SSB 1056: Relating to actions regarding the economic interest of enterprise shareholders and participants in and beneficiaries of public pension benefit plans, and providing penalties

What it does

_____ plan participants and beneficiaries. The bill creates the rebuttable presumption that, if a fiduciary’s vote aligns with the recommendation of the board of directors of the issuer of the shares or if the fiduciary or a third party conducts and documents an economic analysis showing that the vote is in the best economic interest of the plan participants and beneficiaries, the vote is in the best interest of the plan participants and beneficiaries. The bill prohibits a fiduciary from voting shares of a plan based on any environmental, social, policy, governance, or ideological goal that is not in the best economic interest of plan participants and beneficiaries.

Senate subcommittee · named January 28, 2025

• Sen. Scott Webster (R) · scott.webster@legis.iowa.gov
• Sen. Herman C. Quirmbach (D) · herman.quirmbach@legis.iowa.gov
• Sen. Cherielynn Westrich (R) · cherielynn.westrich@legis.iowa.gov

Lobbying · 3 for, 9 against

For: Americans For Prosperity; Foundation for Government Accountability Action; Iowa Attorney General Dept. of Justice

Against: IPERS; Iowa Association of School Boards; Iowa State Association of Counties; Iowa State County Treasurers Association; Iowa State Education Association; Personal Interest- Tony Thompson; Rural School Advocates of Iowa; School Administrators of Iowa; Urban Education Network of Iowa

In plain words

1. January 28, 2025Filed in the Senate and sent to the Judiciary committee
2. January 28, 2025Senate subcommittee named: Webster, Quirmbach and Westrich
3. February 25, 2025Subcommittee recommended passing it with changes