HB 433 Summary

• Creates Section 121.141 requiring the State Board of Administration to identify and maintain a list of Iran-restricted companies, Sudan-restricted companies, and companies that boycott Israel, effective April 1, 2017.

• Defines Iran-restricted companies as those with over 10 percent of revenues in Iran involving oil or mineral extraction, or those investing $20 million or more in Iran's petroleum development on or after July 1, 2016.

• Requires the Florida Retirement System to divest all direct holdings in restricted companies within 12 months of their identification, but exempts indirect holdings and private market funds from mandatory divestment.

• Allows the Florida Retirement System to cease divestment when restricted company holdings fall to 0.5 percent or less of total assets under management.

• Exempts the State Board of Administration from conflicting fiduciary duties and other general law obligations when complying with divestment requirements, and expresses legislative intent to avoid divesting from U.S.-based companies.