CT SB00255

Municipalities may establish or participate in one or more trusts to hold and invest assets of pension, retirement, or postemployment health and life benefit systems, subject to approval by ordinance or two-thirds vote of the legislative body.

Municipal trust funds may be invested according to the terms of the benefit plan or in any trust fund administered by the State Treasurer, provided investments comply with the prudent investor rule under sections 45a-541 to 45a-541l.

The State Treasurer may adopt regulations under chapter 54 to authorize investment of municipal trust funds in state-administered trust funds.

Expands the definition of "trust funds" in sections 3-13 to 3-13e and 3-31b to include municipal employee retirement funds, teachers' funds, and any trusts established by municipalities under section 7-450.

The act takes effect immediately upon passage.