SB64: SB64 Local Government and State Government; certain transactions between government entities and certain foreign persons; prohibit

This bill amends Georgia's local government and state government codes to restrict dealings with certain foreign-controlled companies. Starting January 1, 2028, local governments and state agencies would be barred from buying, contracting for, or using state funds on small drones (under 55 pounds) manufactured or assembled by a 'covered foreign entity,' defined as an individual, business, or government domiciled in and controlled by China or Russia. Governments that already own such drones could keep operating them only until January 1, 2029. The bill also revises an existing law (O.C.G.A. § 50-5-84.2) on state contracting with 'scrutinized companies' owned or influenced by China, expanding the definition to include companies from any country designated a 'foreign adversary' by the U.S. Secretary of Commerce. Such companies remain barred from bidding on state contracts for goods or services, face civil penalties up to $250,000 or twice the contract value for false certifications, and lose contract eligibility if caught lying.

• Bans local government entities from acquiring or contracting for small drones made or assembled by companies controlled by China or Russia, starting January 1, 2028.
• Bans state agencies from the same drone purchases and contracts under a new Code section, also starting January 1, 2028.
• Prohibits state funds from being used with these foreign-linked drones by either local governments or state agencies.
• Forces governments that already operate such drones to stop operating them after January 1, 2029.
• Expands the existing 'scrutinized company' contracting ban to cover any company from a country designated a foreign adversary by the U.S. Secretary of Commerce, not just China.
• Keeps in place a $250,000 or double-contract-value civil penalty for companies that falsely certify they are not scrutinized companies.

Local governments and their departments, agencies, boards, commissions, and authorities across Georgia; Georgia state agencies; the Department of Administrative Services, which enforces certification rules; and companies, especially those linked to China or Russia, that sell drones or bid on state contracts.

Georgia cities, counties, and state agencies that use drones for tasks like law enforcement, inspections, or emergency response could be forced to phase out foreign-made equipment tied to China or Russia by 2029, potentially requiring new purchases. Companies linked to those countries would also lose access to state contracts, with steep financial penalties for false certifications.

• Section 1 adds O.C.G.A. § 36-84-2, barring local government entities from acquiring or funding small drones made by 'covered foreign entities' domiciled in and controlled by China or Russia, effective January 1, 2028.
• Section 1 sets a grace period allowing continued operation of already-owned foreign drones until January 1, 2029, after which operation is prohibited.
• Section 2 revises O.C.G.A. § 50-5-84.2 to broaden the definition of 'scrutinized company' to include companies from any country the U.S. Secretary of Commerce designates a foreign adversary under 15 C.F.R. Section 7.4.
• Section 2 keeps the ban on scrutinized companies bidding for state contracts and the certification requirement enforced by the Department of Administrative Services.
• Section 2 sets civil penalties for false certification at the greater of $250,000 or twice the contract amount, plus contract termination and future bidding ineligibility.
• Section 3 adds a parallel new Code section, O.C.G.A. § 50-5-84.3, applying the same drone acquisition, funding, and operation bans to state agencies rather than local governments.

1. 2026-01-12Senate Recommitted (Senate)
2. 2026-01-12Senate Taken from Table (Senate)
3. 2025-03-06Senate Tabled (Senate)
4. 2025-03-03Senate Committee Favorably Reported By Substitute (Senate)
5. 2025-02-28Senate Recommitted (Senate)
6. 2025-02-10Senate Read Second Time (Senate)
7. 2025-02-06Senate Committee Favorably Reported (Senate)
8. 2025-01-30Senate Read and Referred (Senate)

• Clint Dixon (R, SD-045)Primary sponsor
• John Albers (R, SD-056)
• Steve Gooch (R, SD-051)
• Randy Robertson (R, SD-029)
• Billy Hickman (R, SD-004)
• Bo Hatchett (R, SD-050)
• Sam Watson (R, SD-011)
• Marty Harbin (R, SD-016)
• Jason Anavitarte (R, SD-031)
• Max Burns (R, SD-023)
• Ricky Williams (R, SD-025)
• Ed Setzler (R, SD-037)
• Lee Anderson (R, SD-024)
• Russ Goodman (R, SD-008)

• drone regulation
• foreign adversary contracting
• state contracts
• local government procurement
• China and Russia restrictions