Minutes - May 19, 2020

A meeting of the State Securities Board was held remotely on May 19, 2020 via telephone conference call, as authorized under the Texas Government Code, Section 551.125, and Governor Abbott’s temporary suspension of certain provisions of the Texas Open Meetings Act requiring government officials and members of the public to be physically present at a specified meeting location. 

Those present were: E. Wally Kinney, Chair; Miguel Romano, Jr., Member; Kenny Koncaba, Member; Robert Belt, Member; Melissa Tyroch, Member; Travis J. Iles, Securities Commissioner; Clinton Edgar, Deputy Commissioner; Tommy Green, Director, Inspections and Compliance Division; Derek Lauterjung, Director, Staff Services Division; Joseph J. Rotunda, Director, Enforcement Division; Marlene K. Sparkman, General Counsel; Emily Diaz, Assistant Director, Registration Division; Betsy Hodges, Assistant Director, Inspections and Compliance Division; Misty Smith, Assistant Director, Staff Services Division; Cheryn Netz, Assistant General Counsel; Tina Lawrence, Assistant Director, Enforcement Division; Shaun Yarroll, Assistant Director, Registration Division; Robert Elder, Communications and Investor Education; Cristi Ochoa, Attorney, Inspections and Compliance Division; and Sonia Fergerson, Executive Assistant.  Also attending was Kim Lopez-Gonzales and Christopher Smith.

Chair Kinney called the meeting to order at 10:05 a.m.

Minutes of the February 6, 2020, meeting were approved.

The Board voted to adopt the following published rule proposal:

Amending §109.7(e), concerning secondary trading exemption under the Texas Securities Act, Section 5.O, to remove the S&P Capital IQ Standard Corporation Descriptions from the list of recognized manuals.

After review, the Board voted to re-adopt Chapter 115, Securities Dealers and Agents, and Chapter 116, Investment Advisers and Investment Adviser Representatives, and to adopt a revised Rule Review Plan, which incorporated the recently adopted new Chapter 102.

After discussion and a recommendation of the Audit Committee, the Board voted to approve the internal audit plan for fiscal year 2020 prepared by Garza/Gonzalez & Associates.

The Commissioner gave a report on the Agency’s budget and performance measures.

The Commissioner gave a general update on Agency operations.

The meeting was then adjourned at 11:15 a.m.