A bill that would reward the state’s investment professionals for making investment choices that perform better than the markets generally could increase the salaries of those professionals by up to 100 percent.
HB 222 would provide bonuses for investment professionals only if the performances of the investments they are managing exceed benchmarks set by certain segments of the stock and bond market, such as the Standard and Poors 500 or the Russell 3000 small stock index.
The amount of the bonus would vary according to the professional’s position. For instance, Patrick Fleming, the state’s chief investment officer, could double his $250,000 salary, while the bonus for a state senior investment officer, who makes $150,000, would be 75 percent of his salary. The bonus for an investment officer would be 50 percent of the officer’s salary.
However, the bonus would be paid out over three years, with 50 percent being paid out in the third year. If an employee left the state during that time, any part of the bonus not collected would be lost.
The bill is waiting for its first review in the Senate.