Michigan House Bill HB5323

Michigan 2023-2024 Regular Session

• Introduced: 11/9/23
• Refer: 11/9/23

Caption

State management: purchasing; state procurement of solar panels made with forced labor or oppressive child labor; prohibit. Amends secs. 114, 115, 241c, 261, 305 & 404 of 1984 PA 431 (MCL 18.1114 et seq.) & adds sec. 261g. TIE BAR WITH: HB 5325'23

Impact

If enacted, HB 5323 would compel a significant shift in the procurement policies of state agencies. By requiring providers to certify the absence of forced or oppressive child labor in their supply chains, the bill stands to tighten the standards for contractors and manufacturers engaged in sales to the state. This could lead to heightened scrutiny of supply chains and may ripple across the industry, influencing numerous companies to adopt more rigorous labor practices. It positions Michigan as a leader in ethical labor practices, which may appeal to socially-conscious constituents and businesses.

Summary

House Bill 5323 seeks to amend the Management and Budget Act of Michigan to enhance regulations regarding the procurement of solar panels and associated components. A key provision of the bill stipulates that state agencies must ensure that any solar panels purchased are free from forced and oppressive child labor in their production processes. This legislation is aimed at promoting ethical purchasing practices and ensuring that taxpayer funds are not inadvertently supporting unethical labor practices abroad.

Contention

Notably, the bill may face contention regarding its implementation and the verification of claims made by contractors. Critics may question the feasibility of enforcing such regulations, particularly concerning how claims regarding labor practices would be substantiated and penalties enforced. The financial consequences outlined in the new civil fines against manufacturers for providing false information could also provoke scrutiny regarding how these fines are assessed and administrated. Furthermore, ensuring that all state suppliers comply with these requirements could necessitate significant administrative resources, raising concerns about potential bureaucratic overreach.