Part 2.
TEXAS EDUCATION AGENCY
Chapter 33.
STATEMENT OF INVESTMENT OBJECTIVES, POLICIES, AND GUIDELINES OF THE TEXAS PERMANENT SCHOOL FUND
19 TAC §33.5
The Texas Education Agency (TEA) proposes an amendment to §33.5,
concerning the code of ethics policy for managing and investing the Texas
Permanent School Fund (PSF). The section establishes procedures and requirements
for a code of ethics policy relating to the Texas PSF.
The proposed amendment would add language in the State Board of Education's
current ethics policy requiring that permanent school fund providers submit
an annual listing of their board members, officers, and brokers who conduct
transactions with permanent school funds. This provision would allow any individual
to compare this list with the listing of campaign donors maintained by the
Texas Ethics Commission.
David Anderson, general counsel, has determined that for the first five-year
period the section is in effect there will be no fiscal implications for state
or local government as a result of enforcing or administering the section.
Mr. Anderson and Criss Cloudt, associate commissioner for policy planning
and research, have determined that for each year of the first five years the
section is in effect the public benefit anticipated as a result of enforcing
the section will be that the income of the PSF would flow to school districts
and reduce the tax burden to the public and the State of Texas. There will
not be an effect on small businesses. There is no anticipated economic cost
to persons who are required to comply with the section as proposed.
Comments on the proposal may be submitted to Criss Cloudt, Policy Planning
and Research, 1701 North Congress Avenue, Austin, Texas 78701, (512) 463-9701.
Comments may also be submitted electronically to
rules@tmail.tea.state.tx.us
or faxed to (512) 475-3499. All requests
for a public hearing on the proposed section submitted under the Administrative
Procedure Act must be received by the commissioner of education not more than
15 calendar days after notice of a proposed change in the section has been
published in the
Texas Register
.
The amendment is proposed under the Texas Education Code, §43.0031,
as added by House Bill 3739, 76th Texas Legislature, 1999, which authorizes
the State Board of Education to adopt and enforce an ethics policy that provides
standards of conduct relating to the management and investment of the Permanent
School Fund.
The amendment implements the Texas Education Code, §43.0031, as added
by House Bill 3739, 76th Texas Legislature, 1999.
§33.5.Code of Ethics.
(a)-(k)
(No change.)
(l)
Gifts and entertainment.
(1)
(No change.)
(2)
Acceptance of gifts.
(A)-(J)
(No change.)
(K)
A PSF Service Provider shall file a report
annually on April 30 of each year listing all members of the governing body
of the PSF Service Provider, the officers of the PSF Service Provider, and
any broker who conducts transactions with PSF funds.
(L)
[
(m)-(p)
(No change.)
This agency hereby certifies that the proposal has been reviewed
by legal counsel and found to be within the agency's legal authority to adopt.
Filed with the Office of
the Secretary of State, on July 17, 2000.
TRD-200004916
Criss Cloudt
Associate Commissioner, Policy Planning and Research
Texas Education Agency
Earliest possible date of adoption: August 27, 2000
For further information, please call: (512) 463-9701
19 TAC §33.40
The Texas Education Agency (TEA) proposes an amendment to §33.40,
concerning the trading and brokerage policy of the Texas Permanent School
Fund (PSF). The section establishes policies and guidelines for security transactions,
directed trades, and selection of brokerage firms relating to the Texas PSF.
The proposed amendment would clarify language identifying types of broker
or dealer firms that may be exempted from certain requirements related to
selection of brokerage firms.
Paul Ballard, executive administrator of the Texas Permanent School Fund,
has determined that for the first five-year period the section is in effect
there will be no fiscal implications for state or local government as a result
of enforcing or administering the section.
Mr. Ballard and Criss Cloudt, associate commissioner for policy planning
and research, have determined that for each year of the first five years the
section is in effect the public benefit anticipated as a result of enforcing
the section will be that the income of the PSF would flow to school districts
and reduce the tax burden to the public and the State of Texas. There will
be an effect on small businesses. Compliance with the proposed section could
financially impact small businesses with the potential for increased revenue
because TEA policy establishes a goal that 20% of all PSF brokerage be directed
to Texas domiciled historically underutilized businesses. The increase for
small businesses is estimated as follows: fiscal year (FY) 2000, $1 million;
FY 2001, $1.1 million; FY 2002, $1,210,000; FY 2003, $1,331,000; and FY 2004,
$1,464,100. There is no anticipated economic cost to persons who are required
to comply with the section as proposed.
Comments on the proposal may be submitted to Criss Cloudt, Policy Planning
and Research, 1701 North Congress Avenue, Austin, Texas 78701, (512) 463-9701.
Comments may also be submitted electronically to
rules@tmail.tea.state.tx.us
or faxed to (512) 475-3499. All requests
for a public hearing on the proposed section submitted under the Administrative
Procedure Act must be received by the commissioner of education not more than
15 calendar days after notice of a proposed change in the section has been
published in the
Texas Register
.
The amendment is proposed under the Texas Education Code, §7.102(c)(31),
which authorizes the State Board of Education to invest the PSF within the
limits of the authority granted by the Texas Constitution, Article VII, §5(d),
and the Texas Education Code, Chapter 43.
The amendment implements the Texas Education Code, §7.102(c)(31).
§33.40.Trading and Brokerage Policy.
(a)-(b)
(No change.)
(c)
Guidelines for selecting a brokerage firm.
(1)-(2)
(No change.)
(3)
Exemptions.
(A)
Broker/dealer firms that are certified
as Texas based historically underutilized businesses (HUBs) are exempted from
the requirements specified in subsection (c)(2)(B), (D), and (H) of this section;
and
(B)
broker/dealer firms that are operating
as electronic communication networks are exempted from the requirements specified
in subsection (c)(2)(B) of this section.
[
(4)-(5)
(No change.)
This agency hereby certifies that the proposal has been
reviewed by legal counsel and found to be within the agency's legal authority
to adopt.
Filed with the Office of
the Secretary of State, on July 17, 2000.
TRD-200004917
Criss Cloudt
Associate Commissioner, Policy Planning and Research
Texas Education Agency
Earliest possible date of adoption: August 27, 2000
For further information, please call: (512) 463-9701
Subchapter D. OTHER SOCIAL STUDIES COURSES
The Texas Education Agency (TEA) proposes the repeal of §§113.55-113.68
and new §§113.55-113.70, concerning social studies. The sections
establish the essential knowledge and skills for high school social studies
courses including certain Advanced Placement (AP) and International Baccalaureate
(IB) courses that districts may offer for state graduation credit.
The proposed repeal of §§113.55-113.68 and new §§113.55-113.70
would not decrease the number of nor change content requirements for the AP
courses currently listed in 19 TAC Chapter 113, Subchapter D, but would add
two new rules to include two new AP courses that districts may offer for state
graduation credit. The proposed new rules would add new §113.55, Advanced
Placement (AP) World History, and new §113.56, Advanced Placement (AP)
Human Geography, and would reorganize the existing sections to follow the
new sections.
Mr. Arturo Almendarez, deputy commissioner for programs and instruction,
has determined that for the first five-year period the sections are in effect
there will be fiscal implications for state government. The TEA currently
pays for student examinations taken in AP courses. The addition of two more
AP courses would increase the amount of funds disseminated through the Texas
Advanced Placement incentive program. There also will be fiscal implications
for local government. If a student achieves a score of 3 or greater on the
examination, a fiscal incentive of up to $100 per student is provided. It
is not possible, however, to estimate the total cost to state or local government
prior to the implementation of the new courses.
Mr. Almendarez and Criss Cloudt, associate commissioner for policy planning
and research, have determined that for each year of the first five years the
sections are in effect the public benefit anticipated as a result of enforcing
the sections will be that students will have more options when selecting academically
challenging courses and will have two more opportunities to earn advanced
measures for the Distinguished Achievement Program. There will be no effect
on small businesses. There is no anticipated economic cost to persons who
are required to comply with the sections as proposed.
Comments on the proposal may be submitted to Criss Cloudt, Policy Planning
and Research, 1701 North Congress Avenue, Austin, Texas 78701, (512) 463-9701.
Comments may also be submitted electronically to
rules@tmail.tea.state.tx.us
or faxed to (512) 475-3499. All requests
for a public hearing on the proposed sections submitted under the Administrative
Procedure Act must be received by the commissioner of education not more than
15 calendar days after notice of a proposed change in the sections have been
published in the
Texas Register
.
(K)
] This subsection does not apply
to campaign contributions.
(3)
Exemptions. Broker or dealer firms certified
as historically underutilized businesses, utilized for soft dollar or commission
recapture, or operating as electronic communication networks may be exempted
from the requirements specified in subsection (c)(2)(B), (D), and (H) of this
section.
]
Chapter 113.
TEXAS ESSENTIAL KNOWLEDGE AND SKILLS FOR SOCIAL STUDIES