Sec. 7. Disclosure reports
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Section 117 of the Higher Education Act of 1965 ( 20 U.S.C. 1011f ) is amended to read as follows: Whenever— any institution is owned, directed, controlled, financed, or influenced directly or indirectly by a foreign source; or any institution, including a member of the faculty, professional staff, or other staff, of the institution enters into or maintains a covered relationship with a foreign source when— the relationship is restricted or conditional; the value of such relationship is $50,000 or more considered alone or in combination with all other relationships with that foreign source within a calendar year; or a foreign source involved in the relationship— resides in or is organized under the laws of, headquartered in, has its principal place of business in, or has more than 25 percent voting stock owned by affiliates that are citizens of a country that has an adversarial foreign government; or is owned, directed, controlled, financed, or influenced, directly or indirectly, by an individual who resides in a country that has an adversarial foreign government or an entity that is organized under the laws of, headquartered in, has its principal place of business in, or has more than 25 percent voting stock owned by affiliates that are citizens of, a country that has an adversarial foreign government; the institution shall file a disclosure report with the Secretary on January 31 or July 31, whichever is sooner.
Each report to the Secretary required by this section shall contain the following: For relationships entered into or maintained with a foreign source other than a foreign government, the aggregate dollar value amount of gifts, contracts, agreements, partnerships, collaborations, and employment attributable to a particular country, and for each relationship— the full legal name of the foreign source; the content of the contract and any conditions or restrictions; in the case of a foreign source that is an individual, the country in which the individual resides and the individual's affiliations; in the case of a foreign source that is an entity, the country where the foreign source is organized, headquartered, and has its principal place of business and the entity’s ownership; the steps taken to ensure that the foreign source is not a covered person; the goal of the relationship, the length of the relationship, whether the relationship is curriculum or research oriented, whether the institution or foreign source received financial compensation for entering or maintaining the relationship, along with the amount of the compensation, and any changes in program or structure resulting from the relationship.
For relationships entered into or maintained with a foreign government— the name of the foreign government and the aggregate dollar value amount of gifts, contracts, agreements, partnerships, collaborations, and employment with that foreign government; a description of the relationship, including the content of each such contract, and any conditions or restrictions; and the goal of the relationship, the length of the relationship, whether the relationship is curriculum or research oriented, whether the institution or foreign source received financial compensation for entering or maintaining the relationship, along with the amount of the compensation, and any changes in program or structure resulting from the relationship.
In the case of an institution that is owned, directed, controlled, financed, or influenced, directly or indirectly by a foreign source, the identity of the foreign source, the foreign source’s affiliations, the date on which the foreign source assumed such role, and any changes in program or structure resulting from such source’s role. In accordance with the Protecting Education from Malign Foreign Influence Act of 2023 , an institution shall not be eligible to receive funds under this Act if that institution is owned, operated, directed, or controlled by a covered person.
Not later than 30 days after the deadline for submission of a disclosure report under subsection (a), the Secretary shall submit that report to Congress and other appropriate Federal agencies and make the contents of the disclosure report publicly available online. The Secretary may disclose a redacted version of such report to the public only if the Secretary grants a petition from an institution to redact and the Secretary has determined that the institution has established grounds for such redaction.
Whenever it appears that an institution has failed to comply with the requirements of this section, including any rule or regulation promulgated under this section, a civil action may be brought by the Attorney General, at the request of the Secretary, in an appropriate district court of the United States, or the appropriate United States court of any territory or other place subject to the jurisdiction of the United States, to request such court to compel compliance with the requirements of this section.
For knowing or willful failure to comply with the requirements of this section, including any rule or regulation promulgated thereunder, an institution shall, at a minimum, pay to the Treasury of the United States the full costs to the United States of obtaining compliance, including all associated costs of investigation and enforcement. The Secretary may promulgate regulations to carry out this section. The Secretary shall coordinate with other Federal agencies, as appropriate, including the Federal Bureau of Investigation and the Office of the Director of National Intelligence, to ensure that other Federal agencies have access to disclosure reports submitted under this section and any information or documentation relating to disclosure reports submitted under this section.
For the purpose of this section— the term contract means any agreement for the acquisition by purchase, lease, or barter of property or services by the foreign source, for the direct benefit or use of either of the parties; the term covered person has the meaning given that term in section 2 of the Protecting Education from Malign Foreign Influence Act of 2023 ; the term covered relationship has the meaning given that term in section 2 of the Protecting Education from Malign Foreign Influence Act of 2023 ; the term foreign source means— a foreign government, including an agency of a foreign government; a legal entity, governmental or otherwise, organized under the laws of, headquartered in, or having its principal place of business in, a foreign state or states; an individual who is not a citizen or a national of the United States or a trust territory or protectorate thereof; and an agent, including a subsidiary or affiliate of a foreign legal entity, acting on behalf of a foreign source; the term gift means any gift of money or property, the fair market value of an in-kind gift, or a grant, donation, present, award, contribution, or scholarship; the term institution means an institution of higher education as defined in section 2 of the Protecting Education from Malign Foreign Influence Act of 2023 ; the term restricted or conditional relationship means any relationship of any kind which includes provisions regarding— the employment, assignment, or termination of faculty; the establishment of departments, centers, research or lecture programs, or new faculty positions; the selection or admission of students; or the award of grants, loans, scholarships, fellowships, or other forms of financial aid restricted to students of a specified country, religion, sex, ethnic origin, or political opinion. .
The amendments made by subsection
(a)shall apply with respect to relationships entered into, or other activities carried out, on or after the date of the enactment of this Act, except that the prohibition described in subsection
(c)of section 117 of the Higher Education Act of 1965 (as amended by subsection (a)) shall be subject to the transition provisions in section 3(b)(2) of the Protecting Education from Malign Foreign Influence Act of 2023 . Each Federal agency shall ensure that no Federal funds under the jurisdiction of that agency are distributed to an institution that is knowingly or willfully in violation of section 117 of the Higher Education Act of 1965 ( 20 U.S.C. 1011f ), as determined by the head of the relevant agency.
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Sec. 7
Disclosure reports
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