks to address this issue.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

S.B. 940 amends the Government Code, for purposes of the prohibition against public retirement system investments in Sudan and Iran, to extend the period for notifying the comptroller of public accounts or the State Pension Review Board, as applicable, regarding any system ownership of direct or indirect holdings in the companies on the comptroller's or board's list of scrutinized companies engaging in certain business operations in those countries or with those countries' governments by changing the date by which each system must notify the comptroller or board, as applicable, from not later than the 14th day after the system receives the comptroller's or board's list of scrutinized companies to not later than the 30th day after the system receives such a list.

EFFECTIVE DATE

September 1, 2015.