WeVote
Log In

Bill

Bill

H 4127

Loris HS basketball team

2025-2026 Regular Session Introduced by Terry Alexander and 121 co-sponsors

Establishes a Massachusetts Pension Innovation Fund to help public pensions mitigate climate risk and pursue long-term, climate-aligned investments with fiduciary protections.

Introduced and adopted
0
WeVote Research Nonpartisan
Bill Summary · H 4127

Summary — H 4127: “Pension Innovation Fund for intergenerational equity” (and data note)

Note: the record provided contains two distinct pieces of text merged together — (A) Massachusetts bill H 4127, titled “An Act to establish the Pension Innovation Fund for intergenerational equity,” and (B) a duplicated South Carolina House resolution recognizing the Loris High School boys basketball team. These are unrelated. The substantive legislative text summarized below concerns the Massachusetts Pension Innovation Fund.

Purpose

Create a dedicated, state‑administered Pension Innovation Fund to help Massachusetts public pension systems incorporate climate‑related financial risk mitigation, support an equitable energy transition for workers and communities, and enable fiduciaries to pursue climate‑aligned, long‑term investment strategies with legal and technical support.

Key provisions

  • Definitions: establishes terms including “Board” (Pension Reserves Investment Management Board), “commission” (Public Employee Retirement Administration Commission), “climate‑related financial risks,” “fiduciary stewardship,” “high‑risk assets,” “safe harbor protections,” and “sustainable investments.”
  • Establishment: creates the Pension Innovation Fund as a separate, non‑reverting fund on the Commonwealth’s books, administered by the State Treasurer.
  • Funding sources (credited to the fund):
    • Appropriations or other money the General Court designates;
    • Interest earned on fund balances;
    • 1.0% of annual returns generated by the PRIM Board;
    • 0.5% of the Board’s actuarial risk adjustment premium;
    • Green bonds issued by the Commonwealth;
    • Private sector contributions (PPP, foundations, etc.).
    • Money in the fund “shall not be subject to further appropriation” and does not revert to the General Fund at fiscal year end.
  • Financial targets / contribution caps:
    • Initial structured approach: 1.5% of funds for foundational programs/pilots in year 1;
    • Contributions capped at 1% of the Board’s annual returns (subject to later review/adjustment).
  • Permitted uses / expenditures (by the Treasurer) include:
    • Technical/financial assistance to public pension funds for divestment from high‑risk assets and portfolio realignment;
    • Development of risk assessment tools, independent research and modeling;
    • Financing workforce retraining/upskilling and economic stabilization for communities affected by transitions;
    • Regional economic development in renewable/sustainable industries (with commitments to fair wages and union neutrality);
    • Pilot fiduciary innovation programs (impact investments, climate‑aligned funds);
    • Standardized reporting, public oversight, advisory boards;
    • Administrative expenses limited to 5% of annual fund revenue.
  • Fiduciary duties: requires pension fiduciaries to explore and document strategies addressing systemic/climate risks, balance short‑term returns with long‑term stability, explore alternative investment approaches, and demonstrate fiduciary stewardship aligned with intergenerational equity.
  • Safe harbor and other legal protections: the bill defines “safe harbor protections” and intends to establish legal protections for fiduciaries acting in good faith to adopt climate‑aware strategies; the text suggests further fiduciary provisions but is truncated in the supplied copy.

Who is affected

  • PRIM (Pension Reserves Investment Management Board) and public pension fiduciaries across Massachusetts;
  • Public employees and retirees (indirectly), via investment strategy changes and long‑term funding impacts;
  • Workers and communities in carbon‑intensive sectors (recipients of transition support);
  • State Treasurer (administering the fund);
  • Taxpayers (through state appropriations and use of public bond proceeds for green bonds).

Procedural / timeline notes

  • Introduced (filed): 01/17/2025 (House Docket No. 3886 / House No. 4127) by Rep. Erika Uyterhoeven.
  • Legislative actions in the record: introduced and adopted 03/05/2025; referred to Public Service committee 05/12/2025; Senate concurred 05/15/2025; hearing scheduled 07/16/2025.
  • Related bill: HD 3886 (listed as replaces).

Observations / open items

  • The provided text is truncated in section (g), so full details of fiduciary obligations, safe harbor language, or enforcement/implementation mechanisms may be missing.
  • The record conflates this Massachusetts bill with a South Carolina House resolution honoring Loris High School’s basketball team; that resolution is ceremonial and unrelated to the Pension Innovation Fund legislation.

If you want, I can:
- Produce a plain‑language one‑page explainer for public employees and retirees on how this fund could affect pension investments; or
- Flag and locate the full, final text of H 4127 (complete version) to capture any missing fiduciary or enforcement provisions.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.