Current Legislation

Current Legislation
2021 Legislation

Overview
Assembly Bill

AB 539 (Cooley) – CalSTRS investment procurement

Expands the CalSTRS Collaborative Model, an investment strategy to reduce costs, control risks and increase expected returns by managing more assets internally and leveraging external partnerships. Grants the Teachers’ Retirement Board prudent flexibility to contract with investment managers and advisers under policies it adopts.

  • Version: Amended 2/10/2021
  • Sponsor: CalSTRS
  • Location: Assembly PE&R Committee
  • Board Position: Sponsor
Assembly Bill

AB 551 (Rodriguez) – CalSTRS individual retirement accounts

Authorizes CalSTRS to offer a traditional (tax-deferred) Individual Retirement Account (IRA) in addition to a Roth IRA and accept rollovers from any eligible retirement plan to those IRAs. It also enables CalSTRS to receive contributions from IRA participants and allows spouses of those participants to contribute to a CalSTRS IRA plan.

  • Version: Amended 2/10/2021
  • Sponsor: CalSTRS
  • Location: Assembly PE&R Committee
  • Board Position: Sponsor
Assembly Bill

AB 1019 (Holden) – Turkish divestment

Prohibits state trust money from being used to make additional or new investments or renew existing investments in investment vehicles issued or owned by the government of Turkey, its instrumentalities or political subdivisions. Indemnifies present, former and future board members, officers and employees of and investment managers under contract with those state trust funds for actions related to the bill. Also, provides that its provisions would no longer apply if the government of Turkey adopts a policy to acknowledge the Armenian Genocide and embark on a path of affording justice to its victims.

  • Version: Introduced 2/18/2021
  • Sponsor: Author
  • Location: Assembly PE&R Committee
  • Board Position: Oppose
Senate Bill

SB 294 (Leyva) – Elected officer service credit limit

Removes the 12-year limitation for service credit earned by a member while on a compensated leave of absence for elected service under the Teachers’ Retirement Law and the Public Employees’ Retirement law.

  • Version: Introduced 2/2/2021
  • Sponsor: California Labor Federation, California Federation of Teachers, California Teachers Association
  • Location: Senate Floor
  • Board Position: Neutral
Senate Bill

SB 457 (Portantino) – Turkish divestment option for employers

Requires CalSTRS to provide a school district an option to elect an investment portfolio that does not contain investment vehicles that are issued or owned by the government of the Republic of Turkey. Also, extends the same provision to school districts and cities participating in CalPERS.

  • Version: Introduced 2/16/2021
  • Sponsor: Author
  • Location: Senate L,PE&R Committee
  • Board Position: Oppose
Senate Bill

SB 634 (L,PE&R) – Public retirement systems’ housekeeping

Makes various technical, conforming or minor changes to the Teachers’ Retirement Law to facilitate efficient administration of the State Teachers’ Retirement Plan, which includes the Defined Benefit Program, the Defined Supplement Program and the Cash Balance Benefit Program. Also makes various technical and conforming changes to the Public Employees’ Retirement Law and the County Employees Retirement Law.

  • Version: Amended 2/19/2021
  • Sponsor: CalSTRS
  • Location: Senate Appropriations Committee
  • Board Position: Support