Peskin urges charter amendment to pressure retirement board on fossil-fuel divestment; item sent to rules committee

Supervisor Aaron Peskin urged colleagues to use a charter amendment to pressure the San Francisco Retirement System into divesting certain fossil-fuel investments and said he wanted to “hang this charter amendment over the retirement board like the sword of Damocles” to prompt action. Peskin moved to send the proposed charter amendment to the Rules Committee for amendment and placement on the November ballot; the motion carried without objection.

Peskin told the board the retirement board holds approximately $500 million in investments tied to the petroleum industry and that engagement by the retirement board has not produced what he and supporters consider meaningful progress on divestment. Peskin said codifying changes in the charter could force uniform action regardless of different appointing authorities.

Supervisor Jane Kim, who spoke during the discussion, and others asked about details of the draft amendment, including which appointing authority would name a member of the retirement board. Peskin said he named the City Attorney in the draft because the city attorney had previously filed suit against major fossil-fuel companies; Supervisor Cohen suggested the treasurer-tax collector might be an appropriate appointing authority because that office has investment expertise. Peskin said he was open to discussing those technical changes in Rules Committee.

Peskin’s motion to send the item to Rules Committee was seconded by Supervisor Cohen; without objection the board referred the charter amendment to Rules for amendment and possible placement on a later ballot. No final charter amendment language or ballot timing was adopted at the Jan. 30 meeting.