Bill Text: CA AB539 | 2021-2022 | Regular Session | Chaptered
Bill Title: State teachers’ retirement: investment managers and investment advisers: contracts.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Passed) 2021-10-07 - Chaptered by Secretary of State - Chapter 619, Statutes of 2021. [AB539 Detail]
Download: California-2021-AB539-Chaptered.html
Assembly Bill
No. 539
CHAPTER 619
An act to amend Section 22352 of the Education Code, relating to state teachers’ retirement.
[
Approved by
Governor
October 07, 2021.
Filed with
Secretary of State
October 07, 2021.
]
LEGISLATIVE COUNSEL'S DIGEST
AB 539, Cooley.
State teachers’ retirement: investment managers and investment advisers: contracts.
The California Constitution provides that the civil service includes every officer and employee in the state except as otherwise provided in the Constitution, and existing statutory law, the State Civil Service Act, prescribes a comprehensive civil service personnel system for the state.
Existing law, the Teachers’ Retirement Law, establishes the State Teachers’ Retirement System (STRS) and creates the Defined Benefit Program of the State Teachers’ Retirement Plan, which provides a defined benefit to members of the program, based on final compensation, credited service, and age at retirement, subject to certain variations. STRS is administered by the Teachers’ Retirement Board. Existing law authorizes the board, upon a finding by the board that necessary investment expertise is not available within existing civil service classifications, and with
approval of the State Personnel Board, to contract with qualified investment managers, as provided.
This bill would additionally authorize the board to contract with investment advisers, as defined, upon the same finding by the board and approval by the State Personnel Board. The bill would, pursuant to a policy adopted by the board, authorize the board to establish a competitive bidding process and to specify the contract terms and conditions the board solely deems necessary and prudent to contract with qualified investment managers and investment advisers.
