State Treasurers on Anti-ESG Congressional Hearing • May 10, 2023

“[Anti-ESG laws are] anti-free market, they’re going to cost the taxpayers — it’s being pushed by special interests…” — IL State Treasurer Michael Frerichs

Today, the U.S. House Committee on Oversight and Accountability held a hearing to advance the anti-ESG push which is losing steam in state legislatures across the country as the legislations’ impact of shifting major costs to taxpayers and retirees comes to light. Following testimony from Illinois State Treasurer Michael Frerichs before the Committee, State Treasurers and Comptrollers provided the following statement:

“Today, you heard the truth from one witness, Treasurer Michael Frerichs, whose only interest is in protecting his fellow Americans in their freedom to take control of their own retirement security.”

“The truth is simple. More data on risk leads to stronger returns for retirement accounts over the long term.”

“Ignoring risks to focus on short-term gains is not aligned with the needs of millions of Americans saving for retirement or their families’ education. But it is aligned with a short-term outlook to boost corporate profits. That’s why we’re hearing such loud and manufactured outrage against responsible investing.”

“We find it disturbing that anyone would keep investors from having the freedom to access data that helps them understand the risks facing companies in which they are invested.”

“Teachers, first responders, and public employees who will need to depend on their retirement accounts in thirty years deserve a long-term, forward-looking investment approach, not a focus on short-term corporate profits. We applaud Treasurer Frerichs for standing for transparency and his fellow citizen’s retirement security.”

Signed:

• Colorado State Treasurer Dave Young

• Connecticut State Treasurer Erick Russell

• Delaware State Treasurer Colleen C. Davis

• Massachusetts State Treasurer and Receiver-General Deborah B. Goldberg 

• New York City Comptroller Brad Lander

• Oregon State Treasurer Tobias Read

• Vermont State Treasurer Mike Pieciak

• Washington State Treasurer Mike Pellicciotti*

*Washington State Treasurer Pellicciotti has signed on solely in his official capacity as a state treasurer.

Background: Anti-ESG legislation proposed in Republican-controlled legislatures across the nation have been scrapped or significantly weakened after alarms were raised over the bills’ impacts of shifting major costs to taxpayers and retirees. States like Indiana, Iowa, Kansas, Mississippi, North Dakota, and Wyoming have all seen anti-ESG bills defeated or severely watered down.

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