NY State Senate Bill 2017-S5647

Senate Bill S5647

2017-2018 Legislative Session

Requires SUNY and CUNY trustees refrain from investing in and subsequently divest from stocks, debt or other securities of certain publicly traded fossil fuel companies

download bill text pdf

Archive: Last Bill Status - In Senate Committee Higher Education Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

Please enter your contact information

First Name

Last Name

Email Address

A valid email address is required.

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.

Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 03, 2018	referred to higher education
Apr 24, 2017	referred to higher education

co-Sponsors

2017-S5647 (ACTIVE) - Details

Current Committee:: Senate Higher Education
Law Section:: Education Law
Laws Affected:: Add §§355-d & 6234-a, Ed L
Versions Introduced in Other Legislative Sessions:: 2019-2020: S1829
2021-2022: S420
2023-2024: S1953

2017-S5647 (ACTIVE) - Summary

Requires SUNY and CUNY trustees to refrain from investing in and subsequently divest from stocks, debt or other securities of certain publicly traded fossil fuel companies.

2017-S5647 (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S5647

 TITLE OF BILL :  An act to amend the education law, in relation to
requiring SUNY and CUNY trustees refrain from investing in and
subsequently divest from stocks, debt or other securities of certain
publicly traded fossil fuel companies

 SUMMARY OF SPECIFIC PROVISIONS :

Section 1 of the bill amends the education law by adding a new section
355-d. Section 355-d of the education law requires the SUNY Board of
Trustees and SUNY affiliated nonprofit organizations or foundations to
cease new investments in the 200 largest publicly traded fossil fuel
companies by July 1, 2018, and to divest from any current investments
in such companies by January 1, 2022.

The Board of Trustees and affiliated nonprofit organizations or
foundations would be permitted to cease divesting under limited
circumstances upon clear and convincing evidence that such divestment
has directly resulted in the total and aggregate value of all assets
under management by, or on behalf of, the Board of Trustees and
affiliated nonprofit organizations or foundations falling below a
specified threshold.

Section 2 of the bill amends the education law by adding a new section
6234a. Section 6234-a of the education law requires the CUNY Board of

Trustees and CUNY affiliated nonprofit organizations or foundations to
cease new investments in the 200 largest publicly traded fossil fuel
companies by July 1, 2018, and to divest from any current investments
in such companies by January 1, 2022.

The Board of Trustees and affiliated nonprofit organizations or
foundations would be permitted to cease divesting under limited
circumstances upon clear and convincing evidence that such divestment
has directly resulted in the total and aggregate value of all assets
under management by, or on behalf of, the Board of Trustees and
affiliated nonprofit organizations or foundations falling below a
specified threshold.

Section 3 of the bill sets an effective date of July 1, 2018.

 JUSTIFICATION :

Human-induced climate change is a growing threat to the future of our
planet. Its impacts are already evident, with annual record-setting
high temperatures, widespread droughts, drastic sea level rise, and
other effects that are potentially catastrophic to the environment,
public health, the economy, and the very survival of humanity.

One way to combat the threat of climate change is divesting from
fossil fuel companies. Organizations and individuals have the choice
to move their investments away from harmful industries that perpetuate
climate change and toward the burgeoning clean energy sector that will
support the energy economy of the future. Divestment sends a powerful
message to fossil fuel companies that despite their financial success,
their products are no longer considered valuable.

This bill would require the Boards of Trustees of the State University
of New York (SUNY) and the City University of New York (CUNY) and
their affiliated nonprofit organizations and foundations to cease all
new investments in the largest publicly-traded fossil fuel companies
by July 1, 2018 and to fully divest from these companies by January 1,
2022.

Divesting SUNY and CUNY from fossil fuels will send a message that it
is unacceptable for any institution to profit from activities that
threaten the future of our planet. This message is particularly
salient for SUNY and CUNY because these institutions are developing
the next generation of New York's workforce - individuals who will
feel the effects of climate change much more acutely than today's
corporate leaders, financiers, and elected officials.

Institutions that keep investments, such as the SUNY and CUNY Boards
of Trustees and the SUNY and CUNY Research Foundations, have a
responsibility to generate healthy financial returns. As
international, national, state and local regulatory actions to reduce
fossil fuel use accelerate, continuing long-term investments in fossil
fuel companies is simply illogical.

Student-led efforts have spread the fossil fuel divestment message on
individual campuses and throughout the SUNY and CUNY systems over the
last several years. In September 2015, the Executive Committee of the
SUNY Student Assembly passed a resolution in favor of divesting. CUNY
Divest, an organization comprised of students, faculty and alumni, has
been leading an effort to divest the system since 2013. Their efforts
have led the University Student Senate to pass three resolutions
calling on divestment, in addition to at least 12 resolutions at
individual campuses calling on the system to divest.

At least 39 American educational institutions have taken formal steps
to divest their campuses from fossil fuel holdings, ranging from
private universities like The New School and Georgetown University to
public institutions like the University of Washington and the
University of California. This list also includes the ESF College
Foundation, which in partnership with the SUNY College of
Environmental Science and Forestry (ESF) and the ESF Board of Trustees
voted to divest and freeze future fossil fuel investments in December
2015.

Overall, over 680 educational institutions, government entities,
cultural institutions, healthcare institutions, pension funds, NGOs,
foundations, faith-based organizations, and for-profit corporations
have formally divested their fossil fuel holdings. When combined with
over 58,000 individuals across 76 countries who have taken similar
pledges, the total valuation of divested assets has surpassed $5
trillion, according to Arabella Advisors.

This legislation presents SUNY and CUNY with an opportunity to take
strong action to sever ties with dirty, outdated fossil fuel companies
that are failing to adapt to a changing planet.

 PRIOR LEGISLATIVE HISTORY :

New bill.

 FISCAL IMPLICATIONS :

To be determined.

 EFFECTIVE DATE :
This act shall take effect on July 1, 2018.

2017-S5647 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5647
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                              April 24, 2017
                                ___________
 
 Introduced  by Sens. HOYLMAN, KRUEGER -- read twice and ordered printed,
   and when printed to be committed to the Committee on Higher Education
 
 AN ACT to amend the education law, in relation  to  requiring  SUNY  and
   CUNY  trustees  refrain from investing in and subsequently divest from
   stocks, debt or other securities of  certain  publicly  traded  fossil
   fuel companies
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The education law is amended by adding a new section  355-d
 to read as follows:
   §  355-D. DIVESTMENT FROM FOSSIL FUELS. 1. (A) ON OR AFTER JULY FIRST,
 TWO THOUSAND EIGHTEEN, THE BOARD OF TRUSTEES SHALL NOT INVEST ANY MONIES
 IN ANY STOCKS, DEBT OR OTHER SECURITIES OF ANY CORPORATION  OR  COMPANY,
 OR  ANY  SUBSIDIARY,  AFFILIATE OR PARENT OF ANY CORPORATION OR COMPANY,
 AMONG THE TWO HUNDRED LARGEST PUBLICLY TRADED FOSSIL FUEL COMPANIES,  AS
 ESTABLISHED BY CARBON CONTENT IN THE COMPANIES' PROVEN OIL, GAS AND COAL
 RESERVES.
   (B)  ON OR BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-TWO, THE BOARD OF
 TRUSTEES SHALL DIVEST FROM ANY STOCKS, DEBT OR OTHER SECURITIES  OF  ANY
 CORPORATION  OR  COMPANY,  OR ANY SUBSIDIARY, AFFILIATE OR PARENT OF ANY
 CORPORATION OR COMPANY, AMONG THE TWO HUNDRED  LARGEST  PUBLICLY  TRADED
 FOSSIL  FUEL  COMPANIES,  AS ESTABLISHED BY CARBON CONTENT IN THE COMPA-
 NIES' PROVEN OIL, GAS AND COAL RESERVES,  EXCEPT  THAT  DIVESTMENT  FROM
 STOCKS   OR  OTHER  SECURITIES  OF  COMPANIES  ENGAGED  IN  THE  MINING,
 EXTRACTION OR PRODUCTION OF COAL SHALL BE COMPLETED NO  LATER  THAN  ONE
 YEAR AFTER THE EFFECTIVE DATE OF THIS SUBDIVISION.
   (C)  THE  BOARD OF TRUSTEES SHALL BE PERMITTED TO CEASE DIVESTING FROM
 COMPANIES UNDER PARAGRAPH (A) OF THIS SUBDIVISION, REINVEST IN COMPANIES
 FROM WHICH IT DIVESTED UNDER  PARAGRAPH  (A)  OF  THIS  SUBDIVISION,  OR
 CONTINUE  TO INVEST IN COMPANIES FROM WHICH IT HAS NOT YET DIVESTED UPON
 CLEAR AND CONVINCING EVIDENCE SHOWING THAT AS A DIRECT  RESULT  OF  SUCH
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD04076-02-7

 S. 5647                             2
 
 DIVESTMENT, THE TOTAL AND AGGREGATE VALUE OF ALL ASSETS UNDER MANAGEMENT
 BY,  OR ON BEHALF OF, THE BOARD OF TRUSTEES BECOMES OR SHALL BECOME: (I)
 EQUAL TO OR LESS THAN NINETY-NINE AND  ONE-HALF  PERCENT;  OR  (II)  ONE
 HUNDRED PERCENT LESS FIFTY BASIS POINTS OF THE HYPOTHETICAL VALUE OF ALL
 ASSETS  UNDER  MANAGEMENT  BY,  OR  ON  BEHALF OF, THE BOARD OF TRUSTEES
 ASSUMING NO DIVESTMENT FROM ANY COMPANY HAD OCCURRED  UNDER  SAID  PARA-
 GRAPH  (A) OF THIS SUBDIVISION. CESSATION OF DIVESTMENT, REINVESTMENT OR
 ANY SUBSEQUENT ONGOING INVESTMENT AUTHORIZED BY THIS  SECTION  SHALL  BE
 STRICTLY LIMITED TO THE MINIMUM STEPS NECESSARY TO AVOID THE CONTINGENCY
 SET  FORTH  IN  THE PRECEDING SENTENCE. FOR ANY CESSATION OF DIVESTMENT,
 AND IN ADVANCE OF SUCH CESSATION, AUTHORIZED BY  THIS  SUBDIVISION,  THE
 BOARD OF TRUSTEES SHALL PROVIDE A WRITTEN REPORT TO THE ATTORNEY GENERAL
 AND  THE  SENATE  AND  ASSEMBLY STANDING COMMITTEES ON HIGHER EDUCATION,
 UPDATED  SEMI-ANNUALLY  THEREAFTER  AS  APPLICABLE,  SETTING  FORTH  THE
 REASONS  AND  JUSTIFICATION, SUPPORTED BY CLEAR AND CONVINCING EVIDENCE,
 FOR ITS DECISIONS TO CEASE DIVESTMENT, TO REINVEST OR TO REMAIN INVESTED
 IN FOSSIL FUEL COMPANIES.
   2. (A) ON OR AFTER JULY FIRST, TWO THOUSAND  EIGHTEEN,  AN  AFFILIATED
 NONPROFIT  ORGANIZATION OR FOUNDATION SHALL NOT INVEST ANY MONIES IN ANY
 STOCKS, DEBT OR OTHER SECURITIES OF ANY CORPORATION OR COMPANY,  OR  ANY
 SUBSIDIARY, AFFILIATE OR PARENT OF ANY CORPORATION OR COMPANY, AMONG THE
 TWO  HUNDRED  LARGEST  PUBLICLY  TRADED FOSSIL FUEL COMPANIES, AS ESTAB-
 LISHED BY CARBON CONTENT IN THE COMPANIES'  PROVEN  OIL,  GAS  AND  COAL
 RESERVES.
   (B) ON OR BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-TWO, AN AFFILIATED
 NONPROFIT  ORGANIZATION OR FOUNDATION SHALL DIVEST FROM ANY STOCKS, DEBT
 OR OTHER SECURITIES OF ANY CORPORATION OR COMPANY,  OR  ANY  SUBSIDIARY,
 AFFILIATE OR PARENT OF ANY CORPORATION OR COMPANY, AMONG THE TWO HUNDRED
 LARGEST  PUBLICLY TRADED FOSSIL FUEL COMPANIES, AS ESTABLISHED BY CARBON
 CONTENT IN THE COMPANIES' PROVEN OIL, GAS AND COAL RESERVES, EXCEPT THAT
 DIVESTMENT FROM STOCKS OR OTHER SECURITIES OF COMPANIES ENGAGED  IN  THE
 MINING,  EXTRACTION  OR  PRODUCTION  OF COAL SHALL BE COMPLETED NO LATER
 THAN ONE YEAR AFTER THE EFFECTIVE DATE OF THIS SUBDIVISION.
   (C) AN  AFFILIATED  NONPROFIT  ORGANIZATION  OR  FOUNDATION  SHALL  BE
 PERMITTED  TO CEASE DIVESTING FROM COMPANIES UNDER PARAGRAPH (A) OF THIS
 SUBDIVISION, REINVEST IN COMPANIES FROM WHICH IT  DIVESTED  UNDER  PARA-
 GRAPH  (A)  OF THIS SUBDIVISION, OR CONTINUE TO INVEST IN COMPANIES FROM
 WHICH IT HAS NOT YET DIVESTED UPON CLEAR AND CONVINCING EVIDENCE SHOWING
 THAT AS A DIRECT RESULT OF SUCH  DIVESTMENT,  THE  TOTAL  AND  AGGREGATE
 VALUE  OF ALL ASSETS UNDER MANAGEMENT BY, OR ON BEHALF OF, AN AFFILIATED
 NONPROFIT ORGANIZATION OR FOUNDATION BECOMES OR SHALL BECOME: (I)  EQUAL
 OR  LESS  THAN  NINETY-NINE  AND  ONE-HALF  PERCENT; OR (II) ONE HUNDRED
 PERCENT LESS FIFTY BASIS POINTS OF THE HYPOTHETICAL VALUE OF ALL  ASSETS
 UNDER  MANAGEMENT BY, OR ON BEHALF OF, AN AFFILIATED NONPROFIT ORGANIZA-
 TION OR FOUNDATION ASSUMING NO DIVESTMENT FROM ANY COMPANY HAD  OCCURRED
 UNDER  SAID  PARAGRAPH (A) OF THIS SUBDIVISION. CESSATION OF DIVESTMENT,
 REINVESTMENT OR ANY SUBSEQUENT ONGOING  INVESTMENT  AUTHORIZED  BY  THIS
 SECTION  SHALL  BE  STRICTLY  LIMITED  TO THE MINIMUM STEPS NECESSARY TO
 AVOID THE CONTINGENCY SET FORTH  IN  THE  PRECEDING  SENTENCE.  FOR  ANY
 CESSATION  OF  DIVESTMENT, AND IN THE ADVANCE OF SUCH CESSATION, AUTHOR-
 IZED BY THIS SUBDIVISION, AN AFFILIATED NONPROFIT ORGANIZATION OR  FOUN-
 DATION  SHALL  PROVIDE  A WRITTEN REPORT TO THE ATTORNEY GENERAL AND THE
 SENATE AND ASSEMBLY STANDING COMMITTEES  ON  HIGHER  EDUCATION,  UPDATED
 SEMI-ANNUALLY  THEREAFTER  AS  APPLICABLE, SETTING FORTH THE REASONS AND
 JUSTIFICATION, SUPPORTED BY CLEAR AND CONVINCING EVIDENCE, FOR ITS DECI-

 S. 5647                             3
 
 SIONS TO CEASE DIVESTMENT, TO REINVEST OR TO REMAIN INVESTED  IN  FOSSIL
 FUEL COMPANIES.
   3.  AS USED WITHIN THIS SECTION, "AN AFFILIATED NONPROFIT ORGANIZATION
 OR FOUNDATION" MEANS AN ORGANIZATION  OR  FOUNDATION  FORMED  UNDER  THE
 NOT-FOR-PROFIT  CORPORATION LAW OR ANY OTHER ENTITY FORMED FOR THE BENE-
 FIT OF OR CONTROLLED BY THE STATE UNIVERSITY OF NEW YORK OR ITS  RESPEC-
 TIVE  UNIVERSITIES,  COLLEGES,  COMMUNITY COLLEGES, CAMPUSES OR SUBDIVI-
 SIONS, INCLUDING THE RESEARCH FOUNDATION OF THE STATE UNIVERSITY OF  NEW
 YORK,  TO ASSIST IN MEETING THE SPECIFIC NEEDS OF, OR PROVIDING A DIRECT
 BENEFIT TO,  THE  RESPECTIVE  UNIVERSITY,  COLLEGE,  COMMUNITY  COLLEGE,
 CAMPUS OR SUBDIVISION OR THE UNIVERSITY AS A WHOLE, THAT HAS CONTROL OF,
 MANAGES  OR  RECEIVES FIFTY THOUSAND DOLLARS OR MORE ANNUALLY, INCLUDING
 ALUMNI ASSOCIATIONS.
   § 2. The education law is amended by adding a new  section  6234-a  to
 read as follows:
   § 6234-A. DIVESTMENT FROM FOSSIL FUELS. 1. (A) ON OR AFTER JULY FIRST,
 TWO THOUSAND EIGHTEEN, THE BOARD OF TRUSTEES SHALL NOT INVEST ANY MONIES
 IN  ANY  STOCKS, DEBT OR OTHER SECURITIES OF ANY CORPORATION OR COMPANY,
 OR ANY SUBSIDIARY, AFFILIATE OR PARENT OF ANY  CORPORATION  OR  COMPANY,
 AMONG  THE TWO HUNDRED LARGEST PUBLICLY TRADED FOSSIL FUEL COMPANIES, AS
 ESTABLISHED BY CARBON CONTENT IN THE COMPANIES' PROVEN OIL, GAS AND COAL
 RESERVES.
   (B) ON OR BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-TWO, THE BOARD  OF
 TRUSTEES  SHALL  DIVEST FROM ANY STOCKS, DEBT OR OTHER SECURITIES OF ANY
 CORPORATION OR COMPANY, OR ANY SUBSIDIARY, AFFILIATE OR  PARENT  OF  ANY
 CORPORATION  OR  COMPANY,  AMONG THE TWO HUNDRED LARGEST PUBLICLY TRADED
 FOSSIL FUEL COMPANIES, AS ESTABLISHED BY CARBON CONTENT  IN  THE  COMPA-
 NIES'  PROVEN  OIL,  GAS  AND COAL RESERVES, EXCEPT THAT DIVESTMENT FROM
 STOCKS  OR  OTHER  SECURITIES  OF  COMPANIES  ENGAGED  IN  THE   MINING,
 EXTRACTION  OR  PRODUCTION  OF COAL SHALL BE COMPLETED NO LATER THAN ONE
 YEAR AFTER THE EFFECTIVE DATE OF THIS SUBDIVISION.
   (C) THE BOARD OF TRUSTEES SHALL BE PERMITTED TO CEASE  DIVESTING  FROM
 COMPANIES UNDER PARAGRAPH (A) OF THIS SUBDIVISION, REINVEST IN COMPANIES
 FROM  WHICH  IT  DIVESTED  UNDER  PARAGRAPH  (A) OF THIS SUBDIVISION, OR
 CONTINUE TO INVEST IN COMPANIES FROM WHICH IT HAS NOT YET DIVESTED  UPON
 CLEAR  AND  CONVINCING  EVIDENCE SHOWING THAT AS A DIRECT RESULT OF SUCH
 DIVESTMENT, THE TOTAL AND AGGREGATE VALUE OF ALL ASSETS UNDER MANAGEMENT
 BY, OR ON BEHALF OF, THE BOARD OF TRUSTEES BECOMES OR SHALL BECOME:  (I)
 EQUAL  TO  OR  LESS  THAN  NINETY-NINE AND ONE-HALF PERCENT; OR (II) ONE
 HUNDRED PERCENT LESS FIFTY BASIS POINTS OF THE HYPOTHETICAL VALUE OF ALL
 ASSETS UNDER MANAGEMENT BY, OR ON  BEHALF  OF,  THE  BOARD  OF  TRUSTEES
 ASSUMING  NO  DIVESTMENT  FROM ANY COMPANY HAD OCCURRED UNDER SAID PARA-
 GRAPH (A) OF THIS SUBDIVISION. CESSATION OF DIVESTMENT, REINVESTMENT  OR
 ANY  SUBSEQUENT  ONGOING  INVESTMENT AUTHORIZED BY THIS SECTION SHALL BE
 STRICTLY LIMITED TO THE MINIMUM STEPS NECESSARY TO AVOID THE CONTINGENCY
 SET FORTH IN THE PRECEDING SENTENCE. FOR ANY  CESSATION  OF  DIVESTMENT,
 AND  IN  ADVANCE  OF SUCH CESSATION, AUTHORIZED BY THIS SUBDIVISION, THE
 BOARD OF TRUSTEES SHALL PROVIDE A WRITTEN REPORT TO THE ATTORNEY GENERAL
 AND THE SENATE AND ASSEMBLY STANDING  COMMITTEES  ON  HIGHER  EDUCATION,
 UPDATED  SEMI-ANNUALLY  THEREAFTER  AS  APPLICABLE,  SETTING  FORTH  THE
 REASONS AND JUSTIFICATION, SUPPORTED BY CLEAR AND  CONVINCING  EVIDENCE,
 FOR ITS DECISIONS TO CEASE DIVESTMENT, TO REINVEST OR TO REMAIN INVESTED
 IN FOSSIL FUEL COMPANIES.
   2.  (A)  ON  OR AFTER JULY FIRST, TWO THOUSAND EIGHTEEN, AN AFFILIATED
 NONPROFIT ORGANIZATION OR FOUNDATION SHALL NOT INVEST ANY MONIES IN  ANY
 STOCKS,  DEBT  OR OTHER SECURITIES OF ANY CORPORATION OR COMPANY, OR ANY

 S. 5647                             4
 
 SUBSIDIARY, AFFILIATE OR PARENT OF ANY CORPORATION OR COMPANY, AMONG THE
 TWO HUNDRED LARGEST PUBLICLY TRADED FOSSIL  FUEL  COMPANIES,  AS  ESTAB-
 LISHED  BY  CARBON  CONTENT  IN  THE COMPANIES' PROVEN OIL, GAS AND COAL
 RESERVES.
   (B) ON OR BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-TWO, AN AFFILIATED
 NONPROFIT  ORGANIZATION OR FOUNDATION SHALL DIVEST FROM ANY STOCKS, DEBT
 OR OTHER SECURITIES OF ANY CORPORATION OR COMPANY,  OR  ANY  SUBSIDIARY,
 AFFILIATE OR PARENT OF ANY CORPORATION OR COMPANY, AMONG THE TWO HUNDRED
 LARGEST  PUBLICLY TRADED FOSSIL FUEL COMPANIES, AS ESTABLISHED BY CARBON
 CONTENT IN THE COMPANIES' PROVEN OIL, GAS AND COAL RESERVES, EXCEPT THAT
 DIVESTMENT FROM STOCKS OR OTHER SECURITIES OF COMPANIES ENGAGED  IN  THE
 MINING,  EXTRACTION  OR  PRODUCTION  OF COAL SHALL BE COMPLETED NO LATER
 THAN ONE YEAR AFTER THE EFFECTIVE DATE OF THIS SUBDIVISION.
   (C) AN  AFFILIATED  NONPROFIT  ORGANIZATION  OR  FOUNDATION  SHALL  BE
 PERMITTED  TO CEASE DIVESTING FROM COMPANIES UNDER PARAGRAPH (A) OF THIS
 SUBDIVISION, REINVEST IN COMPANIES FROM WHICH IT  DIVESTED  UNDER  PARA-
 GRAPH  (A)  OF THIS SUBDIVISION, OR CONTINUE TO INVEST IN COMPANIES FROM
 WHICH IT HAS NOT YET DIVESTED UPON CLEAR AND CONVINCING EVIDENCE SHOWING
 THAT AS A DIRECT RESULT OF SUCH  DIVESTMENT,  THE  TOTAL  AND  AGGREGATE
 VALUE  OF ALL ASSETS UNDER MANAGEMENT BY, OR ON BEHALF OF, AN AFFILIATED
 NONPROFIT ORGANIZATION OR FOUNDATION BECOMES OR SHALL BECOME: (I)  EQUAL
 TO  OR  LESS  THAN NINETY-NINE AND ONE-HALF PERCENT; OR (II) ONE HUNDRED
 PERCENT LESS FIFTY BASIS POINTS OF THE HYPOTHETICAL VALUE OF ALL  ASSETS
 UNDER  MANAGEMENT BY, OR ON BEHALF OF, AN AFFILIATED NONPROFIT ORGANIZA-
 TION OR FOUNDATION ASSUMING NO DIVESTMENT FROM ANY COMPANY HAD  OCCURRED
 UNDER  SAID  PARAGRAPH (A) OF THIS SUBDIVISION. CESSATION OF DIVESTMENT,
 REINVESTMENT OR ANY SUBSEQUENT ONGOING  INVESTMENT  AUTHORIZED  BY  THIS
 SECTION  SHALL  BE  STRICTLY  LIMITED  TO THE MINIMUM STEPS NECESSARY TO
 AVOID THE CONTINGENCY SET FORTH  IN  THE  PRECEDING  SENTENCE.  FOR  ANY
 CESSATION OF DIVESTMENT, AND IN ADVANCE OF SUCH CESSATION, AUTHORIZED BY
 THIS  SUBDIVISION,  AN  AFFILIATED  NONPROFIT ORGANIZATION OR FOUNDATION
 SHALL PROVIDE A WRITTEN REPORT TO THE ATTORNEY GENERAL  AND  THE  SENATE
 AND ASSEMBLY STANDING COMMITTEES ON HIGHER EDUCATION, UPDATED SEMI-ANNU-
 ALLY  THEREAFTER AS APPLICABLE, SETTING FORTH THE REASONS AND JUSTIFICA-
 TION, SUPPORTED BY CLEAR AND CONVINCING EVIDENCE, FOR ITS  DECISIONS  TO
 CEASE  DIVESTMENT,  TO  REINVEST  OR  TO  REMAIN INVESTED IN FOSSIL FUEL
 COMPANIES.
   3. AS USED WITHIN THIS SECTION, "AN AFFILIATED NONPROFIT  ORGANIZATION
 OR  FOUNDATION"  MEANS  AN  ORGANIZATION  OR FOUNDATION FORMED UNDER THE
 NOT-FOR-PROFIT CORPORATION LAW OR ANY OTHER ENTITY FORMED FOR THE  BENE-
 FIT  OF  OR CONTROLLED BY THE CITY UNIVERSITY OF NEW YORK OR ITS RESPEC-
 TIVE UNIVERSITIES, COLLEGES, COMMUNITY COLLEGES,  CAMPUSES  OR  SUBDIVI-
 SIONS,  INCLUDING  THE RESEARCH FOUNDATION OF THE CITY UNIVERSITY OF NEW
 YORK, TO ASSIST IN MEETING THE SPECIFIC NEEDS OF, OR PROVIDING A  DIRECT
 BENEFIT  TO,  THE  RESPECTIVE  UNIVERSITY,  COLLEGE,  COMMUNITY COLLEGE,
 CAMPUS OR SUBDIVISION OR THE UNIVERSITY AS A WHOLE, THAT HAS CONTROL OF,
 MANAGES OR RECEIVES FIFTY THOUSAND DOLLARS OR MORE  ANNUALLY,  INCLUDING
 ALUMNI ASSOCIATIONS.
   § 3. This act shall take effect on July 1, 2018.

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Senate Bill S5647

Share this bill

Sponsored By

Brad Hoylman-Sigal