Texas § GV.2275.0102 - PROHIBITED CONTRACTS

§ GV.2275.0102. PROHIBITED CONTRACTS

PROHIBITED CONTRACTS. (a) A governmental entity may not enter into a contract or other agreement relating to critical infrastructure in this state with a company: (1) if, under the contract or other agreement, the company would be granted direct or remote access to or control of critical infrastructure in this state, excluding access specifically allowed by the governmental entity for product warranty and support purposes; and (2) if the governmental entity knows that the company is: (A) owned by or the majority of stock or other ownership interest of the company is held or controlled by: (i) individuals who are citizens of China, Iran, North Korea, Russia, or a designated country; or (ii) a company or other entity, including a governmental entity, that is owned or controlled by citizens of or is directly controlled by the government of China, Iran, North Korea, Russia, or a designated country; or (B) headquartered in China, Iran, North Korea, Russia, or a designated country. (b) The prohibition described by Subsection (a) applies regardless of whether: (1) the company's or its parent company's securities are publicly traded; or (2) the company or its parent company is listed on a public stock exchange as: (A) a Chinese, Iranian, North Korean, or Russian company; or (B) a company of a designated country. Added by Acts 2021, 87th Leg., R.S., Ch. 975 (S.B. 2116 ), Sec. 3, eff. June 18, 2021. Redesignated from Government Code, Chapter 2274 by Acts 2023, 88th Leg., R.S., Ch. 768 (H.B. 4595 ), Sec. 24.001(21), eff. September 1, 2023.