Sec. 2. State and local cybersecurity grant program
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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 new sections: In this section: The term cyber threat indicator has the meaning given the term in section 102 of the Cybersecurity Act of 2015 ( 6 U.S.C. 1501 ). The term Cybersecurity Plan means a plan submitted by an eligible entity under subsection (e)(1). The term eligible entity means— a State; or an Indian tribe that, not later than 120 days after the date of the enactment of this section or not later than 120 days before the start of any fiscal year in which a grant under this section is awarded— notifies the Secretary that the Indian tribe intends to develop a Cybersecurity Plan; and agrees to forfeit any distribution under subsection (n)(2).
The term incident has the meaning given the term in section 2209. The term Indian tribe or Tribal organization has the meaning given that term in section 4(e) of the of the Indian Self-Determination and Education Assistance Act ( 25 U.S.C. 5304(e) ). The term information sharing and analysis organization has the meaning given the term in section 2222. The term information system has the meaning given the term in section 102 of the Cybersecurity Act of 2015 ( 6 U.S.C. 1501 ). The term online service means any internet-facing service, including a website, email, virtual private network, or custom application.
The term ransomware incident means an incident that actually or imminently jeopardizes, without lawful authority, the integrity, confidentiality, or availability of information on an information system, or actually or imminently jeopardizes, without lawful authority, an information system for the purpose of coercing the information system’s owner, operator, or another person. The term State and Local Cybersecurity Grant Program means the program established under subsection (b).
The term State and Local Cybersecurity Resilience Committee means the committee established under subsection (o)(1). The Secretary, acting through the Director, shall establish a program, to be known as the the State and Local Cybersecurity Grant Program , to award grants to eligible entities to address cybersecurity risks and cybersecurity threats to information systems of State, local, or Tribal organizations. An eligible entity seeking a grant under the State and Local Cybersecurity Grant Program shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.
An eligible entity or multistate group that receives a grant under this section shall use the grant in compliance with— the Cybersecurity Plan of the eligible entity or the Cybersecurity Plans of the eligible entities that comprise the multistate group; and the Homeland Security Strategy to Improve the Cybersecurity of State, Local, Tribal, and Territorial Governments developed under section 2210(e)(1); or activities carried out under paragraphs (3), (4), and
(5)of subsection (h). The State and Local Cybersecurity Grant Program shall be administered in the same office of the Department that administers grants made under sections 2003 and 2004. An eligible entity applying for a grant under this section shall submit to the Secretary a Cybersecurity Plan for approval. A Cybersecurity Plan of an eligible entity shall— incorporate, to the extent practicable, any existing plans of the eligible entity to protect against cybersecurity risks and cybersecurity threats to information systems of State, local, or Tribal organizations; describe, to the extent practicable, how the eligible entity will— manage, monitor, and track information systems, applications, and user accounts owned or operated by or on behalf of the eligible entity or by local or Tribal organizations within the jurisdiction of the eligible entity and the information technology deployed on those information systems, including legacy information systems and information technology that are no longer supported by the manufacturer of the systems or technology; monitor, audit, and track activity between information systems, applications, and user accounts owned or operated by or on behalf of the eligible entity or by local or Tribal organizations within the jurisdiction of the eligible entity and between those information systems and information systems not owned or operated by the eligible entity or by local or Tribal organizations within the jurisdiction of the eligible entity; enhance the preparation, response, and resilience of information systems, applications, and user accounts owned or operated by or on behalf of the eligible entity or local or Tribal organizations against cybersecurity risks and cybersecurity threats; implement a process of continuous cybersecurity vulnerability assessments and threat mitigation practices prioritized by degree of risk to address cybersecurity risks and cybersecurity threats on information systems of the eligible entity or local or Tribal organizations; ensure that State, local, and Tribal organizations that own or operate information systems that are located within the jurisdiction of the eligible entity— adopt best practices and methodologies to enhance cybersecurity, such as the practices set forth in the cybersecurity framework developed by, and the cyber supply chain risk management best practices identified by, the National Institute of Standards and Technology; and utilize knowledge bases of adversary tools and tactics to assess risk; promote the delivery of safe, recognizable, and trustworthy online services by State, local, and Tribal organizations, including through the use of the .gov internet domain; ensure continuity of operations of the eligible entity and local, and Tribal organizations in the event of a cybersecurity incident (including a ransomware incident), including by conducting exercises to practice responding to such an incident; use the National Initiative for Cybersecurity Education Cybersecurity Workforce Framework developed by the National Institute of Standards and Technology to identify and mitigate any gaps in the cybersecurity workforces of State, local, or Tribal organizations, enhance recruitment and retention efforts for such workforces, and bolster the knowledge, skills, and abilities of State, local, and Tribal organization personnel to address cybersecurity risks and cybersecurity threats, such as through cybersecurity hygiene training; ensure continuity of communications and data networks within the jurisdiction of the eligible entity between the eligible entity and local and Tribal organizations that own or operate information systems within the jurisdiction of the eligible entity in the event of an incident involving such communications or data networks within the jurisdiction of the eligible entity; assess and mitigate, to the greatest degree possible, cybersecurity risks and cybersecurity threats related to critical infrastructure and key resources, the degradation of which may impact the performance of information systems within the jurisdiction of the eligible entity; enhance capabilities to share cyber threat indicators and related information between the eligible entity and local and Tribal organizations that own or operate information systems within the jurisdiction of the eligible entity, including by expanding existing information sharing agreements with the Department; enhance the capability of the eligible entity to share cyber threat indictors and related information with the Department; leverage cybersecurity services offered by the Department; develop and coordinate strategies to address cybersecurity risks and cybersecurity threats to information systems of the eligible entity in consultation with— local and Tribal organizations within the jurisdiction of the eligible entity; and as applicable— States that neighbor the jurisdiction of the eligible entity or, as appropriate, members of an information sharing and analysis organization; and countries that neighbor the jurisdiction of the eligible entity; and implement an information technology and operational technology modernization cybersecurity review process that ensures alignment between information technology and operational technology cybersecurity objectives; describe, to the extent practicable, the individual responsibilities of the eligible entity and local and Tribal organizations within the jurisdiction of the eligible entity in implementing the plan; outline, to the extent practicable, the necessary resources and a timeline for implementing the plan; and describe how the eligible entity will measure progress towards implementing the plan. A Cybersecurity Plan of an eligible entity may include a description of— cooperative programs developed by groups of local and Tribal organizations within the jurisdiction of the eligible entity to address cybersecurity risks and cybersecurity threats; and programs provided by the eligible entity to support local and Tribal organizations and owners and operators of critical infrastructure to address cybersecurity risks and cybersecurity threats. An eligible entity applying for a grant under this section shall agree to designate the Chief Information Officer, the Chief Information Security Officer, or an equivalent official of the eligible entity as the primary official for the management and allocation of funds awarded under this section. The Secretary, acting through the Director, may award grants under this section to a group of two or more eligible entities to support multistate efforts to address cybersecurity risks and cybersecurity threats to information systems within the jurisdictions of the eligible entities. In order to be eligible for a multistate grant under this subsection, each eligible entity that comprises a multistate group shall submit to the Secretary— a Cybersecurity Plan for approval in accordance with subsection (i); and a plan for establishing a cybersecurity planning committee under subsection (g). A multistate group applying for a multistate grant under paragraph
(1)shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require. An application of a multistate group under subparagraph
(A)shall include a plan describing— the division of responsibilities among the eligible entities that comprise the multistate group for administering the grant for which application is being made; the distribution of funding from such a grant among the eligible entities that comprise the multistate group; and how the eligible entities that comprise the multistate group will work together to implement the Cybersecurity Plan of each of those eligible entities. An eligible entity that receives a grant under this section shall establish a cybersecurity planning committee to— assist in the development, implementation, and revision of the Cybersecurity Plan of the eligible entity; approve the Cybersecurity Plan of the eligible entity; and assist in the determination of effective funding priorities for a grant under this section in accordance with subsection (h). A committee of an eligible entity established under paragraph
(1)shall— be comprised of representatives from the eligible entity and counties, cities, towns, Tribes, and public educational and health institutions within the jurisdiction of the eligible entity; and include, as appropriate, representatives of rural, suburban, and high-population jurisdictions. Not less than 1/2 of the representatives of a committee established under paragraph
(1)shall have professional experience relating to cybersecurity or information technology. Nothing in this subsection may be construed to require an eligible entity to establish a cybersecurity planning committee if the eligible entity has established and uses a multijurisdictional planning committee or commission that meets, or may be leveraged to meet, the requirements of this subsection. An eligible entity that receives a grant under this section shall use the grant to— implement the Cybersecurity Plan of the eligible entity; develop or revise the Cybersecurity Plan of the eligible entity; or assist with activities that address imminent cybersecurity risks or cybersecurity threats to the information systems of the eligible entity or a local or Tribal organization within the jurisdiction of the eligible entity. Before an eligible entity may receive a grant under this section, the Secretary, acting through the Director, shall review the Cybersecurity Plan, or any revisions thereto, of the eligible entity and approve such plan, or revised plan, if it satisfies the requirements specified in paragraph (2). In approving a Cybersecurity Plan of an eligible entity under this subsection, the Director shall ensure that the Cybersecurity Plan— satisfies the requirements of subsection (e)(2); upon the issuance of the Homeland Security Strategy to Improve the Cybersecurity of State, Local, Tribal, and Territorial Governments authorized pursuant to section 2210(e), complies, as appropriate, with the goals and objectives of the strategy; and has been approved by the cybersecurity planning committee of the eligible entity established under subsection (g). The Secretary, acting through the Director, may approve revisions to a Cybersecurity Plan as the Director determines appropriate. Notwithstanding subsection
(e)and paragraph
(1)of this subsection, the Secretary may award a grant under this section to an eligible entity that does not submit a Cybersecurity Plan to the Secretary if— the eligible entity certifies to the Secretary that— the activities that will be supported by the grant are integral to the development of the Cybersecurity Plan of the eligible entity; and the eligible entity will submit by September 30, 2023, to the Secretary a Cybersecurity Plan for review, and if appropriate, approval; or the eligible entity certifies to the Secretary, and the Director confirms, that the eligible entity will use funds from the grant to assist with the activities described in subsection (h)(3). An eligible entity that receives a grant under this section may not use the grant— to supplant State, local, or Tribal funds; for any recipient cost-sharing contribution; to pay a demand for ransom in an attempt to— regain access to information or an information system of the eligible entity or of a local or Tribal organization within the jurisdiction of the eligible entity; or prevent the disclosure of information that has been removed without authorization from an information system of the eligible entity or of a local or Tribal organization within the jurisdiction of the eligible entity; for recreational or social purposes; or for any purpose that does not address cybersecurity risks or cybersecurity threats on information systems of the eligible entity or of a local or Tribal organization within the jurisdiction of the eligible entity. In addition to any other remedy available, the Secretary may take such actions as are necessary to ensure that a recipient of a grant under this section uses the grant for the purposes for which the grant is awarded. Nothing in paragraph
(1)may be construed to prohibit the use of grant funds provided to a State, local, or Tribal organization for otherwise permissible uses under this section on the basis that a State, local, or Tribal organization has previously used State, local, or Tribal funds to support the same or similar uses. In considering applications for grants under this section, the Secretary shall provide applicants with a reasonable opportunity to correct defects, if any, in such applications before making final awards. For fiscal year 2022 and each fiscal year thereafter, the Secretary shall apportion amounts appropriated to carry out this section among States as follows: The Secretary shall first apportion 0.25 percent of such amounts to each of American Samoa, the Commonwealth of the Northern Mariana Islands, Guam, the U.S. Virgin Islands, and 0.75 percent of such amounts to each of the remaining States. The Secretary shall apportion the remainder of such amounts in the ratio that— the population of each eligible entity, bears to the population of all eligible entities. In apportioning amounts under this section, the Secretary shall ensure that, for each fiscal year, directly eligible Tribes collectively receive, from amounts appropriated under the State and Local Cybersecurity Grant Program, not less than an amount equal to three percent of the total amount appropriated for grants under this section. Of the amount reserved under subparagraph (A), funds shall be allocated in a manner determined by the Secretary in consultation with Indian tribes. This paragraph shall not apply in any fiscal year in which the Secretary— receives fewer than five applications from Indian tribes; or does not approve at least two applications from Indian tribes. The Federal share of the cost of an activity carried out using funds made available with a grant under this section may not exceed— in the case of a grant to an eligible entity— for fiscal year 2022, 90 percent; for fiscal year 2023, 80 percent; for fiscal year 2024, 70 percent; for fiscal year 2025, 60 percent; and for fiscal year 2026 and each subsequent fiscal year, 50 percent; and in the case of a grant to a multistate group— for fiscal year 2022, 95 percent; for fiscal year 2023, 85 percent; for fiscal year 2024, 75 percent; for fiscal year 2025, 65 percent; and for fiscal year 2026 and each subsequent fiscal year, 55 percent. The Secretary may waive or modify the requirements of paragraph
(1)for an Indian tribe if the Secretary determines such a waiver is in the public interest. Each eligible entity or multistate group that receives a grant under this section shall certify to the Secretary that the grant will be used— for the purpose for which the grant is awarded; and in compliance with, as the case may be— the Cybersecurity Plan of the eligible entity; the Cybersecurity Plans of the eligible entities that comprise the multistate group; or a purpose approved by the Secretary under subsection
(h)or pursuant to an exception under subsection (i). Not later than 45 days after the date on which an eligible entity or multistate group receives a grant under this section, the eligible entity or multistate group shall, without imposing unreasonable or unduly burdensome requirements as a condition of receipt, obligate or otherwise make available to local and Tribal organizations within the jurisdiction of the eligible entity or the eligible entities that comprise the multistate group, and as applicable, consistent with the Cybersecurity Plan of the eligible entity or the Cybersecurity Plans of the eligible entities that comprise the multistate group— not less than 80 percent of funds available under the grant; with the consent of the local and Tribal organizations, items, services, capabilities, or activities having a value of not less than 80 percent of the amount of the grant; or with the consent of the local and Tribal organizations, grant funds combined with other items, services, capabilities, or activities having the total value of not less than 80 percent of the amount of the grant. An eligible entity or multistate group shall certify to the Secretary that the eligible entity or multistate group has made the distribution to local, Tribal, and territorial governments required under paragraph (2). An eligible entity or multistate group may request in writing that the Secretary extend the period of time specified in paragraph
(2)for an additional period of time. The Secretary may approve a request for an extension under subparagraph
(A)if the Secretary determines the extension is necessary to ensure that the obligation and expenditure of grant funds align with the purpose of the State and Local Cybersecurity Grant Program. Paragraph
(2)shall not apply to the District of Columbia, the Commonwealth of Puerto Rico, American Samoa, the Commonwealth of the Northern Mariana Islands, Guam, the Virgin Islands, or an Indian tribe. If an eligible entity does not make a distribution to a local or Tribal organization required in accordance with paragraph (2), the local or Tribal organization may petition the Secretary to request that grant funds be provided directly to the local or Tribal organization. In addition to other remedies available to the Secretary, the Secretary may terminate or reduce the amount of a grant awarded under this section to an eligible entity or distribute grant funds previously awarded to such eligible entity directly to the appropriate local or Tribal organization as a replacement grant in an amount the Secretary determines appropriate if such eligible entity violates a requirement of this subsection. Not later than 120 days after the date of enactment of this section, the Director shall establish a State and Local Cybersecurity Resilience Committee to provide State, local, and Tribal stakeholder expertise, situational awareness, and recommendations to the Director, as appropriate, regarding how to— address cybersecurity risks and cybersecurity threats to information systems of State, local, or Tribal organizations; and improve the ability of State, local, and Tribal organizations to prevent, protect against, respond to, mitigate, and recover from such cybersecurity risks and cybersecurity threats. The committee established under paragraph
(1)shall— submit to the Director recommendations that may inform guidance for applicants for grants under this section; upon the request of the Director, provide to the Director technical assistance to inform the review of Cybersecurity Plans submitted by applicants for grants under this section, and, as appropriate, submit to the Director recommendations to improve those plans prior to the approval of the plans under subsection (i); advise and provide to the Director input regarding the Homeland Security Strategy to Improve Cybersecurity for State, Local, Tribal, and Territorial Governments required under section 2210; upon the request of the Director, provide to the Director recommendations, as appropriate, regarding how to— address cybersecurity risks and cybersecurity threats on information systems of State, local, or Tribal organizations; and improve the cybersecurity resilience of State, local, or Tribal organizations; and regularly coordinate with the State, Local, Tribal and Territorial Government Coordinating Council, within the Critical Infrastructure Partnership Advisory Council, established under section 871. The State and Local Cybersecurity Resilience Committee established pursuant to paragraph
(1)shall be composed of 15 members appointed by the Director, as follows: Two individuals recommended to the Director by the National Governors Association. Two individuals recommended to the Director by the National Association of State Chief Information Officers. One individual recommended to the Director by the National Guard Bureau. Two individuals recommended to the Director by the National Association of Counties. One individual recommended to the Director by the National League of Cities. One individual recommended to the Director by the United States Conference of Mayors. One individual recommended to the Director by the Multi-State Information Sharing and Analysis Center. One individual recommended to the Director by the National Congress of American Indians. Four individuals who have educational and professional experience relating to cybersecurity work or cybersecurity policy. Subject to clause (ii), each member of the State and Local Cybersecurity Resilience Committee shall be appointed for a term of two years. At least two members of the State and Local Cybersecurity Resilience Committee shall also be members of the State, Local, Tribal and Territorial Government Coordinating Council, within the Critical Infrastructure Partnership Advisory Council, established under section 871. A term of a member of the State and Local Cybersecurity Resilience Committee shall be three years if the member is appointed initially to the Committee upon the establishment of the Committee. Any member of the State and Local Cybersecurity Resilience Committee appointed to fill a vacancy occurring before the expiration of the term for which the member’s predecessor was appointed shall be appointed only for the remainder of such term. A member may serve after the expiration of such member’s term until a successor has taken office. A vacancy in the State and Local Cybersecurity Resilience Committee shall be filled in the manner in which the original appointment was made. Members of the State and Local Cybersecurity Resilience Committee shall serve without pay. The members of the State and Local Cybersecurity Resilience Committee shall select a chairperson and vice chairperson from among members of the committee. Notwithstanding section 14 of the Federal Advisory Committee Act (5 U.S.C. App.), the State and Local Cybersecurity Resilience Committee shall be a permanent authority. Not later than one year after an eligible entity or multistate group receives funds under this section, the eligible entity or multistate group shall submit to the Secretary a report on the progress of the eligible entity or multistate group in implementing the Cybersecurity Plan of the eligible entity or Cybersecurity Plans of the eligible entities that comprise the multistate group, as the case may be. Not later than 180 days after an eligible entity that does not have a Cybersecurity Plan receives funds under this section for developing its Cybersecurity Plan, the eligible entity shall submit to the Secretary a report describing how the eligible entity obligated and expended grant funds during the fiscal year to— so develop such a Cybersecurity Plan; or assist with the activities described in subsection (h)(3). Not less frequently than once per year, the Secretary, acting through the Director, shall submit to Congress a report on the use of grants awarded under this section and any progress made toward the following: Achieving the objectives set forth in the Homeland Security Strategy to Improve the Cybersecurity of State, Local, Tribal, and Territorial Governments, upon the date on which the strategy is issued under section 2210. Developing, implementing, or revising Cybersecurity Plans. Reducing cybersecurity risks and cybersecurity threats to information systems, applications, and user accounts owned or operated by or on behalf of State, local, and Tribal organizations as a result of the award of such grants. There are authorized to be appropriated for grants under this section— for each of fiscal years 2022 through 2026, $500,000,000; and for each subsequent fiscal year, such sums as may be necessary. The Secretary, acting through the Director, shall develop, regularly update, and maintain a resource guide for use by State, local, Tribal, and territorial government officials, including law enforcement officers, to help such officials identify, prepare for, detect, protect against, respond to, and recover from cybersecurity risks (as such term is defined in section 2209), cybersecurity threats, and incidents (as such term is defined in section 2209). . The table of contents in section 1(b) of the Homeland Security Act of 2002, as amended by section 4, is further amended by inserting after the item relating to section 2220 the following new items: Sec. 2220A. State and Local Cybersecurity Grant Program. Sec. 2220B. Cybersecurity resource guide development for State, local, Tribal, and territorial government officials. .
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