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2004 Legislation Regulating or Prohibiting Non-U.S. Citizens from State Contracts

As of June 29, 2004

State

Summary

Last Action/Status

Alabama

Session Adjourned

HB 358

Prohibits state contracts from being performed outside the U.S.

March 4, 2004;  Second Reading;  Referred to State Government Committee

SB 300

Prohibits state contracts from being performed outside the U.S.

April 1, 2004; Passed Senate, decision pending in House with HB 358

Arizona

Session Adjourned

HB 2581

Consumer Right to Know and Act: Contains disclosure requirement, prohibition of consumer financial data from going overseas w/o consumers written consent; prohibits state from contracting with call center that does business outside the U.S.

February 11, 2004;  First Reading;  Commerce and Military Affairs;  Judiciary;  and Rules Committee

California

AB 1829

This bill would prohibit a state agency from contracting for services with a contractor or subcontractor unless that contractor or subcontractor certifies under penalty of perjury that the services will be performed solely with workers within the United States.  This bill would also specify that these provisions do not apply if the contractor or subcontractor certifies under penalty of perjury that the services to be performed are so specialized that there are not workers within the United States that are trained to perform the services.

Passed Assembly

AB 1845

Requires a state agency that contracts for services to include a provision in those contracts that requires that only citizens of the United States and legal resident aliens in the United States will perform that contract and any subcontract performed under that contract

April 12, 2004; Re-referred to Assembly Committee on Rules

SB 1452

Prohibits the state from contracting with any individual or entity that employs persons or subcontractors outside of the United States in order to perform and complete that state contract.

March 4, 2004 To Senate Committee on Governmental Organization

SB 1453

Requires that any employer that outsources jobs that would result in the replacement of 20 or more workers in the state to, not less than 60 days before the employer enters into a contract with a contractor or subcontractor located outside the US to perform the outsourced job functions, give written notice of the contract to the Employment Development Department and the employees whose jobs would be affected by the outsourcing.

March 4, 2004; To Senate Committee on Labor and Industrial Relations

Colorado

Session Adjourned

SB 169

Establishes the “Job Preservation Act of 2004,” and concerns the public benefits received by a company that replaces Colorado employees with workers outside of the United States.

February 11, 2004; Did not pass Committee on Veterans and Military Affairs

SB 170

Would prohibit awarding a state contract to be performed outside the U.S. with the name the “Keep Jobs in Colorado Act”

Postponed Indefinitely by Committee on Veterans and Military Affairs

Connecticut

Session Adjourned

HB 5174

To establish procedures and standards for the contracting out of state programs and services and to modify contracting procedures for the provision of economic development assistance in order to protect the state's investment in job creation and retention.

February 11, 2004; Referred to Joint Committee on Government Administration and Elections

HB 5660

Denies state economic development assistance to any company that replaces Connecticut employees with workers located outside the United States, to require state telemarketing service contracts to be performed in this country and to provide for information to consumers regarding telemarketing calls.

April 27, 2004; Tabled

SB 333

Establishes procedures and standards for the contracting out-of-state programs and services.

April 6, 2004; Passed Joint Committee; referred to Senate Committee on Judiciary

SB 430

Every contract to which the state or any political subdivision of the state other than a municipality is a party shall contain the following provision: The contractor agrees and warrants that in the performance of the contract such contractor will not use any subcontractor, person or group of persons from a site that is located outside the United States or transfer any of the contracted work or service to a location outside the United States, unless the contracted work or service is related to a proceeding or event that occurs outside the United States.

April 6, 2004; To Joint Committee on Judiciary

SB 577

Concerns individuals who work on state contracts; requires that workers on state contracts be United States citizens or legal aliens, or have some specialty for which such workers cannot be count, in order to prohibit companies that receive state contracts from recruiting workers who live outside the United States and are not U.S. citizens

March 17, 2004 Did not pass Joint Favorable deadline in  Joint Committee on Government Administration and Elections

Florida

Session Adjourned

SB 2932

Governmental Procurement; requires solicitaions for specified state & political subdivision construction projects to require listing of subcontractors; provides for electronic advertisement of said construction project solicitations; revises powers & duties of DMS re purchase of commodities & contractual services for state; requires specified contracts executed by DOC to be competitively solicited

April 30, 2004; Died on Calendar

Georgia

Session Adjourned

 HB 1281

No contract between a state agency and a private provider or vendor for the provision of all or part of any governmental services provided by the agency or for the provision of any services to the agency shall be entered into if any such services will be performed outside the boundaries of the United States. If at any time during the performance of a contract the private contracting party uses any services which are performed outside the boundaries of the United States, such private contracting party shall be liable to the state agency for damages in an amount equal to the contract value of such services.

March 19, 2004: Passed House; Recommitted in Senate

Hawaii

Session Adjourned

HB 1922

Requires public contracts for telemarketing services to be performed in the United States. Gives consumers right to know the location of a call center.

January 26, 2004:  First Reading;  Referred to Consumer Protection and Commerce; Judiciary Committees

Idaho

Session Adjourned

HB 598

Amends existing law relating to public works to require contractors, or persons in charge of a contract, to file certain reports regarding employees that are bona fide Idaho residents.

February 3, 2004; Referred to State Affairs

Illinois

HB 4550

Requires that each State contract include the contractor's certification that services performed under the contract or a subcontract shall be performed within the United States by U.S. citizens, holders of valid U.S. immigrant visas, or both. Effective immediately.

February 3, 2004;  Referred to House Rules Committee

SB 2375

Deletes everything. Amends the Illinois Procurement Code. Requires prospective vendors, prior to contracting or as a requirement of solicitation of any State contracts for services, to disclose in a statement of work any services under that contract and any subcontracts that are anticipated to be performed outside the United States. Authorizes the Chief Procurement Officer to consider the disclosure in awarding the contract or evaluating the bid or offer, provided that the consideration is not inconsistent with certain obligations. Requires the Department of Central Management Services to prepare and deliver to the General Assembly, no later than September 1, 2007, a report concerning the impact of outsourcing on the State's procurement that identifies contracts in which there was a disclosure that services were provided outside of the United States and a description and value of those services.

March 26, 2004; Passed Senate; Passed 2nd Reading in House, to House Rules Committee

Indiana

Session Adjourned

SB 4

Award of state contracts. Requires the state's procurement practices to be supportive of retention and creation of jobs in Indiana. Provides that a contract or solicitation for a contract to privatize any of the functions performed by a governmental body's employees that would result in the layoff or dismissal of any of those employees must: (1) require an offeror to provide verifiable evidence that the cost of the contract will be less than the cost of having the functions performed by the governmental body's employees; (2) specify that the governmental body may not pay the contractor more than the cost the governmental body determined the governmental body would incur to perform the functions using its own employees; (3) require the governmental body to provide to an offeror an estimate of the cost of having the functions performed by the governmental body's employees; and (4) contain a statement that the governmental body may pursue certain remedies if the contractor fails to comply with the contract. Permits a representative of any group of the governmental body's employees to submit an offer for the group to perform the functions and requires the governmental body to award the contract to the group of employees under certain circumstances.

February 2, 2004 Passed out of Senate

March 3, 2004 Second Reading in House, ordered engrossed

HB 1275

Provides a 10% price preference to Indiana businesses for public works and contracts for services and supplies awarded by the state; provides that a contract for services entered into by a state agency must specify that only citizens of the United States and individuals authorized to work in the United States may be employed in the performance of services under the contract or any subcontract

January 15, 2004; First reading: referred to House Committee on Appointments and Claims

HB 1381

Provides that a contract for services entered into by a state agency must specify that only citizens of the United States and individuals authorized to work in the United States may be employed in the performance of services under the contract or any subcontract

January 20, 2004; First reading: referred to House Committee on Appointments and Claims

HB 1101

Provides that a contract for services entered into by a state agency must specify that only citizens of the United States and individuals authorized to work in the United States may be employed in the performance of services under the contract or any subcontract

January 13, 2004; First reading; referred to House Committee on Appointments and Claims

Iowa

Session Adjourned

HF 2400

Requires all work done under a state contract to be performed within the boundaries of the United States

March 4,2004, To State Government Committee

SB 2063

This bill prohibits state entities from awarding a contract to a nonresident alien or to a person for a contract or subcontract for services to be performed outside the United States.

February 2, 2004; To State Government Committee

Kansas

Session Adjourned

HB 2524

Enacts the American Jobs Act, relates to state procurement of contractual services; prescribing certain restrictions on foreign contractors.

January 16, 2004; Referred to House Commerce and Labor Committee

Kentucky

Session Adjourned

SB 278

Requires state contracts to be conducted in the United States

March 8, 2004 To Senate Committee on Economic Development, Tourism, and Labor

Louisiana

Session Adjourned

HB 380

Requires state agency contracts for services to be performed by United States citizens

March 29, 2004; Referred to House Appropriations Committee

HB 1344

Requires agencies to certify for certain consulting contracts that services will not be performed outside the United States

March 29, 2004; Referred to House Appropriations Committee

HB 1394

Requires state agency contracts for services to be performed by United States citizens

March 29, 2004; Referred to House Appropriations Committee.

Maryland

Session Adjourned

HB 183

Prohibiting a procurement unit from awarding a contract for services to be rendered by a contractor or subcontractor from a site that is located outside the United States; providing exceptions to the prohibition; establishing that these procurement provisions of law apply to specified procurements; and requiring specified notice in invitations for bids and requests of proposals for service procurements.

April 11, 2004; Passed Senate,

Vetoed by the Governor

HB 1458

Requiring a business entity doing business in the State that has a net loss of at least one employee working in the State during the preceding calendar year to notify the Division of Labor and Industry of the net loss on or before January 31 of each year; requiring the Division of Labor and Industry to send a job relocation survey prepared by the Commissioner of Labor and Industry to a specified business entity; etc.

February 26, 2004 First Reading House Rules and Executive Nominations

Massachusetts

Budget Bill

SECTION 21.  The first paragraph of section 54 of said chapter 7, as appearing in the 2002 Official Edition, is herby amended by inserting after paragraph (1) the following paragraph:--

   (1A)  The agency shall prepare a written statement that the services proposed to be the subject of the privatization contract shall not be provided by labor based or employed outside the United States.  No agency shall make a privatization contract and no such contract shall be valid if the services provided are from labor based or employed outside the United States.

Line Item Veto

Michigan

HB 4940

Requirement for state contracts to be awarded to only citizens or legal residents of the United States

Carried Over from 2003

Referred to the Committee on Government Operations

SB 1109

State; purchasing; requirement for state service contracts to be awarded only to contractors who employ citizens or persons authorized to work in the United States

March 18, 2004; Referred to Committee on Commerce and Labor

Minnesota

Session Adjourned

H.F. 1816

Relating to state government; requiring that state agency contracts for services be performed by United States citizens or by individuals authorized to work in the United States

February 5, 2004 Introduced to Governmental Operations and Veterans Affairs Policy

S.F. 1792

Relating to state government; requiring that state agency contracts for services be performed by United States citizens or by individuals authorized to work in the United States

March 26, 2004 Passed Senate, Referred to House Governmental Operations and Veteran’s Affairs Policies Committee

Mississippi

Session Adjourned

HB 464

State contracts; prohibit granting to those contractors employing persons who are not American citizens or legal aliens

March 9, 2004 Postponed Indefinitely by Appropriations Committee

HB 1293

State contracts; prohibit granting to those contractors employing persons who are not American citizens or legal aliens.

March 9, 2004 PI’d by Appropriations Committee

Missouri

Session Adjourned

HB 1474

Specifies that state contracts for services require that only U.S. citizens or federally authorized persons be employed.

February 19, 2004 Referred to Job Creation and Economic Development Committee

HB 1497

This bill prohibits the Commissioner of the Office of Administration from contracting telemarketing or telephone center services from vendors who employ persons not authorized to work in the United States or perform these services from outside the United States. 

March 30, 2004 Public Hearing Held

SB 1029

Prohibits state contracts from being awarded to any contractor or subcontractor who performs the contracted work outside the United States. Further the act establishes penalties and required termination of any contract where the contractor or contractor after being awarded the contract transfers the contracted work to a location outside the United States

January 20, 2004; Second Reading and referred to Senate Financial & Governmental Committee

Nebraska

Session Adjourned

LB 1223

State agencies may not award a contract to a

Contractor or subcontractor who performs the work at a site outside of the United States unless refusing to award a particular contract would violate the specific terms to which the State of Nebraska

January 23, 2004 Referred to Government, Military, and Veterans Affairs Committee

New Jersey

SB 494

Directs the Director of the Division of Purchase and Property and the Director of the Division of Property Management and Construction in the Department of the Treasury to include in every state contract for the performance of services provisions which specify that only citizens of the United States and persons authorized to work in the United States pursuant to federal law may be employed in the performance of services under the contract or any subcontract awarded under the contract

Passed Senate (25 - 9) on June 17, 2004 and has been referred to the Assembly State Government committee.

AB 2133

State Assembly Version of Same Bill

February 9, 2004 Referred to Assembly State Government Committee

New Mexico

Session Adjourned

SB 416

Requiring public contracts for the performance of services to provide that only citizens and persons authorized to work in the United States be employed under the contract or subcontract  awarded under the contract

February 12, 2004 Postponed Indefinitely in Committee

New York

AB 1092

Enacts the "Employment and Job Training Services Act"; requires state or local government agencies and private organizations contracting with the state that provide employment services including job training, retraining or placement, to verify an individual's legal status prior to providing such services; requires notice by such agencies to potential job seekers stating that only citizens of the United States will be eligible for such services

January 14, 2003; To Assembly- Committee on Labor

SB 6040

Prohibits the outsourcing of jobs by business entities receiving state developmental assistance; provides for repayment thereof and a five year ban on assistance for violations; provides for enforcement by the attorney general

February 26, 2004 Passed Senate Committee on Corporations, Authorities, and Commissions

North Carolina

SB 991

Provides that State government shall require in every contract for the performance of telemarketing services provisions that only citizens of the United States and persons authorized to work in the United States may be employed, and to provide for disclosure of certain information from customer sales and service centers

Passed Senate (in  2003), to House Committee on Appropriations

Ohio

HB 459

No state agency shall award a contract for services or construction to a person unless prior to entering into the contract the person submits to the state agency an affidavit that specifies that the services or construction that are the subject of the proposed contract will be performed in the United States.

April 8, 2004; Introduced

SB 228

State labor contracts must be completed by persons within the United States.

April 15, 2004; Introduced

Rhode Island

HB 5678

This act would establish a comprehensive and fair procedure for all state agencies to follow before they can contract out-of-state programs and services

February 11, 2004 To House Committee on Labor

South Carolina

HB 4434

Provides that an expenditure of state funds under contract through a governmental body for telemarketing services requires contract provisions that the services must be performed in the United States and that only United States citizens and persons authorized to work in the United States may be employed; and relates to the regulation of unsolicited telephone calls, so as to provide for disclosure of certain information from a consumer sales or service call center

January 13, 2004; Referred to House Committee on Labor, Commerce and Industry

South Dakota

Session Adjourned

HB 1116

An Act to prohibit the state from contracting for services to be provided by persons outside the United States or persons not authorized to work in the United States.

January 28, 2004 passed out of State Affairs Committee

Tennessee

Session Adjourned

HB 3235

Public Contracts - Permits only companies whose corporate headquarters are located in the U.S. and who employ only U.S. citizens or citizens authorized by federal law to work in the U.S. to bid on state contracts.

February 18, 2004 Referred to House State and Local Government Committee

SB 2344

Permits preferences in state contracts to companies using domestic workers for call centers or IT work.

May 10, 2004

Signed by Governor

Vermont

Session Adjourned

HB 647

Prohibits the state from contracting with a call center located outside of the United States; also includes some Consumer Right to Know and Act language (disclosure).

January 28, 2004;  First Reading in Government Operations Committee

HB 702

Prohibits any unit of state government from awarding a contract for services to be rendered by persons from a site that is located outside the United States.

February 3, 2004;  First Reading;  Referred to Government Operations Committee

Virginia

Session Adjourned

HB 1010

The bill provides that no public body shall enter into any contract for professional services unless the contract provides that only citizens of the United States, legal resident aliens, and individuals with a valid visa will perform the services under the contract or any subcontract of that contract.

February 3, 2004

Passed House General Laws Sub Committee, continued until 2005

HB 243

Provides that in determining the award of any contract for goods or nonprofessional services, a public body shall give preference to goods produced in the United States, or to goods or nonprofessional services provided by U.S.-based firms or corporations, so long as the bid price of such firm or corporation is not more than 20 percent greater than the bid price of the low responsive and responsible foreign-based firm or corporation. The bill provides that such contract may be awarded to a foreign-based firm or corporation in accordance if it is a sole source contract. The bill defines "foreign-based firm or corporation" as a firm or corporation based outside of the United States or any of its territories.

February 3, 2004

Passed House General Laws Sub Committee, continued until 2005

HB 315

Provides that in awarding contracts in excess of $500,000 for the procurement of goods or services, state public bodies shall give a 3 percent preference to any person with facilities located in Virginia that manufacture, develop, produce, grow, mine, or make such goods or services.

February 3, 2004

Passed House General Laws Sub Committee, continued until 2005

SB 151

Provides that in determining the award of any contract for goods or nonprofessional services, a public body shall give preference to goods produced in the United States, or to goods or nonprofessional services provided by U.S.-based firms or corporations, so long as the bid price of such firm or corporation is not more than 20 percent greater than the bid price of the low responsive and responsible foreign-based firm or corporation. The bill provides that such contract may be awarded to a foreign-based firm or corporation in accordance if it is a sole source contract. The bill defines "foreign-based firm or corporation" as a firm or corporation based outside of the United States or any of its territories.

January 28, 2004 Passed Senate Committee on General Laws, continued until 2005

Washington

Session Adjourned

HB 2405

Requiring personal service, purchased service, and civil service contracts to be performed by citizens of the United States or persons authorized by federal law to work in the United States.

January 14, 2004 Referred to Commerce and Labor

HB 2768

Relating to requiring state contracts be performed by citizens of the United States or persons authorized by federal law to work in the United States

January 20, 2004 First reading, referred to House Commerce & Labor Committee

HB 3187

Prohibits work under certain state contracts from being performed at locations outside the United States.

March 8, 2004 Passed Second Reading, Referred to Rules 2 Consideration

HB 2459

The state's supplemental operating budget -- passed out of the House on February 25, 2004. It includes a budget proviso requiring the Office of Financial Management to report to certain legislative committees on its review of certain contracts performed at locations outside the United States and other issues related to outsourcing by December 1, 2004

March 11, 2004 Passed into law by House and Senate

West Virginia

Session Adjourned

HB 4644

Prohibiting foreign professional service contracts with the state

February 26, To House Committee on Judiciary

HB 4645

Provides that companies that loose 100 or more employees due to outsourcing jobs outside of the US are ineligible to enter into procurement contracts with state or local government or receive governmental grants.

February 26, To House Committee on Industry and Labor

SB 703

Stipulates that companies losing more than one hundred employees due to outsourcing are ineligible to receive procurement contracts.

February 23, 2004 Referred to Government Organization Committee

SCR 76

Requests the Joint Committee on Government and Finance study the awarding of state contracts, loans, grants, and industrial revenue bonds to companies outsourcing certain jobs.

Introduced, March 5, 2004

Wisconsin

AB 761

With certain exceptions, this bill requires all contractual services purchased by executive branch agencies to be performed within the United States. This requirement does not apply if the contractual services cannot be obtained within the United States.

March 31, 2004 Failed to pass out of committee

SB 389

With certain exceptions, this bill requires all contractual services purchased by executive branch agencies to be performed within the United States. This requirement does not apply if the contractual services cannot be obtained within the United States.

March 31, 2004 Failed to pass out of committee

For More Information, Contact:

Justin Marks
303-856-1465
jmailto:justin.marks@ncsl.org

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