                                 CODE OF VIRGINIA

ADVISORY COMMITTEES TO THE BOARD OF TRUSTEES; MEMBERSHIP; TERMS; QUALIFICATIONS;
DUTIES (§ 51.1-124.26)

To further assist the Board of Trustees in fulfilling its fiduciary duty as
trustee of the funds of the Retirement System, the Board shall appoint an
Investment Advisory Committee to provide the Board with sophisticated,
objective, and prudent investment advice. The Investment Advisory Committee
shall consist of seven to nine members and each member appointment shall require
a two-thirds vote of the Board.

A. In addition, the Board of Trustees may appoint such other advisory committees
as it deems necessary. Each member appointment shall require a two-thirds vote
of the Board.

B. Each advisory committee shall include no more than two Board members and no
individual Board member shall serve on more than one advisory committee.
Advisory committee members shall serve at the pleasure of the Board and may be
removed by a majority vote of the Board.

C. Except for any Board member who serves on an advisory committee, no elected
or appointed official shall serve on an advisory committee.

D. Except for any trustee appointed to the Board between February 28, 1994, and
July 1, 1995, no former trustee of the Virginia Retirement System or its
predecessors in interest shall, during the five-year period after the
termination of his service as a Board member, serve on any advisory committee.

E. Except for Board members, members of any advisory committee shall receive an
initial stipend of $1,875 for each calendar quarter they may serve and a per
diem of $300 for each meeting attended not to exceed one meeting per day.
Commencing July 1, 1995, the stipend shall be increased annually by a percentage
equal to the most recent salary structure adjustment as provided in the general
appropriation act. Government employees shall receive no stipend for their
service but shall be entitled to receive a per diem of $300 for each advisory
committee meeting attended not to exceed one meeting per day. Each advisory
committee member shall be entitled to receive reimbursement for his actual
reasonable and necessary expenses incurred for attending committee meetings. Any
member of any advisory committee who also serves as an officer, director, or
member of the board of any corporation organized by the Virginia Retirement
System shall be entitled to receive compensation and expenses pursuant to this
subsection in addition to any remuneration to which he is entitled by virtue of
his service as an officer, director, or member of the board of any corporation
organized by the Virginia Retirement System.

F. Any Board member who serves on an advisory committee shall not receive the
quarterly stipend for advisory committee members provided for in subsection E
above, but shall receive the per diem applicable to advisory committee meetings
attended in that quarter plus reasonable and necessary expenses incurred.

G. The disclosure requirements of subsection B of &#xA7; 2.2-3114 of the State
and Local Government Conflict of Interests Act shall apply to any member of any
advisory committee who is not also a Board member.

H. Members of the Investment Advisory Committee shall demonstrate extensive
experience in any one or more of the following areas: domestic or international
equity or fixed-income securities, cash management, alternative investments,
substantial real estate investments, or managed futures. By resolution of the
Board, qualifications for members of any other advisory committee may be set.
			The Investment Advisory Committee shall (i) review, evaluate, and monitor
investments and investment opportunities, (ii) make appropriate recommendations
to the Board about such investments and investment opportunities, and (iii) make
recommendations to the Board about overall asset allocation. By resolution of
the Board, responsibilities of any other advisory committee may be set.

I. The recommendations of an advisory committee are not binding upon the Board
of Trustees.

HISTORY: 1994, cc. 4, 85; 1995, c. 788; 1997, c. 641; 1998, c. 196.