House Bill No. 1170, known as the "Oklahoma Public Finance Protection Act," aims to establish a framework for the management of pension benefit plans in Oklahoma. The bill defines key terms such as "fiduciary," "material," "nonpecuniary," and "pecuniary factor," and sets forth a fiduciary's standard of care that emphasizes the exclusive consideration of pecuniary factors when making investment decisions. It prohibits fiduciaries from promoting nonpecuniary benefits and mandates that all proxy votes be cast solely in the pecuniary interest of plan participants. Additionally, the bill requires annual reporting of proxy votes and allows the State Treasurer to notify relevant authorities if violations occur.

The legislation also provides immunity for the State of Oklahoma and individuals associated with pension benefit plans from civil liability related to the act, along with provisions for indemnification. The Attorney General is granted enforcement authority, including the ability to examine records and compel testimony regarding potential violations. The act includes a severability clause to ensure that if any provision is deemed invalid, the remaining provisions will still be enforceable. The bill is set to take effect on July 1, 2025, and declares an emergency for its immediate implementation upon passage.