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Code · BILL · 117th Congress · H.R. 7900 (Engrossed in House) — To authorize appropriations for fiscal year 2023 for military activities of the Department of Defense and for militar... · Sec. 1269

Sec. 1269. Restriction of entities from using Federal funds from engaging, entering into, and awarding public works contracts

688 words·~3 min read·/bill/117/hr/7900/eh/section-1269·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Chapter 33 of title 40, United States Code, is amended by adding at the end the following: Notwithstanding any other provision of law, Federal funds may not be provided to any covered entity for any covered public works project. Any entity receiving funds for any covered public works project shall be free from any obligations, influences, or connections to any covered entity. This section shall only apply to projects that are located in the United States. In this section: The term covered entity means any entity that— is headquartered in China; is owned, directed, controlled, financed, or influenced directly or indirectly by the Government of the People’s Republic of China, the CCP, or the Chinese military, including any entity for which the Government of the People’s Republic of China, the CCP, or the Chinese military have the ability, through ownership of a majority or a dominant minority of the total outstanding voting interest in an entity, board representation, proxy voting, a special share, contractual arrangements, formal or informal arrangements to act in concert, or other means, to determine, direct, or decide for an entity in an important manner; or is a parent, subsidiary, or affiliate of any entity described in subparagraph (B).
The term covered public works project means any project of the construction, repair, renovation, or maintenance of public buildings, structures, sewers, water works, roads, bridges, docks, underpasses and viaducts, as well as any other improvement to be constructed, repaired or renovated or maintained on public property to be paid, in whole or in part, with public funds or with financing to be retired with public funds in the form of lease payments or otherwise. . The analysis for chapter 33 of title 40, United States Code, is amended by adding at the end the following: 3320.
Restriction of entities from using Federal funds to engage, enter into, and award public works contracts. . Chapter 35 of title 40, United States Code, is amended by adding at the end the following: A State or local government receiving Federal funds may not provide such funds to any covered entity for any covered public works project. A State or local government shall verify that any entity receiving funds for any covered public works project is free from any obligations, influences, or connections to any covered entity.
This section shall only apply to projects that are located in a State. In this section: The term covered entity means any entity that— is headquartered in China; is owned, directed, controlled, financed, or influenced directly or indirectly by the Government of the People’s Republic of China, the CCP, or the Chinese military, including any entity for which the Government of the People’s Republic of China, the CCP, or the Chinese military have the ability, through ownership of a majority or a dominant minority of the total outstanding voting interest in an entity, board representation, proxy voting, a special share, contractual arrangements, formal or informal arrangements to act in concert, or other means, to determine, direct, or decide for an entity in an important manner; or is a parent, subsidiary, or affiliate of any entity described in subparagraph (B).
The term covered public works project means any project of the construction, repair, renovation, or maintenance of public buildings, structures, sewers, water works, roads, bridges, docks, underpasses and viaducts, as well as any other improvement to be constructed, repaired or renovated or maintained on public property to be paid, in whole or in part, with public funds or with financing to be retired with public funds in the form of lease payments or otherwise. . The analysis for chapter 35 of title 40, United States Code, is amended by adding at the end the following: 3506.
Restriction of States and local governments from using Federal funds to engage, enter into, and award public works contracts. . The Federal Acquisition Regulation and the Defense Federal Acquisition Regulation shall be revised to implement the provisions of this Act. The amendments made by this section shall take effect, and shall apply to projects beginning on or after, 180 days after the date of enactment of this Act.
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