House · Passed · 2025-2026 Regular Session
HB 113: State government; prohibit the state or its agencies from purchasing goods from certain foreign countries or related entities
Last action July 1, 2025 · Effective Date
House Bill 113 rewrites Georgia's rules on state purchases from foreign adversaries, replacing narrower bans on Russian and Belarusian companies with a broader ban on goods from any country the U.S. Commerce Department labels a foreign adversary, and repeals a separate law aimed only at China.
The summaries below were written by an AI model (claude-sonnet-5) from the text of the bill and are not part of it. Quote the text, not the summary. The stored text is the Enrolled version, the latest the General Assembly's website lists.
In plain language
Georgia currently has a law barring state agencies from contracting with companies owned by Russia or Belarus, and a separate law addressing companies owned by China. This bill scraps both narrow approaches. It rewrites O.C.G.A. § 50-5-84.1 to define a 'foreign country of concern' as any country whose government the U.S. Secretary of Commerce designates a foreign adversary, and a 'foreign company of concern' as any business organized in, controlled by, or based in such a country. It repeals the separate China-specific law (O.C.G.A. § 50-5-84.2) since the new broader definition covers it. The Georgia Technology Authority must keep an updated list of 'concerned goods' made by these companies or countries, and the state and its agencies are barred from buying those goods directly or through third-party resellers. Companies that violate the ban face civil penalties of at least $250,000 or triple the purchase value, contract termination, and a period of ineligibility for future state contracts. The Authority also gains explicit power to evaluate security risks in technology purchases.
What the bill does
- Replaces Georgia's old Russia and Belarus contracting ban with a broader ban covering any country the U.S. Commerce Department designates a foreign adversary.
- Repeals the separate state law that specifically addressed contracting with China-owned companies (O.C.G.A. § 50-5-84.2).
- Requires the Georgia Technology Authority to maintain an updated list of 'concerned goods' made by foreign companies or countries of concern.
- Bars the state and its agencies from buying concerned goods directly from a foreign company of concern or indirectly through a third-party vendor or reseller.
- Raises penalties for violations to the greater of $250,000 or triple the purchase value, up from twice the contract value, and adds contract termination and future contract ineligibility.
- Gives the Georgia Technology Authority explicit power to evaluate security risks in technology purchases made under this law.
Who it affects
State agencies and the Department of Administrative Services, which handle procurement; the Georgia Technology Authority, which gains new list-keeping and risk-evaluation duties; and any company, foreign or domestic reseller, that sells goods, services, or technology to the State of Georgia.
Why it matters
State agencies would face a wider and more automatically updated set of restrictions on where they can buy technology and goods, tied to federal foreign adversary designations rather than a fixed list of two countries. Companies and resellers that sell banned goods to Georgia would face steeper financial penalties and loss of future state business.
Key provisions
- Section 1 rewrites O.C.G.A. § 50-5-84.1, replacing the 'scrutinized company' concept tied to Russia and Belarus with 'foreign company of concern' and 'foreign country of concern' tied to U.S. Commerce Department foreign adversary designations (15 C.F.R. § 791.4).
- Section 1 requires the Georgia Technology Authority to maintain an up-to-date list of 'concerned goods' produced by foreign companies or countries of concern.
- Section 1 bars the state or any state agency from purchasing concerned goods from a foreign company of concern, a foreign country of concern, or any third-party vendor or reseller.
- Section 1 sets penalties for violations: a civil fine of the greater of $250,000 or triple the purchase value, mandatory contract termination, and a period of ineligibility for future state contracts set by the Georgia Technology Authority.
- Section 2 repeals O.C.G.A. § 50-5-84.2, the separate law specifically addressing contracts with China-owned companies.
- Section 3 amends O.C.G.A. § 50-25-4 to give the Georgia Technology Authority explicit authority to evaluate security risks in technology-related purchases.
- Section 4 repeals all conflicting laws.
From the bill
“The state or a state agency shall not purchase concerned goods from a foreign company of concern, a foreign country of concern, or a third-party vendor or reseller.”
“'Foreign country of concern' means a country whose government is designated as a foreign adversary by the United States Secretary of Commerce pursuant to 15 C.F.R. Section 791.4.”
Status timeline
- Effective Date
- Act 86
- House Date Signed by Governor (House)
- House Sent to Governor (House)
- House Agreed Senate Amend or Sub (House)
- Senate Passed/Adopted By Substitute (Senate)
- Senate Third Read (Senate)
- Senate Read Second Time (Senate)
Show full history (16 actions)
- Senate Committee Favorably Reported By Substitute (Senate)
- Senate Read and Referred (Senate)
- House Passed/Adopted (House)
- House Third Readers (House)
- House Committee Favorably Reported (House)
- House Second Readers (House)
- House First Readers (House)
- House Hopper (House)
Sponsors
- Lauren McDonald III (R, HD-26)
- Soo Hong (R, HD-103)
- Matthew Gambill (R, HD-15)
- Will Wade (R, HD-9)
- Alan Powell (R, HD-33)
- Josh Bonner (R, HD-73)
- Bo Hatchett (R, SD-50)
Votes
- House voteFebruary 27, 2025
148 yea, 17 nay (7 not voting, 8 excused)
- Senate voteMarch 28, 2025
51 yea, 0 nay (1 not voting, 4 excused)
- House voteMarch 31, 2025
146 yea, 18 nay (7 not voting, 9 excused)
Topics
- state procurement
- foreign adversary companies
- Georgia Technology Authority
- government contracting
- national security