The proposed bill, General Assembly Proposed Bill No. 5088, seeks to amend chapter 229 of the general statutes by eliminating the requirement that at least fifty per cent of the assets of a mutual fund consist of state and municipal government obligations. This change is intended to allow mutual funds greater flexibility in their asset composition while still being qualified to pay exempt-interest dividends for personal income tax purposes. The primary objective of this legislation is to simplify the qualification criteria for mutual funds, thereby potentially increasing investment options and encouraging more funds to offer exempt-interest dividends. By removing the asset requirement, the bill aims to enhance the attractiveness of mutual funds to investors who may benefit from tax-exempt income.