GENERAL ASSEMBLY OF NORTH CAROLINA

1983 SESSION

 

 

CHAPTER 702

SENATE BILL 508

 

AN ACT TO CLARIFY THE STATE TREASURER'S INVESTMENT AUTHORITY AND TO ENHANCE THE MANAGEMENT OF THE TRUST FUND INVESTMENT PROGRAM.

 

The General Assembly of North Carolina enacts:

 

Section 1.  G.S. 147-69.2(a)(8) is amended by inserting after the word "Firemen's" the words "and Rescue Workers'".

Sec. 2.  G.S. 147-69.2(b) is amended by adding a new subsection (5a) to read:

"With respect to Retirement Systems' assets referred to in G.S. 147-69.2(b)(6), (i) Insurance contracts which provide for participation in individual or pooled separate accounts of insurance companies, (ii) group trusts, (iii) individual, common or collective trust funds of banks and trust companies and (iv) real estate investment trusts; provided the investment manager has assets under management of at least one hundred million dollars ($100,000,000); provided such investment assets are managed primarily for the purpose of investing in or owning real estate or related debt financing located in the United States; and provided that the investment authorized by this subsection shall not exceed ten percent (10%) of the book value of all invested assets of the Retirement Systems."

Sec. 3.  G.S. 147-69.2(b)(6) is amended by adding after the word "Firemen's" in line 4 the words "and Rescue Workers'".

Sec. 4.  G.S. 147-69.2(b)(6)c. is amended by adding after the word "Act" in the second line the words "or quoted through the National Association of Securities Dealers' Automated Quotations (NASDAQ) system".

Sec. 5.  G.S. 147-69.2(b)(6)c.1. is amended by inserting after the word "bank" in the first line the words "or bank holding company".

Sec. 6.  G.S. 147-69.2(b)(6)f. is amended by inserting the phrase "5-year period" in place of the phrase "10-year period" in the second line.

Sec. 7.  G.S. 147-69.2(b)(6)h. is amended by inserting after the word "stocks" in the first line the words "including securities convertible into common stocks".

Sec. 8.  G.S. 147-69.2(b)(6)h. is further amended by adding a new subsection "4" to read:

"Up to five per cent (5%) of the limits authorized in subdivision h. may be invested in the stocks or shares of a diversified investment company registered under the 'Investment Company Act of 1940' which has total assets of at least fifty million dollars ($50,000,000)."

Sec. 9.  G.S. 147-69.2(b)(6) is amended by adding a new subsection "i" to read:

"That investments may be made in securities convertible into common stocks issued by any such company, if such securities bear one of the four highest ratings of at least one nationally recognized rating service and do not bear a rating below the four highest by any nationally recognized rating service which may then rate the particular security."

Sec. 10.  G.S. 147-69.3(b) is amended by adding a sentence at the end thereof to read:

"Upon request from any depositor eligible under this subsection, the State Treasurer may authorize moneys invested pursuant to this subsection to be withdrawn by warrant on the State Treasurer."

Sec. 11.  This act is effective upon ratification.

In the General Assembly read three times and ratified, this the 7th day of July, 1983.