Assembly Bill 662 aims to prohibit state agencies in Wisconsin from contracting with certain business entities deemed as "prohibited business entities." These entities include organizations that are primarily based in or controlled by foreign adversaries, specifically those identified by the U.S. Department of Commerce, such as China, Cuba, Iran, North Korea, Russia, and Venezuela. The bill mandates that any person or entity wishing to contract with a state agency must provide written certification confirming they are not a prohibited business entity and that their goods or services do not originate from such entities. If a contractor becomes a prohibited business entity during the contract period, they must notify the state agency, which may then terminate the contract and seek legal remedies.

The bill also establishes a framework for enforcement, assigning the Department of Administration the responsibility to investigate complaints regarding violations of these contracting requirements. If a violation is confirmed, the offending party may face significant financial penalties, including a forfeiture of at least $250,000 or double the contract's value, and will be barred from contracting with state agencies for five years. Additionally, the Attorney General is authorized to enforce the bill's provisions in court.