1 | 1 | | Session of 2025 |
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2 | 2 | | HOUSE BILL No. 2293 |
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3 | 3 | | By Committee on Commerce, Labor and Economic Development |
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4 | 4 | | Requested by Representative Croft |
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5 | 5 | | 2-5 |
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6 | 6 | | AN ACT concerning infrastructure; relating to drone technology; |
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7 | 7 | | prohibiting the acquisition of critical components of drone technology |
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8 | 8 | | from countries of concern; relating to state contracts; prohibiting state |
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9 | 9 | | agencies from procuring final or finished goods or services from a |
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10 | 10 | | foreign principal. |
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11 | 11 | | Be it enacted by the Legislature of the State of Kansas: |
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12 | 12 | | Section 1. (a) In addition to the provisions of K.S.A. 75-3739, and |
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13 | 13 | | amendments thereto, and any other applicable statutes concerning |
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14 | 14 | | purchases, a governmental agency shall not purchase or acquire any drone |
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15 | 15 | | or any related services, maintenance agreements or equipment, the critical |
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16 | 16 | | components of which were: |
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17 | 17 | | (1) Produced in any country of concern; or |
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18 | 18 | | (2) produced or owned by any foreign principal. |
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19 | 19 | | (b) Any critical components for drones or any related services or |
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20 | 20 | | equipment that were acquired prior to July 1, 2025, and that are not in |
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21 | 21 | | compliance with subsection (a) may continue to be used by the |
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22 | 22 | | governmental agency that acquired such critical components. When a |
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23 | 23 | | governmental agency determines that a critical component must be |
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24 | 24 | | replaced, the governmental agency may use any replacement component |
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25 | 25 | | acquired prior to July 1, 2025, but no new replacement component shall be |
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26 | 26 | | acquired from any foreign principal. |
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27 | 27 | | (c) Any acquisition that is otherwise prohibited under subsection (a) |
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28 | 28 | | or (b) may be completed by a governmental agency if: |
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29 | 29 | | (1) There is no other reasonable means to acquire such critical |
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30 | 30 | | components or of addressing the needs of the governmental agency |
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31 | 31 | | necessitating such acquisition; |
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32 | 32 | | (2) the agreement for such acquisition is approved by the secretary of |
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33 | 33 | | administration after consultation with the adjutant general; and |
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34 | 34 | | (3) failure to acquire such critical components or otherwise address |
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35 | 35 | | the needs of the governmental agency would pose a greater threat to the |
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36 | 36 | | safety and security of this state than that posed by entering into such |
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37 | 37 | | acquisition agreement. |
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38 | 38 | | (d) The provisions of this section shall not apply to any contract or |
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39 | 39 | | agreement entered into prior to July 1, 2025. |
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74 | 74 | | 35 HB 2293 2 |
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75 | 75 | | Sec. 2. (a) (1) Except as provided by paragraph (2), no state agency |
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76 | 76 | | shall enter into a contract or agreement to procure final or finished goods |
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77 | 77 | | or services from a foreign principal. |
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78 | 78 | | (2) A state agency may enter into a contract or agreement to procure |
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79 | 79 | | final or finished goods or services from a foreign principal if such foreign |
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80 | 80 | | principal: |
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81 | 81 | | (A) Previously received a determination that there are no unresolved |
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82 | 82 | | national security concerns and action under 50 U.S.C. § 4565, as in effect |
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83 | 83 | | on July 1, 2025, that has concluded with respect to a covered transaction, |
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84 | 84 | | if such foreign principal has not undergone a change in control constituting |
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85 | 85 | | a covered control transaction since such determination to conclude action |
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86 | 86 | | was made; or |
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87 | 87 | | (B) has a national security agreement in effect on July 1, 2025, with |
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88 | 88 | | the committee on foreign investment in the United States, or the United |
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89 | 89 | | States department of defense, under 50 U.S.C. § 4565, as in effect on July |
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90 | 90 | | 1, 2025, and maintains such national security agreement. |
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91 | 91 | | (b) The provisions of this section shall not apply to any contract or |
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92 | 92 | | agreement entered into prior to July 1, 2025. |
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93 | 93 | | Sec. 3. As used in sections 1 and 2, and amendments thereto: |
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94 | 94 | | (a) "Company" means any: |
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95 | 95 | | (1) For-profit corporation, partnership, limited partnership, limited |
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96 | 96 | | liability partnership, limited liability company, joint venture, trust, |
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97 | 97 | | association, sole proprietorship or other organization, including any: |
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98 | 98 | | (A) Subsidiary of such company, a majority ownership interest of |
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99 | 99 | | which is held by such company; |
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100 | 100 | | (B) parent company that holds a majority ownership interest of such |
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101 | 101 | | company; and |
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102 | 102 | | (C) other affiliate or business association of such company whose |
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103 | 103 | | primary purpose is to make a profit; or |
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104 | 104 | | (2) nonprofit organization. |
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105 | 105 | | (b) (1) "Country of concern" means the following: |
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106 | 106 | | (A) People's republic of China, including the Hong Kong special |
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107 | 107 | | administrative region; |
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108 | 108 | | (B) republic of Cuba; |
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109 | 109 | | (C) islamic republic of Iran; |
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110 | 110 | | (D) democratic people's republic of Korea; |
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111 | 111 | | (E) Russian federation; and |
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112 | 112 | | (F) Bolivarian republic of Venezuela. |
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113 | 113 | | (2) "Country of concern" does not include the republic of China |
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114 | 114 | | (Taiwan). |
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115 | 115 | | (c) (1) "Critical component" means those components or |
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116 | 116 | | subcomponents that are: |
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117 | 117 | | (A) Distinct and serviceable articles; and |
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160 | 160 | | 43 HB 2293 3 |
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161 | 161 | | (B) the primary component or subcomponent of an identifiable |
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162 | 162 | | process or subprocess necessary to the recording, storing or transmitting of |
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163 | 163 | | data or any other form of information. |
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164 | 164 | | (2) "Critical component" includes any software installed in a drone. |
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165 | 165 | | (d) "Domicile" means the country where a: |
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166 | 166 | | (1) Company is organized; |
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167 | 167 | | (2) company completes a substantial portion of its business; or |
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168 | 168 | | (3) majority of a company's ownership interest is held. |
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169 | 169 | | (e) "Drone" means an unmanned aircraft that is controlled remotely |
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170 | 170 | | by a human operator or operates autonomously through computer software |
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171 | 171 | | or other programming. |
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172 | 172 | | (f) "Foreign principal" means: |
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173 | 173 | | (1) The government or any official of the government of a country of |
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174 | 174 | | concern; |
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175 | 175 | | (2) any political party, subdivision thereof or any member of a |
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176 | 176 | | political party of a country of concern; |
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177 | 177 | | (3) any corporation, partnership, association, organization or other |
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178 | 178 | | combination of persons organized under the laws of or having its principal |
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179 | 179 | | place of business in a country of concern. "Foreign principal" includes any |
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180 | 180 | | subsidiary owned or wholly controlled by any such entity; |
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181 | 181 | | (4) any agent of or any entity otherwise under the control of a country |
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182 | 182 | | of concern; |
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183 | 183 | | (5) any individual whose residence is in a country of concern and |
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184 | 184 | | who is not a citizen or lawful permanent resident of the United States; or |
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185 | 185 | | (6) any individual, entity or combination thereof described in |
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186 | 186 | | paragraphs (1) through (5) that has a controlling interest in any company |
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187 | 187 | | formed for the purpose of manufacturing, distributing, transporting or |
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188 | 188 | | selling critical components for drones and related services and equipment. |
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189 | 189 | | (g) "Governmental agency" means the state or any political or taxing |
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190 | 190 | | subdivision of the state or any office, agency or instrumentality thereof. |
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191 | 191 | | (h) "State agency" means any department, authority, bureau, division, |
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192 | 192 | | office or other governmental agency of this state. |
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193 | 193 | | Sec. 4. This act shall take effect and be in force from and after its |
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194 | 194 | | publication in the statute book. |
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