NJ S262

State-administered pension, annuity, and retirement funds are prohibited from investing in corporations that reduce their annual worldwide effective income tax rate by 20% or more within three years due to shifting ownership or operations outside the United States

The State Investment Council and Director of the Division of Investment must sell, redeem, divest, or withdraw any investments violating this prohibition within three years of enactment

The Director of the Division of Investment must file an initial report with the Legislature within 60 days of enactment detailing all current investments that violate the prohibition

Annual reports detailing investments in non-compliant corporations must be filed with the Legislature until all prohibited investments are fully divested

"Shift in ownership" includes acquisitions between domestic and foreign business entities, while "shift in operations" means increasing foreign-sourced income through increased foreign activity and decreased domestic activity