HB1789

House Bill 1789, titled the Technology Protection Act, prohibits Arkansas state agencies from entering into contracts with 'scrutinized companies' that are wholly or majority-owned by the government of the People's Republic of China (PRC). The bill mandates that companies bidding for state contracts must certify that they are not scrutinized companies as defined by the legislation. If a company provides a false certification, they face significant civil penalties equal to the greater of $250,000 or twice the contract value, mandatory contract termination, and a five-year ban from bidding on state contracts. The legislative findings cite concerns regarding national security, the protection of sensitive state information, and the preservation of citizen privacy. The act amends state procurement laws and requires the Office of State Procurement to oversee enforcement. It also includes a severability clause to ensure the remainder of the act remains in effect if any portion is declared invalid.