Legislation/Guidance in Effect
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Title |
Key Dates |
Nature of |
ESG Category |
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| Treasurer McRae Op-Ed: A Look Back and Forward |
Introduced 1/8/2023 |
Treasurer Position | Restrict Use of ESG Factors; Focus on Pecuniary Characteristics | ■ In a guest column for the Vicksburg Post, Mississippi Treasurer McRae commented on his office's initiatives over the last year, and with respect to ESG, he wrote, "Perhaps most importantly, I will work with the state legislature to reverse harmful Environmental, Social and Governance (ESG) policies, which are threatening Mississippi investments, our state retirement system, and so much more. My fix is simple: The state legislature should direct that PERS consider only factors that maximize returns when making investment decisions. Left-wing woke political considerations should not be a part of our investing strategy. Period." |
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Adopted and in effect |
Legislation |
Target Entities that Boycott Certain Industries |
■ Prohibits Mississippi public entities from entering into a contract with a company for the purchase of goods or services worth at least $40,000 and paid at least partly from public funds unless the company verifies in writing that it does not discriminate against firearm or knife entities or trade associations and will not do so during the contract term. Applies to companies with at least one or more full-time employees. |
Pending Legislation
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Title |
Key Dates |
Nature of |
ESG Category |
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| HB1170: Require the PERS Board to make investment decisions with sole purpose of maximizing returns |
Introduced 2/14/2024 |
Legislation | Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■ An Act to declare the public policy of the state regarding the investment of moneys of the Public Employees' Retirement System and express legislative intent to emphasize the commitment of the state to only invest state trust fund moneys in a manner that prioritizes the safety of investments and the highest return on investment for beneficiaries, without consideration of nonpecuniary beliefs or political factors. ■ The legislation provides that the Board of Trustees of the Public Employees' Retirement System of Mississippi in accordance with its fiduciary duties, shall make investment decisions with the sole purpose of maximizing the safety of, and return on, its investments. The Board shall not make an investment decision with the primary purpose of influencing any social or environmental policy or attempting to influence the governance of any corporation. The board shall not sacrifice investment returns or assume greater investment risks as a means of promoting collateral social policy goals. ■ If enacted, the legislation shall take effect and be in force from and after July 1, 2024. |
Past/Inactive Legislation
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Title |
Key Dates |
Nature of |
ESG Category |
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SB2899: PERS Board; require to make investment decisions with sole purpose of maximizing returns. |
Introduced, failed to pass in 2024 legislative session |
Legislation |
Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■ Prohibits the Board from making investment decisions with the primary purpose of influencing any social or environmental policy or attempting to influence the governance of any corporation. The Board may not sacrifice investment returns or assume greater investment risks as a means of promoting collateral social policy goals. |
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Introduced, but did not pass in 2023 legislative session |
Legislation |
Target Entities that Boycott Certain Industries |
■ Prohibits Mississippi public entities from entering into a contract with a company for the purchase of goods or services worth at least $40,000 and paid at least partly from public funds unless the company verifies in writing that it does not discriminate against firearm or knife entities or trade associations and will not do so during the contract term. Applies to companies with at least one or more full-time employees. |
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SB2849: Clarifying fiduciary duty to invest for highest return, not based on ESG factors |
Introduced, but did not pass in 2023 legislative session |
Legislation |
Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■ Requires investment decisions to be made with the sole purpose of maximizing the safety of investments and return on the investments, with no investment decision being made with the primary purpose of influencing any social or environmental policy or attempting to influence the governance of any corporation. |
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HB1099: Requiring public retirement systems investments to be made exclusively on financial grounds |
Introduced, but did not pass in 2023 legislative session |
Legislation |
Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■ Requires an investment fiduciary to discharge his or her duties in the interests of the participants in a public employee retirement system and their beneficiaries for the exclusive purpose of providing financial benefits and paying reasonable expenses for administering the public employee retirement system. Additionally, requires an investment fiduciary to take into account only financial factors when discharging fiduciary duties. SUBSEQUENT DEVELOPMENTS Tracks the Heritage Foundation's "State Pension Fiduciary Duty Act" |
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HB818: PERS Board; required to make investment decisions with sole purpose of maximizing returns |
Introduced, but did not pass in 2023 legislative session |
Legislation |
Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■ Requires the Board of the Public Employees' Retirement System of Mississippi (PERS) to make investment decisions with the sole purpose of maximizing the safety of, and return on, its investments in accordance with its fiduciary duties. Prohibits the board from making an investment decision with the primary purpose of influencing any social or environmental policy or attempting to influence the governance of any corporation. Prohibits the board from sacrificing investment returns or assume greater investment risks as a means of promoting collateral social policy goals. |
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Introduced, but did not pass in 2023 legislative session |
Treasurer Position |
Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■ Letter to the PERS Board urging it to reject ESG policies, noting how "the actions of New York investment firms [through their ESG policies] are . . . failing to uphold their fiduciary responsibilities to us." Also encourages PERS to fully divest state pension funds from BlackRock. |
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Target Entities that Boycott Certain Industries |
