November 2019 Committee on School Finance/Permanent School Fund Item 9
Review and Determine the List of Nominees for Appointment to the School Land Board
November 15, 2019
COMMITTEE ON THE FULL BOARD: ACTION
STATE BOARD OF EDUCATION: ACTION
SUMMARY: This item provides an opportunity for the committee and board to review and determine the list of nominees to be considered by the governor for appointment to the School Land Board.
The Texas Constitution, Article VII, §2 and §5 establish the permanent school fund, the assets that comprise the permanent school fund, the bond guarantee program, the available school fund, and authorize the State Board of Education (SBOE) to manage and invest the permanent school fund in accordance with the prudent person standard.
NRC, §32.012 states that the School Land Board shall be composed of four citizens of the state appointed by the governor with the advice and consent of the senate. Two of the citizens appointed by the governor must be selected from lists of nominees submitted by the SBOE. The SBOE shall submit to the governor a list of six nominees for each vacant position. At least one of the citizens appointed must be a resident of a county with a population of less than 200,000.
NRC, §32.013 states that the appointed members of the School Land Board serve for terms of two years.
Administrative rules found in 19 TAC Chapter 33 provide a statement of investment objectives, policies, and guidelines of the Texas Permanent School Fund and Bond Guarantee Program.
The full text of statutory citations can be found in the statutory authority section of this agenda.
PREVIOUS BOARD ACTION: At the September 2019 meeting, the board approved procedures for selecting nominees for appointment to the School Land Board.
BACKGROUND INFORMATION AND JUSTIFICATION: Senate Bill 608, 86th Legislature, 2019, requires that two citizens appointed by the governor to the School Land Board must be selected from lists of nominees submitted by the SBOE. The SBOE must submit a list of six nominees for a vacant position. At least one of the citizens appointed must be a resident of a county with a population of less than 200,000.
The committee will hold a work session on Tuesday, November 12, to review the nominations received.
PUBLIC BENEFIT: The distribution of the Permanent School Fund will flow to the school districts and reduce the tax burden to the public and the state of Texas.
PUBLIC COMMENTS: None
Staff Members Responsible:
Holland Timmins, Executive Administrator and Chief Investment Officer, Texas Permanent School Fund