Denver, CO—Today, Colorado Treasurer Walker Stapleton testified in the Senate Finance Committee in favor of SB16-035, a bill that sets up a public school fund investment board to manage Public Land Trust money. Treasurer Stapleton has been working with bill sponsor Senators Mike Johnston and Jerry Sonnenberg to draft a bill that provides the State of Colorado a mechanism to potentially invest public school funds in higher returning investment vehicles rather than being limited exclusively to fixed income securities.

SB16-035 passed 5-0 and will now go to Senate Appropriations. 

"Expanding our investment latitude will allow more money to flow into Colorado classrooms without increasing taxes," stated Treasurer Stapleton. "We want to do this smartly, cautiously and responsibly. If we can increase returns by not taking out-sized risks then its a good deal for taxpayers and our kids. This is a big win-win."

This bill sets an investment advisory board consisting of a representative from the Land Trust, State Treasurer and three investment professionals appointed by the Treasurer,

In addition to the board of investment professionals, the bill allows for the hiring of an outside asset manager in order for the board to have a professional investment adviser guiding investment policy.

According to the State Land Board the Permanent Fund earned $22.8 million averaging a 2.8 percent return. Other states such as Oklahoma, Idaho and Texas that have made these changes see an average return of 5-8 percent.

"This is not about shooting for the moon or trying to achieve unrealistic results. We will take a conservative investment approach. With a fund this large 2 percent in additional earnings means real money for Colorado Schools," concluded Treasurer Stapleton.

Treasurer Stapleton took office in January 2011.  Before being elected, he served as chief financial officer and chief executive officer of various private and publicly-traded companies.