Bill > S0072

This bill requires the Vermont Pension Investment Commission to take steps to reduce and eventually eliminate investments in fossil fuel industries across three state retirement systems (State Employees', Teachers', and Municipal Employees' Retirement Systems). Specifically, the bill mandates that by December 15, 2025, the Commission must review the "carbon footprint" (the extent of investments in fossil fuel companies) of these retirement funds. By December 31, 2030, the Commission is expected to develop and implement a plan to divest from fossil fuel industry holdings, consistent with sound financial practices and fiduciary responsibilities. The bill also sets a long-term goal of divesting from private investments containing fossil fuel assets by December 31, 2040, though this is contingent on the Commission determining such divestment is financially prudent. To support this effort, the bill appropriates $127,000 in fiscal year 2026 to establish a staff position to help manage the review, planning, and reporting requirements. The Commission must submit several reports to legislative committees, including an initial review report by February 15, 2026, an implementation plan report by September 1, 2026, and annual progress reports from 2027 to 2040, with a final report due January 15, 2041. The bill allows for some exceptions, such as minimal (less than 2%) exposure to fossil fuel investments, to ensure financial stability of the retirement systems.

Government Affairs

https://legislature.vermont.gov/bill/status/2026/S.72