The Texas Permanent School Fund Corporation met on January 25 to discuss approval of bylaws, location of facilities for operations of the corporation, and potential meeting dates for the board of directors. A video archive of the meeting can be found here.

This report is intended to give you an overview and highlight of the discussions on the various topics taken up. It is not a verbatim transcript of the discussions but is based upon what was audible or understandable to the observer and the desire to get details out as quickly as possible with few errors or omissions.

 

Item 2: Review and Approval of Bylaws of the Corporation (Discussion and Possible Action)

  • Chair – Motion to adopt amended bylaws
  • TEA Staff – Cannot hear testimony due to mic being turned off; providing updates on amendments to the bylaws
  • Maynard – Board can amend bylaws, but SBOE must approve them; sending board’s amendments to SBOE this week for approval
  • Motion carries

 

Board moves into closed executive session

 

Item 3: Selection of Location and Facilities for Operations of the Corporation (Discussion and Possible Action)

Chair Maynard

  • Board is in open session, no action was taken by the board
  • Motion made to authorize interim CEO to execute a lease for facilities of a corporation on the terms presented to the board subject to negotiation and legal review to perform all duties necessary to accomplish such task
  • Motion carries 8-0

 

Item 4: Discussion on Potential Meeting Dates of the Board of Directors (Discussion Only)

Chair Maynard

  • When can the last appointment be made?
    • Havens – Do not have an exact date right now, commission is reaching out to people right now
  • Commissioners agree March 5th may be a good date for orientation
  • Is there any circumstance that may need to call meetings of the corporate board at other times?
    • Timmins – Facilities is one of the major reasons we may need to call other meetings, but now that bylaws have been approved, we may be able to stick to a schedule
  • Corporate board needs to be briefed on anything related to the investments of the fund
  • Where is the point that the corporate board begins making decisions as opposed to the committee of the state board of education?
    • Timmins – Corporate board as authority of investments at day 1 of 2023, there are several items SBOE committee has each cycle that are not action items, we have a review of specific asset classes at each state board meeting, and those reviews may be moved to the corporate board at whatever point boar wants to make move
  • Board’s primary is between now and January 1st, 2023, is development of corporation itself to create infrastructure of new organization of corporate board and fully operational decisions like allocations of funding
  • Ellis – Proposed meetings would occur after SBOE meeting, would be more beneficial if for other non-SBOE members if we did PSF corporation meeting before?
    • May be prudent course of action
    • Historically, have done school finance first, but we will do PSF first and corporate board will transition into anything else needing to be done
  • Ellis – Decision of asset allocation will not take place until Jan 2023, but are those discussions of what allocations might look like during 2022, or do you anticipate conversation will not occur until 2023?
    • Timmins – State board needs to review asset allocation this year, not sure if now is the right time to add asset classes that will not be implemented until Jan 1st, 2023
  • Unintelligible comment is made by member on Zoom
    • That is an annual event during June of each year

Meeting is adjourned