CSHB 345(L&C): "An Act relating to the investments of the Alaska State Pension Investment Board."
00CS FOR HOUSE BILL NO. 345(L&C) 01 "An Act relating to the investments of the Alaska State Pension Investment 02 Board." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. LEGISLATIVE FINDINGS AND PURPOSE. (a) The legislature finds that 05 (1) the existence of a strong and healthy free enterprise system is directly 06 related to the well-being and competitive strength of businesses in the state and to the 07 opportunity for businesses in the state to grow and expand; 08 (2) the state needs to examine its purchasing practices in order to ensure that 09 state agencies support businesses in the state by making every reasonable effort to identify 10 services available in the state and to foster bidding by local and resident businesses. 11 (b) The legislature declares that the purpose of this Act is to foster a procurement 12 process where businesses in the state obtain a fair proportion of the state's total procurement 13 contracts. 14 * Sec. 2. AS 37.10.220(a) is amended to read:
01 (a) The board shall 02 (1) hold regular and special meetings at the call of the chair or of at 03 least four members; 04 (2) establish investment policies for the funds for which it is 05 responsible after reviewing recommendations from the investment advisory council and 06 the Department of Revenue; 07 (3) submit long-range and quarterly investment reports to the 08 Legislative Budget and Audit Committee; 09 (4) report to the governor and employers participating in the retirement 10 systems by the first day of each regular legislative session concerning the investment 11 of funds for which the board is responsible, including financial and investment policies 12 established by the board, and enclose a summary of the most recent performance 13 evaluations of the funds managed by the board; the board shall notify the legislature 14 that the report is available; 15 (5) contract with external performance evaluators to review the 16 performance of each fund for which the board is responsible and report each year on 17 the fund's condition to the board of trustees and to the other appropriate boards; 18 (6) engage independent certified public accountants to perform an 19 annual audit of each of the funds for which the board is responsible and to report to 20 the board with the results of the audit; 21 (7) review the actuarial earnings assumption for each fund for which 22 the board is responsible every two years and report its findings and recommendations 23 to the appropriate board or agency; 24 (8) after reviewing the recommendations from the Department of 25 Revenue and the advisory council, select and retain the external investment managers 26 and custodians for the funds managed by the board; 27 (9) develop an annual operating budget plan and present it to the 28 Department of Revenue and the office of management and budget; the board shall 29 notify the legislature that the plan is available; 30 (10) invest the funds for which the board is responsible in in-state 31 investments to the extent in-state investments are available and if the in-state
01 investments 02 (A) have a risk level and expected yield equal to or more 03 favorable than alternate investment opportunities; and 04 (B) are consistent with the investment policies established by 05 the board under (2) of this subsection.