,i #aahth ,,congress #ast ,session ,h4 ,r4 #aadi ,,in ,,the ,,house ,,of ,,representatives ,february #ba1 #bjbc,ms4 ,wild 7for herself and ,mrs4 ,radewagen7 introduced the following bill2 which was referred to the ,committee on ,foreign ,affairs1 and in addition to the ,committee on ,financial ,services1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to establish certain reporting and other requirements relating to telecommunications equipment and services produced or provided by certain entities1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,countering ,untrusted ,telecommunications ,abroad ,act4 #b4 ,sense of ,congress ,it is the sense of ,congress that-- 7#a7 the national security of the ,united ,states is affected by the telecommunications security of ,united ,states allies1 partners1 and other countries around the globe2 7#b7 the importance of mobile and internet services makes such services tempting and effective tools for malign influence and economic coercion2 7#c7 ,huawei ,technologies ,company and ,,zte ,corporation 7and any subsidiary or affiliate of either such entity7 should not serve as a vendor of telecommunications equipment or services given the close ties to1 and control over1 such entities by the ,people's ,republic of ,china2 and 7#d7 it is in the economic and national security interests of the ,united ,states to ensure that countries around the globe use trusted telecommunications equipment or services4 #c4 ,report on untrusted telecommunications equipment or services in countries with collective defense agreement with ,united ,states 7a7 ,report ,not later than #ahj days after the date of the enactment of this ,act1 and annually thereafter for two years1 the ,secretary of ,state1 in consultation with the ,assistant ,secretary of ,commerce for ,communications and ,information1 shall submit to the ,committees on ,foreign ,affairs and ,energy and ,commerce of the ,house of ,representatives and the ,committees on ,foreign ,relations and ,commerce1 ,science1 and ,transportation of the ,senate a report on the prevalence of untrusted telecommunications equipment or services in the networks of ,united ,states allies and partners4 7b7 ,matters ,the report under subsection 7a7 shall enumerate each ,united ,states ally or partner with respect to which the ,united ,states has entered into a collective defense agreement and include1 for each such country1 the following3 7#a7 ,a description of the presence1 or lack thereof1 of untrusted telecommunications equipment or services in any #e;,g network of the country4 7#b7 ,if any untrusted telecommunications equipment or service is present in such a network-- 7,a7 an enumeration of any mobile carriers that are using the untrusted telecommunications equipment or service present1 and any mobile carriers that are not2 7,b7 a determination of whether the untrusted telecommunications equipment or service present is in the core or periphery of the network2 and 7,c7 any plans by the ,united ,states ally or partner1 or the individual mobile carrier1 to rip and replace the untrusted telecommunications equipment or service present with a trusted telecommunications equipment or service4 7#c7 ,a description of any plans by network operators to use untrusted communications equipment or services in the deployment of ,open ,radio ,access ,network 7,open ,,ran7 technology1 or any successor to such technology1 or in future #f;,g networks4 #d4 ,report on covered telecommunications equipment or services in ,united ,states embassies 7a7 ,findings ,congress finds the following3 7#a7 ,the ,comptroller ,general of the ,united ,states has reported that #bc percent of all telecommunications device manufacturers of the ,department of ,state have at least one supplier reported to be headquartered in the ,people's ,republic of ,china or the ,russian ,federation4 7#b7 ,the ,comptroller ,general has reported that four percent of all telecommunications contractors of the ,department of ,state have at least one supplier reported to be headquartered in the ,people's ,republic of ,china4 7b7 ,report 7#a7 ,in general ,not later than #ahj days after the date of the enactment of this ,act1 the ,secretary of ,state1 in consultation with the heads of such other departments and agencies as the ,secretary determines necessary1 shall submit to the ,committee on ,foreign ,affairs of the ,house of ,representatives and the ,committee on ,foreign ,relations of the ,senate a report containing an assessment of the use of covered telecommunications equipment or services in ,united ,states embassies and by ,united ,states embassy staff and personnel4 7#b7 ,matters ,the report under paragraph 7#a7 shall include information on the following3 7,a7 ,the status of the implementation by the ,secretary of ,state of the prohibition under subsection 7a77#a7 of section #hhi of the ,john ,s4 ,mc,cain ,national ,defense ,authorization ,act for ,fiscal ,year #bjai 7,public ,law #aae-bcb2 #acb ,stat4 #aiag2 #da ,u4,s4,c4 #cija note prec47 with respect to equipment1 systems1 and services used at ,united ,states embassies1 including-- 7i7 an identification of the ,united ,states embassies with respect to which the ,secretary has implemented such prohibition1 and an identification of those with respect to which the ,secretary has not implemented such prohibition1 if any2 7ii7 an identification of any difficulties that have delayed the implementation of such prohibition by the ,secretary with respect to ,united ,states embassies1 such as visibility into supply chains1 costs of equipment replacement1 and plans for timely remediation2 7iii7 information on any waivers that have been granted to an entity under subsection 7d7 of such section #hhi for equipment1 systems1 or services used at ,united ,states embassies1 including a justification of why each waiver was granted and any other information required pursuant to paragraph 7#a77;,b7 of such subsection2 and 7iv7 for any entity that has sought a waiver specified in clause 7iii71 the implementation status of the phase-out plan of the entity submitted by the entity pursuant to subsection 7d7 of such section #hhi4 7,b7 ,information regarding the extent to which the digital devices of ,united ,states embassy staff and personnel are serviced by ,huawei ,technologies ,company or ,,zte ,corporation 7or any subsidiary or affiliate of either such entity71 or any other entity headquartered in the ,people's ,republic of ,china1 and an assessment of the likelihood of the intelligence services of the ,people's ,republic of ,china gaining access to the contents and data of the digital devices used by ,united ,states embassy personnel as a result of any such servicing4 7,c7 ,any other information regarding ongoing efforts to safeguard the communications security of ,united ,states embassies4 7#c7 ,form ,the report under paragraph 7#a7 shall be submitted in unclassified form1 but may include a classified annex4 #e4 ,supporting trusted telecommunications 7a7 ,in general ,the ,secretary of ,state1 in consultation with the ,assistant ,secretary of ,commerce for ,communications and ,information1 shall select for the provision of support under this section telecommunications infrastructure projects that have the potential1 as determined by the ,secretary1 to promote the national security of the ,united ,states and meet such other requirements as the ,secretary may prescribe4 7b7 ,diplomatic and political support ,the ,secretary of ,state shall provide to each project selected under subsection 7a71 as appropriate1 diplomatic and political support1 including by using the diplomatic and political influence and expertise of the ,department of ,state to build the capacity of countries to resolve any impediments to the development of the project4 7c7 ,early stage project support ,the ,director of the ,united ,states ,trade and ,development ,agency should provide1 as appropriate1 early-stage project support with respect to projects selected under subsection 7a74 #f4 ,disclosure and transparency of untrusted communications equipment 7a7 ,in general ,section #ac of the ,securities ,exchange ,act of #aicd 7#ae ,u4,s4,c4 #ghm7 is amended by adding at the end the following new subsection3 7s7 ,disclosure of certain activities related to untrusted telecommunications equipment 7#a7 ,in general ,each issuer required to file an annual or quarterly report under subsection 7a7 shall disclose in that report the information required in paragraph 7#b7 if1 during the period covered by the report1 the issuer or any affiliate of the issuer used or contracted to use covered telecommunications equipment or services4 7#b7 ,information required ,if an issuer or affiliate of the issuer has engaged in an activity described in paragraph 7#a71 the issuer shall disclose such activity1 including a detailed description of-- 7,a7 whether the covered telecommunications equipment or services are being used in a mobile network run by the issuer1 and whether those equipment or services were used in the core or periphery of the network2 7,b7 whether the covered telecommunications equipment or services were used for cloud computing or data storage2 7,c7 whether any covered telecommunications equipment or services were replaced with other vendors2 and 7,d7 whether the issuer is currently engaging in negotiations or planning to contract to use additional covered telecommunications equipment or services4 7#c7 ,notice of disclosures ,if an issuer reports under paragraph 7#a7 that the issuer or an affiliate of the issuer has knowingly engaged in any activity described in that paragraph1 the issuer shall separately file with the ,commission1 concurrently with the annual or quarterly report under subsection 7a71 a notice that the disclosure of that activity has been included in that annual or quarterly report that identifies the issuer and contains the information required by paragraph 7#b74 7#d7 ,public disclosure of information ,upon receiving a notice under paragraph 7#c7 that an annual or quarterly report includes a disclosure of an activity described in paragraph 7#a71 the ,commission shall promptly-- 7,a7 transmit the report to-- 7i7 the ,president2 7ii7 the ,committees on ,foreign ,affairs1 ,energy and ,commerce1 and ,financial ,services of the ,house of ,representatives2 and 7iii7 the ,committees on ,foreign ,relations1 ,commerce1 ,science1 and ,transportation1 and ,banking1 ,housing1 and ,urban ,affairs of the ,senate2 and 7,b7 make the information provided in the disclosure and the notice available to the public by posting the information on the ,internet website of the ,commission4 7#e7 ,covered telecommunications equipment or service defined ,in this subsection1 the term covered telecommunications equipment or service has the meaning given to the term covered communications equipment or service in section #i of the ,secure and ,trusted ,communications ,network ,act of #bjai 7#dg ,u4,s4,c4 #afjh74 4 7b7 ,effective date ,the amendment made by subsection 7a7 shall take effect with respect to reports required to be filed with the ,securities and ,exchange ,commission after the date that is #ahj days after the date of the enactment of this ,act4 #g4 ,definitions ,in this ,act3 7#a7 ,covered telecommunications equipment or service2 untrusted telecommunications equipment or service ,the terms covered telecommunications equipment or service and untrusted telecommunications equipment or service have the meaning given to the term covered communications equipment or service in section #i of the ,secure and ,trusted ,communications ,network ,act of #bjai 7#dg ,u4,s4,c4 #afjh74 7#b7 ,trusted telecommunications equipment or service ,the term trusted telecommunications equipment or service means any telecommunications equipment or service that is not a covered telecommunications equipment or service4