GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2025 H 1 HOUSE BILL 808 Short Title: NC Infrastructure Protection Act. (Public) Sponsors: Representatives Loftis, McNeely, and Johnson (Primary Sponsors). For a complete list of sponsors, refer to the North Carolina General Assembly web site. Referred to: State and Local Government, if favorable, Finance, if favorable, Rules, Calendar, and Operations of the House April 8, 2025 *H808 -v-1* A BILL TO BE ENTITLED 1 AN ACT TO PROHIBIT C ONTRACTS OR OTHER AG REEMENTS THAT WOULD 2 GRANT CERTAIN FOREIG N-OWNED COMPANIES AC CESS TO CRITICAL 3 INFRASTRUCTURE IN TH IS STATE AND TO REQUIRE CRIM INAL HISTORY 4 RECORD CHECKS FOR IN DIVIDUALS GRANTED AC CESS TO CRITICAL 5 INFRASTRUCTURE IN THIS STATE. 6 The General Assembly of North Carolina enacts: 7 8 PROHIBIT ACCESS TO CRITICAL INFRASTRUCTURE IN THIS STATE BY 9 CERTAIN FOREIGN -OWNED COMPANIES 10 SECTION 1.(a) Chapter 64 of the General Statutes is amended by adding a new 11 Article to read: 12 "Article 4. 13 "Prohibit Adversarial Foreign Control of Critical Infrastructure. 14 "§ 64-60. Title. 15 This Article may be cited as the "Infrastructure Protection Act." 16 "§ 64-61. Definitions. 17 The following definitions apply in this Article: 18 (1) Company. – A sole proprietorship, organization, association, corporation, 19 partnership, joint venture, limited partnership, limited liability partnership, or 20 limited liability company, including a wholly owned subsidiary, 21 majority-owned subsidiary, parent company, or affiliate of those entities or 22 business associations, that exists to make a profit. 23 (2) Critical infrastructure. – A communication infrastructure system, 24 cybersecurity system, electric grid, hazardous waste treatment system, or 25 water treatment facility. 26 (3) Cybersecurity. – The measures taken to protect a computer, computer 27 network, computer system, or other technology infrastructure against 28 unauthorized use or access. 29 (4) Designated country. – A country designated by the Council of State as a threat 30 to critical infrastructure under this Article. 31 (5) Governmental entity. – Any State agency, institution, board, commission, 32 bureau, council, department, division, officer, or political subdivision. The 33 term includes counties, municipal corporations, county or city boards of 34 General Assembly Of North Carolina Session 2025 Page 2 House Bill 808-First Edition education, and other local public bodies. The term includes any other entity 1 for which the State has oversight responsibility. 2 "§ 64-62. Prohibited access to critical infrastructure. 3 (a) A governmental entity shall not enter into a contract or other agreement relating to 4 critical infrastructure in this State with a company if (i) under the agreement the company would 5 be granted direct or remote access to or control of critical infrastructure in this State, excluding 6 access specifically allowed by the business entity for product warranty and support purposes, and 7 (ii) the governmental entity knows that the company is either of the following: 8 (1) The majority of stock or other ownership interest of the company is owned, 9 held, or controlled by (i) individuals who are citizens of China, Iran, North 10 Korea, Russia, or a designated country or (ii) a company or other entity, 11 including a governmental entity, that is owned or controlled by citizens of or 12 by the government of China, Iran, North Korea, Russia, or a designated 13 country. 14 (2) Headquartered in China, Iran, North Korea, Russia, or a designated country. 15 (b) The prohibition described by subsection (a) of this section applies regardless of 16 whether the company's securities or its parent company's securities are publicly traded and 17 regardless of whether the company or its parent company is listed on a public stock exchange as 18 a Chinese, Iranian, North Korean, or Russian company, or as a company of a designated country. 19 (c) A contract or other agreement entered into by a business entity organized under the 20 laws of this State or by a business entity authorized to do business in this State is against public 21 policy and void ab initio if it meets the criteria described in subsections (a) and (b) of this section 22 as applied to a governmental entity. 23 (d) The Council of State may designate a country as a threat to critical infrastructure for 24 purposes of this Article." 25 SECTION 1.(b) This section is effective when it becomes law and applies to 26 contracts entered into, modified, or renewed on or after that date. 27 28 REQUIRE CRIMINAL HISTORY RECORD CHECKS FOR INDIVIDUALS GRANTED 29 ACCESS TO CRITICAL INFRASTRUCTURE 30 SECTION 2.(a) G.S. 7A-349 reads as rewritten: 31 "§ 7A-349. Criminal history record check; denial of employment, contract, or volunteer 32 opportunity. 33 The Judicial Department may deny employment, a contract, or a volunteer opportunity to any 34 person who refuses to consent to a criminal history check authorized under G.S. 143B-1209.31 35 and may dismiss a current employee, terminate a contractor, or terminate a volunteer relationship 36 if that employee, contractor, or volunteer refuses to consent to a criminal history record check 37 authorized under G.S. 143B-1209.31. The Judicial Department shall require a criminal history 38 record check for any individual granted access to a communication infrastructure system or 39 cybersecurity system under the Judicial Department's authority." 40 SECTION 2.(b) This section becomes effective October 1, 2025. 41 SECTION 3.(a) G.S. 62-43 reads as rewritten: 42 "§ 62-43. Fixing standards, classifications, etc.; testing service. 43 (a) The Commission may, after notice and hearing, had upon its own motion or upon 44 complaint, ascertain and fix just and reasonable standards, classifications, regulations, practices, 45 or service to be furnished, imposed, observed or followed by any or all public utilities; ascertain 46 and fix adequate and reasonable standards for the measurement of quantity, quality, pressure, 47 initial voltage or other condition pertaining to the supply of the product, commodity or service 48 furnished or rendered by any and all public utilities; prescribe reasonable regulations for the 49 examination and testing of such product, commodity or service and for the measurement thereof; 50 establish or approve reasonable rules, regulations, specifications and standards to secure the 51 General Assembly Of North Carolina Session 2025 House Bill 808-First Edition Page 3 accuracy of all meters and appliances for measurement; and provide for the examination and 1 testing of any and all appliances used for the measurement of any product, commodity or service 2 of any public utility. 3 (b) The Commission shall fix, establish and promulgate standards of quality and safety 4 for gas furnished by a public utility and prescribe rules and regulations for the enforcement of 5 and obedience to the same. 6 (c) The Commission shall adopt rules to require a criminal history record check for any 7 individual granted access to the electric power grid or to a communication infrastructure system 8 under the Commission's regulatory authority." 9 SECTION 3.(b) This section is effective when it becomes law. Rules adopted 10 pursuant to this section shall be adopted to take effect as soon as practicable but no later than 11 October 1, 2026. 12 SECTION 4.(a) G.S. 90A-24 reads as rewritten: 13 "§ 90A-24. Operator qualifications and examination. 14 (a) The Board of Certification, with the advice and assistance of the Secretary of 15 Environmental Quality shall establish minimum requirements of education, experience and 16 knowledge for each grade of certification for water treatment facility operators, and shall 17 establish procedures for receiving applications for certification, conducting examinations and 18 making investigations of applicants as may be necessary and appropriate to the end that prompt 19 and fair consideration be given every application and the water treatment facilities of the State 20 may be adequately supervised by certified operators. 21 (b) All applicants for initial certification as a water treatment facility operator shall 22 consent to a criminal history record check. Refusal to consent to a criminal history record check 23 may constitute grounds for the Board of Certification to deny certification to an applicant. The 24 Board shall provide to the State Bureau of Investigation the fingerprints of the applicant to be 25 checked, a form signed by the applicant consenting to the criminal history record check and the 26 use of fingerprints and other identifying information required by the State or National 27 Repositories, and any additional information required by the State Bureau of Investigation. The 28 Board shall keep all information obtained pursuant to this subsection confidential. The cost of 29 the criminal history record check and the fingerprinting shall be paid by the applicant. The 30 Secretary of State shall collect any fees required by the State Bureau of Investigation and shall 31 remit the fees to the State Bureau of Investigation for expenses associated with conducting the 32 criminal history record check." 33 SECTION 4.(b) Article 13A of Chapter 143B of the General Statutes is amended by 34 adding a new section to read: 35 "§ 143B-1209.59. Criminal record checks for the Water Treatment Facility Operators 36 Board of Certification. 37 (a) The State Bureau of Investigation may provide to the Water Treatment Facility 38 Operators Board of Certification from the State and National Repositories of Criminal Histories 39 the criminal history of a prospective water treatment facility operator. The Board of Certification 40 shall provide to the Bureau, along with the request, the fingerprints of the prospective water 41 treatment facility operator, a form signed by the prospective water treatment facility operator 42 consenting to the criminal record check and use of fingerprints and other identifying information 43 required by the State and National Repositories, and any additional information required by the 44 Bureau. The fingerprints of the prospective water treatment facility operator shall be used for a 45 search of the State's criminal history record file, and the Bureau shall forward a set of fingerprints 46 to the Federal Bureau of Investigation for a national criminal history record check. The Board of 47 Certification shall keep all information obtained pursuant to this section confidential. 48 (b) The Bureau may charge a fee to offset the cost incurred by it to conduct a criminal 49 record check under this section. The fee shall not exceed the actual cost of locating, editing, 50 researching, and retrieving the information." 51 General Assembly Of North Carolina Session 2025 Page 4 House Bill 808-First Edition SECTION 4.(c) G.S. 90A-27 reads as rewritten: 1 "§ 90A-27. Application fee. 2 The Board may establish a schedule of fees for the issuance or renewal of a certificate to 3 cover the costs of administering the certification programs. The fee for issuing or renewing a 4 certificate may shall not exceed fifty dollars ($50.00). In addition to the fee for issuing a 5 certificate, the Board shall charge an initial applicant the fee for a criminal history record check 6 pursuant to G.S. 90A-24. The Board may impose a penalty not to exceed thirty dollars ($30.00) 7 for the late renewal of a certificate." 8 SECTION 4.(d) This section becomes effective October 1, 2025, and applies to 9 applications for initial certification received on or after that date. 10 SECTION 5.(a) G.S. 116-11 is amended by adding a new subdivision to read: 11 "(3d) The Board of Governors of The University of North Carolina shall adopt a 12 policy to require a criminal history record check for any individual granted 13 access to a communication infrastructure system or cybersecurity system of 14 The University of North Carolina." 15 SECTION 5.(b) This section is effective when it becomes law. The policy adopted 16 pursuant to this section shall be adopted to take effect as soon as practicable but no later than 17 October 1, 2026. 18 SECTION 6.(a) G.S. 130A-295 reads as rewritten: 19 "§ 130A-295. Additional requirements for hazardous waste facilities. 20 (a) An applicant for a permit for a hazardous waste facility shall satisfy the Department 21 that:of all of the following: 22 (1) Any hazardous waste facility constructed or operated by the applicant, or any 23 parent or subsidiary corporation if the applicant is a corporation, has been 24 operated in accordance, with sound waste management practices and in 25 substantial compliance with federal and state laws, regulations and rules; 26 andrules. 27 (2) The applicant, or any parent or subsidiary corporation if the applicant is a 28 corporation, is financially qualified to operate the proposed hazardous waste 29 facility. 30 (3) The applicant requires a criminal history record check for any individual 31 granted access to the hazardous waste treatment systems under its control. 32 …." 33 SECTION 6.(b) This section becomes effective October 1, 2025. 34 SECTION 7.(a) G.S. 143B-1336 reads as rewritten: 35 "§ 143B-1336. Information technology human resources. 36 … 37 (g) Criminal Records Checks. – The State CIO shall require background investigations 38 of any employee or prospective employee, including a criminal history record check, which may 39 include a search of the State and National Repositories of Criminal Histories based on the 40 person's fingerprints. A criminal history record check shall be conducted by the State Bureau of 41 Investigation upon receiving fingerprints and other information provided by the employee or 42 prospective employee. If the employee or prospective employee has been a resident of the State 43 for less than five years, the background report shall include a review of criminal information 44 from both the State and National Repositories of Criminal Histories. The criminal background 45 report shall be provided to the State CIO and is not a public record under Chapter 132 of the 46 General Statutes. The requirements of this subsection also apply to any contractor granted access 47 to a communication infrastructure system or cybersecurity system under the authority of the State 48 CIO." 49 SECTION 7.(b) This section is effective when it becomes law and applies to 50 contracts entered into, modified, or renewed on or after that date. 51 General Assembly Of North Carolina Session 2025 House Bill 808-First Edition Page 5 SECTION 8. G.S. 143B-1209.58 is recodified as G.S. 143B-1208.15. 1 2 EFFECTIVE DATE 3 SECTION 9. Except as otherwise provided, this act is effective when it becomes 4 law. 5