Antioch Council to consider “woke” investment policies
Would lose money on current investments, restrict investments in more companies and industries, could cost more in advisory fees; while world’s largest investment firms are abandoning them
By Allen D. Payton
During their meeting on Tuesday, June 23, 2026, the Antioch City Council will consider including liberal activist or “woke” practices in the City’s investment policy. The proposal is being brought to council after they failed to adopt the current investment policy on a 2-2 split vote during the June 9th Council meeting. Mayor Ron Bernal and Mayor Pro Tem and District 3 Councilman Don Freitas voted in favor, Councilwomen Monica Wilson and Tamisha Torres-Walker voted against, and District 2 Councilman Louie Rocha was absent.
Both Freitas and Torres-Walker suggested the investment policy discussion take place at a future Council meeting. Further discussion resulted in direction to bring the item back with the Treasurer and the City’s investment advisor, Justin Resuello from PFMAM, present and for the Treasurer to meet with the advocates to discuss ethical investment. City Treasurer Jorge Rojas, Jr. later met with a local advocacy group to receive their proposed policy.
Under item 8 on Tuesday’s agenda, the Council is being asked by City staff to “provide direction on inclusion of Socially Responsible Investing or Environmental, Social and Governance (ESG) Investing practices in the Statement of Investment Policy.” Such policies are considered “woke” as they are part of liberal activism, politicize investment practices and prevent investing in companies they don’t like for one reason or another. This, while the world’s two largest investment firms have been moving in the opposite direction over the past two years.
According to the City staff report, during the June 9th meeting, members of Contra Costa Divest spoke and requested that the City adopt what they consider to be “ethical investment practices”, with similar language to the investment policy for Alameda County. Torres-Walker spoke in support of an ethical policy, as well.
The City’s current Investment Policy requires that the City Treasurer render the Policy to City Council for review when changes are made, or at least every two years. The investment policy was last reviewed and approved by City Council in June 2024.
Current Investment Restrictions Only Exclude Alcohol & Tobacco Manufacturers
Socially Responsible Investing (SRI), would filter out and exclude sectors and/or companies the City does not want to invest in. The current Policy includes one such prohibition in Section V. 3: a. which reads, “The City will not invest in any companies that produce alcohol for public consumption or tobacco products.”
City Would Lose Money on Current Investments
According to the presentation by the City’s investment advisor, PFM Asset Management (PFMAM), the do-not-buy lists available through Bloomberg currently include specific industry or subindustry classifications such as firearms and ammunition, private corrections, oil & gas, coal, tobacco, wine/spirits, brewery, night clubs, etc. Furthermore, Sustainalytics has categorized each rated organization into one of over 40 industries and one of over 135 subindustries. Example classifications include oil & gas, refiners & pipelines, energy services, tobacco, pharmaceuticals, paper/forestry, etc.
PFMAM did review the current investments with Caterpillar, Chevron and Lockheed Martin that the advocacy group specifically mentioned that the City should divest from, and as of June 17th, four of the investments would be sold at a loss to the City of $25,758.93 and one investment would provide a small gain of $2,262. With either option, it is recommended that the City hold investments that would be out of compliance with any new methodology adopted until they can either be sold with no loss, or until maturity, whichever comes first.
Proposed ESG Investment Policy
Treasurer Rojas met with a representative from Contra Costa Divest to understand their position and the proposed language for the ESG investment policy is as follows:
“The City of Antioch will strive to invest its funds in ways that promote the wellbeing of our communities and our environment, favoring investment in entities that support the needs of peacetime daily life, in companies that offer renewable energy and other climate mitigation strategies, in companies with a strong environmental, labor, and social records, or in socially responsible community projects within our City.
“The City will refrain from investment in harmful industries such as tobacco, fossil fuels, mass incarceration or immigrant detention, and weaponry of any kind, or in companies with a consistent record of direct involvement in severe human rights violations such as slavery and prison labor, war crimes, illegal military occupation, racial segregation, or apartheid.”
The challenge is who will define each of those categories, and the effort has specifically been to divest from companies based in Israel as the Left considers that country’s actions in Gaza as an “illegal military occupation.”
In addition, space related companies use fossil fuels to power their rockets, and the Left is opposed to the world’s first trillionaire, Elon Musk, the founder of SpaceX, which just issued its first public offering. Such a policy could prevent the City from investing in that or other similar companies and enjoying returns on investment from its growth.
According to the National and Legal Policy Center (NLPC), the world’s largest asset manager, “Blackrock was one of the pioneers of ESG investing, but in early 2025 abandoned “the ‘woke’ policies.” It was “the biggest sign yet that the vibe has shifted against liberal activism in the private sector.” In addition, NLPC reported in May 2026, “Vanguard, the second-largest index fund manager with approximately $10 trillion in assets under management, has similarly retreated in public posture while its index funds.”
According to the City staff report, while “there is no cost to adopt the draft policy attached, should the City choose to adopt an ESG investment practice, additional investment advisory fees could be incurred.
Any Changes Will Be Brought Back Later for Consideration and Possible Adoption
The Council must at least review and adopt the current policy by June 30th. Staff is recommending they approve the draft policy without any SRI/ESG additions to remain compliant, and staff can then move forward working on any updates should Council direct ethical investing.
If they would like to incorporate it into the City investment policy, based on that direction, the Acting City Manager and Finance Director will work with the City Treasurer and PFMAM to determine investment parameters and draft an updated investment policy, understanding that this is not a quick turnaround process and will take some time as some agencies have spent up to a year crafting an investment strategy that fulfilled the ethical investment guidelines they wanted. A draft updated investment policy will be brought back to Council for consideration once this process is complete.
See agenda Item 8.
Meeting Details
The Council meeting will be held in the Council Chambers at 200 H Street, or can be viewed via livestream on the City’s website or on Comcast cable TV channel 24 or AT&T U-verse channel 99.
the attachments to this post:
Antioch Investment Policies
