Montana House Bill HB602

Montana 2023 Regular Session

• Introduced: 2/16/23
• Refer: 2/20/23

Caption

Revise laws relating to state contracts with Chinese manufacturers

Impact

If enacted, HB602 will require companies looking to engage in contracts with the state to certify that they are not affiliated with the government of China. This certification process could potentially limit the participation of certain companies in state contracts, especially those with international ties or interests. The bill aims to maintain a level of security by ensuring that state funds are not indirectly supporting entities that may threaten state security.

Summary

House Bill 602 aims to prohibit contracts between the state and companies that are owned or operated by the government of the People's Republic of China. This legislation is framed around national security concerns, as proponents argue that Chinese government-affiliated entities pose a risk to sensitive technologies and data handled by the state. As such, the bill seeks to protect state interests by eliminating business relations with entities deemed scrutinized.

Contention

One of the notable points of contention surrounding this bill includes discussions about economic relations with China and how such prohibitions could affect trade and business practices within the state. Critics may argue that this could limit competition and increase costs for the state. Additionally, there's concern over the legislation enforcing strict penalties, including civil penalties for false certification, which may be viewed as an excessively stringent measure that could deter businesses from bidding on government contracts.