BILL NUMBER: SB 2122	CHAPTERED  09/07/00

	CHAPTER   320
	FILED WITH SECRETARY OF STATE   SEPTEMBER 7, 2000
	APPROVED BY GOVERNOR   SEPTEMBER 4, 2000
	PASSED THE ASSEMBLY   AUGUST 18, 2000
	PASSED THE SENATE   MAY 31, 2000
	AMENDED IN SENATE   MAY 26, 2000
	AMENDED IN SENATE   APRIL 24, 2000

INTRODUCED BY   Senator Ortiz

                        FEBRUARY 25, 2000

   An act to repeal and add Chapter 21.4 (commencing with Section
7515) of Division 7 of Title 1 of the Government Code, relating to
public retirement fund investments.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 2122, Ortiz.   Retirement systems:  investments: information
sharing.
   The California Constitution provides that the retirement boards of
public pension or retirement systems have plenary authority over the
assets of their respective systems, subject to their fiduciary
duties to the systems' members.
   This bill would  state that the Public Employees' Retirement
System and the State Teachers' Retirement System are authorized and
encouraged to cooperate and share information that may assist them in
developing and implementing appropriate investment strategies, with
the advice of investment experts, as specified.  It would specify
that confidential information or documents relating to investments in
the possession of either system would not lose their confidential
status due to the fact that the information or documents are shared
with the other system or with investment advisors.  It also would
delete obsolete provisions.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  This act shall be known and may be cited as the Joint
Retirement System Investment Information Sharing Act of 2000.
  SEC. 2.  Chapter 21.4 (commencing with Section 7515) of Division 7
of Title 1 of the Government Code is repealed.
  SEC. 3.  Chapter 21.4 (commencing with Section 7515) is added to
Division 7 of Title 1 of the Government Code, to read:

      CHAPTER 21.4.  JOINT RETIREMENT SYSTEM INVESTMENT  INFORMATION
SHARING

   7515.  It is the intent of this chapter to authorize and encourage
the Public Employees' Retirement System and the State Teachers'
Retirement System to regularly cooperate and share information that
may assist both systems in developing and implementing appropriate
investment strategies, with the advice of investment experts selected
by the systems who are willing to share their knowledge and
expertise.
   7516.  Notwithstanding any other provision of law, confidential
information or documents relating to investments in the possession of
the Public Employees' Retirement System or the State Teachers'
Retirement System shall not lose their confidential status due to the
fact that the information or documents are shared with the other
system or with investment advisors selected by the systems to advise
on asset allocation, active verses passive management, or other
investment issues of mutual interest and concern.  Nothing in this
chapter shall be construed to authorize the release or sharing of
documents or information in violation of federal law or the terms of
a contract.