[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 763 Introduced in House (IH)]
<DOC>
118th CONGRESS
1st Session
H. R. 763
To establish an Office of Manufacturing Security and Resilience in the
Department of Commerce, to provide for a Department of Commerce
assessment and strategy to counter threats to critical supply chains,
and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 2, 2023
Ms. Blunt Rochester (for herself, Mrs. Dingell, Ms. Kelly of Illinois,
and Ms. Wild) introduced the following bill; which was referred to the
Committee on Energy and Commerce
_______________________________________________________________________
A BILL
To establish an Office of Manufacturing Security and Resilience in the
Department of Commerce, to provide for a Department of Commerce
assessment and strategy to counter threats to critical supply chains,
and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Supply Chain
Health And Integrity for the Nation's Success Act'' or the ``Supply
CHAINS Act''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Office of Manufacturing Security and Resilience.
Sec. 3. Department of Commerce assessment and strategy to counter
threats to critical supply chains.
Sec. 4. Critical supply chain monitoring program.
Sec. 5. Manufacturing security and resilience program.
Sec. 6. Critical supply chain innovation and best practices.
Sec. 7. Program evaluation by the Inspector General of the Department
of Commerce.
Sec. 8. Agriculture and food system critical supply chain monitoring
and assessment.
Sec. 9. Department of Commerce capability assessment.
Sec. 10. Definitions.
SEC. 2. OFFICE OF MANUFACTURING SECURITY AND RESILIENCE.
(a) Establishment.--Not later than 180 days after the date of the
enactment of this Act, the Secretary shall establish or designate an
Office of Manufacturing Security and Resilience.
(b) Mission.--The mission of the Office shall be the following:
(1) Help to promote the leadership of the United States
with respect to critical industries and critical supply chains
that--
(A) strengthen the national security of the United
States; and
(B) have a significant effect on the economic
security of the United States.
(2) Encourage partnerships and collaboration with the
private sector, labor organizations, the governments of
countries that are allies or key international partner nations
of the United States, States or political subdivisions thereof,
and Tribal governments in order to--
(A) promote the resilience of critical supply
chains; and
(B) identify, prepare for, and respond to supply
chain shocks to--
(i) critical industries; and
(ii) critical supply chains.
(3) Monitor the resilience, diversity, security, and
strength of critical supply chains and critical industries.
(4) Support the availability of critical goods from
domestic manufacturers, domestic enterprises, and manufacturing
operations in the United States and in countries that are
allies or key international partner nations.
(5) Assist the Federal Government in preparing for and
responding to critical supply chain shocks, including by
improving the flexible manufacturing capacities and
capabilities in the United States.
(6) Consistent with United States obligations under
international agreements, encourage and incentivize the reduced
reliance of domestic entities and domestic manufacturers on
critical goods from countries of concern.
(7) Encourage the relocation of manufacturing facilities
that manufacture critical goods from countries of concern to
the United States and countries that are allies and key
international partner nations to strengthen the resilience,
diversity, security, and strength of critical supply chains.
(8) Support the creation of jobs with competitive wages in
the United States manufacturing sector.
(9) Encourage manufacturing growth and opportunities in
economically distressed areas and underserved communities.
(10) Promote the health of the economy of the United States
and the competitiveness of manufacturing in the United States.
(c) Assistant Secretary of the Office.--
(1) Appointment and term.--The head of the Office shall be
the Assistant Secretary of Manufacturing Security and
Resilience, appointed by the President, by and with the advice
and consent of the Senate.
(2) Pay.--The Assistant Secretary shall be compensated at
the rate in effect for level IV of the Executive Schedule under
section 5315 of title 5, United States Code.
(3) Administrative authorities.--The Assistant Secretary
may appoint officers and employees in accordance with chapter
51 and subchapter III of chapter 53 of title 5, United States
Code.
(4) Use of existing department personnel and resources.--
The Assistant Secretary shall, to the extent practicable,
utilize existing personnel, resources, and expertise of the
Department of Commerce.
(d) Expertise and Staffing.--In executing the mission under
subsection (b), the Assistant Secretary--
(1) shall establish capabilities to--
(A) assess the state of technology, innovation, and
production capacity in the United States and other
nations; and
(B) conduct other activities deemed to be critical
for the use of analytic capabilities, statistics,
datasets, and metrics related to critical technologies
and innovation;
(2) may utilize external organizations, such as federally
funded research and development centers and institutions of
higher education, to provide independent and objective
technical support; and
(3) shall evaluate and implement, when available and as
appropriate, recommendations from the Department of Commerce
capability assessment produced under section 9.
SEC. 3. DEPARTMENT OF COMMERCE ASSESSMENT AND STRATEGY TO COUNTER
THREATS TO CRITICAL SUPPLY CHAINS.
(a) In General.--In accordance with Executive Order No. 14017 (86
Fed. Reg. 11849; relating to America's supply chains), the Assistant
Secretary shall, not later than 1 year after the date of the enactment
of this Act, develop a strategy for the Department of Commerce to
support the resilience, diversity, security, and strength of critical
supply chains.
(b) Strategy.--The strategy required under subsection (a) shall
include a plan to do the following:
(1) Support sufficient access to critical goods by
mitigating critical supply chain vulnerabilities, including
critical supply chains concentrated in countries of concern.
(2) Collaborate with other relevant Federal agencies to
assist allies or key international partner nations build
capacity for manufacturing critical goods.
(3) Initiate and support translation research in
engineering and manufacturing by entering into contracts or
making other arrangements (including grants, awards,
cooperative agreements, loans, and other forms of assistance)
to advance that research and to assess the impact of that
research on the economic well-being, climate, environment,
public health, and national security of the United States.
(4) Recover from supply chain shocks.
(5) Identify, in coordination with other relevant Federal
agencies, actions relating to critical supply chains with which
the United States might--
(A) raise living standards;
(B) increase employment opportunities; and
(C) improve response to supply chain shocks.
(6) Protect against supply chain shocks from countries of
concern relating to critical supply chains.
(7) Provide recommendations to effectuate the strategy
under this section, including recommendations to--
(A) increase visibility into the networks and
capabilities of suppliers and domestic manufacturers;
(B) identify industry best practices;
(C) evaluate how diverse supplier networks, multi-
platform and multi-region production capabilities and
sources, and integrated global and regional critical
supply chains can--
(i) enhance the resilience of critical
industries and manufacturing capabilities in
the United States;
(ii) support and create jobs in the United
States; and
(iii) support access of the United States
to critical goods during a supply chain shock;
(D) identify and mitigate risks, including--
(i) the financial and operational risks of
a critical supply chain;
(ii) significant vulnerabilities to
critical supply chain shocks including extreme
weather events, cyberattacks, pandemic and
biological threats, terrorist and geopolitical
attacks, and other emergencies; and
(iii) exposure to gaps and vulnerabilities
in domestic capacity or capabilities and
sources of imports needed to sustain critical
industries and critical supply chains;
(E) identify enterprise resource planning systems
that are--
(i) compatible across critical supply chain
tiers; and
(ii) affordable for small and medium-sized
businesses;
(F) understand the total cost of ownership, total
value contribution, and other best practices that
encourage strategic partnerships throughout critical
supply chains;
(G) identify opportunities to work with allies or
key international partner nations of the United States
to build more resilient critical industry supply chains
and mitigate risks;
(H) identify opportunities to reuse and recycle
critical goods, including raw materials, to increase
the resilience of critical supply chains;
(I) strengthen the financial and operational health
of small and medium-sized businesses in critical supply
chains of the United States and countries that are
allies or key international partner nations of the
United States to mitigate risks and ensure diverse and
competitive supplier markets that are less vulnerable
to failure;
(J) coordinate with countries on--
(i) sourcing critical goods, industrial
equipment, and manufacturing technology; and
(ii) developing, sustaining, and expanding
production and availability of critical goods,
industrial equipment, and manufacturing
technology during a supply chain shock; and
(K) identify such other services as the Assistant
Secretary determines necessary.
(c) Submission of Strategy.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Assistant Secretary shall submit to
the Committee on Energy and Commerce of the House of
Representatives and the Committee on Commerce, Science, and
Transportation of the Senate, and publish on the website of the
Department of Commerce, a report containing the strategy
developed under subsection (a).
(2) Update.--Not less than once every 4 years after the
date on which the strategy is submitted under paragraph (1),
the Assistant Secretary shall submit to Congress and publish on
the website of the Department of Commerce an update to such
strategy.
(3) Form.--The report submitted under paragraph (1), and
any update submitted under paragraph (2), shall be submitted in
unclassified form and may include a classified annex.
(d) Assessment.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, and not later than once every four years
thereafter, the Assistant Secretary, in coordination with the
head of each relevant Federal agency and relevant private
sector entities, labor organizations, States and political
subdivisions thereof, and territorial and Tribal governments,
shall submit to the relevant committees of Congress and post on
the website of the Assistant Secretary a report on critical
supply chain resilience and domestic manufacturing (in this
subsection referred to as the ``report'') to strengthen,
improve, and preserve the resilience, diversity, security, and
strength of critical supply chains.
(2) Contents of assessment.--The assessment shall include
the following:
(A) An identification of--
(i) industries that are critical for the
national security of the United States,
considering the key technology focus areas and
critical infrastructure;
(ii) supply chains and critical goods
designated under section 4(d);
(iii) other goods, supplies, and services
that are critical to the crisis preparedness of
the United States;
(iv) substitutes for critical goods,
industrial equipment, and manufacturing
technology; and
(v) countries that are critical to
addressing critical supply chain weaknesses and
vulnerabilities.
(B) A description of the matters identified and
evaluated pursuant to section 4(b)(1), including--
(i) the manufacturing base and critical
supply chains in the United States, including
the manufacturing base and critical supply
chains for--
(I) industrial equipment;
(II) critical goods, including raw
materials, semiconductors, and rare
earth permanent magnets, that are
essential to the production of
technologies and supplies for critical
industries; and
(III) manufacturing technology; and
(ii) the ability of the United States to--
(I) maintain readiness with respect
to preparing for and responding to
supply chain shocks; and
(II) in response to a supply chain
shock--
(aa) surge production in
critical industries;
(bb) surge production of
critical goods and industrial
equipment; and
(cc) maintain access to
critical goods, industrial
equipment, and manufacturing
technology.
(C) An assessment and description of--
(i) demand and supply of critical goods,
industrial equipment, and manufacturing
technology;
(ii) production of critical goods,
industrial equipment, and manufacturing
technology by domestic manufacturers;
(iii) the capability and capacity of
domestic manufacturers and manufacturers in
countries that are allies or key international
partner nations of the United States to
manufacture critical goods, industrial
equipment, and manufacturing technology; and
(iv) how supply chain shocks could affect
rural, Tribal, and underserved communities.
(D) An identification of defense, intelligence,
homeland, economic, domestic labor supply, natural,
geopolitical, or other contingencies and other supply
chain shocks that may disrupt, strain, compromise, or
eliminate critical supply chains.
(E) An assessment of--
(i) the resilience and capacity of the
manufacturing base, critical supply chains, and
workforce of the United States and allies and
key international partner nations that can
sustain critical industries through a supply
chain shock;
(ii) the flexible manufacturing capacity
and capabilities available in the United States
in the case of a supply chain shock;
(iii) the effect innovation has on domestic
manufacturing; and
(iv) any single points of failure in the
critical supply chains described in clause (i).
(F) With respect to countries that are allies or
key international partner nations of the United States,
a review of the sourcing of critical goods, industrial
equipment, and manufacturing technology associated with
critical industries from those countries.
(G) An assessment of policies, rules, and
regulations that impact the operating costs of domestic
manufacturers and inhibit the ability for domestic
manufacturers to compete with global competitors.
(3) Prohibition.--The report may not include--
(A) critical supply chain information that is not
aggregated; or
(B) confidential business information of a private
sector entity.
(4) Collaboration.--The head of any Federal agency with
jurisdiction over any critical supply chain shall collaborate
with the Assistant Secretary and provide any information, data,
or assistance that the Assistant Secretary determines to be
necessary for developing the report. Such assistance may
include the use of services, equipment, personnel, and
facilities of other Federal agencies with or without
reimbursement upon agreement between the Secretary and the head
of such other Federal agency.
(5) Form.--The report, and any update submitted thereafter,
shall be submitted in unclassified form and may include a
classified annex.
(6) Public comment.--The Assistant Secretary shall provide
for a period of public comment and review in developing the
report.
SEC. 4. CRITICAL SUPPLY CHAIN MONITORING PROGRAM.
(a) Establishment.--The Assistant Secretary shall establish in the
Department of Commerce a supply chain resiliency and crisis program to
carry out the following activities described in subsection (b).
(b) Activities.--Under the program, the Assistant Secretary, shall
carry out the following activities:
(1) In coordination with the private sector and
consultation with the coordination group established under
subsection (c)--
(A) map, monitor, and model the diversity,
security, reliability, and strength of critical supply
chains, which may include--
(i) understanding the financial and
operational conditions of domestic
manufacturers and domestic enterprises involved
in critical supply chains;
(ii) modeling the impact of supply chain
shocks on critical industries, critical supply
chains, domestic enterprises, and domestic
manufacturers;
(iii) monitoring the demand for and supply
of critical goods and services, industrial
equipment, and manufacturing technology needed
for critical supply chains, including critical
goods and services, industrial equipment, and
manufacturing technology obtained or purchased
from a person outside of the United States or
imported into the United States; and
(iv) monitoring manufacturing, warehousing,
transportation, and distribution related to
critical supply chains;
(B) identify high priority critical supply chain
gaps and vulnerabilities, which may include single
points of failure, single producers, and consolidated
manufacturing, in critical industries and critical
supply chains that--
(i) exist as of the date of the enactment
of this section; or
(ii) are anticipated in the future;
(C) identify potential supply chain shocks that may
disrupt, strain, compromise, or eliminate a critical
supply chain;
(D) evaluate the capability and capacity of
domestic manufacturers or manufacturers located in
countries that are allies or key international partner
nations to serve as sources for critical goods,
industrial equipment, or manufacturing technology
needed in critical supply chains;
(E) evaluate the effect on the national security
and economic competitiveness of the United States,
including on consumer prices, job losses, and wages,
that may result from the disruption, strain,
compromise, or elimination of a critical supply chain;
(F) evaluate the state of the manufacturing
workforce, including by--
(i) identifying the needs of domestic
manufacturers; and
(ii) identifying opportunities to create
high-quality manufacturing jobs; and
(G) identify investments in critical goods,
industrial equipment, and manufacturing technology from
non-Federal sources.
(2) In coordination with the private sector, States or
political subdivisions thereof, and Tribal governments, in
consultation with the coordination group established under
subsection (c), and, as appropriate, in cooperation with the
governments of countries that are allies or key international
partner nations of the United States, the following:
(A) Identify opportunities to reduce critical
supply chain gaps and vulnerabilities in critical
industries and critical supply chains.
(B) Encourage partnerships between the Federal
Government and industry, labor organizations, States
and political subdivisions thereof, territorial and
Tribal governments, to better respond to supply chain
shocks to critical industries and critical supply
chains and coordinate response efforts.
(C) Encourage partnerships between the Federal
Government and the governments of countries that are
allies or key international partner nations of the
United States.
(D) Develop or identify opportunities to build the
capacity of the United States in critical industries
and critical supply chains.
(E) Develop or identify opportunities to build the
capacity of countries that are allies or key
international partner nations of the United States in
critical industries and critical supply chains.
(F) Develop coordination mechanisms to improve
critical supply chain response to supply chain shocks.
(3) Acting within existing authorities of the Department of
Commerce and in coordination with the Secretary of State and
the United States Trade Representative, work with governments
of countries that are allies or key international partner
nations of the United States to promote diversified and
resilient critical supply chains that ensure the supply of
critical goods, industrial equipment, and manufacturing
technology to the United States and companies of countries that
are allies or key international partner nations of the United
States.
(4) Coordinate with other offices and divisions of the
Department of Commerce and other Federal agencies to leverage
existing authorities, as of the date of the enactment of this
Act, to encourage the resilience of supply chains of critical
industries.
(c) Coordination Group.--
(1) In general.--In carrying out the applicable activities
under subsection (a), the Assistant Secretary shall establish a
unified coordination group led by the Assistant Secretary which
may include, as appropriate, private sector partners, labor
organizations, and federally funded research and development
centers, to serve as a body for consultation and coordination
between and among Federal agencies described under subsection
(f) to plan for and respond to supply chain shocks and support
the resilience, diversity, security, and strength of critical
supply chains.
(2) Implementation.--Through the unified coordination group
established under paragraph (1), the Assistant Secretary shall
do the following:
(A) Acquire on a voluntary basis technical,
engineering, and operational critical supply chain
information from the private sector in a manner that
ensures any critical supply chain information provided
by the private sector is kept confidential and is
exempt from disclosure under section 552(b)(3) of title
5, United States Code (commonly known as the ``Freedom
of Information Act'').
(B) Study the critical supply chain information
acquired under subparagraph (A) to assess critical
supply chain resilience and inform planning.
(C) Convene with relevant private sector entities
to share best practices, planning, and capabilities to
respond to potential supply chain shocks.
(D) Develop contingency plans and coordination
mechanisms to ensure an effective and coordinated
response to potential supply chain shocks.
(3) Subgroups.--In carrying out the activities described in
paragraph (2), the Assistant Secretary may establish subgroups
of the unified coordination group established under paragraph
(1) led by the head of an appropriate Federal agency.
(4) International cooperation.--The Secretary, in
consultation with other relevant Federal agencies, may
cooperate or enter into agreements with governments of
countries that are allies or key international partner nations
of the United States relating to enhancing the security and
resilience of critical supply chains in response to supply
chain shocks.
(d) Designations.--The Assistant Secretary shall--
(1) not later than 270 days after the date of the enactment
of this Act, designate--
(A) critical industries;
(B) supply chains; and
(C) critical goods;
(2) provide for a period of public comment and review in
carrying out paragraph (1); and
(3) update the designations made under paragraph (1) not
less frequently than once every four years.
(e) Report to Congress.--Concurrent with the annual submission by
the Secretary of the budget under section 1105 of title 31, United
States Code, the Secretary shall submit to the relevant committees of
Congress and post on the website of the Assistant Secretary a report
that contains a summary of the activities carried out under this
section during the fiscal year covered by the report. Such report shall
be submitted in unclassified form and may include a classified annex.
(f) Coordination.--
(1) In general.--In implementing the requirements under
this section, the Assistant Secretary shall, as appropriate
coordinate with--
(A) the heads of appropriate Federal agencies,
including--
(i) the Secretary of State; and
(ii) the United States Trade
Representative; and
(B) the Attorney General and the Federal Trade
Commission with respect to--
(i) advice on the design and activities of
the unified coordination group described in
subsection (c)(1); and
(ii) ensuring compliance with Federal
antitrust law.
(2) Specific coordination.--In carrying out the
requirements under this section, with respect to critical
supply chains involving specific sectors, the Assistant
Secretary shall, as appropriate, coordinate with--
(A) the Secretary of Defense;
(B) the Secretary of Homeland Security;
(C) the Secretary of the Treasury;
(D) the Secretary of Energy;
(E) the Secretary of Transportation;
(F) the Secretary of Agriculture;
(G) the Director of National Intelligence;
(H) the Secretary of Health and Human Services;
(I) the Small Business Administration;
(J) the Secretary of Labor; and
(K) the head of any other relevant Federal agency,
as appropriate.
(g) Rule of Construction.--Nothing in this section shall be
construed to require any private entity--
(1) to share information with the Secretary or Assistant
Secretary;
(2) to request assistance from the Secretary or Assistant
Secretary; or
(3) that requests assistance from the Secretary or
Assistant Secretary to implement any measure or recommendation
suggested by the Secretary or Assistant Secretary.
(h) Protections.--
(1) In general.--
(A) Protections.--Subsections (a)(1), (b), and (d)
of section 2224 of the Homeland Security Act of 2002 (6
U.S.C. 673) shall apply to the voluntary submission of
critical supply chain information by a private entity
under this section in the same manner as those
provisions apply to critical infrastructure information
voluntarily submitted to a covered agency for another
informational purpose under that subsection if the
voluntary submission is accompanied by an express
statement described in paragraph (2) of this
subsection.
(B) References.--For the purpose of this
subsection, with respect to section 2224 of the
Homeland Security Act of 2002 (6 U.S.C. 673)--
(i) the express statement described in
subsection (a)(1) of that section shall be
deemed to refer to the express statement
described in paragraph (2) of this subsection;
(ii) references in the subsections
described in subparagraph (A) to ``this
subtitle'' shall be deemed to refer to this
section;
(iii) the reference to ``protecting
critical infrastructure or protected systems''
in subsection (a)(1)(E)(iii) of that section
shall be deemed to refer to carrying out this
section; and
(iv) the reference to ``critical
infrastructure information'' in subsections (b)
and (c) of that section shall be deemed to
refer to critical supply chain information.
(2) Express statement.--The express statement described in
this paragraph, with respect to information or records, is--
(A) in the case of written information or records,
a written marking on the information or records
substantially similar to the following: ``This
information is voluntarily submitted to the Federal
Government in expectation of protection from disclosure
as provided by the provisions of section 4(h) of the
Supply Chain Health And Integrity for the Nation's
Success Act.''; or
(B) in the case of oral information, a written
statement similar to the statement described in
subparagraph (A) submitted within a reasonable period
following the oral communication.
(3) Inapplicability to semiconductor incentive program.--
This subsection shall not apply to the voluntary submission of
critical supply chain information by a private entity in an
application for Federal financial assistance under section 9902
of the William M. (Mac) Thornberry National Defense
Authorization Act for Fiscal Year 2021 (Public Law 116-283).
(i) Protections Savings Clause.--Nothing in subsection (h) shall be
construed to limit or otherwise affect the ability of a State, local,
or Federal Government entity, agency, or authority, or any third party,
under applicable law, to obtain supply chain information in a manner
not covered by subsection (h), including any information lawfully and
properly disclosed generally or broadly to the public and to use such
information in any manner permitted by law. For purposes of subsection
(h), a permissible use of independently obtained supply chain
information includes the disclosure of such information under section
2302(b)(8) of title 5, United States Code.
(j) Consistency With International Agreements.--This section shall
be applied in a manner consistent with United States obligations under
international agreements.
SEC. 5. MANUFACTURING SECURITY AND RESILIENCE PROGRAM.
(a) In General.--Not later than 270 days after the date of
enactment of this Act, the Secretary shall enter into a contract with
an independent entity to conduct a study evaluating the economic and
national security benefits and detriments of establishing a program
within the Office to provide and incentivize, as applicable, grants,
loans, loan guarantees, and equity investment to support the
resilience, diversity, security, and strength of supply chains.
(b) Report.--Not later than 2 years after the date of enactment of
this Act, the Secretary shall submit to the Committee on Commerce,
Science, and Transportation of the Senate, the Committee on Energy and
Commerce of the House of Representatives, and publish on the website of
the Office, a report that contains the results of the study conducted
by the entity described under subsection (a).
SEC. 6. CRITICAL SUPPLY CHAIN INNOVATION AND BEST PRACTICES.
(a) In General.--Subject to the availability of appropriations, the
Assistant Secretary, in consultation with the Director of the National
Institute of Standards and Technology, shall, on an ongoing basis,
facilitate and support the development and dissemination of a voluntary
set of standards, guidelines, best practices, management strategies,
methodologies, procedures, and processes for domestic manufacturers and
entities manufacturing, purchasing, or using a critical good to--
(1) measure the resilience, diversity, security, and
strength of the critical supply chains of such manufacturers
and entities;
(2) quantify the value of improved resilience, diversity,
security, and strength of critical supply chains to such
manufacturers and entities; and
(3) design and implement measures to reduce the risks of
disruption, strain, compromise, or elimination of critical
supply chains of such manufacturers and entities.
(b) Requirements.--In carrying out subsection (a), the Assistant
Secretary shall do the following:
(1) Coordinate closely and regularly with relevant private
sector personnel and entities, manufacturing extension centers
established as part of the Hollings Manufacturing Extension
Partnership, Manufacturing USA institutes as described in
section 34(d) of the National Institute of Standards and
Technology Act (15 U.S.C. 278s(d)), and other relevant
stakeholders and incorporate industry expertise.
(2) Consult with the head of any relevant Federal agency,
including those with jurisdiction over critical supply chains,
States, local governments, Tribal governments, the governments
of other nations, and international organizations, as
necessary.
(3) Collaborate with private sector stakeholders to
identify prioritized, flexible, repeatable, performance-based,
and cost-effective critical supply chain resilience approaches
that may be voluntarily adopted by domestic manufacturers and
entities purchasing or using a critical good to achieve the
goals of subsection (a).
(4) Facilitate the design of--
(A) voluntary processes for selecting suppliers
that support the resilience, diversity, security, and
strength of critical supply chains; and
(B) methodologies to identify and mitigate the
effects of a disruption, strain, compromise, or
elimination of a critical supply chain.
(5) Disseminate research and information to assist domestic
manufacturers redesign products, expand domestic manufacturing
capacity, and improve other capabilities as required to improve
the resilience, diversity, security, and strength of critical
supply chains.
(6) Incorporate relevant voluntary standards and industry
best practices.
(7) Consider small business concerns.
(8) Leverage existing mechanisms for the Federal Government
to provide critical supply chain solutions, including
manufacturing technology, to include providing products, tools,
and workforce development solutions related to critical supply
chain resilience to small and medium-sized manufacturers.
SEC. 7. PROGRAM EVALUATION BY THE INSPECTOR GENERAL OF THE DEPARTMENT
OF COMMERCE.
(a) Program Evaluation.--Not later than 4 years after the date of
the enactment of this Act, and every 4 years thereafter, the Inspector
General of the Department of Commerce shall conduct an audit of the
Office to--
(1) evaluate the extent to which the requirements under
this Act are met; and
(2) provide recommendations on any proposed changes to
improve the effectiveness of the Office on meeting the mission
described under section 2(b).
(b) Authorization of Appropriations.--There is authorized to be
appropriated to the Inspector General of the Department of Commerce
$5,000,000 for fiscal years 2024 through 2028, to remain available
until expended, to carry out subsection (a).
SEC. 8. AGRICULTURE AND FOOD SYSTEM CRITICAL SUPPLY CHAIN MONITORING
AND ASSESSMENT.
(a) Activities.--Subject to the availability of appropriations, not
later than 270 days after the date of the enactment of this Act, the
Assistant Secretary, in consultation with the Secretary of Agriculture,
shall identify and evaluate the stability and reliability of the
agriculture and food system critical supply chain, including--
(1) the state of the agriculture and food system workforce
and any critical supply chain vulnerabilities related to the
agriculture and food system workforce;
(2) transportation bottlenecks in the distribution of
agricultural inputs, processed and unprocessed food and food
input products, and consumer-ready food products; and
(3) opportunities to create training and education programs
focused on high-quality jobs in the agriculture and food system
that--
(A) increase the stability of the agriculture and
food system; and
(B) alleviate critical supply chain bottlenecks in
the distribution of agricultural inputs, processed and
unprocessed food and food input products, and consumer-
ready food products.
(b) Report to Congress.--In carrying out subsection (a), the
Assistant Secretary shall submit to the Committee on Energy and
Commerce and the Committee on Agriculture of the House of
Representatives and the Committee on Commerce, Science, and
Transportation and the Committee on Agriculture, Nutrition, and
Forestry of the Senate a report that contains the following:
(1) An identification of the strengths, weaknesses,
critical bottlenecks, workforce challenges and opportunities,
and overall stability and reliability of the agriculture and
food system critical supply chain.
(2) An assessment of Federal, State, and local laws and
regulations that--
(A) increase the stability and reliability of the
agriculture and food system critical supply chain; or
(B) decrease or otherwise negatively impact, both
in the present moment and in the future, the stability
and reliability of the agriculture and food system
critical supply chain.
(3) Specific recommendations to improve the security,
safety, and resilience of the agriculture and food system
critical supply chain. The recommendations shall contain--
(A) long-term strategies;
(B) industry best practices;
(C) risk mitigation actions to prevent future
bottlenecks and vulnerabilities at all levels of the
agriculture and food system critical supply chain; and
(D) legislative and regulatory actions that would
positively impact the security and resilience of the
agriculture and food system critical supply chain.
SEC. 9. DEPARTMENT OF COMMERCE CAPABILITY ASSESSMENT.
(a) Assessment.--The Secretary shall, not later than one year after
the date of the enactment of this Act, produce a report--
(1) identifying the duties, responsibilities, resources,
programs, and expertise within the offices and bureaus of the
Department of Commerce relevant to critical supply chain
resilience and manufacturing and industrial innovation;
(2) identifying and assessing the purpose, legal authority,
effectiveness, efficiency, and limitations of each office and
bureau identified under paragraph (1); and
(3) providing recommendations to improve the effectiveness,
efficiency, and impact of the offices and bureaus identified
under paragraph (1), which may include recommendations to
coordinate--
(A) across offices and bureaus identified under
paragraph (1); and
(B) with Federal agencies implementing similar
activities related to critical supply chain resilience
and manufacturing and industrial innovation.
(b) External Organization.--In producing the report required under
subsection (a), the Secretary may contract with an appropriate external
organization, such as the National Academy of Public Administration.
(c) Report.--The Secretary shall provide the report required under
subsection (a) to the appropriate committees of Congress, along with a
strategy to implement, as appropriate and as determined by the
Secretary, the recommendations under the report.
SEC. 10. DEFINITIONS.
In this Act:
(1) Ally or key international partner nation.--The term
``ally or key international partner nation''--
(A) means countries that are critical to addressing
critical supply chain weaknesses and vulnerabilities;
and
(B) does not include--
(i) a country that poses a significant
national security or economic security risk to
the United States; or
(ii) a country of concern.
(2) Assistant secretary.--The term ``Assistant Secretary''
means the Assistant Secretary of Manufacturing Security and
Resilience appointed pursuant to section 2.
(3) Country of concern.--The term ``country of concern''
means a country in which a concentrated critical supply chain
is located and--
(A) that poses a significant national security or
economic security threat to the United States;
(B) is a covered nation (as defined under section
4872 of title 10, United States Code); or
(C) whose government, or elements of such
government, has proven to have, or has been credibly
alleged to have, committed crimes against humanity or
genocide.
(4) Critical good.--The term ``critical good'' means any
raw, in process, or manufactured material (including any
mineral, metal, or advanced processed material), article,
commodity, supply, product, or item of supply the absence of
which would have a significant effect on--
(A) the national security or economic security of
the United States; and
(B) critical infrastructure.
(5) Critical industry.--The term ``critical industry''
means an industry that is critical for the national security or
economic security of the United States, considering key
technology focus areas and critical infrastructure.
(6) Critical infrastructure.--The term ``critical
infrastructure'' has the meaning given to that term in the
Critical Infrastructures Protection Act of 2001 (42 U.S.C.
5195c).
(7) Critical supply chain.--The term ``critical supply
chain'' means a critical supply chain for a critical good.
(8) Critical supply chain information.--The term ``critical
supply chain information'' means information that is not
customarily in the public domain and relating to--
(A) sustaining and adapting critical supply chains
during a supply chain shock;
(B) critical supply chain risk mitigation and
recovery planning with respect to a supply chain shock,
including any planned or past assessment, projection,
or estimate of a vulnerability within the critical
supply chain, including testing, supplier network
assessments, production flexibility, risk evaluations
thereto, risk management planning, or risk audits; or
(C) operational best practices, planning, and
supplier partnerships that enable enhanced resilience
of critical supply chains during a supply chain shock,
including response, repair, recovery, reconstruction,
insurance, or continuity.
(9) Domestic enterprise.--The term ``domestic enterprise''
means an enterprise that conducts business in the United States
and procures a critical good.
(10) Domestic manufacturer.--The term ``domestic
manufacturer'' means a business that conducts in the United
States the research and development, engineering, or production
activities necessary for manufacturing.
(11) Economically distressed area.--The term ``economically
distressed area'' means an area that meets 1 or more of the
requirements described in section 301(a) of the Public Works
and Economic Development Act of 1965 (42 U.S.C. 3161(a)).
(12) Federal agency.--The term ``Federal agency'' has the
meaning given the term ``agency'' in section 551 of title 5,
United States Code.
(13) Industrial equipment.--The term ``industrial
equipment'' means any component, subsystem, system, equipment,
tooling, accessory, part, or assembly necessary for the
manufacturing of a critical good.
(14) Key technology focus areas.--The term ``key technology
focus areas'' means the key technology focus areas identified
under section 10387 of the Research and Development,
Competition, and Innovation Act (42 U.S.C. 19107; Public Law
117-167).
(15) Labor organization.--The term ``labor organization''
has the meaning given the term in section 2(5) of the National
Labor Relations Act (29 U.S.C. 152(5)), except that such term
shall also include--
(A) any organization composed of labor
organizations, such as a labor union federation or a
State or municipal labor body; and
(B) any organization which would be included in the
definition for such term under such section 2(5) but
for the fact that the organization represents--
(i) individuals employed by the United
States, any wholly owned Government
corporation, any Federal Reserve Bank, or any
State or political subdivision thereof;
(ii) individuals employed by persons
subject to the Railway Labor Act (45 U.S.C. 151
et seq.); or
(iii) individuals employed as agricultural
laborers.
(16) Manufacture.--The term ``manufacture'' means any
activity that is necessary for the development, production,
processing, distribution, or delivery of any raw, in process,
or manufactured material (including any mineral, metal, and
advanced processed material), article, commodity, supply,
product, critical good, or item of supply.
(17) Manufacturing technology.--The term ``manufacturing
technology'' means technologies that are necessary for the
manufacturing of a critical good.
(18) Office.--The term ``Office'' means the Office of
Manufacturing Security and Resilience established under section
2.
(19) Relevant committees of congress.--The term ``relevant
committees of Congress'' means the following:
(A) The Committee on Commerce, Science, and
Transportation of the Senate.
(B) The Committee on Appropriations of the Senate.
(C) The Committee on Finance of the Senate.
(D) The Committee on Homeland Security and
Governmental Affairs of the Senate.
(E) The Committee on Armed Services of the Senate.
(F) The Committee on Energy and Natural Resources
of the Senate.
(G) The Select Committee on Intelligence of the
Senate.
(H) The Committee on Science, Space, and Technology
of the House of Representatives.
(I) The Committee on Energy and Commerce of the
House of Representatives.
(J) The Committee on Appropriations of the House of
Representatives.
(K) The Committee on Ways and Means of the House of
Representatives.
(L) The Committee on Homeland Security of the House
of Representatives.
(M) The Committee on Armed Services of the House of
Representatives.
(N) The Permanent Select Committee on Intelligence
of the House of Representatives.
(O) The Committee on Agriculture of the House of
Representatives.
(P) The Committee on Agriculture, Nutrition, and
Forestry of the Senate.
(20) Resilient critical supply chain.--The term ``resilient
critical supply chain'' means a critical supply chain that--
(A) ensures that the United States can sustain
critical industry production, critical supply chains,
services, and access to critical goods, industrial
equipment, and manufacturing technology during supply
chain shocks; and
(B) has key components of resilience that include--
(i) effective private sector risk
management and mitigation planning to sustain
critical supply chains and supplier networks
during a supply chain shock;
(ii) minimized or managed exposure to
supply chain shocks; and
(iii) the financial and operational
capacity to--
(I) sustain critical supply chains
during supply chain shocks; and
(II) recover from supply chain
shocks.
(21) Secretary.--The term ``Secretary'' means the Secretary
of Commerce.
(22) Small business concern.--The term ``small business
concern'' has the meaning given that term in section 3(a) of
the Small Business Act (15 U.S.C. 632(a)).
(23) State.--The term ``State'' means each State of the
United States, the District of Columbia, American Samoa, Guam,
the Commonwealth of the Northern Mariana Islands, Puerto Rico,
the Virgin Islands of the United States, and any other
territory of the United States.
(24) Supply chain shock.--The term ``supply chain shock''
includes the following:
(A) A natural disaster or extreme weather event.
(B) A pandemic.
(C) A biological threat.
(D) A cyber attack.
(E) A great power conflict.
(F) A terrorist or geopolitical attack.
(G) A public health emergency declared by the
Secretary of Health and Human Services pursuant to
section 319 of the Public Health Service Act (42 U.S.C.
247d).
(H) An event for which the President declares a
major disaster or an emergency under section 401 or
501, respectively, of the Robert T. Stafford Disaster
Relief and Emergency Assistance Act (42 U.S.C. 5170 and
5191).
(I) Any other critical supply chain disruption or
threat that affects the national security or economic
security of the United States.
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