BILL NUMBER: SB 2122	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Ortiz

                        FEBRUARY 25, 2000

   An act to repeal, add, and repeal 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, as introduced, Ortiz.  Joint Retirement System Investment
Advisory Board.
   The California Constitution provides that the retirement boards of
public pension or retirement systems have plenary authority over the
assets of the system, subject to their fiduciary duties to the
systems' members.
   This bill would establish the Joint Retirement System Investment
Advisory Board that would be authorized to make recommendations to
the Public Employees' Retirement System and the State Teachers'
Retirement System, as specified.  The provisions of the bill would be
repealed on January 1, 2004.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


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 Advisory Board 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of Title 1 of the Government Code is repealed.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 ADVISORY
BOARD

   7515.  The Joint Retirement System Investment Advisory Board is
hereby established.  As used in this chapter, "board" shall mean the
Joint Retirement System Investment Advisory Board.  The board shall
consist of:
   (a) The Governor.
   (b) The Treasurer.
   (c) The Controller.
   (d) Two members of the Board of Administration of the Public
Employees' Retirement System.
   (e) Two members of the Teachers' Retirement Board.
   (f) Six investment professionals.
   7516.  The board shall not establish investment policies for the
Public Employees' Retirement System and the State Teachers'
Retirement System, but may make recommendations to those systems with
respect to the following:
   (a) Active versus passive investments.
   (b) Asset allocation.
   7517.  This chapter shall remain in effect only until January 1,
2004, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2004, deletes or extends
that date.