| 1 | 1 | | By: Rodriguez S.B. No. 1555 |
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| 2 | 2 | | (In the Senate - Filed March 10, 2011; March 23, 2011, read |
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| 3 | 3 | | first time and referred to Committee on Higher Education; |
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| 4 | 4 | | April 18, 2011, reported favorably by the following vote: Yeas 4, |
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| 5 | 5 | | Nays 2; April 18, 2011, sent to printer.) |
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| 6 | 6 | | |
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| 7 | 7 | | |
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| 8 | 8 | | A BILL TO BE ENTITLED |
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| 9 | 9 | | AN ACT |
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| 10 | 10 | | relating to the investment of the permanent university fund and |
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| 11 | 11 | | other funds under the management and control of the board of regents |
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| 12 | 12 | | of The University of Texas System. |
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| 13 | 13 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 14 | 14 | | SECTION 1. Section 66.08, Education Code, is amended by |
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| 15 | 15 | | adding Subsection (b-1) to read as follows: |
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| 16 | 16 | | (b-1) In awarding investment contracts to private |
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| 17 | 17 | | professional investment managers or in otherwise seeking or |
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| 18 | 18 | | acquiring private financial services in relation to its investments |
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| 19 | 19 | | under this section, the corporation shall make a good faith effort |
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| 20 | 20 | | to award contracts to or to seek or acquire services from qualified |
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| 21 | 21 | | emerging fund managers. |
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| 22 | 22 | | SECTION 2. Subsection (o), Section 66.08, Education Code, |
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| 23 | 23 | | is amended by adding Subdivisions (1-a) and (1-b) to read as |
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| 24 | 24 | | follows: |
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| 25 | 25 | | (1-a) "Emerging fund manager" means a professional |
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| 26 | 26 | | investment manager that manages assets of not more than $5 billion. |
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| 27 | 27 | | (1-b) "Financial services" includes pension fund |
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| 28 | 28 | | management, financial consulting, investment advising, brokerage |
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| 29 | 29 | | services, hedge fund management, private equity fund management, |
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| 30 | 30 | | and real estate investment. |
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| 31 | 31 | | SECTION 3. This Act takes effect immediately if it receives |
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| 32 | 32 | | a vote of two-thirds of all the members elected to each house, as |
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| 33 | 33 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 34 | 34 | | Act does not receive the vote necessary for immediate effect, this |
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| 35 | 35 | | Act takes effect September 1, 2011. |
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| 36 | 36 | | * * * * * |
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