summary
Introduced
02/07/2025
02/07/2025
In Committee
02/07/2025
02/07/2025
Crossed Over
Passed
Dead
Introduced Session
104th General Assembly
Bill Summary
Creates the Procurement Protection Act. Provides that a company domiciled within the jurisdiction of foreign adversary or a federally banned corporation shall be ineligible to bid or submit a proposal for contracts with the State. Provides that each bid or offer submitted for a contract with a State agency or political subdivision shall include a disclosure of whether or not the bidder, offeror, or any of its corporate parents or subsidiaries, within the 24 months before submission of the bid or offer had business operations that involved contracts with or provision of supplies or services from or to any foreign adversary, state-owned enterprise of a foreign adversary, or a company domiciled within the jurisdiction of a foreign adversary. Provides that a bid or offer that does not include the disclosure required by the provisions may be given a period after the bid or offer is submitted to cure non-disclosure. Allows a chief procurement officer to consider the disclosure when evaluating the bid or offer or awarding the contract. Sets forth exceptions to the general provisions. Defines terms. Effective immediately.
AI Summary
This bill establishes the Procurement Protection Act, which aims to restrict state contracts with companies connected to foreign adversaries. The legislation requires companies bidding on state contracts to disclose any business operations with foreign adversaries within the past 24 months, specifically targeting companies from countries like China, Russia, Iran, North Korea, Cuba, Venezuela, and Syria. Companies that are domiciled in these countries, owned by their governments, or federally banned are generally ineligible to bid on state contracts. If a company fails to disclose its business relationships or provides false information, it can face significant penalties, including a civil penalty of $250,000 or twice the contract amount, contract termination, and a 60-month ban from future state contracts. The bill includes limited exceptions where a state agency may enter into a contract with a covered company if there are no alternative options and the procurement is pre-approved by the Department of Central Management Services. The purpose of the act is to ensure that state suppliers are safe, reliable, and free from undue influence by foreign adversaries, reflecting broader national security concerns about potential risks from international business relationships.
Sponsors (1)
Last Action
Referred to Assignments (on 02/07/2025)
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.ilga.gov/legislation/BillStatus.asp?DocNum=2368&GAID=18&DocTypeID=SB&SessionID=114&GA=104 |
| BillText | https://www.ilga.gov/legislation/104/SB/10400SB2368.htm |
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