Texas 2015 - 84th Regular

Texas House Bill HB2755 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	84R7656 KJE-D
2	2	By: Turner of Harris H.B. No. 2755
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the higher education fund, the management of
8	8	investments of the permanent university fund, and the allocation
9	9	and distribution of certain constitutional revenues to the
10	10	University of Houston.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Section 62.021, Education Code, is amended by
13	13	adding Subsection (g) to read as follows:
14	14	(g) Notwithstanding Subsection (a), the allocation made by
15	15	that subsection to the University of Houston is void, and any amount
16	16	allocated by that subsection to the University of Houston for a
17	17	state fiscal year after the state fiscal year ending August 31,
18	18	2015, is reallocated to the other eligible institutions listed in
19	19	Subsection (a) in that fiscal year in the manner provided by Section
20	20	17A, Article VII, Texas Constitution.
21	21	SECTION 2. The heading to Section 62.147, Education Code,
22	22	is amended to read as follows:
23	23	Sec. 62.147. INELIGIBILITY OF CERTAIN INSTITUTIONS
24	24	RECEIVING PERMANENT UNIVERSITY FUND SUPPORT AND MAINTENANCE.
25	25	SECTION 3. Sections 66.08(d) and (f), Education Code, are
26	26	amended to read as follows:
27	27	(d) The board of directors of the corporation shall have 11
28	28	[nine] members, determined as follows:
29	29	(1) seven members appointed by the board, of whom:
30	30	(A) three must be members of the board;
31	31	(B) three must have a substantial background and
32	32	expertise in investments; and
33	33	(C) one must be a qualified individual as
34	34	determined by the board, which may include the chancellor of The
35	35	University of Texas System; [and]
36	36	(2) two members appointed by the board of regents of
37	37	The Texas A&M University System, at least one of whom must have a
38	38	substantial background and expertise in investments; and
39	39	(3) two members appointed by the president of the
40	40	University of Houston, at least one of whom must have a substantial
41	41	background and expertise in investments.
42	42	(f) If an investment contract entered into under Subsection
43	43	(b) includes the permanent university fund within the scope of
44	44	funds under the control and management of the board to be invested
45	45	by the corporation, the board shall provide for an annual financial
46	46	audit of the permanent university fund. The audit shall be
47	47	performed by the auditors of The University of Texas System, [and]
48	48	The Texas A&M University System, and the University of Houston
49	49	System and presented to the board.
50	50	SECTION 4. As soon as practicable following the effective
51	51	date of this Act, The University of Texas Investment Management
52	52	Company shall amend its bylaws to allow the president of the
53	53	University of Houston to appoint two directors to the company's
54	54	board of directors as required by Section 66.08(d), Education Code,
55	55	as amended by this Act.
56	56	SECTION 5. This Act takes effect September 1, 2016, but only
57	57	if the constitutional amendment proposed by the 84th Legislature,
58	58	Regular Session, 2015, entitling the University of Houston to
59	59	participate in the income and other benefits of the permanent
60	60	university fund, takes effect. If that amendment is not approved by
61	61	the voters, this Act has no effect.