[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 2118 Introduced in Senate (IS)]
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116th CONGRESS
1st Session
S. 2118
To prohibit United States persons from dealing in certain information
and communications technology or services from foreign adversaries and
to require the approval of Congress to terminate certain export
controls in effect with respect to Huawei Technologies Co. Ltd., and
for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 15, 2019
Mr. Cotton (for himself, Mr. Van Hollen, Mr. Rubio, Mr. Romney, Mr.
Warner, and Mr. Blumenthal) introduced the following bill; which was
read twice and referred to the Committee on Banking, Housing, and Urban
Affairs
_______________________________________________________________________
A BILL
To prohibit United States persons from dealing in certain information
and communications technology or services from foreign adversaries and
to require the approval of Congress to terminate certain export
controls in effect with respect to Huawei Technologies Co. Ltd., and
for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Defending America's 5G Future Act''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Export administration regulations.--The term ``Export
Administration Regulations'' means subchapter C of chapter VII
of title 15, Code of Federal Regulations.
(2) Foreign adversary.--The term ``foreign adversary''
means any foreign government or foreign person engaged in a
long-term pattern or serious instances of conduct significantly
adverse to the national security or foreign policy interests of
the United States or security and safety of United States
persons.
(3) Foreign person.--The term ``foreign person'' means any
person that is not a United States person.
(4) Information and communications technology or
services.--The term ``information and communications technology
or services'' means any hardware, software, or other product or
service primarily intended to fulfill or enable the function of
information or data processing, storage, retrieval, or
communication by electronic means, including transmission,
storage, and display.
(5) United states person.--The term ``United States
person'' means--
(A) any United States citizen or alien lawfully
admitted for permanent residence in the United States;
(B) any entity organized under the laws of the
United States or any jurisdiction within the United
States, including a foreign branch of such an entity;
or
(C) any person in the United States.
SEC. 3. PROHIBITION ON DEALING IN INFORMATION AND COMMUNICATIONS
TECHNOLOGY OR SERVICES FROM FOREIGN ADVERSARIES.
(a) In General.--No United States person may engage in a
transaction for the acquisition, importation, transfer, installation,
dealing in, or use of any information and communications technology or
service by a United States person, or with respect to any property
subject to the jurisdiction of the United States, if--
(1) the transaction involves any property in which any
foreign country or foreign person has any interest (including
through an interest in a contract for the provision of the
technology or service);
(2) notwithstanding any contract entered into or any
license or permit issued before the date of the enactment of
this Act, the transaction is initiated or pending on or after
such date of enactment; and
(3) the Secretary of Commerce, in consultation with the
officials specified in subsection (b), determines that--
(A) the transaction involves information and
communications technology or services designed,
developed, manufactured, or supplied, by persons owned
by, controlled by, or subject to the jurisdiction or
direction of a foreign adversary; and
(B) the transaction--
(i) poses an undue risk of sabotage to or
subversion of the design, integrity,
manufacturing, production, distribution,
installation, operation, or maintenance of
information and communications technology or
services in the United States;
(ii) poses an undue risk of catastrophic
effects on the security or resiliency of United
States critical infrastructure or the digital
economy of the United States; or
(iii) otherwise poses an unacceptable risk
to the national security or foreign policy
interests of the United States or the security
and safety of United States persons.
(b) Officials Specified.--The officials specified in this
subsection are the following:
(1) The Secretary of the Treasury.
(2) The Secretary of State.
(3) The Secretary of Defense.
(4) The Attorney General.
(5) The Secretary of Homeland Security.
(6) The United States Trade Representative.
(7) The Director of National Intelligence.
(8) The Administrator of General Services.
(9) The Chairman of the Federal Communications Commission.
(10) The heads of such other Federal agencies as the
Secretary of Commerce considers appropriate.
(c) Mitigation Measures.--The Secretary of Commerce, in
consultation with the officials specified in subsection (b), as
appropriate, may establish or negotiate measures to mitigate concerns
that are the basis for a determination under subsection (a)(3). Such
measures may serve as a precondition to the approval of a transaction
or of a class of transactions that would otherwise be prohibited by
subsection (a).
(d) Regulations.--
(1) In general.--Not later than 150 days after the date of
the enactment of this Act, the Secretary of Commerce, in
consultation with the officials specified in subsection (b),
shall prescribe regulations to carry out this section.
(2) Inclusions.--The regulations prescribed under paragraph
(1) may include regulations with respect to--
(A) determining that countries or persons are
foreign adversaries for purposes of subsection
(a)(3)(A);
(B) identifying persons owned by, controlled by, or
subject to the jurisdiction or direction of foreign
adversaries for purposes of subsection (a)(3)(A);
(C) identifying technologies or countries with
respect to which transactions involving information and
communications technology or services warrant
particular scrutiny under subsection (a);
(D) establishing procedures to license transactions
otherwise prohibited by subsection (a);
(E) establishing criteria, consistent with section
1 of this order, by which particular technologies or
participants in the market for information and
communications technology or services may be recognized
as categorically included in or as categorically
excluded from the prohibition under subsection (a); and
(F) identifying a mechanism and relevant factors
for the negotiation of mitigation measures under
subsection (c).
(e) Implementation; Penalties.--
(1) Implementation.--The Secretary of Commerce may exercise
the authorities provided to the President under sections 203
and 205 of the International Emergency Economic Powers Act (50
U.S.C. 1702 and 1704) to the extent necessary to carry out this
section.
(2) Penalties.--A person that violates, attempts to
violate, conspires to violate, or causes a violation of
subsection (a) or any regulation, license, or order issued to
carry out that subsection shall be subject to the penalties set
forth in subsections (b) and (c) of section 206 of the
International Emergency Economic Powers Act (50 U.S.C. 1705) to
the same extent as a person that commits an unlawful act
described in subsection (a) of that section.
SEC. 4. CONTINUATION IN EFFECT OF EXPORT CONTROLS WITH RESPECT TO
HUAWEI TECHNOLOGIES CO. LTD.
(a) In General.--The Secretary of Commerce shall not remove Huawei
Technologies Co. Ltd., and its subsidiaries and affiliates, from the
entity list maintained by the Bureau of Industry and Security and set
forth in Supplement No. 4 to part 744 of the Export Administration
Regulations, unless--
(1) the Secretary submits to Congress a request for
approval of such removal; and
(2) there is enacted into law a joint resolution of
approval under subsection (b).
(b) Joint Resolutions of Approval.--
(1) Joint resolution of approval defined.--In this
subsection, the term ``joint resolution of approval'' means a
joint resolution of either House of Congress the sole matter
after the resolving clause of which is as follows: ``That
Congress approves the removal of Huawei Technologies Co. Ltd.,
and its subsidiaries and affiliates, from the entity list
maintained by the Bureau of Industry and Security and set forth
in Supplement No. 4 to part 744 of the Export Administration
Regulations, pursuant to the request of the Secretary of
Commerce for such removal submitted to Congress on ___.'', with
the blank space being filled with the appropriate date.
(2) Introduction; committee referral.--A joint resolution
of approval--
(A) in the House of Representatives--
(i) may be introduced by the Speaker or the
minority leader; and
(ii) shall be referred to the Committee on
Financial Services; and
(B) in the Senate--
(i) may be introduced by the majority
leader or the minority leader; and
(ii) shall be referred to the Committee on
Banking, Housing, and Urban Affairs.
(3) Committee discharge and floor consideration.--The
provisions of paragraphs (4), (5) (other than subparagraph (A)
of paragraph (5)), and (6) of section 216(c) of the Countering
America's Adversaries Through Sanctions Act (22 U.S.C. 9511(c))
apply to a joint resolution of approval under this subsection
to the same extent as such provisions apply to joint resolution
of approval under such section 216(c).
(4) Rules of house of representatives and senate.--This
subsection is enacted by Congress--
(A) as an exercise of the rulemaking power of the
Senate and the House of Representatives, respectively,
and as such is deemed a part of the rules of each
House, respectively, and supersedes other rules only to
the extent that it is inconsistent with such rules; and
(B) with full recognition of the constitutional
right of either House to change the rules (so far as
relating to the procedure of that House) at any time,
in the same manner, and to the same extent as in the
case of any other rule of that House.
SEC. 5. CONGRESSIONAL DISAPPROVAL OF EXPORT LICENSES ISSUED TO HUAWEI
TECHNOLOGIES CO. LTD., OR ITS SUBSIDIARIES OR AFFILIATES.
(a) Report Required.--Not later than 15 days after issuing a
license to or with respect to Huawei Technologies Co. Ltd., or any of
its subsidiaries or affiliates, pursuant to the Export Administration
Regulations, the Secretary of Commerce shall submit to Congress a
report on the license and the reasons for issuing the license.
(b) Congressional Disapproval.--A license described in subsection
(a) shall have no force or effect on or after the date of the enactment
of a joint resolution of disapproval under subsection (c).
(c) Joint Resolutions of Disapproval.--
(1) Joint resolution of disapproval defined.--In this
subsection, the term ``joint resolution of disapproval'' means
a joint resolution of either House of Congress the sole matter
after the resolving clause of which is as follows: ``That
Congress does not approve the license issued to or with respect
to Huawei Technologies Co. Ltd., or one of its subsidiaries or
affiliates, under the Export Administration Regulations,
relating to ___, notice of which was submitted to Congress on
___.'', with the first blank space being filled with a brief
description of the items covered by the license and the second
blank space being filled with the appropriate date.
(2) Introduction; committee referral.--A joint resolution
of disapproval--
(A) in the House of Representatives--
(i) may be introduced by the Speaker or the
minority leader during the 30-day period
beginning on the date on which the report is
submitted under subsection (a); and
(ii) shall be referred to the Committee on
Financial Services; and
(B) in the Senate--
(i) may be introduced by the majority
leader or the minority leader during the 30-day
period beginning on the date on which the
report is submitted under subsection (a); and
(ii) shall be referred to the Committee on
Banking, Housing, and Urban Affairs.
(3) Committee discharge and floor consideration.--The
provisions of paragraphs (4), (5) (other than subparagraph (A)
of paragraph (5)), and (6) of section 216(c) of the Countering
America's Adversaries Through Sanctions Act (22 U.S.C. 9511(c))
apply to a joint resolution of disapproval under this
subsection to the same extent as such provisions apply to joint
resolution of disapproval under such section 216(c).
(4) Rules of house of representatives and senate.--This
subsection is enacted by Congress--
(A) as an exercise of the rulemaking power of the
Senate and the House of Representatives, respectively,
and as such is deemed a part of the rules of each
House, respectively, and supersedes other rules only to
the extent that it is inconsistent with such rules; and
(B) with full recognition of the constitutional
right of either House to change the rules (so far as
relating to the procedure of that House) at any time,
in the same manner, and to the same extent as in the
case of any other rule of that House.
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