2022 -- H 7482

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LC003223

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2022

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A N   A C T

RELATING TO PUBLIC FINANCE - IDENTIFICATION OF STATE PENSION FUNDS

WITH MILITARY CONTRACTORS

     

     Introduced By: Representatives Morales, Henries, Potter, Batista, McGaw, Giraldo,
Speakman, Ranglin-Vassell, J Lombardi, and Knight

     Date Introduced: February 16, 2022

     Referred To: House Finance

     (General Treasurer)

It is enacted by the General Assembly as follows:

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     SECTION 1. Title 35 of the General Laws entitled "PUBLIC FINANCE" is hereby

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amended by adding thereto the following chapter:

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CHAPTER 10.4

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IDENTIFICATION OF STATE PENSION FUNDS WITH MILITARY CONTRACTORS

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     35-10.4-1. Short title.

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     This chapter shall be known and may be cited as the "Identification of State Pension Funds

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with Military Contractors Act".

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     35-10.4-2. Definitions.

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     As used in this chapter, the following words and terms shall have the following meanings

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unless the context shall clearly indicate another or different meaning or intent:

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     (1) "Commission" means the state investment commission that oversees the assets of the

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employees' retirement system of Rhode Island pursuant to chapter 10 of title 35.

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     (2) "Company" means a sole proprietorship, organization, association, corporation,

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partnership, joint venture, limited partnership, limited liability partnership, limited liability

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company or other entity or business association, including all wholly-owned subsidiaries, majority-

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owned subsidiaries, parent companies or affiliates of such entities or business associations that exist

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for profit-making purposes.

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     (3) "Direct holdings" means all securities of a company held directly by the public fund or

 

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in an account or fund in which the public fund owns all shares or interests.

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     (4) "Indirect holdings" means all securities of a company held in an account or fund, such

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as a mutual fund or hedge fund managed by one or more person not employed by the public fund,

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in which the public fund owns shares or interests together with other investors not subject to this

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chapter.

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     (5) "Military contractors" or "military weapon manufacturers" means arms producing

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companies, defense contractors or military industries that primarily produce, maintain and store

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weapons for the armed forces of nation states or non-state entities. Products include guns,

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ammunition, missiles, military aircraft, military vehicles, and military ships.

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     (6) "Pension fund" means the pooled investment fund consisting of the assets of the state

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employees' and teachers' retirement systems, as well as the assets of local retirement systems under

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the control of the state.

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     35-10.4-3. Identification of military weapon manufacturers.

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     Within six (6) months of enactment of this chapter, the commission shall identify all

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military weapon manufacturers where the pension fund owns direct or indirect holdings and shall

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file a list of any such holdings with the office of attorney general, the house of representatives and

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the senate.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO PUBLIC FINANCE - IDENTIFICATION OF STATE PENSION FUNDS

WITH MILITARY CONTRACTORS

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     This act would require the state investment commission to identify pension fund

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investments in military weapon manufacturers whether held directly and indirectly.

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     This act would take effect upon passage.

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