New Mexico – A proposal to revamp the State Investment Council has cleared the Senate and it will reduce the governor's influence over the board overseeing endowment funds valued at $12 billion.
The governor serves as the Investment Council's chairman and can control the board through his power to appoint members.
The legislation removes the governor from the council and limits his influence to fewer members. Legislative leaders will name some appointees.
The council will hire the state investment officer rather than the governor.
The Senate unanimously approved the bill on Friday and sent it to the House. The legislation was partly in response to a pending federal investigation of public investments and fees paid to third-party marketing agents.
The investment board bill is SB18.
Copyright 2010 The Associated Press.