ALEC board rejects model anti-ESG bill

The American Legislative Exchange Council’s board last week rejected a proposed model bill that would have required states to stop doing business with companies considered to be boycotting fossil fuels and other related industries. Following a closed-door vote, ALEC sent the model bill back to the group’s energy task force for additional review.

The vote took place following advocacy by the American Bankers Association, state bankers associations and others against the proposal as drafted. “ABA and other concerned stakeholders urged ALEC to reconsider this draft model policy because it undermined the organization’s own commitment to free markets and limited government,” ABA said in media reports following the vote. “Government should not be dictating business decisions to the private sector, which is what the draft model policy proposed. We appreciate the strong vote by the ALEC board to send this proposal back to the task force for reconsideration.”