BILL NUMBER: S8020A
SPONSOR: COMRIE
 
TITLE OF BILL:
An act to amend the retirement and social security law, in relation to
diversity and inclusion in the management of public pension funds,
ensure equitable access to investment opportunities, and foster the
growth of emerging BIPOC (black, indigenous, and people of color) owned
investment management firms within the state of New York (Part A); and
to amend the executive law, in relation to fair investment practices by
investment advisers within the state of New York (Part B)
 
PURPOSE OR GENERAL IDEA OF BILL:
Aimed at diversifying the investment authority of the New York State
Insurance Fund
 
SUMMARY OF PROVISIONS:
The New York State Agency BIPOC Asset Management and Financial Institu-
tion Strategy Act, aimed at diversifying the investment authority of the
New York State Insurance Fund. This bill establishes a tax credit to
Venture capital firms on their qualified investments made to BIPOC owned
firms. Requiring the Department of Taxation and finance to monitor and
report on the utilization, impact and violation of the Venture Capital
tax Credit. Lastly, The New York State Fair Investment Practices by
Investment Advisers. Which is a bill that establishes reporting require-
ments and compliance measures for venture capital firms managing assets
for New York State entities such a public pension systems, retirement
funds and other similar organizations. The venture capital firms would
report the demographics of the businesses receiving investments to the
Division of Minority and Women Business Development Department.
 
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
Reintroducing what had been a solo bill and is combining it with two
other initiatives, mentioned in the bill summary.
 
PRIOR LEGISLATIVE HISTORY:
A383/ 58020- 2025
 
JUSTIFICATION:
New York State's public pension funds represent some of the largest
institutional investors in the nation, yet historically BIPOC-owned
investment management firms have faced significant barriers to accessing
these public assets. These disparities limit economic opportunities,
reduce competition, and perpetuate inequities within the financial
services sector. This legislation addresses those systemic challenges by
establishing clear diversity and inclusion goals for the management of
public pension funds, strengthening transparency and accountability in
investment practices, and expanding emerging manager programs to support
the growth and sustainability of BIPOC-owned firms. By encouraging
broader participation in public investment opportunities while maintain-
ing fiduciary standards and prudent investment principles, the bill
promotes equitable economic development, enhances oversight of invest-
ment advisory relationships, and ensures that New York's public funds
reflect the diversity and values of the state they serve.
 
EFFECTIVE DATE:
Immediate.