Sec. 404.0241. INVESTMENT OF CERTAIN ECONOMIC STABILIZATION FUND BALANCES. (a) Subject to Subsection (b) and notwithstanding Section 404.024, for the purpose of investing the assets of the economic stabilization fund, the comptroller may acquire, exchange, sell, supervise, manage, or retain any kind of investment that a prudent investor exercising reasonable care, skill, and caution would acquire, exchange, sell, supervise, manage, or retain in light of the purposes, terms, distribution requirements, and other circumstances then prevailing for the fund, taking into consideration the investment of all the assets of the fund rather than a single investment.

(b) At least one-quarter of the economic stabilization fund balance must be invested in a manner that ensures the liquidity of that amount.

(c) The comptroller may pool assets of the economic stabilization fund with other state assets for purposes of investment under Section 404.024(b).

(d) The comptroller shall adjust the investment of economic stabilization fund money periodically as necessary to ensure that:

(1) at all times at least one-quarter of the balance of the economic stabilization fund is invested in a manner that ensures the liquidity of that amount; and

(2) the balance of the economic stabilization fund is sufficient to meet the cash flow requirements of the fund.

(e) The comptroller shall include the fair market value of the investments of the economic stabilization fund in calculating the amount in the fund for purposes of Section 49-g(g), Article III, Texas Constitution, and Section 316.093 of this code.

Added by Acts 2015, 84th Leg., R.S., Ch. 93 (H.B. 903), Sec. 1, eff. May 23, 2015.

Amended by:

Acts 2019, 86th Leg., R.S., Ch. 1336 (S.B. 69), Sec. 3, eff. September 1, 2019.