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Bill

HB 2170

state contracts; foreign adversary; prohibition

57th Legislature - Second Regular Session Introduced by Lupe Diaz

Arizona bill bars state contracts with companies controlled by foreign adversaries to protect procurement from foreign influence and national security risks.

Vetoed by Governor
0
WeVote Research Nonpartisan
Bill Summary · HB 2170

Legislative bill overview

HB 2170 prohibits Arizona state agencies and entities from entering into contracts with companies that are owned, controlled, or substantially influenced by foreign adversaries as defined by state law. The bill establishes screening mechanisms and compliance requirements for state procurement processes to identify and exclude such entities from bidding on government contracts.

Why is this important

This legislation addresses national security and economic concerns by preventing potential foreign adversarial influence over state spending and critical infrastructure projects. It directly impacts procurement practices, vendor eligibility, and could affect pricing and availability of goods/services if qualified bidders are reduced.

Potential points of contention

  • Definition scope: The bill's definition of "foreign adversary" may be unclear or subject to interpretation, potentially leading to inconsistent enforcement or disputes over company eligibility
  • Implementation costs: State agencies will need resources to investigate and verify vendor backgrounds, creating administrative burden and potential delays in procurement timelines
  • Market impact: Restricting the vendor pool could reduce competition, increase costs for state contracts, and disadvantage small businesses with complex corporate structures or international supply chains

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

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