House Amendment to Senate File 2453 S-5149 Amend Senate File 2453, as amended, passed, and reprinted by 1 the Senate, as follows: 2 1. By striking page 1, line 32, through page 2, line 6, and 3 inserting: 4 < 1. “Endowment assets” means all unrestricted pooled, 5 long-term investment assets held by or for the benefit of 6 an institution, including foundation-managed endowments, 7 quasi-endowments, and long-term investment pools, as such 8 assets are reported in the foundation’s audited financial 9 statements. “Endowment assets” does not include assets not 10 treated as endowment funds under applicable fiduciary and 11 accounting standards. 12 2. “Innovation fund” means the same as defined in section 13 15E.52. 14 3. “Institution” means a regents institution specified in 15 section 262.7, subsections 1 through 3. > 16 2. Page 2, by striking lines 8 through 29 and inserting: 17 < 1. By July 1, 2027, each foundation affiliated with an 18 institution shall ensure that no less than one percent of its 19 total endowment assets are invested in one or more innovation 20 funds. The one percent allocation shall be calculated based on 21 the average quarterly market value of endowment assets for the 22 most recently completed fiscal year. 23 2. A foundation affiliated with an institution may 24 determine which innovation funds to invest in, the timing of 25 such investments, and the structure of investment commitments, 26 provided the foundation remains responsible for compliance with 27 this chapter. 28 3. A foundation affiliated with an institution may 29 implement investments required under this chapter through 30 direct commitments, reallocation of existing assets, or rolling 31 commitments as capital is called, subject to compliance with 32 subsection 1. If the percentage of allocation falls below the 33 amount required by subsection 1 after that date, the foundation 34 shall increase its investment in one or more innovation funds 35 -1- SF 2453.3705.H (1) 91 md 1/ 2 #1. #2.
as provided in this chapter as necessary in order to meet the 1 required percentage of allocation. > 2 3. By striking page 2, line 33, through page 3, line 14, and 3 inserting: 4 < Sec. ___. NEW SECTION . 262C.4 Waiver. 5 1. A foundation board may grant a foundation a one-year 6 waiver from the requirements of this chapter if adequate 7 innovation fund capacity is not available or market conditions 8 would materially impair prudent investment. 9 2. A foundation board shall not grant a waiver under this 10 section unless the foundation submits an explanation for its 11 waiver request and a plan for coming into compliance with the 12 requirements of this chapter in writing to the state board of 13 regents and provides a copy to the foundation board. 14 3. If a foundation is granted two consecutive waivers by a 15 foundation board, the foundation shall submit written notice 16 to that effect to the state board of regents when the second 17 consecutive waiver is granted. The state board shall provide 18 such notice in a report to the general assembly. > 19 4. Page 3, line 17, by striking < board > and inserting < state 20 board of regents > 21 5. Page 3, by striking lines 21 through 24. 22 6. Page 3, line 25, before < board > by inserting < state > 23 7. Page 4, lines 4 and 5, by striking < an institution > and 24 inserting < a foundation > 25 8. Page 4, line 6, by striking < the board > and inserting 26 < each foundation > 27 9. Page 4, by striking lines 17 and 18 and inserting: 28 < Sec. ___. EFFECTIVE DATE. This Act takes effect December 29 31, 2026. > 30 10. By renumbering as necessary. 31 -2- SF 2453.3705.H (1) 91 md 2/ 2 #3. #4. #5. #6. #7. #8. #9.