NH HB1585

Requires state and local public retirement systems to base all investment decisions solely on financial factors, prohibiting consideration of environmental, social, governance (ESG), political, or ideological interests

Prohibits fiduciaries from using ESG ratings, indices, or proxy advisors that incorporate non-financial criteria unless economically impractical alternatives exist

Mandates annual public disclosure of all proxy votes with supporting financial justification, and requires independent audits of investment and proxy records for compliance

Authorizes the Attorney General to enforce violations through civil action, with penalties including triple damages for fiduciary companies, personal fines up to $10,000 per violation, and contract termination

Takes effect January 1, 2027, with estimated state expenditures of $55,000 in FY 2028 and $45,000 annually thereafter for required compliance audits