CA AB689

Authorizes Sacramento Municipal Utility District to operate a pilot program until January 1, 2025 allowing its board to hold nonstock securities acquired as part of procuring goods or services from private entities.

Restricts nonstock security acquisitions to no separate funding expended solely for the security and limits individual acquisition value to 3% of the district's annual revenue at time of acquisition.

Limits pilot program to a maximum of 3 total acquisitions, with any profits or gains required to be used to benefit the district's ratepayers.

Requires the board to make findings that acquisitions further district purposes and serve ratepayers' interests, establish a conflict-of-interest policy, post the policy online, and adopt a resolution at a regular board meeting before exercising this authority.

Sunsets the authority on January 1, 2025 when the section is repealed.