20150. A board member or employee of the board shall not, directly
or indirectly:
(a) Have any interest in the making of any investment, or in the
gains or profits accruing therefrom.
(b) For himself or herself or as an agent or partner of others,
borrow any funds or deposits of this system, nor use those funds or
deposits in any manner except to make current and necessary payments
authorized by the board.
(c) Become an indorser, surety or obligor on investments by the
board.
20151. The board and its officers and employees shall discharge
their duties with respect to this system solely in the interest of
the participants and beneficiaries:
(a) For the exclusive purpose of both of the following:
(1) Providing benefits to members, retired members, and their
survivors and beneficiaries.
(2) Defraying reasonable expenses of administering this system.
(b) Minimizing the employers' costs of providing benefits under
this part.
(c) By investing with the care, skill, prudence, and diligence
under the circumstances then prevailing that a prudent person acting
in a like capacity and familiar with those matters would use in the
conduct of an enterprise of a like character and with like aims.
20152. Notwithstanding Section 13340, there is hereby continuously
appropriated, without regard to fiscal years, from the retirement
fund to the board, the amount necessary to pay for any insurance
obtained pursuant to Section 7511, which payments shall be made upon
warrants drawn by the Controller upon demands made by the board.
20152.5. No matter involving any vendor or contractor in their
individual or any other capacity shall be considered during a closed
session on any transaction involving the system unless, prior to the
closed session, a written disclosure has been submitted by the vendor
or contractor of any campaign contributions aggregating two hundred
fifty dollars ($250) or more and any gifts aggregating fifty dollars
($50) or more in value that the vendor or contractor has made during
the preceding calendar year to any member of the board or any officer
or employee of the system. Failure to disclose the campaign
contributions and gifts shall provide the basis for disqualification
of the contractor or the vendor.
20153. (a) During the process leading to an award of any contract
by the system, no member of the board or its staff shall knowingly
communicate concerning any matter relating to the contract or
selection process with any party financially interested in the
contract or an officer or employee of that party, unless the
communication is (1) part of the process expressly described in the
request for proposal or other solicitation invitation, or (2) part of
a noticed board meeting, or (3) as provided in subdivision (c). Any
applicant or bidder who knowingly participates in a communication
that is prohibited by this subdivision shall be disqualified from the
contract award.
(b) During the evaluation of any prospective investment
transaction, no party who is financially interested in the
transaction, or an officer or employee of that party, may knowingly
communicate with any board member concerning any matter relating to
the transaction or its evaluation, unless the financially interested
party discloses the content of the communication in a writing
addressed and submitted to the executive officer and the board prior
to the board's action on the prospective transaction. This
subdivision shall not apply to communications that are part of a
noticed board meeting, or as provided in subdivision (c).
(1) The writing shall disclose the date and location of the
communication, and the substance of the matters discussed. The board
shall prescribe other procedures concerning this disclosure.
(2) Any board member who participates in a communication subject
to this subdivision shall also have the obligation to disclose the
communication to the executive officer and board, prior to the board'
s action on the prospective transaction. The board shall prescribe
procedures for this disclosure, including procedures to apply to
board members who fail to disclose communications as required by the
subdivision.
(3) Consistent with its fiduciary duties, the board shall
determine the appropriate remedy for any knowing failure of a
financially interested party to comply with this subdivision
including, but not limited to, outright rejection of the prospective
investment transaction, reduction in fee received, or any other
sanction.
(4) The communications disclosed under this subdivision shall be
made public, either at the open meeting of the board in which the
transaction is considered, or if in closed session, upon public
disclosure of any closed session votes concerning the investment
transaction.
(c) The procedures and prohibitions prescribed by this section
shall not apply to:
(1) Communications that are incidental, exclusively social, and do
not involve the system or its business, or the board or staff member'
s role as a system official.
(2) Communications that do not involve the system or its business
and that are within the scope of the board or staff member's private
business or public office wholly unrelated to the system.
20150. A board member or employee of the board shall not, directly
or indirectly:
(a) Have any interest in the making of any investment, or in the
gains or profits accruing therefrom.
(b) For himself or herself or as an agent or partner of others,
borrow any funds or deposits of this system, nor use those funds or
deposits in any manner except to make current and necessary payments
authorized by the board.
(c) Become an indorser, surety or obligor on investments by the
board.
20151. The board and its officers and employees shall discharge
their duties with respect to this system solely in the interest of
the participants and beneficiaries:
(a) For the exclusive purpose of both of the following:
(1) Providing benefits to members, retired members, and their
survivors and beneficiaries.
(2) Defraying reasonable expenses of administering this system.
(b) Minimizing the employers' costs of providing benefits under
this part.
(c) By investing with the care, skill, prudence, and diligence
under the circumstances then prevailing that a prudent person acting
in a like capacity and familiar with those matters would use in the
conduct of an enterprise of a like character and with like aims.
20152. Notwithstanding Section 13340, there is hereby continuously
appropriated, without regard to fiscal years, from the retirement
fund to the board, the amount necessary to pay for any insurance
obtained pursuant to Section 7511, which payments shall be made upon
warrants drawn by the Controller upon demands made by the board.
20152.5. No matter involving any vendor or contractor in their
individual or any other capacity shall be considered during a closed
session on any transaction involving the system unless, prior to the
closed session, a written disclosure has been submitted by the vendor
or contractor of any campaign contributions aggregating two hundred
fifty dollars ($250) or more and any gifts aggregating fifty dollars
($50) or more in value that the vendor or contractor has made during
the preceding calendar year to any member of the board or any officer
or employee of the system. Failure to disclose the campaign
contributions and gifts shall provide the basis for disqualification
of the contractor or the vendor.
20153. (a) During the process leading to an award of any contract
by the system, no member of the board or its staff shall knowingly
communicate concerning any matter relating to the contract or
selection process with any party financially interested in the
contract or an officer or employee of that party, unless the
communication is (1) part of the process expressly described in the
request for proposal or other solicitation invitation, or (2) part of
a noticed board meeting, or (3) as provided in subdivision (c). Any
applicant or bidder who knowingly participates in a communication
that is prohibited by this subdivision shall be disqualified from the
contract award.
(b) During the evaluation of any prospective investment
transaction, no party who is financially interested in the
transaction, or an officer or employee of that party, may knowingly
communicate with any board member concerning any matter relating to
the transaction or its evaluation, unless the financially interested
party discloses the content of the communication in a writing
addressed and submitted to the executive officer and the board prior
to the board's action on the prospective transaction. This
subdivision shall not apply to communications that are part of a
noticed board meeting, or as provided in subdivision (c).
(1) The writing shall disclose the date and location of the
communication, and the substance of the matters discussed. The board
shall prescribe other procedures concerning this disclosure.
(2) Any board member who participates in a communication subject
to this subdivision shall also have the obligation to disclose the
communication to the executive officer and board, prior to the board'
s action on the prospective transaction. The board shall prescribe
procedures for this disclosure, including procedures to apply to
board members who fail to disclose communications as required by the
subdivision.
(3) Consistent with its fiduciary duties, the board shall
determine the appropriate remedy for any knowing failure of a
financially interested party to comply with this subdivision
including, but not limited to, outright rejection of the prospective
investment transaction, reduction in fee received, or any other
sanction.
(4) The communications disclosed under this subdivision shall be
made public, either at the open meeting of the board in which the
transaction is considered, or if in closed session, upon public
disclosure of any closed session votes concerning the investment
transaction.
(c) The procedures and prohibitions prescribed by this section
shall not apply to:
(1) Communications that are incidental, exclusively social, and do
not involve the system or its business, or the board or staff member'
s role as a system official.
(2) Communications that do not involve the system or its business
and that are within the scope of the board or staff member's private
business or public office wholly unrelated to the system.
20150. A board member or employee of the board shall not, directly
or indirectly:
(a) Have any interest in the making of any investment, or in the
gains or profits accruing therefrom.
(b) For himself or herself or as an agent or partner of others,
borrow any funds or deposits of this system, nor use those funds or
deposits in any manner except to make current and necessary payments
authorized by the board.
(c) Become an indorser, surety or obligor on investments by the
board.
20151. The board and its officers and employees shall discharge
their duties with respect to this system solely in the interest of
the participants and beneficiaries:
(a) For the exclusive purpose of both of the following:
(1) Providing benefits to members, retired members, and their
survivors and beneficiaries.
(2) Defraying reasonable expenses of administering this system.
(b) Minimizing the employers' costs of providing benefits under
this part.
(c) By investing with the care, skill, prudence, and diligence
under the circumstances then prevailing that a prudent person acting
in a like capacity and familiar with those matters would use in the
conduct of an enterprise of a like character and with like aims.
20152. Notwithstanding Section 13340, there is hereby continuously
appropriated, without regard to fiscal years, from the retirement
fund to the board, the amount necessary to pay for any insurance
obtained pursuant to Section 7511, which payments shall be made upon
warrants drawn by the Controller upon demands made by the board.
20152.5. No matter involving any vendor or contractor in their
individual or any other capacity shall be considered during a closed
session on any transaction involving the system unless, prior to the
closed session, a written disclosure has been submitted by the vendor
or contractor of any campaign contributions aggregating two hundred
fifty dollars ($250) or more and any gifts aggregating fifty dollars
($50) or more in value that the vendor or contractor has made during
the preceding calendar year to any member of the board or any officer
or employee of the system. Failure to disclose the campaign
contributions and gifts shall provide the basis for disqualification
of the contractor or the vendor.
20153. (a) During the process leading to an award of any contract
by the system, no member of the board or its staff shall knowingly
communicate concerning any matter relating to the contract or
selection process with any party financially interested in the
contract or an officer or employee of that party, unless the
communication is (1) part of the process expressly described in the
request for proposal or other solicitation invitation, or (2) part of
a noticed board meeting, or (3) as provided in subdivision (c). Any
applicant or bidder who knowingly participates in a communication
that is prohibited by this subdivision shall be disqualified from the
contract award.
(b) During the evaluation of any prospective investment
transaction, no party who is financially interested in the
transaction, or an officer or employee of that party, may knowingly
communicate with any board member concerning any matter relating to
the transaction or its evaluation, unless the financially interested
party discloses the content of the communication in a writing
addressed and submitted to the executive officer and the board prior
to the board's action on the prospective transaction. This
subdivision shall not apply to communications that are part of a
noticed board meeting, or as provided in subdivision (c).
(1) The writing shall disclose the date and location of the
communication, and the substance of the matters discussed. The board
shall prescribe other procedures concerning this disclosure.
(2) Any board member who participates in a communication subject
to this subdivision shall also have the obligation to disclose the
communication to the executive officer and board, prior to the board'
s action on the prospective transaction. The board shall prescribe
procedures for this disclosure, including procedures to apply to
board members who fail to disclose communications as required by the
subdivision.
(3) Consistent with its fiduciary duties, the board shall
determine the appropriate remedy for any knowing failure of a
financially interested party to comply with this subdivision
including, but not limited to, outright rejection of the prospective
investment transaction, reduction in fee received, or any other
sanction.
(4) The communications disclosed under this subdivision shall be
made public, either at the open meeting of the board in which the
transaction is considered, or if in closed session, upon public
disclosure of any closed session votes concerning the investment
transaction.
(c) The procedures and prohibitions prescribed by this section
shall not apply to:
(1) Communications that are incidental, exclusively social, and do
not involve the system or its business, or the board or staff member'
s role as a system official.
(2) Communications that do not involve the system or its business
and that are within the scope of the board or staff member's private
business or public office wholly unrelated to the system.
