Assembly Bill 378 aims to enhance the protection of personally identifiable information (PII) in Wisconsin by prohibiting state agencies from sharing such data with the federal government unless it has been masked or anonymized. The bill defines "personally identifiable information" and outlines that state agencies, including the legislature and courts, must adhere to this prohibition. However, there are exceptions that allow for the sharing of unmasked data when necessary to comply with state or federal law, to administer state or federal programs, or for legislative and judicial duties.

Additionally, the bill establishes a civil cause of action for individuals who are harmed by negligent violations of this data-sharing prohibition. Those found liable for such violations may be required to pay actual damages, exemplary damages up to $1,000, and cover the costs of reasonable attorney fees. This legislation seeks to ensure the privacy of individuals' data while still allowing for necessary governmental functions to be carried out.