This file contains STRIKE and UNDERSCORE. If you cannot see either STRIKE or UNDERSCORE attributes or would like to change how these attributes are displayed, please use the following form to make the desired changes.

House Journal: Page 1779: Monday, April 22, 1996

Page 2  

 1   which persons of prudence, discretion, and
 2   intelligence acquire or retain for their own account.
 3     The department and investment board shall give
 4   appropriate consideration to those facts and
 5   circumstances that the department and investment board
 6   know or should know are relevant to the particular
 7   investment or investment policy involved, including
 8   the role the investment plays in the total value of
 9   the retirement fund.
10     For the purposes of this paragraph, appropriate
11   consideration includes, but is not limited to, a
12   determination by the department and investment board
13   that the particular investment or investment policy is
14   reasonably designed to further the purposes of the
15   retirement system, taking into consideration the risk
16   of loss and the opportunity for gain or other return
17   associated with the investment or investment policy
18   and consideration of the following factors as they
19   relate to the retirement fund:
20     Sec. 3.  Section 97B.7, subsection 2, paragraph b,
21   unnumbered paragraph 5, Code 1995, is amended to read
22   as follows:
23     Except as provided in section 97B.4, if there is
24   loss to the fund, the treasurer, the department, and
25   the board are not personally liable, and the loss
26   shall be charged against the retirement fund.  There
27   is appropriated from the retirement fund the amount
28   required to cover a loss.  Expenses incurred in the
29   sale and purchase of securities belonging to the
30   retirement fund shall be charged to the retirement
31   fund, and there is appropriated from the retirement
32   fund the amount required for the expenses incurred.
33   Investment management expenses shall be charged to the
34   investment income of the retirement fund, and there is
35   appropriated from the retirement fund the amount
36   required for the investment management expenses,
37   subject to the limitations stated in this unnumbered
38   paragraph.  The amount appropriated for a fiscal year
39   under this unnumbered paragraph shall not exceed one-
40   half four-tenths of one percent of the market value
of
41   the retirement fund.  The department shall report the
42   investment management expenses for a fiscal year as a
43   percent of the market value of the retirement fund in
44   the annual report to the governor required in section
45   97B.4.  A person who has signed a contract with the
46   department for investment management purposes shall
47   meet the requirements for doing business in Iowa
48   sufficient to be subject to tax under rules of the
49   department of revenue and finance.
50     Sec. 4.  Section 97B.11, Code 1995, is amended to

Iowa General Assembly

Index: House Journal (76th General Assembly: Session 2)

© 1996 Cornell College and League of Women Voters of Iowa

Comments? hjourn@legis.iowa.gov.

Last update: Tue Apr 23 13:30:03 CDT 1996
URL: /DOCS/GA/76GA/Session.2/HJournal/01700/01779.html
jhf