A bill to use proceeds from spectrum auctions to support supply chain innovation and multilateral security.

II 116TH CONGRESS 2D SESSION S. 3189 To use proceeds from spectrum auctions to support supply chain innovation and multilateral security. IN THE SENATE OF THE UNITED STATES JANUARY 14, 2020 Mr. WARNER (for himself, Mr. BURR, Mr. RUBIO, Mr. MENENDEZ, Mr. COR- NYN, and Mr. BENNET) introduced the following bill; which was read twice and referred to the Committee on Commerce, Science, and Trans- portation A BILL To use proceeds from spectrum auctions to support supply chain innovation and multilateral security. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. DEFINITIONS. 3 In this Act: 4 (1) 3GPP.—The term ‘‘3GPP’’ means the 5 Third Generation Partnership Project. 6 (2) 5G NETWORK.—The term ‘‘5G network’’ 7 means a radio network as described by 3GPP Re- 8 lease 15 or higher. 9 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 2 •S 3189 IS (3) COMMISSION.—The term ‘‘Commission’’ 1 means the Federal Communications Commission. 2 (4) NTIA ADMINISTRATOR.—The term ‘‘NTIA 3 Administrator’’ means the Assistant Secretary of 4 Commerce for Communications and Information. 5 (5) O-RAN.—The term ‘‘O-RAN’’ means the 6 Open Radio Access Network approach to standard- 7 ization adopted by the O-RAN Alliance, Telecom 8 Infra Project, or 3GPP, or any similar set of open 9 standards for multi-vendor network equipment inter- 10 operability. 11 (6) RELEVANT COMMITTEES OF CONGRESS.— 12 The term ‘‘relevant committees of Congress’’ 13 means— 14 (A) the Select Committee on Intelligence of 15 the Senate; 16 (B) the Committee on Foreign Relations of 17 the Senate; 18 (C) the Committee on Homeland Security 19 and Governmental Affairs of the Senate; 20 (D) the Committee on Armed Services of 21 the Senate; 22 (E) the Committee on Commerce, Science, 23 and Transportation of the Senate; 24 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 3 •S 3189 IS (F) the Permanent Select Committee on 1 Intelligence of the House of Representatives; 2 (G) the Committee on Foreign Affairs of 3 the House of Representatives; 4 (H) the Committee on Homeland Security 5 of the House of Representatives; 6 (I) the Committee on Armed Services of 7 the House of Representatives; and 8 (J) the Committee on Energy and Com- 9 merce of the House of Representatives. 10 SEC. 2. COMMUNICATIONS TECHNOLOGY SECURITY FUNDS. 11 (a) USE OF SPECTRUM AUCTION PROCEEDS.—Not- 12 withstanding section 309(j)(8)(A) of the Communications 13 Act of 1934 (47 U.S.C. 309(j)(8)(A)) or any other provi- 14 sion of law, with respect to any proceeds from the use of 15 a competitive bidding system by the Commission to grant 16 a license, permit, or other rights for the use of electro- 17 magnetic spectrum during the 5-year period beginning on 18 the date of this Act that would otherwise be deposited in 19 the Treasury, the Commission shall deposit— 20 (1) 5 percent of the proceeds or $750,000,000, 21 whichever is greater, in the Public Wireless Supply 22 Chain Innovation Fund established under subsection 23 (b) of this section; and 24 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 4 •S 3189 IS (2) $500,000,000 in the Multilateral Tele- 1 communications Security Fund established under 2 subsection (c) of this section. 3 (b) PUBLIC WIRELESS SUPPLY CHAIN INNOVATION 4 FUND.— 5 (1) ESTABLISHMENT.— 6 (A) IN GENERAL.—There is established in 7 the Treasury of the United States a trust fund 8 to be known as the ‘‘Public Wireless Supply 9 Chain Innovation Fund’’ (referred to in this 10 subsection as the ‘‘R&D Fund’’). 11 (B) AVAILABILITY.— 12 (i) IN GENERAL.—Amounts deposited 13 in the R&D Fund shall remain available 14 through the end of the tenth fiscal year be- 15 ginning after the date of enactment of this 16 Act. 17 (ii) REMAINDER TO TREASURY.—Any 18 amounts remaining in the R&D Fund after 19 the end of the tenth fiscal year beginning 20 after the date of enactment of this Act 21 shall be deposited in the general fund of 22 the Treasury. 23 (2) BORROWING AUTHORITY.— 24 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 5 •S 3189 IS (A) IN GENERAL.—The NTIA Adminis- 1 trator may borrow from the Treasury of the 2 United States an amount not to exceed 3 $750,000,000 to use for grants under this sub- 4 section. 5 (B) DEPOSIT OF FUNDS.—Any amounts 6 borrowed under subparagraph (A) shall be de- 7 posited in the R&D Fund. 8 (3) USE OF FUND.— 9 (A) GRANTS.— 10 (i) IN GENERAL.—Except as provided 11 in subparagraph (B), amounts deposited in 12 the R&D Fund shall be available to the 13 NTIA Administrator to make grants under 14 this subsection in such amounts as the 15 NTIA Administrator determines appro- 16 priate, subject to clause (ii) of this sub- 17 paragraph. 18 (ii) LIMITATION ON GRANT 19 AMOUNTS.—The amount of a grant award- 20 ed under this subsection to a recipient for 21 a specific research focus area may not ex- 22 ceed $20,000,000. 23 (B) REIMBURSEMENT OF TREASURY.—As 24 proceeds are deposited in the R&D Fund under 25 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 6 •S 3189 IS subsection (a)(1), the Commission shall first 1 use those proceeds to reimburse the general 2 fund of the Treasury for any amounts borrowed 3 under paragraph (2)(A) of this subsection. 4 (4) ADMINISTRATION OF FUND.—The NTIA 5 Administrator, in consultation with the Commission, 6 the Director of the National Institute of Standards 7 and Technology, the Secretary of Homeland Secu- 8 rity, the Director of the Defense Advanced Research 9 Projects Agency (commonly known as ‘‘DARPA’’), 10 and the Director of the Intelligence Advanced Re- 11 search Projects Activity of the Office of the Director 12 of National Intelligence, shall establish criteria for 13 grants awarded under this subsection, and admin- 14 ister the R&D Fund, to support research and the 15 commercial application of that research, including in 16 the following areas: 17 (A) Promoting the development of tech- 18 nology, including software, hardware, and 19 microprocessing technology, that will enhance 20 competitiveness in the fifth-generation (com- 21 monly known as ‘‘5G’’) and successor wireless 22 technology supply chains. 23 (B) Accelerating development and deploy- 24 ment of open interface standards-based compat- 25 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 7 •S 3189 IS ible, interoperable equipment, such as equip- 1 ment developed pursuant to the standards set 2 forth by organizations such as the O-RAN Alli- 3 ance, the Telecom Infra Project, 3GPP, the O- 4 RAN Software Community, or any successor or- 5 ganizations. 6 (C) Promoting compatibility of new 5G 7 equipment with future open standards-based, 8 interoperable equipment. 9 (D) Managing integration of multi-vendor 10 network environments. 11 (E) Objective criteria to define equipment 12 as compliant with open standards for multi-ven- 13 dor network equipment interoperability. 14 (F) Promoting development and inclusion 15 of security features enhancing the integrity and 16 availability of equipment in multi-vendor net- 17 works. 18 (G) Promoting the application of network 19 function virtualization to facilitate multi-vendor 20 interoperability and a more diverse vendor mar- 21 ket. 22 (5) TIMING.—Not later than 1 year after the 23 date of enactment of this Act, the NTIA Adminis- 24 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 8 •S 3189 IS trator shall begin awarding grants under this sub- 1 section. 2 (6) FEDERAL ADVISORY BODY.— 3 (A) ESTABLISHMENT.—The NTIA Admin- 4 istrator shall establish a Federal advisory com- 5 mittee, in accordance with the Federal Advisory 6 Committee Act (5 U.S.C. App.), composed of 7 government and private sector experts, to ad- 8 vise the NTIA Administrator on the adminis- 9 tration of the R&D Fund. 10 (B) COMPOSITION.—The advisory com- 11 mittee established under subparagraph (A) shall 12 be composed of— 13 (i) representatives from— 14 (I) the Commission; 15 (II) the Defense Advanced Re- 16 search Projects Administration; 17 (III) the Intelligence Advanced 18 Research Projects Activity of the Of- 19 fice of the Director of National Intel- 20 ligence; 21 (IV) the National Institute of 22 Standards and Technology; 23 (V) the Department of State; 24 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 9 •S 3189 IS (VI) the National Science Foun- 1 dation; and 2 (VII) the Department of Home- 3 land Security; and 4 (ii) other representatives from the pri- 5 vate and public sectors, at the discretion of 6 the NTIA Administrator. 7 (C) DUTIES.—The advisory committee es- 8 tablished under subparagraph (A) shall advise 9 the NTIA Administrator on technology develop- 10 ments to help inform— 11 (i) the strategic direction of the R&D 12 Fund; and 13 (ii) efforts of the Federal Government 14 to promote a more secure, diverse, sustain- 15 able, and competitive supply chain. 16 (7) REPORTS TO CONGRESS.— 17 (A) INITIAL REPORT.—Not later than 180 18 days after the date of enactment of this Act, 19 the NTIA Administrator shall submit to the rel- 20 evant committees of Congress a report with— 21 (i) additional recommendations on 22 promoting the competitiveness and sustain- 23 ability of trusted suppliers in the wireless 24 supply chain; and 25 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 10 •S 3189 IS (ii) any additional authorities needed 1 to facilitate the timely adoption of open 2 standards-based equipment, including au- 3 thority to provide loans, loan guarantees, 4 and other forms of credit extension that 5 would maximize the use of designated 6 funds. 7 (B) ANNUAL REPORT.—For each fiscal 8 year for which amounts in the R&D Fund are 9 available under this subsection, the NTIA Ad- 10 ministrator shall submit to Congress a report 11 that— 12 (i) describes how, and to whom, 13 amounts in the R&D Fund have been de- 14 ployed; 15 (ii) details the progress of the NTIA 16 Administrator in meeting the objectives de- 17 scribed in paragraph (4); and 18 (iii) includes any additional informa- 19 tion that the NTIA Administrator deter- 20 mines appropriate. 21 (c) MULTILATERAL TELECOMMUNICATIONS SECU- 22 RITY FUND.— 23 (1) ESTABLISHMENT OF FUND.— 24 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 11 •S 3189 IS (A) IN GENERAL.—There is established in 1 the Treasury of the United States a trust fund 2 to be known as the ‘‘Multilateral Telecommuni- 3 cations Security Fund’’. 4 (B) USE OF FUND.—Amounts deposited in 5 the Multilateral Telecommunications Security 6 Fund shall be available to the Secretary of 7 State to make expenditures under this sub- 8 section in such amounts as the Secretary of 9 State determines appropriate. 10 (C) AVAILABILITY.— 11 (i) IN GENERAL.—Amounts deposited 12 in the Multilateral Telecommunications Se- 13 curity Fund— 14 (I) shall remain available through 15 the end of the tenth fiscal year begin- 16 ning after the date of enactment of 17 this Act; and 18 (II) may only be allocated upon 19 the Secretary of State reaching an 20 agreement with foreign government 21 partners to participate in the common 22 funding mechanism described in para- 23 graph (2). 24 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 12 •S 3189 IS (ii) REMAINDER TO TREASURY.—Any 1 amounts remaining in the Multilateral 2 Telecommunications Security Fund after 3 the end of the tenth fiscal year beginning 4 after the date of enactment of this Act 5 shall be deposited in the general fund of 6 the Treasury. 7 (2) ADMINISTRATION OF FUND.—The Secretary 8 of State, in consultation with the NTIA Adminis- 9 trator, the Secretary of Homeland Security, the Sec- 10 retary of the Treasury, the Director of National In- 11 telligence, and the Commission, shall establish a 12 common funding mechanism, in coordination with 13 foreign partners, that uses amounts from the Multi- 14 lateral Telecommunications Security Fund to sup- 15 port the development and adoption of secure and 16 trusted telecommunications technologies. 17 (3) ANNUAL REPORT TO CONGRESS.—Not later 18 than 1 year after the date of enactment of this Act, 19 and annually thereafter for each fiscal year during 20 which amounts in the Multilateral Telecommuni- 21 cations Security Fund are available, the Secretary of 22 State shall submit to the relevant committees of 23 Congress a report on the status and progress of the 24 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 13 •S 3189 IS funding mechanism established under paragraph (2), 1 including— 2 (A) any funding commitments from foreign 3 partners, including each specific amount com- 4 mitted; 5 (B) governing criteria for use of the Multi- 6 lateral Telecommunications Security Fund; 7 (C) an account of— 8 (i) how, and to whom, funds have 9 been deployed; 10 (ii) amounts remaining in the Multi- 11 lateral Telecommunications Security Fund; 12 and 13 (iii) the progress of the Secretary of 14 State in meeting the objective described in 15 paragraph (2); and 16 (D) additional authorities needed to en- 17 hance the effectiveness of the Multilateral Tele- 18 communications Security Fund in achieving the 19 security goals of the United States. 20 SEC. 3. PROMOTING UNITED STATES LEADERSHIP IN 21 INTERNATIONAL ORGANIZATIONS AND COM- 22 MUNICATIONS STANDARDS-SETTING BODIES. 23 (a) IN GENERAL.—The Secretary of State, the Sec- 24 retary of Commerce, and the Chairman of the Commis- 25 VerDate Sep 11 2014 18:00 Jan 15, 2020 Jkt 099200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\S3189.IS S3189 pamtmann on DSKBC07HB2PROD with BILLS 14 •S 3189 IS sion, or their designees, shall prioritize t [Text truncated for display. Full text available on Congress.gov.]