1999 Minnesota Statutes

     11A.04 Duties and powers. 

    The state board shall: 

    (1) Act as trustees for each fund for which it invests or 
 manages money in accordance with the standard of care set forth 
 in section 11A.09 if state assets are involved and in accordance 
 with chapter 356A if pension assets are involved. 

    (2) Formulate policies and procedures deemed necessary and 
 appropriate to carry out its functions.  Procedures adopted by 
 the board must allow fund beneficiaries and members of the 
 public to become informed of proposed board actions.  Procedures 
 and policies of the board are not subject to the Administrative 
 Procedure Act. 

    (3) Employ an executive director as provided in section 
 11A.07. 

    (4) Employ investment advisors and consultants as it deems 
 necessary. 

    (5) Prescribe policies concerning personal investments of 
 all employees of the board to prevent conflicts of interest. 

    (6) Maintain a record of its proceedings. 

    (7) As it deems necessary, establish advisory committees 
 subject to section 15.059 to assist the board in carrying out 
 its duties. 

    (8) Not permit state funds to be used for the underwriting 
 or direct purchase of municipal securities from the issuer or 
 the issuer's agent. 

    (9) Direct the state treasurer to sell property other than 
 money that has escheated to the state when the board determines 
 that sale of the property is in the best interest of the state.  
 Escheated property must be sold to the highest bidder in the 
 manner and upon terms and conditions prescribed by the board. 

    (10) Undertake any other activities necessary to implement 
 the duties and powers set forth in this section. 

    (11) Establish a formula or formulas to measure management 
 performance and return on investment.  Public pension funds in 
 the state shall utilize the formula or formulas developed by the 
 state board. 

    (12) Except as otherwise provided in article XI, section 8, 
 of the constitution of the state of Minnesota, employ, at its 
 discretion, qualified private firms to invest and manage the 
 assets of funds over which the state board has investment 
 management responsibility.  There is annually appropriated to 
 the state board, from the assets of the funds for which the 
 state board utilizes a private investment manager, sums 
 sufficient to pay the costs of employing private firms.  Each 
 year, by January 15, the board shall report to the governor and 
 legislature on the cost and the investment performance of each 
 investment manager employed by the board.  

    (13) Adopt an investment policy statement that includes 
 investment objectives, asset allocation, and the investment 
 management structure for the retirement fund assets under its 
 control.  The statement may be revised at the discretion of the 
 state board.  The state board shall seek the advice of the 
 council regarding its investment policy statement.  Adoption of 
 the statement is not subject to chapter 14. 

    HIST: 1980 c 607 art 14 s 4; 1982 c 587 s 1; 1986 c 444; 1987 
 c 372 art 8 s 1; 1989 c 319 art 8 s 3; 1993 c 244 art 2 s 1; 
 1998 c 254 art 1 s 2