S.Amdt. 1927

SA 1927. Mr. ROMNEY submitted an amendment intended to be proposed to
amendment SA 1502 proposed by Mr. Schumer to the bill S. 1260, to
establish a new Directorate for Technology and Innovation in the
National Science Foundation, to establish a regional technology hub
program, to require a strategy and report on economic security,
science, research, innovation, manufacturing, and job creation, to
establish a critical supply chain resiliency program, and for other
purposes; which was ordered to lie on the table; as follows:

At the end of subtitle C of title IV of division D, add
the following:

SEC. 4463. REPORT ON DOMESTIC PROCESSING OF RARE EARTHS.

(a) In General.--Not later than 90 days after the date of
the enactment of this Act, the Under Secretary of Defense for
Acquisition and Sustainment shall submit to the appropriate
committees of Congress a report on the authority and funding
required to create long-term contracts for domestic
processing of heavy rare earths sufficient to achieve

[[Page S3342]]

supply chain independence for the United States Armed Forces
and key allies and partners of the United States.
(b) Elements.--The report required by subsection (a) shall
include the following:
(1) An estimate of the annual demand for processed heavy
rare earths for the United States Armed Forces and key allies
and partners of the United States.
(2) An outline of the necessary processed heavy rare earths
value chain required to support the needs of the Department
of Defense.
(3) An assessment of gaps in the outline described in
paragraph (2) indicating where sufficient domestic capacity
already exists and where such capacity does not exist.
(4) An identification of any Federal funds, including any
funds made available under title III of the Defense
Production Act of 1950 (50 U.S.C. 4531 et seq.), currently
being deployed to support creation of domestic capacity to
address those gaps.
(5) An estimate of the additional capital investment
required to build and operate capacity to address those gaps.
(6) An estimate of the annual funding necessary for the
Department of Defense to procure domestically processed heavy
rare earths sufficient to meet its annual needs, including
consideration of increased investments from private sector
capital.
(7) An estimate of the cost difference between the
Department of Defense sourcing rare earths processed in the
United States and sourcing rare earths on the open market.
(8) An identification of how the Department of Defense
would direct its weapon suppliers to use the domestically
processed heavy rare earths.
(9) An assessment of what changes, if any, to authorities
under title III of the Defense Production Act of 1950 are
necessary to enter into a long-term offtake agreement to
contract for domestically processed rare earths.
(10) An assessment of the length of potential contracts
necessary for preventing the collapse of domestic processing
of rare earths in the case of price fluctuations from
increases in the People's Republic of China's export quota.
(11) Recommendations for international cooperation with
allies to jointly reduce dependence on rare earths processed
in the People's Republic of China.
(c) Form of Report.--The report required by subsection (a)
shall be submitted in classified form but shall include an
unclassified summary.
(d) Appropriate Committees of Congress Defined.--In this
section, the term ``appropriate committees of Congress''
means--
(1) the Committee on Energy and Natural Resources, the
Committee on Armed Services, the Committee on Foreign
Relations, and the Committee on Banking, Housing, and Urban
Affairs of the Senate; and
(2) the Committee on Natural Resources, the Committee on
Armed Services, the Committee on Foreign Affairs, and the
Committee on Financial Services of the House of
Representatives.
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