House Bill 191 Summary

• Prohibits state procurement decisions from being based on environmental, social, and governance (ESG) standards, defined as standards that screen or score bids on subjective ethical or sustainability criteria unrelated to contract specifications or bidder qualifications.

• Applies prohibition to multiple procurement contexts including construction manager contracts, design-build contracts, competitive sealed bidding for public works, and general state purchasing under the division of purchasing.

• Allows contractors not selected for public contracts to challenge awards as violations of this prohibition through applicable administrative and legal processes.

• Requires the state board of education to revoke approval of procurement policies for higher education institutions that permit consideration of ESG standards, and mandates these institutions comply with state procurement law until new compliant policies are approved.

• Takes effect July 1, 2023, with an emergency declaration.