In a push to tighten the financial guardrails and sever economic ties with nations considered adversarial, Rep. Collin Duel, R-Guthrie, has successfully navigated House Bill 1561 through the House, planting the so-called “Foreign Adversary Divestment Act of 2025” on the doorstep of the Senate. The bill, which proposes state and local managed funds to drop investments linked to countries deemed threats to U.S. security, has its sights set on ensuring public monies do not inadvertently bolster the military or surveillance capabilities of foreign adversaries, as per a report from the Oklahoma House of Representatives.
Duel, whose tenure as an Army Ranger with four tours in Afghanistan imbues his legislative efforts with a particular urgency, has framed the bill as not only a protective measure for state investments but also a bulwark against financing the technological advances of potential foes – Duel told the Oklahoma House of Representatives, "It's imperative we enact this as a matter of state and national security," adding that the act would "keep Oklahoma public investment dollars safe from interference from countries of concern," and also assure the safeguarding from contributing to the enhancement of adversaries' war-making and surveillance capabilities.
The broad strokes of House Bill 1561 mandate the divestment from any entity that's either owned or significantly influenced by a foreign adversary, extends to state-owned enterprises within said countries, and encompasses companies located domestically within these nations. State-managed funds are to phase out such investments by the earliest date of either January 1, 2036, or a decade following the enactment of the legislation, bringing the maximum investment in prohibited territories down to a minuscule 0.05% of all assets under state or local management, as reported by the Oklahoma House of Representatives.
The act requires the state treasurer to create a system to identify foreign adversaries, as determined by the Secretary of State. Entities affected by the act will have six months to adjust their investments to comply and remove any investments that fall under the new rules. These entities must quickly adapt to the changes and ensure compliance.
