Sen. Stack’s Divestment Bill Signed into Law

HARRISBURG, JULY 2, 2010 — State Sen. Mike Stack’s legislation (Senate Bill 928) that requires Pennsylvania’s two largest pension funds and the Pennsylvania Treasury Department to divest from investments in Sudan and Iran was signed into law today as Act 44 of 2010. It received overwhelming support in the Senate and unanimous support in the House of Representatives.

“Sudan and Iran have sponsored terrorism and genocide and Pennsylvania should in opposition to these rogue nations,” Stack said. “Iran’s leader has threatened to wipe us off the map and Sudan has committed genocide against its own people. By enacting this bill into law, we as a state are sending a strong message that we condemn their actions.”

At a Senate Appropriations budget meeting in February, PSERS officials stated that they were steadily reducing investments in companies investing in Sudan and Iran. Both PSERS and SERS say that less than 1 percent of their total investments are in companies doing business in Sudan or Iran.

“Divesting will not harm our pensions because it represents a small portion of the funds,” Stack said. “This is a morally and fiscally sound way to fight back.”

There are 28 states that have either passed divestment laws or divested from Iran, Sudan, or both through executive orders.

The UN estimates that 300,000 people have died and more than 2 million people have been driven from their homes in Sudan’s Darfur region since 2003.

“I want to take this opportunity to thank Rep. Babette Josephs, Rep. Josh Shapiro, President Pro Temp Joseph Scarnati, and Sen. Pat Browne for their help in crafting and moving this legislation through the legislature,” Stack said. “Together, we have taken positive action to protect our troops and innocent people from genocide and terrorism.”

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