2024 Legislation Bills to Watch:

Proposes to define “financial” as having been prudently determined by a fiduciary to have a material effect on the financial risk or the financial return of an investment. Further defines “financial” as not including any action taken, or factor considered, by a fiduciary with any purpose whatsoever to further social, political, or ideological interests.

Proposes that a fiduciary may reasonably be determined to have taken an action, or considered a factor, with a purpose to further social, political, or ideological interests by engaging in what is defined in the proposed law as a “fiduciary commitment” (see definition below) to further, through portfolio company engagement, board or shareholder votes, or otherwise as a fiduciary, any of the following beyond what controlling federal or state law requires:

•       Eliminating, reducing, offsetting, or disclosing greenhouse gas emissions.

•       Instituting or assessing corporate board, or employment, composition, compensation, or disclosure criteria that incorporates characteristics protected in this state.

•       Divesting from, limiting investment in, or limiting the activities or investments of, any company, for failing, or not committing, to meet environmental standards or disclosures.

•       Access to abortion, sex or gender change or transgender surgery.

•       Divesting from, limiting investment in, or limiting the activities or investments of, any company that engages in, facilitates, or supports the manufacture, import, distribution, marketing or advertising, sale, or lawful use of firearms, ammunition or components parts and accessories of firearms or ammunition.

Provides that anyone found to have breached these duties is liable for damages equal to three times all monies paid to the person or company by the system for that fiduciary’s services.

Oppose in its original form

(LRTA  Legislative Priority # 6)

Proposes to allow active, contributing participants in the ORP as of June 30, 2024, to make a one-time choice to join the TRSL defined benefit plan.

•       Must be in writing and received by TRSL on or before December 30, 2024.

•               For those who make this choice, ORP contributions cease on January 31, 2025, and contributions and service accrual in the TRSL defined benefit retirement plan begin on February 1, 2025, as a member first eligible for membership on that date.

HB 17

(Return to Work)

Proposes to temporarily allow most retirees to be reemployed through a contract or corporate contract without any suspension of their retirement benefit.

•       Benefit reduction rules remain in place.

•       Does not apply to disability retirees, those returning to work within a year of retirement, certain retirees filling critical shortages at higher education institutions, or voluntary suspension in lieu of benefit reduction.

Proposes that rehired retirees under contract or corporate contract and their employers will be exempt from employee and employer contributions during the reemployment.

HB 35

(Return to Work)

Proposes to allow a retiree who retired after June 30, 2020, to return to work in critical shortage positions without a one year waiting period or a reduction or suspension of benefits if there are no other properly certified non-retiree candidates to fill the vacancy.

Does not apply to disability retirees or certain retirees filling critical shortages at higher education institutions. Requires that any cost of proposed law be funded with additional employer contributions.

HR 82

(US Congress)

Support

(LRTA Legislative Priority # 12)