WASHINGTON – U.S. Senator Bill Cassidy, M.D. (R-LA), Ranking Member of the Senate Committee on Health, Education, Labor and Pensions (HELP) joined U.S. Senator Mike Braun (R-IN) and 48 of their senate colleagues in introducing a Congressional Review Act to overturn the Biden administration rule authorizing asset managers to prioritize environment, social and governance (ESG) when making investment decisions with their clients’ retirement savings. The rule would impact 152 million Americans who have a retirement savings account regulated under the Employee Retirement Income Security Act (ERISA), totaling more than $11.7 trillion in assets. The CRA is supported by the entire Republican conference, including all 10 Republicans on the HELP Committee, and U.S. Senator Joe Manchin (D-WV).
“President Biden’s ESG rule authorizes asset managers to prioritize funding left-wing causes over the success of their client’s retirement savings,” said Dr. Cassidy. “This administration is jeopardizing the retirement of 152 million Americans and using their money to fund a political agenda.”
Background
In November of 2022, the Department of Labor released a rule that allows ERISA retirement plan managers to consider environmental, social, and corporate governance (ESG) factors when choosing investments on behalf of their clients. This overturns a previous rule that mandated asset managers to choose investments solely based on financial returns.
The CRA opposing the Biden ESG rule is endorsed by more than 100 organizations, including 60 Plus Association, Able Americans, Advancing American Freedom, AdvanceUSA, Alaska Policy Forum, ALEC Action, AMAC Action, America First Policy Institute, American Association of Senior Citizens, American Accountability Foundation, American Commitment, American Family Association, American Policy Center, American-Chinese Fellowship, Americans for Limited Government, Americans for Prosperity, American Securities Association, Americans for Tax Reform, The Buckeye Institute, Caesar Rodney Institute, The Capitalist League, Center for a Free Economy, Center for Freedom and Prosperity, Center for Individual Freedom, Center for Urban Renewal and Education, Center of the American Experiment, Christian Employers Alliance, Climate Science Coalition of America, Club for Growth, The Conservative Caucus, Conservatives for Property Rights, Committee For A Constructive Tomorrow, Competitive Enterprise Institute, Concerned Women for America, ConservativeHQ.com, Discovery Institute, Domestic Energy Producers Alliance, Eagle Forum, Eagle Forum of Georgia, Enterprise Supporting Climate Science, Fair Energy Foundation, Family PAC Federal, FedUp PAC, ForAmerica, Former Speaker of MO House of Representatives, Former Speaker of NC House of Representatives, Foundation for Government Accountability, FreedomWorks, Frontiers of Freedom, Goldwater Institute, Heartland Institute, Heritage Action, Independent Women’s Voice, Institute for Liberty, Institute for the American Worker, Institute for Policy Innovation, The James Madison Institute, John Locke Foundation, Kentucky Coal Association, Leadership Institute, Less Government, Life:Powered, Media Research Center, Member of KY House of Representatives, Member of LA House of Representatives, Member of WV House of Delegates, National Center for Public Policy Research, NSIC Institute, NSSF, NYS Conservative Party, Ohio Coal Association, Orthodox Jewish Chamber of Commerce, Patriot Voices, Pelican Institute, Pennsylvania Coal Alliance, Penobscot County Commissioner (Maine), Phyllis Schlafly Eagles, Pine Tree Public Policy Institute, Project 21 Black Leadership Network, Quantum Communications, Reliable Energy, Inc., Rhode Island Center for Freedom & Prosperity, Rio Grande Foundation, State Financial Officers Foundation, State Freedom Caucus Network, States Trust, State Treasurer of Arizona, State Treasurer of Indiana, State Treasurer of Kentucky, State Treasurer of Louisiana, State Treasurer of Mississippi, State Treasurer of Utah, State Treasurer of West Virginia, Taxpayers Protection Alliance, Texas Public Policy Foundation, Texas Mining and Reclamation Association, TrendMacro, Truth in Energy and Climate, Western Energy Alliance, West Virginia Coal Association, Wisconsin Institute for Law and Liberty, Yankee Institute, and Young Conservatives of Texas.