01/25/2018 09:00 AM House FINANCE

HOUSE BILL NO. 213                                                                                                            
                                                                                                                                
     "An Act relating to the investment, appropriation, and                                                                     
     administration of the public school trust fund."                                                                           
                                                                                                                                
10:09:56 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  JUSTIN PARISH,  SPONSOR, explained  that the                                                                    
bill  would achieve  greater  efficiency  in government.  He                                                                    
detailed  it would  allow  the state  to  manage the  Public                                                                    
School  Trust  Fund in  a  way  that would  realize  greater                                                                    
earnings and would allow more  to be sustainably spun off to                                                                    
support  public education  statewide.  He characterized  the                                                                    
details  of the  bill as  a  bit esoteric.  He explained  it                                                                    
would modernize  the way  the fund was  managed. All  of the                                                                    
analyses  he had  seen had  supported the  change. The  bill                                                                    
would switch  from the  current antiquated  model to  a more                                                                    
modern  industry  standard  of  a Percent  of  Market  Value                                                                    
(POMV) draw. The  bill proposed a conservative  POMV draw of                                                                    
4.75 percent and would include a 10-year lookback.                                                                              
                                                                                                                                
Co-Chair  Foster relayed  the  committee would  recess to  a                                                                    
call of the chair [note: the meeting never reconvened].                                                                         
                                                                                                                                
HB  287  was  HEARD  and   HELD  in  committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
10:12:23 AM                                                                                                                   
RECESSED