Legislation/Guidance in Effect
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Title |
Key Dates |
Nature of |
ESG Category |
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Effective date |
Legislation |
Target Entities that Boycott Certain Industries |
■Prohibits Montana public entities from entering into a contract with a company for the purchase of goods or services worth at least $100,000 and paid at least partly from public funds unless the company verifies in writing that it does not discriminate against firearms entities or trade associations and will not do so during the contract term. Only applies to companies with at least 10 full-time employees. |
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HB228: Prohibits Consideration of Nonpecuniary Factors in Investing |
Effective date |
Legislation |
Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■ Requires the board's evaluation of investments or the exercise of any rights related to an investment (including any proxy voting) to take into account only pecuniary factors. ESG or other similarly oriented considerations are only pecuniary factors if they "present economic risks or opportunities that qualified investment professionals would treat as material economic considerations under generally accepted investment theories." |
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Effective date |
Legislation |
Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■A joint resolution urging Montana's members of U.S. Congress to push back against agencies by compelling them to rescind or modify ESG policies and directives. |
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| Governor Gianforte, Board of Investments Block ESG Investing of State Funds |
Introduced 1/18/2023 |
Governor Position | Restrict Use of ESG Factors; Focus on Pecuniary Characteristics |
■ Governor Greg Gianforte and the Montana Board of Investments announced Montana has reaffirmed its commitment to maximizing returns on the over $26 billion in investments of the state’s financial assets, not advancing a political agenda through ESG investing. “As the State of Montana invests its financial assets, our priority is and should always be maximizing returns for our shareholders – the people of Montana,” Governor Gianforte said. “On my watch, we won’t undermine taxpayers’ returns on investment in favor of the trend of activist, woke capitalism through ESG investing.” ■ In late 2022, the Board of Investments revoked the ability of the state’s investment managers to vote the state’s proxies which align with ESG investment decisions. “The Board’s fiduciary duty is to maximize returns independent of political agendas, social pressures or any other non-pecuniary factors,” said Dan Villa, Executive Director of the Board of Investments. “We have and will continue to grow Montana’s wealth without bias and based solely on what is in the best interest of the beneficiaries of the assets we invest.” |
Past/Inactive Legislation
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Title |
Key Dates |
Nature of |
ESG Category |
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Introduced, but did not pass in 2023 legislative session |
Legislation |
Target Entities that Boycott Certain Industries |
■Prohibits discrimination against individuals, groups, associations, or businesses in matters concerning firearms, insofar as any discrimination may involve finance, lending, credit, insurance, and state investment concerning the manufacture, distribution, sale, or possession of firearms, firearms ammunition, or firearms accessories. |
