MN HF111

State Board of Investment must identify and maintain a list of "scrutinized companies" engaged in active business operations in Iran subject to federal Iran Sanctions Act of 1996, with a $20,000,000 investment threshold, updated quarterly.

Board must send written notice to identified companies within 90 days offering 90 days to cease Iran operations or convert to inactive status to avoid divestment.

Companies that fail to cease scrutinized operations within 90 days must have 50% of holdings divested within 9 months and 100% divested within 15 months from initial listing.

Exemptions apply to companies primarily engaged in humanitarian relief, health/education/journalism/religious/welfare activities in Iran, and U.S. companies federally authorized for Iran operations; indirect holdings in actively managed funds excluded from divestment requirements.

Board must submit annual reports by January 15 detailing scrutinized companies list, engagement correspondence, divested investments, and prohibited acquisitions; statute expires if Iran removed from State Department terrorism list or president certifies interference with U.S. foreign policy.