HF4165 Summary

• State Board of Investment must divest all direct holdings in Russian and Belarusian companies, government securities, and related derivatives in a fiscally prudent manner, with at least 50 percent divested within 9 months and 100 percent within 15 months of enactment.

• State Board is prohibited from acquiring new securities subject to divestment requirements and must request that investment fund managers remove covered assets or create similar funds without those assets.

• State agencies must review existing contracts, promptly terminate contracts with Russian and Belarusian entities when practicable, and refrain from entering new contracts with such entities unless no suitable alternative exists.

• State Board must submit annual reports by January 15 to legislative committees detailing divested investments, prohibited new acquisitions, and progress on fund manager requests.

• Divestment requirements cease if the President of the United States certifies that similar state legislation interferes with U.S. foreign policy; exemptions apply to investments in humanitarian, health, education, journalism, religion, and welfare activities, plus federally-authorized U.S. companies with active operations in these countries.