Technology

HB 808, the NC Infrastructure Protection Act, prohibits North Carolina government entities from contracting with companies owned by citizens of China, Iran, North Korea, Russia, or countries later designated as threats. It specifically blocks foreign-owned companies from gaining access to critical infrastructure like electric grids, water treatment facilities, and cybersecurity systems. The bill also mandates criminal background checks for all individuals granted access to these systems, applying to government contracts and public utility operations. These requirements will take effect for new contracts after the bill’s passage, with background check rules for utilities needing to be implemented by October 2026.

HB 819 creates North Carolina's Longitudinal Data System, which links student education data (like test scores, graduation records, and course enrollment) with workforce data (such as employment and wages) to track student outcomes. It directly affects public schools, universities, the Department of Public Instruction, and workforce agencies by requiring them to share de-identified student data through this centralized system. Key provisions include strict privacy safeguards (complying with FERPA and HIPAA), mandatory data security plans, a 5-year limit on linking education and workforce data, and annual reporting requirements for the system's oversight body. The bill aims to improve education policy decisions while ensuring data privacy and security for students.

SB 117 updates North Carolina's Uniform Commercial Code to govern transactions involving "controllable electronic records" (e.g., digital assets like blockchain-based tokens or programmable contracts). It defines key terms like "controllable electronic record" and establishes rules for transferring control - requiring a buyer to have exclusive power to benefit from and restrict access to the record. The bill protects "qualifying purchasers" (those who buy in good faith for value) from claims by others over the same digital asset, while clarifying that standard filings under Article 9 of the Commercial Code do not create notice of ownership claims. This directly affects businesses and individuals engaging in digital asset transactions, excluding existing categories like bank accounts or electronic money from these new rules.

HB 959 requires North Carolina public schools to adopt internet safety policies by January 2026, limiting student access to age-appropriate content and blocking social media except for teacher-directed educational use. It mandates annual social media literacy instruction in all grades, covering mental health impacts, misinformation, online safety, and identifying cyberbullying. The bill also establishes rules for wireless device use during class, prohibiting personal device use except for educational purposes, medical needs, or special education plans. These provisions directly affect all K-12 public schools and students across North Carolina, with policies to be implemented starting in the 2026-2027 school year.

SB 416, the Personal Privacy Protection Act, prohibits North Carolina public agencies from collecting, disclosing, or releasing personal information about members, volunteers, or donors (financial or nonfinancial) to 501(c) nonprofit organizations. It directly affects individuals who support nonprofits, shielding their identities from public agency records. Key provisions ban agencies from requiring such information, publicly sharing it, or asking contractors/grantees for lists of nonprofit supporters. The bill designates this information as non-public under state law, with limited exemptions for court orders, required disclosures, or voluntary releases by the individual.