An Act To Require the State To Divest Itself of Assets Invested in the Fossil Fuel Industry
Maine Legislature, Session 130, LD 0099
Committee: Labor and Housing
Sponsors: O'NEIL, BREEN, BRENNAN, MORALES, OSHER, TALBOT ROSS, WARREN, DAUGHTRY, MAXMIN
Amends: 5 MRSA §1957

Legislative Document
No. 99
H.P. 65
House of Representatives, January 13, 2021
An Act To Require the State To Divest Itself of Assets Invested in 
the Fossil Fuel Industry
Received by the Clerk of the House on January 11, 2021.  Referred to the Committee on 
Labor and Housing pursuant to Joint Rule 308.2 and ordered printed pursuant to Joint Rule 
401.
ROBERT B. HUNT
Clerk
Presented by Representative O'NEIL of Saco.
Cosponsored by Senator BREEN of Cumberland and
Representatives: BRENNAN of Portland, McDONALD of Stonington, MORALES of South 
Portland, OSHER of Orono, TALBOT ROSS of Portland, WARREN of Scarborough, 
Senators: DAUGHTRY of Cumberland, MAXMIN of Lincoln.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  5 MRSA §1957 is enacted to read:
§1957.  Fossil fuels
1.  Divestment.  The Treasurer of State and the Board of Trustees of the Maine Public 
Employees Retirement System may not invest the assets of any state pension or annuity 
fund in any stocks or other securities of any corporation or company within the fossil fuel 
industry or any subsidiary, affiliate or parent of any corporation or company among the 
largest publicly traded fossil fuel companies, as established by carbon in the 
companies' proven oil, gas and coal reserves. Except as provided in subsection 2, the 
Treasurer of State and the Board of Trustees of the Maine Public Employees Retirement 
System shall, in accordance with sound investment criteria and consistent with the board's 
fiduciary obligations, divest any such stocks or other securities whether they are owned 
directly or held through separate accounts or any commingled funds. Divestment pursuant 
to this subsection must be complete by January 1, 2026.
2.  Exemption.  Short-term investment funds that commingle commercial paper or 
futures are exempt from the restrictions imposed pursuant to subsection 1.
Sec. 2.  Fossil fuel industry; divestment.  The Treasurer of State and the Board of 
Trustees of the Maine Public Employees Retirement System shall review the extent to 
which the assets of any state pension or annuity fund are invested in any stocks or other 
securities of any corporation or company within the fossil fuel industry or any subsidiary, 
affiliate or parent of any corporation or company within the fossil fuel industry. Pursuant 
to the Maine Revised Statutes, Title 5, section 1957, the Treasurer of State and the Board 
of Trustees of the Maine Public Employees Retirement System shall, in accordance with 
sound investment criteria and consistent with the board's fiduciary obligations, divest any 
such stocks or other securities. Divestment pursuant to this section must be complete by 
January 1, 2026.
The Treasurer of State and the Board of Trustees of the Maine Public Employees 
Retirement System shall report to the joint standing committee of the Legislature having 
jurisdiction over appropriations and financial affairs by January 1, 2023, 2024 and 2025 
regarding the progress of divestment and the implementation of this section.  The Treasurer 
of State and the Board of Trustees of the Maine Public Employees Retirement System shall 
make a final report to the joint standing committee of the Legislature having jurisdiction 
over appropriations and financial affairs by January 1, 2026 regarding completion of the 
divestment pursuant to this section.
SUMMARY
This bill requires the State to divest itself of assets invested in the fossil fuel industry.