South Carolina H 4973: Fair Pay to Play Act

Bill Text

2025-2026 Bill 4973 Text of Previous Version (Jan. 15, 2026) - South Carolina Legislature Online 

South Carolina General Assembly
126th Session, 2025-2026

Bill 4973

Indicates Matter Stricken
Indicates New Matter

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A bill

TO AMEND THE SOUTH CAROLINA CODE OF LAWS 
BY ADDING SECTION 11-1-130 SO AS TO PROHIBIT CERTAIN CONTRACTS WITH CERTAIN 
FOREIGN-OWNED COMPANIES IN CONNECTION WITH CRITICAL INFRASTRUCTURE.

Whereas, the General Assembly finds that the People's Republic of 
China (PRC), led by the Chinese Communist Party, is an autocratic and 
totalitarian government and has been recognized by the Federal Bureau of 
Investigation as a "grave threat to the economic well-being and democratic 
values of the United States"; and 

Whereas, the federal government has determined that a number of 
foreign nations are actively hostile to the United States and pursuant to 
federal law have designated as foreign adversaries:

 (1) the People's Republic 
of China; 

 (2) the Republic of Cuba; 

 (3) the Islamic Republic 
of Iran;

 (4) the Democratic People's 
Republic of Korea; 

 (5) the Russian 
Federation; and 

 (6) the Venezuelan 
politician Nicolás Maduro (Maduro Regime); and

Whereas, federal law enforcement and homeland security authorities 
have warned businesses and the public of the dangers of using technology 
manufactured in the PRC, as such technology can be used to steal trade secrets, 
disrupt U.S. infrastructure, spy on U.S. citizens and government agencies, and 
otherwise be used by the Chinese government to undermine the interests and 
values of the United States and the ability of its citizens to live in a free, 
democratic society; and

Whereas, the National Intelligence Law of the People's Republic of 
China requires all Chinese businesses to assist in China's intelligence 
operations; and

Whereas, the General Assembly desires to continue South Carolina's 
long and successful history of inviting international cooperation in economic 
development while taking precautions against predatory, hostile interests; and

Whereas, the General Assembly finds that narrowly focused legislation 
limiting the ability of individuals and entities under the control of hostile 
foreign adversary governments to acquire sensitive real property, to protect 
South Carolina's critical infrastructure from cyberattacks and electronic 
espionage, and is necessary and proper for the protection of the state's 
economy and the freedom of its residents. Now, therefore,

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. Chapter 1, Title 11 of the 
S.C. Code is amended by adding:

 Section 
11-1-130. (A) As used in this 
section:

 (1) "Company" means a sole 
proprietorship, organization, association, corporation, partnership, joint 
venture, limited partnership, limited liability partnership, or limited 
liability company, including a wholly owned subsidiary, majority-owned 
subsidiary, parent company, or affiliate of those entities or business 
associations, that exists to make a profit.

 (2) "Critical infrastructure" means a 
communication infrastructure system, cybersecurity system, electric grid, 
hazardous waste treatment system, or water treatment facility.

 (3) "Cybersecurity" means the measures 
taken to protect a computer, computer network, computer system, or other 
technology infrastructure against unauthorized use or access.

 (4) "Designated country" means a 
country designated by the Governor as a threat to critical infrastructure.

 (5) "Access to" means the ability to 
approach or enter critical infrastructure.

 (6) "Control of" means the ability to 
manage or manipulate critical infrastructure.

 (7) "Provider" means a company that 
provides utility services, including a power company or a city.

 (8) "Utility services" means the end 
product provided to a consumer, including power or water.

 (B) A business or governmental entity 
may not enter into an agreement relating to critical infrastructure in this 
State with a company:

 (1) if, under the 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 
business entity for product warranty and support purposes; and

 (2) if the business entity knows that 
the company is:

 (a) owned, controlled 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 or indirectly controlled by the government of China, Iran, North 
Korea, Russia, or a designated country;

 (b) headquartered in China, Iran, North 
Korea, Russia, or a designated country; or

 (c) a subsi