Florida Senate - 2018 SB 538 By Senator Garcia 36-00707-18 2018538__ 1 A bill to be entitled 2 An act relating to state and local governmental 3 relations with the government of Venezuela; amending 4 s. 215.471, F.S.; requiring the State Board of 5 Administration to divest investments, and prohibiting 6 it from investment, in any institution or company or 7 subsidiary of a company domiciled in the United States 8 which does business in or with the government of 9 Venezuela or its agencies or instrumentalities in 10 violation of federal law; defining the term 11 “government of Venezuela”; authorizing the Governor to 12 waive such requirements under certain circumstances; 13 prohibiting the State Board of Administration from 14 voting on any proxy resolution advocating expanded 15 United States trade with the government of Venezuela; 16 amending s. 215.472, F.S.; prohibiting state agencies 17 from investing in any financial institution or company 18 or foreign subsidiary of a company domiciled in the 19 United States which engages in specified transactions 20 with the government of Venezuela or certain companies 21 in violation of federal law; defining the term 22 “government of Venezuela”; authorizing the Governor to 23 waive such prohibition under certain circumstances; 24 providing an effective date. 25 26 WHEREAS, the current government of Venezuela is intolerable 27 to its people and continues to demonstrate the use of extreme 28 violence and political persecution in the orchestrated 29 suppression of human rights, and 30 WHEREAS, the regime of President Nicolas Maduro continues 31 to unjustly detain and prosecute political prisoners in spite of 32 international calls for their complete freedom, and 33 WHEREAS, the State of Florida stands in unity with the 34 people of Venezuela in their fight for democracy and freedom 35 from the oppressive Maduro regime, and 36 WHEREAS, the United States has deemed the situation in 37 Venezuela an extraordinary threat to our national security and 38 foreign policy, and 39 WHEREAS, the United States has issued sanctions against 40 Venezuelan officials, including Nicolas Maduro, who has been 41 identified as a “specially designated national” and labeled a 42 dictator by the United States Department of the Treasury, NOW, 43 THEREFORE, 44 45 Be It Enacted by the Legislature of the State of Florida: 46 47 Section 1. Paragraph (c) is added to subsection (1) of 48 section 215.471, Florida Statutes, and subsection (2) of that 49 section is amended, to read: 50 215.471 Divestiture by the State Board of Administration; 51 reporting requirements.— 52 (1) The State Board of Administration shall divest any 53 investment under s. 121.151 and ss. 215.44-215.53, and is 54 prohibited from investment in stocks, securities, or other 55 obligations of: 56 (c) Any institution or company domiciled in the United 57 States, or foreign subsidiary of a company domiciled in the 58 United States, doing business in or with the government of 59 Venezuela, or with agencies or instrumentalities thereof, in 60 violation of federal law. As used in this section, the term 61 “government of Venezuela” means the government of Venezuela, its 62 agencies or instrumentalities, or companies majority-owned or 63 controlled by the government of Venezuela. The Governor may 64 waive the requirements of this paragraph in the event that there 65 is a collapse of the government in Venezuela and there is a need 66 for immediate aid to Venezuela before the convening of the 67 Legislature, or for other humanitarian reasons as determined by 68 the Governor. 69 (2) The State Board of Administration may not be a 70 fiduciary under this section with respect to voting on, and may 71 not have the right to vote in favor of, any proxy resolution 72 advocating expanded United States trade with Cuba,
orSyria, or 73 the government of Venezuela. The board’s staff shall report on 74 its activities in its annual proxy voting report. 75 Section 2. Subsection (3) is added to section 215.472, 76 Florida Statutes, to read: 77 215.472 Prohibited investments.—Notwithstanding any other 78 provision of law, each state agency, as defined in s. 216.011, 79 is prohibited from investing in: 80 (3) Any financial institution or company domiciled in the 81 United States, or any foreign subsidiary of a company domiciled 82 in the United States, which directly or through a United States 83 or foreign subsidiary makes any loan, extends credit of any kind 84 or character, advances funds in any manner, or purchases or 85 trades any goods or services with the government of Venezuela, 86 or any company doing business in or with the government of 87 Venezuela in violation of federal law. As used in this 88 subsection, the term “government of Venezuela” means the 89 government of Venezuela, its agencies or instrumentalities, or 90 companies majority-owned or controlled by the government of 91 Venezuela. The Governor may waive the prohibition in this 92 subsection in the event that there is a collapse of the 93 government in Venezuela and there is a need for immediate aid to 94 Venezuela before the convening of the Legislature, or for other 95 humanitarian reasons as determined by the Governor. 96 Section 3. This act shall take effect July 1, 2018.