What This Bill Does
This bill changes the Defense Production Act of 1950 to stop certain foreign countries from buying or renting property within 10 miles of sensitive U.S. locations. The bill also requires a committee to notify Congress if it finds violations of this new rule.
Who It Affects
Governments of China, Iran, North Korea and Russia are directly affected. Any organizations controlled by or acting for these governments are also affected. Property owners near military bases, ports and other sensitive U.S. government facilities may be affected depending on how the rule is applied.
Key Provisions
• Covered foreign countries cannot purchase, lease or obtain a concession (a business right granted by the government) for property within 10 miles of a sensitive site (Sec. 1(r)(1)).
• A committee must promptly notify Congress if it identifies a violation or attempted violation of this rule (Sec. 1(r)(2)).
• This rule applies to purchases, leases and concessions made on or after the date the law is enacted (Sec. 1(r)(3)).
• "Covered foreign country" includes China, Iran, North Korea, Russia and any entity controlled by or acting on behalf of these governments (Sec. 1(r)(4)(A)).
• "Sensitive site" includes air or maritime ports, U.S. military installations, other U.S. government property sensitive for national security reasons, or property that could allow a covered foreign country to collect intelligence on or conduct surveillance of military or government facilities (Sec. 1(r)(4)(B)).
What Changes
Currently, there is no specific federal law prohibiting these four countries from buying or leasing property near sensitive U.S. sites. This bill creates that prohibition and requires congressional notification of violations.
Important Definitions
The bill defines "covered foreign country" as China, Iran, North Korea, Russia and any entities controlled by or acting for these governments. "Sensitive site" means ports, military installations, other sensitive U.S. government property, or property from which a covered foreign country could spy on or expose national security activities.
I
118TH CONGRESS
1ST SESSION
H. R. 558
To amend the Defense Production Act of 1950 to prohibit certain foreign
countries from purchasing or leasing property near sensitive sites, and
for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 26, 2023
Mr. ISSA (for himself, Ms. SALAZAR, Ms. MACE, Mr. NUNN of Iowa, Ms. LEE
of Florida, Mr. MORAN, Mr. MOORE of Alabama, Mr. RUTHERFORD, Mr.
CISCOMANI, Mr. LAMBORN, Mr. ROUZER, Mr. MCCORMICK, Mr.
LAMALFA, Ms. HAGEMAN, Mr. C. SCOTT FRANKLIN of Florida, Mr.
FEENSTRA, Mr. SELF, Mr. WILSON of South Carolina, Mr. DESJARLAIS,
Mr. NORMAN, Mr. GIMENEZ, Mr. PENCE, Mr. MILLER of Ohio, Mr.
EZELL, Mr. OWENS, and Mr. CLINE) introduced the following bill; which
was referred to the Committee on Financial Services, and in addition to
the Committees on Foreign Affairs, and Energy and Commerce, for a pe-
riod to be subsequently determined by the Speaker, in each case for con-
sideration of such provisions as fall within the jurisdiction of the com-
mittee concerned
A BILL
To amend the Defense Production Act of 1950 to prohibit
certain foreign countries from purchasing or leasing
property near sensitive sites, and for other purposes.
Be it enacted by the Senate and House of Representa-
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tives of the United States of America in Congress assembled,
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•HR 558 IH
SECTION 1. PROHIBITION ON CERTAIN FOREIGN COUN-
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TRIES PURCHASING OR LEASING PROPERTY
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NEAR SENSITIVE SITES.
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Section 721 of the Defense Production Act of 1950
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(50 U.S.C. 4565) is amended by adding at the end the
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following:
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‘‘(r) PROHIBITION
ON CERTAIN FOREIGN COUN-
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TRIES PURCHASING OR LEASING PROPERTY NEAR SEN-
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SITIVE SITES.—
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‘‘(1) IN GENERAL.—A covered foreign country
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may not purchase or lease, or be granted a conces-
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sion with respect to, property within 10 miles of a
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sensitive site.
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‘‘(2) NOTICE TO CONGRESS OF VIOLATIONS.—
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The Committee shall promptly notify the Congress if
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the Committee identifies a violation or attempted
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violation of the requirements of this subsection.
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‘‘(3) RULE OF APPLICATION.—This subsection
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shall apply to purchases, leases, and concessions
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made on or after the date of enactment of this sub-
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section.
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‘‘(4) DEFINITIONS.—In this subsection:
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‘‘(A) COVERED FOREIGN COUNTRY.—The
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term ‘covered foreign country’ means—
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‘‘(i) China, Iran, North Korea, and
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Russia; and
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•HR 558 IH
‘‘(ii) any entity controlled by or acting
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on behalf of a government described under
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clause (i).
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‘‘(B) SENSITIVE
SITE.—The term ‘sen-
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sitive site’ means public or private real estate
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located in the United States that—
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‘‘(i) is, is located within, or functions
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as part of, an air or maritime port;
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‘‘(ii) is a United States military in-
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stallation;
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‘‘(iii) is another facility or property of
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the United States Government that is sen-
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sitive for reasons relating to national secu-
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rity, as defined by the Committee; or
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‘‘(iv)
the
Committee
determines
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could—
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‘‘(I) reasonably provide a covered
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foreign country the ability to collect
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intelligence on activities being con-
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ducted at a location described under
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clause (ii) or (iii); or
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‘‘(II) otherwise expose national
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security activities at a location de-
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scribed under clause (ii) or (iii) to the
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•HR 558 IH
risk of foreign surveillance by a cov-
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ered foreign country.’’.
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Æ
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