SECTION 1. Section 23 of chapter 32 of the general laws, as appearing in the 2022 Official Edition is hereby amended in subsection 2 (c )(g) by inserting after (iii), the following new paragraph: -

(iv) subsequent to the date of such determination no new investment of funds shall be made in any bank or financial institution which directly or through any subsidiary has outstanding loans to any individual corporation engaged in a private equity (PE) firm, as defined in section 17 of this act, or real estate investment trust (REIT), as defined in section 11 of this act, which owns, in who or in part, or invests in skilled nursing facilities or hospices, and no new investment of funds shall be made in the stocks, securities or other obligations of any company so engaged. In making such determination the commission shall consider the diversification of the risk of the investments of such board, the return on the investments of such board, the past performance of the investment portfolio of such board and the extent and quality of professional advice received by such board regarding the investment of funds. Any such board shall invest and reinvest consistent with sound investment policy and the requirements of subdivision (3). 

As used in this act, a “skilled nursing facility” (SNF) means a facility, or unit, which is licensed by the state to provide skilled nursing care and related services for patients who require medical and skilled nursing care or skilled rehabilitation services for the treatment of an injury, disability, or illness, and a “hospice” means a public agency or private organization or a subdivision of either that is providing care to terminally ill individuals and meets the Medicare conditions of participation specified in 42 CFR 418.52 through 418.116 for hospices.  “Private Equity Firm (PE)”, as used in this act, refers to a financing approach where companies acquire funds from firms or accredited investors instead of stock markets, as specified in 12 CFR s 1500.4.  “Real Estate Investment Trust (REIT),” as used in this act, means a company that owns, operates, or finances income-generating real estate as specified in 26 CFR s 1.856-1.