Bill Text: AZ HB2591 | 2024 | Fifty-sixth Legislature 2nd Regular | Engrossed
Bill Title: Forced labor; child labor; prohibitions
Spectrum: Partisan Bill (Republican 4-0)
Status: (Vetoed) 2024-04-30 - Governor Vetoed [HB2591 Detail]
Download: Arizona-2024-HB2591-Engrossed.html
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Senate Engrossed House Bill
forced labor; child labor; prohibitions |
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State of Arizona House of Representatives Fifty-sixth Legislature Second Regular Session 2024
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HOUSE BILL 2591 |
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An Act
amending title 30, chapter 6, article 1, Arizona Revised Statutes, by adding section 30-811; amending section 35-394, Arizona Revised Statutes; amending title 40, chapter 2, article 9, Arizona Revised Statutes, by adding section 40-434; relating to forced labor and oppressive child labor.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 30, chapter 6, article 1, Arizona Revised Statutes, is amended by adding section 30-811, to read:
30-811. Forced labor; oppressive child labor; contracting; procurement; prohibition; sworn certification; remedy; termination; exception; civil penalty; definitions
A. A public power entity may not enter into or renew a contract with a person or a company to acquire land, electric vehicles, utility scale batteries or solar panels, unless the contract includes a sworn certification that the person or the company does not currently, and agrees for the duration of the contract that it will not, knowingly use:
1. Forced labor.
2. oppressive child labor.
3. Any goods or services produced by forced labor or oppressive child labor.
B. The automobile manufacturer shall provide the sworn certification required by subsection A of this section for contracts to acquire electric vehicles and the component parts of electric vehicles.
C. If a person or a company that has provided a sworn certification pursuant to subsection A or B of this section becomes aware during the term of the contract that the person or the company is not in compliance with the sworn certification, the person or the company shall notify the public power entity within five business days after becoming aware of the noncompliance. If the person or the company does not provide the public power entity with a sworn certification that the person or the company has remedied the noncompliance within one hundred eighty days after notifying the public power entity of the noncompliance, the contract terminates, except that if the contract termination date occurs before the end of the remedy period, the contract terminates on the contract termination date. the person or company that provides the sworn certification must certify that the person or company does not knowingly use forced labor or oppressive child labor.
D. This section does not apply to a contract entered into before the effective date of this section.
E. a person, company or public power entity that knowingly violates this section is subject to a civil penalty of not to exceed $10,000 for each violation.
F. For the purposes of this section:
1. "Company" means an organization, association, corporation, partnership, joint venture, limited partnership, limited liability partnership, limited liability company or other entity or business association, including a wholly owned subsidiary, majority-owned subsidiary, parent company or affiliate.
2. "Forced labor" means any work or service that is obtained:
(a) By force, fraud or coercion, including by threat of serious harm to, or physical restraint against, any person.
(b) Through the use of any scheme, plan or pattern intended to cause the person to believe that if the person did not perform the work or service, the person or another person would suffer serious harm or physical restraint.
(c) By the abuse of or the threatened abuse of law or the legal process.
3. "Oppressive child labor" means a condition of employment under which a person who is under fourteen years of age is employed in an occupation that is hazardous for the employment of children, including manufacturing or mining.
4. "Sworn certification" means a written affidavit or declaration that certifies the representations made in the certification.
Sec. 2. Heading change
The article heading of title 35, chapter 2, article 10, Arizona Revised Statutes, is changed from "FORCED LABOR OF ETHNIC UYGHURS" to "FORCED LABOR and oppressive child labor".
Sec. 3. Section 35-394, Arizona Revised Statutes, is amended to read:
35-394. Forced labor; oppressive child labor; contracting; procurement; prohibition; sworn certification; remedy; termination; exception; civil penalty; definitions
A. A public entity may not enter into or renew a contract with a person or a company to acquire or dispose of land, services, supplies, information technology, goods, including electric vehicles, batteries, solar panels and the minerals used to create batteries and solar panels, or construction unless the contract includes a written sworn certification that the person or the company does not currently, and agrees for the duration of the contract that it will not, knowingly use:
1. The Forced labor of ethnic Uyghurs in the People's Republic of China.
2. oppressive child labor.
2. 3. Any goods or services produced by the forced labor or oppressive child labor of ethnic Uyghurs in the People's Republic of China.
3. 4. Any contractors, subcontractors or suppliers that use the forced labor or oppressive child labor or any goods or services produced by the forced labor or oppressive child labor of ethnic Uyghurs in the People's Republic of China.
B. The automobile manufacturer shall provide the sworn certification required by subsection A of this section for contracts to acquire electric vehicles and the component parts of electric vehicles.
B. C. If a person or a company that has provided a written sworn certification pursuant to subsection A or B of this section becomes aware during the term of the contract that the person or the company is not in compliance with the written sworn certification, the person or the company shall notify the public entity within five business days after becoming aware of the noncompliance. If the person or the company does not provide the public entity with a written sworn certification that the person or the company has remedied the noncompliance within one hundred eighty days after notifying the public entity of the noncompliance, the contract terminates, except that if the contract termination date occurs before the end of the remedy period, the contract terminates on the contract termination date. the person or company that provides the sworn certification must certify that the person or company does not knowingly use forced labor or oppressive child labor.
C. D. This section does not apply to a contract entered into before September 24, 2022 the effective date of this amendment to this section.
E. a person, company, public entity that knowingly violates this section is subject to a civil penalty of not to exceed $10,000 for each violation.
D. F. For the purposes of this section:
1. "Company" means an organization, association, corporation, partnership, joint venture, limited partnership, limited liability partnership, limited liability company or other entity or business association, including a wholly owned subsidiary, majority-owned subsidiary, parent company or affiliate, that engages in for-profit activity and that has ten or more full-time employees.
2. "Forced labor" means any work or service that is obtained:
(a) By force, fraud or coercion, including by threat of serious harm to, or physical restraint against, any person.
(b) Through the use of any scheme, plan or pattern intended to cause the person to believe that if the person did not perform the work or service, the person or another person would suffer serious harm or physical restraint.
(c) By the abuse of or the threatened abuse of law or the legal process.
3. "Minerals" means a solid inorganic substance of natural occurrence.
4. "Oppressive child labor" means a condition of employment under which a person who is under fourteen years of age is employed in an occupation that is hazardous for the employment of children, including manufacturing or mining, other than a person who is under fourteen years of age and who is employed by a grandparent, brother, sister, aunt, uncle, first cousin, stepparent or parent, including a relative of the same degree through marriage or adoption, or person in loco parentis in occupations in which the grandparent, brother, sister, aunt, uncle, first cousin, stepparent or parent or person in loco parentis owns at least ten percent of the employing organization and such owner is actively engaged in the daily operation of the organization.
2. 5. "Public entity":
(a) Means this state, a political subdivision of this state or an agency, board, commission or department of this state or a political subdivision of this state.
(b) does not include a political subdivision that operates a federal reclamation project.
6. "Sworn certification" means a written affidavit or declaration that certifies the representations made in the certification.
Sec. 4. Title 40, chapter 2, article 9, Arizona Revised Statutes, is amended by adding section 40-434, to read:
40-434. Forced labor; oppressive child labor; contracting; procurement; prohibition; sworn certification; remedy; termination; exception; civil penalty; definitions
A. A public service corporation may not enter into or renew a contract with a person or a company to acquire land, electric vehicles, utility scale batteries or solar panels, unless the contract includes a sworn certification that the person or the company does not currently, and agrees for the duration of the contract that it will not, knowingly use:
1. Forced labor.
2. oppressive child labor.
3. Any goods or services produced by forced labor or oppressive child labor.
B. The automobile manufacturer shall provide the sworn certification required by subsection A of this section for contracts to acquire electric vehicles and the component parts of electric vehicles.
C. If a person or a company that has provided a sworn certification pursuant to subsection A or B of this section becomes aware during the term of the contract that the person or the company is not in compliance with the sworn certification, the person or the company shall notify the public service corporation within five business days after becoming aware of the noncompliance. If the person or the company does not provide the public service corporation with a sworn certification that the person or the company has remedied the noncompliance within one hundred eighty days after notifying the public service corporation of the noncompliance, the contract terminates, except that if the contract termination date occurs before the end of the remedy period, the contract terminates on the contract termination date. the person or company that provides the sworn statement must certify that the person or company does not knowingly use forced labor or oppressive child labor.
D. This section does not apply to a contract entered into before the effective date of this section.
E. a person, company or public service corporation that knowingly violates this section is subject to a civil penalty of not to exceed $10,000 for each violation.
F. For the purposes of this section:
1. "Company" means an organization, association, corporation, partnership, joint venture, limited partnership, limited liability partnership, limited liability company or other entity or business association, including a wholly owned subsidiary, majority-owned subsidiary, parent company or affiliate.
2. "Forced labor" means any work or service that is obtained:
(a) By force, fraud or coercion, including by threat of serious harm to, or physical restraint against, any person.
(b) Through the use of any scheme, plan or pattern intended to cause the person to believe that if the person did not perform the work or service, the person or another person would suffer serious harm or physical restraint.
(c) By the abuse of or the threatened abuse of law or the legal process.
3. "Oppressive child labor" means a condition of employment under which a person who is under fourteen years of age is employed in an occupation that is hazardous for the employment of children, including manufacturing or mining.
4. "Sworn certification" means a written affidavit or declaration that certifies the representations made in the certification.
