,,ii  #aagth ,,congress  #b;d ,session  
,s4 #cecj  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,january #bj1  
#bjbb,mr4 ,cotton 7for himself and ,mr4 
,kelly7 introduced the following bill2  
which was read twice and referred to the
 ,committee on ,energy and ,natural     
,resources  ,a ,,bill  ,to encourage the
 extraction and processing of rare earth
 metals in the ,united ,states1 and for 
other purposes4  #a4 ,short title ,this 
,act may be cited as the ,restoring     
,essential ,energy and ,security        
,holdings ,onshore for ,rare ,earths    
,act of #bjbb or the ,r,e,e,shore ,act  
of #bjbb4  #b4 ,definitions ,in this    
,act3 7#a7 ,appropriate congressional   
committees ,the term appropriate        
congressional committees means-- 7,a7   
the ,committee on ,armed ,services1 the 
,committee on ,foreign ,relations1 the  
,committee on ,finance1 and the ,select 
,committee on ,intelligence of the      
,senate2 and  7,b7 the ,committee on    
,armed ,services1 the ,committee on     

,foreign ,affairs1 the ,committee on    
,ways and ,means1 and the ,permanent    
,select ,committee on ,intelligence of  
the ,house of ,representatives4  7#b7   
,processed or refined ,the term         
processed or refined means any process  
by which raw rare earth metals are      
changed1 mixed1 or otherwise manipulated
 to render the metal usable for         
manufacturing everyday items1 including 
computer chips or circuit boards4  7#c7 
,rare earth metals ,the term rare earth 
metals means beryllium1 cerium1 cobalt1 
dysprosium1 erbium1 europium1           
gadolinium1 graphite1 holmium1          
lanthanum1 lithium1 lutetium1 manganese1
 neodymium1 praseodymium1 promethium1   
samarium1 scandium1 tantalum1 terbium1  
thulium1 tungsten1 ytterbium1 and       
yttrium4  #c4 ,establishment of         
strategic rare earth metal and rare     
earth metal products reserve  7a7       
,findings ,congress finds that the      
storage of substantial quantities of    
rare earth metals and rare earth metal  

products will-- 7#a7 diminish the       
vulnerability of the ,united ,states to 
the effects of a severe supply chain    
interruption2 and  7#b7 provide limited 
protection from the short-term          
consequences of an interruption in      
supplies of rare earth metal products1  
particularly such products required for 
defense manufacturing and use4  7b7     
,statement of policy ,it is the policy  
of the ,united ,states to provide for   
the establishment of a strategic rare   
earth metals and rare earth metal       
products reserve4  7c7 ,report required 
7#a7 ,in general ,not later than #bgj   
days after the date of the enactment of 
this ,act1 the ,secretary of the        
,interior and the ,secretary of ,defense
 shall jointly submit the appropriate   
congressional committees a report       
describing-- 7,a7 the strategic         
requirements of the ,united ,states     
regarding stockpiles of rare earth      
metals and processed and refined rare   
earth metal products2 and  7,b7 the     

requirements for such metals and        
products to support the ,united ,states 
for one year in the event of a supply   
disruption4  7#b7 ,considerations ,in   
developing the report required by       
paragraph 7#a71 the ,secretary of the   
,interior and the ,secretary of ,defense
 shall take into consideration the needs
 of the ,armed ,forces of the ,united   
,states1 the defense industrial and     
technology sectors1 and any places1     
organizations1 physical infrastructure1 
or digital infrastructure designated as 
critical to the national security of the
 ,united ,states4  7d7 ,implementation  
,not later than #c years after          
submission of the report required by    
subsection 7c71 the ,secretary of the   
,interior shall take such actions as are
 necessary to procure all types of rare 
earth metals and processed and refined  
rare earth metal products in appropriate
 quantities to support the strategic    
requirements described in the report4   
7e7 ,reassessment of requirements ,the  

,secretary of the ,interior and the     
,secretary of ,defense shall-- 7#a7     
jointly reassess the strategic          
requirements described in paragraph 7#a7
 of subsection 7c7 and the              
considerations described in paragraph   
7#b7 of that subsection2 and  7#b7 not  
less frequently than annually1 submit to
 the appropriate congressional          
committees a report on-- 7,a7 that      
reassessment2 and  7,b7 describing any  
activities relating to the establishment
 or use of a strategic rare earth metals
 and rare earth metal products reserve  
during the preceding year4  #d4         
,disclosures concerning rare earth      
metals by contractors of ,department of 
,defense  7a7 ,requirement ,the         
,secretary of ,defense shall require    
that any contractor that provides to the
 ,department of ,defense a system with a
 rare earth metal permanent magnet      
disclose1 along with delivery of the    
system1 the provenance of the magnet4   
7b7 ,elements ,a disclosure under       

subsection 7a7 shall include an         
identification of the country or        
countries in which-- 7#a7 the rare earth
 metals used in the magnet were mined2  
7#b7 the rare earth metals were refined 
into oxides2  7#c7 the rare earth metals
 were made into metals and alloys2 and  
7#d7 the magnet was sintered or bonded  
and magnetized4  7c7 ,implementation of 
supply chain tracking system ,if a      
contractor cannot make the disclosure   
required by subsection 7a7 with respect 
to a magnet1 the ,secretary shall       
require the contractor to establish and 
implement a supply chain tracking system
 in order to make the disclosure not    
later than #ahj days after providing the
 magnet to the ,department of ,defense4 
7d7 ,report required ,not later than    
,december #ca1 #bjbb1 and annually      
thereafter1 the ,secretary of ,defense1 
after consultation with the ,secretary  
of ,commerce and the ,secretary of the  
,interior1 shall submit to the          
appropriate congressional committees a  

report that includes-- 7#a7 a summary of
 the disclosures made under this        
section2  7#b7 an assessment of the     
extent of reliance by the ,united       
,states on foreign countries1 and       
especially countries that are not allies
 of the ,united ,states1 for rare earth 
metals2  7#c7 a determination with      
respect to which systems are of the     
greatest concern for interruptions of   
rare earth metal supply chains2 and     
7#d7 any suggestions for legislation or 
funding that would mitigate supply chain
 security gaps4  #e4 ,restriction on use
 of ,chinese-made rare earth metals in  
military technologies  7a7 ,in general  
,the ,secretary of ,defense shall       
require that1 for any contract entered  
into or renewed on or after ,december   
#ca1 #bjbf1 for the procurement of a    
system the export of which is restricted
 or controlled under the ,arms ,export  
,control ,act 7#bb ,u4,s4,c4 #bgea et   
seq471 no rare earth metals processed or
 refined in the ,people's ,republic of  

,china may be included in the system4   
7b7 ,waiver ,the ,secretary may waive   
the restriction under subsection 7a7    
upon a determination that-- 7#a7 rare   
earth metals of sufficient quantity and 
quality are not available at reasonable 
prices from sources outside of the      
,people's ,republic of ,china2 and  7#b7
 such a waiver is in the interests of   
national security4  #f4 ,compliance with
 contracting requirements  7a7 ,in      
general ,not later than ,september #cj1 
#bjbb1 and every #b years thereafter1   
the ,comptroller ,general of the ,united
 ,states shall audit the extent of      
compliance or noncompliance with the    
requirements of sections #d and #e of   
this ,act1 and section #becc;c of title 
#aj1 ,united ,states ,code1 through a   
random sampling of contracts entered    
into by the ,department of ,defense     
during the #b-year period preceding the 
audit4  7b7 ,report required ,not later 
than #cj days after the completion of an
 audit under subsection 7a71 the        

,comptroller ,general shall submit to   
the appropriate congressional committees
 an assessment of-- 7#a7 the inclusion  
by the ,department of ,defense of       
necessary contracting clauses in        
relevant contracts2 and  7#b7 compliance
 by contractors of the ,department with 
sections #d and #e of this ,act and     
section #becc;c of title #aj1 ,united   
,states ,code4  7c7 ,referral ,the      
,comptroller ,general shall provide the 
,department of ,justice with the        
resources and authorities needed for any
 enforcement actions against entities   
that have failed to comply with the     
requirements of section #d or #e of this
 ,act or section #becc;c of title #aj1  
,united ,states ,code4  #g4             
,investigation of unfair trade practices
  7a7 ,in general ,not later than #ij   
days after the date of the enactment of 
this ,act1 the ,united ,states ,trade   
,representative1 in coordination with   
the ,secretary of ,commerce1 shall      
initiate an investigation under title   

,,iii of the ,trade ,act of #aigd 7#ai  
,u4,s4,c4 #bdaa et seq47 to determine   
whether acts1 policies1 and practices of
 the ,government of the ,people's       
,republic of ,china related to          
technology transfer1 intellectual       
property1 or innovation with respect to 
rare earth metal mining1 separation1    
metallization1 alloying1 or magnet      
manufacturing1 or related processes1 are
 acts1 policies1 and practices described
 in subsection 7a7 or 7b7 of section    
#cja of that ,act 7#ai ,u4,s4,c4 #bdaa74
  7b7 ,report required  7#a7 ,in general
 ,not later than #ahj days after        
initiating the investigation required by
 subsection 7a71 the ,trade             
,representative shall submit to the     
appropriate congressional committees a  
report assessing the necessity of trade 
enforcement actions to deter the        
,government of the ,people's ,republic  
of ,china from further interference in  
the rare earth metals market4  7#b7     
,elements ,the report required by       

paragraph 7#a7 shall include-- 7,a7 a   
summary of actions taken by the         
,government of the ,people's ,republic  
of ,china to disrupt supply chains for  
rare earth metals2  7,b7 a summary of   
the world market for rare earth metals  
at each stage of the supply chain1      
including the ability of producers in   
the ,united ,states and countries that  
are allies of the ,united ,states to    
meet the national security and          
commercial needs of the ,united ,states2
  7,c7 determinations with respect to   
whether further action under title ,,iii
 of the ,trade ,act of #aigd 7#ai       
,u4,s4,c4 #bdaa et seq471 section #bcb  
of the ,trade ,expansion ,act of #aifb  
7#ai ,u4,s4,c4 #ahfb71 or any other     
provision of law is necessary to deter  
the ,government of the ,people's        
,republic of ,china from further        
interference in the rare earth metals   
market2 and  7,d7 recommendations for   
such other authorities as the ,secretary
 considers necessary to deter the       

,government of the ,people's ,republic  
of ,china from further interference in  
the rare earth metals market4  #h4      
,production in and uses of rare earth   
metals by ,united ,states allies  7a7   
,policy ,it shall be the policy of the  
,united ,states to encourage countries  
that are allies of the ,united ,states  
to eliminate their dependence on        
non-allied countries for rare earth     
metals to the maximum extent            
practicable4  7b7 ,report required ,not 
later than ,december #ca1 #bjbb1 and    
annually thereafter1 the ,secretary of  
,defense1 in coordination with the      
,secretary of ,state1 shall submit to   
the appropriate congressional committees
 a report-- 7#a7 describing in detail   
the discussions of such ,secretaries    
with countries that are allies of the   
,united ,states concerning supply chain 
security for rare earth metals2  7#b7   
assessing the likelihood of those       
countries discontinuing the use of rare 
earth metals from the ,people's         

,republic of ,china or other countries  
that such ,secretaries deem to be of    
concern2 and  7#c7 assessing initiatives
 in other countries to increase rare    
earth metals production capabilities4   
#i4 ,effective date ,this ,act takes    
effect on the date that is one day after
 the date of the enactment of this ,act4