HOUSE DOCKET, NO. 1582        FILED ON: 1/13/2009

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 2475

The Commonwealth of Massachusetts

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In the Year Two Thousand Nine

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An Act relative to pension fund investments for cities and towns..

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1. Paragraph (c½) of subdivision (8) of section 22 of chapter 32, as inserted by Chapter 68 of the Acts of 2007, is hereby amended by striking out the words “2 percentage points” and inserting in place thereof the following words:-  3 percentage points.

SECTION 2. Paragraph (c½) of subdivision (8) of section 22 of chapter 32, as so appearing, is hereby further amended by striking out the words “65 per cent,” in the third sentence, inserting in place thereof the following words:- 45 per cent before December 31, 2014 and less than 65 per cent after December 31, 2014

SECTION 3. Paragraph (b) of subdivision (2) of section 23 of chapter 32 of the General Laws as appearing in the 2006 Official Edition, is hereby amended by striking out clause (i), and inserting in place thereof the following clause:-

(i) In securities, other than mortgages or collateral loans, which are legal for the investment of funds of savings banks under the laws of the commonwealth; provided that not more than four per cent of the assets of any such system shall be invested in the bonds of any one public service corporation. A public service corporation is one that provides important services such as water or transportation to the public.