The Florida Senate has approved the Ring / Oliva Bill, which increases the Florida State Board of Administration’s cap on alternative investments from 10% to 20%. Specifically, the House Bill 1417 now goes to Governor Rick Scott for his approval and signature.
The Senate approved without any debate a proposal that will double the amount of money the State Board of Administration, which manages Florida’s $120 billion pension fund, can set aside for “alternative investments.”
FLAIA has spent the past 2 years advocating on behalf of members on this specific issue-submitting multiple advocacy letters, meeting with the State of Florida’s Cabinet and the State Board of Administration’s staff on numerous occasions, participating in round tables, and writing white papers advocating to various stakeholders and leaders. We raised the concern that the public pension fund is not properly positioned to perform well in volatile financial markets. FLAIA will begin reviewing and analyzing the portfolio allocation and begin discussing the next steps to ensure that the manager selection process follows best financial management practices.