Fossil Fuel Divestment Appears Stalled

Somerville, MA, Feb. 11 – Despite a petition signed by over 500 people, a unanimous resolution from the Board of Aldermen, and the support of Mayor Joseph A. Curtatone, it does not appear that the Somerville Retirement Board (SRB) will be moving divest the City’s pension fund from fossil fuel companies any time soon.

The Board, made up of five people, two of whom are elected by city employees, manages the city employee pension money. The funds are invested in securities valued at almost $230 million as of last summer, according to Michael Pasquariello, executive director of the board.

The SRB’s website does have information on the request to divest from the biggest 200 publicly traded fossil fuel companies, but Pasquariello said in a recent email that “[t]he Board has not created an in-stone timeline.” Despite numerous requests, Pasquariello was not available for an update or for any comment whatsoever.

But that’s not stopping the Fossil Free Somerville advocacy group, which launched the petition last year.

On Jan. 30, the group sponsored an informational luncheon for City employees and other members of the fund at the Somerville Public Library.

Members of the group explained to the audience that selling off fossil fuel stocks can be a good investment move.

“Actually, the fossil fuel companies, it turns out that sometimes you do better than if you didn’t divest,”Evan Seitz said.

Only a handful of current or former City employees attended the lunch.

Among them was former Deputy Fire Chief Peter St. Clair, who tried to convince those who might be on the fence.

“Given what we know about climate change now, how secure is anybody’s future?” he asked.

In a previous SNN story, last August, Pasquariello noted two reasons that the SRB was waiting to decide in favor or against the matter: 1) it wants advice from its six investment managers, and 2) it is waiting to see if a state law that would create a commission to advise cities on the possible benefits or risks if divesting.

“Ultimately this is the decision of the Somerville Retirement Board,” Fossil Free Somerville’s Eric Fields told Somerville Neighborhood News. “Since last summer we’ve been working closely with them, talking about divestment, trying to convince them to do it.”

The movement to divest from fossil fuels has been growing across the country with religious institutions, foundations and universities leading the way. Some cities and towns, including a number in Massachusetts, have pledged to divest. The organization GoFossilFree.org keeps a updated list.

Read the story and watch the video here – http://www.scatvsomerville.org/news/will-somerville-divest-from-fossil-fuel/