By Ms. Khan of Newton, petition (accompanied by bill, House, No. 3951) of Kay Khan and others (with the approval of the mayor and board of aldermen) relative to the investment of trust funds by the city of Newton. Municipalities and Regional Government. [Local Approval Received.]

The Commonwealth of Massachusetts

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PETITION OF:

Kay Khan

Cynthia S. Creem

Ruth B. Balser

Peter J. Koutoujian

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In the Year Two Thousand and Seven.

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An Act relative to the investment of trust funds for the city of Newton.

    Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION 1.  Notwithstanding any general or special law to the contrary, the treasurer of the City of Newton is hereby authorized to invest the funds of said city in the custody of the treasurer in accordance with the Prudent Man Rule, and General Laws, Chapter 203C, Sections 3, 4, 5, 8, and 9.  The treasurer, in consultation with each trust fund board of trustees, shall develop investment policies which shall include an asset allocation policy for each trust fund and shall select professional investment advisors to manage such funds.

SECTION 2.  Section 54 in general laws, chapter 44, shall not apply to the City of Newton.

SECTION 3.  This act shall take effect upon its passage.