HBA-TBM H.J.R. 77 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.J.R. 77
By: Wilson
Pensions & Investments
4/1/2001
Introduced



BACKGROUND AND PURPOSE 

House Joint Resolution 77 proposes a constitutional amendment to restore
the traditional prudent person standard for investment of the permanent
university fund.  This resolution specifies that the board of regents of
The University of Texas System is authorized to acquire, exchange, sell,
supervise, manage, or retain any kind of investment that persons of
ordinary prudence, discretion, and intelligence, exercising the judgment
and care under the circumstances then prevailing, acquire or retain for
their own account in the management of their affairs, not in regard to
speculation but in regard to the permanent disposition of their funds,
considering the probable safety of their capital.  

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this resolution
does not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Joint Resolution 77 amends the Texas Constitution to restore the
traditional prudent person standard for investment of the permanent
university fund.   

FOR ELECTION

This proposed constitutional amendment shall be submitted to the voters at
an election to be held November 6, 2001.  If the voters approve the
amendment, H.J.R. 77 takes effect January 1, 2002.