,i #aaith ,,congress #ast ,session ,h4 ,r4 #ceig ,,in ,,the ,,house ,,of ,,representatives ,may #bc1 #bjbe,mr4 ,moore of ,utah 7for himself and ,mr4 ,krishnamoorthi7 introduced the following bill2 which was referred to the ,committee on ,ways and ,means1 and in addition to the ,committees on ,energy and ,commerce1 and ,science1 ,space1 and ,technology1 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 provide incentives for the domestic production of printed circuit boards1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,protecting ,circuit ,boards and ,substrates ,act4 #b4 ,tax credit for the purchase or acquisition of printed circuit boards integrated circuit substrates manufactured in the united states 7a7 ,in general ,subpart ,d of part ,,iv of subchapter ,a of chapter #a of the ,internal ,revenue ,code of #aihf is amended by inserting after section #de,z the following new section3 #de;,,aa4 ,credit for the purchase or acquisition of printed circuit boards fabricated in the united states 7a7 ,in general ,for the purposes of section #ch1 the credit determined under this section for the taxable year is an amount equal to #be percent of the cost paid or incurred by the taxpayer for the purchase or acquisition of printed circuit boards and ,integrated ,circuit ,substrates fabricated in the ,united ,states for the taxable year4 7b7 ,definitions ,for the purposes of this section-- 7#a7 ,printed circuit board ,the term printed circuit board has the meaning given such term in section #c7;a7 of the ,protecting ,circuit ,boards and ,substrates ,act4 7#b7 ,fabricated ,the term fabricated means the use of raw materials to manufacture a connected composite structure featuring electrically conductive and non-conductive elements by subtractive1 additive1 or other technique4 7#c7 ,integrated circuit substrate ,the term integrated circuit substrate means a thin composite structure of layered electrically conductive materials and organic electrically non-conductive materials that electrically connects integrated circuits to an underlying structure1 including a printed circuit board4 7c7 ,regulations and guidance ,the ,secretary shall1 in consultation with the ,secretary of ,commerce1 promulgate such regulations and guidance as may be necessary or appropriate to carry out this section4 4 7b7 ,clerical amendment ,the table of sections for subpart ,d of part ,,iv of subchapter ,a of chapter #a of such ,code is amended by inserting after the item relating to section #de,z the following new item3 ,sec4 #de;,,aa4 ,credit for the purchase or acquisition of printed circuit boards fabricated in the ,united ,states4 4 7c7 ,credit made part of general business credit ,section #ch7;b7 of the ,internal ,revenue ,code of #aihf is amended-- 7#a7 in paragraph 7#cg71 by striking plus1 7#b7 in paragraph 7#ch71 by striking the period at the end and inserting 1 plus1 and 7#c7 by adding at the end the following new paragraph3 7#ci7 the credit for the purchase or acquisition of printed circuit boards fabricated in the ,united ,states determined under section #de;,,aa4 4 7d7 ,effective date ,the amendments made by this section shall apply to amounts paid or incurred after ,december #ca1 #bjbe4 #c4 ,incentives for printed circuit board manufacturing and research and development 7a7 ,definitions ,in this section3 7#a7 ,active component ,the term active component means1 with respect to a printed circuit board1 an electronic component within an electronic circuit that relies on an external power source to control or modify electrical signals4 7#b7 ,covered entity ,the term covered entity means a private entity1 a consortium of private entities1 or a consortium of public and private entities with the ability to substantially finance1 construct1 expand1 or modernize a facility relating to manufacturing or research and development of printed circuit boards and integrated circuit substrates4 7#c7 ,covered incentive ,the term covered incentive means-- 7,a7 an incentive used for the purposes of constructing1 expanding1 or modernizing a facility described in paragraph 7#b7 that will be located in the ,united ,states2 and 7,b7 a workforce-related incentive 7including an agreement to provide grants for workforce training or vocational education71 any concession with respect to real property1 funding for research and development with respect to printed circuit boards1 and any other incentive determined by the ,secretary1 in consultation with the ,secretary of ,state1 to be appropriate and related to encouraging investment in facilities and equipment in the ,united ,states for manufacturing or research and development of printed circuit boards for public or private companies4 7#d7 ,foreign entity2 foreign entity of concern ,the terms foreign entity and foreign entity of concern have the meanings given such terms in section #iija of the ,william ,m4 7,mac7 ,thornberry ,national ,defense ,authorization ,act for ,fiscal ,year #bjba 7,public ,law #aaf-bhc2 #ae ,u4,s4,c4 #dfea74 7#e7 ,historically black college or university ,the term historically ,black college or university has the meaning given the term part ,b institution in section #cbb of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajfa74 7#f7 ,institution of higher education ,the term institution of higher education has the meaning given such term in section #aja of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajja74 7#g7 ,integrated circuit substrate ,the term integrated circuit substrate means a thin composite structure of layered electrically conductive materials and organic electrically non-conductive materials that electrically connects integrated circuits to an underlying structure1 including a printed circuit board4 7#h7 ,intelligence community ,the term intelligence community has the meaning given that term in section #c of the ,national ,security ,act of #aidg 7#ej ,u4,s4,c4 #cjjc74 7#i7 ,minority-owned business and women-owned business ,the terms minority-owned business and women-owned business have the meanings given such terms in section #gjd;,b7h7 of the ,equal ,credit ,opportunity ,act 7#ae ,u4,s4,c4 #afia;c-#b7;h774 7#aj7 ,minority-serving institution ,the term minority-serving institution means any of the following3 7,a7 ,an ,alaska ,native-serving institution 7as that term is defined in section #cag7;b7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajei;d7b7774 7,b7 ,a ,native ,hawaiian-serving institution 7as that term is defined in section #cag7;b7 of such ,act 7#bj ,u4,s4,c4 #ajei;d7b7774 7,c7 ,a ,predominantly ,black institution 7as that term is defined in section #cga7;c7 of such ,act 7#bj ,u4,s4,c4 #ajfgq7c7774 7,d7 ,an ,asian ,american and ,native ,american ,pacific ,islander-serving institution 7as that term is defined in section #cbj7;b7 of such ,act 7#bj ,u4,s4,c4 #ajei;g7b7774 7,e7 ,a ,native ,american-serving1 nontribal institution 7as that term is defined in section #cai7;b7 of such ,act 7#bj ,u4,s4,c4 #ajei;f7b7774 7#aa7 ,passive component ,the term passive component means1 with respect to a printed circuit board1 an electronic component within an electronic circuit that functions using the existing electronic current within the electronic circuit to control or modify electrical signals4 7#ab7 ,person ,the term person means an individual or entity4 7#ac7 ,printed circuit board ,the term printed circuit board means a composite structure of layered electrically conductive and non-conductive materials that provides interconnections with other micro-electronics or electronics systems or subsystems and electrical connections between active and passive components1 and may include components embedded in the composite structure4 7#ad7 ,program ,the term ,program means the program established under subsection 7b77#a74 7#ae7 ,secretary ,the term ,secretary means the ,secretary of ,commerce4 7#af7 ,small business ,the term small business has the meaning given the term small business concern under section #c7;a7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcb7;a771 except that section #aba4ajc of title #ac1 ,code of ,federal ,regulations 7or any successor regulation7 shall not apply4 7#ag7 ,state ,the term ,state means each ,state of the ,united ,states1 the ,district of ,columbia1 each commonwealth1 territory1 or possession of the ,united ,states1 and each federally recognized ,indian ,tribe4 7#ah7 ,veteran-owned business ,the term veteran-owned business has the meaning given the term small business concern owned and controlled by veterans in section #c7q7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcb7q774 7b7 ,financial assistance program 7#a7 ,in general ,the ,secretary shall establish a program that1 in accordance with the requirements of this section and subject to the availability of appropriations for such purposes1 provides ,federal financial assistance to covered entities to incentivize investment in facilities and equipment in the ,united ,states for manufacturing or research and development of printed circuit boards and integrated circuit substrates4 7#b7 ,procedure 7,a7 ,in general ,a covered entity shall submit to the ,secretary an application that describes the project for which the covered entity is seeking financial assistance under the ,program4 7,b7 ,eligibility ,except as provided in subparagraph 7,c71 in order for a covered entity to qualify for financial assistance under the ,program1 the covered entity shall demonstrate to the ,secretary1 in the application submitted by the covered entity under subparagraph 7,a71 that-- 7i7 the covered entity has a documented interest in carrying out a project that is a covered incentive2 and 7ii7 with respect to the project described in clause 7i71 the covered entity has-- 7,i7 a plan the ,secretary determines to be executable to sustain the covered incentive described in clause 7i7 without additional ,federal financial assistance under the ,program for facility support2 7,,ii7 made commitments to worker and community investment1 including through-- 7aa7 training and education benefits provided by or paid for by the covered entity2 and 7bb7 programs to expand employment opportunity for economically disadvantaged individuals2 and 7,,iii7 secured commitments from regional educational and training entities1 postsecondary vocational institutions 7defined in section #ajb7;c7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajjb7;c7771 or institutions of higher education to provide workforce training1 including programming for training and job placement of economically disadvantaged individuals4 7,c7 ,small business exception ,the requirements in subclauses 7,,ii7 and 7,,iii7 of subparagraph 7,b77ii7 do not apply to small businesses4 7,d7 ,due diligence ,with respect to the review by the ,secretary of an application submitted by a covered entity under subparagraph 7,a71 the ,secretary may not approve the application unless the ,secretary-- 7i7 confirms that the covered entity has satisfied the applicable eligibility criteria under subparagraph 7,b72 and 7ii7 determines that the project to which the application relates is in the interest of the ,united ,states4 7,e7 ,considerations for review 7i7 ,in general ,except as provided in clause 7ii71 with respect to the review by the ,secretary of an application submitted by a covered entity under subparagraph 7,a71 the ,secretary shall consider whether the covered entity has-- 7,i7 previously received financial assistance under the ,program2 and 7,,ii7 demonstrated that it is responsive to the national security needs or requirements established by the intelligence community 7or an agency thereof71 the ,national ,nuclear ,security ,administration1 or the ,department of ,defense4 7ii7 ,small businesses excluded ,clause 7i77,i7 does not apply with respect to an application submitted by a small business under subparagraph 7,a74 7,f7 ,preferences 7i7 ,in general ,the ,secretary shall1 when practicable1 give preference with respect to the approval of an application submitted under subparagraph 7,a7 by a covered entity that-- 7,i7 is a small business1 minority-owned business1 women-owned business1 or veteran-owned business2 7,,ii7 expands the ,united ,states production capacity of ,printed ,circuit ,boards and integrated circuit substrates2 7,,iii7 is relocating a manufacturing facility of printed circuit boards currently located in an area owned by1 controlled by1 or subject to the jurisdiction or direction of a foreign entity of concern2 or 7,,iv7 includes a workforce training program that is-- 7aa7 a historically ,black college or university2 7bb7 a ,hispanic-serving institution 7as such term is defined in section #ejb7;a7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #aaja;a7a7772 7cc7 a ,tribal ,college or ,university 7as such term is defined in section #caf7;b7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajei;c7b7772 7dd7 a minority-serving institution2 7ee7 a rural-serving institution of higher education 7as such term is defined in section #hfa7;b7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #aafaq7b7772 or 7ff7 a workforce training organization that offers industry-recognized1 stackable1 and portable credentialing programs4 7ii7 ,definitions ,in this subparagraph3 7,i7 ,stackable ,the term stackable means a credential that is part of a set of sequenced1 related credentials that demonstrating the increasing qualifications of the individual acquiring the credentials for advancement along a specific career path or to a more senior position in the same or related career path4 7,,ii7 ,portable ,the term portable means a credential that is generally recognized and accepted by a wide variety of entities and in multiple geographic locations as verifying the qualifications of an individual4 7,g7 ,foreign entities of concern exclusion 7i7 ,the ,secretary may not approve an application of a covered entity if the ,secretary determines that the covered entity is a foreign entity of concern4 7ii7 ,none of the funds authorized to be appropriated to carry out this subsection may be provided to a foreign entity of concern4 7,h7 ,records production 7i7 ,in general ,the ,secretary may request from a covered entity that submits an application under subparagraph 7,a7 any records and other information that the ,secretary determines necessary for the purposes of ascertaining whether an award under the ,program will be used for the covered incentive for which such award is sought1 including records or other information regarding the status of such project4 7ii7 ,funding restriction ,no covered entity that fails to provide records or information requested by the ,secretary under this subparagraph shall be eligible for ,federal financial assistance under the ,program if such records or information are reasonably available to such covered entity4 7#c7 ,amount 7,a7 ,in general ,the ,secretary shall determine the appropriate amount and funding type for each financial assistance award made to a covered entity under the ,program4 7,b7 ,larger investment ,the amount awarded under the ,program with respect to any individual project may not exceed #cjj1jjj1jjj unless the ,secretary1 in consultation with the ,secretary of ,defense and the ,director of ,national ,intelligence1 recommends to the ,president1 and the ,president notifies ,congress1 that a larger award is necessary to-- 7i7 significantly increase the supply of reliable1 domestically produced printed circuit boards and integrated circuit substrates that are relevant for the national security and economic competitiveness of the ,united ,states2 and 7ii7 meet the needs of national security4 7#d7 ,use of funds 7,a7 ,in general ,except as provided by subparagraph 7,b71 a covered entity that receives a financial assistance award under the ,program may only use the financial assistance award amounts-- 7i7 for a covered incentive2 and 7ii7 to pay reasonable costs related to the operating expenses for such covered incentive1 including costs relating to the specialized workforce1 essential materials1 and complex equipment maintenance1 as determined by the ,secretary4 7,b7 ,larger investments ,if the amount awarded under the ,program with respect to the project is more than #cjj1jjj1jjj1 the covered entity that received such award may use such amounts only for the purposes described in subparagraph 7,a7 to the extent that such use meets the national security needs or enhances the economic competitiveness of the ,united ,states4 7#e7 ,clawback 7,a7 ,delay clawback 7i7 ,target dates ,with respect to any award made under the ,program1 the ,secretary shall-- 7,i7 determine target dates by which the project with respect to which such award was made shall commence and complete2 and 7,,ii7 set such dates by the time of the award4 7ii7 ,progressive recovery for delays ,if a project is not commenced and completed by the dates determined under clause 7i7 for such project1 the ,secretary shall progressively recover from the recipient of the award for such project up to the full amount of such award4 7iii7 ,waiver ,in the case of a project that is not commenced or completed by the dates determined under clause 7i7 for such project1 the ,secretary may waive elements of the clawback provisions incorporated in the award made under the ,program for such project only if1 prior to granting such waiver1 the ,secretary-- 7,i7 makes a formal determination that circumstances beyond the ability of the covered entity to foresee or control are responsible for delays2 and 7,,ii7 submits a notice to ,congress4 7,b7 ,technology clawback ,the ,secretary may recover the full amount of any award made under the ,program from the recipient of the award if1 during the period determined under subparagraph 7,a77i7 for the project with respect to which such award was made1 the recipient knowingly engages in any joint research or technology licensing effort with a foreign entity of concern that relates to a technology or product that raises national security concerns1 as determined by the ,secretary4 7,c7 ,notification to congress 7i7 ,in general ,the ,secretary shall notify ,congress of-- 7,i7 the clawback provisions attending each award described in subparagraph 7,a77i72 and 7,,ii7 each waiver provided under subparagraph 7,a77iii7 not later than #ae days after the date on which the ,secretary provides such waiver4 7ii7 ,waiver notice contents ,the notice required under clause 7i77,,ii7 shall include-- 7,i7 the elements of the clawback provisions that were waived under subparagraph 7,a77iii72 7,,ii7 an explanation of why such waiver was provided2 7,,iii7 the duration of the delay with respect to which such waiver was granted2 and 7,,iv7 the name of the covered entity that was granted such waiver4 7c7 ,coordination required ,in carrying out the ,program1 the ,secretary shall coordinate with-- 7#a7 the ,secretary of ,state2 7#b7 the ,secretary of ,defense2 7#c7 the ,secretary of ,energy2 7#d7 the ,director of ,national ,intelligence2 7#e7 the ,director of the ,minority ,business ,development ,agency of the ,department of ,commerce2 7#f7 the ,administrator of the ,small ,business ,administration2 7#g7 the ,director of the ,national ,institute of ,standards and ,technology2 7#h7 the ,director of the ,cybersecurity and ,infrastructure ,agency2 and 7#i7 the ,director of the ,office of ,foreign ,assets ,control of the ,department of the ,treasury4 7d7 ,gao reviews ,the ,comptroller ,general of the ,united ,states shall-- 7#a7 not later than #b years after the date of disbursement of the first award under the ,program1 and biennially thereafter for #aj years1 conduct a review of the ,program1 which shall include-- 7,a7 a determination of the number of awards provided under the ,program during the two-year period immediately preceding the review2 7,b7 an evaluation of how-- 7i7 such program is being carried out1 including how recipients of awards under the ,program are being selected2 and 7ii7 other ,federal programs are leveraged for manufacturing1 research1 and training to complement the awards made under the ,program2 and 7,c7 a description of the outcomes of projects supported by awards made under the ,program1 including a description of-- 7i7 facilities described in subsection 7b77#a7 that were constructed1 expanded1 or modernized as a result of such awards2 7ii7 research and development carried out with such awards2 7iii7 workforce training programs carried out with such awards1 including efforts to hire economically disadvantaged individuals2 and 7iv7 the effects of such projects on the ,united ,states share of global printed circuit board production2 and 7#b7 notify ,congress of the results of each review conducted under paragraph 7#a74 7e7 ,authorization of appropriations ,there is authorized to be appropriated #c1jjj1jjj1jjj for fiscal year #bjbf1 to remain available through fiscal year #bjfe1 to carry out this section4