Gov. Noem Endorses Rep. Dusty Johnson’s Bill to Block State Investments in Communist China
PIERRE, S.D. – Today, Congressman Dusty Johnson (R-SD) introduced legislation to allow states to prohibit state funds from bankrolling the threat posed by the Chinese Communist Party (CCP); Governor Kristi Noem endorsed the legislation.
“I am grateful that Congressman Johnson sees the national security threat that China poses,” said Governor Kristi Noem. “Protecting South Dakota from nations that hate America has been a priority of mine as Governor, and I am glad that he is doing the same in Congress.”
Throughout the summer, Governor Noem and Congressman Johnson held several conversations about this legislation and how it would benefit both South Dakota and the nation. In December 2022, Governor Noem wrote to congressional leadership calling for legislation like what Congressman Johnson is introducing.
“America should not help advance the CCP agenda, especially with state funds,” said Johnson. “My bill empowers states to divest their investment dollars from CCP-backed linked companies. South Dakota understands the threat of the CCP, and I am grateful for Governor Noem’s leadership and partnership to protect our state from their communist regime.”
The PRC Accountability and Divestment Act of 2023 allows states to make the decisions to divest taxpayer funds from China. Specifically, this bill:
- Provides state and local governments with the authority to divest assets from and prohibit investments within the People’s Republic of China (PRC);
- Provides state and local governments with a safe harbor for changes of investment policies related to the PRC; and,
- States a fiduciary of an Employee Retirement Income Security Act (ERISA) plan may divest plan assets from the PRC.
Congress has previously passed similar legislation supporting state and local actions to divest from states that are a threat to the United States or committing human rights atrocities. In 2010, Congress passed the Comprehensive Iran Sanctions, Accountability, and Divestment Act. In 2007, Congress passed the Sudan Accountability and Divestment Act.
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More solutions looking for a problem. Cant be a hero unless you create a villain; every Hollywood producer knows that.
Yup, China is not to be trusted. But leave us not forget, this is not STATE MONEY. Once the state contributes its share of retirement funds to SDRS, the money belongs to SDRS AND THE MEMBERS, both retired and unretired.
This will take us down the loony road of POLITICIANS taking over management of the SD Investment Council and the SDRS, to the loss of 70,000 active and 30,000 retired police, sheriffs, nurses, teachers, road crews, and so many more.
So you want dusty and kristi deciding where to invest, or not? Where does that stop?
its a great press release but moronic from the git go. As it happens, the investment council is ALREADY avoiding investing money in china. The wheel aint broke.
Seems like political tinkering to me. Anon. has an excellent point. Either we have a Retirement System with a single objective–to create a successful Retirement Program for State Employees-or we have a mess of conflicting political and social agendas.
if you understood the immense security threat that our manufacturing ‘partner’ china has been to the interests of the usa at every level over the past quarter century, this wouldn’t be a problem for you. reserving the right to invoke special actions is fine with me.
don’t be like that guy in the wilderness, frolicking with a pack of bears and enjoying their lack of aggression toward him, and videotaping the frolics, up to the day that a bear finally attacks him, and off camera we hear his agonized final screams.