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On behalf of FreedomWorks’ activist community, I urge you to contact your representative and ask him or her to vote NO on the ESG Disclosure Simplification Act, H.R. 1187, introduced by Rep. Juan Vargas (D-Calif.). This bill would require the Securities and Exchange Commission (SEC) to define environmental, social, and governance (ESG) metrics and require publicly traded companies to disclose certain ESG metrics to the SEC in annual filings.
Woke politicians in Washington are now looking to politicize the SEC by forcing companies to disclose ESG information to shareholders and the SEC. ESG metrics include diversity among company leadership, approach to climate change, and receptiveness to social change. This government overreach represents a dangerous politicization of the SEC.
It is not the role of the government to insert itself into the social policies of companies by forcing them to disclose their views to unelected bureaucrats in Washington. The decision currently lies with the company as to whether or not to disclose ESG information, and that is where it should stay.
If companies wish to ingratiate themselves with investors who prioritize ESG metrics and wish to disclose the information publicly, that is the company’s prerogative. A massive unfunded government mandate pushing companies to broadcast internal ESG policies is an unsettling prospect.
FreedomWorks will count the vote for H.R. 1187 on our 2021 Congressional Scorecard and reserves the right to score any amendments, motions, or other related votes. The scorecard is used to determine eligibility for the FreedomFighter Award, which recognizes Members of the House and Senate who consistently vote to support economic freedom and individual liberty.
Adam Brandon, President, FreedomWorks