,,ii #aaeth ,,congress #ast ,session ,s4 #agj ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,january #ag1 #bjag ,mr4 ,rubio 7for himself1 ,mr4 ,manchin1 ,mr4 ,crapo1 ,mr4 ,nelson1 ,mr4 ,cornyn1 ,mr4 ,cardin1 ,mr4 ,graham1 ,mr4 ,menendez1 ,mr4 ,hatch1 ,mr4 ,wyden1 ,mr4 ,cotton1 ,mr4 ,blumenthal1 ,mr4 ,portman1 ,mr4 ,peters1 ,mr4 ,cruz1 ,ms4 ,stabenow1 ,ms4 ,murkowski1 ,mr4 ,bennet1 and ,mr4 ,blunt7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to provide for nonpreemption of measures by ,state and local governments to divest from entities that engage in commerce-related or investment-related boycott1 divestment1 or sanctions activities targeting ,israel1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,combating ,,bds ,act of #bjag4 #b4 ,nonpreemption of measures by ,state and local governments to divest from entities that engage in certain boycott1 divestment1 or sanctions activities targeting ,israel 7a7 ,state and local measures ,notwithstanding any other provision of law1 a ,state or local government may adopt and enforce measures that meet the requirements of subsection 7b7 to divest the assets of the ,state or local government from1 prohibit investment of the assets of the ,state or local government in1 or restrict contracting by the ,state or local government for goods and services with-- 7#a7 an entity that the ,state or local government determines1 using credible information available to the public1 knowingly engages in a commerce-related or investment-related boycott1 divestment1 or sanctions activity targeting ,israel2 7#b7 a successor entity or subunit of an entity described in paragraph 7#a72 or 7#c7 an entity that owns or controls1 is owned or controlled by1 or is under common ownership or control with1 an entity described in paragraph 7#a74 7b7 ,requirements ,a ,state or local government that seeks to adopt or enforce a measure under subsection 7a7 shall meet the following requirements3 7#a7 ,notice ,the ,state or local government shall provide written notice to each entity to which a measure under subsection 7a7 is to be applied4 7#b7 ,timing ,the measure shall apply to an entity not earlier than the date that is #ij days after the date on which written notice is provided to the entity under paragraph 7#a74 7#c7 ,opportunity for comment ,the ,state or local government shall provide an opportunity to comment in writing to each entity to which a measure is to be applied4 ,if the entity demonstrates to the ,state or local government that the entity has not engaged in a commerce-related or investment-related boycott1 divestment1 or sanctions activity targeting ,israel1 the measure shall not apply to the entity4 7#d7 ,sense of ,congress on avoiding erroneous targeting ,it is the sense of ,congress that a ,state or local government should not adopt a measure under subsection 7a7 with respect to an entity unless the ,state or local government has made every effort to avoid erroneously targeting the entity and has verified that the entity engages in a commerce-related or investment-related boycott1 divestment1 or sanctions activity targeting ,israel4 7c7 ,notice to ,department of ,justice 7#a7 ,in general ,except as provided in paragraph 7#b71 not later than #cj days after adopting a measure described in subsection 7a71 the ,state or local government that adopted the measure shall submit written notice to the ,attorney ,general describing the measure4 7#b7 ,existing measures ,with respect to measures described in subsection 7a7 adopted before the date of the enactment of this ,act1 the ,state or local government that adopted the measure shall submit written notice to the ,attorney ,general describing the measure not later than #cj days after the date of the enactment of this ,act4 7d7 ,nonpreemption ,a measure of a ,state or local government that is consistent with subsection 7a7 is not preempted by any ,federal law4 7e7 ,effective date ,this section applies to any measure adopted by a ,state or local government before1 on1 or after the date of the enactment of this ,act4 7f7 ,prior enacted measures 7#a7 ,in general ,notwithstanding any other provision of this section or any other provision of law1 and except as provided in paragraph 7#b71 a ,state or local government may enforce a measure described in subsection 7a7 adopted by the ,state or local government before the date of the enactment of this ,act without regard to the requirements of subsection 7b74 7#b7 ,application of notice and opportunity for comment ,a measure described in paragraph 7#a7 shall be subject to the requirements of subsection 7b7 on and after the date that is #b years after the date of the enactment of this ,act4 7g7 ,rules of construction 7#a7 ,authority of ,states ,nothing in this section shall be construed to abridge the authority of a ,state to issue and enforce rules governing the safety1 soundness1 and solvency of a financial institution subject to its jurisdiction or the business of insurance pursuant to the ,act of ,march #i1 #aide 7#ei ,stat4 #cc1 chapter #bj2 #ae ,u4,s4,c4 #ajaa et seq47 7commonly known as the ,mc,carran-,ferguson ,act74 7#b7 ,policy of the ,united ,states ,nothing in this section shall be construed to alter the established policy of the ,united ,states concerning final status issues associated with the ,arab-,israeli conflict1 including border delineation1 that can only be resolved through direct negotiations between the parties4 7#c7 ,scope of nonpreemption ,nothing in this section shall be construed as establishing a basis for preempting or implying preemption of ,state measures relating to boycott1 divestment1 or sanctions activity targeting ,israel that are outside the scope of subsection 7a74 7h7 ,definitions ,in this section3 7#a7 ,assets 7,a7 ,in general ,except as provided in subparagraph 7,b71 the term assets means any pension1 retirement1 annuity1 or endowment fund1 or similar instrument1 that is controlled by a ,state or local government4 7,b7 ,exception ,the term assets does not include employee benefit plans covered by title ,i of the ,employee ,retirement ,income ,security ,act of #aigd 7#bi ,u4,s4,c4 #ajja et seq474 7#b7 ,boycott1 divestment1 or sanctions activity targeting ,israel ,the term boycott1 divestment1 or sanctions activity targeting ,israel means any activity that is intended to penalize1 inflict economic harm on1 or otherwise limit commercial relations with ,israel or persons doing business in ,israel or in ,israeli-controlled territories for purposes of coercing political action by1 or imposing policy positions on1 the ,government of ,israel4 7#c7 ,entity ,the term entity includes-- 7,a7 any corporation1 company1 business association1 partnership1 or trust2 and 7,b7 any governmental entity or instrumentality of a government1 including a multilateral development institution 7as defined in section #agja7;c77#c7 of the ,international ,financial ,institutions ,act 7#bb ,u4,s4,c4 #bfbr7c77#c7774 7#d7 ,investment ,the term investment includes-- 7,a7 a commitment or contribution of funds or property2 7,b7 a loan or other extension of credit2 and 7,c7 the entry into or renewal of a contract for goods or services4 7#e7 ,state ,the term ,state means each of the several ,states1 the ,district of ,columbia1 the ,commonwealth of ,puerto ,rico1 the ,commonwealth of the ,northern ,mariana ,islands1 ,american ,samoa1 ,guam1 the ,united ,states ,virgin ,islands1 and any other territory or possession of the ,united ,states4 7#f7 ,state or local government ,the term ,state or local government includes-- 7,a7 any ,state and any agency or instrumentality thereof2 7,b7 any local government within a ,state and any agency or instrumentality thereof2 and 7,c7 any other governmental instrumentality of a ,state or locality4 #c4 ,safe harbor for changes of investment policies by asset managers ,section #ac7;c77#a7 of the ,investment ,company ,act of #aidj 7#ae ,u4,s4,c4 #hj;a-#ac7;c77#a77 is amended-- 7#a7 in subparagraph 7,a71 by striking 2 or and inserting a semicolon2 7#b7 in subparagraph 7,b71 by striking the period at the end and inserting 2 or2 and 7#c7 by adding at the end the following3 7,c7 engage in any boycott1 divestment1 or sanctions activity targeting ,israel described in section #b of the ,combating ,,bds ,act of #bjag4 4