Arizona House Approves Legislation to Safeguard Critical Infrastructure from Chinese Threats
This proposal targets any service provider or entity conducting business with the Chinese Communist Party.
On March 10, Arizona’s House of Representatives approved a bill that prohibits the utilization of computer software and hardware from firms owned or controlled by the People’s Republic of China.
“We cannot risk giving companies under China’s control access to these highly sensitive systems. We’ve witnessed the extreme lengths China will go to destabilize our nation,” he further stated.
Kupper emphasized that the bill is a crucial measure to protect the state’s power grids, water systems, and communication networks from international threats.
The Arizona Critical Infrastructure Protection Act includes a clause that prohibits using software and equipment from companies that are owned by, based in, or under the control of China.
Additionally, it shifts regulatory authority from the Arizona Commerce Authority to the Arizona Corporation Commission (ACC), thereby ensuring stricter compliance and enforcement.
The bill mandates that any agreements between China and a government entity or “publicly regulated utility” regarding critical infrastructure should receive preapproval from the ACC.
Service providers for critical infrastructure in Arizona will also need to confirm to Attorney General Kris Mayes that they do not employ Wi-Fi routers or modems made by a foreign adversary’s government.
This stipulation is applicable to any company with a controlling stake held by a foreign adversary or any company located in that country, as outlined in the proposal.
Protecting the ‘American Dream’
As part of the proposal, the attorney general is tasked with publishing a list of all banned Wi-Fi routers and modems on the office’s website by December 31 and will update this list annually.
The bill characterizes critical infrastructure as systems and assets, both publicly and privately owned, deemed essential to Arizona and the entire United States.
It states that any impairment or destruction of these systems and assets would have a substantial effect on security, economic stability, or public health and safety.
Critical infrastructure includes, according to the bill proposal, gas and oil production, water supply and purification, electrical power distribution systems, telecommunications networks, and transportation services and systems.
It also encompasses personal data storage, classified information storage, cybersecurity, and emergency response services.
Moreover, the bill removes previous restrictions on the sale, transfer, or investment of critical infrastructure by foreign adversaries, permitting companies to utilize foreign cloud service providers.
Following its approval in the House, the bill is now set to be reviewed by the state Senate.