(1) DEFINITIONS.—As used in this section, the term:(a) “Active business operations” means all business operations that are not inactive business operations.
(b) “Board” means the State Board of Administration.
(c) “Business operations” means engaging in commerce in any form in Sudan or Iran, including, but not limited to, acquiring, developing, maintaining, owning, selling, possessing, leasing, or operating equipment, facilities, personnel, products, services, personal property, real property, or any other apparatus of business or commerce.
(d) “Company” means a sole proprietorship, organization, association, corporation, partnership, joint venture, limited partnership, limited liability partnership, limited liability company, or other entity or business association, including all wholly owned subsidiaries, majority-owned subsidiaries, parent companies, or affiliates of such entities or business associations, that exists for the purpose of making profit.
(e) “Complicit” means taking actions during any preceding 20-month period which have directly supported or promoted the genocidal campaign in Darfur, including preventing Darfur’s victimized population from communicating with each other; encouraging Sudanese citizens to speak out against an internationally approved security force for Darfur; actively working to deny, cover up, or alter the record on human rights abuses in Darfur; or other similar actions.
(f) “Construction sector” means the production, procurement, devising, framing, or arranging in Iran of parts or materials to fabricate, shape, or form buildings or structures, including the onsite development, assembly, or construction of residential, commercial, or institutional buildings in Iran.
(g) “Direct holdings” in a company means all securities of that company that are held directly by the public fund or in an account or fund in which the public fund owns all shares or interests.
(h) “Energy sector” means those activities involving the exploration, extraction, production, refinement, or liquefaction of petroleum, natural gas, or petroleum products in Iran.
(i) “Financial sector” means any entity, including foreign branches wherever located, organized under the laws of Iran or any jurisdiction within Iran, or owned or controlled by the government of Iran, or located in Iran, or owned or controlled by any such entities, which is engaged in the business, as principal or agent, of accepting deposits; making, granting, transferring, holding, or brokering loans or credits; or purchasing or selling foreign exchange, securities, or commodity futures or options, or procuring purchasers and sellers thereof. Entities that operate in the financial sector of the Iranian economy include, but are not limited to, depository institutions, banks, savings banks, money service businesses, trust companies, insurance companies, securities brokers and dealers, commodity futures and options brokers and dealers, forward contract and foreign exchange merchants, securities and commodities exchanges, clearing corporations, investment companies, employee benefit plans, dealers in precious metals, stones, or jewels, and holding companies, affiliates, or subsidiaries of any such entities.
(j) “Government of Iran” means the government of Iran, its instrumentalities, and companies owned or controlled by the government of Iran.
(k) “Government of South Sudan” means the Republic of South Sudan, that has its capital in Juba, South Sudan.
(l) “Government of Sudan” means the Republic of the Sudan that has its capital in Khartoum, Sudan.
(m) “Inactive business operations” means the mere continued holding or renewal of rights to property previously operated for the purpose of generating revenues but not presently deployed for such purpose.
(n) “Indirect holdings” in a company means all securities of that company that are held in a commingled fund or other collective investment, such as a mutual fund, in which the public fund owns shares or interests together with other investors not subject to this section.
(o) “Iran” means the Islamic Republic of Iran.
(p) “Manufacturing sector” means the creation of goods in Iran by manual labor or machinery which are for export from Iran or for sale within Iran.
(q) “Marginalized populations of Sudan” include, but are not limited to, the portion of the population in the Darfur region that has been genocidally victimized; the portion of the population of South Sudan victimized by Sudan’s north-south civil war; the Beja, Rashidiya, and other similarly underserved groups of eastern Sudan; the Nubian and other similarly underserved groups in Sudan’s Abyei, Southern Blue Nile, and Nuba Mountain regions; and the Amri, Hamadab, Manasir, and other similarly underserved groups of northern Sudan.
(r) “Metals sector” means the sale, supply, or transfer, directly or indirectly, to or from Iran of raw or semifinished metals, including, but not limited to, the following types of such materials and all alloys or compounds containing such materials: aluminum, americium, antimony, barium, beryllium, bismuth, boron, cadmium, calcium, cerium, cesium, chromium, cobalt, copper, dysprosium, erbium, europium, gadolinium, gallium, germanium, gold, hafnium, hastelloy, inconel, indium, iridium, iron, lanthanum, lead, lithium, lutetium, magnesium, manganese, mercury, molybdenum, monel, neodymium, neptunium, nickel, niobium, osmium, palladium, platinum, plutonium, polonium, potassium, praseodymium, promethium, radium, rhenium, rhodium, ruthenium, samarium, scandium, silicon, silver, sodium, steels, strontium, tantalum, technetium, tellurium, terbium, thallium, thorium, tin, titanium, tungsten, uranium, vanadium, ytterbium, yttrium, zinc, and zirconium.
(s) “Military equipment” means weapons, arms, military supplies, and equipment that may readily be used for military purposes, including, but not limited to, radar systems, military-grade transport vehicles, or supplies or services sold or provided directly or indirectly to any force actively participating in armed conflict in Sudan.
(t) “Mineral-extraction activities” include the exploring, extracting, processing, transporting, or wholesale selling or trading of elemental minerals or associated metal alloys or oxides (ore), including gold, copper, chromium, chromite, diamonds, iron, iron ore, silver, tungsten, uranium, and zinc, as well as facilitating such activities, including providing supplies or services in support of such activities.
(u) “Mining sector” means any act, process, or industry of extracting, at the surface or underground, ores, coal, precious stones, or any other minerals or geological materials from the earth in Iran.
(v) “Oil-related activities” include, but are not limited to, owning rights to oil blocks; exporting, extracting, producing, refining, processing, exploring for, transporting, selling, or trading of oil; constructing, maintaining, or operating a pipeline, refinery, or other oil-field infrastructure; and facilitating such activities, including providing supplies or services in support of such activities, except that the mere retail sale of gasoline and related consumer products is not considered an oil-related activity.
(w) “Petrochemical sector” means those activities involving any aromatic, olefin, or synthesis gas, or any of their derivatives, including ethylene, propylene, butadiene, benzene, toluene, xylene, ammonia, methanol, and urea.
(x) “Petroleum resources” means petroleum, petroleum byproducts, or natural gas.
(y) “Port sector” means those activities involving the loading and unloading of cargo and passengers or the transporting of goods and raw materials.
(z) “Power-production activities” means a business operation that involves a project commissioned by the National Electricity Corporation (NEC) of Sudan or other similar entity of the government of Sudan whose purpose is to facilitate power generation and delivery, including, but not limited to, establishing power-generating plants or hydroelectric dams, selling or installing components for the project, providing service contracts related to the installation or maintenance of the project, as well as facilitating such activities, including providing supplies or services in support of such activities.
(aa) “Public fund” means all assets of the Florida Retirement System held by the State Board of Administration in its capacity as a fiduciary pursuant to chapter 121.
(bb) “Scrutinized active business operations” means active business operations that result in a company becoming a scrutinized company.
(cc) “Scrutinized business operations” means business operations that result in a company becoming a scrutinized company.
(dd) “Scrutinized company” means a company that meets any of the following criteria:1. The company has business operations that involve contracts with or provision of supplies or services to the government of Sudan, companies in which the government of Sudan has a direct or indirect equity share, consortiums or projects commissioned by the government of Sudan, or companies involved in consortiums or projects commissioned by the government of Sudan, and:a. More than 10 percent of the company’s revenues or assets linked to Sudan involve oil-related activities or mineral-extraction activities; less than 75 percent of the company’s revenues or assets linked to Sudan involve contracts with or provision of oil-related or mineral-extracting products or services to the government of South Sudan; and the company has failed to take substantial action; or
b. More than 10 percent of the company’s revenues or assets linked to Sudan involve power-production activities; less than 75 percent of the company’s power-production activities include projects whose intent is to provide power or electricity to the marginalized populations of Sudan; and the company has failed to take substantial action.
2. The company is complicit in the Darfur genocide.
3. The company supplies military equipment within Sudan, unless it clearly shows that the military equipment cannot be used to facilitate offensive military actions in Sudan or the company implements rigorous and verifiable safeguards to prevent use of that equipment by forces actively participating in armed conflict. Examples of safeguards include post-sale tracking of such equipment by the company, certification from a reputable and objective third party that such equipment is not being used by a party participating in armed conflict in Sudan, or sale of such equipment solely to the government of South Sudan or any internationally recognized peacekeeping force or humanitarian organization.
4. The company has business operations that involve contracts with or provision of supplies or services to the government of Iran, companies in which the government of Iran has any direct or indirect equity share, consortiums, or projects commissioned by the government of Iran, or companies involved in consortiums or projects commissioned by the government of Iran and:a. More than 10 percent of the company’s total revenues or assets are linked to Iran and involve oil-related activities or mineral-extraction activities, and the company has failed to take substantial action;
b. On or after January 10, 2024, more than 10 percent of the company’s total revenues or assets are linked to Iran and involve the energy, petrochemical, financial, construction, manufacturing, textile, mining, metals, shipping, shipbuilding, or port sectors of Iran, and the company has failed to take substantial action;
c. The company has, with actual knowledge, on or after August 5, 1996, made an investment of $20 million or more, or any combination of investments of at least $10 million each, which in the aggregate equals or exceeds $20 million in any 12-month period, and which directly or significantly contributes to the enhancement of Iran’s ability to develop the petroleum resources of Iran; or
d. The company has, with actual knowledge, on or after January 10, 2024, an investment of $20 million or more, or any combination of investments of at least $10 million each, which in the aggregate equals or exceeds $20 million in any 12-month period and involves oil-related activities in Iran, mineral-extraction activities in Iran, or the energy, petrochemical, financial, construction, manufacturing, textile, mining, metals, shipping, shipbuilding, or port sectors of Iran.
(ee) “Shipbuilding sector” means those activities involving the construction of seagoing vessels, including oil tankers and cargo vessels, in Iran.
(ff) “Shipping sector” means those activities involving the transportation of goods by seagoing vessels, including oil tankers and cargo vessels, flying the flag of Iran or owned, controlled, chartered, or operated directly or indirectly by the government of Iran.
(gg) “Social-development company” means a company whose primary purpose in Sudan is to provide humanitarian goods or services, including medicine or medical equipment; agricultural supplies or infrastructure; educational opportunities; journalism-related activities; information or information materials; spiritual-related activities; services of a purely clerical or reporting nature; food, clothing, or general consumer goods that are unrelated to oil-related activities; mineral-extraction activities; or power-production activities.
(hh) “Substantial action specific to Iran” means adopting, publicizing, and implementing a formal plan to cease scrutinized business operations within 1 year and to refrain from such new business operations.
(ii) “Substantial action specific to Sudan” means adopting, publicizing, and implementing a formal plan to cease scrutinized business operations within 1 year and to refrain from such new business operations; undertaking humanitarian efforts in conjunction with an international organization, the government of Sudan, the government of South Sudan, or a nonprofit entity evaluated and certified by an independent third party to be substantially in a relationship to the company’s Sudan business operations and of benefit to one or more marginalized populations of Sudan; or, through engagement with the government of Sudan, materially improving conditions for the genocidally victimized population in Darfur.
(jj) “Textile sector” means the fiber synthesis, dyeing, weaving, knitting, or felting in Iran of textiles, including apparel, carpets, cloths, fabric, or related goods, which are for export from Iran.