[r32] New law disassociates Indiana from companies in Iran (3/6/2012)

Tuesday, March 6, 2012

Start Date: 3/6/2012
End Date: 3/6/2012

STATEHOUSE-Companies that have specified business activities or investments in Iran’s energy sector will be prohibited from contracting with the State of Indiana and its subdivisions under new law. Rep. Eric Turner (R-Cicero) sponsored the prohibition, Senate Enrolled Act (SEA) 231, which applies to new contracts as well as contract renewals. The bill was signed into law today by the Governor.

Under the new law, companies that would like to bid on state and local government contracts would be required to certify that they are not involved in developing Iran’s energy resources. This will protect the state from investing in companies at risk of the impact of economic sanctions imposed upon the Government of Iran for sponsoring terrorism, committing violations of human rights, and engaging in illicit nuclear weapon development.

“This would allow the state and local governments in Indiana to disassociate from companies operating in Iran’s energy section that support Iran’s effects to deliver nuclear weapon capability,” said Rep. Turner. “This legislation is important not only to our state and country, but to the Jewish community because of the continued Iran threat to Israel. Indiana would be the fourth state in the country to pass this type of contracting legislation.”

The Department of Administration will keep a list of companies involved in the offending investments, which will be available to companies interested in bidding for contracts with the State.

On July 1, 2010, President Obama signed into law new sanctions legislation against Iran, which authorizes states and local governments to disassociate themselves from companies operating in Iran’s energy sector. This is to disassociate from Iran’s efforts to achieve a nuclear weapons capability.

Under the new law, SEA 231, the State is responsibility to decide how and if to implement these provisions.

SEA 231 will go into effect July 1, 2012. 

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Rep. P. Eric Turner serves as Speaker Pro Tem and represents District 32 which includes parts of Grant, Miami, Tipton, Howard, and Hamilton Counties. 

Turner NR - Iran bill signed into law.docx