Virginia Senate Bill SB492

Virginia 2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Va. Public Procurement Act; procurement of electric vehicles, forced and child labor prohibition.

Impact

If enacted, SB492 will significantly impact state procurement laws, ensuring that no public body can engage with manufacturers using forced or child labor. This is expected to create a ripple effect as businesses may need to audit and ensure compliance across their supply chains to maintain eligibility for government contracts. Such changes could enhance consumer confidence and promote ethical business practices within the automotive industry, potentially leading to higher production costs but also improving labor practices globally.

Summary

SB492 aims to amend the Code of Virginia by introducing stipulations regarding the procurement of electric vehicles and their components. The bill specifically addresses issues of forced and child labor within the supply chain related to the production of these vehicles. It requires public bodies to procure only from businesses that provide a sworn declaration certifying that their products are free from such labor practices. This legislative move aligns with increasing concerns over ethical sourcing and human rights in manufacturing processes, particularly for high-demand products such as electric vehicles.

Contention

The bill has sparked discussions regarding its feasibility and potential implications for local businesses. Supporters argue that it is a necessary step towards ensuring ethical standards in public procurement and can help Virginia set a precedent for other states to follow. However, critics raise concerns that the requirements may impose burdensome compliance measures on smaller businesses, which may struggle with the administrative demands and costs associated with ensuring supply chain transparency. The balance between promoting ethical labor practices and supporting local economies becomes a focal point in the ongoing discourse surrounding SB492.