The proposed bill would significantly update current statutes regarding proxy voting for pension benefit plans by introducing new requirements and definitions. It mandates that fiduciaries vote all shares held for plan participants solely in their economic interest, establishes a rebuttable presumption that fiduciaries acting in accordance with independent board recommendations are in compliance, and prohibits voting that prioritizes environmental, social, or ideological goals over economic interests. Additionally, it requires annual disclosures to the State Treasurer for any votes that deviate from board recommendations and imposes new regulations on proxy advisory firms to ensure their recommendations align with shareholder economic interests.

Furthermore, the bill would classify violations of proxy voting requirements as irreparable harm, allowing the Attorney General to seek civil penalties for each violation. It introduces consumer rights to request documentation proving that shares were voted in their best economic interest, with a requirement for investment companies to respond within 90 days. The bill also establishes a presumption that votes align with consumer interests if they follow board recommendations from a majority of independent directors, and it allows consumers to obtain this information free of charge up to twice a year. Overall, these updates aim to enhance transparency, accountability, and the economic focus of fiduciary duties in pension benefit plan management.