Prohibits investment by State of pension and annuity funds in, and requires divestment from, 200 largest publicly traded fossil fuel companies.

New Jersey's state pension and annuity funds must stop investing in the 200 largest publicly traded fossil fuel companies, defined by carbon content in their oil, gas, and coal reserves. Funds must divest from these companies within one year (two years for coal companies), though they may temporarily pause divestment if fund values drop below 99.5% of their hypothetical value without divestment. Annual reports on progress and investments sold will be required, with transparency mandated to the Governor, Legislature, and Attorney General. The bill directly affects New Jersey's public employee retirement funds and their investment management.