HB406 Alabama 2023 Session

Summary

Primary Sponsor

Mike Shaw Representative

Republican

Session

Regular Session 2023

Title

Relating to public investments; to require the State Treasurer and the Boards of Control of the Retirement Systems of Alabama and the Judicial Retirement Fund to establish and maintain a list of certain companies owned or controlled by Chinese military or government services and designated by the U.S. government as companies with whom U.S. citizens are restricted from entering into transactions; to make this list available to the public; to prohibit the State Treasurer and the Boards of Control of the Retirement Systems of Alabama and the Judicial Retirement Fund from acquiring direct holdings in publicly traded securities of a listed company, and requiring the sale, redemption, divestment, or withdrawal of all direct holdings in publicly traded securities of a listed company within 180 days after the company becomes a listed company; and to define terms.

Description

This bill would require the State Treasurer and the Boards of Control of the Retirement Systems of Alabama and Judicial Retirement Fund to create and make available to the public a list of prohibited companies, which would be defined as businesses owned or controlled by Chinese military or government services and designated by the U.S. government as companies with whom U.S. citizens are restricted from entering into transactions.

This bill authorizes the respective retirement systems to use a third-party service to complete the identification of prohibited companies.

This bill prohibits the State Treasurer and the Boards of Control of the Retirement Systems of Alabama and Judicial Retirement Fund from acquiring direct holdings in publicly traded securities of a prohibited company, and requires them to sell, redeem, divest, or withdraw all direct holdings in publicly traded securities of a prohibited company within 180 days after the company becomes a prohibited company.

This bill would also define terms.

HB406 INTRODUCED.

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Subjects

Public funds, investment in certain companies owned or controlled by China prohibited