The bill establishes a framework for identifying and managing financial institutions that engage in discriminatory practices against energy companies, specifically through a boycott. It authorizes the Secretary of State to create and maintain a "restricted financial institution list," which will include institutions that discriminate against energy companies without a reasonable business purpose. The Secretary of State is required to notify these institutions before they are added to the list, allowing them a chance to demonstrate compliance and avoid inclusion. Once published, the state treasurer and auditor are prohibited from entering into banking contracts with any institution on this list.

Additionally, the bill amends the definition of "discriminate" to include actions intended to penalize or inflict economic harm on a company, thereby broadening the scope of what constitutes discrimination in this context. The bill also mandates that the Secretary of State update the list annually and provides for the removal of institutions that cease discriminatory practices. The effective date for this legislation is set for July 1, 2025.

Statutes affected:
Introduced: 13-10-301