Texas House Bill HB3878

Texas 2009 - 81st Regular

Caption

Relating to annual reporting of women and minority participation in the management and investment of the assets of a state investment fund.

Impact

If enacted, HB 3878 would require state investment funds to regularly evaluate and publish detailed reports regarding the risk-adjusted performance of funds, specifically assessing how women and minority-owned businesses participate in the management of these assets. This provision aims to promote diversity in the financial services sector and ensure these businesses receive fair consideration in investment opportunities.

Summary

House Bill 3878 focuses on enhancing transparency and accountability in the management and investment of state investment funds by establishing a requirement for annual reporting on the participation of women and minority-owned businesses. The bill seeks to amend sections of the Texas Government Code to define 'minority-owned' and 'women-owned' businesses and outline the reporting responsibilities of state boards handling investment funds.

Contention

There are notable points of contention surrounding the implementation of this bill, particularly concerning the measurement and interpretation of participation by minority and women-owned businesses. Some stakeholders may raise questions about the effectiveness of reports and whether they would lead to meaningful changes in investment practices. Others may argue about the potential bureaucratic burden placed on state investment boards and whether this requirement could impact financial performance.