November 19, 2025 Committee of the Full Board Item 2
Annual Member Meeting of the Texas Permanent School Fund Corporation
November 19, 2025
COMMITTEE ON SCHOOL FINANCE/PERMANENT SCHOOL FUND: DISCUSSION
STATE BOARD OF EDUCATION: NO ACTION
SUMMARY: This item serves to fulfill the requirement of both Chapter 22 of the Texas Business Organization Code and Article VI, Section 6.3 of the Corporation’s Bylaws to hold an annual member meeting of the Texas Permanent School Fund (PSF) Corporation, of which the State Board of Education (SBOE) is the sole member. It also provides an opportunity for the Texas PSF Corporation’s management to update members of the Committee of the Full Board (COFB) and to take questions regarding PSF. Statutory authority is the Texas Constitution, Article VII, §2 and §5, Texas Education Code (TEC) Chapter 43; and 19 Texas Administrative Code (TAC) Chapter 33, Subchapters A and B.
STATUTORY AUTHORITY: Under Chapter 22 of the Texas Business Organization Code and Article VI, Section 6.3 of its Bylaws, the Texas PSF Corporation is required to hold an annual member meeting. Article VI, Section 6.1 of those Bylaws name the SBOE as the sole member of the Texas PSF Corporation. The Bylaws further state that such a meeting is anticipated to be held as a part of or in conjunction with a meeting of the SBOE.
The full text of statutory citations can be found in the links above.
PREVIOUS BOARD ACTION: At the September 2024 meeting of the COFB, the chief executive officer of the Texas PSF Corporation provided an update and answered questions on the implementation of the PSF strategic plan and many of the completed tasks related to the associated goals: optimize asset allocation, improve portfolio implementation, attract and develop talent, enhance communications, strengthen corporate governance, fortify internal controls, and build new corporate infrastructure. This constituted the last annual member meeting of the Corporation.
BACKGROUND INFORMATION AND JUSTIFICATION: Senate Bill (SB) 1232 was passed by the 87th Texas Legislature, Regular Session, 2021, which authorized the SBOE to create the Texas Permanent School Fund Corporation and rendered that corporation subject to certain statutes, including the Business Organizations Code (BOC), Chapter 22. In November 2021, the SBOE adopted articles of incorporation for the corporation and named the SBOE as its sole member. BOC Chapter 22 requires an annual member meeting of any corporation subject to that chapter.
Staff Member Responsible:
Robert Borden, Chief Executive Officer/Chief Investment Officer, Texas PSF Corporation