Amends TCA Title 4; Title 9 and Title 12.

Present law specifies institutions that may be designated as state depositories, and provides that a bank, savings institution or trust company that does not otherwise meet certain requirements for state depositories may still be designated as a state depository by the state treasurer, the governor, and the commissioner of finance and administration, whenever the satisfactory conduct of the state's business clearly demands it. This bill prohibits the state treasurer from entering into a contract or amendment with a state depository for the state's primary cash management banking services if the state depository has a policy that prohibits financing to companies in the fossil fuel industry; however, the state treasurer may award or enter into a contract or amendment with a state depository that has such a policy upon a determination that the services sought are necessary for the department of treasury or the state to perform its functions, and that absent such an exemption, the department of treasury or the state would be unable to obtain the services sought from another contractor. For the purposes of this bill, "companies in the fossil fuel industry" means entities with at least 50 percent of their annual revenue obtained from business operations involving natural gas, oil, kerosene, petroleum, coal, hydrocarbon product, or any form of solid, liquid, or gaseous fuel derived from such material to produce heat for the generation of electricity. ON APRIL 27, 2022, THE HOUSE SUBSTITUTED SENATE BILL 2649 FOR HOUSE BILL 2672, ADOPTED AMENDMENT #1, AND PASSED SENATE BILL 2649, AS AMENDED. AMENDMENT #1 rewrites this bill to authorize the state, on or after July 1, 2022, when entering into a contract or amendment with a state depository for the state's primary cash management banking services, to take into consideration whether the state depository has a policy that explicitly prohibits financing to companies in the fossil fuel industry without an ordinary business purpose and based solely on their status as companies in the fossil fuel industry. This amendment retains the provision whereby the state treasurer may award or enter into a contract or amendment with a state depository that has such a policy upon a determination that the services sought are necessary for the department of treasury or the state to perform its functions, and that absent such an exemption, the department of treasury or the state would be unable to obtain the services sought from another contractor. ON APRIL 27, 2022, THE SENATE NONCONCURRED IN HOUSE AMENDMENT #1. ON APRIL 28, 2022, THE HOUSE LIFTED THE TABLING MOTION, RECONSIDERED ITS ACTION, WITHDREW HOUSE AMENDMENT #1, AND RE-PASSED SENATE BILL 2649.