This legislation prohibits businesses (as well as their affiliated entities, executive employees, and employees whose compensation is determined by the award of government contracts) from making campaign contributions to state and local elected officials or candidates for offices that are responsible for awarding the contract to the business. 

Specifically, businesses with more than $50,000 per year in contracts with counties, cities, school boards and local authorities may not make contributions to any candidate or campaign committee of an official (or individual seeking office) responsible for awarding contracts. The prohibition lasts for the term of office of an incumbent officeholder or for two years following the expiration/termination of the contract, whichever is longer. Any business that violates this provision three or more times within three years will have all of their contracts with the county and the state voided.

Similarly, businesses (as well as affiliated entities and affiliated individuals) with a total of pending bids and offers over $50,000 to counties (or the total of existing contracts with the state and pending bids and offers to counties is over $50,000) are prohibited from making contributions to any candidate (or their campaign committee) whose office is responsible for awarding the contract for which the bid or offer was submitted.

The county may void a contract with any business that violates either of these provisions related to donations to local officials or candidates within 90 days of the violation.  Any business that violates the prohibition against making contributions to state officials or candidates three or more times within a three year period may not respond to any county invitation to bid or request for proposal.

Any candidate or campaign committee that received a contribution in violation of this law must pay the state the amount of the contribution illegally made.