Dade Phelan, the Republican Speaker of the Texas House, announced some of the key policy priorities for the 2023 legislative session. Some of his priorities have direct and indirect implications for managing public employee pensions.

Rep. Phelan, R-Orange, released on March 10 his interim charges, which House committees will study in the coming months. An interim committee is a committee of a legislative assembly that is scheduled to meet when a Legislature is not in session. An interim committee is granted subject-matter jurisdiction.

The charges are meant to guide the House heading into the next legislative session, which will begin in 2023.

"These charges touch on the most pressing issues facing Texans, from improving the quality and safety of our state's foster care system to confronting our state's growing infrastructure demands," Phelan said. "As House committees formally kick off their work for the interim, I'm confident that their research and recommendations on these topics will position our chamber to tackle these priorities in an effective and productive manner once the Legislature convenes in January."

A few interim committees are looking at pension and pension-adjacent subject matters, such as investments and cybersecurity. Here is an overview of what TEXPERS members might want to keep track of:

Pensions

• Review and evaluate the actuarial soundness of the Employees Retirement System (ERS) and Teacher Retirement System (TRS) pension funds. House Pensions, Investments & Financial Services
• Review the Texas Local Fire Fighters Retirement Act to ensure proper governance and financial oversight. Examine whether the Pension Review Board has proper oversight and authority to implement necessary corrective measures. House Pensions, Investments & Financial Services

International Relations

• Review the impact of investments of endowment and other trust funds, including the Permanent University Fund, by university systems and institutions of higher education in businesses and funds owned or controlled by the Russian government or Russian nationals, and determine the need for investment restrictions. Consider the impact of any proposed investment restrictions on fund performance. House Higher Education*
• Review the impact that trade with Russia has on the Texas economy, including Texas manufacturers. Consider the impact of Texas investment in businesses and funds owned or controlled by the Russian government or Russian nationals, and determine the need for investment restrictions. Consider the impacts of any proposed investment restrictions on access by Texas businesses and the Texas scientific and technological community to capital investment, global markets, and competitive knowledge. House International Relations & Economic Development
• Review the impact of investments by public retirement systems of their endowment and other trust funds in businesses and funds owned or controlled by the Russian government or Russian nationals, and determine the need for investment restrictions. Consider the impact of any proposed investment restrictions on fund performance. House International Relations & Economic Development
• Review the impact of state government procurement of goods and services from businesses and other commercial entities owned or controlled by the Russian government or Russian nationals, and determine the need for restrictions on state government procurement. Consider the impact of any proposed procurement restrictions on state government efficiency and effectiveness and the state's access to scientific and technological advances. House International Relations & Economic Development

IT/Cybersecurity

• Study the status and adequacy of cybersecurity preparedness among state agencies and contractors. Make recommendations that enhance cybersecurity measures considering evolving threats to Texas' information technology infrastructure. House State Affairs

TEXPERS has only highlighted a selection of House interim charges. For the complete list of House interim charges, click here.