Sec. 2505. Supply chain resiliency program
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In this section: The term critical industry means an industry identified under subsection (f)(1)(A)(i). The term critical infrastructure has the meaning given the term in the Critical Infrastructures Protection Act of 2001 ( 42 U.S.C. 5195c ). The term labor organization has the meaning given the term in section 2101. The term program means the supply chain resiliency and crisis response program established under subsection (b). The term resilient supply chain means a supply chain that— ensures that the United States can sustain critical industry production, supply chains, services, and access to critical goods and services during supply chain shocks, including pandemic and biological threats, cyberattacks, extreme weather events, terrorist and geopolitical attacks, great power conflicts, and other threats to the national security of the United States; and has key components of resilience that include— effective private sector risk management and mitigation planning to sustain critical supply chains and supplier networks during a supply chain shock; minimized or managed exposure to supply chain shocks; and the financial and operational capacity to— sustain critical industry supply chains during shocks; and recover from supply chain shocks.
The term relevant committees of Congress means— the Committee on Commerce, Science, and Transportation of the Senate; the Committee on Appropriations of the Senate; the Committee on Finance of the Senate; the Committee on Homeland Security and Governmental Affairs of the Senate; the Committee on Armed Services of the Senate; the Committee on Energy and Natural Resources of the Senate; the Select Committee on Intelligence of the Senate; the Committee on Science, Space, and Technology of the House of Representatives; the Committee on Energy and Commerce of the House of Representatives; the Committee on Appropriations of the House of Representatives; the Committee on Ways and Means of the House of Representatives; the Committee on Homeland Security of the House of Representatives; the Committee on Armed Services of the House of Representatives; and the Permanent Select Committee on Intelligence of the House of Representatives.
The term Secretary means the Secretary of Commerce. The term supply chain information means information that is not customarily in the public domain and relating to— sustaining and adapting supply chains during a supply chain shock, including pandemic and biological threats, cyberattacks, extreme weather events, terrorist and geopolitical attacks, great power conflict, and other threats to national security; the development of 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 supply chain, including testing, supplier network assessments, production flexibility, risk evaluations thereto, risk management planning, or risk audits; or operational best practices, planning, and supplier partnerships that enable enhanced supply chain resilience during a supply chain shock, including response, repair, recovery, reconstruction, insurance, or continuity.
The Secretary shall establish in the Department of Commerce a supply chain resiliency and crisis response program to carry out the activities described in subsection (d). The mission of the program shall be to— help to promote the leadership of the United States with respect to critical industries that are essential to the mid-term and long-term national security of the United States; and encourage partnerships between the Federal Government and industry, labor organizations, and State, local, territorial, and Tribal governments in order to— promote resilient supply chains; and respond to critical industry supply chain shocks.
Under the program, the Secretary, acting through 1 or more bureaus or other divisions of the Department of Commerce as appropriate, shall carry out activities— in coordination with the private sector, to— map and monitor critical industry supply chains; and identify high priority supply chain gaps and vulnerabilities in critical industries that— exist as of the date of enactment of this division; or are anticipated in the future; in coordination with the private sector and State, local, territorial, and Tribal governments, and as appropriate, in cooperation with the governments of countries that are allies or key international partners of the United States, to— identify opportunities to reduce supply chain gaps and vulnerabilities in critical industries; encourage partnerships between the Federal Government and industry, labor organizations, and State, local, territorial, and Tribal governments to better respond to supply chain shocks to critical industries and coordinate response efforts; develop or identify opportunities to build the capacity of the United States, or countries that are allies of the United States, in critical industries; and develop contingency plans and coordination mechanisms to improve critical industry supply chain response to supply chain shocks; and acting within existing authorities of the Department of Commerce and in coordination with the Secretary of State and the United States Trade Representative, to— work with governments of countries that are allies or partners of the United States to promote diversified and resilient supply chains that ensure the supply of critical goods to both the United States and companies of countries that are allies of the United States; and coordinate with other divisions of the Department of Commerce and other Federal agencies to leverage existing authorities, as of the date of enactment of this division, to encourage resilient supply chains.
In carrying out the activities under subsection (d), the Secretary may— establish a unified coordination group, which may include private sector partners, as appropriate, to serve as the primary method for coordinating between and among Federal agencies to plan for supply chain shocks; establish subgroups of the unified coordination group established under paragraph
(1)led by the head of an appropriate Federal agency; through the unified coordination group established under paragraph (1)— acquire on a voluntary basis technical, engineering, and operational supply chain information from the private sector, in a manner that ensures any supply chain information provided by the private sector is kept confidential and as required under section 552 of title 5, United States Code (commonly known as the Freedom of Information Act) ; study the supply chain information acquired under subparagraph
(A)to assess critical industry supply chain resilience and inform planning; convene with relevant private sector entities to share best practices, planning, and capabilities to response to potential supply chain shocks; and develop contingency plans and coordination mechanisms to ensure an effective and coordinated response to potential supply chain shocks; and enter into agreements with governments of countries that are allies or partners of the United States relating to enhancing critical industry supply chain security and resilience in response to supply chain shocks. Not later than 1 year after the date of enactment of this division, and from time to time thereafter, the Secretary, in coordination with relevant Federal agencies and relevant private sector entities, labor organizations, and State, local, territorial, and Tribal governments, shall submit to the relevant committees of Congress a review that— identifies— industries that are critical for the national security of the United States, considering the key technology focus areas under this division and critical infrastructure; and supplies that are critical to the crisis preparedness of the United States; describes— the manufacturing base and supply chains for critical industries in the United States as of the date of enactment of this division, including the manufacturing base and supply chains for— raw materials; production equipment; and other goods, including semiconductors, that are essential to the production of technologies and supplies for critical industries; and the ability of the United States to— maintain readiness; and in response to a supply chain shock— surge production in critical industries; and maintain access to critical goods and services; identifies defense, intelligence, homeland, economic, domestic labor supply, natural, geopolitical, or other contingencies that may disrupt, strain, compromise, or eliminate the supply chain for those critical industries; assesses— the resiliency and capacity of the manufacturing base, supply chains, and workforce of the United States, the allies of the United States, and the partners of the United States that can sustain critical industries through a supply chain shock; and any single points of failure in the supply chains described in clause (i); assesses the flexible manufacturing capacity and capabilities available in the United States in the case of an emergency; makes specific recommendations to improve the security and resiliency of manufacturing capacity and supply chains for critical industries by— developing long-term strategies; increasing visibility into the networks and capabilities of suppliers; identifying industry best practices; evaluating how diverse supplier networks, multi-platform and multi-region production capabilities and sources, and integrated global and regional supply chains can enhance the resilience of— critical industries in the United States; jobs in the United States; capabilities of the United States; and the support access of the United States to needed goods and services during a supply chain shock; identifying and mitigating risks, including— the financial and operational risks of a supply chain after a supply chain shock; significant vulnerabilities to extreme weather events, cyberattacks, pandemic and biological threats, terrorist and geopolitical attacks, and other emergencies; and exposure to gaps and vulnerabilities in— domestic capacity or capabilities; and sources of imports needed to sustain critical industries; identifying enterprise resource planning systems that are— compatible across supply chain tiers; and affordable for small and medium-sized businesses; understanding the total cost of ownership, total value contribution, and other best practices that encourage strategic partnerships throughout supply chains; understanding Federal procurement opportunities to increase resiliency of supply chains for goods and services and fill gaps in domestic purchasing; identifying policies that maximize job retention and creation in the United States, including workforce development programs; identifying opportunities to work with allies or key partners of the United States in building more resilient critical industry supply chains and mitigating risks; identifying areas requiring further investment in research and development or workforce education; and identifying such other services as the Secretary determines necessary; provides guidance to the Department of Commerce, the National Science Foundation, and other relevant Federal agencies with respect to technologies and supplies that should be prioritized; with respect to countries that are allies or key partners of the United States— reviews and, if appropriate, provides recommendations for expanding the sourcing of goods associated with critical industries from those countries; and recommends coordination with those countries on— sourcing critical raw materials, inputs, and products; and sustaining production and availability of critical supplies during a supply chain shock; monitors and makes recommendations for strengthening the financial and operational health of small and medium-sized businesses in supply chains of the United States and countries that are allies or partners of the United States to mitigate risks and ensure diverse and competitive supplier markets that are less vulnerable to single points of failure; and assessment of policies, rules, and regulations that impact domestic manufacturing operating costs and inhibit the ability for domestic manufacturing to compete with global competitors. The report submitted under paragraph
(1)may not include— supply chain information that is not aggregated; or confidential business information of a private sector entity. The Secretary shall carry out the program established under section 9902 of the William M.
(Mac)Thornberry National Defense Authorization Act for Fiscal Year 2021 ( Public Law 116–283 ) as part of the program. Section 9902(a)(1) of the William M.
(Mac)Thornberry National Defense Authorization Act for Fiscal Year 2021 ( Public Law 116–283 ) is amended by striking in the Department of Commerce and inserting as part of the program established under section 2505 of the . Endless Frontier Act Concurrent with the annual submission by the President of the budget under section 1105 of title 31, United States Code, the Secretary shall submit to the relevant committees of Congress a report that contains a summary of every activity carried out under this section during the year covered by the report. In implementing the program, the Secretary shall, as appropriate coordinate with— the heads of Federal agencies, including— the Secretary of State; and the United States Trade Representative; and the Attorney General and the Federal Trade Commission with respect to— advice on the design and activities of the unified coordination group described in subsection (e)(1); and ensuring compliance with Federal antitrust law. In implementing the program, with respect to supply chains involving specific sectors, the Secretary shall, as appropriate, coordinate with— the Secretary of Defense; the Secretary of Homeland Security; the Secretary of the Treasury; the Secretary of Energy; the Secretary of Transportation; the Secretary of Agriculture; the Director of National Intelligence; and the heads of other relevant agencies. Nothing in this section shall be construed to require any private entity— to share information with the Secretary; to request assistance from the Secretary; or that requests assistance from the Secretary to implement any measure or recommendation suggested by the Secretary. Subsections (a)(1), (b), (c), and
(d)of section 2224 of the Homeland Security Act of 2002 ( 6 U.S.C. 673 ) shall apply to the voluntary submission of 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 an other informational purpose under that subsection if the voluntary submission is accompanied by an express statement described in paragraph
(2)of this subsection; and For the purpose of this subsection, with respect to section 2224 of the Homeland Security Act of 2002 ( 6 U.S.C. 673 )— 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; references in the subsections described in subparagraph
(A)to this subtitle shall be deemed to refer to this section; 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 the reference to critical infrastructure information in subsections
(b)and
(c)of that section shall be deemed to refer to supply chain information. The express statement described in this paragraph, with respect to information or records, is— 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 2505 of the Endless Frontier Act. ; or 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. This subsection shall not apply to the voluntary submission of 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 ). Not later than 45 days after the date of enactment of this division , the Secretary of Commerce shall commence a process to make a determination for purposes of sect ion 2 of the Secure and Trusted Communications Networks Act of 2019 ( 47 U.S.C. 1601 ) whether optical transmission equipment manufactured, produced, or distributed by an entity owned, controlled, or supported by the People's Republic of China poses an unacceptable risk to the national security of the United States or the security and safety of United States persons. If the Secretary determines pursuant to paragraph
(1)that such optical transmission equipment poses an unacceptable risk consistent with that paragraph, the Secretary shall immediately transmit that determination to the Federal Communications Commission consistent with section 2 of the Secure and Trusted Communications Networks Act of 2019 ( 47 U.S.C. 1601 ).
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Sec. 2505
Supply chain resiliency program
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