REP. VARGAS INTRODUCES ENVIRONMENTALLY SUSTAINABLE GROWTH ACT
Washington, D.C. – Today, Representative Juan Vargas (CA-52) introduced the Environmentally Sustainable Growth Act. This bill requires public companies to disclose environmental, social, and governance (ESG) metrics in annual filings with the Securities and Exchange Commission (SEC). ESG is a way of considering and measuring how companies make decisions that impact the environment, how well they treat their workers and staff, and how they govern and make business decisions.
“Requiring public companies to create and disclose their ESG metrics would deliver an invaluable measuring tool that helps American consumers better invest their hard-earned funds,” said Rep. Vargas. “The public wants to know more about the companies they choose to invest in so they can make the best choice for their families, the environment, and their communities – so it’s Congress’ job to deliver this to the people. Sadly, Republicans prefer to attack ESG in efforts to protect shady special interests.”
“With over $8.4 trillion in U.S. assets under managements in funds that prioritize ESG factors in 2022, the data is overwhelmingly clear that the American people consider this information material and important to them when deciding how to invest their hard-earned savings,” said Rep. Sean Casten (IL-06). “As regulators, we have a duty to craft policies that provide investor protections and transparency of information to market participants. The Environmentally Sustainable Growth Act does just that.”
“I’m proud to introduce my bill, the Environmentally Sustainable Growth Act, because it will protect consumers, reduce climate damage, and defend labor standards from Republican attacks by better educating Americans on the ESG practices of public companies,” added Rep. Vargas.
The Environmentally Sustainable Growth Act will also require public companies to disclose the company’s views on the link between ESG metrics and long-term business performance annually.
Read the full bill text here.