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Bill

Bill

S 728

Prohibits government entities from procuring and using technology products and services from companies owned by, controlled by, or domiciled in certain foreign countries.

2024-2025 Regular Session Introduced by Joe Pennacchio and 2 co-sponsors

New Jersey would ban government technology purchases from foreign-owned or foreign-based companies to protect data security and critical infrastructure.

Introduced in the Senate, Referred to Senate State Government, Wagering, Tourism & Historic Preservation Committee
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Bill Summary · S 728

Legislative bill overview

S 728 would prohibit New Jersey government entities from purchasing technology products and services from companies owned by, controlled by, or based in specified foreign countries. The bill aims to restrict procurement from entities with foreign ownership or domicile that may pose security or economic risks to the state.

Why is this important

Government technology procurement affects critical infrastructure, data security, and public service delivery. Restricting foreign-controlled tech vendors could protect sensitive state information and reduce supply chain vulnerabilities, but may also limit competition and increase costs for state agencies.

Potential points of contention

  • Vague foreign country designation: The bill does not specify which countries trigger restrictions, leaving enforcement criteria unclear and potentially vulnerable to political manipulation
  • Economic and practical impacts: Limiting vendor options could increase procurement costs, delay projects, and reduce competition that drives innovation and efficiency
  • Interstate commerce concerns: Restrictions may conflict with federal law and interstate commerce principles, creating legal challenges and limiting access to widely-used commercial products
  • Definition ambiguity: "Owned by, controlled by, or domiciled in" foreign entities is difficult to define consistently (e.g., partial ownership, management structure, parent company location)

Compiled from official sources — confirm details with the bill’s official record.

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