S.Amdt. 579

SA 579. Mr. SCHUMER submitted an amendment intended to be proposed by
him to the bill S. 2226, to authorize appropriations for fiscal year
2024 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 of title XII, add the following:

Subtitle H--AUKUS Partnership

SEC. 1299L. ACCEPTANCE OF CONTRIBUTIONS IN SUPPORT OF
AUSTRALIA, UNITED KINGDOM, AND UNITED STATES
SUBMARINE SECURITY ACTIVITIES.

(a) In General.--Chapter 155 of title 10, United States
Code, is amended by inserting after section 2608 the
following new section:

``Sec. 2609. Acceptance of contributions for Australia,
United Kingdom, and United States submarine security
activities; Submarine Security Activities Account

``(a) Acceptance Authority.--The Secretary of Defense may
accept from the Government of Australia contributions of
money made by the Government of Australia for use by the
Department of Defense in support of non-nuclear related
aspects of submarine security activities between Australia,
the United Kingdom, and the United States (in this section
referred to as `AUKUS').
``(b) Establishment of Submarine Security Activities
Account.--(1) There is established in the Treasury of the
United States a special account to be known as the `Submarine
Security Activities Account'.
``(2) Contributions of money accepted by the Secretary of
Defense under subsection (a) shall be credited to the
Submarine Security Activities Account.
``(c) Use of the Submarine Security Activities Account.--
(1) The Secretary of Defense may use funds in the Submarine
Security Activities Account--
``(A) for any purpose authorized by law that the Secretary
determines would support AUKUS submarine security activities;
or
``(B) to carry out a military construction project that is
consistent with the purposes for which the contributions were
made and is not otherwise authorized by law.
``(2) Funds in the Submarine Security Activities Account
may be used as described in this subsection without further
specific authorization in law.
``(d) Transfers of Funds.--(1) In carrying out subsection
(c), the Secretary of Defense may transfer funds available in
the Submarine Security Activities Account to appropriations
available to the Department of Defense.
``(2) In carrying out subsection (c), and in accordance
with the Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.),
the Secretary of Defense may transfer funds available in the
Submarine Security Activities Account to appropriations or
funds of the Department of Energy available to carry out
activities related to AUKUS submarine security activities.
``(3) Funds transferred under this subsection shall be
available for obligation for the same time period and for the
same purpose as the appropriation to which transferred.
``(4) Upon a determination by the Secretary that all or
part of the funds transferred from the Submarine Security
Activities Account are not necessary for the purposes for
which such funds were transferred, all or such part of such
funds shall be transferred back to the Submarine Security
Activities Account.
``(e) Investment of Money.--(1) Upon request by the
Secretary of Defense, the Secretary of the Treasury may
invest money in the Submarine Security Activities Account in
securities of the United States or in securities guaranteed
as to principal and interest by the United States.
``(2) Any interest or other income that accrues from
investment in securities referred to in paragraph (1) shall
be deposited to the credit of the Submarine Security
Activities Account.
``(f) Relationship to Other Laws.--The authority to accept
or transfer funds under this section is in addition to any
other authority to accept or transfer funds.''.
(b) Clerical Amendment.--The table of sections at the
beginning of chapter 155 of title 10, United States Code, is
amended by inserting after the item relating to section 2608
the following new item:

``2609. Acceptance of contributions for Australia, United Kingdom, and
United States submarine security activities; Submarine
Security Activities Account.''.

SEC. 1299M. AUSTRALIA, UNITED KINGDOM, AND UNITED STATES
SUBMARINE SECURITY ACTIVITIES.

(a) Authorization to Transfer Submarines.--
(1) In general.--Subject to paragraph (6), the President
may transfer not more than two Virginia class submarines from
the inventory of the Navy to the Government of Australia on a
sale basis under section 21 of the Arms Export Control Act
(22 U.S.C. 2761).
(2) Costs of transfer.--Any expense incurred by the United
States in connection with a transfer under this subsection
shall be charged to the Government of Australia.
(3) Waiver of certification requirement.--The requirement
for the Chief of Naval Operations to make a certification
under section 8678 of title 10, United States Code, shall not
apply to a transfer under this subsection.
(4) Use of funds.--The Secretary of the Navy may use the
proceeds of a transfer under this subsection--
(A) for the acquisition of vessels to replace the vessels
transferred to the Government of Australia; or
(B) to carry out any other authority the use of which the
Secretary of the Navy determines would improve the submarine
industrial base.
(5) Crediting of receipts.--Notwithstanding any provision
of law pertaining to the crediting of amounts received from a
sale under section 21 the Arms Export Control Act (22 U.S.C.
2761), any amounts received by the United States as a result
of a transfer under this subsection shall--
(A) be credited, at the discretion of the Secretary of the
Navy, to--
(i) the appropriation account or fund from which amounts
were expended for the cost of the applicable vessel;
(ii) an appropriate appropriation account or fund from
which, as of the date of the transfer, amounts are available
for constructing Virginia class submarines; or
(iii) any other appropriation account or fund from which
amounts are available for the purpose specified in paragraph
(4)(B); and
(B) remain available for obligation until expended for the
same purpose as other amounts in the appropriation account or
fund to which the receipt is credited.
(6) Applicability of existing law to transfer of special
nuclear material and utilization facilities for military
applications.--
(A) In general.--With respect to any special nuclear
material for use in utilization facilities or any portion of
a vessel transferred under this subsection constituting
utilization facilities for military applications under
section 91 of the Atomic Energy Act of 1954 (42 U.S.C. 2121),
transfer of such material or such facilities shall occur only
in accordance with such section 91.
(B) Use of funds.--The Secretary of Energy may use proceeds
from a transfer described in subparagraph (A) for the
acquisition of submarine naval nuclear propulsion plants and
nuclear fuel to replace the propulsion plants and fuel
transferred to the Government of Australia.
(b) Repair and Refurbishment of AUKUS Submarines.--Section
8680 of title 10, 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):
``(c) Repair and Refurbishment of Certain Submarines.--
``(1) Shipyard.--Notwithstanding any other provision of
this section, the Secretary of the Navy shall determine the
appropriate shipyard in the United States, Australia, or the
United Kingdom to perform any repair or refurbishment of a
United States submarine involved in submarine security
activities between Australia, the United Kingdom, and the
United States.
``(2) Personnel.--Repair or refurbishment described in
paragraph (1) may be carried out by personnel of the United
States, the United Kingdom, or Australia in accordance with
the international arrangements governing the submarine
security activities described in such paragraph.''.

SEC. 1299N. AUSTRALIA, UNITED KINGDOM, AND UNITED STATES
SUBMARINE SECURITY TRAINING.

(a) In General.--The President may transfer or authorize
export of defense services to the Government of Australia
under the Arms Export Control Act (22 U.S.C. 2751 et seq.)
that may also be directly exported to private-sector
personnel in Australia to support the development of the
Australian submarine industrial base necessary for submarine
security activities between Australia, the United Kingdom,
and the United

[[Page S2702]]

States (in this section referred to as ``AUKUS''), including
where such private-sector personnel are not officers,
employees, or agents of the Government of Australia.
(b) Application of Requirements for Further Transfer.--Any
transfer of defense services to the Government of Australia
pursuant to subsection (a) to persons other than those
directly provided such defense services pursuant to such
subsection shall only be made in accordance with the
requirements of the Arms Export Control Act (22 U.S.C. 2751
et seq.).

SEC. 1299O. AUKUS DEFENSE TRADE PARTNERSHIP.

Section 38 of the Arms Export Control Act (22 U.S.C. 2778)
is amended by adding at the end the following new subsection:
``(l) AUKUS Defense Trade Cooperation.--
``(1) Exemption from licensing and approval requirements.--
Subject to paragraph (2) and notwithstanding any other
provision of this section, the Secretary of State may exempt
from the licensing or other approval requirements under this
section exports and transfers (including reexports,
retransfers, temporary imports, and brokering activities) of
defense articles and defense services between or among the
United States, the United Kingdom, and Australia that--
``(A) are not excluded by those countries;
``(B) are not referred to in subsection (j)(1)(C)(ii); and
``(C) involve only entities that are approved by relevant
authorities within those countries.
``(2) Required standards of export controls.--The Secretary
of State may only exercise the authority under paragraph (1)
with respect to the United Kingdom or Australia after the
Secretary submits to Congress a certification that the
country concerned has implemented standards for a system of
export controls that satisfies the elements described in
subsection (j)(2)(A) for defense articles and defense
services, and for controlling the provision of military
training, that are at least comparable to those administered
by the United States.
``(3) Reexports and retransfers.--
``(A) Exemption from certain certification requirements.--
Paragraphs (1) through (3) of section 3(d) shall not apply to
transfers described in paragraph (1) (including transfers of
United States Government sales or grants, or commercial
exports authorized under this Act) among the United States,
the United Kingdom, or Australia.
``(B) Reports of transfers.--The Secretary of State shall
require all transfers that would be subject to the
requirements under paragraphs (1) through (3) of section 3(d)
but for the application of subparagraph (A) to be reported to
the Secretary on a quarterly basis.''.
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