HBA-SEB H.B. 3009 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3009
By: Greenberg
Pensions and Investments
4/19/1999
Introduced



BACKGROUND AND PURPOSE 

H.B. 3009 provides that all state agencies and local governments are
subject to the application of Chapter 2256, Government Code (Public Funds
Investment), unless otherwise exempt.  This bill requires an entity subject
to that chapter to meet its requirements applicable to the investment of
all funds held or invested by the entity, investment standards, including
the use of nationally recognized rating services for investments,
accounting standards for financial statements, compliance audits unless
otherwise exempt, and other practices and procedures advisable to ensure
prudent investment and accountability. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Provides that all state agencies and local governments are
subject to the application of Chapter 2256, Government Code (Public Funds
Investment), unless otherwise exempt.  Requires an entity subject to that
chapter to meet its requirements applicable to the investment of all funds
held or invested by the entity, investment standards, including the use of
nationally recognized rating services for investments, accounting standards
for financial statements, compliance audits unless otherwise exempt, and
other practices and procedures advisable to ensure prudent investment and
accountability. 

SECTION 2.Emergency clause.
  Effective date: upon passage.