Domains Critical to Homeland Security Act

IIB 117TH CONGRESS 1ST SESSION H. R. 3264 IN THE SENATE OF THE UNITED STATES JULY 21, 2021 Received; read twice and referred to the Committee on Homeland Security and Governmental Affairs AN ACT To amend the Homeland Security Act of 2002 to require research and development to identify and evaluate the extent to which critical domain risks within the United States supply chain pose a substantial threat to home- land security, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 VerDate Sep 11 2014 02:21 Jul 22, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H3264.RFS H3264 kjohnson on DSK79L0C42PROD with BILLS 2 HR 3264 RFS SECTION 1. SHORT TITLE. 1 This Act may be cited as the ‘‘Domains Critical to 2 Homeland Security Act’’. 3 SEC. 2. CRITICAL DOMAIN RESEARCH AND DEVELOPMENT. 4 (a) IN GENERAL.—Subtitle H of title VIII of the 5 Homeland Security Act of 2002 (6 U.S.C. 451 et seq.) 6 is amended by adding at the end the following new section: 7 ‘‘SEC. 890B. HOMELAND SECURITY CRITICAL DOMAIN RE- 8 SEARCH AND DEVELOPMENT. 9 ‘‘(a) IN GENERAL.— 10 ‘‘(1) RESEARCH AND DEVELOPMENT.—The 11 Secretary is authorized to conduct research and de- 12 velopment to— 13 ‘‘(A) identify United States critical do- 14 mains for economic security and homeland se- 15 curity; and 16 ‘‘(B) evaluate the extent to which disrup- 17 tion, corruption, exploitation, or dysfunction of 18 any of such domain poses a substantial threat 19 to homeland security. 20 ‘‘(2) REQUIREMENTS.— 21 ‘‘(A) RISK ANALYSIS OF CRITICAL DO- 22 MAINS.—The research under paragraph (1) 23 shall include a risk analysis of each identified 24 United States critical domain for economic se- 25 curity to determine the degree to which there 26 VerDate Sep 11 2014 02:21 Jul 22, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H3264.RFS H3264 kjohnson on DSK79L0C42PROD with BILLS 3 HR 3264 RFS exists a present or future threat to homeland 1 security in the event of disruption, corruption, 2 exploitation, or dysfunction to such domain. 3 Such research shall consider, to the extent pos- 4 sible, the following: 5 ‘‘(i) The vulnerability and resilience of 6 relevant supply chains. 7 ‘‘(ii) Foreign production, processing, 8 and manufacturing methods. 9 ‘‘(iii) Influence of malign economic ac- 10 tors. 11 ‘‘(iv) Asset ownership. 12 ‘‘(v) Relationships within the supply 13 chains of such domains. 14 ‘‘(vi) The degree to which the condi- 15 tions referred to in clauses (i) through (v) 16 would place such a domain at risk of dis- 17 ruption, corruption, exploitation, or dys- 18 function. 19 ‘‘(B) ADDITIONAL RESEARCH INTO HIGH- 20 RISK CRITICAL DOMAINS.—Based on the identi- 21 fication and risk analysis of United States crit- 22 ical domains for economic security pursuant to 23 paragraph (1) and subparagraph (A) of this 24 paragraph, respectively, the Secretary may con- 25 VerDate Sep 11 2014 02:21 Jul 22, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H3264.RFS H3264 kjohnson on DSK79L0C42PROD with BILLS 4 HR 3264 RFS duct additional research into those critical do- 1 mains, or specific elements thereof, with respect 2 to which there exists the highest degree of a 3 present or future threat to homeland security in 4 the event of disruption, corruption, exploitation, 5 or dysfunction to such a domain. For each such 6 high-risk domain, or element thereof, such re- 7 search shall— 8 ‘‘(i) describe the underlying infra- 9 structure and processes; 10 ‘‘(ii) analyze present and projected 11 performance of industries that comprise or 12 support such domain; 13 ‘‘(iii) examine the extent to which the 14 supply chain of a product or service nec- 15 essary to such domain is concentrated, ei- 16 ther through a small number of sources, or 17 if multiple sources are concentrated in one 18 geographic area; 19 ‘‘(iv) examine the extent to which the 20 demand for supplies of goods and services 21 of such industries can be fulfilled by 22 present and projected performance of other 23 industries, identify strategies, plans, and 24 potential barriers to expand the supplier 25 VerDate Sep 11 2014 02:21 Jul 22, 2021 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3264.RFS H3264 kjohnson on DSK79L0C42PROD with BILLS 5 HR 3264 RFS industrial base, and identify the barriers to 1 the participation of such other industries; 2 ‘‘(v) consider each such domain’s per- 3 formance capacities in stable economic en- 4 vironments, adversarial supply conditions, 5 and under crisis economic constraints; 6 ‘‘(vi) identify and define needs and re- 7 quirements to establish supply resiliency 8 within each such domain; and 9 ‘‘(vii) consider the effects of sector 10 consolidation, including foreign consolida- 11 tion, either through mergers or acquisi- 12 tions, or due to recent geographic realign- 13 ment, on such industries’ performances. 14 ‘‘(3) CONSULTATION.—In conducting the re- 15 search under paragraph (1) and subparagraph (B) 16 of paragraph (2), the Secretary may consult with 17 appropriate Federal agencies, State agencies, and 18 private sector stakeholders. 19 ‘‘(4) PUBLICATION.—Beginning one year after 20 the date of the enactment of this section, the Sec- 21 retary shall publish a report containing information 22 relating to the research under paragraph (1) and 23 subparagraph (B) of paragraph (2), including find- 24 VerDate Sep 11 2014 02:21 Jul 22, 2021 Jkt 019200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H3264.RFS H3264 kjohnson on DSK79L0C42PROD with BILLS 6 HR 3264 RFS ings, evidence, analysis, and recommendations. Such 1 report shall be updated annually through 2026. 2 ‘‘(b) SUBMISSION TO CONGRESS.—Not later than 90 3 days after the publication of each report required under 4 paragraph (4) of subsection (a), the Secretary shall trans- 5 mit to the Committee on Homeland Security of the House 6 of Representatives and the Committee on Homeland Secu- 7 rity and Governmental Affairs of the Senate each such re- 8 port, together with a description of actions the Secretary, 9 in consultation with appropriate Federal agencies, will un- 10 dertake or has undertaken in response to each such report. 11 ‘‘(c) DEFINITIONS.—In this section: 12 ‘‘(1) UNITED STATES CRITICAL DOMAINS FOR 13 ECONOMIC SECURITY.—The term ‘United States 14 critical domains for economic security’ means the 15 critical infrastructure and other associated indus- 16 tries, technologies, and intellectual property, or any 17 combination thereof, that are essential to the eco- 18 nomic security of the United States. 19 ‘‘(2) ECONOMIC SECURITY.—The term ‘eco- 20 nomic security’ means the condition of having secure 21 and resilient domestic production capacity, combined 22 with reliable access to the global resources necessary 23 to maintain an acceptable standard of living and to 24 protect core national values. 25 VerDate Sep 11 2014 02:21 Jul 22, 2021 Jkt 019200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H3264.RFS H3264 kjohnson on DSK79L0C42PROD with BILLS 7 HR 3264 RFS ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There 1 is authorized to be appropriated $1,000,000 for each of 2 fiscal years 2022 through 2026 to carry out this section.’’. 3 (b) CLERICAL AMENDMENT.—The table of contents 4 in section 1(b) of the Homeland Security Act of 2002 is 5 amended by inserting after the item relating to section 6 890A the following new item: 7 ‘‘Sec. 890B. Homeland security critical domain research and development.’’. Passed the House of Representatives July 20, 2021. Attest: CHERYL L. JOHNSON, Clerk. VerDate Sep 11 2014 02:21 Jul 22, 2021 Jkt 019200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H3264.RFS H3264 kjohnson on DSK79L0C42PROD with BILLS