New Jersey Senate Bill S1115

New Jersey 2024-2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Prohibits investment by State of pension and annuity funds in companies manufacturing, importing, and selling assault firearms for civilian use.

Impact

If passed, the bill will introduce significant changes to the management of state pension and annuity funds. It mandates that the Division of Investment, which oversees these funds, divest from any investments that conflict with the new prohibition. There is a transitional period of three years during which existing investments in prohibited entities must be phased out. This timeframe is intended to allow the state to divest in a manner that ensures prudence and financial responsibility, balancing ethical considerations with financial implications.

Summary

Senate Bill S1115 aims to prohibit the State of New Jersey from investing any assets of pension and annuity funds in companies involved in the manufacturing, importing, and selling of assault firearms for civilian use. This bill responds to ongoing debates over gun violence and aims to align state investment practices with public safety priorities. By preventing state funds from supporting companies linked to assault firearms, the bill seeks to promote responsible investment strategies that reflect societal values.

Contention

Notably, the bill exempts companies that manufacture, import, or sell assault firearms intended solely for military and law enforcement use. This exemption is likely to be a point of contention among stakeholders, as it may allow some companies to continue receiving state investment indirectly. Additionally, opposition may arise from those who view such investment restrictions as a slippery slope towards broader restrictions on legal commerce or who argue that it does not adequately address the underlying issues of gun violence.