Committee splits on amended bill to allow in-state investments, restrict direct Chinese holdings

The Senate Industry and Business Committee heard extended testimony on House Bill 1330, a bill that would change how the legacy fund's investments are governed under the prudent-investor framework, add authority for certain large in-state infrastructure and "primary-sector" business investments, and permit divestment from direct investments in specified Chinese companies.

Representative Bern (Representative Satrim) introduced the concept as a two-part approach: curbing certain direct Chinese investments while giving the State Investment Board (SIB) and the Legacy Advisory Board additional flexibility to invest in projects and businesses in North Dakota. "What I'm gonna be proposing to you is a couple of amendments to a really good bill," Representative Satrim told the committee. He said the goal is to help develop in-state businesses and infrastructure and to give the boards additional discretion to invest in projects that could retain capital and jobs in North Dakota.

State investment office testimony: Jody Smith, interim executive director of the Retirement and Investment Office, described the existing in-state investment program and the practical limits of…