Amid budget deficit, Miami activists again call for divestment of Israeli bonds
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With Miami-Dade's budget season underway, calls for the county to liquidate its Israeli bonds are again ramping up.
Why it matters: Activists, including members of the Break the Bonds Miami campaign, argue the county is sending resident taxpayer dollars to support an ongoing war and what critics describe as genocide.
- Continuing such investments, they argue, is not only immoral but a poor economic decision. Last month, Moody's maintained its rating and negative outlook for Israel bonds, Reuters reported.
Catch up quick: The county began investing in Israeli bonds in 2016, after it amended its policies to allow investments in the foreign government, purchasing two bonds for a combined $50 million.
- Today, it has multiple bond investments totaling more than $151 million, including a $75 million bond it purchased Feb. 1.
The big picture: The calls to divest come as the county weighs a budget that calls for cuts between 10% and 35% for some departments to offset a more than $400 million deficit.
- Activists have argued the budget gaps further underscore the need to divest from what they say is an irresponsible and immoral investment and reinvest in county programs.
The latest: During Mayor Daniella Levine Cava's first budget town hall last week, community members called on her to recommend that commissioners change the county's investment policy to exclude Israel and not reinvest the bonds once they mature.
- While commissioners approve the investment policy, the board doesn't direct which specific investments are made.
What they're saying: "The purpose of our county's investments is to increase liquidity," one speaker said. "Israel bonds do the opposite."
- Even outside of the war against Gaza, activists claim better economic investments would be in local funds, such as housing bonds.
The other side: At the hearing, Levine Cava touted the county's 2023 investment and said the operating budget and investment portfolio were separate funds, according to multiple people at the meeting.
What's next: A bond for $25 million reaches its maturation date Nov. 1.
Editor's note: This story was corrected to reflect that the county purchased a $75 million bond (not $25 million) on Feb. 1.