The Secretary of State has announced that a new ballot measure has been cleared for circulation, an initiative that would prohibit the state (specifically major pension funds) from investing retirement funds in companies that have ties to Israel. In essence, the measure is regarding divestment from Israel in relation to settlement activity. The ballot title and summary are as follows:

“PROHIBITS STATE RETIREMENT FUNDS FROM INVESTING IN COMPANIES ENGAGED IN CERTAIN BUSINESS ACTIVITIES IN ISRAEL. INITIATIVE STATUTE. Requires the Public Employees’ Retirement System and State Teachers’ Retirement System to identify investments in companies that do business related to the construction or maintenance of Israeli settlements, including those in the West Bank and East Jerusalem, or that provide military supplies and services to Israel. Requires retirement funds to urge these companies to stop these business activities, and, subject to fund fiduciary responsibilities, to divest from companies still engaged in these activities. Prohibits retirement funds from making new investments in these companies.”

In order to qualify for the ballot, its supporters must gather 433,971 signatures by January 31, 2011. The proponent is Chris Yatooma, who stated the reason for the measure as follows: “We hope California will be the first state to apply a comprehensive divestment strategy that other states will follow. This divestment approach looks to mirror the divestment strategy embodied by the worldwide anti-apartheid movement that toppled white rule in South Africa.”