The House of Representatives reached the final deadline for introduction of bills on Wednesday. Several bills of interest to retirees were filed at the deadline. Two of these bills drastically change the investment authority for our state and local government retirement systems.
House Bill 1775: Retirement Systems/Investment Authority
(Primary Sponsor – Rep. Blust)
This bill would remove the sole authority to manage the investment of retirement systems funds from the State Treasurer and establish the Investment Management Board. This 11-member board would have the authority to approve or disapprove all investment decisions made by the Treasurer as custodian of the retirement systems. Appointments to the Board would be made as follows: five members appointed by the Governor, three by the President Pro Tem of the Senate, and three by the Speaker of the House. All members would be required to have a background in pension, institutional, or financial management.
House Bill 1806: Investment Authority to Retirement Board
(Primary Sponsors – Reps. Coleman, Faison, Stiller, and Hurley)
The bill transfers sole authority and responsibility as fiduciary for the investment of retirement systems funds from the State Treasurer to the Board of Trustees of the Retirement Systems. The bill makes no changes to the composition or qualification of the Board of Trustees. The bill also abolishes the Investment Advisory Committee.
