House committee substitute the 2nd edition makes the following changes.
Amends topics that the Department of State Treasurer must study to now require studying: (1) the process of acquiring, securely storing, insuring, and liquidating any investment metal bullion, such as gold, and virtual currency, such as Bitcoin, that may be held on behalf of the State; (2) the expected impact of allocating a portion of the General Fund to investment metal bullion and virtual currency to hedge against inflation and systemic credit risks, reduce overall portfolio volatility, and increase portfolio returns over time; and (3) the costs, benefits, and security of utilizing a privately managed depository or another state's depository or creating a State-administered depository to serve as the custodian, guardian, and administrator of certain investment metal bullion and virtual currency that may be transferred to or otherwise acquired by this State or an agency, a political subdivision, or another instrumentality of this State and to provide a repository for investors to use for such assets. Changes the due date of the report on the study from January 1, 2025, to January 1, 2024.
Amends the act's long title.
Bill Summaries: H721 (2023-2024 Session)
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Bill H 721 (2023-2024)Summary date: Jun 27 2023 - View summary
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Bill H 721 (2023-2024)Summary date: Jun 14 2023 - View summary
House committee substitute the 1st edition makes the following changes.
Deletes the $2 billion appropriation from the Savings Reserve as well as the requirement that the State Treasurer acquire gold bullion to be stored with the Texas Bullion Depository. Makes a conforming change to the act's long title.
Appropriates $50,000 for 2023-24 from the General Fund to the Department of State Treasurer to conduct the study required by the act.
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Bill H 721 (2023-2024)Summary date: Apr 19 2023 - View summary
Directs the Department of State Treasurer (Department) to study the costs and benefits that would result from a State-administered and State-audited vaulting bullion depository. Provides that the depository would be the custodian, guardian, and administrator of certain bullion and specie to be transferred to or otherwise acquired by the State or any entity or instrumentality thereof, as well as provide a repository for investors to use for precious metal assets. Directs the Department to report to the specified NCGA committee by January 1, 2025.
Appropriates $2 billion from the Savings Reserve to the Department for 2023-24. Directs the Treasurer to acquire the appropriated money for the acquisition of gold bullion to be stored with the Texas Bullion Depository. Requires the Treasurer to continue to store the gold bullion pursuant to the act until the earlier of the establishment of a bullion depository in the State or when conversion back to currency is needed in order to meet State budgetary requirements, whereby the Treasurer is required to complete the conversion and deposit the amount into the General Fund. Effective July 1, 2023.