Modifies provisions related to proxy voting and fiduciary investment duties for certain public employee retirement and pension systems

HB 657 modifies investment rules for public employee retirement systems, requiring investment managers to prioritize the economic interests of plan participants above all else. It prohibits considering environmental, social, or governance factors when making investment decisions or voting proxies, and bans proxy voting for non-economic goals like political or environmental causes. The bill mandates that all proxy votes for directly held stocks must be cast solely to maximize financial returns for participants, either by internal staff or by external providers committed to this economic focus. These changes directly affect public pension systems managing retirement funds for state employees.