The introduction of HB77 is expected to have a significant impact on the remuneration and qualification standards for state investment staff. By establishing a framework for pay parity, the bill aims to address disparities that exist between similar positions within and across state agencies. The allowance for alternative qualifications is designed to offer flexibility in hiring practices, which could lead to the inclusion of candidates with diverse experiences, thus enhancing the state’s investment management capabilities.
Summary
House Bill 77 aims to ensure pay parity for investment staff across various state agencies in New Mexico. The legislation mandates that the board, in consultation with relevant leaders, set classification and pay plans for positions related to investment management. These positions include the chief investment officer, deputy chief investment officer, and staff investment managers for the public employees retirement association, educational retirement board, state investment office, and treasurer's office. The bill further allows employers to consider alternative qualifications for these roles, broadening the scope of who can qualify based on experience and knowledge.
Contention
Notably, discussions surrounding HB77 may center on the implications of salary adjustments within state budgets and the potential impact on competition for qualified investment personnel. Critics may voice concerns over whether the bill could lead to increased costs for state agencies or if the provision for alternative qualifications might lower the bar for expertise required in crucial investment roles. Proponents, however, argue that these changes are necessary to attract and retain top talent in a competitive job market, ultimately benefitting state finances through improved investment returns.
Creates the State Retirement System Investment Committee and consolidates investment duties of the four state retirement systems into such commission (OR SEE ACTUARIAL NOTE)