BILL ANALYSIS

S.B. 81

By: Nelson

Public Health

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties note the importance of the Cancer Prevention and Research Institute of Texas (CPRIT) and its efficient operation in improving the lives of people impacted by cancer. S.B. 81 seeks to address issues relating to the management of certain benefits, the funding of awards granted by CPRIT, and certain reporting requirements.

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. 81 amends the Government Code to include a member of the Cancer Prevention and Research Institute of Texas (CPRIT) among the individuals considered to be appointed officers of major state agencies for purposes of statutory provisions relating to state officer personal financial disclosure, standards of conduct, and conflicts of interest.

S.B. 81 amends the Health and Safety Code to authorize the CPRIT oversight committee to conduct a closed meeting in accordance with state open meetings law to discuss issues related to managing, acquiring, or selling securities or other revenue-sharing obligations realized as a result of projects undertaken with money awarded from the cancer prevention and research fund. The bill replaces the 10 percent cap on the amount of money awarded from the fund that may be used for cancer prevention and control programs during any year with a 10 percent cap on the amount of money appropriated by the legislature for CPRIT grants in a state fiscal year that may be used for such programs during that year.

S.B. 81 authorizes the CPRIT oversight committee to transfer its management and disposition authority over the state's interest in securities, equities, royalties, income, and other benefits realized as a result of projects undertaken with money awarded from the fund to the Texas Treasury Safekeeping Trust Company, to whom the bill grants any power necessary to accomplish the purposes of managing and disposing of those assets. The bill authorizes the trust company, in managing such assets through procedures and subject to restrictions that the trust company considers appropriate, to acquire, exchange, sell, supervise, manage, or retain any kind of investment that a prudent investor, exercising reasonable care, skill, and caution, would acquire, exchange, sell, or retain in light of the purposes, terms, distribution requirements, and other circumstances then prevailing pertinent to each investment. The bill authorizes the trust company to charge a fee to recover the reasonable and necessary costs incurred in managing such assets.

S.B. 81 repeals Section 102.101(f), Health and Safety Code, which requires a person appointed to the oversight committee to disclose to CPRIT certain political contributions made by the person and requires CPRIT to post a report of such political contributions on its website and link to the report on the oversight committee's main web page.

EFFECTIVE DATE

September 1, 2017.