De León
Author
The California Constitution provides that the Legislature may by statute prohibit retirement board investments if it is in the public interest to do so, and providing that the prohibition satisfies specified fiduciary standards. Existing law prohibits the Public Employees' Retirement System and the State Teachers' Retirement System from investing public employee retirement funds in a company with active business operations in Sudan, as specified, and requires these retirement systems to liquidate any investments in a company with business operations in Sudan. Existing law also prohibits these retirement systems from investing in a company that has specified investments in the energy sector of Iran, as defined, including in a company that provides oil or liquefied natural gas tankers, or products used to construct or maintain pipelines used to transport oil or liquefied natural gas. This bill would prohibit the boards of the Public Employees' Retirement System and the State Teachers' Retirement System from making new investments or renewing existing investments of public employee retirement funds in a thermal coal company, as defined. This bill would require the boards to liquidate investments in thermal coal companies on or before July 1, 2017, and would require the boards, in making a determination to liquidate investments, to constructively engage with thermal coal companies to establish whether the companies are transitioning their business models to adapt to clean energy generation. The bill would provide that it does not require a board to take any action unless the board determines in good faith that the action is consistent with the board's fiduciary responsibilities established in the constitution. The bill would make related legislative findings and declarations. This bill would require, on or before January 1, 2018, these boards to file a report to the Legislature and the Governor, containing specified information, including a list of companies of which they have liquidated their investments. The bill would provide that board members and other officers and employees shall be held harmless and be eligible for indemnification in connection with actions taken pursuant to the bill's requirements, as specified.
Approved by the Governor.
Chaptered by Secretary of State. Chapter 605, Statutes of 2015.
Enrolled and presented to the Governor at 4:30 p.m.
In Senate. Ordered to engrossing and enrolling.
Read third time. Passed. (Ayes 47. Noes 30. Page 2794.) Ordered to the Senate.
Read second time. Ordered to third reading.
From committee: Do pass. (Ayes 12. Noes 5.) (August 27).
July 15 set for first hearing. Placed on APPR. suspense file.
From committee: Do pass and re-refer to Com. on APPR. (Ayes 5. Noes 1.) (June 24). Re-referred to Com. on APPR.
In Assembly. Read first time. Held at Desk.
Read third time. Passed. (Ayes 24. Noes 14. Page 1284.) Ordered to the Assembly.
Read second time and amended. Ordered to third reading.
From committee: Do pass as amended. (Ayes 5. Noes 2. Page 1148.) (May 28).
Set for hearing May 28.
April 27 hearing: Placed on APPR. suspense file.
Set for hearing April 27.
From committee: Do pass and re-refer to Com. on APPR. (Ayes 3. Noes 2. Page 593.) (April 13). Re-referred to Com. on APPR.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on P.E. & R.
Set for hearing April 13.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on P.E. & R.
From printer. May be acted upon on or after March 12.
Introduced. Read first time. To Com. on RLS. for assignment. To print.
| Bill Text Versions | Format |
|---|---|
| SB185 | HTML |
| 02/09/15 - Introduced | |
| 03/25/15 - Amended Senate | |
| 04/08/15 - Amended Senate | |
| 06/02/15 - Amended Senate | |
| 09/03/15 - Enrolled | |
| 10/08/15 - Chaptered |
| Document | Format |
|---|---|
| No related documents. |
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