Subscribe to receive our Floor Reports covering all the action on the Texas House and Senate floor!
Relating to state contracts with and investments in certain companies that boycott energy companies.
The fiscal impact of provisions that would prohibit certain state governmental entities from investing in financial companies that boycott energy companies and prohibit certain governmental entities from executing contracts with the same companies cannot be determined.
SB 13 would require the comptroller to create a list of companies divesting, without an ordinary business purpose, from the fossil fuel industry and would limit or prohibit investment in such companies by state investment funds and would stop the state of Texas from doing business with companies unless they agree to not divest from fossil fuel companies in their contracts.
SB 13 would also shield the state, a state governmental entity, a current
or former employee, a member of the governing body, or any other
officer of a state governmental entity, or a contractor of a state
governmental entity, from liability for any claim or cause of action, including
breach of fiduciary duty, or for violation of any constitutional,
statutory, or regulatory requirement in connection with any action,
inaction, decision, divestment, investment, company communication,
report, or other determination made or taken in connection with the requirements of this bill.
Texas Action remains neutral on SB 13 as it does not impact our liberty principles. Still, Texas residents have a strong interest in maintaining a robust energy sector and the state is within its rights to refuse to do business with companies that choose to act against the interest of Texans.