reglab/statecodes huggingface dataset:
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 15.00 - Miscellaneous › Section 15.03 - Regular Compensation

Current through Register 1525, July 5, 2024
(1) During
			 any period of active service prior to July 1, 2009 the term "regular
			 compensation" as defined by M.G.L. c. 32, § 1, shall be determined subject
			 to the following:
(a) To be considered regular
			 compensation, any compensation to an employee must:
1. have been actually paid to or on behalf of
			 a member:
2. be made as
			 remuneration for services actually rendered, for recurring payments for accrued
			 sick leave, or for payments made pursuant to M.G.L. c. 41, § 111F in the
			 year or part of a year to which the compensation is attributed;
3. be ordinary, normal, recurrent, repeated,
			 and of indefinite duration;
4. be
			 made pursuant to an official written policy of the employer or to a collective
			 bargaining agreement;
5. be made on
			 a non-discriminatory basis and be generally available for employees who are
			 similarly situated relative to the purpose of the payment
			 (
e.g
. a longevity payment made recurrently to all employees in
			 a bargaining unit having attained a specific length of service) provided that
			 the ability of a payment to be denied due to merit shall not exclude it for
			 that reason from regular compensation.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 15.00 - Miscellaneous › Section 15.04 - Benefit Calculation Factors

Current through Register 1525, July 5, 2024
PERAC, through its Actuary, is required to review the mortality
				table and interest rate used in the determination of the actuarial equivalence
				factors for Options A, B, and C on or before January 1, 2014 and every ten
				years thereafter. After the review, if changes are warranted, the Actuary will
				select a revised mortality table and/or a revised interest rate to be used in
				the determination of actuarial equivalence factors and develop such revised
				factors.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 15.00 - Miscellaneous › Section 15.05 - Board Credit Cards

Current through Register 1525, July 5, 2024
(1) Retirement
			 Boards may, by supplementary regulation, submitted to and approved by PERAC,
			 authorize use of a credit card account issued to the Retirement Board. 840 CMR
			 15.05 should specifically include the amount upon which prior spending
			 authorization is required and the categories for which the credit card account
			 can be used.
(2) Authorized users
			 should be voted upon by the board and included in the board meeting minutes. No
			 one other than an authorized user may utilize the board credit card
			 account.
(3) Any personal use of
			 said credit card account issued to the board is prohibited.
(4) The board credit card account shall not
			 be used to obtain cash advances, bank checks, traveler's checks, or electronic
			 cash transfers.
(5) The credit card
			 account billings shall be issued to the board office and any authorized user
			 shall be required to provide receipts for all expenses included in the monthly
			 statement within ten business days of the statement date. If receipts are not
			 provided, the authorized user will immediately reimburse the board for those
			 items that appear on the credit card billing.
(6) Credit card accounts issued to the board
			 may be used to purchase supplies or other items that the Board, the board
			 members, or the board's staff use on a regular basis in the performance of
			 board-related duties. However, the board should follow a procurement process
			 for the goods and services whenever possible. Credit card accounts issued to
			 the board may also be used for board-related travel expenses, as described at
			 840 CMR 2.00:
Retirement Board Travel
, or the supplementary
			 regulations of the board.
(7) If
			 the board credit card is lost or stolen, this must be immediately reported to
			 the Board and to the financial institution issuing the card.
(8) The board must pay off the credit card
			 account in full every month so as not to incur any interest on the
			 account.
(9) The board's
			 supplementary regulation shall include a provision that continued or repeated
			 non-conformance to this policy will result in cancellation of the credit card
			 account and such other actions as appropriate.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.01 - Definition

Current through Register 1525, July 5, 2024
Unless a different meaning is plainly required by the context,
				words and phrases used in
				840 CMR 16.00 through
				25.00, shall have the
				meanings assigned them by 840 CMR 16.01. If no meaning is assigned by 840 CMR
				16.01 they shall have the meanings assigned them by M.G.L. c. 32 and if no
				meaning is so assigned, they shall have their ordinary meanings.
Person
means an individual,
				partnership, joint venture, corporation, association, trust, estate or
				organization of members of a retirement system.
Qualified investment manager
means:
(a) a person registered as an
			 investment adviser pursuant to the Investment Advisers Act of 1940 ( 15 U.S.C.
			 80b -
			 1
et seq.);
(b) a
			 bank as defined by the Investment Advisers Act of 1940;
(c) an insurance company qualified to manage,
			 acquire, or dispose of assets of a plan pursuant to the laws of more than one
			 state;
(d) a partnership, joint
			 venture, corporation, association or trust in which the advisor or general
			 partner is exempt from registration pursuant to 203(b)(3) of the Investment
			 Advisers Act of 1940 ( 15 U.S.C. 80b -
			 1
et seq.)
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.02 - Employment of Qualified Investment Manager; When Permitted or Required; Delegation of Responsibility; Expenses; Contract

Current through Register 1525, July 5, 2024
(1) Any board may employ a qualified
			 investment manager as defined in
			 840 CMR 16.01 to
			 advise the board on the purchase and sale of investments.
(2) Any board which has received an
			 investment exemption pursuant to
			 840 CMR 19.00 shall employ a
			 qualified investment manager or qualified investment managers who shall manage
			 the funds of the system.
(3) No
			 person who is not a qualified investment manager as defined by
			 840 CMR 16.01 shall
			 advise any board on the purchase and sale of investments or manage the funds of
			 any system which has received an exemption pursuant to
			 840 CMR 19.00.
(4) No board which has not received an
			 exemption pursuant to
			 840 CMR 19.00 may delegate
			 responsibility for the investment of the funds of the system provided, however,
			 that any board may participate in or purchase units of the PRIT Fund.
(5) Employment of a qualified investment
			 manager shall be by written contract executed prior to the delegation of
			 investment authority to the qualified investment manager stating all terms and
			 conditions of employment including, but not limited to, investment objectives,
			 brokerage practices, proxy voting and tender offer exercise procedures, term of
			 employment, fees and termination provisions. Every such contract shall provide
			 that the qualified investment manager is a fiduciary with respect to the funds
			 the board invests pursuant to the qualified investment manager's advice
			 regarding the purchase and sale of investments or the funds which the qualified
			 investment manager manages, as the case may be. No contract shall contain a
			 provision which requires the indemnification of the manager by the retirement
			 board. A copy of every contract shall be retained by the board and be subject
			 to audit by the Commission.
(6) All
			 qualified investment managers shall annually submit a current Form ADV Part II
			 of the Uniform Application for Investment Adviser Registration to the board for
			 which it manages assets and to the Public Employee Retirement Administration
			 Commission.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.03 - Authority of Investment Managers to Invest Funds

Current through Register 1525, July 5, 2024
(1) Every board which has received an
			 exemption pursuant to
			 840 CMR 19.00 shall by vote
			 authorize a qualified investment manager as defined in
			 840 CMR 16.01 to
			 invest and reinvest the funds of the system on behalf of the board in
			 accordance with the board's statement of investment objectives.
(2) Every investment made by a qualified
			 investment manager on behalf of a board shall comply with the requirements of
			 M.G.L. c. 32, § 23 and
			 840 CMR 16.00 through
			 25.00.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.04 - Use of Custodian Banks; Nominees; Securities Depository

Current through Register 1525, July 5, 2024
(1) Every board shall designate one or more
			 banks or trust companies, organized under the laws of the Commonwealth or of
			 the United States, custodian of the securities and assets of the system, and
			 shall designate as members of any nominee holding securities of the system any
			 authorized employee of such custodian. All assets of the system shall be held
			 by the custodian on behalf of the board. Each board shall direct its custodian
			 to provide the Commission with the reports and information required pursuant to
			 840 CMR 4.00 and if possible,
			 said reports and information shall be provided by electronic means or
			 electronic access granted to the Commission.
(2) Any board may authorize a custodian
			 designated pursuant to 840 CMR 16.04(1) to place the securities of the system
			 in a securities depository registered with the Securities and Exchange
			 Commission for the purpose of facilitating security trading and certificate
			 delivery.
(3) In the event a board
			 changes its custodian it shall make every effort to effectuate that change as
			 of January 1.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.05 - Use of Brokers

Current through Register 1525, July 5, 2024
(1) Retirement
			 system board members and employees shall not:
(a) direct brokerage commissions for
			 services, or
(b) instruct its
			 qualified investment manager or managers to direct brokerage
			 commissions.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.06 - Petitions for Additions to Legal List

Current through Register 1525, July 5, 2024
Every board which petitions the Office of the Commissioner of
				Banks for inclusion of securities on the Legal List shall forward a copy of the
				petition and the final determination by the Commissioner of Banks as to
				inclusion on the Legal List to the Commission.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.07 - Review of Investment Performance; Investment Managers

Current through Register 1525, July 5, 2024
(1) Every retirement board shall at least
			 quarterly review the performance of the overall portfolio and selected
			 components against the retirement system's investment goals and
			 policies.
(2) Every retirement
			 board which has received an exemption pursuant to
			 840 CMR 19.00 shall meet with
			 its qualified investment manager or managers at least annually and shall, at a
			 minimum:
(a) require its qualified investment
			 manager or managers to provide a comprehensive written quarterly report which
			 includes a review of investment performance including a review of the
			 investment manager's relative performance, a review of the system's
			 investments, and a report on the investment manager's current investment
			 outlook or forecast as well as strategy for the future;
(b) review each such report in depth with its
			 qualified investment manager or managers; and
(c) require its qualified investment manager
			 or managers to send one such report to the Commission each year.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.08 - Procurement of Investment Related Services

Current through Register 1525, July 5, 2024
The selection and hiring of investment managers, consultants,
				custodian banks and other investment related service providers by all
				retirement boards shall be subject to a competitive process which satisfies the
				boards' fiduciary duty and meets the requirements of M.G.L. c. 32 and 840 CMR.
				Prior to retention of the vendor Boards shall notify the Commission that such a
				process as well as the provisions of M.G.L. c. 32 and 840 CMR were adhered to.
				A procurement file for each such selection shall be maintained by the board and
				be subject to audit. Said file shall contain the request for proposals,
				selection process, selection criteria and other information relative to the
				board meeting its fiduciary responsibility with respect to the
				selection.
A person submitting a bid or proposal to provide services to a
				board shall certify, in writing, on the bid or proposal, as follows:
The undersigned certifies under penalties of perjury that this
				bid or proposal has been submitted in good faith and without collusion or fraud
				with any other person. As used in this certification, the word "person" shall
				mean any natural person, business, partnership, corporation, union, club, or
				other organization, entity or group of individuals.
________________________________________
(Signature of individual submitting bid or proposal)
______________________
(Name of business)
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.09 - Notice to Cease and Desist

Current through Register 1525, July 5, 2024
If the Executive Director of the Public Employee Retirement
				Administration Commission has reason to believe that any person including,
				without limitation, any board or member or qualified investment manager
				thereof, has invested or is investing the funds of a system without
				authorization or in violation of any provision of M.G.L. c. 32, or
				840 CMR 16.00 through
				25.00, inclusive, the
				Executive Director shall issue a notice to such person to cease and desist from
				doing so and, if the Executive Director finds that protection of system funds
				so require, the Executive Director may:
(1) remove any such person from advising any
			 retirement system or managing the funds of any system;
(2) revoke any exemption granted to such
			 board pursuant to
			 840 CMR 19.00; or
(3) petition the Superior Court to compel the
			 observance and restrain the violation of any provision of M.G.L. c. 32, §
			 23, or
			 840 CMR 16.00 through
			 25.00.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 16.00 - Investment Advice And Management › Section 16.10 - Investment of Funds by Exempt Boards

Current through Register 1525, July 5, 2024
Notwithstanding the provisions of
				840 CMR 19.00, retirement
				boards which have received an exemption in accordance with
				840 CMR 19.00 may retain
				investment responsibility for sufficient assets necessary to cover current
				disbursements.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 17.00 - Standards Of Conduct For Fiduciaries And Qualified Investment Managers › Section 17.01 - Bonding of Persons Having Access to Retirement Board Funds

Current through Register 1525, July 5, 2024
All board members and retirement system staff shall be bonded
				in an amount sufficient to provide reasonable protection against losses due to
				fraud and dishonesty and each shall be bonded for no less than 10% of the
				amount of the fund or $500,000. The Commission may prescribe a bond in excess
				of $500,000, provided that such bond shall not exceed 10% of the amount of the
				fund.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 17.00 - Standards Of Conduct For Fiduciaries And Qualified Investment Managers › Section 17.02 - Code of Ethics for Fiduciaries

Current through Register 1525, July 5, 2024
Fiduciaries shall subscribe and conform to the following code
				of ethics:
(1) Fiduciaries shall
			 conduct themselves with integrity and act in an ethical manner in their
			 dealings with the public, retirement board, employers, employees, and fellow
			 fiduciaries.
(2) Fiduciaries shall
			 conduct themselves and shall encourage other fiduciaries to perform their
			 functions in a professional and ethical manner that will reflect credit on
			 themselves and their profession.
(3) Fiduciaries shall act with competence and
			 shall strive to maintain and improve their competence and that of others in
			 their profession.
(4) Fiduciaries
			 shall use proper care and exercise independent professional judgment.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 17.00 - Standards Of Conduct For Fiduciaries And Qualified Investment Managers › Section 17.03 - Standards of Conduct for Fiduciaries

Current through Register 1525, July 5, 2024
Every fiduciary shall know and comply with all applicable
				provisions of M.G.L. c. 268A governing the conduct of public officials and
				employees and shall conform to the standards of conduct prescribed by M.G.L. c.
				268A, § 23.
(1) Every fiduciary
			 shall:
(a) Comply with the standards set
			 forth in
			 840 CMR 1.00
(b) operate in accordance with retirement
			 system procedures, documents and instruments; and
(c) inform each retirement system qualified
			 investment manager of the Code of Ethics and Standards of Conduct applicable to
			 qualified investment managers pursuant to
			 840 CMR
			 17.02 and
			 17.04.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 17.00 - Standards Of Conduct For Fiduciaries And Qualified Investment Managers › Section 17.04 - Standards of Conduct for Qualified Investment Managers and Consultants

Current through Register 1525, July 5, 2024
In addition to the standards of conduct for fiduciaries and the
				standards set forth in
				840 CMR 1.00 Qualified
				Investment Managers shall comply with 840 CMR 17.04. 840 CMR 17.04 shall also
				apply to Consultants retained pursuant to
				840 CMR 25.00.
(1) Compliance with Applicable Law,
			 Regulations, Code of Ethics and Standards of Conduct.
(a) Knowledge of and Compliance with
			 Applicable Law, etc. Every qualified investment manager and every consultant
			 shall be familiar with and comply with all applicable laws and rules and
			 regulations, including rules and regulations of any self-regulatory agency of
			 the profession, the standards of conduct of
			 840 CMR
			 17.03 and 17.04 and the code of ethics of
			 840 CMR
			 17.02.
(b) Assisting Legal and Ethical Violations
			 Prohibited. No qualified investment manager or consultant shall knowingly
			 participate in, or assist any act in violation of any statute or regulation
			 governing securities matters or any act in violation of the code of ethics of
			 840 CMR
			 17.02 or the standards of conduct of
			 840 CMR
			 17.03 and 17.04.
(c) Use of Material Non-Public Information
			 Prohibited. Every qualified investment manager and every consultant shall
			 comply with all laws and regulations relating to the use of material non-public
			 information. No qualified investment manager or consultant shall communicate or
			 take investment action on the basis of such information until it is publicly
			 disseminated and any qualified investment manager or consultant who acquires
			 such information, other than as a result of a special or confidential
			 relationship with an issuer, shall make reasonable efforts to achieve public
			 dissemination of such information by the issuer.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 18.00 - Formation Of Investment Policy And Statement Of Investment Objectives › Section 18.01 - General Requirement

Current through Register 1525, July 5, 2024
(1) Every board
			 shall file a statement of investment objectives with the Public Employee
			 Retirement Administration Commission.
(2) Before designing an investment program
			 and writing a statement of objectives, every board shall consider its most
			 recent actuarial valuation, meet with the board's consultant, if any, and
			 address the following questions:
(a) What
			 stage of growth best describes the system: start-up, early growth, sustained
			 growth, maturity, or decline?
(b)
			 What are the estimates of growth in the workforce, benefit increases, inflation
			 and other economic factors?
(c)
			 What is the projected level of cash payments to beneficiaries for the next 20
			 years (the "liabilities stream")?
(d) What assumption regarding "real
			 investment return" (total return less wage inflation rate) is used by the
			 actuary to make funding estimates?
(e) Is the system underfunded?
(f) What has been the history of employer and
			 employee payments into the system? Is there any reason to expect that these
			 will change?
(g) What is the
			 long-term demographic forecast for the system area? What may affect the tax
			 base including such factors as population and business growth, rate of growth
			 or decline and condition of housing stock and industrial facilities?
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 18.00 - Formation Of Investment Policy And Statement Of Investment Objectives › Section 18.02 - Matters to be Included in Statement of Investment Objectives

Current through Register 1525, July 5, 2024
Every statement of investment objectives shall be filed on Form
				18, shall be signed by each board member and shall include the following
				information:
(1)
Fiduciaries
. The name, address, background and
			 responsibilities of every retirement board fiduciary, including every qualified
			 investment manager employed or expected to be employed by the board.
(2)
Terms of Employment and
			 Compensation
. The terms of employment and compensation of every:
(a) qualified investment manager;
(b) consultant employed by the
			 board;
(c) custodian bank employed
			 by the board;
(d) actuary employed
			 by the board;
(e) attorney employed
			 or used by the board; and
(f) other
			 contractor employed by the board.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 18.00 - Formation Of Investment Policy And Statement Of Investment Objectives › Section 18.03 - Updates of Statement of Investment Objectives

Current through Register 1525, July 5, 2024
Statements of objectives shall be updated by the board as
				changes occur including, but not limited to, the filing of an Application for
				Exemption as provided for in
				840 CMR 19.00. The board
				shall notify Commission in writing of any such changes within ten days of the
				effective date of the change. Boards shall review and, if appropriate, amend
				the statement of objectives upon completion of each actuarial valuation of the
				system. In addition on or before December 31 of each year the board shall
				notify the Commission of whether or not any changes have been made in the
				statement of objectives and in the event changes have been made said board
				shall notify the Commission of those changes.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 19.00 - Exemptions From Investment Restrictions › Section 19.01 - Effect of Existing Exemptions

Current through Register 1525, July 5, 2024
(1) Any
			 board which has received an exemption from restrictions on investments of
			 M.G.L. c. 32, § 23(2)(b)(i) through (vii) on or before the effective date
			 of
			 840 CMR 19.00 shall be deemed
			 to have applied for and received an exemption for investment in the asset class
			 which was the subject of the prior exemption. In the event any such board,
			 following the completion of a competitive process as required by these
			 regulations, selects a qualified investment manager appearing on a list of
			 qualified investment managers promulgated by the Public Employee Retirement
			 Administration Commission the board may retain said qualified investment
			 manager without receiving a further exemption, provided, however, that the
			 board has complied with other provisions of 840 CMR. Said list shall consist of
			 all qualified investment managers which have been the subject of approved
			 applications for exemption on or before the effective date of
			 840 CMR 19.00 and any
			 qualified investment manager which is the subject of an approved application
			 for exemption after that date
(2)
			 Boards shall use the following process in selecting qualified investment
			 managers to invest in equity, fixed income, cash or cash equivalents. Boards
			 shall establish specifications and criteria for selection including:
(a) the total size of the portfolio to be
			 managed by each prospective manager;
(b) the number of managers that will be used
			 for the total portfolio;
(c) an
			 initial determination as to whether existing managers will be retained
			 automatically or reviewed as part of the overall selection process;
(d) the type(s) of manager to be
			 selected;
(e) the size of the
			 management firm desired;
(f) the
			 style or investment philosophy of the manager desired;
(g) the methodology or investment process
			 desired;
(h) the range of fees that
			 are considered tolerable;
(i) the
			 investment manager's use of soft dollar services; and
(j) the manager's experience in policy
			 restrictions including South Africa, Northern Ireland and tobacco
			 restrictions.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 19.00 - Exemptions From Investment Restrictions › Section 19.02 - Complete Exemption by Commission

Current through Register 1525, July 5, 2024
The Commission shall grant exemption from the restrictions on
				investment of M.G.L. c. 32, § 23(2)(b)(i) through (vii), inclusive as
				follows:
(1)
Complete
			 Exemption
. Boards assigned 70% or more of the total applicable
			 points pursuant to the criteria developed in accordance with
			 840 CMR
			 19.05 shall be granted complete
			 exemption.
(2)
No
			 Exemption
. Boards assigned less than 70% of the total applicable
			 points pursuant to the criteria developed in accordance with
			 840 CMR
			 19.05 shall be granted no
			 exemption.
(3) The Commission shall
			 also consider other factors, including but not limited to, any regulatory
			 action, litigation, or legal proceedings involving the qualified investment
			 manager in the past five years and any other matters relating to the
			 qualifications of the investment manager and shall determine whether any such
			 matters warrant denial of an exemption. The Commission shall notify the board
			 and the qualified investment manager of the reasons for any such denial of
			 exemption. The Commission may withhold approval of an exemption if it is in the
			 best interests of the retirement system.
(4) The Commission shall notify the board of
			 its determination no later than ten days following receipt of all information
			 needed to make such determination.
(5) The provisions of M.G.L. c. 32, §
			 23(2)(b)(i) through (vii) shall not apply to the retention of a qualified
			 investment manager to invest assets of a board in fixed income securities or
			 equities of United States Corporations provided those securities or shares are
			 not an investment in alternative investments or real estate.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 19.00 - Exemptions From Investment Restrictions › Section 19.03 - Revocation of Exemption

Current through Register 1525, July 5, 2024
(1) If the
			 Commission has reason to believe that a board granted exemptions pursuant to
			 840 CMR 19.00, or the
			 investments of any board, do not comply with the requirements of M.G.L. c. 32,
			 § 23(2), or with the requirements of
			 840 CMR 19.00, the Commission
			 may require the board to show cause why the exemptions should not be revoked.
			 If the board fails to establish that its investments do so comply, the
			 Commission may revoke the exemptions and the board shall thereafter be subject
			 to the restrictions on investments of M.G.L. c. 32, § 23(2)(b)(i) through
			 (vii).
(2) If the Commission
			 determines that an action of a qualified investment manager, including but not
			 limited to, involvement in any regulatory action, litigation or legal
			 proceedings, change in principals or senior investment professionals, or
			 performance significantly impairs or changes the manager's ability to perform,
			 the Commission may remove the qualified investment manager from the list
			 promulgated in accordance with
			 840 CMR
			 19.01.
(3) Any board upon revocation or withdrawal
			 of an exemption shall annually file a report with the Commission which outlines
			 which investments not authorized pursuant to the restrictions of M.G.L. c. 32,
			 § 23(2)(b)(i) through (vii) are held by the board and why they continue to
			 be held.
(4) In the event a
			 qualified investment manager is no longer retained by any retirement board, the
			 qualified investment manager shall be removed from the list promulgated in
			 accordance with
			 840 CMR
			 19.01.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 19.00 - Exemptions From Investment Restrictions › Section 19.04 - Determination of Qualifications of Investment Manager; Review of Application

Current through Register 1525, July 5, 2024
(1)
Investment
			 Manager
. The Commission shall determine, for every application for
			 exemption, whether the board has a qualified investment manager as defined by
			 840 CMR
			 16.01.
(2)
Review of
			 Application
. If the Commission determines that the board has a
			 qualified investment manager, the Commission shall review the selection process
			 of the qualified investment manager, review the information contained in the
			 application for exemption, consider the diversification of the investments of
			 the board, and professional qualifications of the qualified investment manager
			 in accordance with
			 840 CMR
			 19.05.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 19.00 - Exemptions From Investment Restrictions › Section 19.05 - Rating of Investment Performance and Qualifications

Current through Register 1525, July 5, 2024
In rating investment performance and qualifications the
				Commission shall develop and disseminate objective criteria uniformly to be
				applied in an equitable fashion. These criteria shall include, but not be
				limited to, the investment performance of the system, investment performance of
				investment manager for asset classes which investment manager will manage,
				professional qualifications of investment manager, public and private pension
				accounts managed by investment manager as of the year preceding the year of
				application, registration of investment adviser under the Investment Advisers
				Act of 1940, investment manager's review and control procedures, daily
				supervision of portfolio and trading capability.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 21.00 - Prohibited Investments › Section 21.01 - Prohibited Investments

Current through Register 1525, July 5, 2024
No investment by any board or by any bank pooled fund, mutual
				fund, group trust, limited partnership, insurance company separate account or
				other form of pooled investment of any board shall consist of any of the
				following:
(1) Purchases of securities
			 by partial payment of their cost (purchases on margin).
(2) Sale of securities not owned by the
			 system at the time of sale (short sales).
(3) Future contracts other than as follows:
(a) Forward currency contracts may be written
			 against securities in the international portfolio by an investment advisor
			 registered under the Investment Advisors Act of 1940 and who has been the
			 subject of an exemption for international investment.
(b) Forward currency contracts may be written
			 against securities in an international portfolio to a maximum 25% of the
			 international portfolio non-dollar holdings at market value. Speculative
			 currency positions unrelated to underlying portfolio holdings are strictly
			 prohibited.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 23.00 - Recognition Of Gains And Losses › Section 23.01 - Amortization Schedule

Current through Register 1525, July 5, 2024
The actuary may, in the determination of the appropriation
				amounts pursuant to M.G.L. c. 32, § 22(3)(d) or, for the state employees'
				retirement system, the teachers' retirement system and those systems who have
				elected to adopt M.G.L. c. 32, § 22D, in the determination of a funding
				schedule, amortize realized gains and losses and unrealized gains and losses
				over a period of five years or any other period of time as prescribed by the
				Commissioner.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 23.00 - Recognition Of Gains And Losses › Section 23.02 - Definition of Realized Gain or Loss and Unrealized Gain or Loss

Current through Register 1525, July 5, 2024
Pursuant to
				840 CMR
				23.01, a realized gain (loss) is any profit
				(loss) sustained on the sale or maturity of any investment of any system, due
				to the amount received being more (less) than the book value on the date of its
				sale or maturity. An unrealized gain (loss) is any amount by which the market
				value of any investment required to be valued at its market value pursuant to
				M.G.L. c. 32, § 21, paragraph (b) is more (less) than the value at which
				such investment was included in the assets of the system on the date of the
				last previous valuation.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 26.00 - Consultants › Section 26.01 - Retention of a Consultant

Current through Register 1525, July 5, 2024
(1) Any board which
			 employs a consultant must apply for approval of the consultant from the
			 Commission by filing an application for approval on Form 25 with the
			 Commission. Such application shall take place with respect to consultants
			 employed as of the effective date of
			 840 CMR
			 26.00, prior to the board executing a contract
			 extension, renewal or new contract or six months after the effective date of
			 840 CMR
			 26.00, whichever is earlier.
(2) Any such consultant must be registered as
			 an investment adviser pursuant to the Investment Advisers Act of 1940 ( 15
			 U.S.C. 80b -
			 1
et seq
.).
(3) Any
			 such consultant must be deemed a qualified consultant by the Commission prior
			 to providing services to the board.
(4) Boards shall use the following process in
			 selecting consultants:
(a) Boards shall
			 establish specifications and criteria for selection including:
1. whether a full-line consulting firm will
			 be employed or whether a limited-line firm will be employed;
2. the type of firm to be selected (a firm
			 offering a wide range of products or services or a firm specializing in the
			 consulting area);
3. the experience
			 of the consulting firm's personnel;
4. an initial determination as to whether the
			 existing consultant will be retained automatically;
5. the range of fees that are considered
			 tolerable; and
6. he consultant's
			 experience in policy restrictions including South Africa and Northern Ireland
			 and tobacco.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 26.00 - Consultants › Section 26.02 - Determination of Qualifications of Consultant; Review of Application

Current through Register 1525, July 5, 2024
(1)
Consultant
. The
			 Commission shall determine, for every application for approval, whether the
			 board has a consultant registered as an investment adviser pursuant to the
			 Investment Advisers Act of 1940 ( 15 U.S.C. 80b -
			 1
et seq
.) as required by
			 840 CMR
			 26.01(2).
(2)
Review of
			 Application
. If the Commission determines that the board has a
			 consultant as required by
			 840 CMR
			 26.01(2), the Commission
			 shall review the selection process of the consultant, review the information
			 contained in the application for approval, and review the professional
			 qualifications of the consultant in accordance with
			 840 CMR
			 26.03.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 26.00 - Consultants › Section 26.03 - Rating of Qualifications for Consultants

Current through Register 1525, July 5, 2024
In rating qualifications for consultants the Commission shall
				develop and disseminate objective criteria uniformly to be applied in an
				equitable fashion. These criteria shall include, but not be limited to, the
				professional qualifications of the consultant, public and private pension
				accounts as of the year preceding the year of application, staffing of
				consulting organization, consulting organization, and reporting and client
				servicing.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 26.00 - Consultants › Section 26.04 - Qualified Consultant

Current through Register 1525, July 5, 2024
(1)
Qualified Consultant
. Consultants assigned 70% or more
			 of the total applicable points pursuant to the criteria developed in accordance
			 with 840 CMR 25.03 shall be deemed qualified.
(2) The Commission shall also consider other
			 factors, including buy not limited to, any regulatory action, litigation, or
			 legal proceedings involving the consultant in the past five years and any other
			 matters relating to the qualifications of the consultant and shall determine
			 whether any such matters warrant denial of an approval. The Commission shall
			 notify the board and the consultant of the reasons for any such denial of
			 approval. The Commission may withhold approval of a consultant if it is in the
			 best interests of the retirement system.
(3) Starting January 1, 1999, on or before
			 the fifth anniversary of the hiring of a consultant and every fifth year
			 thereafter, the retirement board shall request authorization from the
			 Commission to continue to retain said consultant. The Commission shall
			 re-evaluate said consultant in accordance with the provisions of
			 840 CMR
			 26.03 and determine if continued approval is
			 warranted pursuant to 840 CMR 26.04.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 26.00 - Consultants › Section 26.05 - Change of Consultant

Current through Register 1525, July 5, 2024
Any board granted approval to retain a consultant that
				terminates its consultant shall notify the Commission within ten days.
				Termination of an approved consultant voids the approval granted to the board
				pursuant to
				840 CMR
				26.04(1).
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 26.00 - Consultants › Section 26.06 - Revocation of Qualification by the Commission

Current through Register 1525, July 5, 2024
(1) If the Commission has reason to believe
			 that a board granted approval to retain a consultant pursuant to
			 840 CMR
			 26.04(1), or the investments
			 of any such board, do not comply with the requirements of M.G.L. c. 32, §
			 23(2), or with the requirements of
			 840 CMR 16.00 through
			 26.00, the Commission may
			 require the board to show cause why the qualification of the consultant should
			 not be revoked. If the board fails to establish that its investments do so
			 comply, the Commission may revoke the qualification of the
			 consultant.
(2) If the Commission
			 determines that an action of a consultant, including but not limited to,
			 involvement in any regulatory action, litigation or legal proceedings, change
			 in principals or senior professionals, or ability to perform significantly
			 impairs or changes the consultant's ability to perform, the Commission may
			 require the board to show cause why the qualification should not be revoked. If
			 the board fails to establish that the consultant is capable of discharging its
			 duties, the Commission may revoke the qualification.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 27.00 - Standard Rules For Orders To Protect The System › Section 27.01 - Temporary Orders

Current through Register 1525, July 5, 2024
The Commission, upon reasonable belief that the investment or
				recordkeeping practices of any retirement board are not being conducted with
				reasonable care, skill, prudence or diligence, may order such retirement board
				to take or cease from taking any action that in his/her judgment is necessary
				to protect the integrity of the retirement system. Any such order issued by the
				Commission shall remain in effect until such time as an investigation, hearing
				and finding of fact can be made pursuant to the provisions of
				840 CMR 27.00 and M.G.L. c.
				32, § 23(4). Violation of such orders shall be punishable as provided in
				M.G.L. c. 32, § 24.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 27.00 - Standard Rules For Orders To Protect The System › Section 27.02 - Investigations and Hearings

Current through Register 1525, July 5, 2024
(1)
Investigations; Requests for Information
. The
			 Commission, upon reasonable belief of improprieties in the investment or
			 recordkeeping practices of any retirement system, may initiate an investigation
			 of such practices. In connection with such investigation the Commission may
			 require the retirement board to provide information which may be deemed
			 relevant thereto. Any such information contained in any document, paper,
			 correspondence or other record maintained by the retirement board shall be
			 provided to the Commission upon request. Any findings of fact made by the
			 Commission or a designee pursuant to
			 840 CMR 27.03
			 shall reflect evidence obtained from such information as well as evidence
			 presented at a hearing conducted pursuant to 840 CMR 27.02(2).
(2)
Purpose of Hearings; Notice
			 Requirements
. In cases where the Commission has issued a temporary
			 order pursuant to M.G.L. c. 32, § 23(4) and
			 840 CMR 27.01,
			 an investigative hearing may be convened within 60 days thereafter. In all
			 other cases the Commission may convene such hearing at any time; but in no case
			 shall the retirement board whose investment or recordkeeping practices are
			 under investigation be given less than 30 days prior notice of such hearing.
			 The purpose of such investigative hearing shall be to determine whether the
			 investment or recordkeeping practices of the retirement board are being
			 conducted with reasonable care, skill, prudence or diligence. The notice of
			 hearing shall set forth the retirement board practice(s) under investigation
			 and outline the procedures to be followed in such hearing.
(3)
Parties, Procedures for
			 Hearings
. Upon notice from the Commission to any retirement board
			 that an investigative hearing is to be held pursuant to 840 CMR 27.02(2), such
			 retirement board personnel as are named in the notice shall appear to represent
			 the retirement board before the Commission or a designee on the date specified
			 therein. The Commission may also require parties not affiliated with the
			 retirement board to appear at such hearing, if there is reason to believe that
			 such party has influenced the investment or recordkeeping practices of the
			 retirement board. The procedures to be followed in such investigative hearing
			 shall be subject to the discretion of the Commission. Any retirement board or
			 party who is requested to appear may be represented by counsel. Such parties
			 shall be allowed to present evidence as to the propriety of the practice under
			 investigation.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 27.00 - Standard Rules For Orders To Protect The System › Section 27.03 - Findings of Fact

Current through Register 1525, July 5, 2024
At the conclusion of the investigation conducted pursuant to
				M.G.L. c. 32, § 23(4) and
				840 CMR
				27.02, the Commission or a designee shall
				make such findings of fact as are warranted from the evidence collected during
				the course of the investigation and at the hearing. Such findings of fact shall
				be made in writing and a copy thereof shall be delivered to the retirement
				board, any other party requested to appear at the hearing and their counsel.
				Any permanent order to the retirement board to take or cease from taking any
				action shall be based upon such findings of fact.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 27.00 - Standard Rules For Orders To Protect The System › Section 27.04 - Permanent Orders

Current through Register 1525, July 5, 2024
After having conducted an investigation and hearing pursuant to
				M.G.L. c. 32, § 23(4) and
				840 CMR
				27.02 and making such findings of fact as are
				warranted by the evidence collected during the course of such investigation and
				hearing, the Commission may order the subject retirement board to take or
				desist from taking any action that in its judgment is necessary to preserve the
				integrity of the system. No such order shall obtain unless the Commission may
				reasonably conclude from such findings of fact that the investment or
				recordkeeping practices of the retirement board are not being conducted with
				reasonable care, skill, prudence or diligence. Violation of such order shall be
				punished as provided for in M.G.L. c. 32, § 24.
Code of Massachusetts Regulations › 840 CMR - PUBLIC EMPLOYEE RETIREMENT ADMINISTRATION COMMISSION › Title 840 CMR 28.00 - Electronic Signatures › Section 28.01 - Purpose

Current through Register 1525, July 5, 2024
840 CMR 28.00 addresses the use of any electronic signature
				created, generated, sent, communicated, received, or stored by any retirement
				board governed and constituted under M.G.L. c. 32. 840 CMR 28.00 will also
				cover the use of signatures on scanned or faxed documents in the course of a
				retirement system's operations.