“To prohibit Federal agencies from contracting with companies engaged in a boycott of Israel, and for other purposes.”
No CRS summary available for this bill.
This section prohibits the head of a federal agency from entering into a covered contract—defined as a contract in excess of $100,000—with a company after January 1, 2026, unless the company certifies it is not engaging in a boycott of Israel, and requires such contracts to prohibit the company from engaging in a boycott of Israel during the contract term. It further requires (1) written notice of the prohibition in each solicitation for a covered contract; (2) agency notification to a company and public posting upon determining a violation (via public report or congressional notice), followed by contract termination 30 days after notice unless the company ends the boycott to the agency's satisfaction; and (3) application of the existing appeals process under 41 U.S.C. chapter 71. The section defines "company" as an organization, corporation, partnership, or similar entity (including subsidiaries and affiliates) with more than 10 employees (excluding individuals and sole proprietorships) and "engaging in a boycott of Israel" as actions intended to limit commercial relations with Israel or Israeli entities in compliance with boycott calls, in a discriminatory manner, or without valid business reason (including related company statements). A rule of construction specifies that the prohibition does not infringe First Amendment rights or take a position on final status issues in the Palestinian-Israeli conflict.