This bill amends the existing law regarding investment activities in Iran by lowering the threshold for defining persons or entities engaged in such activities from $20 million to $10 million. Specifically, it revises the definition to include those providing goods or services, or financial institutions extending credit of $10 million or more in the energy sector of Iran. This change aims to strengthen the state's compliance with federal sanctions against Iran, which is viewed as a supporter of international terrorism and military conflict.

The legislation prohibits public contracts from being awarded by state agencies, local contracting units, boards of education, or county colleges to those identified as engaging in investment activities in Iran's energy sector. The intent is to align with the federal sanctions policy and prevent Iran from funding terrorism or developing weapons of mass destruction through its energy sector. The bill reflects a growing trend among states to impose stricter restrictions on companies doing business with Iran, with advocacy groups suggesting that the $10 million threshold is a more appropriate measure for limiting such engagements.

Statutes affected:
Introduced: 52:32-56