Missouri 2025 Regular Session

Missouri Senate Bill SB588

Introduced
1/21/25  

Caption

Creates new provisions relating to state contracts with certain companies

Summary

SB 588 creates a new section in Missouri law governing state contracts with certain companies. The bill would prohibit state governmental entities from entering into qualifying contracts with companies unless the company provides a written verification that it is not currently engaged in, and will not engage in during the contract term, an “economic boycott.” The bill defines that term broadly to include actions taken against companies based on their involvement in fossil fuels, timber, mining, agriculture, firearms, environmental standards, diversity or protected-class criteria, or abortion, sex or gender change, and transgender surgery, as well as doing business with companies that engage in those activities. The bill applies only to contracts with companies that have at least 10 full-time employees and are worth $50,000 or more over the contract term. It also includes exceptions where the requirement would conflict with a governmental entity’s debt-management or investment duties, or where it would prevent the state from obtaining goods or services in an economically practicable manner. The attorney general is given enforcement authority, including investigative powers, and companies that violate the required verification after contracting could be liable for treble damages equal to three times the amount paid under the contract.

Impact

SB 588 would add section 34.615 to the Missouri Revised Statutes and impose new procurement restrictions on state agencies and other governmental entities. It would require contract language and vendor certifications related to boycott activity, create an enforcement role for the attorney general, and authorize substantial financial penalties for noncompliance. The bill would affect companies seeking state contracts, especially larger firms in sectors tied to energy, firearms, environmental, ESG, DEI, and abortion-related services, while also creating compliance obligations for state purchasing officials and potentially limiting the pool of eligible vendors.

Sentiment

No committee transcripts or recorded votes were provided, so there is no direct legislative discussion to gauge support or opposition. Based on the bill text alone, the measure appears designed to advance a policy preference against certain corporate boycott or ESG-style practices in public contracting. The overall framing suggests support from lawmakers concerned about protecting fossil fuel, firearms, and other specified industries, while likely drawing opposition from those who view it as a politically motivated contracting restriction or an intrusion into private business decisions.

Contention

The main points of contention are the bill’s broad definition of “economic boycott” and the range of activities it covers, including environmental, diversity, firearms, and reproductive-health-related criteria. Critics would likely argue that the bill forces companies to certify against socially or politically motivated business decisions and could penalize ordinary corporate risk management or values-based investment policies. Supporters would likely argue that the state should not contract with companies that discriminate against lawful industries or impose ideological conditions on business relationships. The exceptions for debt management and economic practicability also suggest tension between the bill’s policy goals and practical procurement or financial constraints.

Companion Bills

No companion bills found.

Similar Bills

No similar bills found.