RETIREMENT SYSTEMS: Requests state retirement systems to identify China-connected holdings and to report on how to divest from such investments in a prudent and orderly manner.

2026 Regular Session Introduced by Valarie Hodges

Louisiana's SR 141 directs state retirement systems to identify China-connected holdings and report prudent, orderly divestment options and timelines.

Enrolled. Signed by the President of the Senate and sent to the Secretary of State by the Secretary of the Senate.

Summary of SR 141 (2026) – Louisiana

Purpose and intent

SR 141 requests the state retirement systems of Louisiana to identify investments or holdings with ties to China and to report on options for divestment.

The measure aims to promote a prudent and orderly approach to divestment, outlining steps the retirement systems can take to reduce or eliminate exposure to China-connected investments.

Key provisions and changes

Mandate to identify China-connected holdings: The Louisiana state retirement systems (which typically include funds and accounts managed for public employees and retirees) would be required to determine which investments have connections to China.

Reporting requirement: The retirement systems must report on strategies and methods to divest from such holdings. The report should cover:

Feasible divestment options that preserve fund safety, liquidity, and performance.
Timeline considerations for orderly divestment.
Any required governance, stakeholder consultation, and risk assessments.

Divestment guidance: The resolution emphasizes pursuing divestment in a prudent and orderly manner, suggesting attention to financial impacts, market conditions, and fiduciary duties.

Who or what would be affected

Affected entities: Louisiana state retirement systems and, by extension, the funds and accounts they manage on behalf of public employees and retirees.

Stakeholders: Retirees, active public employees contributing to retirement plans, fiduciaries, and investment managers responsible for managing state retirement assets.

External impact: Potential changes to investment portfolios if divestment options are pursued, which could influence fund diversification, risk profiles, and liquidity.

Procedural and timeline aspects

Status: Adopted (read by title and adopted) as of May 21, 2026.

Legislative posture: A Senate Resolution generally serves as a formal instruction or recommendation to state agencies rather than creating binding law. In this case, SR 141 directs the state retirement systems to identify China-connected holdings and report on divestment options.

Next steps: The retirement systems would proceed to:

Identify any China-connected holdings within their portfolios.
Prepare and submit a report detailing divestment options and a prudent path forward.

Sponsorship: Co-sponsored by Valarie Hodges, indicating bicameral or cross-branch support within the legislative chamber where the resolution was introduced.

Potential impact and considerations

Fiduciary duty: Any divestment plan must balance fiduciary responsibilities to maximize, protect, and preserve retirement assets with stated policy goals regarding China-connected investments.

Market and governance considerations: The recommended report should assess financial risk, potential costs, and transition strategies to minimize disruption.

Policy signal: The resolution signals legislative interest in screening investments for geopolitical risk and aligning public funds with state policy objectives regarding China-linked holdings.

If you’d like, I can adjust this summary to emphasize fiduciary standards, potential financial impact estimates, or the typical timeline for a Senate Resolution to translate into agency action.