Pension boards adopt IPS amendment to comply with new state rule on boycotts of Israel

The Jacksonville Beach pension boards voted to adopt an amendment to the Investment Policy Statement that incorporates compliance with recently enacted state law regarding companies that engage in a boycott of Israel.

Pension counsel and staff explained the amendment adds a defined process to the IPS to respond to the state’s published list of scrutinized companies and the subset newly created for boycotts of Israel. City staff described the requirement as similar to an earlier Florida program that listed companies doing business with Sudan and Iran; the city’s compliance process will review managers’ holdings and ask managers to sell or certify compliance where required.

Nut graf: The change is administrative — staff said it aligns the plan’s IPS with state statute and the city’s existing compliance workflow. Counsel noted that the new list will be another subset the boards must review when managers’ holdings are examined; no mandatory divestments were directed at the meeting.

Pedro, acting as the city attorney during the meeting, advised a recommended motion: "to approve the investment policy statement as revised and discussed by the board." Trustees moved, seconded and approved the IPS amendment by roll-call across all three pension boards.

Ending: Staff said the change will be incorporated into the IPS and the compliance process, and that updates will be distributed to the boards. Trustees did not identify any immediate holdings that would require an expedited sale; any manager-level conflicts that arise will be handled under the new process and the existing custodial and manager-review procedures.