CONGRESSWOMAN ELISE STEFANIK
The House is expected to consider H.R. 1327 in the House on Tuesday, October 13, 2009, under a motion to suspend the rules, requiring a two-thirds majority vote for passage. This legislation was introduced by Rep. Barney Frank (D-MA) on March 5, 2009.
H.R. 1327 would provide a statement of support for the decisions of State and local governments and educational institutions to divest from, and to prohibit the investment of assets they control in, persons that have investments of more than $20 million in Iran's energy sector. The bill would authorize State or local governments to adopt and enforce measures to divest their assets from, or prohibit the investment of assets they control in, such persons, including financial institutions which extend them credit to so invest. The bill would amends the Investment Company Act of 1940 to shield any registered investment company from civil, criminal, or administrative action based upon its divesting from, or avoiding investing in, securities issued by such persons. Lastly, H.R. 1327 would express the sense of Congress that a fiduciary of an employee benefit plan under the Employee Retirement Income Security Act of 1974 (ERISA) may divest plan assets from, or avoid investing plan assets in, a person that has investments of more than $20 million in Iran's energy sector without breaching their fiduciary duties under ERISA, if such determination is based on credible information and in accordance with federal law.
The Congressional Budget Office (CBO) has not yet produced a cost estimate for H.R. 1327.