,,ii #aaf? ,,congress #b;d ,session ,s4 #dacj ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,july #a1 #bjbj,mr4 ,cotton 7= himself1 ,mr4 ,s*um]1 ,mr4 ,re$1 ,mr4 ,ris*1 ,ms4 ,coll9s1 ,mr4 ,k+1 ,mr4 ,hawley1 ,mr4 ,jones1 ,mrs4 ,gillibr&1 ,mr4 ,rubio1 & ,ms4 ,hassan7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,comm]ce1 ,sci5ce1 & ,transportation ,a ,,bill ,to require ! ,secret>y ( ,comm]ce to aw>d grants to ,/ates = ! con/ruction ( microelectronics manufactur+ & advanc$ rese>* & developm5t facilities1 to au?orize ! ,secret>y ( ,def5se & ! ,director ( ,national ,intellig5ce to fund ! con/ruction ( microelectronics manufactur+ facilities = national security ne$s1 & to au?orize additional am\nts = microelectronics rese>* & developm5t1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,am]ican ,f\ndries ,act ( #bjbj4 #b4 ,grants = con/ruction ( microelectronics manufactur+ & rese>* & developm5t facilities1 & work=ce developm5t 7a7 ,grants = ,/ates ) demon/rat$ int]e/ 9 con/ruct+ microelectronics manufactur+ & advanc$ rese>* & developm5t facilities 7#a7 ,9 g5]al ,n lat] ?an #ahj days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,secret>y ( ,comm]ce1 9 consultation ) ! ,secret>y ( ,def5se1 %all comm5ce c>ry+ out a program on ! aw>d ( grants to ,/ates describ$ 9 p>agraph 7#b7 to assi/ 9 f9anc+ ! con/ruction1 expansion1 or mod]nization 7includ+ acquisition ( equipm5t & intellectual prop]ty7 ( microelectronics fabrication1 assembly1 te/1 advanc$ packag+1 or advanc$ rese>* & developm5t facilities4 7#b7 ,/ates describ$ ,a ,/ate describ$ 9 ?is p>agraph is a ,/ate t demon/rates to ! ,secret>y ( ,comm]ce ! foll[+3 7,a7 ,docum5t$ int]e/ f a microelectronics company1 t has a demon/rat$ ability to build & op]ate microelectronics fabrication1 assembly1 te/1 advanc$ packag+1 or advanc$ rese>* & developm5t facilities1 9 con/ruct+1 exp&+1 or mod]niz+ a comm]cial microelectronics fabrication1 assembly1 te/1 advanc$ packag+1 or advanc$ rese>* & develop facility1 or docum5t$ int]e/ f a public-private consortium t has a demon/rat$ ability to build & op]ate an advanc$ rese>* & developm5t facility 9 ! ,/ate4 7,b7 ,docum5t$ int]e/ f a private entity to provide fund+ to support ! con/ruction1 expansion1 or mod]nization ( ! facility t is ! subject ( ! int]e/ docum5t$ "u subp>agraph 7,a74 7,c7 ,commitm5ts f su* microelectronics company or consortia to work] & community inve/m5t1 includ+-- 7i7 tra9+ & education b5efits paid = by ! company2 & 7ii7 programs to exp& employm5t opportunity = economically disadvantag$ individuals4 7,d7 ,commitm5ts f regional educational & tra9+ entities & in/itutions ( high] education to develop curriculum or engage 9 work=ce tra9+1 includ+ programm+ = tra9+ & job placem5t ( economically disadvantag$ individuals4 7,e7 ,gu>ante$ ,/ate-level economic inc5tives = ! con/ruction1 expansion1 or mod]nization ( ! facility describ$ 9 subp>agraph 7,b71 su* z site developm5t1 tax inc5tives1 job-tra9+ programs & ,/ate-level fund+ = microelectronics rese>* & developm5t4 7#c7 ,limitation on grant am\nt ,a ,/ate may n be aw>d$ m ?an #c1jjj1jjj1jjj "u p>agraph 7#a74 7#d7 ,use ( funds 7,a7 ,9 g5]al ,a ,/ate receiv+ a grant "u p>agraph 7#a7 may only use ! am\nt ( ! grant to f9ance-- 7i7 ! con/ruction1 expansion1 or mod]nization ( a /ate-(-!-art microelectronics fabrication1 assembly1 te/1 advanc$ packag+1 or advanc$ rese>* & developm5t facility ) respect to :i* ! ,/ate demon/rat$ to ! ,secret>y docum5t$ int]e/ "u p>agraph 7#b71 or = simil> uses 9 /ate ( practice & legacy facilities z deem$ necess>y by ! ,secret>y = national security & economic competitiv5ess2 7ii7 to support work=ce developm5t = su* facility2 or 7iii7 to support site developm5t = su* facility4 7,b7 ,return ( funds ,a ,/ate aw>d$ a grant "u p>agraph 7#a7 %all return any unus$ funds to ! ,treasury ( ! ,unit$ ,/ates on an agre$-^u timeframe det]m9$ by ! ,secret>y prior to issu+ ! funds4 7,c7 ,recov]y ( c]ta9 funds ,if a microelectronics entity receiv+ grant funds "u ?is subsection engages 9 increas$ levels ( jo9t rese>* & developm5t1 te*nology lic5s+ or transf]1 or inve/m5t involv+ s5sitive te*nologies ) entities "u ! =eign own]%ip1 control1 or influ5ce 7,,foci7 ( ! ,gov]nm5t ( ! ,p's ,republic ( ,*9a or o!r =eign adv]s>y dur+ ! p]iod ( ! grant1 z det]m9$ by ! ,secret>y z "p ( a p]iodic review ( :e!r a microelectronics entity p>ticipat+ 9 ! program specifi$ 9 ?is subsection is "u =eign own]%ip1 control1 or influ5ce1 ! ,secret>y %all recov] ! am\nts provid$ by ! ,secret>y "u ?is subsection4 7#e7 ,prohibition ,if pursuant to ! p]iodic review ( =eign own]%ip1 control1 or influ5ce specifi$ 9 p>agraph 7#d77;,c71 ! ,secret>y det]m9es t a microelectronics entity is "u ! =eign own]%ip1 control1 or influ5ce ( ! ,gov]nm5t ( ! ,p's ,republic ( ,*9a or o!r =eign adv]s>y dur+ ! p]iod ( ! grant1 su* entity %all be prohibit$ f p>ticipat+ 9 ! program specifi$ 9 ?is subsection4 7#f7 ,nonrelocation betwe5 ,/ates 7,a7 ,prohibition ,a ,/ate may n use any am\nt ( a grant aw>d$ "u ?is subsection to induce ! relocation or ! movem5t ( exi/+ jobs f "o ,/ate to ano!r ,/ate 9 competition = ^? jobs4 7,b7 ,rem$ies ,9 ! ev5t t ! ,secret>y det]m9es an am\nt ( a grant aw>d$ to a ,/ate "u ?is subsection 0 us$ 9 violation ( subp>agraph 7,a71 ! ,secret>y may pursue appropriate en=cem5t actions1 includ+-- 7i7 susp5sion ( disbursem5ts ( ! grant aw>d$2 & 7ii7 t]m9ation ( ! grant aw>d$1 :i* may include ! e/abli%m5t ( a debt requir+ ! recipi5t ( ! grant to reimburse ! am\nt ( ! grant4 7#g7 ,implem5tation ,! ,secret>y %all c>ry out ?is section act+ ?r\gh ! ,director ( ! ,national ,in/itute ( ,/&>ds & ,te*nology4 7#h7 ,reports & notices 7,a7 ,secret>y ( ,comm]ce 7i7 ,report on implem5tation plan ,n lat] ?an #ij days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,secret>y %all submit to ,congress a report on ! plans ( ! ,secret>y to c>ry out ! program requir$ by p>agraph 7#a74 7ii7 ,notice ( p5d+ aw>d 7,i7 ,9 g5]al ,n lat] ?an #cj days be=e aw>d+ a grant to a ,/ate "u ?is subsection1 ! ,secret>y %all submit to ,congress a notice ( ! int5d$ aw>d4 7,,ii7 ,cont5ts ,ea* notice submitt$ "u subclause 7,i7 %all include a description ( ! ,/ate to :i* ! ,secret>y int5ds to aw>d a grant "u ?is subsection1 ! project or projects = :i* ! am\nt ( ! grant is int5d$ to be us$1 specifics on ! plann$ use ( ! am\nts ( ! grant = t project1 & ! rationale ( ! ,secret>y = aw>d+ ! grant4 7,b7 ,comptroll] ,g5]al ( ! ,unit$ ,/ates 7i7 ,bi5nial report ,n lat] ?an #a ye> aft] ! date on :i* ! ,secret>y ( ,comm]ce submits ! report "u subp>agraph 7,a77i7 & n less frequ5tly ?an once e #b ye>s !reaft]1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all submit to ,congress a report on ! activities c>ri$ out "u ?is subsection dur+ ! previ\s ye>4 7ii7 ,cont5ts ,ea* report submitt$ "u clause 7i7 %all include1 at a m9imum1 assessm5ts ( ! foll[+3 7,i7 ,h[ ! program is be+ c>ri$ out & h[ recipi5ts ( grants are be+ select$ "u ! program4 7,,ii7 ,h[ o!r ,f$]al programs are lev]ag$ = manufactur+1 rese>*1 & tra9+ to complem5t ! grants aw>d$ to ,/ates "u ?is subsection4 7,,iii7 ,outcomes ( projects support$ by grants "u ?is subsection1 includ+ ! con/ruction1 expansion1 or mod]nization ( a microelectronics fabrication1 assembly1 te/1 advanc$ packag+1 or advanc$ rese>* & developm5t facilities1 rese>* & developm5t1 work=ce tra9+1 employm5t1 wages1 & hir+ ( economically disadvantag$ populations4 7#i7 ,au?orization ( appropriations ,!re is au?oriz$ to be appropriat$ to c>ry out ?is subsection #ae1jjj1jjj1jjj = fiscal ye> #bjba1 ) su* am\nt to rema9 available = su* purpose until ,septemb] #cj1 #bjca4 7b7 ,creation1 expansion1 or mod]nization ( microelectronics manufactur+ facilities & capabilities = national security ne$s 7#a7 ,inc5tives au?oriz$ ,! ,secret>y ( ,def5se & ! ,director ( ,national ,intellig5ce1 9 consultation ) ! ,secret>y ( ,comm]ce1 may jo9tly ent] into arrangem5ts ) private sector entities or consortia !re( to provide inc5tives = ! creation1 expansion1 or mod]nization ( "o or m comm]cially competitive & su/a9able microelectronics manufactur+ or advanc$ rese>* & developm5t facilities capable ( produc+ measurably secure & specializ$ microelectronics = use by ! ,dep>tm5t ( ,def5se1 ! intellig5ce community1 critical infra/ructure sectors ( ! ,unit$ ,/ates economy1 & o!r national security applications4 7#b7 ,comm]cial manufactur+ ,a facility con/ruct$1 exp&$1 or mod]niz$ ) an inc5tive provid$ "u p>agraph 7#a7 may-- 7,a7 be pr9cipally ori5t$ t[>d comm]cial manufactur+2 or 7,b7 devote surplus manufactur+ capacity to ! production ( comm]cial microelectronics4 7#c7 ,risk mitigation requirem5ts ,a facility con/ruct$1 exp&$1 or mod]niz$ ) an inc5tive provid$ "u p>agraph 7#a71 or ! compon5ts !re(1 %all-- 7,a7 h ! pot5tial to p]=m fabrication1 assembly1 package1 te/1 or advanc$ rese>* & developm5t functions = classifi$ & export-controll$ microelectronics2 7,b7 include managem5t processes to id5tify & mitigate supply *a9 security risks2 & 7,c7 be able to produce microelectronics consi/5t ) applicable tru/$ supply *a9 & op]ational security /&>ds e/abli%$ "u section #bbd ( ! ,national ,def5se ,au?orization ,act = ,fiscal ,ye> #bjbj 7,public ,law #aaf-ib74 7#d7 ,national security requirem5ts ,9 ! provision ( inc5tives "u p>agraph 7#a71 ! ,secret>y ( ,def5se & ! ,director ( ,national ,intellig5ce %all jo9tly give pref]5ce to private sector entities & consortia t-- 7,a7 h p>ticipat$ 9 previ\s programs & projects ( ! ,dep>tm5t ( ,def5se or ! ,(fice ( ! ,director ( ,national ,intellig5ce1 includ+-- 7i7 ! ,tru/$ ,integrat$ ,circuit program ( ! ,intellig5ce ,advanc$ ,rese>* ,projects ,activity2 7ii7 tru/$ & assur$ microelectronics projects1 z adm9i/]$ by ! ,dep>tm5t ( ,def5se2 or 7iii7 ! ,electronics ,resurg5ce ,initiative 7,,eri7 program ( ! ,def5se ,advanc$ ,rese>* ,projects ,ag5cy2 7,b7 h demon/rat$ an ongo+ commitm5t to p]=m+ contracts = ! ,dep>tm5t ( ,def5se & ! intellig5ce community2 7,c7 are approv$ by ! ,def5se ,c\nt]9tellig5ce & ,security ,ag5cy or ! ,(fice ( ! ,director ( ,national ,intellig5ce z pres5t+ an acceptable security risk1 tak+ into acc\nt supply *a9 assurance vuln]abilities1 c\nt]9tellig5ce risks1 & any risks pres5t$ by companies ^: own]s are locat$ outside ! ,unit$ ,/ates2 & 7,d7 are evaluat$ p]iodically = =eign own]%ip1 control1 or influ5ce1 consi/5t ) ! det]m9ations 9 p>agraphs 7#d77;,c7 & 7#e7 ( subsection 7a74 7#e7 ,use ( inc5tives ,inc5tives may be provid$ "u p>agraph 7#a7 = ! con/ruction1 expansion1 or mod]nization ( a facility t 0 con/ruct$1 exp&$1 or mod]niz$ ) funds f a grant aw>d$ "u subsection 7a74 7#f7 ,nontraditional def5se contractors & comm]cial entities ,! arrangem5ts ent]$ into "u p>agraph 7#a7 %all be 9 ! =m ! ,secret>y ( ,def5se & ! ,director ( ,national ,intellig5ce det]m9e to be appropriate to enc\rage indu/ry p>ticipation ( nontraditional def5se contractors or comm]cial entities & may include a contract1 a grant1 a coop]ative agreem5t1 a comm]cial agreem5t1 ! use ( o!r transaction au?ority "u section #bcga ( title #aj1 ,unit$ ,/ates ,code1 or ano!r su* arrangem5t4 7#g7 ,reports 7,a7 ,report by ,secret>y ( ,def5se & ,director ( ,national ,intellig5ce ,n lat] ?an #ij days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,secret>y ( ,def5se & ! ,director ( ,national ,intellig5ce %all jo9tly submit to ,congress a report on ! plans ( ! ,secret>y & ! ,director to provide inc5tives "u p>agraph 7#a74 7,b7 ,bi5nial reports by ,comptroll] ,g5]al ( ! ,unit$ ,/ates ,n lat] ?an #a ye> aft] ! date on :i* ! ,secret>y submits ! report requir$ by subp>agraph 7,a7 & n less frequ5tly ?an once e #b ye>s !reaft]1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all submit to ,congress a report on ! activities c>ri$ out "u ?is subsection4 7#h7 ,au?orization ( appropriations ,!re is au?oriz$ to be appropriat$ to c>ry out ?is subsection #e1jjj1jjj1jjj = fiscal ye> #bjba1 ) su* am\nt to rema9 available = su* purpose until ,septemb] #cj1 #bjca4 7c7 ,additional am\nts = ensur+ ! future ( ,unit$ ,/ates lead]%ip 9 microelectronics 7#a7 ,au?orization ( appropriations ,!re is au?oriz$ to be appropriat$ #b1jjj1jjj1jjj = fiscal ye> #bjba1 ) su* am\nt to rema9 available until ,septemb] #cj1 #bjca1 to exp& ! ,electronics ,resurg5ce ,initiative ( ! ,def5se ,advanc$ ,rese>* ,projects ,ag5cy to develop advanc$ disruptive microelectronics te*nology1 includ+ rese>* & developm5t to enable production at a volume requir$ to su/a9 a robu/ dome/ic microelectronics indu/ry & mitigate p>ts obsolesc5ce4 7#b7 ,au?orization ( appropriations ,!re is au?oriz$ to be appropriat$ to c>ry out microelectronics rese>* at ! ,national ,sci5ce ,f\ndation #a1ejj1jjj1jjj = fiscal ye> #bjba1 ) su* am\nt to rema9 available = su* purpose until ,septemb] #cj1 #bjca4 7#c7 ,au?orization ( appropriations ,!re is au?oriz$ to be appropriat$ to c>ry out microelectronics rese>* at ! ,dep>tm5t ( ,en]gy #a1bej1jjj1jjj = fiscal ye> #bjba1 ) su* am\nt to rema9 available = su* purpose until ,septemb] #cj1 #bjca4 7#d7 ,au?orization ( appropriations ,!re is au?oriz$ to be appropriat$ to c>ry out microelectronics rese>* at ! ,national ,in/itute ( ,/&>ds & ,te*nology #bej1jjj1jjj = fiscal ye> #bjba1 ) su* am\nt to rema9 available = su* purpose until ,septemb] #cj1 #bjca4 7#e7 ,supplem5t1 n supplant ,! am\nts au?oriz$ to be appropriat$ "u p>agraphs 7#a7 ?r\gh 7#d7 %all supplem5t & n supplant am\nts already appropriat$ to c>ry out ! purposes describ$ 9 su* p>agraphs4 7#f7 ,dome/ic production requirem5ts ,! heads ( executive ag5cies receiv+ fund+ "u ?is section %all develop policies to require dome/ic production1 to ! ext5t possible1 = any intellectual prop]ty result+ f microelectronics rese>* & developm5t conduct$ z a result ( ^! funds & dome/ic control requirem5ts to protect any su* intellectual prop]ty f =eign adv]s>ies4 7#g7 ,s5se ( congress ,congress supports & enc\rages ef=ts by ! heads ( executive ag5cies receiv+ fund+ "u ?is subsection to co-inve/ 9 indu/ry-l$ microelectronics inve/m5t consortiums to increase private capital inve/m5t 9 ! dome/ic microelectronics indu/ry4 7d7 ,national microelectronics rese>* & developm5t plan 7#a7 ,9 g5]al ,! ,presid5t %all e/abli% a /&+ subcommittee ( ! ,presid5t's ,(fice ( ,sci5ce & ,te*nology's ,national ,sci5ce & ,te*nology ,c\ncil = int]ag5cy ef=ts relat+ to microelectronics policy4 7#b7 ,national microelectronics rese>* plan 7,a7 ,9 g5]al ,! subcommittee e/abli%$ "u p>agraph 7#a7 %all develop a national microelectronics rese>* & developm5t plan to guide & coord9ate fund+ = break?r\ghs 9 next-g5]ation microelectronics rese>* & te*nology1 /r5g!n ! dome/ic microelectronics work=ce1 & enc\rage collaboration betwe5 gov]nm5t1 indu/ry1 & academia4 7,b7 ,updates ,n less frequ5tly ?an once ea* ye>1 ! subcommittee e/abli%$ "u p>agraph 7#a7 %all update ! plan develop$ "u subp>agraph 7,a7 ( ?is p>agraph4 7e7 ,indu/ry advisory committee ,! ,presid5t %all e/abli% a /&+ subcommittee ( ! ,presid5t's ,c\ncil ( ,advisors on ,sci5ce & ,te*nology to advise ! ,unit$ ,/ates ,gov]nm5t on matt]s relat+ to microelectronics policy4 7f7 ,multilat]al export control plan ,n lat] ?an #ahj days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,secret>y ( ,/ate1 ! ,secret>y ( ! ,treasury1 & ! ,secret>y ( ,comm]ce1 9 consultation ) ! ,director ( ,national ,intellig5ce1 ! ,secret>y ( ,homel& ,security1 ! ,secret>y ( ,def5se1 & ! ,secret>y ( ,en]gy1 %all jo9tly develop & submit to ,congress a plan to coord9ate ) =eign gov]nm5t p>tn]s on e/abli%+ common microelectronics export control & =eign direct inve/m5t scre5+ measures to align ) national & multilat]al security priorities4 7g7 ,prohibition ,relat+ to =eign adv]s>ies ,none ( ! funds appropriat$ pursuant to an au?orization 9 ?is section may be provid$ to an entity-- 7#a7 "u ! =eign own]%ip1 control1 or influ5ce ( ! ,gov]nm5t ( ! ,p's ,republic ( ,*9a or ! ,*9ese ,communi/ ,p>ty1 or o!r =eign adv]s>y2 or 7#b7 det]m9$ to h b5eficial own]%ip f =eign individuals subject to ! jurisdiction1 direction1 or influ5ce ( =eign adv]s>ies4 7h7 ,requirem5ts = s\rc+ f dome/ic microelectronics design & f\ndry s]vices 7#a7 ,requirem5ts requir$ ,n lat] ?an #a ye> aft] ! date ( ! enactm5t ( ?is ,act1 ! ,secret>y ( ,def5se %all e/abli% requirem5ts1 & a timel9e = en=cem5t ( su* requirem5ts1 to ! ext5t possible1 = dome/ic s\rc+ = microelectronics design & f\ndry s]vices by programs1 contractors1 subcontractors1 & o!r recipi5ts ( fund+ f ! ,dep>tm5t ( ,def5se4 7#b7 ,processes = waiv]s ,! requirem5ts e/abli%$ "u p>agraph 7#a7 %all include processes to p]mit waiv]s = specific contracts or transactions = dome/ic s\rc+ requirem5ts bas$ on co/1 availability1 sev]ity ( te*nical & mission requirem5ts1 em]g5cy requirem5ts & op]ational ne$s1 o!r legal or int]national treaty obligations1 or o!r factors4 7#c7 ,updates ,n less frequ5tly ?an once ea* ye>1 ! ,secret>y %all-- 7,a7 update ! requirem5ts & timel9es e/abli%$ "u p>agraph 7#a7 & ! processes "u p>agraph 7#b72 & 7,b7 submit to ,congress a report on ! updates made "u subp>agraph 7,a74 7i7 ,def9itions ,9 ?is section3 7#a7 ,b5eficial own]2 b5eficial own]%ip ,! t]ms b5eficial own] & b5eficial own]%ip h ! mean+s giv5 su* t]ms 9 section #hdg ( ! ,national ,def5se ,au?orization ,act = ,fiscal ,ye> #bjbj 7,public ,law #aaf-ib74 7#b7 ,entity2 company ,! t]ms entity & company mean any corporation1 company1 limit$ liability company1 limit$ p>tn]%ip1 bus9ess tru/1 bus9ess association1 or o!r simil> entity4 7#c7 ,=eign own]%ip1 control1 or influ5ce ,! t]m =eign own]%ip1 control1 or influ5ce has ! mean+ giv5 su* t]m 9 section #hdg ( ! ,national ,def5se ,au?orization ,act = ,fiscal ,ye> #bjbj 7,public ,law #aaf-ib74 7#d7 ,intellig5ce community ,9 ?is section1 ! t]m intellig5ce community has ! mean+ giv5 su* t]m 9 section #c ( ! ,national ,security ,act ( #aidg 7#ej ,u4,s4,c4 #cjjc74