Texas HB2403 prohibits government contracts with Chinese companies for information and communications technology, with exceptions and penalties.

Texas HB2403 amends the Government Code to prohibit governmental entities from entering into contracts with certain Chinese companies for information and communications technology. A "scrutinized company" is defined as one organized in China, controlled by the Chinese government, or in which the Chinese government holds a share. Vendors must verify they do not contract with scrutinized companies. Exceptions are allowed if no other vendors are available or if the cost to find an alternative vendor is disproportionately high.

Texas HB2403 prohibits government contracts with Chinese companies for information and communications technology, with exceptions and penalties.

Texas HB2403 amends the Government Code to prohibit governmental entities from entering into contracts with certain Chinese companies for information and communications technology. A "scrutinized company" is defined as one organized in China, controlled by the Chinese government, or in which the Chinese government holds a share. Vendors must verify they do not contract with scrutinized companies. Exceptions are allowed if no other vendors are available or if the cost to find an alternative vendor is disproportionately high.