Bill > A01580

This bill establishes the Teachers' Fossil Fuel Divestment Act, which requires the New York State Teachers' Retirement System to divest from investments in coal and oil/gas producers. The legislation defines coal and oil/gas producers based on specific revenue thresholds and global production percentages, and mandates the retirement board to create a public "exclusion list" of such companies within six months of the law's enactment. The retirement system must then divest from these companies within one year for coal producers and two years for oil and gas producers, with a five-year timeline for private equity and debt investments. The bill allows for some flexibility, permitting investments in index funds with less than 1% exposure to fossil fuel companies and giving the retirement board discretion to divest from other entities financing these producers. Importantly, the legislation emphasizes that divestment must be consistent with fiduciary responsibilities and does not create a private right of action against the retirement system. The bill is grounded in findings about climate change risks, noting that continued investment in fossil fuels poses potential financial and environmental threats, and aligns with New York's broader climate goals, such as the Climate Leadership and Community Protection Act, which aims to reduce greenhouse gas emissions significantly by 2050.

Labor and Employment

https://www.nysenate.gov/legislation/bills/2025/A1580