(a)(1) The District of Columbia Retirement Board shall be the custodian of the assets of each Fund established by this chapter and shall manage and invest such assets in accordance with this chapter. Except as provided in paragraph (2) of this subsection, all assets in the possession or control of the Board shall be held in trust pursuant to a written trust instrument by 1 or more trustees appointed by the Board in its fiduciary capacity. Upon acceptance of the appointment, the trustee or trustees shall have authority and discretion to manage and control the assets assigned to it by the Board except to the extent that authority to manage, acquire, or dispose of assets of the Fund is retained by the Board or is delegated by the Board to 1 or more investment counsels pursuant to § 1-711(g)(1).

(2) The requirements of paragraph (1) of this subsection shall not apply to any assets of a Fund which consist of insurance contracts of policies issued by an insurance company qualified to do business in a state.

(b) The assets of each Fund shall be kept separate from other moneys which may be under the control of the District of Columbia Retirement Board, but need not be kept separate from the assets of the other Funds if the Board determines that commingling of such assets is advisable for investment purposes.

(c) The Board shall maintain, in an appropriate depository, a cash reserve for the Funds in an amount determined by the Board to be sufficient to meet current outlays for annuities and other retirement and disability benefits authorized to be paid from such Funds.

(Nov. 17, 1979, 93 Stat. 866, Pub. L. 96-122, § 125; Mar. 24, 1990, D.C. Law 8-97, § 2(c), 37 DCR 1046; Apr. 13, 2005, D.C. Law 15-354, § 3(a), 52 DCR 2638.)

1981 Ed., § 1-715.

1973 Ed., § 1-1815.

D.C. Law 15-354 substituted “District of Columbia Retirement Board” for “Custodian of Retirement Funds”.

Independent audit of Retirement Board: Section 135 of Public Law 103-334, 108 Stat. 2588, the District of Columbia Appropriations Act, 1995, provided that the District of Columbia Retirement Board shall enter into an agreement with an independent firm meeting certain qualifications to prepare and submit to the Retirement Board a written set of findings and recommendations not later than 6 months after the date of the enactment of this Act regarding the appropriateness and adequacy of the Retirement Board’s fiduciary, management, and investment practices and procedures, and provided for expenditure of funds.