HB 2696 Summary

• Prohibits software used for critical infrastructure in Arizona from being produced by or under control of a foreign adversary

• Bans critical communications infrastructure equipment manufactured by federally banned corporations and requires replacement of currently installed prohibited equipment

• Mandates governmental entities and critical infrastructure providers certify compliance annually and remove any prohibited technology within 90 days of the attorney general publishing a list of banned technologies

• Requires notification to the attorney general of proposed sales, transfers, or investments in critical infrastructure by foreign adversaries or entities domiciled outside the United States, with court authority to deny transactions posing reasonable threats to state security

• Prohibits companies and governmental entities from entering into agreements allowing foreign principals from adversary nations to access or control critical infrastructure unless no reasonable alternatives exist and approval is obtained from the department of administration