FINAL BILL REPORT

SB 6297

                                  C 130 L 88

BYSenators von Reichbauer, Moore, Kreidler and Johnson; by request of Department of Labor and Industries

Revising investment policies for funds of the department of labor and industries.

Senate Committee on Financial Institutions & Insurance

House Committe on Commerce & Labor

SYNOPSIS AS ENACTED

BACKGROUND:

The State Investment Board was established in 1981 to invest and reinvest public trust and retirement funds.  The board is required to establish investment policies and procedures designed to maximize return with a prudent level of risk.

SUMMARY:

Until July 1, 1989, the State Investment Board is required to establish investment policies for industrial insurance funds that are designed to limit fluctuations in industrial insurance premiums and, subject to this limitation, maximize return at a prudent level of risk.

The board will prepare a report recommending changes in current investment policies.  The report must be presented to the Senate Committee on Financial Institutions and Insurance and the House Committee on Commerce and Labor at the start of the 1989 legislative session.

Appropriation:    $100,000 in equal parts from the industrial insurance medical aid and accident funds to the State Investment Board

VOTES ON FINAL PASSAGE:

      Senate    47     0

      House 95   0 (House amended)

      Senate            (Senate refused to concur)

      House             (House refused to recede)

Free Conference Committee

      House 96   0

      Senate    47     0

EFFECTIVE:June 9, 1988