The corporation has broad authority over its governing documents and investment-related activities, but it must follow fiduciary duties and cannot move permanent school fund money to the available school fund except when authorized.
Sec. 43.063. GENERAL POWERS AND DUTIES OF CORPORATION. (a) The corporation may amend the articles of incorporation adopted by the State Board of Education when the corporation was established, subject to board approval. (b) The corporation may adopt and amend: (1) subject to State Board of Education approval, bylaws for the corporation; (2) resolutions and policies of the corporation; and (3) any other document necessary to carry out the corporation's purpose. (c) The corporation may engage in any activity necessary to manage the investments of the permanent school fund, including entering into any contract in connection with the investment of the permanent school fund, to the extent the activity complies with applicable fiduciary duties. (d) The corporation shall make all purchases of goods and services in accordance with applicable fiduciary duties and may use purchasing methods that ensure the best value to the corporation. In determining best value, the corporation may consider the best value standards applicable to state agencies under Section 2155.074, Government Code. (e) The corporation may: (1) delegate investment authority for the investment of the permanent school fund to one or more private professional investment managers; or (2) contract with one or more private professional investment managers to assist the corporation in making investments of the permanent school fund. (f) The corporation may receive, transfer, and disburse money and securities of the fund as provided by statute or the Texas Constitution, except that the corporation may not distribute money from the permanent school fund to the available school fund except as authorized under Section 43.066. (g) The corporation may enter into a contract with a state agency, a governmental body, or another entity to manage or invest funds on behalf of the agency, body, or entity. Added by Acts 2021, 87th Leg., R.S., Ch. 875 (S.B. 1232), Sec. 1.06, eff. September 1, 2021.