---
title: HB 1347. Public Retirement Systems Investment Authority Law; provide certain retirement systems the option to invest in real estate
collection: bills
id: 2025-2026/hb1347
cite_as: HB 1347, 2025-2026 Regular Session (Ga.)
canonical_url: https://georgiacommons.org/bills/2025-2026/hb1347
md_url: https://georgiacommons.org/bills/2025-2026/hb1347.md
text_url: https://georgiacommons.org/bills/2025-2026/hb1347/text
source_url: https://www.legis.ga.gov/legislation/73289
date: 2026-03-06
status: introduced
corpus_version: bills-2026-09-13
license: Public record of the Georgia General Assembly, via LegiScan; see about.md
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
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omitted: votes and history
omitted_chars: 185
omitted_url: https://georgiacommons.org/bills/2025-2026/hb1347.md?full=1
bill_number: HB 1347
session: 2025-2026 Regular Session
session_slug: 2025-2026
chamber: House
bill_type: bill
status_date: 2026-02-17
last_action: House Committee Favorably Reported
sponsors:
- Brad Thomas
- John Carson
- Chris Erwin
- Lehman Franklin
text_version: Introduced
has_text: true
legiscan_url: https://legiscan.com/GA/bill/HB1347/2025
upstream_id: 2118567
summaries_model: claude-sonnet-5
topic_tags:
- public pensions
- retirement systems
- state investment law
- real estate investment
- government employee benefits
---
# HB 1347. Public Retirement Systems Investment Authority Law; provide certain retirement systems the option to invest in real estate
## Text
House Bill 1347
By: Representatives Thomas of the 21st, Carson of the 46th, Erwin of the 32nd, and Franklin
of the 160th
A BILL TO BE ENTITLED
AN ACT
To amend Article 7 of Chapter 20 of Title 47 of the Official Code of Georgia Annotated, the
"Public Retirement Systems Investment Authority Law," so as to provide certain retirement
systems the option to invest in real estate; to provide for an increase in certain retirement
systems allowable alternative investments; to provide for related matters; to repeal
conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
Article 7 of Chapter 20 of Title 47 of the Official Code of Georgia Annotated, the "Public
Retirement Systems Investment Authority Law," is amended by revising subsection (b) of
Code Section 47-20-83, relating to certified or uncertified forms of investment and real estate
investments, as follows:
"(b)(1) Notwithstanding the provisions of subsection (a) of this Code section, the Georgia
Municipal Employees Benefit System and any association of like political subdivisions
which contracts with its members for the pooling of assets may invest up to 10 percent
of the total assets of its fund in real estate; provided, however, that in the event the fund's
assets decrease in value, the such system or association shall be entitled to retain all real
estate investments if owned prior to the reduction in value of assets; and provided,
further, that any such system or association shall be entitled to retain all real estate assets
it owned on July 1, 1999, without regard to the limitation imposed by this subsection.
(2) Notwithstanding the provisions of subsection (a) of this Code section, the Georgia
Firefighters' Pension Fund may invest up to 10 percent of the total assets of its fund in
real estate; provided, however, that in the event the fund's assets decrease in value, the
fund shall be entitled to retain all real estate investments if owned prior to the reduction
in value of assets.
(3) Notwithstanding the provisions of subsection (a) of this Code section, a large
retirement system, as defined in Code Section 47-20-84, not otherwise described in this
subsection, and excluding the Employees' Retirement System of Georgia and the
Teachers Retirement System of Georgia, may invest up to 10 percent of the total assets
of its fund in real estate; provided, however, that, in the event the fund's assets decrease
in value, the fund shall be entitled to retain all real estate investments if owned prior to
the reduction in value of assets."
SECTION 2.
Said article is further amended by revising paragraph (1) of subsection (d) of Code Section
47-20-87, relating to eligible large retirement systems authorized to invest in certain
alternative investments, as follows:
"(d)(1)(A) Alternative investments by an eligible large retirement system shall not in
the aggregate exceed 10 15 percent of the eligible large retirement system's assets at
any time.
(B) Notwithstanding subparagraph (A) of this paragraph, alternative investments by
the Georgia Firefighters' Pension Fund shall not in the aggregate exceed 20 percent of
its assets at any time.
(B.1) Notwithstanding subparagraph (A) of this paragraph, alternative investments by
the Peace Officers' Annuity and Benefit Fund shall not in the aggregate exceed 15
percent of its assets at any time.
(C) Notwithstanding subparagraph (A) of this paragraph, the Teachers Retirement
System of Georgia shall not in the aggregate exceed 5 percent of such system's assets
at any time.
(D) Notwithstanding subparagraph (A) of this paragraph, the Employees' Retirement
System of Georgia shall not in the aggregate exceed 10 percent of such system's assets
at any time."
SECTION 3.
All laws and parts of laws in conflict with this Act are repealed.
## Summaries written by Georgia Commons
The following was written by claude-sonnet-5 from the text above and is not part of the bill. Quote the text, not the summary.
House Bill 1347 would let more Georgia public retirement systems invest up to 10 percent of their assets in real estate and would raise the general cap on riskier alternative investments for large retirement systems from 10 percent to 15 percent.
### Plain-language summary
Georgia law limits how public pension funds can invest, but carves out exceptions letting certain systems put money into real estate and alternative investments beyond normal limits. Currently only the Georgia Municipal Employees Benefit System, similar municipal pooled funds, and the Georgia Firefighters' Pension Fund can invest up to 10 percent of their assets in real estate.
This bill extends that same 10 percent real estate option to any other 'large retirement system' as defined in Georgia law, except the Employees' Retirement System of Georgia and the Teachers Retirement System of Georgia. It also raises the general cap on alternative investments (assets other than stocks and bonds) for eligible large retirement systems from 10 percent to 15 percent of total assets, while keeping the Georgia Firefighters' Pension Fund at 20 percent and the Teachers Retirement System at 5 percent. It adds a new 10 percent cap specifically for the Employees' Retirement System of Georgia. The bill also clarifies that a system, not just an association, keeps real estate it already owned if fund assets later lose value.
### What it does
- Allows any large retirement system covered by Georgia's alternative investment law, except the state Employees' and Teachers' retirement systems, to invest up to 10 percent of its assets in real estate.
- Raises the general cap on alternative investments (non-stock, non-bond assets) for eligible large retirement systems from 10 percent to 15 percent of total assets.
- Adds a new rule capping alternative investments by the Employees' Retirement System of Georgia at 10 percent of its assets.
- Clarifies that a retirement system itself, not only an association of municipalities, can keep real estate it already owned if its fund's total assets later drop in value.
- Leaves the existing 20 percent alternative investment cap for the Georgia Firefighters' Pension Fund and the 5 percent cap for the Teachers Retirement System of Georgia unchanged.
### Who it affects
This bill affects large Georgia public pension funds, including municipal employee benefit systems, the Georgia Firefighters' Pension Fund, the Peace Officers' Annuity and Benefit Fund, the Employees' Retirement System of Georgia, and other large retirement systems, along with the public employees and retirees whose benefits depend on those funds' investment performance.
### Why it matters
By letting more pension systems invest in real estate and allowing larger investments in alternative assets, the bill could change how public employee retirement funds grow or lose value over time, affecting the financial security of the government workers and retirees who rely on those funds for pensions.
### Key provisions
- Section 1 amends O.C.G.A. § 47-20-83(b) to add a new paragraph (3) letting large retirement systems, other than the Employees' and Teachers' retirement systems, invest up to 10 percent of their assets in real estate.
- Section 1 also clarifies that a retirement system or association keeps real estate it owned before a decline in fund value, not just associations as under prior law.
- Section 2 amends O.C.G.A. § 47-20-87(d)(1)(A) to raise the general alternative investment cap for eligible large retirement systems from 10 percent to 15 percent of assets.
- Section 2 adds a new subparagraph (D) capping alternative investments by the Employees' Retirement System of Georgia at 10 percent of its assets.
- Section 2 leaves in place the existing 20 percent cap for the Georgia Firefighters' Pension Fund, the 15 percent cap for the Peace Officers' Annuity and Benefit Fund, and the 5 percent cap for the Teachers Retirement System of Georgia.
- Section 3 repeals any conflicting laws.
## Status
- Status: Introduced (2026-02-17)
- Last action: House Committee Favorably Reported (2026-03-06)
- Sponsors: Brad Thomas, John Carson, Chris Erwin, Lehman Franklin
- Official page: https://www.legis.ga.gov/legislation/73289
> The history, votes, and amendments (185 characters) are at https://georgiacommons.org/bills/2025-2026/hb1347.md?full=1