The bill aims to amend various laws concerning actions related to certain foreign entities, specifically targeting institutions associated with the People's Republic of China. It mandates that state-supported institutions of higher education that have a Confucius Institute or similar entity must have their funding withheld and must abolish such institutes by December 31, 2025. Additionally, these institutions are prohibited from investing in Chinese companies or restricted investment products. The bill also introduces a requirement for these institutions to certify annually that they do not have any prohibited institutes.

Furthermore, the bill prohibits municipalities from forming sister city relationships with certain foreign parties defined as "prohibited foreign parties," which include citizens or entities from countries subject to International Traffic in Arms Regulations. It also establishes strict regulations on public investment entities, preventing them from investing in Chinese companies or restricted investment products, and mandates divestment from any such investments within a specified timeframe. The bill includes provisions for reporting, mandatory divestment, and exemptions for certain types of investments, while also providing immunity for state officials and public investment entities from civil liability related to compliance with these regulations.