ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
1
AN ACT relating to state funds; requiring the state
treasurer and the Wyoming retirement board to provide for
proxy voting associated with the investment of state funds;
specifying investment criteria to ensure investments are
made only on pecuniary factors; providing definitions;
authorizing contracts and the use of investment earnings;
making conforming amendments; specifying applicability;
authorizing full‑time positions; and providing for an
effective date.
Be It Enacted by the Legislature of the State of Wyoming:
Section 1. W.S. 9-4-722 is created to read:
9-4-722. Investment of state funds; proxy voting
requirements.
(a) As used in this section, "investment entity"
means the state treasurer and the Wyoming retirement board.
(b) The following shall apply to the investment of
funds made by each investment entity:
(i) All investments shall be made through the
exercise of judgment and care of a prudent investor in
accordance with W.S. 9-3-408(b) and 9-4-715(d)(i);
(ii) Each investment entity shall solely act in
the financial interest of beneficiaries when evaluating
managers, vendors, asset allocations and investment
potential in order to obtain the highest total return on a
risk-adjusted basis while adhering to all applicable laws; ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
2(iii) Fiduciary decisions made by each
investment entity shall be based only on pecuniary factors.
For purposes of this paragraph, "pecuniary factors":
(A) Are factors that have been prudently
determined and are expected to have a positive effect on
the risk-adjusted return of investments, based on
appropriate investment horizons consistent with the
objectives of the applicable funds and investment policies
while adhering to compliance, statutory and regulatory
guidance;
(B) Do not include the furtherance of
environmental, social, governance, political or ideological
interests.
(iv) Nonpecuniary factors are those that do not
provide confidence in increased returns or lower risk and
shall be deemed causes for concern by each investment
entity. No investment entity shall act based on
nonpecuniary factors, as doing so may result in lower
returns, increased risk or less funding being available to
the state of Wyoming;
(v) All vendors of each investment entity shall
adhere to the laws of Wyoming and the United States. Each
contract that an investment entity enters into with a
vendor shall require the vendor to acknowledge the
requirements of this paragraph;
(vi) Each investment entity shall respond in
writing after final determination to an investment partner,
manager or vendor that acts based on nonpecuniary factors
because that may result in a potential detrimental outcome ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
3
to the highest total return on a risk-adjusted basis or a
loss to the state's revenue;
(vii) In addition to providing a response under
paragraph (vi) of this subsection, each investment entity
may take any of the following actions necessary to ensure
that all fiduciary decisions are based on pecuniary
factors:
(A) Requesting that the investment partner,
manager or vendor change policies to ensure that
investments are made based only on pecuniary factors;
(B) Voting of proxies to force change;
(C) Divesting or replacing investments,
investment partners, managers or vendors with competitive
alternatives.
(viii) Each investment partner, vendor and
manager selected and utilized by each investment entity
shall adhere to the standard of care of being a fiduciary,
including the same obligations as investment entities under
paragraph (ii) of this subsection, and comply with all
requirements of the investment policy statements adopted by
the board under W.S. 9-4-716.
(c) Each investment entity shall provide management
oversight for the voting of proxies for all investments
made by the investment entity. Proxy votes shall be made in
a way that is consistent with the investment policy
statements adopted by the board under W.S. 9-4-716 and in
accordance with the pecuniary interests of Wyoming's
investments and the state's financial interests. ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
4(d) Each investment entity may hire a proxy manager
to implement this section. The investment entity shall
oversee the proxy manager selected under this subsection.
Each proxy manager shall report to the investment entity
not less than semiannually of the proxy manager's
activities.
(e) Each external investment manager selected by an
investment entity shall attest in writing not less than one
(1) time each year that the manager has adhered to the
requirements of this section.
(f) Each investment entity may use not more than one
(1) basis point of assets under management from annual
investment returns, with each invested fund's share
calculated in proportion to the magnitude of each fund
invested, for purposes of implementing the requirements of
this section. Funds authorized under this subsection are
continuously appropriated to the investment entity for use
as authorized by this subsection.
(g) Subject to state and federal law, the state
treasurer shall make available for public inspection and
download from the state treasurer's official website
information on all proxy votes regarding investments cast
on behalf of the state. The information shall include, at
minimum, the date of each vote, a description of the matter
being voted on and an explanation of the vote taken.
Information published on the official website under this
subsection shall be maintained on the state treasurer's
website for not less than five (5) years.
Section 2. W.S. 9-3-405(a)(v), 9-3-408(b),
9-3-436(a), 9-3-440(a)(intro) and (b), 9-4-714(a)(viii), ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
5
9-4-715(a)(intro) and (b) and 9-4-716(a) by creating new
paragraphs (iii) and (iv) are amended to read:
9-3-405. Retirement board duties and powers.
(a) In addition to any other duties prescribed by
law, the board shall:
(v) Serve as investment trustee of the funds of
the system. In serving as investment trustee under this
paragraph, the board shall comply with the requirements of
W.S. 9-4-722;
9-3-408. Designated custodian of retirement account;
disbursements; investment of account monies.
(b) The board, or its designee, which shall be
registered under the Investment Advisor's Act of 1940 as
amended, or any bank as defined in that act, upon written
authority, shall invest monies in the retirement account,
which investments shall not be considered disbursements for
the purposes of W.S. 9-4-214 and subsection (a) of this
section. In investing and managing monies in the retirement
account ,
the board, or its designee, shall exercise the judgment and
care that a prudent investor would, in light of the
purposes, terms, distribution requirements and all other
circumstances surrounding the monies in the retirement
account, including risk and return objectives established
by the board which are reasonably suitable to the purpose
of the Wyoming retirement system.
9-3-436. Establishment of trust. ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
6(a) Except as otherwise provided in subsection (b) of
this section, all assets of a retirement system are held in
trust for the exclusive benefit of the members, retirees
and beneficiaries of the system, including reasonable
administrative expenses. The trustee has the exclusive
authority, subject to this act, to invest and manage those
assets.
9-3-440. Duties of trustee in investing and managing
assets of retirement system.
(a) In investing and managing assets of a retirement
system pursuant to W.S. 9-3-439
9-4-722, a trustee with authority to invest and manage
assets:
(b) A trustee with authority to invest and manage
assets of a retirement system shall adopt a statement of
investment objectives and policies for each retirement
program or appropriate grouping of programs, subject to the
requirements of W.S. 9-4-722. The statement shall include
the desired rate of return on assets overall, the desired
rates of return and acceptable levels of risk for each
asset class, asset-allocation goals, guidelines for the
delegation of authority and information on the types of
reports to be used to evaluate investment performance. At
least annually, the trustee shall review the statement and
change or reaffirm it.
9-4-714. Definitions.
(a) As used in this act:
(viii) "This act" means W.S. 9-4-714 through
9-4-721 9-4-722. ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
7
9-4-715. Permissible investments.
(a) The state treasurer, in consultation with the
investment funds committee, shall employ a designated chief
investment officer who shall have minimum qualifications
including at least ten (10) years of experience managing
institutional investment portfolios of in excess of five
hundred million dollars ($500,000,000.00), experience with
hiring and managing internal and external investment
managers and extensive experience in any two (2) or more of
the following areas: domestic equity, fixed income
securities, international equity or alternative
investments. The designated chief investment officer shall
provide the state treasurer with information and
recommendations regarding the investment of state funds and
additional information as requested by the state treasurer.
The state treasurer shall vote the shares of investments of
state funds or use proxy voting in accordance with W.S.
9-4-722. The state treasurer shall compile an annual report
which shall include investment, income, individual and
aggregate gains and losses by fund and the extent to which
the state investment policy is being implemented. Subject
to requirements of subsection (c) of this section, state
funds may be invested in any investment:
(b) The state treasurer, or his designee, which shall
be registered under the Investment Act
of 1940 as amended if required to be registered by the
terms of that act as amended, may invest the permanent
funds in equities, including stocks of corporations in
accordance with subsections (a) through (e) of this
section, . The state treasurer
shall report at least annually to the select committee on
capital financing and investments, the joint appropriations ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
8
committee and the investment funds committee on the
analysis conducted pursuant to paragraph (d)(ii) of this
section and W.S. 9-4-716(b)(ix) and (e).
9-4-716. State investment policy; investment
consultant.
(a) The board, in consultation with the investment
funds committee, shall adopt investment policy statements
for state funds and shall review those policy statements at
least annually. These policy statements shall be subject to
the following:
(iii) The state treasurer shall vote the shares
of investments of state funds or use proxy voting in
accordance with W.S. 9-4-722;
(iv) Investment policy statements shall include
the requirements for investments to be made based on only
pecuniary factors in accordance with W.S. 9-4-722.
Section 3. Nothing in this act shall be construed to
alter, amend or impair any contract entered into before the
effective date of this act.
Section 4.
(a) The state treasurer is authorized two (2)
full-time positions within the investments division for
purposes of this act and investing state funds.
(b) From special revenue authorized for expenditure
under W.S. 9-4-722(f), as created by this act, up to six
hundred fifty-two thousand nine hundred forty dollars
($652,940.00) is for the purposes of funding the positions ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
9
created by subsection (a) of this section for the period
beginning July 1, 2025 and ending June 30, 2026. It is the
intent of the legislature that the positions authorized in
subsection (a) of this section be included in the standard
budget for the state treasurer for the immediately
succeeding fiscal biennium.
(c) If 2025 Senate File 0001 or 2025 House Bill 0001
is enacted into law, the special revenue authorized for
expenditure in subsection (b) of this section shall be
reduced by one dollar ($1.00) for every one dollar ($1.00)
in special revenue appropriated and one (1) full-time
position for every one (1) full-time employee position
authorized in the investment division of the state
treasurer's office in 2025 Senate File 0001 or 2025 House
Bill 0001, as enacted into law. ORIGINAL SENATE ENGROSSED
FILE NO. SF0191
ENROLLED ACT NO. 96, SENATE
SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 GENERAL SESSION
10Section 5. This act is effective July 1, 2025.
(END)
Speaker of the HousePresident of the SenateGovernorTIME APPROVED: _________DATE APPROVED: _________
I hereby certify that this act originated in the Senate.
Chief Clerk