(1) The board has broad policymaking authority over the office and the trust fund.
(2)
(a) The board shall establish policies for the management of:
(i) the office, including:
(A) an investment management code of conduct and associated compliance policy;
(B) a policy for the strategic allocation of trust fund assets;
(C) a soft dollar policy; and
(D) a policy articulating the board's investment philosophy for trust fund assets; and
(ii) the trust fund.
(b) Policies that the board adopts shall:
(i) be consistent with the enabling act, the Utah Constitution, and other applicable state law;
(ii) reflect undivided loyalty to the beneficiaries consistent with fiduciary duties;
(iii) be designed to prudently optimize trust fund returns and increase the value of the trust fund, consistent with the balancing of short-term and long-term interests, so that the fiduciary duty of intergenerational equity is met;
(iv) be designed to maintain the integrity of the trust fund and prevent the misapplication of money in the trust fund;
(v) enable the board to oversee the activities of the office; and
(vi) otherwise be in accordance with standard trust principles as provided by state law.
(3) The board shall:
(a) establish a conflict of interest policy for the office and board members;
(b) establish policies governing the evaluation, selection, and monitoring of independent custodial arrangements;
(c) ensure that the office is managed according to law;
(d) establish bylaws to govern the board;
(e) establish the compensation of the director;
(f) annually examine the compensation and performance of the director as part of the board's budget review process;
(g) annually report the director's compensation to the Legislature; and
(h)
(i) adopt policies to provide for annual training of board members regarding their duties and responsibilities; and
(ii) ensure that any training described in Subsection (3)(h)(i) complies with Title 63G, Chapter 22, State Training and Certification Requirements.
(4) The board may:
(a) after conferring with the director:
(i) hire one or more consultants to advise the board, director, or office on issues affecting the management of the trust fund; and
(ii) pay compensation to any consultant hired under Subsection (4)(a)(i), subject to budgetary constraints; and
(b) submit to the director a written question or set of questions concerning policies and practices affecting the management of the trust fund.