S.Amdt. 4291

SA 4291. Mr. PORTMAN submitted an amendment intended to be proposed
to amendment SA 3867 submitted by Mr. Reed and intended to be proposed
to the bill H.R. 4350, to authorize appropriations for fiscal year 2022
for military activities of the Department of Defense, for military
construction, and for defense activities of the Department of Energy,
to prescribe military personnel strengths for such fiscal year, and for
other purposes; which was ordered to lie on the table; as follows:

At the end, add the following:

DIVISION E--SECURING AMERICA'S FUTURE

SEC. 4001. SHORT TITLE.

This division may be cited as the ``Securing America's
Future Act''.

TITLE I--ENSURING DOMESTIC MANUFACTURING CAPABILITIES

Subtitle A--Build America, Buy America

SEC. 4101. SHORT TITLE.

This subtitle may be cited as the ``Build America, Buy
America Act''.

PART I--BUY AMERICA SOURCING REQUIREMENTS

SEC. 4111. FINDINGS.

Congress finds that--
(1) the United States must make significant investments to
install, upgrade, or replace the public works infrastructure
of the United States;
(2) with respect to investments in the infrastructure of
the United States, taxpayers expect that their public works
infrastructure will be produced in the United States by
American workers;
(3) United States taxpayer dollars invested in public
infrastructure should not be used to reward companies that
have moved their operations, investment dollars, and jobs to
foreign countries or foreign factories, particularly those
that do not share or openly flout the commitments of the
United States to environmental, worker, and workplace safety
protections;
(4) in procuring materials for public works projects,
entities using taxpayer-financed Federal assistance should
give a commonsense procurement preference for the materials
and products produced by companies and workers in the United
States in accordance with the high ideals embodied in the
environmental, worker, workplace safety, and other regulatory
requirements of the United States;
(5) common construction materials used in public works
infrastructure projects, including steel, iron, manufactured
products, non-ferrous metals, plastic and polymer-based
products (including polyvinylchloride, composite building
materials, and polymers used in fiber optic cables), concrete
and other aggregates, glass (including optic glass), lumber,
and drywall are not adequately covered by a domestic content
procurement preference, thus limiting the impact of taxpayer
purchases to enhance supply chains in the United States;
(6) the benefits of domestic content procurement
preferences extend beyond economics;
(7) by incentivizing domestic manufacturing, domestic
content procurement preferences reinvest tax dollars in
companies and processes using the highest labor and
environmental standards in the world;
(8) strong domestic content procurement preference policies
act to prevent shifts in production to countries that rely on
production practices that are significantly less energy
efficient and far more polluting than those in the United
States;
(9) for over 75 years, Buy America and other domestic
content procurement preference laws have been part of the
United States procurement policy, ensuring that the United
States can build and rebuild the infrastructure of the United
States with high-quality American-made materials;
(10) before the date of enactment of this Act, a domestic
content procurement preference requirement may not apply, may
apply only to a narrow scope of products and materials, or
may be limited by waiver with respect to many infrastructure
programs, which necessitates a review of such programs,
including programs for roads, highways, and bridges, public
transportation, dams, ports, harbors, and other maritime
facilities, intercity passenger and freight railroads,
freight and intermodal facilities, airports, water systems,
including drinking water and wastewater systems, electrical
transmission facilities and systems, utilities, broadband
infrastructure, and buildings and real property;
(11) Buy America laws create demand for domestically
produced goods, helping to sustain and grow domestic
manufacturing and the millions of jobs domestic manufacturing
supports throughout product supply chains;
(12) as of the date of enactment of this Act, domestic
content procurement preference policies apply to all Federal
Government procurement and to various Federal-aid
infrastructure programs;
(13) a robust domestic manufacturing sector is a vital
component of the national security of the United States;
(14) as more manufacturing operations of the United States
have moved offshore, the strength and readiness of the
defense industrial base of the United States has been
diminished; and
(15) domestic content procurement preference laws--
(A) are fully consistent with the international obligations
of the United States; and
(B) together with the government procurements to which the
laws apply, are important levers for ensuring that United
States manufacturers can access the government procurement
markets of the trading partners of the United States.

SEC. 4112. DEFINITIONS.

In this part:
(1) Deficient program.--The term ``deficient program''
means a program identified by the head of a Federal agency
under section 4113(c).
(2) Domestic content procurement preference.--The term
``domestic content procurement preference'' means a
requirement that no amounts made available through a program
for Federal financial assistance may be obligated for a
project unless--
(A) all iron and steel used in the project are produced in
the United States;
(B) the manufactured products used in the project are
produced in the United States; or
(C) the construction materials used in the project are
produced in the United States.
(3) Federal agency.--The term ``Federal agency'' means any
authority of the United States that is an ``agency'' (as
defined in section 3502 of title 44, United States Code),
other than an independent regulatory agency (as defined in
that section).
(4) Federal financial assistance.--
(A) In general.--The term ``Federal financial assistance''
has the meaning given the term in section 200.1 of title 2,
Code of Federal Regulations (or successor regulations).
(B) Inclusion.--The term ``Federal financial assistance''
includes all expenditures by a Federal agency to a non-
Federal entity for an infrastructure project, except that it
does not include expenditures for assistance authorized under
section 402, 403, 404, 406, 408, or 502 of the Robert T.
Stafford Disaster Relief and Emergency Assistance Act (42
U.S.C. 5170a, 5170b, 5170c, 5172, 5174, or 5192) relating to
a major disaster or emergency declared by the President under
section 401 or 501, respectively, of such Act (42 U.S.C.
5170, 5191) or pre and post disaster or emergency response
expenditures.
(5) Infrastructure.--The term ``infrastructure'' includes,
at a minimum, the structures, facilities, and equipment for,
in the United States--
(A) roads, highways, and bridges;
(B) public transportation;
(C) dams, ports, harbors, and other maritime facilities;
(D) intercity passenger and freight railroads;
(E) freight and intermodal facilities;
(F) airports;
(G) water systems, including drinking water and wastewater
systems;
(H) electrical transmission facilities and systems;
(I) utilities;
(J) broadband infrastructure; and
(K) buildings and real property.
(6) Produced in the united states.--The term ``produced in
the United States'' means--
(A) in the case of iron or steel products, that all
manufacturing processes, from the initial melting stage
through the application of coatings, occurred in the United
States;
(B) in the case of manufactured products, that--
(i) the manufactured product was manufactured in the United
States; and
(ii) the cost of the components of the manufactured product
that are mined, produced, or manufactured in the United
States is greater than 55 percent of the total cost of all
components of the manufactured product, unless another
standard for determining the minimum amount of domestic
content of the manufactured product has been established
under applicable law or regulation; and
(C) in the case of construction materials, that all
manufacturing processes for the construction material
occurred in the United States.
(7) Project.--The term ``project'' means the construction,
alteration, maintenance, or repair of infrastructure in the
United States.

SEC. 4113. IDENTIFICATION OF DEFICIENT PROGRAMS.

(a) In General.--Not later than 60 days after the date of
enactment of this Act, the head of each Federal agency
shall--
(1) submit to the Office of Management and Budget and to
Congress, including a separate notice to each appropriate
congressional committee, a report that identifies each
Federal financial assistance program for infrastructure
administered by the Federal agency; and
(2) publish in the Federal Register the report under
paragraph (1).
(b) Requirements.--In the report under subsection (a), the
head of each Federal agency shall, for each Federal financial
assistance program--

[[Page S7824]]

(1) identify all domestic content procurement preferences
applicable to the Federal financial assistance;
(2) assess the applicability of the domestic content
procurement preference requirements, including--
(A) section 313 of title 23, United States Code;
(B) section 5323(j) of title 49, United States Code;
(C) section 22905(a) of title 49, United States Code;
(D) section 50101 of title 49, United States Code;
(E) section 603 of the Federal Water Pollution Control Act
(33 U.S.C. 1388);
(F) section 1452(a)(4) of the Safe Drinking Water Act (42
U.S.C. 300j-12(a)(4));
(G) section 5035 of the Water Infrastructure Finance and
Innovation Act of 2014 (33 U.S.C. 3914);
(H) any domestic content procurement preference included in
an appropriations Act; and
(I) any other domestic content procurement preference in
Federal law (including regulations);
(3) provide details on any applicable domestic content
procurement preference requirement, including the purpose,
scope, applicability, and any exceptions and waivers issued
under the requirement; and
(4) include a description of the type of infrastructure
projects that receive funding under the program, including
information relating to--
(A) the number of entities that are participating in the
program;
(B) the amount of Federal funds that are made available for
the program for each fiscal year; and
(C) any other information the head of the Federal agency
determines to be relevant.
(c) List of Deficient Programs.--In the report under
subsection (a), the head of each Federal agency shall include
a list of Federal financial assistance programs for
infrastructure identified under that subsection for which a
domestic content procurement preference requirement--
(1) does not apply in a manner consistent with section
4114; or
(2) is subject to a waiver of general applicability not
limited to the use of specific products for use in a specific
project.

SEC. 4114. APPLICATION OF BUY AMERICA PREFERENCE.

(a) In General.--Not later than 180 days after the date of
enactment of this Act, the head of each Federal agency shall
ensure that none of the funds made available for a Federal
financial assistance program for infrastructure, including
each deficient program, may be obligated for a project unless
all of the iron, steel, manufactured products, and
construction materials used in the project are produced in
the United States.
(b) Waiver.--The head of a Federal agency that applies a
domestic content procurement preference under this section
may waive the application of that preference in any case in
which the head of the Federal agency finds that--
(1) applying the domestic content procurement preference
would be inconsistent with the public interest;
(2) types of iron, steel, manufactured products, or
construction materials are not produced in the United States
in sufficient and reasonably available quantities or of a
satisfactory quality; or
(3) the inclusion of iron, steel, manufactured products, or
construction materials produced in the United States will
increase the cost of the overall project by more than 25
percent.
(c) Written Justification.--Before issuing a waiver under
subsection (b), the head of the Federal agency shall--
(1) make publicly available in an easily accessible
location on a website designated by the Office of Management
and Budget and on the website of the Federal agency a
detailed written explanation for the proposed determination
to issue the waiver; and
(2) provide a period of not less than 15 days for public
comment on the proposed waiver.
(d) Automatic Sunset on Waivers of General Applicability.--
(1) In general.--A general applicability waiver issued
under subsection (b) shall expire not later than 2 years
after the date on which the waiver is issued.
(2) Reissuance.--The head of a Federal agency may reissue a
general applicability waiver only after--
(A) publishing in the Federal Register a notice that--
(i) describes the justification for reissuing a general
applicability waiver; and
(ii) requests public comments for a period of not less than
30 days; and
(B) publishing in the Federal Register a second notice
that--
(i) responds to the public comments received in response to
the first notice; and
(ii) provides the final decision on whether the general
applicability waiver will be reissued.
(e) Consistency With International Agreements.--This
section shall be applied in a manner consistent with United
States obligations under international agreements.

SEC. 4115. OMB GUIDANCE AND STANDARDS.

(a) Guidance.--The Director of the Office of Management and
Budget shall--
(1) issue guidance to the head of each Federal agency--
(A) to assist in identifying deficient programs under
section 4113(c); and
(B) to assist in applying new domestic content procurement
preferences under section 4114; and
(2) if necessary, amend subtitle A of title 2, Code of
Federal Regulations (or successor regulations), to ensure
that domestic content procurement preference requirements
required by this part or other Federal law are imposed
through the terms and conditions of awards of Federal
financial assistance.
(b) Standards for Construction Materials.--
(1) In general.--Not later than 180 days after the date of
enactment of this Act, the Director of the Office of
Management and Budget shall issue standards that define the
term ``all manufacturing processes'' in the case of
construction materials.
(2) Considerations.--In issuing standards under paragraph
(1), the Director shall--
(A) ensure that the standards require that each
manufacturing process required for the manufacture of the
construction material and the inputs of the construction
material occurs in the United States; and
(B) take into consideration and seek to maximize the direct
and indirect jobs benefited or created in the production of
the construction material.

SEC. 4116. TECHNICAL ASSISTANCE PARTNERSHIP AND CONSULTATION
SUPPORTING DEPARTMENT OF TRANSPORTATION BUY
AMERICA REQUIREMENTS.

(a) Definitions.--In this section:
(1) Buy america law.--The term ``Buy America law'' means--
(A) section 313 of title 23, United States Code;
(B) section 5323(j) of title 49, United States Code;
(C) section 22905(a) of title 49, United States Code;
(D) section 50101 of title 49, United States Code; and
(E) any other domestic content procurement preference for
an infrastructure project under the jurisdiction of the
Secretary.
(2) Secretary.--The term ``Secretary'' means the Secretary
of Transportation.
(b) Technical Assistance Partnership.--Not later than 90
days after the date of the enactment of this Act, the
Secretary shall enter into a technical assistance partnership
with the Secretary of Commerce, acting through the Director
of the National Institute of Standards and Technology--
(1) to ensure the development of a domestic supply base to
support intermodal transportation in the United States, such
as intercity high speed rail transportation, public
transportation systems, highway construction or
reconstruction, airport improvement projects, and other
infrastructure projects under the jurisdiction of the
Secretary;
(2) to ensure compliance with Buy America laws that apply
to a project that receives assistance from the Federal
Highway Administration, the Federal Transit Administration,
the Federal Railroad Administration, the Federal Aviation
Administration, or another office or modal administration of
the Secretary of Transportation;
(3) to encourage technologies developed with the support of
and resources from the Secretary to be transitioned into
commercial market and applications; and
(4) to establish procedures for consultation under
subsection (c).
(c) Consultation.--Before granting a written waiver under a
Buy America law, the Secretary shall consult with the
Director of the Hollings Manufacturing Extension Partnership
regarding whether there is a domestic entity that could
provide the iron, steel, manufactured product, or
construction material that is the subject of the proposed
waiver.
(d) Annual Report.--Not later than 1 year after the date of
enactment of this Act, and annually thereafter, the Secretary
shall submit to the Committee on Commerce, Science, and
Transportation, the Committee on Banking, Housing, and Urban
Affairs, the Committee on Environment and Public Works, and
the Committee on Homeland Security and Governmental Affairs
of the Senate and the Committee on Transportation and
Infrastructure and the Committee on Oversight and Reform of
the House of Representatives a report that includes--
(1) a detailed description of the consultation procedures
developed under subsection (b)(4);
(2) a detailed description of each waiver requested under a
Buy America law in the preceding year that was subject to
consultation under subsection (c), and the results of the
consultation;
(3) a detailed description of each waiver granted under a
Buy America law in the preceding year, including the type of
waiver and the reasoning for granting the waiver; and
(4) an update on challenges and gaps in the domestic supply
base identified in carrying out subsection (b)(1), including
a list of actions and policy changes the Secretary recommends
be taken to address those challenges and gaps.

SEC. 4117. APPLICATION.

(a) In General.--This part shall apply to a Federal
financial assistance program for infrastructure only to the
extent that a domestic content procurement preference as
described in section 4114 does not already apply to iron,
steel, manufactured products, and construction materials.
(b) Savings Provision.--Nothing in this part affects a
domestic content procurement preference for a Federal
financial assistance

[[Page S7825]]

program for infrastructure that is in effect and that meets
the requirements of section 4114.

PART II--MAKE IT IN AMERICA

SEC. 4121. REGULATIONS RELATING TO BUY AMERICAN ACT.

(a) In General.--Not later than 1 year after the date of
the enactment of this Act, the Director of the Office of
Management and Budget (``Director''), acting through the
Administrator for Federal Procurement Policy and, in
consultation with the Federal Acquisition Regulatory Council,
shall promulgate final regulations or other policy or
management guidance, as appropriate, to standardize and
simplify how Federal agencies comply with, report on, and
enforce the Buy American Act. The regulations or other policy
or management guidance shall include, at a minimum, the
following:
(1) Guidelines for Federal agencies to determine, for the
purposes of applying sections 8302(a) and 8303(b)(3) of title
41, United States Code, the circumstances under which the
acquisition of articles, materials, or supplies mined,
produced, or manufactured in the United States is
inconsistent with the public interest.
(2) Guidelines to ensure Federal agencies base
determinations of non-availability on appropriate
considerations, including anticipated project delays and lack
of substitutable articles, materials, and supplies mined,
produced, or manufactured in the United States, when making
determinations of non-availability under section 8302(a)(1)
of title 41, United States Code.
(3)(A) Uniform procedures for each Federal agency to make
publicly available, in an easily identifiable location on the
website of the agency, and within the following time periods,
the following information:
(i) A written description of the circumstances in which the
head of the agency may waive the requirements of the Buy
American Act.
(ii) Each waiver made by the head of the agency within 30
days after making such waiver, including a justification with
sufficient detail to explain the basis for the waiver.
(B) The procedures established under this paragraph shall
ensure that the head of an agency, in consultation with the
head of the Made in America Office established under section
4123(a), may limit the publication of classified information,
trade secrets, or other information that could damage the
United States.
(4) Guidelines for Federal agencies to ensure that a
project is not disaggregated for purposes of avoiding the
applicability of the requirements under the Buy American Act.
(5) An increase to the price preferences for domestic end
products and domestic construction materials.
(6) Amending the definitions of ``domestic end product''
and ``domestic construction material'' to ensure that iron
and steel products are, to the greatest extent possible, made
with domestic components.
(b) Guidelines Relating to Waivers.--
(1) Inconsistency with public interest.--
(A) In general.--With respect to the guidelines developed
under subsection (a)(1), the Administrator shall seek to
minimize waivers related to contract awards that--
(i) result in a decrease in employment in the United
States, including employment among entities that manufacture
the articles, materials, or supplies; or
(ii) result in awarding a contract that would decrease
domestic employment.
(B) Covered employment.--For purposes of subparagraph (A),
employment refers to positions directly involved in the
manufacture of articles, materials, or supplies, and does not
include positions related to management, research and
development, or engineering and design.
(2) Assessment on use of dumped or subsidized foreign
products.--
(A) In general.--To the extent otherwise permitted by law,
before granting a waiver in the public interest to the
guidelines developed under subsection (a)(1) with respect to
a product sourced from a foreign country, a Federal agency
shall assess whether a significant portion of the cost
advantage of the product is the result of the use of dumped
steel, iron, or manufactured goods or the use of injuriously
subsidized steel, iron, or manufactured goods.
(B) Consultation.--The Federal agency conducting the
assessment under subparagraph (A) shall consult with the
International Trade Administration in making the assessment
if the agency considers such consultation to be helpful.
(C) Use of findings.--The Federal agency conducting the
assessment under subparagraph (A) shall integrate any
findings from the assessment into its waiver determination.
(c) Sense of Congress on Increasing Domestic Content
Requirements.--It is the sense of Congress that the Federal
Acquisition Regulatory Council should amend the Federal
Acquisition Regulation to increase the domestic content
requirements for domestic end products and domestic
construction material to 75 percent, or, in the event of no
qualifying offers, 60 percent.
(d) Definition of End Product Manufactured in the United
States.--Not later than 1 year after the date of the
enactment of this Act, the Federal Acquisition Regulatory
Council shall amend part 25 of the Federal Acquisition
Regulation to provide a definition for ``end product
manufactured in the United States,'' including guidelines to
ensure that manufacturing processes involved in production of
the end product occur domestically.

SEC. 4122. AMENDMENTS RELATING TO BUY AMERICAN ACT.

(a) Special Rules Relating to American Materials Required
for Public Use.--Section 8302 of title 41, United States
Code, is amended by adding at the end the following new
subsection:
``(c) Special Rules.--The following rules apply in carrying
out the provisions of subsection (a):
``(1) Iron and steel manufactured in the united states.--
For purposes of this section, manufactured articles,
materials, and supplies of iron and steel are deemed
manufactured in the United States only if all manufacturing
processes involved in the production of such iron and steel,
from the initial melting stage through the application of
coatings, occurs in the United States.
``(2) Limitation on exception for commercially available
off-the-shelf items.--Notwithstanding any law or regulation
to the contrary, including section 1907 of this title and the
Federal Acquisition Regulation, the requirements of this
section apply to all iron and steel articles, materials, and
supplies.''.
(b) Production of Iron and Steel for Purposes of Contracts
for Public Works.--Section 8303 of title 41, United States
Code, is amended--
(1) by redesignating subsection (c) as subsection (d); and
(2) by inserting after subsection (b) the following new
subsection:
``(c) Special Rules.--
``(1) Production of iron and steel.--For purposes of this
section, manufactured articles, materials, and supplies of
iron and steel are deemed manufactured in the United States
only if all manufacturing processes involved in the
production of such iron and steel, from the initial melting
stage through the application of coatings, occurs in the
United States.
``(2) Limitation on exception for commercially available
off-the-shelf items.--Notwithstanding any law or regulation
to the contrary, including section 1907 of this title and the
Federal Acquisition Regulation, the requirements of this
section apply to all iron and steel articles, materials, and
supplies used in contracts described in subsection (a).''.
(c) Annual Report.--Subsection (b) of section 8302 of title
41, United States Code, is amended to read as follows:
``(b) Reports.--
``(1) In general.--Not later than 180 days after the end of
the fiscal year during which the Build America, Buy America
Act is enacted, and annually thereafter for 4 years, the
Director of the Office of Management and Budget, in
consultation with the Administrator of General Services,
shall submit to the Committee on Homeland Security and
Governmental Affairs of the Senate and the Committee on
Oversight and Reform of the House of Representatives a report
on the total amount of acquisitions made by Federal agencies
in the relevant fiscal year of articles, materials, or
supplies acquired from entities that mine, produce, or
manufacture the articles, materials, or supplies outside the
United States.
``(2) Exception for intelligence community.--This
subsection does not apply to acquisitions made by an agency,
or component of an agency, that is an element of the
intelligence community as specified in, or designated under,
section 3 of the National Security Act of 1947 (50 U.S.C.
3003).''.
(d) Definition.--Section 8301 of title 41, United States
Code, is amended by adding at the end the following new
paragraph:
``(3) Federal agency.--The term `Federal agency' has the
meaning given the term `executive agency' in section 133 of
this title.''.
(e) Conforming Amendments.--Title 41, United States Code,
is amended--
(1) in section 8302(a)--
(A) in paragraph (1)--
(i) by striking ``department or independent establishment''
and inserting ``Federal agency''; and
(ii) by striking ``their acquisition to be inconsistent
with the public interest or their cost to be unreasonable''
and inserting ``their acquisition to be inconsistent with the
public interest, their cost to be unreasonable, or that the
articles, materials, or supplies of the class or kind to be
used, or the articles, materials, or supplies from which they
are manufactured, are not mined, produced, or manufactured in
the United States in sufficient and reasonably available
commercial quantities and of a satisfactory quality''; and
(B) in paragraph (2), by amending subparagraph (B) to read
as follows:
``(B) to any articles, materials, or supplies procured
pursuant to a reciprocal defense procurement memorandum of
understanding (as described in section 8304 of this title),
or a trade agreement or least developed country designation
described in subpart 25.400 of the Federal Acquisition
Regulation; and''; and
(2) in section 8303--
(A) in subsection (b)--
(i) by striking ``department or independent establishment''
each place it appears and inserting ``Federal agency'';
(ii) by amending subparagraph (B) of paragraph (1) to read
as follows:
``(B) to any articles, materials, or supplies procured
pursuant to a reciprocal defense procurement memorandum of
understanding (as described in section 8304), or a trade

[[Page S7826]]

agreement or least developed country designation described in
subpart 25.400 of the Federal Acquisition Regulation; and'';
and
(iii) in paragraph (3)--

(I) in the heading, by striking ``Inconsistent with public
interest'' and inserting ``Waiver authority''; and
(II) by striking ``their purchase to be inconsistent with
the public interest or their cost to be unreasonable'' and
inserting ``their acquisition to be inconsistent with the
public interest, their cost to be unreasonable, or that the
articles, materials, or supplies of the class or kind to be
used, or the articles, materials, or supplies from which they
are manufactured, are not mined, produced, or manufactured in
the United States in sufficient and reasonably available
commercial quantities and of a satisfactory quality''; and

(B) in subsection (d), as redesignated by subsection (b)(1)
of this section, by striking ``department, bureau, agency, or
independent establishment'' each place it appears and
inserting ``Federal agency''.
(f) Exclusion From Inflation Adjustment of Acquisition-
Related Dollar Thresholds.--Subparagraph (A) of section
1908(b)(2) of title 41, United States Code, is amended by
striking ``chapter 67'' and inserting ``chapters 67 and 83''.

SEC. 4123. MADE IN AMERICA OFFICE.

(a) Establishment.--The Director of the Office of
Management and Budget shall establish within the Office of
Management and Budget an office to be known as the ``Made in
America Office''. The head of the office shall be appointed
by the Director of the Office of Management and Budget (in
this section referred to as the ``Made in America
Director'').
(b) Duties.--The Made in America Director shall have the
following duties:
(1) Maximize and enforce compliance with domestic
preference statutes.
(2) Develop and implement procedures to review waiver
requests or inapplicability requests related to domestic
preference statutes.
(3) Prepare the reports required under subsections (c) and
(e).
(4) Ensure that Federal contracting personnel, financial
assistance personnel, and non-Federal recipients are
regularly trained on obligations under the Buy American Act
and other agency-specific domestic preference statutes.
(5) Conduct the review of reciprocal defense agreements
required under subsection (d).
(6) Ensure that Federal agencies, Federal financial
assistance recipients, and the Hollings Manufacturing
Extension Partnership partner with each other to promote
compliance with domestic preference statutes.
(7) Support executive branch efforts to develop and sustain
a domestic supply base to meet Federal procurement
requirements.
(c) Office of Management and Budget Report.--Not later than
1 year after the date of the enactment of this Act, the
Director of the Office of Management and Budget, working
through the Made in America Director, shall report to the
relevant congressional committees on the extent to which, in
each of the three fiscal years prior to the date of enactment
of this Act, articles, materials, or supplies acquired by the
Federal Government were mined, produced, or manufactured
outside the United States. Such report shall include for each
Federal agency the following:
(1) A summary of total procurement funds expended on
articles, materials, and supplies mined, produced, or
manufactured--
(A) inside the United States;
(B) outside the United States; and
(C) outside the United States--
(i) under each category of waiver under the Buy American
Act;
(ii) under each category of exception under such chapter;
and
(iii) for each country that mined, produced, or
manufactured such articles, materials, and supplies.
(2) For each fiscal year covered by the report--
(A) the dollar value of any articles, materials, or
supplies that were mined, produced, or manufactured outside
the United States, in the aggregate and by country;
(B) an itemized list of all waivers made under the Buy
American Act with respect to articles, materials, or
supplies, where available, and the country where such
articles, materials, or supplies were mined, produced, or
manufactured;
(C) if any articles, materials, or supplies were acquired
from entities that mine, produce, or manufacture such
articles, materials, or supplies outside the United States
due to an exception (that is not the micro-purchase threshold
exception described under section 8302(a)(2)(C) of title 41,
United States Code), the specific exception that was used to
purchase such articles, materials, or supplies; and
(D) if any articles, materials, or supplies were acquired
from entities that mine, produce, or manufacture such
articles, materials, or supplies outside the United States
pursuant to a reciprocal defense procurement memorandum of
understanding (as described in section 8304 of title 41,
United States Code), or a trade agreement or least developed
country designation described in subpart 25.400 of the
Federal Acquisition Regulation, a citation to such memorandum
of understanding, trade agreement, or designation.
(3) A description of the methods used by each Federal
agency to calculate the percentage domestic content of
articles, materials, and supplies mined, produced, or
manufactured in the United States.
(d) Review of Reciprocal Defense Agreements.--
(1) Review of process.--Not later than 180 days after the
date of the enactment of this Act, the Made in America
Director shall review the Department of Defense's use of
reciprocal defense agreements to determine if domestic
entities have equal and proportional access and report the
findings of the review to the Director of the Office of
Management and Budget, the Secretary of Defense, and the
Secretary of State.
(2) Review of reciprocal procurement memoranda of
understanding.--The Made in America Director shall review
reciprocal procurement memoranda of understanding entered
into after the date of the enactment of this Act between the
Department of Defense and its counterparts in foreign
governments to assess whether domestic entities will have
equal and proportional access under the memoranda of
understanding and report the findings of the review to the
Director of the Office of Management and Budget, the
Secretary of Defense, and the Secretary of State.
(e) Report on Use of Made in America Laws.--The Made in
America Director shall submit to the relevant congressional
committees a summary of each report on the use of Made in
America Laws received by the Made in America Director
pursuant to section 11 of Executive Order 14005, dated
January 25, 2021 (relating to ensuring the future is made in
all of America by all of America's workers) not later than 90
days after the date of the enactment of this Act or receipt
of the reports required under section 11 of such Executive
Order, whichever is later.
(f) Domestic Preference Statute Defined.--In this section,
the term ``domestic preference statute'' means any of the
following:
(1) the Buy American Act;
(2) a Buy America law (as that term is defined in section
4116(a));
(3) the Berry Amendment;
(4) section 604 of the American Recovery and Reinvestment
Act of 2009 (6 U.S.C. 453b) (commonly referred to as the
``Kissell amendment'');
(5) section 2533b of title 10 (commonly referred to as the
``specialty metals clause'');
(6) laws requiring domestic preference for maritime
transport, including the Merchant Marine Act, 1920 (Public
Law 66-261), commonly known as the ``Jones Act''; and
(7) any other law, regulation, rule, or executive order
relating to Federal financial assistance awards or Federal
procurement, that requires, or provides a preference for, the
purchase or acquisition of goods, products, or materials
produced in the United States, including iron, steel,
construction material, and manufactured goods offered in the
United States.

SEC. 4124. HOLLINGS MANUFACTURING EXTENSION PARTNERSHIP
ACTIVITIES.

(a) Use of Hollings Manufacturing Extension Partnership to
Refer New Businesses to Contracting Opportunities.--The head
of each Federal agency shall work with the Director of the
Hollings Manufacturing Extension Partnership, as necessary,
to ensure businesses participating in this Partnership are
aware of their contracting opportunities.
(b) Automatic Enrollment in GSA Advantage!.--The
Administrator of the General Services Administration and the
Secretary of Commerce, acting through the Under Secretary of
Commerce for Standards and Technology, shall jointly ensure
that each business that participates in the Hollings
Manufacturing Extension Partnership is automatically enrolled
in General Services Administration Advantage!.

SEC. 4125. UNITED STATES OBLIGATIONS UNDER INTERNATIONAL
AGREEMENTS.

This part, and the amendments made by this part, shall be
applied in a manner consistent with United States obligations
under international agreements.

SEC. 4126. DEFINITIONS.

In this part:
(1) Berry amendment.--The term ``Berry Amendment'' means
section 2533a of title 10, United States Code.
(2) Buy american act.--The term ``Buy American Act'' means
chapter 83 of title 41, United States Code.
(3) Federal agency.--The term ``Federal agency'' has the
meaning given the term ``executive agency'' in section 133 of
title 41, United States Code.
(4) Relevant congressional committees.--The term ``relevant
congressional committees'' means--
(A) the Committee on Homeland Security and Governmental
Affairs, the Committee on Commerce, Science, and
Transportation, the Committee on Environment and Public
Works, the Committee on Banking, Housing, and Urban Affairs,
and the Committee on Armed Services of the Senate; and
(B) the Committee on Oversight and Reform, the Committee on
Armed Services, and the Committee on Transportation and
Infrastructure of the House of Representatives.
(5) Waiver.--The term ``waiver'', with respect to the
acquisition of an article, material, or supply for public
use, means the inapplicability of chapter 83 of title 41,
United States Code, to the acquisition by reason of any of
the following determinations under section 8302(a)(1) or
8303(b) of such title:

[[Page S7827]]

(A) A determination by the head of the Federal agency
concerned that the acquisition is inconsistent with the
public interest.
(B) A determination by the head of the Federal agency
concerned that the cost of the acquisition is unreasonable.
(C) A determination by the head of the Federal agency
concerned that the article, material, or supply is not mined,
produced, or manufactured in the United States in sufficient
and reasonably available commercial quantities of a
satisfactory quality.

SEC. 4127. PROSPECTIVE AMENDMENTS TO INTERNAL CROSS-
REFERENCES.

(a) Specialty Metals Clause Reference.--Section 4123(f)(5)
is amended by striking ``section 2533b'' and inserting
``section 4863''.
(b) Berry Amendment Reference.--Section 4126(1) is amended
by striking ``section 2533a'' and inserting ``section 4862''.
(c) Effective Date.--The amendments made by this section
shall take effect on January 1, 2022.

Subtitle B--BuyAmerican.gov

SEC. 4131. SHORT TITLE.

This subtitle may be cited as the ``BuyAmerican.gov Act of
2021''.

SEC. 4132. DEFINITIONS.

In this subtitle:
(1) Buy american law.--The term ``Buy American law'' means
any law, regulation, Executive order, or rule relating to
Federal contracts, grants, or financial assistance that
requires or provides a preference for the purchase or use of
goods, products, or materials mined, produced, or
manufactured in the United States, including--
(A) chapter 83 of title 41, United States Code (commonly
referred to as the ``Buy American Act'');
(B) section 5323(j) of title 49, United States Code;
(C) section 313 of title 23, United States Code;
(D) section 50101 of title 49, United States Code;
(E) section 24405 of title 49, United States Code;
(F) section 608 of the Federal Water Pollution Control Act
(33 U.S.C. 1388);
(G) section 1452(a)(4) of the Safe Drinking Water Act (42
U.S.C. 300j-12(a)(4));
(H) section 5035 of the Water Resources Reform and
Development Act of 2014 (33 U.S.C. 3914);
(I) section 2533a of title 10, United States Code (commonly
referred to as the ``Berry Amendment''); and
(J) section 2533b of title 10, United States Code.
(2) Executive agency.--The term ``executive agency'' has
the meaning given the term ``agency'' in paragraph (1) of
section 3502 of title 44, United States Code, except that it
does not include an independent regulatory agency, as that
term is defined in paragraph (5) of such section.
(3) Buy american waiver.--The term ``Buy American waiver''
refers to an exception to or waiver of any Buy American law,
or the terms and conditions used by an agency in granting an
exception to or waiver from Buy American laws.

SEC. 4133. SENSE OF CONGRESS ON BUYING AMERICAN.

It is the sense of Congress that--
(1) every executive agency should maximize, through terms
and conditions of Federal financial assistance awards and
Federal procurements, the use of goods, products, and
materials produced in the United States and contracts for
outsourced government service contracts to be performed by
United States nationals;
(2) every executive agency should scrupulously monitor,
enforce, and comply with Buy American laws, to the extent
they apply, and minimize the use of waivers; and
(3) every executive agency should use available data to
routinely audit its compliance with Buy American laws.

SEC. 4134. ASSESSMENT OF IMPACT OF FREE TRADE AGREEMENTS.

Not later than 150 days after the date of the enactment of
this Act, the Secretary of Commerce, the United States Trade
Representative, and the Director of the Office of Management
and Budget shall assess the impacts in a publicly available
report of all United States free trade agreements, the World
Trade Organization Agreement on Government Procurement, and
Federal permitting processes on the operation of Buy American
laws, including their impacts on the implementation of
domestic procurement preferences.

SEC. 4135. JUDICIOUS USE OF WAIVERS.

(a) In General.--To the extent permitted by law, a Buy
American waiver that is determined by an agency head or other
relevant official to be in the public interest shall be
construed to ensure the maximum utilization of goods,
products, and materials produced in the United States.
(b) Public Interest Waiver Determinations.--To the extent
permitted by law, determination of public interest waivers
shall be made by the head of the agency with the authority
over the Federal financial assistance award or Federal
procurement under consideration.

SEC. 4136. ESTABLISHMENT OF BUYAMERICAN.GOV WEBSITE.

(a) In General.--Not later than one year after the date of
the enactment of this Act, the Administrator of General
Services shall establish an Internet website with the address
BuyAmerican.gov that will be publicly available and free to
access. The website shall include information on all waivers
of and exceptions to Buy American laws since the date of the
enactment of this Act that have been requested, are under
consideration, or have been granted by executive agencies and
be designed to enable manufacturers and other interested
parties to easily identify waivers. The website shall also
include the results of routine audits to determine data
errors and Buy American law violations after the award of a
contract. The website shall provide publicly available
contact information for the relevant contracting agencies.
(b) Utilization of Existing Website.--The requirements of
subsection (a) may be met by utilizing an existing website,
provided that the address of that website is BuyAmerican.gov.

SEC. 4137. WAIVER TRANSPARENCY AND STREAMLINING FOR
CONTRACTS.

(a) Collection of Information.--The Administrator of
General Services, in consultation with the heads of relevant
agencies, shall develop a mechanism to collect information on
requests to invoke a Buy American waiver for a Federal
contract, utilizing existing reporting requirements whenever
possible, for purposes of providing early notice of possible
waivers via the website established under section 4136.
(b) Waiver Transparency and Streamlining.--
(1) Requirement.--Prior to granting a request to waive a
Buy American law, the head of an executive agency shall
submit a request to invoke a Buy American waiver to the
Administrator of General Services, and the Administrator of
General Services shall make the request available on or
through the public website established under section 4136 for
public comment for not less than 15 days.
(2) Exception.--The requirement under paragraph (1) does
not apply to a request for a Buy American waiver to satisfy
an urgent contracting need in an unforeseen and exigent
circumstance.
(c) Information Available to the Executive Agency
Concerning the Request.--
(1) Requirement.--No Buy American waiver for purposes of
awarding a contract may be granted if, in contravention of
subsection (b)--
(A) information about the waiver was not made available on
the website under section 4136; or
(B) no opportunity for public comment concerning the
request was granted.
(2) Scope.--Information made available to the public
concerning the request included on the website described in
section 4136 shall properly and adequately document and
justify the statutory basis cited for the requested waiver.
Such information shall include--
(A) a detailed justification for the use of goods,
products, or materials mined, produced, or manufactured
outside the United States;
(B) for requests citing unreasonable cost as the statutory
basis of the waiver, a comparison of the cost of the domestic
product to the cost of the foreign product or a comparison of
the overall cost of the project with domestic products to the
overall cost of the project with foreign-origin products or
services, pursuant to the requirements of the applicable Buy
American law, except that publicly available cost comparison
data may be provided in lieu of proprietary pricing
information;
(C) for requests citing the public interest as the
statutory basis for the waiver, a detailed written statement,
which shall include all appropriate factors, such as
potential obligations under international agreements,
justifying why the requested waiver is in the public
interest; and
(D) a certification that the procurement official or
assistance recipient made a good faith effort to solicit bids
for domestic products supported by terms included in requests
for proposals, contracts, and nonproprietary communications
with the prime contractor.
(d) Nonavailability Waivers.--
(1) In general.--Except as provided under paragraph (2),
for a request citing nonavailability as the statutory basis
for a Buy American waiver, an executive agency shall provide
an explanation of the procurement official's efforts to
procure a product from a domestic source and the reasons why
a domestic product was not available from a domestic source.
Those explanations shall be made available on BuyAmerican.gov
prior to the issuance of the waiver, and the agency shall
consider public comments regarding the availability of the
product before making a final determination.
(2) Exception.--An explanation under paragraph (1) is not
required for a product the nonavailability of which is
established by law or regulation.

SEC. 4138. COMPTROLLER GENERAL REPORT.

Not later than two years after the date of the enactment of
this Act, the Comptroller General of the United States shall
submit to Congress a report describing the implementation of
this subtitle, including recommendations for any legislation
to improve the collection and reporting of information
regarding waivers of and exceptions to Buy American laws.

SEC. 4139. RULES OF CONSTRUCTION.

(a) Disclosure Requirements.--Nothing in this subtitle
shall be construed as preempting, superseding, or otherwise
affecting the application of any disclosure requirement or
requirements otherwise provided by law or regulation.
(b) Establishment of Successor Information Systems.--
Nothing in this subtitle shall

[[Page S7828]]

be construed as preventing or otherwise limiting the ability
of the Administrator of General Services to move the data
required to be included on the website established under
subsection (a) to a successor information system. Any such
information system shall include a reference to
BuyAmerican.gov.

SEC. 4140. CONSISTENCY WITH INTERNATIONAL AGREEMENTS.

This subtitle shall be applied in a manner consistent with
United States obligations under international agreements.

SEC. 4141. PROSPECTIVE AMENDMENTS TO INTERNAL CROSS-
REFERENCES.

(a) In General.--Section 4132(1) is amended--
(1) in subparagraph (I), by striking ``section 2533a'' and
inserting ``section 4862''; and
(2) in subparagraph (J), by striking ``section 2533b'' and
inserting ``section 4863''.
(b) Effective Date.--The amendments made by subsection (a)
shall take effect on January 1, 2022.

Subtitle C--Make PPE in America

SEC. 4151. SHORT TITLE.

This subtitle may be cited as the ``Make PPE in America
Act''.

SEC. 4152. FINDINGS.

Congress makes the following findings:
(1) The COVID-19 pandemic has exposed the vulnerability of
the United States supply chains for, and lack of domestic
production of, personal protective equipment (PPE).
(2) The United States requires a robust, secure, and wholly
domestic PPE supply chain to safeguard public health and
national security.
(3) Issuing a strategy that provides the government's
anticipated needs over the next three years will enable
suppliers to assess what changes, if any, are needed in their
manufacturing capacity to meet expected demands.
(4) In order to foster a domestic PPE supply chain, United
States industry needs a strong and consistent demand signal
from the Federal Government providing the necessary certainty
to expand production capacity investment in the United
States.
(5) In order to effectively incentivize investment in the
United States and the re-shoring of manufacturing, long-term
contracts must be no shorter than three years in duration.
(6) To accomplish this aim, the United States should seek
to ensure compliance with its international obligations, such
as its commitments under the World Trade Organization's
Agreement on Government Procurement and its free trade
agreements, including by invoking any relevant exceptions to
those agreements, especially those related to national
security and public health.
(7) The United States needs a long-term investment strategy
for the domestic production of PPE items critical to the
United States national response to a public health crisis,
including the COVID-19 pandemic.

SEC. 4153. REQUIREMENT OF LONG-TERM CONTRACTS FOR
DOMESTICALLY MANUFACTURED PERSONAL PROTECTIVE
EQUIPMENT.

(a) Definitions.--In this section:
(1) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Homeland Security and Governmental
Affairs, the Committee on Health, Education, Labor, and
Pensions, the Committee on Finance, and the Committee on
Veterans' Affairs of the Senate; and
(B) the Committee on Homeland Security, the Committee on
Oversight and Reform, the Committee on Energy and Commerce,
the Committee on Ways and Means, and the Committee on
Veterans' Affairs of the House of Representatives.
(2) Covered secretary.--The term ``covered Secretary''
means the Secretary of Homeland Security, the Secretary of
Health and Human Services, and the Secretary of Veterans
Affairs.
(3) Personal protective equipment.--The term ``personal
protective equipment'' means surgical masks, respirator masks
and powered air purifying respirators and required filters,
face shields and protective eyewear, gloves, disposable and
reusable surgical and isolation gowns, head and foot
coverings, and other gear or clothing used to protect an
individual from the transmission of disease.
(4) United states.--The term ``United States'' means the 50
States, the District of Columbia, and the possessions of the
United States.
(b) Contract Requirements for Domestic Production.--
Beginning 90 days after the date of the enactment of this
Act, in order to ensure the sustainment and expansion of
personal protective equipment manufacturing in the United
States and meet the needs of the current pandemic response,
any contract for the procurement of personal protective
equipment entered into by a covered Secretary, or a covered
Secretary's designee, shall--
(1) be issued for a duration of at least 2 years, plus all
option periods necessary, to incentivize investment in the
production of personal protective equipment and the materials
and components thereof in the United States; and
(2) be for personal protective equipment, including the
materials and components thereof, that is grown, reprocessed,
reused, or produced in the United States.
(c) Alternatives to Domestic Production.--The requirement
under subsection (b) shall not apply to an item of personal
protective equipment, or component or material thereof if,
after maximizing to the extent feasible sources consistent
with subsection (b), the covered Secretary--
(1) maximizes sources for personal protective equipment
that is assembled outside the United States containing only
materials and components that are grown, reprocessed, reused,
or produced in the United States; and
(2) certifies every 120 days that it is necessary to
procure personal protective equipment under alternative
procedures to respond to the immediate needs of a public
health emergency.
(d) Availability Exception.--
(1) In general.--Subsections (b) and (c) shall not apply to
an item of personal protective equipment, or component or
material thereof--
(A) that is, or that includes, a material listed in section
25.104 of the Federal Acquisition Regulation as one for which
a non-availability determination has been made; or
(B) as to which the covered Secretary determines that a
sufficient quantity of a satisfactory quality that is grown,
reprocessed, reused, or produced in the United States cannot
be procured as, and when, needed at United States market
prices.
(2) Certification requirement.--The covered Secretary shall
certify every 120 days that the exception under paragraph (1)
is necessary to meet the immediate needs of a public health
emergency.
(e) Report.--
(1) In general.--Not later than 180 days after the date of
the enactment of this Act, the Director of the Office of
Management and Budget, in consultation with the covered
Secretaries, shall submit to the chairs and ranking members
of the appropriate congressional committees a report on the
procurement of personal protective equipment.
(2) Elements.--The report required under paragraph (1)
shall include the following elements:
(A) The United States long-term domestic procurement
strategy for PPE produced in the United States, including
strategies to incentivize investment in and maintain United
States supply chains for all PPE sufficient to meet the needs
of the United States during a public health emergency.
(B) An estimate of long-term demand quantities for all PPE
items procured by the United States.
(C) Recommendations for congressional action required to
implement the United States Government's procurement
strategy.
(D) A determination whether all notifications, amendments,
and other necessary actions have been completed to bring the
United States existing international obligations into
conformity with the statutory requirements of this subtitle.
(f) Authorization of Transfer of Equipment.--
(1) In general.--A covered Secretary may transfer to the
Strategic National Stockpile established under section 319F-2
of the Public Health Service Act (42 U.S.C. 247d-6b) any
excess personal protective equipment acquired under a
contract executed pursuant to subsection (b).
(2) Transfer of equipment during a public health
emergency.--
(A) Amendment.--Title V of the Homeland Security Act of
2002 (6 U.S.C. 311 et seq.) is amended by adding at the end
the following:

``SEC. 529. TRANSFER OF EQUIPMENT DURING A PUBLIC HEALTH
EMERGENCY.

``(a) Authorization of Transfer of Equipment.--During a
public health emergency declared by the Secretary of Health
and Human Services under section 319(a) of the Public Health
Service Act (42 U.S.C. 247d(a)), the Secretary, at the
request of the Secretary of Health and Human Services, may
transfer to the Department of Health and Human Services, on a
reimbursable basis, excess personal protective equipment or
medically necessary equipment in the possession of the
Department.
``(b) Determination by Secretaries.--
``(1) In general.--In carrying out this section--
``(A) before requesting a transfer under subsection (a),
the Secretary of Health and Human Services shall determine
whether the personal protective equipment or medically
necessary equipment is otherwise available; and
``(B) before initiating a transfer under subsection (a),
the Secretary, in consultation with the heads of each
component within the Department, shall--
``(i) determine whether the personal protective equipment
or medically necessary equipment requested to be transferred
under subsection (a) is excess equipment; and
``(ii) certify that the transfer of the personal protective
equipment or medically necessary equipment will not adversely
impact the health or safety of officers, employees, or
contractors of the Department.
``(2) Notification.--The Secretary of Health and Human
Services and the Secretary shall each submit to Congress a
notification explaining the determination made under
subparagraphs (A) and (B), respectively, of paragraph (1).
``(3) Required inventory.--
``(A) In general.--The Secretary shall--
``(i) acting through the Chief Medical Officer of the
Department, maintain an inventory of all personal protective
equipment and medically necessary equipment in the possession
of the Department; and
``(ii) make the inventory required under clause (i)
available, on a continual basis, to--

[[Page S7829]]

``(I) the Secretary of Health and Human Services; and
``(II) the Committee on Appropriations and the Committee on
Homeland Security and Governmental Affairs of the Senate and
the Committee on Appropriations and the Committee on Homeland
Security of the House of Representatives.

``(B) Form.--Each inventory required to be made available
under subparagraph (A) shall be submitted in unclassified
form, but may include a classified annex.''.
(B) Table of contents amendment.--The table of contents in
section 1(b) of the Homeland Security Act of 2002 (Public Law
107-296; 116 Stat. 2135) is amended by inserting after the
item relating to section 528 the following:

``Sec. 529. Transfer of equipment during a public health emergency.''.
(3) Strategic national stockpile.--Section 319F-2(a) of the
Public Health Service Act (42 U.S.C. 247d-6b(a)) is amended
by adding at the end the following:
``(6) Transfers of items.--The Secretary, in coordination
with the Secretary of Homeland Security, may sell drugs,
vaccines and other biological products, medical devices, or
other supplies maintained in the stockpile under paragraph
(1) to a Federal agency or private, nonprofit, State, local,
tribal, or territorial entity for immediate use and
distribution, provided that any such items being sold are--
``(A) within 1 year of their expiration date; or
``(B) determined by the Secretary to no longer be needed in
the stockpile due to advances in medical or technical
capabilities.''.
(g) Compliance With International Agreements.--The
President or the President's designee shall take all
necessary steps, including invoking the rights of the United
States under Article III of the World Trade Organization's
Agreement on Government Procurement and the relevant
exceptions of other relevant agreements to which the United
States is a party, to ensure that the international
obligations of the United States are consistent with the
provisions of this subtitle.

TITLE II--CYBER AND ARTIFICIAL INTELLIGENCE

Subtitle A--Advancing American AI

SEC. 4201. SHORT TITLE.

This subtitle may be cited as the ``Advancing American AI
Act''.

SEC. 4202. PURPOSE.

The purposes of this subtitle are to--
(1) encourage agency artificial intelligence-related
programs and initiatives that enhance the competitiveness of
the United States and foster an approach to artificial
intelligence that builds on the strengths of the United
States in innovation and entrepreneurialism;
(2) enhance the ability of the Federal Government to
translate research advances into artificial intelligence
applications to modernize systems and assist agency leaders
in fulfilling their missions;
(3) promote adoption of modernized business practices and
advanced technologies across the Federal Government that
align with the values of the United States, including the
protection of privacy, civil rights, and civil liberties; and
(4) test and harness applied artificial intelligence to
enhance mission effectiveness and business practice
efficiency.

SEC. 4203. DEFINITIONS.

In this subtitle:
(1) Agency.--The term ``agency'' has the meaning given the
term in section 3502 of title 44, United States Code.
(2) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Homeland Security and Governmental
Affairs of the Senate; and
(B) the Committee on Oversight and Reform of the House of
Representatives.
(3) Artificial intelligence.--The term ``artificial
intelligence'' has the meaning given the term in section
238(g) of the John S. McCain National Defense Authorization
Act for Fiscal Year 2019 (10 U.S.C. 2358 note).
(4) Artificial intelligence system.--The term ``artificial
intelligence system''--
(A) means any data system, software, application, tool, or
utility that operates in whole or in part using dynamic or
static machine learning algorithms or other forms of
artificial intelligence, whether--
(i) the data system, software, application, tool, or
utility is established primarily for the purpose of
researching, developing, or implementing artificial
intelligence technology; or
(ii) artificial intelligence capability is integrated into
another system or agency business process, operational
activity, or technology system; and
(B) does not include any common commercial product within
which artificial intelligence is embedded, such as a word
processor or map navigation system.
(5) Department.--The term ``Department'' means the
Department of Homeland Security.
(6) Director.--The term ``Director'' means the Director of
the Office of Management and Budget.

SEC. 4204. PRINCIPLES AND POLICIES FOR USE OF ARTIFICIAL
INTELLIGENCE IN GOVERNMENT.

(a) Guidance.--The Director shall, when developing the
guidance required under section 104(a) of the AI in
Government Act of 2020 (title I of division U of Public Law
116-260), consider--
(1) the considerations and recommended practices identified
by the National Security Commission on Artificial
Intelligence in the report entitled ``Key Considerations for
the Responsible Development and Fielding of AI'', as updated
in April 2021;
(2) the principles articulated in Executive Order 13960 (85
Fed. Reg. 78939; relating to promoting the use of trustworthy
artificial intelligence in Government); and
(3) the input of--
(A) the Privacy and Civil Liberties Oversight Board;
(B) relevant interagency councils, such as the Federal
Privacy Council, the Chief Information Officers Council, and
the Chief Data Officers Council;
(C) other governmental and nongovernmental privacy, civil
rights, and civil liberties experts; and
(D) any other individual or entity the Director determines
to be appropriate.
(b) Department Policies and Processes for Procurement and
Use of Artificial Intelligence-enabled Systems.--Not later
than 180 days after the date of enactment of this Act--
(1) the Secretary of Homeland Security, with the
participation of the Chief Procurement Officer, the Chief
Information Officer, the Chief Privacy Officer, and the
Officer for Civil Rights and Civil Liberties of the
Department and any other person determined to be relevant by
the Secretary of Homeland Security, shall issue policies and
procedures for the Department related to--
(A) the acquisition and use of artificial intelligence; and
(B) considerations for the risks and impacts related to
artificial intelligence-enabled systems, including associated
data of machine learning systems, to ensure that full
consideration is given to--
(i) the privacy, civil rights, and civil liberties impacts
of artificial intelligence-enabled systems; and
(ii) security against misuse, degradation, or rending
inoperable of artificial intelligence-enabled systems; and
(2) the Chief Privacy Officer and the Officer for Civil
Rights and Civil Liberties of the Department shall report to
Congress on any additional staffing or funding resources that
may be required to carry out the requirements of this
subsection.
(c) Inspector General.--Not later than 180 days after the
date of enactment of this Act, the Inspector General of the
Department shall identify any training and investments needed
to enable employees of the Office of the Inspector General to
continually advance their understanding of--
(1) artificial intelligence systems;
(2) best practices for governance, oversight, and audits of
the use of artificial intelligence systems; and
(3) how the Office of the Inspector General is using
artificial intelligence to enhance audit and investigative
capabilities, including actions to--
(A) ensure the integrity of audit and investigative
results; and
(B) guard against bias in the selection and conduct of
audits and investigations.
(d) Artificial Intelligence Hygiene and Protection of
Government Information, Privacy, Civil Rights, and Civil
Liberties.--
(1) Establishment.--Not later than 1 year after the date of
enactment of this Act, the Director, in consultation with a
working group consisting of members selected by the Director
from appropriate interagency councils, shall develop an
initial means by which to--
(A) ensure that contracts for the acquisition of an
artificial intelligence system or service--
(i) align with the guidance issued to the head of each
agency under section 104(a) of the AI in Government Act of
2020 (title I of division U of Public Law 116-260);
(ii) address protection of privacy, civil rights, and civil
liberties;
(iii) address the ownership and security of data and other
information created, used, processed, stored, maintained,
disseminated, disclosed, or disposed of by a contractor or
subcontractor on behalf of the Federal Government; and
(iv) include considerations for securing the training data,
algorithms, and other components of any artificial
intelligence system against misuse, unauthorized alteration,
degradation, or rendering inoperable; and
(B) address any other issue or concern determined to be
relevant by the Director to ensure appropriate use and
protection of privacy and Government data and other
information.
(2) Consultation.--In developing the considerations under
paragraph (1)(A)(iv), the Director shall consult with the
Secretary of Homeland Security, the Director of the National
Institute of Standards and Technology, and the Director of
National Intelligence.
(3) Review.--The Director--
(A) should continuously update the means developed under
paragraph (1); and
(B) not later than 2 years after the date of enactment of
this Act and not less frequently than every 2 years
thereafter, shall update the means developed under paragraph
(1).
(4) Briefing.--The Director shall brief the appropriate
congressional committees--
(A) not later than 90 days after the date of enactment of
this Act and thereafter on a

[[Page S7830]]

quarterly basis until the Director first implements the means
developed under paragraph (1); and
(B) annually thereafter on the implementation of this
subsection.
(5) Sunset.--This subsection shall cease to be effective on
the date that is 5 years after the date of enactment of this
Act.

SEC. 4205. AGENCY INVENTORIES AND ARTIFICIAL INTELLIGENCE USE
CASES.

(a) Inventory.--Not later than 60 days after the date of
enactment of this Act, and continuously thereafter for a
period of 5 years, the Director, in consultation with the
Chief Information Officers Council, the Chief Data Officers
Council, and other interagency bodies as determined to be
appropriate by the Director, shall require the head of each
agency to--
(1) prepare and maintain an inventory of the artificial
intelligence use cases of the agency, including current and
planned uses;
(2) share agency inventories with other agencies, to the
extent practicable and consistent with applicable law and
policy, including those concerning protection of privacy and
of sensitive law enforcement, national security, and other
protected information; and
(3) make agency inventories available to the public, in a
manner determined by the Director, and to the extent
practicable and in accordance with applicable law and policy,
including those concerning the protection of privacy and of
sensitive law enforcement, national security, and other
protected information.
(b) Central Inventory.--The Director is encouraged to
designate a host entity and ensure the creation and
maintenance of an online public directory to--
(1) make agency artificial intelligence use case
information available to the public and those wishing to do
business with the Federal Government; and
(2) identify common use cases across agencies.
(c) Sharing.--The sharing of agency inventories described
in subsection (a)(2) may be coordinated through the Chief
Information Officers Council, the Chief Data Officers
Council, the Chief Financial Officers Council, the Chief
Acquisition Officers Council, or other interagency bodies to
improve interagency coordination and information sharing for
common use cases.

SEC. 4206. RAPID PILOT, DEPLOYMENT AND SCALE OF APPLIED
ARTIFICIAL INTELLIGENCE CAPABILITIES TO
DEMONSTRATE MODERNIZATION ACTIVITIES RELATED TO
USE CASES.

(a) Identification of Use Cases.--Not later than 270 days
after the date of enactment of this Act, the Director, in
consultation with the Chief Information Officers Council, the
Chief Data Officers Council, and other interagency bodies as
determined to be appropriate by the Director, shall identify
4 new use cases for the application of artificial
intelligence-enabled systems to support interagency or intra-
agency modernization initiatives that require linking
multiple siloed internal and external data sources,
consistent with applicable laws and policies, including those
relating to the protection of privacy and of sensitive law
enforcement, national security, and other protected
information.
(b) Pilot Program.--
(1) Purposes.--The purposes of the pilot program under this
subsection include--
(A) to enable agencies to operate across organizational
boundaries, coordinating between existing established
programs and silos to improve delivery of the agency mission;
and
(B) to demonstrate the circumstances under which artificial
intelligence can be used to modernize or assist in
modernizing legacy agency systems.
(2) Deployment and pilot.--Not later than 1 year after the
date of enactment of this Act, the Director, in coordination
with the heads of relevant agencies and other officials as
the Director determines to be appropriate, shall ensure the
initiation of the piloting of the 4 new artificial
intelligence use case applications identified under
subsection (a), leveraging commercially available
technologies and systems to demonstrate scalable artificial
intelligence-enabled capabilities to support the use cases
identified under subsection (a).
(3) Risk evaluation and mitigation plan.--In carrying out
paragraph (2), the Director shall require the heads of
agencies to--
(A) evaluate risks in utilizing artificial intelligence
systems; and
(B) develop a risk mitigation plan to address those risks,
including consideration of--
(i) the artificial intelligence system not performing as
expected;
(ii) the lack of sufficient or quality training data; and
(iii) the vulnerability of a utilized artificial
intelligence system to unauthorized manipulation or misuse.
(4) Prioritization.--In carrying out paragraph (2), the
Director shall prioritize modernization projects that--
(A) would benefit from commercially available privacy-
preserving techniques, such as use of differential privacy,
federated learning, and secure multiparty computing; and
(B) otherwise take into account considerations of civil
rights and civil liberties.
(5) Use case modernization application areas.--Use case
modernization application areas described in paragraph (2)
shall include not less than 1 from each of the following
categories:
(A) Applied artificial intelligence to drive agency
productivity efficiencies in predictive supply chain and
logistics, such as--
(i) predictive food demand and optimized supply;
(ii) predictive medical supplies and equipment demand and
optimized supply; or
(iii) predictive logistics to accelerate disaster
preparedness, response, and recovery.
(B) Applied artificial intelligence to accelerate agency
investment return and address mission-oriented challenges,
such as--
(i) applied artificial intelligence portfolio management
for agencies;
(ii) workforce development and upskilling;
(iii) redundant and laborious analyses;
(iv) determining compliance with Government requirements,
such as with grants management; or
(v) outcomes measurement to measure economic and social
benefits.
(6) Requirements.--Not later than 3 years after the date of
enactment of this Act, the Director, in coordination with the
heads of relevant agencies and other officials as the
Director determines to be appropriate, shall establish an
artificial intelligence capability within each of the 4 use
case pilots under this subsection that--
(A) solves data access and usability issues with automated
technology and eliminates or minimizes the need for manual
data cleansing and harmonization efforts;
(B) continuously and automatically ingests data and updates
domain models in near real-time to help identify new patterns
and predict trends, to the extent possible, to help agency
personnel to make better decisions and take faster actions;
(C) organizes data for meaningful data visualization and
analysis so the Government has predictive transparency for
situational awareness to improve use case outcomes;
(D) is rapidly configurable to support multiple
applications and automatically adapts to dynamic conditions
and evolving use case requirements, to the extent possible;
(E) enables knowledge transfer and collaboration across
agencies; and
(F) preserves intellectual property rights to the data and
output for benefit of the Federal Government and agencies.
(c) Briefing.--Not earlier than 270 days but not later than
1 year after the date of enactment of this Act, and annually
thereafter for 4 years, the Director shall brief the
appropriate congressional committees on the activities
carried out under this section and results of those
activities.
(d) Sunset.--The section shall cease to be effective on the
date that is 5 years after the date of enactment of this Act.

SEC. 4207. ENABLING ENTREPRENEURS AND AGENCY MISSIONS.

(a) Innovative Commercial Items.--Section 880 of the
National Defense Authorization Act for Fiscal Year 2017 (41
U.S.C. 3301 note) is amended--
(1) in subsection (c), by striking $10,000,000'' and
inserting ``$25,000,000'';
(2) by amending subsection (f) to read as follows:
``(f) Definitions.--In this section--
``(1) the term `commercial product'--
``(A) has the meaning given the term `commercial item' in
section 2.101 of the Federal Acquisition Regulation; and
``(B) includes a commercial product or a commercial
service, as defined in sections 103 and 103a, respectively,
of title 41, United States Code; and
``(2) the term `innovative' means--
``(A) any new technology, process, or method, including
research and development; or
``(B) any new application of an existing technology,
process, or method.''; and
(3) in subsection (g), by striking ``2022'' and insert
``2027''.
(b) DHS Other Transaction Authority.--Section 831 of the
Homeland Security Act of 2002 (6 U.S.C. 391) is amended--
(1) in subsection (a)--
(A) in the matter preceding paragraph (1), by striking
``September 30, 2017'' and inserting ``September 30, 2024'';
and
(B) by amending paragraph (2) to read as follows:
``(2) Prototype projects.--The Secretary--
``(A) may, under the authority of paragraph (1), carry out
prototype projects under section 2371b of title 10, United
States Code; and
``(B) in applying the authorities of such section 2371b,
the Secretary shall perform the functions of the Secretary of
Defense as prescribed in such section.'';
(2) in subsection (c)(1), by striking ``September 30,
2017'' and inserting ``September 30, 2024''; and
(3) in subsection (d), by striking ``section 845(e)'' and
all that follows and inserting ``section 2371b(e) of title
10, United States Code.''.
(c) Commercial Off the Shelf Supply Chain Risk Management
Tools.--The General Services Administration is encouraged to
pilot commercial off the shelf supply chain risk management
tools to improve the ability of the Federal Government to
characterize, monitor, predict, and respond to specific
supply chain threats and vulnerabilities that could inhibit
future Federal acquisition operations.

Subtitle B--Cyber Response and Recovery

SEC. 4251. SHORT TITLE.

This subtitle may be cited as the ``Cyber Response and
Recovery Act''.

[[Page S7831]]

SEC. 4252. DECLARATION OF A SIGNIFICANT INCIDENT.

(a) In General.--Title XXII of the Homeland Security Act of
2002 (6 U.S.C. 651 et seq.) is amended by adding at the end
the following:

``Subtitle C--Declaration of a Significant Incident

``SEC. 2231. SENSE OF CONGRESS.

``It is the sense of Congress that--
``(1) the purpose of this subtitle is to authorize the
Secretary to declare that a significant incident has occurred
and to establish the authorities that are provided under the
declaration to respond to and recover from the significant
incident; and
``(2) the authorities established under this subtitle are
intended to enable the Secretary to provide voluntary
assistance to non-Federal entities impacted by a significant
incident.

``SEC. 2232. DEFINITIONS.

``For the purposes of this subtitle:
``(1) Asset response activity.--The term `asset response
activity' means an activity to support an entity impacted by
an incident with the response to, remediation of, or recovery
from, the incident, including--
``(A) furnishing technical and advisory assistance to the
entity to protect the assets of the entity, mitigate
vulnerabilities, and reduce the related impacts;
``(B) assessing potential risks to the critical
infrastructure sector or geographic region impacted by the
incident, including potential cascading effects of the
incident on other critical infrastructure sectors or
geographic regions;
``(C) developing courses of action to mitigate the risks
assessed under subparagraph (B);
``(D) facilitating information sharing and operational
coordination with entities performing threat response
activities; and
``(E) providing guidance on how best to use Federal
resources and capabilities in a timely, effective manner to
speed recovery from the incident.
``(2) Declaration.--The term `declaration' means a
declaration of the Secretary under section 2233(a)(1).
``(3) Director.--The term `Director' means the Director of
the Cybersecurity and Infrastructure Security Agency.
``(4) Federal agency.--The term `Federal agency' has the
meaning given the term `agency' in section 3502 of title 44,
United States Code.
``(5) Fund.--The term `Fund' means the Cyber Response and
Recovery Fund established under section 2234(a).
``(6) Incident.--The term `incident' has the meaning given
the term in section 3552 of title 44, United States Code.
``(7) Renewal.--The term `renewal' means a renewal of a
declaration under section 2233(d).
``(8) Significant incident.--The term `significant
incident'--
``(A) means an incident or a group of related incidents
that results, or is likely to result, in demonstrable harm
to--
``(i) the national security interests, foreign relations,
or economy of the United States; or
``(ii) the public confidence, civil liberties, or public
health and safety of the people of the United States; and
``(B) does not include an incident or a portion of a group
of related incidents that occurs on--
``(i) a national security system (as defined in section
3552 of title 44, United States Code); or
``(ii) an information system described in paragraph (2) or
(3) of section 3553(e) of title 44, United States Code.

``SEC. 2233. DECLARATION.

``(a) In General.--
``(1) Declaration.--The Secretary, in consultation with the
National Cyber Director, may make a declaration of a
significant incident in accordance with this section for the
purpose of enabling the activities described in this subtitle
if the Secretary determines that--
``(A) a specific significant incident--
``(i) has occurred; or
``(ii) is likely to occur imminently; and
``(B) otherwise available resources, other than the Fund,
are likely insufficient to respond effectively to, or to
mitigate effectively, the specific significant incident
described in subparagraph (A).
``(2) Prohibition on delegation.--The Secretary may not
delegate the authority provided to the Secretary under
paragraph (1).
``(b) Asset Response Activities.--Upon a declaration, the
Director shall coordinate--
``(1) the asset response activities of each Federal agency
in response to the specific significant incident associated
with the declaration; and
``(2) with appropriate entities, which may include--
``(A) public and private entities and State and local
governments with respect to the asset response activities of
those entities and governments; and
``(B) Federal, State, local, and Tribal law enforcement
agencies with respect to investigations and threat response
activities of those law enforcement agencies; and
``(3) Federal, State, local, and Tribal emergency
management and response agencies.
``(c) Duration.--Subject to subsection (d), a declaration
shall terminate upon the earlier of--
``(1) a determination by the Secretary that the declaration
is no longer necessary; or
``(2) the expiration of the 120-day period beginning on the
date on which the Secretary makes the declaration.
``(d) Renewal.--The Secretary, without delegation, may
renew a declaration as necessary.
``(e) Publication.--
``(1) In general.--Not later than 72 hours after a
declaration or a renewal, the Secretary shall publish the
declaration or renewal in the Federal Register.
``(2) Prohibition.--A declaration or renewal published
under paragraph (1) may not include the name of any affected
individual or private company.
``(f) Advance Actions.--
``(1) In general.--The Secretary--
``(A) shall assess the resources available to respond to a
potential declaration; and
``(B) may take actions before and while a declaration is in
effect to arrange or procure additional resources for asset
response activities or technical assistance the Secretary
determines necessary, which may include entering into standby
contracts with private entities for cybersecurity services or
incident responders in the event of a declaration.
``(2) Expenditure of funds.--Any expenditure from the Fund
for the purpose of paragraph (1)(B) shall be made from
amounts available in the Fund, and amounts available in the
Fund shall be in addition to any other appropriations
available to the Cybersecurity and Infrastructure Security
Agency for such purpose.

``SEC. 2234. CYBER RESPONSE AND RECOVERY FUND.

``(a) In General.--There is established a Cyber Response
and Recovery Fund, which shall be available for--
``(1) the coordination of activities described in section
2233(b);
``(2) response and recovery support for the specific
significant incident associated with a declaration to
Federal, State, local, and Tribal, entities and public and
private entities on a reimbursable or non-reimbursable basis,
including through asset response activities and technical
assistance, such as--
``(A) vulnerability assessments and mitigation;
``(B) technical incident mitigation;
``(C) malware analysis;
``(D) analytic support;
``(E) threat detection and hunting; and
``(F) network protections;
``(3) as the Director determines appropriate, grants for,
or cooperative agreements with, Federal, State, local, and
Tribal public and private entities to respond to, and recover
from, the specific significant incident associated with a
declaration, such as--
``(A) hardware or software to replace, update, improve,
harden, or enhance the functionality of existing hardware,
software, or systems; and
``(B) technical contract personnel support; and
``(4) advance actions taken by the Secretary under section
2233(f)(1)(B).
``(b) Deposits and Expenditures.--
``(1) In general.--Amounts shall be deposited into the Fund
from--
``(A) appropriations to the Fund for activities of the
Fund; and
``(B) reimbursement from Federal agencies for the
activities described in paragraphs (1), (2), and (4) of
subsection (a), which shall only be from amounts made
available in advance in appropriations Acts for such
reimbursement.
``(2) Expenditures.--Any expenditure from the Fund for the
purposes of this subtitle shall be made from amounts
available in the Fund from a deposit described in paragraph
(1), and amounts available in the Fund shall be in addition
to any other appropriations available to the Cybersecurity
and Infrastructure Security Agency for such purposes.
``(c) Supplement Not Supplant.--Amounts in the Fund shall
be used to supplement, not supplant, other Federal, State,
local, or Tribal funding for activities in response to a
declaration.
``(d) Reporting.--The Secretary shall require an entity
that receives amounts from the Fund to submit a report to the
Secretary that details the specific use of the amounts.

``SEC. 2235. NOTIFICATION AND REPORTING.

``(a) Notification.--Upon a declaration or renewal, the
Secretary shall immediately notify the National Cyber
Director and appropriate congressional committees and include
in the notification--
``(1) an estimation of the planned duration of the
declaration;
``(2) with respect to a notification of a declaration, the
reason for the declaration, including information relating to
the specific significant incident or imminent specific
significant incident, including--
``(A) the operational or mission impact or anticipated
impact of the specific significant incident on Federal and
non-Federal entities;
``(B) if known, the perpetrator of the specific significant
incident; and
``(C) the scope of the Federal and non-Federal entities
impacted or anticipated to be impacted by the specific
significant incident;
``(3) with respect to a notification of a renewal, the
reason for the renewal;
``(4) justification as to why available resources, other
than the Fund, are insufficient to respond to or mitigate the
specific significant incident; and
``(5) a description of the coordination activities
described in section 2233(b) that the Secretary anticipates
the Director to perform.

[[Page S7832]]

``(b) Report to Congress.--Not later than 180 days after
the date of a declaration or renewal, the Secretary shall
submit to the appropriate congressional committees a report
that includes--
``(1) the reason for the declaration or renewal, including
information and intelligence relating to the specific
significant incident that led to the declaration or renewal;
``(2) the use of any funds from the Fund for the purpose of
responding to the incident or threat described in paragraph
(1);
``(3) a description of the actions, initiatives, and
projects undertaken by the Department and State and local
governments and public and private entities in responding to
and recovering from the specific significant incident
described in paragraph (1);
``(4) an accounting of the specific obligations and outlays
of the Fund; and
``(5) an analysis of--
``(A) the impact of the specific significant incident
described in paragraph (1) on Federal and non-Federal
entities;
``(B) the impact of the declaration or renewal on the
response to, and recovery from, the specific significant
incident described in paragraph (1); and
``(C) the impact of the funds made available from the Fund
as a result of the declaration or renewal on the recovery
from, and response to, the specific significant incident
described in paragraph (1).
``(c) Classification.--Each notification made under
subsection (a) and each report submitted under subsection
(b)--
``(1) shall be in an unclassified form with appropriate
markings to indicate information that is exempt from
disclosure under section 552 of title 5, United States Code
(commonly known as the `Freedom of Information Act'); and
``(2) may include a classified annex.
``(d) Consolidated Report.--The Secretary shall not be
required to submit multiple reports under subsection (b) for
multiple declarations or renewals if the Secretary determines
that the declarations or renewals substantively relate to the
same specific significant incident.
``(e) Exemption.--The requirements of subchapter I of
chapter 35 of title 44 (commonly known as the `Paperwork
Reduction Act') shall not apply to the voluntary collection
of information by the Department during an investigation of,
a response to, or an immediate post-response review of, the
specific significant incident leading to a declaration or
renewal.

``SEC. 2236. RULE OF CONSTRUCTION.

``Nothing in this subtitle shall be construed to impair or
limit the ability of the Director to carry out the authorized
activities of the Cybersecurity and Infrastructure Security
Agency.

``SEC. 2237. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to the Fund
$20,000,000 for fiscal year 2022, which shall remain
available until September 30, 2028.

``SEC. 2238. SUNSET.

``The authorities granted to the Secretary or the Director
under this subtitle shall expire on the date that is 7 years
after the date of enactment of this subtitle.''.
(b) Clerical Amendment.--The table of contents in section
1(b) of the Homeland Security Act of 2002 (Public Law 107-
296; 116 Stat. 2135) is amended by adding at the end the
following:

``Subtitle C--Declaration of a Significant Incident

``Sec. 2231. Sense of Congress.
``Sec. 2232. Definitions.
``Sec. 2233. Declaration.
``Sec. 2234. Cyber response and recovery fund.
``Sec. 2235. Notification and reporting.
``Sec. 2236. Rule of construction.
``Sec. 2237. Authorization of appropriations.
``Sec. 2238. Sunset.''.

TITLE III--PERSONNEL

Subtitle A--Facilitating Federal Employee Reskilling

SEC. 4301. SHORT TITLE.

This subtitle may be cited as the ``Facilitating Federal
Employee Reskilling Act''.

SEC. 4302. RESKILLING FEDERAL EMPLOYEES.

(a) Definitions.--In this section:
(1) Agency.--The term ``agency'' has the meaning given the
term ``Executive agency'' in section 105 of title 5, United
States Code.
(2) Appropriate committees of congress.--The term
``appropriate committees of Congress'' means--
(A) the Committee on Homeland Security and Governmental
Affairs of the Senate; and
(B) the Committee on Oversight and Reform of the House of
Representatives.
(3) Competitive service.--The term ``competitive service''
has the meaning given the term in section 2102 of title 5,
United States Code.
(4) Director.--The term ``Director'' means the Director of
the Office of Personnel Management.
(5) Employee.--The term ``employee'' means an employee
serving in a position in the competitive service or the
excepted service.
(6) Excepted service.--The term ``excepted service'' has
the meaning given the term in section 2103 of title 5, United
States Code.
(7) Federal reskilling program.--The term ``Federal
reskilling program'' means a program established by the head
of an agency or the Director to provide employees with the
technical skill or expertise that would qualify the employees
to serve in a different position in the competitive service
or the excepted service that requires such technical skill or
expertise.
(b) Requirements.--With respect to a Federal reskilling
program established by the head of an agency or by the
Director before, on, or after the date of enactment of this
Act, the agency head or the Director, as applicable, shall
ensure that the Federal reskilling program--
(1) is implemented in a manner that is in accordance with
the bar on prohibited personnel practices under section 2302
of title 5, United States Code, and consistent with the merit
system principles under section 2301 of title 5, United
States Code, including by using merit-based selection
procedures for participation by employees in the Federal
reskilling program;
(2) includes appropriate limitations or restrictions
associated with implementing the Federal reskilling program,
which shall be consistent with any regulations prescribed by
the Director under subsection (e);
(3) provides that any new position to which an employee who
participates in the Federal reskilling program is transferred
will utilize the technical skill or expertise that the
employee acquired by participating in the Federal reskilling
program;
(4) includes the option for an employee participating in
the Federal reskilling program to return to the original
position of the employee, or a similar position, particularly
if the employee is unsuccessful in the position to which the
employee transfers after completing the Federal reskilling
program;
(5) provides that an employee who successfully completes
the Federal reskilling program and transfers to a position
that requires the technical skill or expertise provided
through the Federal reskilling program shall be entitled to
have the grade of the position held immediately before the
transfer in a manner in accordance with section 5362 of title
5, United States Code;
(6) provides that an employee serving in a position in the
excepted service may not transfer to a position in the
competitive service solely by reason of the completion of the
Federal reskilling program by the employee; and
(7) includes a mechanism to track outcomes of the Federal
reskilling program in accordance with the metrics established
under subsection (c).
(c) Reporting and Metrics.--Not later than 1 year after the
date of enactment of this Act, the Director shall establish
reporting requirements for, and standardized metrics and
procedures for agencies to track outcomes of, Federal
reskilling programs, which shall include, with respect to
each Federal reskilling program--
(1) providing a summary of the Federal reskilling program;
(2) collecting and reporting demographic and employment
data with respect to employees who have applied for,
participated in, or completed the Federal reskilling program;
(3) attrition of employees who have completed the Federal
reskilling program; and
(4) any other measures or outcomes that the Director
determines to be relevant.
(d) GAO Report.--Not later than 3 years after the date of
enactment of this Act, the Comptroller General of the United
States shall conduct a comprehensive study of, and submit to
Congress a report on, Federal reskilling programs that
includes--
(1) a summary of each Federal reskilling program and
methods by which each Federal reskilling program recruits,
selects, and retrains employees;
(2) an analysis of the accessibility of each Federal
reskilling program for a diverse set of candidates;
(3) an evaluation of the effectiveness, costs, and benefits
of the Federal reskilling programs; and
(4) recommendations to improve Federal reskilling programs
to accomplish the goal of reskilling the Federal workforce.
(e) Regulations.--The Director--
(1) not later than 1 year after the date of enactment of
this Act, shall prescribe regulations for the reporting
requirements and metrics and procedures under subsection (c);
(2) may prescribe additional regulations, as the Director
determines necessary, to provide for requirements with
respect to, and the implementation of, Federal reskilling
programs; and
(3) with respect to any regulation prescribed under this
subsection, shall brief the appropriate committees of
Congress with respect to the regulation not later than 30
days before the date on which the final version of the
regulation is published.
(f) Rule of Construction.--Nothing in this section may be
construed to require the head of an agency or the Director to
establish a Federal reskilling program.
(g) Use of Funds.--Any Federal reskilling program
established by the head of an agency or the Director shall be
carried out using amounts otherwise made available to that
agency head or the Director, as applicable.

Subtitle B--Federal Rotational Cyber Workforce Program

SEC. 4351. SHORT TITLE.

This subtitle may be cited as the ``Federal Rotational
Cyber Workforce Program Act of 2021''.

SEC. 4352. DEFINITIONS.

In this subtitle:
(1) Agency.--The term ``agency'' has the meaning given the
term ``Executive agency'' in section 105 of title 5, United
States Code, except that the term does not include the
Government Accountability Office.

[[Page S7833]]

(2) Competitive service.--The term ``competitive service''
has the meaning given that term in section 2102 of title 5,
United States Code.
(3) Councils.--The term ``Councils'' means--
(A) the Chief Human Capital Officers Council established
under section 1303 of the Chief Human Capital Officers Act of
2002 (5 U.S.C. 1401 note); and
(B) the Chief Information Officers Council established
under section 3603 of title 44, United States Code.
(4) Cyber workforce position.--The term ``cyber workforce
position'' means a position identified as having information
technology, cybersecurity, or other cyber-related functions
under section 303 of the Federal Cybersecurity Workforce
Assessment Act of 2015 (5 U.S.C. 301 note).
(5) Director.--The term ``Director'' means the Director of
the Office of Personnel Management.
(6) Employee.--The term ``employee'' has the meaning given
the term in section 2105 of title 5, United States Code.
(7) Employing agency.--The term ``employing agency'' means
the agency from which an employee is detailed to a rotational
cyber workforce position.
(8) Excepted service.--The term ``excepted service'' has
the meaning given that term in section 2103 of title 5,
United States Code.
(9) Rotational cyber workforce position.--The term
``rotational cyber workforce position'' means a cyber
workforce position with respect to which a determination has
been made under section 4353(a)(1).
(10) Rotational cyber workforce program.--The term
``rotational cyber workforce program'' means the program for
the detail of employees among rotational cyber workforce
positions at agencies.
(11) Secretary.--The term ``Secretary'' means the Secretary
of Homeland Security.

SEC. 4353. ROTATIONAL CYBER WORKFORCE POSITIONS.

(a) Determination With Respect to Rotational Service.--
(1) In general.--The head of each agency may determine that
a cyber workforce position in that agency is eligible for the
rotational cyber workforce program, which shall not be
construed to modify the requirement under section 4354(b)(3)
that participation in the rotational cyber workforce program
by an employee shall be voluntary.
(2) Notice provided.--The head of an agency shall submit to
the Director--
(A) notice regarding any determination made by the head of
the agency under paragraph (1); and
(B) for each position with respect to which the head of the
agency makes a determination under paragraph (1), the
information required under subsection (b)(1).
(b) Preparation of List.--The Director, with assistance
from the Councils and the Secretary, shall develop a list of
rotational cyber workforce positions that--
(1) with respect to each such position, to the extent that
the information does not disclose sensitive national security
information, includes--
(A) the title of the position;
(B) the occupational series with respect to the position;
(C) the grade level or work level with respect to the
position;
(D) the agency in which the position is located;
(E) the duty location with respect to the position; and
(F) the major duties and functions of the position; and
(2) shall be used to support the rotational cyber workforce
program.
(c) Distribution of List.--Not less frequently than
annually, the Director shall distribute an updated list
developed under subsection (b) to the head of each agency and
other appropriate entities.

SEC. 4354. ROTATIONAL CYBER WORKFORCE PROGRAM.

(a) Operation Plan.--
(1) In general.--Not later than 270 days after the date of
enactment of this Act, and in consultation with the Councils,
the Secretary, representatives of other agencies, and any
other entity as the Director determines appropriate, the
Director shall develop and issue a Federal Rotational Cyber
Workforce Program operation plan providing policies,
processes, and procedures for a program for the detailing of
employees among rotational cyber workforce positions at
agencies, which may be incorporated into and implemented
through mechanisms in existence on the date of enactment of
this Act.
(2) Updating.--The Director may, in consultation with the
Councils, the Secretary, and other entities as the Director
determines appropriate, periodically update the operation
plan developed and issued under paragraph (1).
(b) Requirements.--The operation plan developed and issued
under subsection (a) shall, at a minimum--
(1) identify agencies for participation in the rotational
cyber workforce program;
(2) establish procedures for the rotational cyber workforce
program, including--
(A) any training, education, or career development
requirements associated with participation in the rotational
cyber workforce program;
(B) any prerequisites or requirements for participation in
the rotational cyber workforce program; and
(C) appropriate rotational cyber workforce program
performance measures, reporting requirements, employee exit
surveys, and other accountability devices for the evaluation
of the program;
(3) provide that participation in the rotational cyber
workforce program by an employee shall be voluntary;
(4) provide that an employee shall be eligible to
participate in the rotational cyber workforce program if the
head of the employing agency of the employee, or a designee
of the head of the employing agency of the employee, approves
of the participation of the employee;
(5) provide that the detail of an employee to a rotational
cyber workforce position under the rotational cyber workforce
program shall be on a nonreimbursable basis;
(6) provide that agencies may agree to partner to ensure
that the employing agency of an employee who participates in
the rotational cyber workforce program is able to fill the
position vacated by the employee;
(7) require that an employee detailed to a rotational cyber
workforce position under the rotational cyber workforce
program, upon the end of the period of service with respect
to the detail, shall be entitled to return to the position
held by the employee, or an equivalent position, in the
employing agency of the employee without loss of pay,
seniority, or other rights or benefits to which the employee
would have been entitled had the employee not been detailed;
(8) provide that discretion with respect to the assignment
of an employee under the rotational cyber workforce program
shall remain with the employing agency of the employee;
(9) require that an employee detailed to a rotational cyber
workforce position under the rotational cyber workforce
program in an agency that is not the employing agency of the
employee shall have all the rights that would be available to
the employee if the employee were detailed under a provision
of law other than this subtitle from the employing agency to
the agency in which the rotational cyber workforce position
is located;
(10) provide that participation by an employee in the
rotational cyber workforce program shall not constitute a
change in the conditions of the employment of the employee;
and
(11) provide that an employee participating in the
rotational cyber workforce program shall receive performance
evaluations relating to service in the rotational cyber
workforce program in a participating agency that are--
(A) prepared by an appropriate officer, supervisor, or
management official of the employing agency, acting in
coordination with the supervisor at the agency in which the
employee is performing service in the rotational cyber
workforce position;
(B) based on objectives identified in the operation plan
with respect to the employee; and
(C) based in whole or in part on the contribution of the
employee to the agency in which the employee performed such
service, as communicated from that agency to the employing
agency of the employee.
(c) Program Requirements for Rotational Service.--
(1) In general.--An employee serving in a cyber workforce
position in an agency may, with the approval of the head of
the agency, submit an application for detail to a rotational
cyber workforce position that appears on the list developed
under section 4353(b).
(2) OPM approval for certain positions.--An employee
serving in a position in the excepted service may only be
selected for a rotational cyber workforce position that is in
the competitive service with the prior approval of the Office
of Personnel Management, in accordance with section 300.301
of title 5, Code of Federal Regulations, or any successor
thereto.
(3) Selection and term.--
(A) Selection.--The head of an agency shall select an
employee for a rotational cyber workforce position under the
rotational cyber workforce program in a manner that is
consistent with the merit system principles under section
2301(b) of title 5, United States Code.
(B) Term.--Except as provided in subparagraph (C), and
notwithstanding section 3341(b) of title 5, United States
Code, a detail to a rotational cyber workforce position shall
be for a period of not less than 180 days and not more than 1
year.
(C) Extension.--The Chief Human Capital Officer of the
agency to which an employee is detailed under the rotational
cyber workforce program may extend the period of a detail
described in subparagraph (B) for a period of 60 days unless
the Chief Human Capital Officer of the employing agency of
the employee objects to that extension.
(4) Written service agreements.--
(A) In general.--The detail of an employee to a rotational
cyber workforce position shall be contingent upon the
employee entering into a written service agreement with the
employing agency under which the employee is required to
complete a period of employment with the employing agency
following the conclusion of the detail that is equal in
length to the period of the detail.
(B) Other agreements and obligations.--A written service
agreement under subparagraph (A) shall not supersede or
modify the terms or conditions of any other service agreement
entered into by the employee under any other authority or
relieve the obligations between the employee and the
employing agency under such a service agreement. Nothing in
this subparagraph prevents

[[Page S7834]]

an employing agency from terminating a service agreement
entered into under any other authority under the terms of
such agreement or as required by law or regulation.

SEC. 4355. REPORTING BY GAO.

Not later than the end of the third fiscal year after the
fiscal year in which the operation plan under section 4354(a)
is issued, the Comptroller General of the United States shall
submit to Congress a report assessing the operation and
effectiveness of the rotational cyber workforce program,
which shall address, at a minimum--
(1) the extent to which agencies have participated in the
rotational cyber workforce program, including whether the
head of each such participating agency has--
(A) identified positions within the agency that are
rotational cyber workforce positions;
(B) had employees from other participating agencies serve
in positions described in subparagraph (A); and
(C) had employees of the agency request to serve in
rotational cyber workforce positions under the rotational
cyber workforce program in participating agencies, including
a description of how many such requests were approved; and
(2) the experiences of employees serving in rotational
cyber workforce positions under the rotational cyber
workforce program, including an assessment of--
(A) the period of service;
(B) the positions (including grade level and occupational
series or work level) held by employees before completing
service in a rotational cyber workforce position under the
rotational cyber workforce program;
(C) the extent to which each employee who completed service
in a rotational cyber workforce position under the rotational
cyber workforce program achieved a higher skill level, or
attained a skill level in a different area, with respect to
information technology, cybersecurity, or other cyber-related
functions; and
(D) the extent to which service in rotational cyber
workforce positions has affected intra-agency and interagency
integration and coordination of cyber practices, functions,
and personnel management.

SEC. 4356. SUNSET.

Effective 5 years after the date of enactment of this Act,
this subtitle is repealed.

TITLE IV--OTHER MATTERS

Subtitle A--Ensuring Security of Unmanned Aircraft Systems

SEC. 4401. SHORT TITLE.

This subtitle may be cited as the ``American Security Drone
Act of 2021''.

SEC. 4402. DEFINITIONS.

In this subtitle:
(1) Covered foreign entity.--The term ``covered foreign
entity'' means an entity included on a list developed and
maintained by the Federal Acquisition Security Council. This
list will include entities in the following categories:
(A) An entity included on the Consolidated Screening List.
(B) Any entity that is subject to extrajudicial direction
from a foreign government, as determined by the Secretary of
Homeland Security.
(C) Any entity the Secretary of Homeland Security, in
coordination with the Director of National Intelligence and
the Secretary of Defense, determines poses a national
security risk.
(D) Any entity domiciled in the People's Republic of China
or subject to influence or control by the Government of the
People's Republic of China or the Communist Party of the
People's Republic of China, as determined by the Secretary of
Homeland Security.
(E) Any subsidiary or affiliate of an entity described in
subparagraphs (A) through (D).
(2) Covered unmanned aircraft system.--The term ``covered
unmanned aircraft system'' has the meaning given the term
``unmanned aircraft system'' in section 44801 of title 49,
United States Code.

SEC. 4403. PROHIBITION ON PROCUREMENT OF COVERED UNMANNED
AIRCRAFT SYSTEMS FROM COVERED FOREIGN ENTITIES.

(a) In General.--Except as provided under subsections (b)
though (f), the head of an executive agency may not procure
any covered unmanned aircraft system that are manufactured or
assembled by a covered foreign entity, which includes
associated elements (consisting of communication links and
the components that control the unmanned aircraft) that are
required for the operator to operate safely and efficiently
in the national airspace system. The Federal Acquisition
Security Council, in coordination with the Secretary of
Transportation, shall develop and update a list of associated
elements.
(b) Exemption.--The Secretary of Homeland Security, the
Secretary of Defense, and the Attorney General are exempt
from the restriction under subsection (a) if the operation or
procurement--
(1) is for the sole purposes of research, evaluation,
training, testing, or analysis for--
(A) electronic warfare;
(B) information warfare operations;
(C) development of UAS or counter-UAS technology;
(D) counterterrorism or counterintelligence activities; or
(E) Federal criminal or national security investigations,
including forensic examinations; and
(2) is required in the national interest of the United
States.
(c) Federal Aviation Administration Center of Excellence
for Unmanned Aircraft Systems Exemption.--The Secretary of
Transportation, in consultation with the Secretary of
Homeland Security, is exempt from the restriction under
subsection (a) if the operation or procurement is for the
sole purposes of research, evaluation, training, testing, or
analysis for the Federal Aviation Administration's Alliance
for System Safety of UAS through Research Excellence (ASSURE)
Center of Excellence (COE) for Unmanned Aircraft Systems.
(d) National Transportation Safety Board Exemption.--The
National Transportation Safety Board (NTSB), in consultation
with the Secretary of Homeland Security, is exempt from the
restriction under subsection (a) if the operation or
procurement is necessary for the sole purpose of conducting
safety investigations.
(e) National Oceanic Atmospheric Administration
Exemption.--The Administrator of the National Oceanic
Atmospheric Administration (NOAA), in consultation with the
Secretary of Homeland Security, is exempt from the
restriction under subsection (a) if the operation or
procurement is necessary for the sole purpose of marine or
atmospheric science or management.
(f) Waiver.--The head of an executive agency may waive the
prohibition under subsection (a) on a case-by-case basis--
(1) with the approval of the Secretary of Homeland Security
or the Secretary of Defense; and
(2) upon notification to Congress.

SEC. 4404. PROHIBITION ON OPERATION OF COVERED UNMANNED
AIRCRAFT SYSTEMS FROM COVERED FOREIGN ENTITIES.

(a) Prohibition.--
(1) In general.--Beginning on the date that is 2 years
after the date of the enactment of this Act, no Federal
department or agency may operate a covered unmanned aircraft
system manufactured or assembled by a covered foreign entity.
(2) Applicability to contracted services.--The prohibition
under paragraph (1) applies to any covered unmanned aircraft
systems that are being used by any executive agency through
the method of contracting for the services of covered
unmanned aircraft systems.
(b) Exemption.--The Secretary of Homeland Security, the
Secretary of Defense, and the Attorney General are exempt
from the restriction under subsection (a) if the operation or
procurement--
(1) is for the sole purposes of research, evaluation,
training, testing, or analysis for--
(A) electronic warfare;
(B) information warfare operations;
(C) development of UAS or counter-UAS technology;
(D) counterterrorism or counterintelligence activities; or
(E) Federal criminal or national security investigations,
including forensic examinations; and
(2) is required in the national interest of the United
States.
(c) Federal Aviation Administration Center of Excellence
for Unmanned Aircraft Systems Exemption.--The Secretary of
Transportation, in consultation with the Secretary of
Homeland Security, is exempt from the restriction under
subsection (a) if the operation or procurement is for the
sole purposes of research, evaluation, training, testing, or
analysis for the Federal Aviation Administration's Alliance
for System Safety of UAE through Research Excellence (ASSURE)
Center of Excellence (COE) for Unmanned Aircraft Systems.
(d) National Transportation Safety Board Exemption.--The
National Transportation Safety Board (NTSB), in consultation
with the Secretary of Homeland Security, is exempt from the
restriction under subsection (a) if the operation or
procurement is necessary for the sole purpose of conducting
safety investigations.
(e) National Oceanic Atmospheric Administration
Exemption.--The Administrator of the National Oceanic
Atmospheric Administration (NOAA), in consultation with the
Secretary of Homeland Security, is exempt from the
restriction under subsection (a) if the operation or
procurement is necessary for the sole purpose of marine or
atmospheric science or management.
(f) Waiver.--The head of an executive agency may waive the
prohibition under subsection (a) on a case-by-case basis--
(1) with the approval of the Secretary of Homeland Security
or the Secretary of Defense; and
(2) upon notification to Congress.
(g) Regulations and Guidance.--Not later than 180 days
after the date of the enactment of this Act, the Secretary of
Homeland Security shall prescribe regulations or guidance to
implement this section.

SEC. 4405. PROHIBITION ON USE OF FEDERAL FUNDS FOR PURCHASES
AND OPERATION OF COVERED UNMANNED AIRCRAFT
SYSTEMS FROM COVERED FOREIGN ENTITIES.

(a) In General.--Beginning on the date that is 2 years
after the date of the enactment of this Act, except as
provided in subsection (b), no Federal funds awarded through
a contract, grant, or cooperative agreement, or otherwise
made available may be used--

[[Page S7835]]

(1) to purchase a covered unmanned aircraft system, or a
system to counter unmanned aircraft systems, that is
manufactured or assembled by a covered foreign entity; or
(2) in connection with the operation of such a drone or
unmanned aircraft system.
(b) Exemption.--A Federal department or agency is exempt
from the restriction under subsection (a) if--
(1) the contract, grant, or cooperative agreement was
awarded prior to the date of the enactment of this Act; or
(2) the operation or procurement is for the sole purposes
of research, evaluation, training, testing, or analysis, as
determined by the Secretary of Homeland Security, the
Secretary of Defense, or the Attorney General, for--
(A) electronic warfare;
(B) information warfare operations;
(C) development of UAS or counter-UAS technology;
(D) counterterrorism or counterintelligence activities; or
(E) Federal criminal or national security investigations,
including forensic examinations; or
(F) the safe integration of UAS in the national airspace
(as determined in consultation with the Secretary of
Transportation); and
(3) is required in the national interest of the United
States.
(c) Waiver.--The head of an executive agency may waive the
prohibition under subsection (a) on a case-by-case basis--
(1) with the approval of the Secretary of Homeland Security
or the Secretary of Defense; and
(2) upon notification to Congress.
(d) Regulations.--Not later than 180 days after the date of
the enactment of this Act, the Federal Acquisition Regulatory
Council shall prescribe regulations or guidance, as
necessary, to implement the requirements of this section
pertaining to Federal contracts.

SEC. 4406. PROHIBITION ON USE OF GOVERNMENT-ISSUED PURCHASE
CARDS TO PURCHASE COVERED UNMANNED AIRCRAFT
SYSTEMS FROM COVERED FOREIGN ENTITIES.

Effective immediately, Government-issued Purchase Cards may
not be used to procure any covered unmanned aircraft system
from a covered foreign entity.

SEC. 4407. MANAGEMENT OF EXISTING INVENTORIES OF COVERED
UNMANNED AIRCRAFT SYSTEMS FROM COVERED FOREIGN
ENTITIES.

(a) In General.--Effective immediately, all executive
agencies must account for existing inventories of covered
unmanned aircraft systems manufactured or assembled by a
covered foreign entity in their personal property accounting
systems, regardless of the original procurement cost, or the
purpose of procurement due to the special monitoring and
accounting measures necessary to track the items'
capabilities.
(b) Classified Tracking.--Due to the sensitive nature of
missions and operations conducted by the United States
Government, inventory data related to covered unmanned
aircraft systems manufactured or assembled by a covered
foreign entity may be tracked at a classified level.
(c) Exceptions.--The Department of Defense and Department
of Homeland Security may exclude from the full inventory
process, covered unmanned aircraft systems that are deemed
expendable due to mission risk such as recovery issues or
that are one-time-use covered unmanned aircraft due to
requirements and low cost.

SEC. 4408. COMPTROLLER GENERAL REPORT.

Not later than 275 days after the date of the enactment of
this Act, the Comptroller General of the United States shall
submit to Congress a report on the amount of commercial off-
the-shelf drones and covered unmanned aircraft systems
procured by Federal departments and agencies from covered
foreign entities.

SEC. 4409. GOVERNMENT-WIDE POLICY FOR PROCUREMENT OF UNMANNED
AIRCRAFT SYSTEMS.

(a) In General.--Not later than 180 days after the date of
the enactment of this Act, the Director of the Office of
Management and Budget, in coordination with the Department of
Homeland Security, Department of Transportation, the
Department of Justice, and other Departments as determined by
the Director of the Office of Management and Budget, and in
consultation with the National Institute of Standards and
Technology, shall establish a government-wide policy for the
procurement of UAS--
(1) for non-Department of Defense and non-intelligence
community operations; and
(2) through grants and cooperative agreements entered into
with non-Federal entities.
(b) Information Security.--The policy developed under
subsection (a) shall include the following specifications,
which to the extent practicable, shall be based on industry
standards and technical guidance from the National Institute
of Standards and Technology, to address the risks associated
with processing, storing and transmitting Federal information
in a UAS:
(1) Protections to ensure controlled access of UAS.
(2) Protecting software, firmware, and hardware by ensuring
changes to UAS are properly managed, including by ensuring
UAS can be updated using a secure, controlled, and
configurable mechanism.
(3) Cryptographically securing sensitive collected, stored,
and transmitted data, including proper handling of privacy
data and other controlled unclassified information.
(4) Appropriate safeguards necessary to protect sensitive
information, including during and after use of UAS.
(5) Appropriate data security to ensure that data is not
transmitted to or stored in non-approved locations.
(6) The ability to opt out of the uploading, downloading,
or transmitting of data that is not required by law or
regulation and an ability to choose with whom and where
information is shared when it is required.
(c) Requirement.--The policy developed under subsection (a)
shall reflect an appropriate risk-based approach to
information security related to use of UAS.
(d) Revision of Acquisition Regulations.--Not later than
180 days after the date on which the policy required under
subsection (a) is issued--
(1) the Federal Acquisition Regulatory Council shall revise
the Federal Acquisition Regulation, as necessary, to
implement the policy; and
(2) any Federal department or agency or other Federal
entity not subject to, or not subject solely to, the Federal
Acquisition Regulation shall revise applicable policy,
guidance, or regulations, as necessary, to implement the
policy.
(e) Exemption.--In developing the policy required under
subsection (a), the Director of the Office of Management and
Budget shall incorporate an exemption to the policy for the
following reasons:
(1) In the case of procurement for the purposes of
training, testing, or analysis for--
(A) electronic warfare; or
(B) information warfare operations.
(2) In the case of researching UAS technology, including
testing, evaluation, research, or development of technology
to counter UAS.
(3) In the case of a head of the procuring department or
agency determining, in writing, that no product that complies
with the information security requirements described in
subsection (b) is capable of fulfilling mission critical
performance requirements, and such determination--
(A) may not be delegated below the level of the Deputy
Secretary of the procuring department or agency;
(B) shall specify--
(i) the quantity of end items to which the waiver applies,
the procurement value of which may not exceed $50,000 per
waiver; and
(ii) the time period over which the waiver applies, which
shall not exceed 3 years;
(C) shall be reported to the Office of Management and
Budget following issuance of such a determination; and
(D) not later than 30 days after the date on which the
determination is made, shall be provided to the Committee on
Homeland Security and Governmental Affairs of the Senate and
the Committee on Oversight and Reform of the House of
Representatives.

SEC. 4410. STUDY.

(a) Independent Study.--Not later than 3 years after the
date of the enactment of this Act, the Director of the Office
of Management and Budget shall seek to enter into a contract
with a federally funded research and development center under
which the center will conduct a study of--
(1) the current and future unmanned aircraft system global
and domestic market;
(2) the ability of the unmanned aircraft system domestic
market to keep pace with technological advancements across
the industry;
(3) the ability of domestically made unmanned aircraft
systems to meet the network security and data protection
requirements of the national security enterprise;
(4) the extent to which unmanned aircraft system component
parts, such as the parts described in section 4403, are made
domestically; and
(5) an assessment of the economic impact, including cost,
of excluding the use of foreign-made UAS for use across the
Federal Government.
(b) Submission to OMB.--Upon completion of the study in
subsection (a), the federally funded research and development
center shall submit the study to the Director of the Office
of Management and Budget.
(c) Submission to Congress.--Not later than 30 days after
the date on which the Director of the Office of Management
and Budget receives the study under subsection (b), the
Director shall submit the study to--
(1) the Committee on Homeland Security and Governmental
Affairs and the Select Committee on Intelligence of the
Senate; and
(2) the Committee on Homeland Security and the Committee on
Oversight and Reform and the Permanent Select Committee on
Intelligence of the House of Representatives.

SEC. 4411. SUNSET.

Sections 4403, 4404, and 4405 shall cease to have effect on
the date that is 5 years after the date of the enactment of
this Act.

Subtitle B--No TikTok on Government Devices

SEC. 4431. SHORT TITLE.

This subtitle may be cited as the ``No TikTok on Government
Devices Act''.

SEC. 4432. PROHIBITION ON THE USE OF TIKTOK.

(a) Definitions.--In this section--
(1) the term ``covered application'' means the social
networking service TikTok or any successor application or
service developed or provided by ByteDance Limited or an
entity owned by ByteDance Limited;
(2) the term ``executive agency'' has the meaning given
that term in section 133 of title 41, United States Code; and

[[Page S7836]]

(3) the term ``information technology'' has the meaning
given that term in section 11101 of title 40, United States
Code.
(b) Prohibition on the Use of TikTok.--
(1) In general.--Not later than 60 days after the date of
the enactment of this Act, the Director of the Office of
Management and Budget, in consultation with the Administrator
of General Services, the Director of the Cybersecurity and
Infrastructure Security Agency, the Director of National
Intelligence, and the Secretary of Defense, and consistent
with the information security requirements under subchapter
II of chapter 35 of title 44, United States Code, shall
develop standards and guidelines for executive agencies
requiring the removal of any covered application from
information technology.
(2) National security and research exceptions.--The
standards and guidelines developed under paragraph (1) shall
include--
(A) exceptions for law enforcement activities, national
security interests and activities, and security researchers;
and
(B) for any authorized use of a covered application under
an exception, requirements for executive agencies to develop
and document risk mitigation actions for such use.

Subtitle C--National Risk Management

SEC. 4461. SHORT TITLE.

This subtitle may be cited as the ``National Risk
Management Act of 2021''.

SEC. 4462. NATIONAL RISK MANAGEMENT CYCLE.

(a) In General.--Subtitle A of title XXII of the Homeland
Security Act of 2002 (6 U.S.C. 651 et seq.) is amended by
adding at the end the following:

``SEC. 2218. NATIONAL RISK MANAGEMENT CYCLE.

``(a) National Critical Functions Defined.--In this
section, the term `national critical functions' means the
functions of government and the private sector so vital to
the United States that their disruption, corruption, or
dysfunction would have a debilitating effect on security,
national economic security, national public health or safety,
or any combination thereof.
``(b) National Risk Management Cycle.--
``(1) Risk identification and assessment.--
``(A) In general.--The Secretary, acting through the
Director, shall establish a recurring process by which to
identify, assess, and prioritize risks to critical
infrastructure, considering both cyber and physical threats,
the associated likelihoods, vulnerabilities, and
consequences, and the resources necessary to address them.
``(B) Consultation.--In establishing the process required
under subparagraph (A), the Secretary shall consult with, and
request and collect information to support analysis from,
Sector Risk Management Agencies, critical infrastructure
owners and operators, the Assistant to the President for
National Security Affairs, the Assistant to the President for
Homeland Security, and the National Cyber Director.
``(C) Publication.--Not later than 180 days after the date
of enactment of this section, the Secretary shall publish in
the Federal Register procedures for the process established
under subparagraph (A), subject to any redactions the
Secretary determines are necessary to protect classified or
other sensitive information.
``(D) Report.--The Secretary shall submit to the President,
the Committee on Homeland Security and Governmental Affairs
of the Senate, and the Committee on Homeland Security of the
House of Representatives a report on the risks identified by
the process established under subparagraph (A)--
``(i) not later than 1 year after the date of enactment of
this section; and
``(ii) not later than 1 year after the date on which the
Secretary submits a periodic evaluation described in section
9002(b)(2) of title XC of division H of the William M. (Mac)
Thornberry National Defense Authorization Act for Fiscal Year
2021 (Public Law 116-283).
``(2) National critical infrastructure resilience
strategy.--
``(A) In general.--Not later than 1 year after the date on
which the Secretary delivers each report required under
paragraph (1), the President shall deliver to majority and
minority leaders of the Senate, the Speaker and minority
leader of the House of Representatives, the Committee on
Homeland Security and Governmental Affairs of the Senate, and
the Committee on Homeland Security of the House of
Representatives a national critical infrastructure resilience
strategy designed to address the risks identified by the
Secretary.
``(B) Elements.--Each strategy delivered under subparagraph
(A) shall--
``(i) identify, assess, and prioritize areas of risk to
critical infrastructure that would compromise or disrupt
national critical functions impacting national security,
economic security, or public health and safety;
``(ii) assess the implementation of the previous national
critical infrastructure resilience strategy, as applicable;
``(iii) identify and outline current and proposed national-
level actions, programs, and efforts to be taken to address
the risks identified;
``(iv) identify the Federal departments or agencies
responsible for leading each national-level action, program,
or effort and the relevant critical infrastructure sectors
for each; and
``(v) request any additional authorities necessary to
successfully execute the strategy.
``(C) Form.--Each strategy delivered under subparagraph (A)
shall be unclassified, but may contain a classified annex.
``(3) Congressional briefing.--Not later than 1 year after
the date on which the President delivers the first strategy
required under paragraph (2)(A), and every year thereafter,
the Secretary, in coordination with Sector Risk Management
Agencies, shall brief the appropriate congressional
committees on--
``(A) the national risk management cycle activities
undertaken pursuant to the strategy; and
``(B) the amounts and timeline for funding that the
Secretary has determined would be necessary to address risks
and successfully execute the full range of activities
proposed by the strategy.''.
(b) Technical and Conforming Amendment.--The table of
contents in section 1(b) of the Homeland Security Act of 2002
(Public Law 107-296; 116 Stat. 2135) is amended by inserting
after the item relating to section 2217 the following:

``Sec. 2218. National risk management cycle.''.

Subtitle D--Safeguarding American Innovation

SEC. 4491. SHORT TITLE.

This subtitle may be cited as the ``Safeguarding American
Innovation Act''.

SEC. 4492. DEFINITIONS.

In this subtitle:
(1) Federal science agency.--The term ``Federal science
agency'' means any Federal department or agency to which more
than $100,000,000 in basic and applied research and
development funds were appropriated for the previous fiscal
year.
(2) Research and development.--
(A) In general.--The term ``research and development''
means all research activities, both basic and applied, and
all development activities.
(B) Development.--The term ``development'' means
experimental development.
(C) Experimental development.--The term ``experimental
development'' means creative and systematic work, drawing
upon knowledge gained from research and practical experience,
which--
(i) is directed toward the production of new products or
processes or improving existing products or processes; and
(ii) like research, will result in gaining additional
knowledge.
(D) Research.--The term ``research''--
(i) means a systematic study directed toward fuller
scientific knowledge or understanding of the subject studied;
and
(ii) includes activities involving the training of
individuals in research techniques if such activities--

(I) utilize the same facilities as other research and
development activities; and
(II) are not included in the instruction function.

SEC. 4493. FEDERAL RESEARCH SECURITY COUNCIL.

(a) In General.--Subtitle V of title 31, United States
Code, is amended by adding at the end the following:

``CHAPTER 79--FEDERAL RESEARCH SECURITY COUNCIL

``Sec.
``7901. Definitions.
``7902. Federal Research Security Council establishment and membership.
``7903. Functions and authorities.
``7904. Strategic plan.
``7905. Annual report.
``7906. Requirements for Executive agencies.

``Sec. 7901. Definitions

``In this chapter:
``(1) Appropriate congressional committees.--The term
`appropriate congressional committees' means--
``(A) the Committee on Homeland Security and Governmental
Affairs of the Senate;
``(B) the Committee on Commerce, Science, and
Transportation of the Senate;
``(C) the Select Committee on Intelligence of the Senate;
``(D) the Committee on Foreign Relations of the Senate;
``(E) the Committee on Armed Services of the Senate;
``(F) the Committee on Health, Education, Labor, and
Pensions of the Senate;
``(G) the Committee on Oversight and Reform of the House of
Representatives;
``(H) the Committee on Homeland Security of the House of
Representatives;
``(I) the Committee on Energy and Commerce of the House of
Representatives;
``(J) the Permanent Select Committee on Intelligence of the
House of Representatives;
``(K) the Committee on Foreign Affairs of the House of
Representatives;
``(L) the Committee on Armed Services of the House of
Representatives; and
``(M) the Committee on Education and Labor of the House of
Representatives.
``(2) Council.--The term `Council' means the Federal
Research Security Council established under section 7902(a).
``(3) Executive agency.--The term `Executive agency' has
the meaning given that term in section 105 of title 5.
``(4) Federal research security risk.--The term `Federal
research security risk' means the risk posed by malign state
actors and other persons to the security and integrity of
research and development conducted using research and
development funds awarded by Executive agencies.
``(5) Insider.--The term `insider' means any person with
authorized access to any United States Government resource,
including personnel, facilities, information, research,
equipment, networks, or systems.

[[Page S7837]]

``(6) Insider threat.--The term `insider threat' means the
threat that an insider will use his or her authorized access
(wittingly or unwittingly) to harm the national and economic
security of the United States or negatively affect the
integrity of a Federal agency's normal processes, including
damaging the United States through espionage, sabotage,
terrorism, unauthorized disclosure of national security
information or nonpublic information, a destructive act
(which may include physical harm to another in the
workplace), or through the loss or degradation of
departmental resources, capabilities, and functions.
``(7) Research and development.--
``(A) In general.--The term `research and development'
means all research activities, both basic and applied, and
all development activities.
``(B) Development.--The term `development' means
experimental development.
``(C) Experimental development.--The term `experimental
development' means creative and systematic work, drawing upon
knowledge gained from research and practical experience,
which--
``(i) is directed toward the production of new products or
processes or improving existing products or processes; and
``(ii) like research, will result in gaining additional
knowledge.
``(D) Research.--The term `research'--
``(i) means a systematic study directed toward fuller
scientific knowledge or understanding of the subject studied;
and
``(ii) includes activities involving the training of
individuals in research techniques if such activities--

``(I) utilize the same facilities as other research and
development activities; and
``(II) are not included in the instruction function.

``(8) United states research community.--The term `United
States research community' means--
``(A) research and development centers of Executive
agencies;
``(B) private research and development centers in the
United States, including for profit and nonprofit research
institutes;
``(C) research and development centers at institutions of
higher education (as defined in section 101(a) of the Higher
Education Act of 1965 (20 U.S.C. 1001(a)));
``(D) research and development centers of States, United
States territories, Indian tribes, and municipalities;
``(E) government-owned, contractor-operated United States
Government research and development centers; and
``(F) any person conducting federally funded research or
receiving Federal research grant funding.

``Sec. 7902. Federal Research Security Council establishment
and membership

``(a) Establishment.--There is established, in the Office
of Management and Budget, a Federal Research Security
Council, which shall develop federally funded research and
development grant making policy and management guidance to
protect the national and economic security interests of the
United States.
``(b) Membership.--
``(1) In general.--The following agencies shall be
represented on the Council:
``(A) The Office of Management and Budget.
``(B) The Office of Science and Technology Policy.
``(C) The Department of Defense.
``(D) The Department of Homeland Security.
``(E) The Office of the Director of National Intelligence.
``(F) The Department of Justice.
``(G) The Department of Energy.
``(H) The Department of Commerce.
``(I) The Department of Health and Human Services.
``(J) The Department of State.
``(K) The Department of Transportation.
``(L) The National Aeronautics and Space Administration.
``(M) The National Science Foundation.
``(N) The Department of Education.
``(O) The Small Business Administration.
``(P) The Council of Inspectors General on Integrity and
Efficiency.
``(Q) Other Executive agencies, as determined by the
Chairperson of the Council.
``(2) Lead representatives.--
``(A) Designation.--Not later than 45 days after the date
of the enactment of the Safeguarding American Innovation Act,
the head of each agency represented on the Council shall
designate a representative of that agency as the lead
representative of the agency on the Council.
``(B) Functions.--The lead representative of an agency
designated under subparagraph (A) shall ensure that
appropriate personnel, including leadership and subject
matter experts of the agency, are aware of the business of
the Council.
``(c) Chairperson.--
``(1) Designation.--Not later than 45 days after the date
of the enactment of the Safeguarding American Innovation Act,
the Director of the Office of Management and Budget shall
designate a senior level official from the Office of
Management and Budget to serve as the Chairperson of the
Council.
``(2) Functions.--The Chairperson shall perform functions
that include--
``(A) subject to subsection (d), developing a schedule for
meetings of the Council;
``(B) designating Executive agencies to be represented on
the Council under subsection (b)(1)(Q);
``(C) in consultation with the lead representative of each
agency represented on the Council, developing a charter for
the Council; and
``(D) not later than 7 days after completion of the
charter, submitting the charter to the appropriate
congressional committees.
``(3) Lead science advisor.--The Director of the Office of
Science and Technology Policy shall designate a senior level
official to be the lead science advisor to the Council for
purposes of this chapter.
``(4) Lead security advisor.--The Director of the National
Counterintelligence and Security Center shall designate a
senior level official from the National Counterintelligence
and Security Center to be the lead security advisor to the
Council for purposes of this chapter.
``(d) Meetings.--The Council shall meet not later than 60
days after the date of the enactment of the Safeguarding
American Innovation Act and not less frequently than
quarterly thereafter.

``Sec. 7903. Functions and authorities

``(a) Definitions.--In this section:
``(1) Implementing.--The term `implementing' means working
with the relevant Federal agencies, through existing
processes and procedures, to enable those agencies to put in
place and enforce the measures described in this section.
``(2) Uniform application process.--The term `uniform
application process' means a process employed by Federal
science agencies to maximize the collection of information
regarding applicants and applications, as determined by the
Council.
``(b) In General.--The Chairperson of the Council shall
consider the missions and responsibilities of Council members
in determining the lead agencies for Council functions. The
Council shall perform the following functions:
``(1) Developing and implementing, across all Executive
agencies that award research and development grants, awards,
and contracts, a uniform application process for grants in
accordance with subsection (c).
``(2) Developing and implementing policies and providing
guidance to prevent malign foreign interference from unduly
influencing the peer review process for federally funded
research and development.
``(3) Identifying or developing criteria for sharing among
Executive agencies and with law enforcement and other
agencies, as appropriate, information regarding individuals
who violate disclosure policies and other policies related to
research security.
``(4) Identifying an appropriate Executive agency--
``(A) to accept and protect information submitted by
Executive agencies and non-Federal entities based on the
process established pursuant to paragraph (1); and
``(B) to facilitate the sharing of information received
under subparagraph (A) to support, consistent with Federal
law--
``(i) the oversight of federally funded research and
development;
``(ii) criminal and civil investigations of misappropriated
Federal funds, resources, and information; and
``(iii) counterintelligence investigations.
``(5) Identifying, as appropriate, Executive agencies to
provide--
``(A) shared services, such as support for conducting
Federal research security risk assessments, activities to
mitigate such risks, and oversight and investigations with
respect to grants awarded by Executive agencies; and
``(B) common contract solutions to support the verification
of the identities of persons participating in federally
funded research and development.
``(6) Identifying and issuing guidance, in accordance with
subsection (e) and in coordination with the National Insider
Threat Task Force established by Executive Order 13587 (50
U.S.C. 3161 note) for expanding the scope of Executive agency
insider threat programs, including the safeguarding of
research and development from exploitation, compromise, or
other unauthorized disclosure, taking into account risk
levels and the distinct needs, missions, and systems of each
such agency.
``(7) Identifying and issuing guidance for developing
compliance and oversight programs for Executive agencies to
ensure that research and development grant recipients
accurately report conflicts of interest and conflicts of
commitment in accordance with subsection (c)(1). Such
programs shall include an assessment of--
``(A) a grantee's support from foreign sources and
affiliations, appointments, or participation in talent
programs with foreign funding institutions or laboratories;
and
``(B) the impact of such support and affiliations,
appointments, or participation in talent programs on United
States national security and economic interests.
``(8) Providing guidance to Executive agencies regarding
appropriate application of consequences for violations of
disclosure requirements.
``(9) Developing and implementing a cross-agency policy and
providing guidance related to the use of digital persistent
identifiers for individual researchers supported by, or
working on, any Federal research grant with the goal to
enhance transparency and security, while reducing
administrative burden for researchers and research
institutions.
``(10) Engaging with the United States research community
in conjunction with the National Science and Technology
Council and the National Academies Science, Technology and
Security Roundtable created

[[Page S7838]]

under section 1746 of the National Defense Authorization Act
for Fiscal Year 2020 (Public Law 116-92; 42 U.S.C. 6601 note)
in performing the functions described in paragraphs (1), (2),
and (3) and with respect to issues relating to Federal
research security risks.
``(11) Carrying out such other functions, consistent with
Federal law, that are necessary to reduce Federal research
security risks.
``(c) Requirements for Uniform Grant Application Process.--
In developing the uniform application process for Federal
research and development grants required under subsection
(b)(1), the Council shall--
``(1) ensure that the process--
``(A) requires principal investigators, co-principal
investigators, and key personnel associated with the proposed
Federal research or development grant project--
``(i) to disclose biographical information, all
affiliations, including any foreign military, foreign
government-related organizations, and foreign-funded
institutions, and all current and pending support, including
from foreign institutions, foreign governments, or foreign
laboratories, and all support received from foreign sources;
and
``(ii) to certify the accuracy of the required disclosures
under penalty of perjury; and
``(B) uses a machine-readable application form to assist in
identifying fraud and ensuring the eligibility of applicants;
``(2) design the process--
``(A) to reduce the administrative burden on persons
applying for Federal research and development funding; and
``(B) to promote information sharing across the United
States research community, while safeguarding sensitive
information; and
``(3) complete the process not later than 1 year after the
date of the enactment of the Safeguarding American Innovation
Act.
``(d) Requirements for Information Sharing Criteria.--In
identifying or developing criteria and procedures for sharing
information with respect to Federal research security risks
under subsection (b)(3), the Council shall ensure that such
criteria address, at a minimum--
``(1) the information to be shared;
``(2) the circumstances under which sharing is mandated or
voluntary;
``(3) the circumstances under which it is appropriate for
an Executive agency to rely on information made available
through such sharing in exercising the responsibilities and
authorities of the agency under applicable laws relating to
the award of grants;
``(4) the procedures for protecting intellectual capital
that may be present in such information; and
``(5) appropriate privacy protections for persons involved
in Federal research and development.
``(e) Requirements for Insider Threat Program Guidance.--In
identifying or developing guidance with respect to insider
threat programs under subsection (b)(6), the Council shall
ensure that such guidance provides for, at a minimum--
``(1) such programs--
``(A) to deter, detect, and mitigate insider threats; and
``(B) to leverage counterintelligence, security,
information assurance, and other relevant functions and
resources to identify and counter insider threats; and
``(2) the development of an integrated capability to
monitor and audit information for the detection and
mitigation of insider threats, including through--
``(A) monitoring user activity on computer networks
controlled by Executive agencies;
``(B) providing employees of Executive agencies with
awareness training with respect to insider threats and the
responsibilities of employees to report such threats;
``(C) gathering information for a centralized analysis,
reporting, and response capability; and
``(D) information sharing to aid in tracking the risk
individuals may pose while moving across programs and
affiliations;
``(3) the development and implementation of policies and
procedures under which the insider threat program of an
Executive agency accesses, shares, and integrates information
and data derived from offices within the agency and shares
insider threat information with the executive agency research
sponsors;
``(4) the designation of senior officials with authority to
provide management, accountability, and oversight of the
insider threat program of an Executive agency and to make
resource recommendations to the appropriate officials; and
``(5) such additional guidance as is necessary to reflect
the distinct needs, missions, and systems of each Executive
agency.
``(f) Issuance of Warnings Relating to Risks and
Vulnerabilities in International Scientific Cooperation.--
``(1) In general.--The Council, in conjunction with the
lead security advisor designated under section 7902(c)(4),
shall establish a process for informing members of the United
States research community and the public, through the
issuance of warnings described in paragraph (2), of potential
risks and vulnerabilities in international scientific
cooperation that may undermine the integrity and security of
the United States research community or place at risk any
federally funded research and development.
``(2) Content.--A warning described in this paragraph shall
include, to the extent the Council considers appropriate, a
description of--
``(A) activities by the national government, local
governments, research institutions, or universities of a
foreign country--
``(i) to exploit, interfere, or undermine research and
development by the United States research community; or
``(ii) to misappropriate scientific knowledge resulting
from federally funded research and development;
``(B) efforts by strategic competitors to exploit the
research enterprise of a foreign country that may place at
risk--
``(i) the science and technology of that foreign country;
or
``(ii) federally funded research and development; and
``(C) practices within the research enterprise of a foreign
country that do not adhere to the United States scientific
values of openness, transparency, reciprocity, integrity, and
merit-based competition.
``(g) Exclusion Orders.--To reduce Federal research
security risk, the Interagency Suspension and Debarment
Committee shall provide quarterly reports to the Director of
the Office of Management and Budget and the Director of the
Office of Science and Technology Policy that detail--
``(1) the number of ongoing investigations by Council
Members related to Federal research security that may result,
or have resulted, in agency pre-notice letters, suspensions,
proposed debarments, and debarments;
``(2) Federal agencies' performance and compliance with
interagency suspensions and debarments;
``(3) efforts by the Interagency Suspension and Debarment
Committee to mitigate Federal research security risk;
``(4) proposals for developing a unified Federal policy on
suspensions and debarments; and
``(5) other current suspension and debarment related
issues.
``(h) Savings Provision.--Nothing in this section may be
construed--
``(1) to alter or diminish the authority of any Federal
agency; or
``(2) to alter any procedural requirements or remedies that
were in place before the date of the enactment of the
Safeguarding American Innovation Act.

``Sec. 7904. Annual report

``Not later than November 15 of each year, the Chairperson
of the Council shall submit a report to the appropriate
congressional committees that describes the activities of the
Council during the preceding fiscal year.

``Sec. 7905. Requirements for Executive agencies

``(a) In General.--The head of each Executive agency on the
Council shall be responsible for--
``(1) assessing Federal research security risks posed by
persons participating in federally funded research and
development;
``(2) avoiding or mitigating such risks, as appropriate and
consistent with the standards, guidelines, requirements, and
practices identified by the Council under section 7903(b);
``(3) prioritizing Federal research security risk
assessments conducted under paragraph (1) based on the
applicability and relevance of the research and development
to the national security and economic competitiveness of the
United States; and
``(4) ensuring that initiatives impacting Federally funded
research grant making policy and management to protect the
national and economic security interests of the United States
are integrated with the activities of the Council.
``(b) Inclusions.--The responsibility of the head of an
Executive agency for assessing Federal research security risk
described in subsection (a) includes--
``(1) developing an overall Federal research security risk
management strategy and implementation plan and policies and
processes to guide and govern Federal research security risk
management activities by the Executive agency;
``(2) integrating Federal research security risk management
practices throughout the lifecycle of the grant programs of
the Executive agency;
``(3) sharing relevant information with other Executive
agencies, as determined appropriate by the Council in a
manner consistent with section 7903; and
``(4) reporting on the effectiveness of the Federal
research security risk management strategy of the Executive
agency consistent with guidance issued by the Office of
Management and Budget and the Council.''.
(b) Clerical Amendment.--The table of chapters at the
beginning of title 31, United States Code, is amended by
inserting after the item relating to chapter 77 the
following:

``79. Federal Research Security Council....................7901.''.....

SEC. 4494. FEDERAL GRANT APPLICATION FRAUD.

(a) In General.--Chapter 47 of title 18, United States
Code, is amended by adding at the end the following:

``Sec. 1041. Federal grant application fraud

``(a) Definitions.--In this section:
``(1) Federal agency.--The term `Federal agency' has the
meaning given the term `agency' in section 551 of title 5,
United States Code.
``(2) Federal grant.--The term `Federal grant'--
``(A) means a grant awarded by a Federal agency;
``(B) includes a subgrant awarded by a non-Federal entity
to carry out a Federal grant program; and
``(C) does not include--

[[Page S7839]]

``(i) direct United States Government cash assistance to an
individual;
``(ii) a subsidy;
``(iii) a loan;
``(iv) a loan guarantee; or
``(v) insurance.
``(3) Federal grant application.--The term `Federal grant
application' means an application for a Federal grant.
``(4) Foreign compensation.--The term `foreign
compensation' means a title, monetary compensation, access to
a laboratory or other resource, or other benefit received
from--
``(A) a foreign government;
``(B) a foreign government institution; or
``(C) a foreign public enterprise.
``(5) Foreign government.--The term `foreign government'
includes a person acting or purporting to act on behalf of--
``(A) a faction, party, department, agency, bureau,
subnational administrative entity, or military of a foreign
country; or
``(B) a foreign government or a person purporting to act as
a foreign government, regardless of whether the United States
recognizes the government.
``(6) Foreign government institution.--The term `foreign
government institution' means a foreign entity owned by,
subject to the control of, or subject to regulation by a
foreign government.
``(7) Foreign public enterprise.--The term `foreign public
enterprise' means an enterprise over which a foreign
government directly or indirectly exercises a dominant
influence.
``(8) Law enforcement agency.--The term `law enforcement
agency'--
``(A) means a Federal, State, local, or Tribal law
enforcement agency; and
``(B) includes--
``(i) the Office of Inspector General of an establishment
(as defined in section 12 of the Inspector General Act of
1978 (5 U.S.C. App.)) or a designated Federal entity (as
defined in section 8G(a) of the Inspector General Act of 1978
(5 U.S.C. App.)); and
``(ii) the Office of Inspector General, or similar office,
of a State or unit of local government.
``(9) Outside compensation.--The term `outside
compensation' means any compensation, resource, or support
(regardless of monetary value) made available to the
applicant in support of, or related to, any research
endeavor, including a title, research grant, cooperative
agreement, contract, institutional award, access to a
laboratory, or other resource, including materials, travel
compensation, or work incentives.
``(b) Prohibition.--It shall be unlawful for any individual
to knowingly--
``(1) prepare or submit a Federal grant application that
fails to disclose the receipt of any outside compensation,
including foreign compensation, by the individual;
``(2) forge, counterfeit, or otherwise falsify a document
for the purpose of obtaining a Federal grant; or
``(3) prepare, submit, or assist in the preparation or
submission of a Federal grant application or document in
connection with a Federal grant application that--
``(A) contains a false statement;
``(B) contains a material misrepresentation;
``(C) has no basis in law or fact; or
``(D) fails to disclose a material fact.
``(c) Exception.--Subsection (b) does not apply to an
activity--
``(1) carried out in connection with a lawfully authorized
investigative, protective, or intelligence activity of--
``(A) a law enforcement agency; or
``(B) a Federal intelligence agency; or
``(2) authorized under chapter 224.
``(d) Penalty.--Any individual who violates subsection
(b)--
``(1) shall be fined in accordance with this title,
imprisoned for not more than 5 years, or both; and
``(2) shall be prohibited from receiving a Federal grant
during the 5-year period beginning on the date on which a
sentence is imposed on the individual under paragraph (1).''.
(b) Clerical Amendment.--The analysis for chapter 47 of
title 18, United States Code, is amended by adding at the end
the following:

``1041. Federal grant application fraud.''.

SEC. 4495. RESTRICTING THE ACQUISITION OF EMERGING
TECHNOLOGIES BY CERTAIN ALIENS.

(a) Grounds of Inadmissibility.--The Secretary of State may
determine that an alien is inadmissible if the Secretary
determines such alien is seeking to enter the United States
to knowingly acquire sensitive or emerging technologies to
undermine national security interests of the United States by
benefitting an adversarial foreign government's security or
strategic capabilities.
(b) Relevant Factors.--To determine if an alien is
inadmissible under subsection (a), the Secretary of State
shall--
(1) take account of information and analyses relevant to
implementing subsection (a) from the Office of the Director
of National Intelligence, the Department of Health and Human
Services, the Department of Defense, the Department of
Homeland Security, the Department of Energy, the Department
of Commerce, and other appropriate Federal agencies;
(2) take account of the continual expert assessments of
evolving sensitive or emerging technologies that foreign
adversaries are targeting;
(3) take account of relevant information concerning the
foreign person's employment or collaboration, to the extent
known, with--
(A) foreign military and security related organizations
that are adversarial to the United States;
(B) foreign institutions involved in the theft of United
States research;
(C) entities involved in export control violations or the
theft of intellectual property;
(D) a government that seeks to undermine the integrity and
security of the United States research community; or
(E) other associations or collaborations that pose a
national security threat based on intelligence assessments;
and
(4) weigh the proportionality of risks and the factors
listed in paragraphs (1) through (3).
(c) Reporting Requirement.--Not later than 180 days after
the date of the enactment of this Act, and semi-annually
thereafter until the sunset date set forth in subsection (e),
the Secretary of State, in coordination with the Director of
National Intelligence, the Director of the Office of Science
and Technology Policy, the Secretary of Homeland Security,
the Secretary of Defense, the Secretary of Energy, the
Secretary of Commerce, and the heads of other appropriate
Federal agencies, shall submit a report to the Committee on
the Judiciary of the Senate, the Committee on Foreign
Relations of the Senate, the Committee on Homeland Security
and Governmental Affairs of the Senate, the Committee on the
Judiciary of the House of Representatives, the Committee on
Foreign Affairs of the House of Representatives, and the
Committee on Oversight and Reform of the House of
Representatives that identifies--
(1) any criteria, if relevant used to describe the aliens
to which the grounds of inadmissibility described in
subsection (a) may apply;
(2) the number of individuals determined to be inadmissible
under subsection (a), including the nationality of each such
individual and the reasons for each determination of
inadmissibility; and
(3) the number of days from the date of the consular
interview until a final decision is issued for each
application for a visa considered under this section, listed
by applicants' country of citizenship and relevant consulate.
(d) Classification of Report.--Each report required under
subsection (c) shall be submitted, to the extent practicable,
in an unclassified form, but may be accompanied by a
classified annex.
(e) Sunset.--This section shall cease to be effective on
the date that is 2 years after the date of the enactment of
this Act.

SEC. 4496. MACHINE READABLE VISA DOCUMENTS.

(a) Machine-readable Documents.--Not later than 1 year
after the date of the enactment of this Act, the Secretary of
State shall--
(1) use a machine-readable visa application form; and
(2) make available documents submitted in support of a visa
application in a machine readable format to assist in--
(A) identifying fraud;
(B) conducting lawful law enforcement activities; and
(C) determining the eligibility of applicants for a visa
under the Immigration and Nationality Act (8 U.S.C. 1101 et
seq.).
(b) Waiver.--The Secretary of State may waive the
requirement under subsection (a) by providing to Congress,
not later than 30 days before such waiver takes effect--
(1) a detailed explanation for why the waiver is being
issued; and
(2) a timeframe for the implementation of the requirement
under subsection (a).
(c) Report.--Not later than 45 days after date of the
enactment of this Act, the Secretary of State shall submit a
report to the Committee on Homeland Security and Governmental
Affairs of the Senate, the Committee on Commerce, Science,
and Transportation of the Senate, the Select Committee on
Intelligence of the Senate, the Committee on Foreign
Relations of the Senate; the Committee on Oversight and
Reform of the House of Representatives, the Committee on
Homeland Security of the House of Representatives, the
Committee on Energy and Commerce of the House of
Representatives, the Permanent Select Committee on
Intelligence of the House of Representatives, and the
Committee on Foreign Affairs of the House of Representatives
that--
(1) describes how supplementary documents provided by a
visa applicant in support of a visa application are stored
and shared by the Department of State with authorized Federal
agencies;
(2) identifies the sections of a visa application that are
machine-readable and the sections that are not machine-
readable;
(3) provides cost estimates, including personnel costs and
a cost-benefit analysis for adopting different technologies,
including optical character recognition, for--
(A) making every element of a visa application, and
documents submitted in support of a visa application,
machine-readable; and
(B) ensuring that such system--
(i) protects personally-identifiable information; and
(ii) permits the sharing of visa information with Federal
agencies in accordance with existing law; and
(4) includes an estimated timeline for completing the
implementation of subsection (a).

[[Page S7840]]

SEC. 4497. CERTIFICATIONS REGARDING ACCESS TO EXPORT
CONTROLLED TECHNOLOGY IN EDUCATIONAL AND
CULTURAL EXCHANGE PROGRAMS.

Section 102(b)(5) of the Mutual Educational and Cultural
Exchange Act of 1961 (22 U.S.C. 2452(b)(5)) is amended to
read as follows:
``(5) promoting and supporting medical, scientific,
cultural, and educational research and development by
developing exchange programs for foreign researchers and
scientists, while protecting technologies regulated by export
control laws important to the national security and economic
interests of the United States, by requiring--
``(A) the sponsor to certify to the Department of State
that the sponsor, after reviewing all regulations related to
the Export Controls Act of 2018 (50 U.S.C. 4811 et seq.) and
the Arms Export Control Act (22 U.S.C. 2751 et seq.), has
determined that--
``(i) a license is not required from the Department of
Commerce or the Department of State to release such
technology or technical data to the exchange visitor; or
``(ii)(I) a license is required from the Department of
Commerce or the Department of State to release such
technology or technical data to the exchange visitor; and
``(II) the sponsor will prevent access to the controlled
technology or technical data by the exchange visitor until
the sponsor--

``(aa) has received the required license or other
authorization to release it to the visitor; and
``(bb) has provided a copy of such license or authorization
to the Department of State; and

``(B) if the sponsor maintains export controlled technology
or technical data, the sponsor to submit to the Department of
State the sponsor's plan to prevent unauthorized export or
transfer of any controlled items, materials, information, or
technology at the sponsor organization or entities associated
with a sponsor's administration of the exchange visitor
program.''.

SEC. 4498. PRIVACY AND CONFIDENTIALITY.

Nothing in this subtitle may be construed as affecting the
rights and requirements provided in section 552a of title 5,
United States Code (commonly known as the ``Privacy Act of
1974'') or subchapter III of chapter 35 of title 44, United
States Code (commonly known as the ``Confidential Information
Protection and Statistical Efficiency Act of 2018'').
______