These rules shall establish the procedures to be used by the School Land Board (SLB) to determine the dates that releases will be made and the amounts of money that will be released on those dates from the Real Estate Special Fund Account (RESFA) to either the Available School Fund (ASF) or the State Board of Education (SBOE) for investment in the Permanent School Fund (PSF), as required by Section 51.413(b) of the Texas Natural Resources Code.
  (1) Not later than July 31 of each even-numbered year, the Chief Investment Officer (CIO) of the General Land Office (GLO) will perform an analysis, using March 31 GLO investment valuation data, as follows:
    (A) Determine an amount equal to 6% of the average market value of the GLO PSF Real Assets Investment Portfolio (Portfolio) over the trailing sixteen-quarter measurement period.
    (B) Round the amount calculated in paragraph (1)(A) of this section up or down to the nearest $5,000,000 increment.
    (C) Determine the average quarterly change in the amount determined in paragraph (1)(A) of this section over the trailing sixteen-quarter measurement period. Multiply this amount times 4 and add the resulting product to the amount determined in paragraph (1)(A) of this section. Round the resulting amount up or down to the nearest $5,000,000 increment.
  (2) Not later than September 1 of each even-numbered year, the CIO will provide to the SLB at a regularly scheduled SLB meeting the results of the analysis performed in accordance with paragraph (1) of this section and make recommendations to the SLB regarding the release of funds from the RESFA. At such regularly scheduled meeting, the SLB will adopt a resolution detailing the actual amounts to be released to either the ASF or the SBOE for investment in the PSF in each of the individual years of the next-approaching fiscal biennium and the actual dates of the releases.
  (3) Not later than September 1 of each even-numbered year, the SLB, in consultation with the CIO, will submit a report to the Legislature, Comptroller, SBOE, and Legislative Budget Board that states the dates and amounts approved by the SLB for release from the RESFA to either the ASF or SBOE for investment in the PSF during the next-approaching fiscal biennium.

Source Note: The provisions of this §151.6 adopted to be effective June 15, 2016, 41 TexReg 4289; amended to be effective September 4, 2016, 41 TexReg 6501