The proposed bill amends the Management and Budget Act of 1984 by adding Section 264b, which imposes restrictions on state agencies regarding contracts with principals who have made political donations. Specifically, starting 18 months after the bill's effective date, state agencies are prohibited from entering into contracts with individuals or entities that have made donations to certain political groups, including candidate committees, party committees, and 501(c)(4) organizations, within 18 months prior to the contract signing. Additionally, contracts must include a provision requiring contractors to attest that their principals have not made such donations during specified timeframes surrounding the contract.

The bill outlines consequences for violations, including making the contract unenforceable and barring the violator from future contracts for three years. However, it provides exceptions for certain agreements, such as loans, grants, and collective bargaining agreements, and specifies that the restrictions apply only to agreements that take effect or are modified after the bill's enactment. Definitions for key terms, such as "principal" and various types of political committees, are also included to clarify the scope of the bill's provisions.

Statutes affected:
House Introduced Bill: 18.1101, 18.1594