Investments
General Information and Public Fund Investment Act
A state agency may not invest state funds in any investment vehicle unless the agency has specific constitutional or statutory authority to do so.
Any investment of state funds must comply with applicable constitutional provisions and statutes.
Documentation Requirements [+]
- If required by the Comptroller’s office, the state agency must cite the agency’s specific constitutional or statutory authority to invest state funds.
- If required by the Comptroller's office, a clear description of the type of investment must be provided to the Comptroller’s office.
Public Funds Investment Act
The Public Funds Investment Act (PFIA) does not authorize any state agency to invest its funds or the funds under its control. The PFIA applies to a state agency only if the agency has statutory authority outside the PFIA to invest funds.
PFIA does not apply to:
- A public retirement system.
- State funds invested under Texas Government Code, Section 404.024.
- An institution of higher education with total endowments of at least $95 million in book value.
- Funds invested by the Veterans’ Land Board under the Natural Resources Code, Chapter 161, 162 or 164.
- Registry funds deposited with the county or district clerk under the Local Government Code, Chapter 117.
- A deferred compensation plan that qualifies under the Internal Revenue Code of 1986, Section 401(k) or 457.
- An investment donated to a state agency for a particular purpose or under terms of use specified by the donor.
Sources [+]
- Texas Government Code, Public Funds Investment Act:
- Sections 807.058 and 808.057
- Section 2252.152
- Sections 2256.001; 2256.003–.008; 2256.010–.0115; 2256.012–.021; 2256.0201–.205; 2256.022–.055
- Section 2270.0209
- Opinion of Texas Attorney General No. DM-489 (1998)
- Texas Government Code, Sections 2256.001