TEA School Fund to Generate $1.7 Billion for Next Biennium
By: SnyderDailyNews.com
Updated: July 30, 2012
Earlier this month, the State
Board of Education approved a
plan that will generate about $1.7
billion for Texas public schools
over the next biennium.
The board approved a percentage
distribution of the Permanent
School Fund (PSF) of
3.3 percent for fiscal years 2014
and 2015.
This is expected to produce a payout of about $830 million each year.
The funding is used to pay for instructional materials and general education expenses for the state's public school students. The board also made slight adjustments to its long term strategic asset allocation plan for the PSF. The new plan calls for reducing the fund's investments in equities from 50 percent to 46 percent.
It will increase investments in fixed income assets from 15 percent to 17 percent while alternative investments will increase from 35 percent to 37 percent of the fund's holdings.
The $25 billion PSF is the second largest educational endowment in the country, behind only Harvard's endowment.
This is expected to produce a payout of about $830 million each year.
The funding is used to pay for instructional materials and general education expenses for the state's public school students. The board also made slight adjustments to its long term strategic asset allocation plan for the PSF. The new plan calls for reducing the fund's investments in equities from 50 percent to 46 percent.
It will increase investments in fixed income assets from 15 percent to 17 percent while alternative investments will increase from 35 percent to 37 percent of the fund's holdings.
The $25 billion PSF is the second largest educational endowment in the country, behind only Harvard's endowment.
