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A BILL TO BE ENTITLED
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AN ACT
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relating to the procurement of investment and consulting services |
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by certain public retirement systems. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 802.002(a), Government Code, is amended |
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to read as follows: |
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(a) Except as provided by Subsection (b), the Employees |
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Retirement System of Texas, the Teacher Retirement System of Texas, |
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the Texas County and District Retirement System, the Texas |
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Municipal Retirement System, and the Judicial Retirement System of |
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Texas Plan Two are exempt from Sections 802.101(a), 802.101(b), |
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802.101(d), 802.102, 802.103(a), 802.103(b), 802.2015, 802.2016, |
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802.202, 802.203, 802.204, 802.205, 802.206, [and] 802.207, and |
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802.208. The Judicial Retirement System of Texas Plan One is exempt |
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from all of Subchapters B and C except Sections 802.104 and 802.105. |
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The optional retirement program governed by Chapter 830 is exempt |
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from all of Subchapters B and C except Section 802.106. |
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SECTION 2. Subchapter C, Chapter 802, Government Code, is |
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amended by adding Section 802.208 to read as follows: |
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Sec. 802.208. CONTRACTING FOR INVESTMENT OR CONSULTING |
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SERVICES. (a) The governing body of a public retirement system |
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shall issue a request for proposals and evaluate the proposals |
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received before entering into a contract for investment or |
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consulting services, including professional investment management |
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services. |
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(b) The term of a contract for investment or consulting |
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services entered into by the governing body of a public retirement |
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system may not exceed five years. |
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(c) This section does not prohibit the governing body of a |
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public retirement system from awarding a contract for investment or |
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consulting services to the same person. |
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SECTION 3. Section 802.208, Government Code, as added by |
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this Act, applies only to a contract for investment or consulting |
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services that is entered into or renewed by the governing body of a |
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public retirement system on or after the effective date of this Act. |
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SECTION 4. This Act takes effect September 1, 2019. |