This bill establishes strict prohibitions against State contractors from selling, transferring, disclosing, or providing data to foreign adversaries, which are defined as foreign governments or entities determined to pose a threat to U.S. national security. The Department of the Treasury is tasked with creating and maintaining a list of individuals and entities that engage in such activities. Those identified on this list will be ineligible to enter into or renew contracts with State agencies, subcontract with State contractors, or receive various forms of economic development assistance, including tax abatements and certifications as urban renewal entities. The bill also mandates that State agencies require contractors to certify that they are not on this list before engaging in any relevant activities.

Additionally, the bill prohibits State agencies from banking with or investing in financial institutions that are included on the Treasury's list for similar data-related violations. The Department of the Treasury is authorized to adopt necessary regulations to implement these provisions, and the act is set to take effect immediately upon passage. Overall, the legislation aims to safeguard sensitive data and ensure that State resources are not utilized by entities that may compromise national security.