HI HB400

Establishes a state investment board consisting of six members appointed by the governor for six-year terms, placed within the department of accounting and general services for administrative purposes.

Creates a state investment special fund to receive legislative appropriations, interest earnings, investment returns, and other available moneys, with the board authorized to invest funds to maximize long-term returns for economic development.

Board responsibilities include administering the fund, contracting with qualified investment managers, developing investment criteria and policy, and adopting necessary rules.

Appropriates $1,000,000 for fiscal year 2015-2016 and $1,000,000 for fiscal year 2016-2017 to the state investment special fund, with funds used for investments and board operational expenses.

Limits liability of the State and its officers and employees for investment results, requires annual reporting to the legislature, and mandates annual independent audits of board records.