By Ishara Nanayakkara

Russia’s invasion of Ukraine on Feb. 24 and the ensuing war between the two countries have spurred global outcry. In response to the rapidly changing situation, the United States recently announced a series of unprecedented sanctions on Russian imports and investments, in alignment with decisions by allies in Europe and across the world.

Coinciding with federal efforts, state policymakers have taken bipartisan legal and regulatory action. Most measures involve stopping the importation of Russian alcohol, such as in Arkansas and Iowa, and divesting from Russian assets, as is underway in California, Pennsylvania, and West Virginia. Multiple state legislatures also have passed resolutions expressing their strong support for Ukraine and endorsing the response of the federal government (Table 1). Some of these resolutions, such as those in Missouri, South Carolina, and South Dakota, alsoencourage the federal government to provide weapons and military assistance to the government of Ukraine.

In Arkansas, alcohol distributors are no longer acquiring alcoholic beverages from Russia “in an effort to support the U.S…sanctions upon Russia,” according to the director of the Department of Finance and Administration. While existing stock will not be destroyed, alcohol distributors will not import additional product. Governor Asa Hutchinson is urging private companies in the state to consider these sanctions. Governors of Iowa and New Hampshire have followed suit and ordered the removal of Russian-produced alcohol products from their state-run stores and wholesale lists.

In Missouri, Lt. Gov. Mike Kehoe announced a bill that would require entities receiving public funding to suspend contracts with Russia. He also urged all businesses to stop selling Russian products and offered stores lists of alternative items. Strategic divestment of Russian holdings also is being discussed. Other states working to remove Russian alcohol and other products from shelves and halt imports include Tennessee and Virginia.

The second major sanction involves withdrawing investments in Russian assets. Earlier this month, Connecticut Treasurer Shawn Wooden made the decision to zero-out Russian investments from retirement plans and pension funds. Current government debt issued by Russia and investments in Russian companies add up to $218 million in the state. While Wooden’s motivation is to support Ukraine, he also sees this action as important to “protecting the long-term viability of [Connecticut’s] investments” and economic stability, as the national and global sanctions imposed against Russia make it a volatile market for investment. With similar intentions, California Senate Majority Leader Mike McGuire announced that bipartisan legislation would soon be introduced to divest from all Russian assets, totaling over $1 billion.  

The Idaho House State Affairs Committee voted recently on a resolution to sell $1.2 million of investments in Russia from Endowment Funds and roughly $300,000 in worker’s compensation funds. Colorado’s pension fund will remove $7.2 million from a Russian bank, Sberbank, which holds the majority of the $8 million Colorado has invested in Russian-owned companies. Similarly, New York’s Police Pension fund is in the process of withdrawing over $42 million in securities investments by Russian companies. Other states in the process of divesting Russian investments include Indiana, Kansas, Maryland, Montana, North Dakota, Pennsylvania, and Virginia.

In addition to these tangible maneuvers, multiple states have made symbolic gestures to show support for Ukraine. Notable sites such as Washington D.C.’s The Kennedy Center, San Francisco City Hall, The Lincoln Center in New York, Big River Crossing in Memphis and Niagara Falls have been illuminated in blue and yellow: the colors of the Ukrainian flag. Maryland went a step further and, on February 28, terminated ties with the Leningrad region in Russia. These sister-city ties were established to promote peace through local government connections in 1993.

Table 1. Passed and proposed legislation expressing support for Ukraine

StateBillStatusSummary
AlaskaSenate Joint Resolution 25In ProgressSanctions and export controls
ArkansasSenate Concurrent Resolution 2In ProgressEndorses sanctions and supports withdrawing investments
CaliforniaSenate Bill 1328In ProgressWithdraws investments
ColoradoSenate Joint Resolution 22-004Enacted, March 1Endorses sanctions
DelawareHouse Resolution 53Enacted, March 8Economic sanctions
GeorgiaSenate Resolution 603In ProgressCommits to imposing sanctions and divesting investments
HawaiiHouse Resolution 32In ProgressAll business and government contracts with the Russian and Belarusian governments and contractors to cease, along with all work-related travel to Russia or Belarus; all sister-city or state relations will be terminated
IdahoHouse Joint Memorial 6Enacted March 8Endorses sanctions
IllinoisHouse Joint Resolution 72In ProgressSanctions and coordination of resources for Ukrainian refugees
MarylandHouse Bill 1482In ProgressEndorses sanctions and supports withdrawing investments
MichiganSenate Resolution 111Enacted March 1Endorses economic sanctions
MissouriHouse Resolution 75In ProgressEndorses strong sanctions and the provision of weapons
New JerseySenate Resolution 88  In ProgressEndorses economic sanctions
OhioHouse Resolution 195Enacted March 2Expresses support for Ukraine
PennsylvaniaHouse Resolution 175In ProgressDivests funds and severs ties with banks, brokerage firms and investment companies
Rhode IslandSenate Resolution 2429Enacted March 1Supports federal response
South CarolinaSenate Bill 1112In ProgressSupports financial sanctions and the barring of Russian planes from entering European Union and Canadian airspace; Encourages the provision of weapons of Ukrainian Armed Forces
South DakotaSenate Resolution 702In ProgressEndorses strong sanctions and military assistance
TennesseeSenate Joint Resolution 1147In ProgressEndorses an import ban, divesting investments, and sanctions
VirginiaSenate Joint Resolution 189In ProgressEndorses economic sanctions
West VirginiaSenate Bill 730In ProgressWithdraws investments

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