Bill Text: CA AB1320 | 2019-2020 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Public employee retirement systems: prohibited investments: Turkey.

Spectrum: Slight Partisan Bill (Democrat 6-2)

Status: (Passed) 2019-10-02 - Chaptered by Secretary of State - Chapter 459, Statutes of 2019. [AB1320 Detail]

Download: California-2019-AB1320-Introduced.html

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CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Assembly Bill

No. 1320

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Introduced by Assembly Members Nazarian, Friedman, and Gabriel
(Coauthor: Assembly Member Chen)
(Coauthor: Senator Wilk)

February 22, 2019

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An act relating to public employee retirement systems.

LEGISLATIVE COUNSEL'S DIGEST

AB 1320, as introduced, Nazarian. Public employee retirement systems: Turkey divestment.

The California Constitution grants the retirement board of a public employee retirement system plenary authority and fiduciary responsibility for investment of moneys and administration of the retirement fund and system. The California Constitution qualifies this grant of powers by reserving to the Legislature the authority to prohibit investments if it is in the public interest and the prohibition satisfies standards of fiduciary care and loyalty required of a retirement board. Existing law prohibits the boards of administration of the Public Employees’ Retirement System and the State Teachers’ Retirement System from making investments in certain countries and in thermal coal companies, as specified, subject to the boards’ plenary authority and fiduciary responsibility for investment of moneys and administration of the systems.

This bill would state the intent of the Legislature to enact legislation that would require the boards of administration of the Public Employees’ Retirement System and the State Teachers’ Retirement System to liquidate existing investments of public employee retirement funds in investment vehicles issued by the government of Turkey.

Digest Key

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

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Bill Text

The people of the State of California do enact as follows:

SECTION 1.

 It is the intent of the Legislature to enact legislation that would require the boards of administration of the Public Employees’ Retirement System and the State Teachers’ Retirement System to liquidate existing investments of public employee retirement funds in investment vehicles issued by the government of Turkey.