NAC287.778. Board of trustees: Appointment and terms of members.

     1. In appointing a board of trustees:

     (a) If the assets of the trust fund will only be deposited in the Retirement Benefits Investment Fund pursuant to subparagraph (1) of paragraph (g) of subsection 2 of NRS 287.017, the governing body shall appoint at least three but not more than five persons to the board of trustees, including:

          (1) One or more persons who each have a combination of education and experience in finance or economics that totals 5 years or more;

          (2) A public officer or employee of the local government who manages the fiscal affairs of the local government; and

          (3) A beneficiary of the benefits plan of the local government.

     (b) If the assets of the trust fund will be invested only in investments authorized for a local government pursuant to subparagraph (2) of paragraph (g) of subsection 2 of NRS 287.017, or in such investments and deposited in the Retirement Benefits Investment Fund pursuant to subparagraph (1) of paragraph (g) of subsection 2 of NRS 287.017, the governing body shall appoint at least three but not more than five persons to the board of trustees, including:

          (1) One or more persons who each have a combination of education and experience in finance or economics that totals 5 years or more;

          (2) A public officer or employee of the local government who manages the fiscal affairs of the local government; and

          (3) A beneficiary of the benefits plan of the local government who has a combination of education and experience in finance or economics that totals 5 years or more.

     (c) If the assets of the trust fund qualify to be invested pursuant to subsection 2 of NAC 287.790, the governing body shall appoint five persons to the board of trustees, including:

          (1) Two persons who have experience in the securities exchange market;

          (2) A public officer or employee of the local government who manages the fiscal affairs of the local government;

          (3) A person who is not an employee of the local government, who has a combination of education and experience in finance or economics that totals 7 years or more; and

          (4) A beneficiary of the benefits plan of the local government who has a combination of education and experience in finance or economics that totals 7 years or more.

     2. A person may not be appointed to the board of trustees pursuant to this section if the person:

     (a) Has a substantial financial interest in the ownership or negotiation of the securities or other financial instruments in which the assets of the trust fund are invested.

     (b) Is a member of the governing body that established the trust fund.

     3. A resolution adopted by two or more governing bodies to form a pooled trust pursuant to paragraph (h) of subsection 2 of NRS 287.017 may include a provision for appointment of a member of the board of trustees of a participating governing body as a member of the board of trustees of the pooled trust.

     4. The term of a member of a board of trustees appointed pursuant to this section must be at least 2 years, but not more than 4 years.

     5. The governing body may reappoint a member of the board of trustees, and may alter the composition of the board of trustees determined pursuant to subsection 1 if required pursuant to NAC 287.790.

     (Added to NAC by Com. on Local Gov’t Finance by R089-08, eff. 9-18-2008)