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<dc:title>116 S1353 RS: Advancing American AI Act</dc:title>
<dc:publisher>U.S. Senate</dc:publisher>
<dc:date>2022-12-19</dc:date>
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<dc:language>EN</dc:language>
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<distribution-code display="yes">II</distribution-code><calendar>Calendar No. 669</calendar><congress>117th CONGRESS</congress><session>2d Session</session><legis-num>S. 1353</legis-num><associated-doc role="report">[Report No. 117–270]</associated-doc><current-chamber>IN THE SENATE OF THE UNITED STATES</current-chamber><action><action-date date="20210422">April 22, 2021</action-date><action-desc><sponsor name-id="S380">Mr. Peters</sponsor> (for himself and <cosponsor name-id="S349">Mr. Portman</cosponsor>) introduced the following bill; which was read twice and referred to the <committee-name committee-id="SSGA00" added-display-style="italic" deleted-display-style="strikethrough">Committee on Homeland Security and Governmental Affairs</committee-name></action-desc></action><action stage="Reported-in-Senate"><action-date date="20221219">December 19, 2022</action-date><action-desc>Reported by <sponsor name-id="S380">Mr. Peters</sponsor>, with an amendment</action-desc><action-instruction>Strike out all after the enacting clause and insert the part printed in italic</action-instruction></action><legis-type>A BILL</legis-type><official-title>To promote United States values and fulfill agency missions through the use of innovative applied artificial intelligence technologies, and for other purposes.</official-title></form><legis-body><section id="idD94CD5933DD84994ABBF40A6418D6C1D" section-type="section-one" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><enum>1.</enum><header>Short title</header><text display-inline="no-display-inline">This Act may be cited as the <quote><short-title>Advancing American AI Act</short-title></quote>.</text></section><section id="id547BE69CC9CE41A099370E7CD90A970A" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><enum>2.</enum><header>Purpose</header><text display-inline="no-display-inline">The purposes of this bill are to—</text><paragraph id="idf59b82ca94d04fceafddf6288ca372ea"><enum>(1)</enum><text>promote adoption of modernized business practices and advanced technologies across the Federal Government that align with the values of the United States, including the protection of privacy, civil rights, and civil liberties;</text></paragraph><paragraph id="idb10f178a628c4cd8ac5b09e8d436b1e1"><enum>(2)</enum><text>encourage agency artificial intelligence-related programs and initiatives that enhance the competitiveness of the United States and foster an approach to artificial intelligence that builds on the strengths of the United States in innovation and entrepreneurialism;</text></paragraph><paragraph id="id57177f52a9f2473fbc41a3de97544495"><enum>(3)</enum><text>enhance Government venues to translate research advances into artificial intelligence applications to modernize systems and assist agency leaders in fulfilling their missions;</text></paragraph><paragraph id="idd2a3440ce80f43f98a385f0cb63ca756"><enum>(4)</enum><text>test applied artificial intelligence to drive agency productivity efficiencies in predictive supply chain and logistics; and</text></paragraph><paragraph id="id6873e8bb21d446d682925b1e7929925f"><enum>(5)</enum><text>test applied artificial intelligence to accelerate investment return for agencies, such as for portfolio management, workforce development and upskilling, and for other purposes.</text></paragraph></section><section id="idB0CFE741E1A647C982DED2C6648457A0" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><enum>3.</enum><header>Definitions</header><text display-inline="no-display-inline">In this Act:</text><paragraph id="id052E5EE9D5754DCE811386E40766D1AD"><enum>(1)</enum><header>Agency</header><text>The term <term>agency</term> has the meaning given the term in section 3502 of title 44, United States Code. </text></paragraph><paragraph id="idC72D44020CFC45A9AA5AA03CB180B614"><enum>(2)</enum><header>Appropriate congressional committees</header><text>The term <term>appropriate congressional committees</term> means—</text><subparagraph id="idd81b66f2c0a44267af722d20f8ffddfc"><enum>(A)</enum><text>the Committee on Homeland Security and Governmental Affairs of the Senate; and</text></subparagraph><subparagraph id="id9c8540cef3574a9296801a7c8bbd9bb0"><enum>(B)</enum><text>the Committee on Oversight and Reform of the House of Representatives. </text></subparagraph></paragraph><paragraph id="idA0CCEE4AE4934D73AA22CFCB2192FFDB"><enum>(3)</enum><header>Artificial intelligence</header><text>The term <term>artificial intelligence</term> has the meaning given the term in section 238(g) of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (<external-xref legal-doc="usc" parsable-cite="usc/10/2358">10 U.S.C. 2358</external-xref> note).</text></paragraph><paragraph id="id9F731FC8585343DC9A7F52474EB3EC97"><enum>(4)</enum><header>Director</header><text>The term <term>Director</term> means the Director of the Office of Management and Budget.</text></paragraph></section><section id="id0B4F1FE1665A41E187857DB6FA04151D" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><enum>4.</enum><header>Principles and policies for use of artificial intelligence in Government</header><subsection id="id0563171110B7474D8EC7AC6478A65962"><enum>(a)</enum><header>Continual review</header><paragraph id="idC95D654BF85E44DC874DA021E734202B"><enum>(1)</enum><header>In general</header><text>The Director shall—</text><subparagraph id="id6300CE917ECC438A87FCD8F794B2C6CF"><enum>(A)</enum><text>establish mechanisms to continually refine the guidance issued to the head of each agency under section 104(a) of the AI in Government Act of 2020 (title I of division U of <external-xref legal-doc="public-law" parsable-cite="pl/116/260">Public Law 116–260</external-xref>) as best practices evolve; and </text></subparagraph><subparagraph id="id2CDAF8E27E174880AEBFA957CBC6FB68"><enum>(B)</enum><text>not later than 180 days after the date of enactment of this Act and every year thereafter, brief the appropriate congressional committees on the mechanisms established under subparagraph (A). </text></subparagraph></paragraph><paragraph id="idBFBEC721772748078C66F8A82B681F77"><enum>(2)</enum><header>Considerations</header><text>In developing updates to the guidance described in paragraph (1)(A), the Director shall consider the input of—</text><subparagraph id="id99CAF9E8936A4CE7AD83D937AFCBD3F0"><enum>(A)</enum><text>the Privacy and Civil Liberties Oversight Board;</text></subparagraph><subparagraph id="idC45B3743CF5A4B2B9ECFB4F411382F49"><enum>(B)</enum><text>other governmental and nongovernmental privacy, civil rights, and civil liberties experts; and</text></subparagraph><subparagraph id="idE37AAF90ABD949A7AD7D5D0016978563"><enum>(C)</enum><text>and any other individual or entity the Director determines to be appropriate.</text></subparagraph></paragraph><paragraph id="idA6C77296FB764C208E747290A3BFD445"><enum>(3)</enum><header>Amendment to AI in Government Act of 2020</header><text>Section 104(d) of the AI in Government Act of 2020 (title I of division U of <external-xref legal-doc="public-law" parsable-cite="pl/116/260">Public Law 116–260</external-xref>) is amended to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id9006665689074C2887053CA693988CE4" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><subsection id="idB9EA1DF4B49E40C092B9BF820CF79562"><enum>(d)</enum><header>Updates</header><text>The Director shall—</text><paragraph id="id4355EF3DED094A59A48D7764072ABE25"><enum>(1)</enum><text>continually issue updates to the memorandum required under subsection (a); and</text></paragraph><paragraph id="id15A216FB4CCF4BCE966B934B3E9D74F0"><enum>(2)</enum><text>in any event, issue updates to the memorandum required under subsection (a)—</text><subparagraph id="idCF4EA3B4BDDA466598556833E8B94797"><enum>(A)</enum><text>not later than 2 years after the date on which the Director issues the memorandum; and</text></subparagraph><subparagraph id="id903CE2F0109E4642A710767C2A339750"><enum>(B)</enum><text>not less frequently than annually thereafter for 10 years.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="id9609c64c684040ec9ff68cd3c3c70f17"><enum>(b)</enum><header>Legal and approval processes for procurement and use of AI-Enabled systems</header><text>Not later than 180 days after the date of enactment of this Act—</text><paragraph id="idA04C9A3E888D4A518A88807DC646EFE1"><enum>(1)</enum><text>the Secretary of Homeland Security, with the participation of the Chief Privacy Officer and the Officer for Civil Rights and Civil Liberties of the Department of Homeland Security, shall revise the legal and approval processes for the procurement and use of artificial intelligence-enabled systems, including associated data of machine learning systems, to ensure that full consideration is given to the privacy, civil rights, and civil liberties impacts of artificial intelligence-enabled systems; and</text></paragraph><paragraph id="idceea605579944982a105a542470aa5b7"><enum>(2)</enum><text>the Chief Privacy Officer and the Officer for Civil Rights and Civil Liberties of the Department of Homeland Security shall report to Congress on any additional staffing or funding resources that may be required to carry out the requirements of this subsection.</text></paragraph></subsection><subsection id="id44d09628ec964059b58b10cb816ec329"><enum>(c)</enum><header>Inspector General</header><text>Not later than 180 days after the date of enactment of this Act, the Inspector General of the Department of Homeland Security shall identify any training needed to enable employees of the Office of the Inspector General to continually advance their understanding of—</text><paragraph id="id3FE2732E02334E8D9359C1050FE3C39D"><enum>(1)</enum><text>rapidly evolving artificial intelligence technologies; </text></paragraph><paragraph id="idB7A135C9555B4C59878CD29D08821DCD"><enum>(2)</enum><text>best practices for governance, oversight, and audits of the use of those technologies; and</text></paragraph><paragraph id="idAD3E759995994F02A850F1909049B7FB"><enum>(3)</enum><text>how the Office of the Inspector General is using artificial intelligence to enhance audit and investigative capabilities, including actions to—</text><subparagraph id="id87243CE5E73B40849CFF7417266F595C"><enum>(A)</enum><text>ensure the integrity of audit and investigative results; and</text></subparagraph><subparagraph id="idDFCE6F3FB69D4CF0A5C42025409FD8DF"><enum>(B)</enum><text>guard against bias in the selection and conduct of audits and investigations.</text></subparagraph></paragraph></subsection><subsection id="id059e5b57a8dc46389835a24263199a6c"><enum>(d)</enum><header>Artificial intelligence hygiene and protection of privacy and government information</header><paragraph id="id6d9cfe3e96614dae8cc04c5987c70166"><enum>(1)</enum><header>Establishment</header><text>Not later than 1 year after the date of enactment of this Act, the Administrator of the Office of Federal Procurement Policy and the Chief Acquisition Officers Council (in this subsection referred to as the <term>Council</term>) or working group thereof shall develop a process to—</text><subparagraph id="id03bb4975413d4eb1ba3897eccddad0f0"><enum>(A)</enum><text>ensure that contracts involving artificial intelligence—</text><clause id="idE2186D07CCD846A1A3D2A311554716D9"><enum>(i)</enum><text>align with the guidance issued to the head of each agency under section 104(a) of the AI in Government Act of 2020 (title I of division U of <external-xref legal-doc="public-law" parsable-cite="pl/116/260">Public Law 116–260</external-xref>); </text></clause><clause id="id4761A6843FBC4F9ABE632722BCB6CBFD"><enum>(ii)</enum><text>address protection of privacy; and </text></clause><clause id="idDEFFD8C229B44907A0F7A79FBA4BEDB4"><enum>(iii)</enum><text>the ownership and security of data and other information obtained, processed, stored, transmitted, or otherwise handled by a contractor or subcontractor; and</text></clause></subparagraph><subparagraph id="id76597368efcc4b7987ce382f03b665df"><enum>(B)</enum><text>address any other issue or concern determined to be relevant by the Administrator of the Office of Federal Procurement Policy and the Council to ensure appropriate use and protection of privacy and Government data and other information.</text></subparagraph></paragraph><paragraph id="idf0052b966c924d55b9b5151af0f53c1d"><enum>(2)</enum><header>Review</header><text>Not later than 2 years after the date of enactment of this Act and every 2 years thereafter, the Council shall update the process developed under paragraph (1).</text></paragraph><paragraph id="ide102dbc8750e4579a56b9d544199ee40"><enum>(3)</enum><header>Briefing</header><text>The Council shall brief the appropriate congressional committees—</text><subparagraph id="id284C9862311D456D80A553BFCB3FDCD4"><enum>(A)</enum><text>not later than 90 days after the date of enactment of this Act and thereafter on a quarterly basis until the Council first implements the process developed under paragraph (1); and</text></subparagraph><subparagraph id="ida32a67db6415444d9d3975341493abb3"><enum>(B)</enum><text>annually thereafter on the implementation of the process developed under paragraph (1).</text></subparagraph></paragraph><paragraph id="id3CED4F32895342E88AEAB961AF49F91A" commented="no" display-inline="no-display-inline"><enum>(4)</enum><header>Sunset</header><text>This subsection shall cease to be effective on the date that is 10 years after the date of enactment of this Act. </text></paragraph></subsection></section><section id="id2B552E9F744C4E7683D0402EF8568083" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><enum>5.</enum><header>Agency inventory and artificial intelligence use cases</header><subsection id="id9838E14AEA064009A7AEAB86092EC33B"><enum>(a)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of this Act, the Director, in consultation with the Federal Chief Information Officer and the Chief Information Officers Council, shall issue a memorandum to the head of each agency that shall articulate the method by which the agency shall make public information about the use of artificial intelligence by the agency, including the publication criteria, publication format, and method of publication.</text></subsection><subsection id="idBA8FF03EE04544A3A140D8011DF2DEBC"><enum>(b)</enum><header>Inventory</header><text>Not later than 1 year after the date of enactment of this Act, and annually thereafter for a period of 10 years, the head of each agency shall—</text><paragraph id="idb36db7af26b24239b089277a3e360450"><enum>(1)</enum><text>prepare an inventory of the artificial intelligence use cases of the agency, including current and planned uses, consistent with the memorandum issued under subsection (a);</text></paragraph><paragraph id="id924817e37b69427a882855ef1377bbfe"><enum>(2)</enum><text>identify, review, and assess existing artificial intelligence deployed and operating in support of agency missions for any inconsistencies with the guidance issued under section 104 of the AI in Government Act of 2020 (title I of division U of <external-xref legal-doc="public-law" parsable-cite="pl/116/260">Public Law 116–260</external-xref>) and any additional guidance issued by the Director;</text></paragraph><paragraph id="id239305ec1d234057a63a89b0eb4d208e"><enum>(3)</enum><text>develop and implement plans to achieve consistency with the guidance issued under section 104 of the AI in Government Act of 2020 (title I of division U of <external-xref legal-doc="public-law" parsable-cite="pl/116/260">Public Law 116–260</external-xref>) and any additional guidance from the Director for each AI application or to retire AI applications found to be developed or used in a manner that is not consistent with guidance issued by the Director; </text></paragraph><paragraph id="id4e76ca439794414e8beb25be381c7611"><enum>(4)</enum><text>share agency inventories with other agencies, to the extent practicable and consistent with applicable law and policy, including those concerning protection of privacy and of sensitive law enforcement, national security, and other protected information; and</text></paragraph><paragraph id="idc6c3047b48af48a6b8b1bcaf2e1f0302"><enum>(5)</enum><text>make agency inventories available to the public, in a manner determined by the Director, and to the extent practicable and in accordance with applicable law and policy, including those concerning the protection of privacy and of sensitive law enforcement, national security, and other protected information.</text></paragraph></subsection><subsection id="id1742f1422e8d43b0bd9d074b42b5f80c"><enum>(c)</enum><header>Sharing</header><text>The sharing of agency inventories described in subsection (b)(4) may be coordinated through the Chief Information Officers Council, the Chief Data Officers Council, the Chief Financial Officers Council, the Chief Acquisition Officers Council, or other interagency bodies to improve interagency coordination and information sharing for common use cases. </text></subsection><subsection id="idb183900b779e401991172206699d9ba0"><enum>(d)</enum><header>Central inventory</header><text>The Director shall designate a host entity and ensure the creation and maintenance of an online public directory in order to—</text><paragraph id="id1D59022EC2554D03B528B09E97BD166C"><enum>(1)</enum><text>make agency artificial intelligence use case information available to the public and those wishing to do business with the Government; and</text></paragraph><paragraph id="idD45CA4F43962416B8CB8A2AA66134F1B"><enum>(2)</enum><text>identify common use cases across agencies.</text></paragraph></subsection></section><section id="id8aab26c6f30a46a999b50c4775daf7f8" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><enum>6.</enum><header>Rapid pilot, deployment, and scale of applied artificial intelligence capabilities to demonstrate modernization activities related to use cases</header><subsection id="id987B2418FC7C4F24A78C2FC184B2BF0F"><enum>(a)</enum><header>Identification of use cases</header><text display-inline="yes-display-inline">Not later than 270 days after the date of enactment of this Act, the Director shall identify not fewer than 5 new use cases for the application of cross-enterprise artificial intelligence-enabled systems to support modernization initiatives across agencies, including interagency or intra-agency initiatives that require linking multiple siloed internal and external data sources.</text></subsection><subsection id="id35e4761fe0e74fe9b2a78c448e9aa191"><enum>(b)</enum><header>Pilot program</header><paragraph id="id4ED2F15409914972ADD681F981ED6C85"><enum>(1)</enum><header>Purposes</header><text>The purposes of the pilot program under this section are—</text><subparagraph id="idc6d633da1c1a40b3a6faefe7ce1ab12a" commented="no" display-inline="no-display-inline"><enum>(A)</enum><text>to enable agencies to operate cross-enterprise, coordinating between existing established programs and silos to improve delivery of the agency mission; and</text></subparagraph><subparagraph display-inline="no-display-inline" commented="no" id="id9F8B5B7AE2474470BDC9BC6AB0D4F903"><enum>(B)</enum><text>to demonstrate the circumstances under which artificial intelligence can be used to modernize or assist in modernizing legacy agency systems.</text></subparagraph></paragraph><paragraph id="id1059815460D24188B2E2830B0983825B"><enum>(2)</enum><header>Deployment and pilot</header><text>Not later than 1 year after the date of enactment of this Act, the Director, in coordination with the heads of relevant agencies and other officials as the Director determines to be appropriate, shall ensure the initiation of the piloting of 5 new cross-enterprise technology use case applications that leverage commercially available technologies and systems to demonstrate scalable artificial intelligence-enabled capabilities to support the use cases identified under subsection (a). </text></paragraph><paragraph id="idA146453C449149BCB61321E6D2ACFD0B"><enum>(3)</enum><header>Prioritization</header><text>In carrying out paragraph (2), the Director shall prioritize modernization projects that would benefit from commercially available privacy-preserving machine learning and artificial intelligence techniques, such as use of differential privacy, federated learning, and secure multiparty computing. </text></paragraph><paragraph id="id07AA4B6486B14A499677EB633098CAE3"><enum>(4)</enum><header>Use case modernization application areas</header><text>Use case modernization application areas described in paragraph (2) shall include not fewer than 1 from each of the following categories: </text><subparagraph id="idcdc3c5943f944f2abff21bdfb34da4dc"><enum>(A)</enum><text>Applied artificial intelligence to drive agency productivity efficiencies in predictive supply chain and logistics, such as—</text><clause id="id039d2e1084c445ec8dc307ace75757ff"><enum>(i)</enum><text>predictive food demand and optimized supply;</text></clause><clause id="id2867f3878c8a43e895ae3a435060796e"><enum>(ii)</enum><text>predictive medical supplies and equipment demand and optimized supply; or</text></clause><clause id="ida5ad12ae27364496afa4b8da99679fb0"><enum>(iii)</enum><text>predictive logistics to accelerate disaster recovery.</text></clause></subparagraph><subparagraph id="id823d402064fa4459a697ad9ee79a1e1d"><enum>(B)</enum><text>Applied artificial intelligence to accelerate agency investment return and address mission-oriented challenges, such as—</text><clause id="id0fbac5e8c4684d0eb55d792387b3ed57"><enum>(i)</enum><text>applied artificial intelligence portfolio management for agencies;</text></clause><clause id="ided2e53028e4845f5be91add4cd490339"><enum>(ii)</enum><text>workforce development and upskilling;</text></clause><clause id="id6553f664b13541d190f1f839330f77b2"><enum>(iii)</enum><text>redundant and laborious analyses;</text></clause><clause id="idad505c66e3fd43dfa3fe71a23d778d4c"><enum>(iv)</enum><text>determining compliance with Government requirements, such as with grants management; or</text></clause><clause id="idd1bcd2948d63451da83781138e9ec88d"><enum>(v)</enum><text>outcomes measurement to measure economic and social benefits.</text></clause></subparagraph></paragraph><paragraph id="idFA8791DC24B04DCE90388DE77A25764C"><enum>(5)</enum><header>Requirements</header><text>Not later than 3 years after the date of enactment of this Act, the Director, in coordination with the heads of relevant agencies and other officials as the Director determines to be appropriate, shall establish an artificial intelligence capability that—</text><subparagraph id="idf4ce602818b04e169bddfb8a484a2b55"><enum>(A)</enum><text>solves data access and usability issues with automated technology and eliminate or minimize the need for manual data cleansing and harmonization efforts;</text></subparagraph><subparagraph id="id20507d9a41d04f358fd3a57a059f5e37"><enum>(B)</enum><text>continuously and automatically ingests data and updates domain models in near real-time to help identify new patterns and predict trends to help agency personnel to make better decisions and take faster actions;</text></subparagraph><subparagraph id="id0959d7c057dc4b10be7d0d2eeaf12a77"><enum>(C)</enum><text>organizes data for meaningful data visualization and analysis so the Government has predictive transparency for situational awareness to improve use case outcomes;</text></subparagraph><subparagraph id="id2a2d68c6b81b4bd087655d83aeda5dc9"><enum>(D)</enum><text>is rapidly configurable to support multiple applications and automatically adapts to dynamic conditions and evolving use case requirements;</text></subparagraph><subparagraph id="id71808639a63d40a6a02103343448086a"><enum>(E)</enum><text>enables knowledge transfer and collaboration across agencies; and</text></subparagraph><subparagraph id="idd5a6d31ac4434f86878fd5026eb1a4bf"><enum>(F)</enum><text>preserves intellectual property rights to the data and output for benefit of the Federal Government and agencies.</text></subparagraph></paragraph><paragraph id="idb396665a6e3c417f89f3dee9b8b94d27"><enum>(6)</enum><header>Technology modernization fund</header><subparagraph id="id73F2ECA4D4484C22A4ED1DAE39331CBC"><enum>(A)</enum><header>In general</header><text>The activities required under this section shall be an allowable use under the Technology Modernization Fund established under section 1078 of the National Defense Authorization Act for Fiscal Year 2018 (<external-xref legal-doc="usc" parsable-cite="usc/40/11301">40 U.S.C. 11301</external-xref> note) (in this paragraph referred to as the <term>Fund</term>).</text></subparagraph><subparagraph id="id88FE678B96104956B8D024B778B31E81"><enum>(B)</enum><header>Prioritization</header><text>The Director may prioritize the activities in this section for implementation and funding by the Fund, in which case the Director is encouraged to take steps to ensure that agencies are able to rapidly and effectively implement the pilots under this subsection, including by removing reimbursement requirements for funding from the Fund. </text></subparagraph></paragraph></subsection><subsection id="id064fd300190048d39d8bb991d7b4fb7c"><enum>(c)</enum><header>Briefing</header><text>Not earlier than 270 days but not later than 1 year after the date of enactment of this Act, and annually thereafter for 3 years, the Director shall brief the appropriate congressional committees on the activities carried out under this section and results of those activities.</text></subsection></section><section id="id37AEB2B118544BA7A4E14118CB2E45CB" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><enum>7.</enum><header>Enabling entrepreneurs and values</header><subsection id="idBD4DC0ED8D804F6D8575159B3176E164"><enum>(a)</enum><header>Innovative commercial items</header><text>Section 880 of the National Defense Authorization Act for Fiscal Year 2017 (<external-xref legal-doc="usc" parsable-cite="usc/41/3301">41 U.S.C. 3301</external-xref> note) is amended—</text><paragraph id="id1ec762ed4f2848e9aa5bf14eb2ce1e00"><enum>(1)</enum><text>in subsection (c), by striking $10,000,000” and inserting <quote>$25,000,000</quote>; and</text></paragraph><paragraph id="id5082A0E295F54D638C2535A10F94DD70"><enum>(2)</enum><text>by amending subsection (f) to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id8278A2D2DABE415EA76EA20C36853EE9" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><subsection id="idD4E5837FB54643D8BBA50F67C07C5F70"><enum>(f)</enum><header>Definitions</header><text>In this section—</text><paragraph id="id68ED372393E549DEB4E15BE7F13BD8CA"><enum>(1)</enum><text>the term <term>commercial product</term> has the meaning given the term <term>commercial item</term> in section 2.101 of the Federal Acquisition Regulation; and</text></paragraph><paragraph id="idC165EF0ECB834006821DFAB2D0C6A6DA"><enum>(2)</enum><text>the term <term>innovative</term> means—</text><subparagraph id="id6a92ea3220a34d5cb74fa2d904f729e8"><enum>(A)</enum><text>any new technology, process, or method, including research and development; or</text></subparagraph><subparagraph id="id6a00473c31154463b7d431804f8defc7"><enum>(B)</enum><text>any new application of an existing technology, process, or method.</text></subparagraph></paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph><paragraph id="id77eec26f4b724491bb001c5bdc4078d8"><enum>(3)</enum><text>in subsection (g), by striking <quote>2022</quote> and insert <quote>2027</quote>.</text></paragraph></subsection><subsection id="idC720CF1E58994FAF97D6AFFC236C20A7" commented="no"><enum>(b)</enum><header>DHS other transaction authority</header><text>Section 831 of the Homeland Security Act of 2002 (<external-xref legal-doc="usc" parsable-cite="usc/6/391">6 U.S.C. 391</external-xref>) is amended—</text><paragraph id="id6a0397c26d674ab29247b3fa23c50367"><enum>(1)</enum><text>in subsection (a)—</text><subparagraph id="id04E2421DD89149E4964AD9BEAAC1471A"><enum>(A)</enum><text>in the matter preceding paragraph (1), by striking <quote>September 30, 2017</quote> and inserting <quote>September 30, 2024</quote>; and</text></subparagraph><subparagraph id="idFCE4E905283C46C08A3129E2C902865B"><enum>(B)</enum><text>by amending paragraph (2) to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id1CE99E5DBED748A1AC309CD08185C5C4" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><paragraph id="ida333bc25745047ccb707b11c418b7129"><enum>(2)</enum><header>Prototype projects</header><text>The Secretary—</text><subparagraph id="id89016AF18F954B74B63EAC5ACD7097E1"><enum>(A)</enum><text>may, under the authority of paragraph (1), carry out prototype projects under section 2371b of title 10, United States Code; and</text></subparagraph><subparagraph id="idB5BF9E415D124F259261DD3604225A54" commented="no" display-inline="no-display-inline"><enum>(B)</enum><text>in applying the authorities of such section 2371b, the Secretary shall perform the functions of the Secretary of Defense as prescribed in such section.</text></subparagraph></paragraph><after-quoted-block>; </after-quoted-block></quoted-block></subparagraph></paragraph><paragraph id="id3d601392722646b9bbbbd462a40abdf9"><enum>(2)</enum><text>in subsection (c)(1), by striking “September 30, 2017” and inserting <quote>September 30, 2024</quote>; and</text></paragraph><paragraph id="id29DA64ABB95941A594510EB26DF92B9D"><enum>(3)</enum><text>in subsection (d), by striking <quote>section 845(e)</quote> and all that follows and inserting <quote>section 2371b(e) of title 10, United States Code.</quote>.</text></paragraph></subsection></section><section id="id029108B8E5964A1AA8512CA72A25CAFD" changed="deleted" reported-display-style="strikethrough" committee-id="SSGA00"><enum>8.</enum><header>Authorization of appropriations</header><text display-inline="no-display-inline">There is authorized to be appropriated such sums as the necessary to carry out the requirements of this Act and the amendments made by this Act.</text></section></legis-body><legis-body display-enacting-clause="no-display-enacting-clause"><section id="id9cb2c7fd-92aa-47b3-a27b-fed6c071413a" section-type="section-one" changed="added" reported-display-style="italic" committee-id="SSGA00"><enum>1.</enum><header>Short title</header><text display-inline="no-display-inline">This Act may be cited as the <quote><short-title>Advancing American AI Act</short-title></quote>.</text></section><section id="id54057bd6-b2db-4c9c-a9f6-a804727a9041" changed="added" reported-display-style="italic" committee-id="SSGA00"><enum>2.</enum><header>Purpose</header><text display-inline="no-display-inline">The purposes of this Act are to—</text><paragraph id="idf8f9d0c0-123d-41c9-abde-d7ad239f859d"><enum>(1)</enum><text>encourage agency artificial intelligence-related programs and initiatives that enhance the competitiveness of the United States and foster an approach to artificial intelligence that builds on the strengths of the United States in innovation and entrepreneurialism;</text></paragraph><paragraph id="id1c7406a3-46eb-4576-b005-7459f5f6ad77"><enum>(2)</enum><text>enhance the ability of the Federal Government to translate research advances into artificial intelligence applications to modernize systems and assist agency leaders in fulfilling their missions;</text></paragraph><paragraph id="idf7d4d789-3798-4ef1-8026-95a0b787259f"><enum>(3)</enum><text>promote adoption of modernized business practices and advanced technologies across the Federal Government that align with the values of the United States, including the protection of privacy, civil rights, and civil liberties; and</text></paragraph><paragraph id="idf324758f-d734-4085-8b2b-93250e3692ed"><enum>(4)</enum><text>test and harness applied artificial intelligence to enhance mission effectiveness and business practice efficiency. </text></paragraph></section><section id="id1fb22143-e45d-4c91-8da5-db153ec13196" changed="added" reported-display-style="italic" committee-id="SSGA00"><enum>3.</enum><header>Definitions</header><text display-inline="no-display-inline">In this Act:</text><paragraph id="id1df87aa9-48e4-4f24-b28a-06fd4b94c8e8"><enum>(1)</enum><header>Agency</header><text>The term <term>agency</term> has the meaning given the term in section 3502 of title 44, United States Code. </text></paragraph><paragraph id="ida9da2d90-42cd-44f3-838b-2b814b0ec351"><enum>(2)</enum><header>Appropriate congressional committees</header><text>The term <term>appropriate congressional committees</term> means—</text><subparagraph id="id7a56be71-a194-48ba-a39c-e2135fb8d428"><enum>(A)</enum><text>the Committee on Homeland Security and Governmental Affairs of the Senate; and</text></subparagraph><subparagraph id="id867fa1cb-4849-49a8-b695-4fb70cab4603"><enum>(B)</enum><text>the Committee on Oversight and Reform of the House of Representatives. </text></subparagraph></paragraph><paragraph id="id2435fc66-501c-4186-a63a-4d073e159f10"><enum>(3)</enum><header>Artificial intelligence</header><text>The term <term>artificial intelligence</term> has the meaning given the term in section 238(g) of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (<external-xref legal-doc="usc" parsable-cite="usc/10/2358">10 U.S.C. 2358</external-xref> note).</text></paragraph><paragraph id="idA22AC79DCD684C5485C522A201B02F43"><enum>(4)</enum><header>Artificial intelligence system</header><text>The term <term>artificial intelligence system</term>—</text><subparagraph id="idAE47BF5AA4A748A88A001CCC65135111"><enum>(A)</enum><text>means any data system, software, application, tool, or utility that operates in whole or in part using dynamic or static machine learning algorithms or other forms of artificial intelligence, whether—</text><clause id="id026539C4F42547EA8AEFAF020E189630"><enum>(i)</enum><text>the data system, software, application, tool, or utility is established primarily for the purpose of researching, developing, or implementing artificial intelligence technology; or</text></clause><clause id="id1F07A462CD2A40CDAA4E64257756CBD4"><enum>(ii)</enum><text>artificial intelligence capability is integrated into another system or agency business process, operational activity, or technology system; and</text></clause></subparagraph><subparagraph id="id9313751EE2B9439C869C2F43519F4EBD"><enum>(B)</enum><text>does not include any common commercial product within which artificial intelligence is embedded, such as a word processor or map navigation system. </text></subparagraph></paragraph><paragraph id="ide4a3da45-0279-40e3-96e7-1ff4d2378494"><enum>(5)</enum><header>Department</header><text>The term <term>Department</term> means the Department of Homeland Security.</text></paragraph><paragraph id="id9C96189B95764E6DB9A97ED2CF9F4125"><enum>(6)</enum><header>Director</header><text>The term <term>Director</term> means the Director of the Office of Management and Budget.</text></paragraph></section><section id="idee77c8ea-31a6-443f-b3b9-d5239b5b8514" changed="added" reported-display-style="italic" committee-id="SSGA00"><enum>4.</enum><header>Principles and policies for use of artificial intelligence in Government</header><subsection id="idac889708-4528-4e03-a580-9df020717550"><enum>(a)</enum><header>Guidance</header><text>The Director shall, when developing the guidance required under section 104(a) of the AI in Government Act of 2020 (title I of division U of <external-xref legal-doc="public-law" parsable-cite="pl/116/260">Public Law 116–260</external-xref>), consider—</text><paragraph id="id68E975138CC843C6B1715730EDED3599"><enum>(1)</enum><text>the considerations and recommended practices identified by the National Security Commission on Artificial Intelligence in the report entitled <quote>Key Considerations for the Responsible Development and Fielding of AI</quote>, as updated in April 2021; </text></paragraph><paragraph id="idBB84152C03FA427CAC830D28CA3E3401"><enum>(2)</enum><text>the principles articulated in Executive Order 13960 (85 Fed. Reg. 78939; relating to promoting the use of trustworthy artificial intelligence in Government); and</text></paragraph><paragraph id="id8648478489964F78B0BD0F243F6E5E46"><enum>(3)</enum><text>the input of—</text><subparagraph id="idf1942d7e-90f1-4892-b949-513a075b4174"><enum>(A)</enum><text>the Privacy and Civil Liberties Oversight Board;</text></subparagraph><subparagraph id="id7256ea34e8ff4747baeceadb37028aa3"><enum>(B)</enum><text>relevant interagency councils, such as the Federal Privacy Council, the Chief Information Officers Council, and the Chief Data Officers Council; </text></subparagraph><subparagraph id="idd6a748ba-e9d5-47a1-860e-9ab3ab573d0b"><enum>(C)</enum><text>other governmental and nongovernmental privacy, civil rights, and civil liberties experts; and</text></subparagraph><subparagraph id="id9c158a12-a75b-43ec-b8b4-c5fb6de09a40"><enum>(D)</enum><text>any other individual or entity the Director determines to be appropriate.</text></subparagraph></paragraph></subsection><subsection id="id75bf7932-b3bf-425e-8473-a28134784058"><enum>(b)</enum><header>Department policies and processes for procurement and use of artificial intelligence-enabled systems</header><text>Not later than 180 days after the date of enactment of this Act—</text><paragraph id="idb4d3501d-2757-4f78-99fc-e818f7b14463"><enum>(1)</enum><text>the Secretary of Homeland Security, with the participation of the Chief Procurement Officer, the Chief Information Officer, the Chief Privacy Officer, and the Officer for Civil Rights and Civil Liberties of the Department and any other person determined to be relevant by the Secretary of Homeland Security, shall issue policies and procedures for the Department related to—</text><subparagraph id="id68BB9C9803BF4A18A23945A3348E1018"><enum>(A)</enum><text>the acquisition and use of artificial intelligence; and</text></subparagraph><subparagraph id="idF061CBFFC1274985B8BE004A0A990801"><enum>(B)</enum><text>considerations for the risks and impacts related to artificial intelligence-enabled systems, including associated data of machine learning systems, to ensure that full consideration is given to—</text><clause id="id02287F0BE71E4664A556D37A12160975"><enum>(i)</enum><text>the privacy, civil rights, and civil liberties impacts of artificial intelligence-enabled systems; and</text></clause><clause id="id9216233D30CD4DBC90184419E7BB167A"><enum>(ii)</enum><text>security against misuse, degradation, or rending inoperable of artificial intelligence-enabled systems; and</text></clause></subparagraph></paragraph><paragraph id="id570d1a4a-6063-4476-8896-d6c36a06df99"><enum>(2)</enum><text>the Chief Privacy Officer and the Officer for Civil Rights and Civil Liberties of the Department shall report to Congress on any additional staffing or funding resources that may be required to carry out the requirements of this subsection.</text></paragraph></subsection><subsection id="id33d7b20a-53f2-4b48-a8f5-fb1cf4fac491"><enum>(c)</enum><header>Inspector General</header><text>Not later than 180 days after the date of enactment of this Act, the Inspector General of the Department shall identify any training and investments needed to enable employees of the Office of the Inspector General to continually advance their understanding of—</text><paragraph id="id2f34bc4f-fc7a-4287-b89e-5c17482ef424"><enum>(1)</enum><text>artificial intelligence systems; </text></paragraph><paragraph id="id1955d1d4-69c3-4c6c-9913-54be260a9f93"><enum>(2)</enum><text>best practices for governance, oversight, and audits of the use of artificial intelligence systems; and</text></paragraph><paragraph id="id97d118bc-7818-440a-8bb7-e61e019e91e1"><enum>(3)</enum><text>how the Office of the Inspector General is using artificial intelligence to enhance audit and investigative capabilities, including actions to—</text><subparagraph id="id77dd00ec-8330-437b-a8a5-e4638e1cf3ca"><enum>(A)</enum><text>ensure the integrity of audit and investigative results; and</text></subparagraph><subparagraph id="id32c98202-4a00-4bac-86cd-8ac3c4fbc949"><enum>(B)</enum><text>guard against bias in the selection and conduct of audits and investigations.</text></subparagraph></paragraph></subsection><subsection id="idc0fe00a8-09a4-4bb5-b47c-1d4d581085e0"><enum>(d)</enum><header>Artificial intelligence hygiene and protection of government information, privacy, civil rights, and civil liberties</header><paragraph id="idc1f55853-05b4-481f-b0fe-44ad13b6abdd"><enum>(1)</enum><header>Establishment</header><text>Not later than 1 year after the date of enactment of this Act, the Director, in consultation with a working group consisting of members selected by the Director from appropriate interagency councils, shall develop an initial means by which to—</text><subparagraph id="id36379b2d-ddd9-4ce9-ac4a-d26cd5b31bed"><enum>(A)</enum><text>ensure that contracts for the acquisition of an artificial intelligence system or service—</text><clause id="id44d44c6f-5d17-4eb0-b1f0-c66ce3f65dcb"><enum>(i)</enum><text>align with the guidance issued to the head of each agency under section 104(a) of the AI in Government Act of 2020 (title I of division U of <external-xref legal-doc="public-law" parsable-cite="pl/116/260">Public Law 116–260</external-xref>); </text></clause><clause id="idd37e3168-7957-48ac-988f-1574b2cf62a2"><enum>(ii)</enum><text>address protection of privacy, civil rights, and civil liberties; </text></clause><clause id="id00c15487-ae48-48ff-8cd5-cb6667003d97"><enum>(iii)</enum><text>address the ownership and security of data and other information created, used, processed, stored, maintained, disseminated, disclosed, or disposed of by a contractor or subcontractor on behalf of the Federal Government; and</text></clause><clause id="id3A23629DADAF4658830E401F6C3FE621"><enum>(iv)</enum><text>include considerations for securing the training data, algorithms, and other components of any artificial intelligence system against misuse, unauthorized alteration, degradation, or rendering inoperable; and</text></clause></subparagraph><subparagraph id="idb1b303dd-a94c-4682-8377-27a87a12a2bc"><enum>(B)</enum><text>address any other issue or concern determined to be relevant by the Director to ensure appropriate use and protection of privacy and Government data and other information.</text></subparagraph></paragraph><paragraph id="id750B302EC7674C84B998EDD34316C3D8"><enum>(2)</enum><header>Consultation</header><text>In developing the considerations under paragraph (1)(A)(iv), the Director shall consult with the Secretary of Homeland Security, the Director of the National Institute of Standards and Technology, and the Director of National Intelligence.</text></paragraph><paragraph id="idfbad374b-119e-493d-b1ae-aabc1c27f7cc"><enum>(3)</enum><header>Review</header><text>The Director—</text><subparagraph id="id241C755CB4394C1EB74C4BE59C982525"><enum>(A)</enum><text>should continuously update the means developed under paragraph (1); and</text></subparagraph><subparagraph id="id773FC8D855F64CD98794EE0568EB9CD3"><enum>(B)</enum><text>not later than 2 years after the date of enactment of this Act and not less frequently than every 2 years thereafter, shall update the means developed under paragraph (1).</text></subparagraph></paragraph><paragraph id="idafdd146c-f8bf-42b7-ad67-535471451c6f"><enum>(4)</enum><header>Briefing</header><text>The Director shall brief the appropriate congressional committees—</text><subparagraph id="id22b23d5d-50bf-4fda-b4bc-316b32f67254"><enum>(A)</enum><text>not later than 90 days after the date of enactment of this Act and thereafter on a quarterly basis until the Director first implements the means developed under paragraph (1); and</text></subparagraph><subparagraph id="idad9c4235-2c84-4540-824d-9442a74e5b84"><enum>(B)</enum><text>annually thereafter on the implementation of this subsection.</text></subparagraph></paragraph><paragraph id="id4162fbd9-09d8-4a81-97d7-f35d6c380277" commented="no" display-inline="no-display-inline"><enum>(5)</enum><header>Sunset</header><text>This subsection shall cease to be effective on the date that is 5 years after the date of enactment of this Act. </text></paragraph></subsection></section><section id="id3467e2f8-3924-475d-a269-dd029667bd99" changed="added" reported-display-style="italic" committee-id="SSGA00"><enum>5.</enum><header>Agency inventories and artificial intelligence use cases</header><subsection id="idcd32346c-4216-4c6b-8335-5cf5be6eb8f1"><enum>(a)</enum><header>Inventory</header><text>Not later than 60 days after the date of enactment of this Act, and continuously thereafter for a period of 5 years, the Director, in consultation with the Chief Information Officers Council, the Chief Data Officers Council, and other interagency bodies as determined to be appropriate by the Director, shall require the head of each agency to—</text><paragraph id="id84729fc1-dc3a-4242-95f3-9c83b04554b6"><enum>(1)</enum><text>prepare and maintain an inventory of the artificial intelligence use cases of the agency, including current and planned uses;</text></paragraph><paragraph id="id846db7e2-791d-4330-aaab-825b40c1e931"><enum>(2)</enum><text>share agency inventories with other agencies, to the extent practicable and consistent with applicable law and policy, including those concerning protection of privacy and of sensitive law enforcement, national security, and other protected information; and</text></paragraph><paragraph id="id6158c81b-5c14-492d-8acb-0839018e32ec"><enum>(3)</enum><text>make agency inventories available to the public, in a manner determined by the Director, and to the extent practicable and in accordance with applicable law and policy, including those concerning the protection of privacy and of sensitive law enforcement, national security, and other protected information.</text></paragraph></subsection><subsection id="idECB17C59E07D4DB88152DA2FFEBD12A7"><enum>(b)</enum><header>Central inventory</header><text>The Director is encouraged to designate a host entity and ensure the creation and maintenance of an online public directory to—</text><paragraph id="iddc600c45b3f541059a776026c45505c7"><enum>(1)</enum><text>make agency artificial intelligence use case information available to the public and those wishing to do business with the Federal Government; and</text></paragraph><paragraph id="id2e2afe6e42874b2a80587afe92c711bd"><enum>(2)</enum><text>identify common use cases across agencies.</text></paragraph></subsection><subsection id="idc04706b9-7df3-4669-8dfb-91ffb61bb2dd"><enum>(c)</enum><header>Sharing</header><text>The sharing of agency inventories described in subsection (a)(2) may be coordinated through the Chief Information Officers Council, the Chief Data Officers Council, the Chief Financial Officers Council, the Chief Acquisition Officers Council, or other interagency bodies to improve interagency coordination and information sharing for common use cases. </text></subsection></section><section id="id4f8a7551-e395-4b04-8a09-a5c19a94e361" changed="added" reported-display-style="italic" committee-id="SSGA00"><enum>6.</enum><header>Rapid pilot, deployment and scale of applied artificial intelligence capabilities to demonstrate modernization activities related to use cases</header><subsection id="idff823a54-3852-404f-a905-ac68c2273368"><enum>(a)</enum><header>Identification of use cases</header><text display-inline="yes-display-inline">Not later than 270 days after the date of enactment of this Act, the Director, in consultation with the Chief Information Officers Council, the Chief Data Officers Council, and other interagency bodies as determined to be appropriate by the Director, shall identify 4 new use cases for the application of artificial intelligence-enabled systems to support interagency or intra-agency modernization initiatives that require linking multiple siloed internal and external data sources, consistent with applicable laws and policies, including those relating to the protection of privacy and of sensitive law enforcement, national security, and other protected information.</text></subsection><subsection id="id57d6b3de-a9bc-479b-9a69-d092d7bbb812"><enum>(b)</enum><header>Pilot program</header><paragraph id="id18690d80-3c96-498a-9b84-e1c86fe876fe"><enum>(1)</enum><header>Purposes</header><text>The purposes of the pilot program under this subsection include—</text><subparagraph id="id0b6acb57-30c9-45ec-afd3-26b19aa575fc" commented="no" display-inline="no-display-inline"><enum>(A)</enum><text>to enable agencies to operate across organizational boundaries, coordinating between existing established programs and silos to improve delivery of the agency mission; and</text></subparagraph><subparagraph display-inline="no-display-inline" commented="no" id="id031b7d84-8adb-4f34-9943-e65540f42c36"><enum>(B)</enum><text>to demonstrate the circumstances under which artificial intelligence can be used to modernize or assist in modernizing legacy agency systems.</text></subparagraph></paragraph><paragraph id="ida6261e4c-8b62-4730-ba79-1648417a0c46"><enum>(2)</enum><header>Deployment and pilot</header><text>Not later than 1 year after the date of enactment of this Act, the Director, in coordination with the heads of relevant agencies and other officials as the Director determines to be appropriate, shall ensure the initiation of the piloting of the 4 new artificial intelligence use case applications identified under subsection (a), leveraging commercially available technologies and systems to demonstrate scalable artificial intelligence-enabled capabilities to support the use cases identified under subsection (a). </text></paragraph><paragraph id="idCB922B8624894AF6809EFB731293329D"><enum>(3)</enum><header>Risk evaluation and mitigation plan</header><text>In carrying out paragraph (2), the Director shall require the heads of agencies to—</text><subparagraph id="id575DF36CF5BD45468CDE839B176D1A12"><enum>(A)</enum><text>evaluate risks in utilizing artificial intelligence systems; and</text></subparagraph><subparagraph id="id39F24C60028A41559C4BBB1B94C7E1CC"><enum>(B)</enum><text>develop a risk mitigation plan to address those risks, including consideration of—</text><clause id="idb6eae07fa3554198b0689a2bf9b82aba"><enum>(i)</enum><text>the artificial intelligence system not performing as expected;</text></clause><clause id="id5c9939ab73084f53ba3b631dbe2fdf5a"><enum>(ii)</enum><text>the lack of sufficient or quality training data; and</text></clause><clause id="id4dbe6cd9b9684fdab35636e13c89a386"><enum>(iii)</enum><text>the vulnerability of a utilized artificial intelligence system to unauthorized manipulation or misuse. </text></clause></subparagraph></paragraph><paragraph id="id874fe1b7-3171-4e62-a4f2-a74bd15c8ac2"><enum>(4)</enum><header>Prioritization</header><text>In carrying out paragraph (2), the Director shall prioritize modernization projects that—</text><subparagraph id="idFDF20E6042274B3AA6534EA72754451D"><enum>(A)</enum><text>would benefit from commercially available privacy-preserving techniques, such as use of differential privacy, federated learning, and secure multiparty computing; and</text></subparagraph><subparagraph id="id7FAC61CA3C0F4C20AD96185869232DB1"><enum>(B)</enum><text>otherwise take into account considerations of civil rights and civil liberties.</text></subparagraph></paragraph><paragraph id="id828f0ec7-ce67-4b1b-8ed9-15c0fb1ddf8c"><enum>(5)</enum><header>Use case modernization application areas</header><text>Use case modernization application areas described in paragraph (2) shall include not less than 1 from each of the following categories: </text><subparagraph id="id9d5484fe-ed2a-49a4-a3ce-6f1d55b5b93d"><enum>(A)</enum><text>Applied artificial intelligence to drive agency productivity efficiencies in predictive supply chain and logistics, such as—</text><clause id="id4062c98c-12cb-4ac1-81ac-a9993d5d90dd"><enum>(i)</enum><text>predictive food demand and optimized supply;</text></clause><clause id="idc45a8bc5-1b67-47b1-a71e-a282e330ab82"><enum>(ii)</enum><text>predictive medical supplies and equipment demand and optimized supply; or</text></clause><clause id="id4cd08406-f562-4e1c-b59a-137a9aacd139"><enum>(iii)</enum><text>predictive logistics to accelerate disaster preparedness, response, and recovery.</text></clause></subparagraph><subparagraph id="idf25ac04f-a2f0-45d4-9a27-6bdf7d3a6cc2"><enum>(B)</enum><text>Applied artificial intelligence to accelerate agency investment return and address mission-oriented challenges, such as—</text><clause id="id9a87a4fb-f0e2-4022-808f-497d9ec0f098"><enum>(i)</enum><text>applied artificial intelligence portfolio management for agencies;</text></clause><clause id="ida93b43fc-756a-4d62-a55d-625bb681abbe"><enum>(ii)</enum><text>workforce development and upskilling;</text></clause><clause id="id51faef50-f383-427c-a3f4-62b7ea22bdec"><enum>(iii)</enum><text>redundant and laborious analyses;</text></clause><clause id="idad7689c1-d9f9-4162-8a22-9b1256ab6e8c"><enum>(iv)</enum><text>determining compliance with Government requirements, such as with grants management; or</text></clause><clause id="ida66aafbd-18a0-4e96-9a54-22eff5b6d4d1"><enum>(v)</enum><text>outcomes measurement to measure economic and social benefits.</text></clause></subparagraph></paragraph><paragraph id="id6d4cc5b1-a0eb-4c54-959c-56a39de1412e"><enum>(6)</enum><header>Requirements</header><text>Not later than 3 years after the date of enactment of this Act, the Director, in coordination with the heads of relevant agencies and other officials as the Director determines to be appropriate, shall establish an artificial intelligence capability within each of the 4 use case pilots under this subsection that—</text><subparagraph id="id0d58c626-dad7-4019-a6e7-36d15b10a7ce"><enum>(A)</enum><text>solves data access and usability issues with automated technology and eliminates or minimizes the need for manual data cleansing and harmonization efforts;</text></subparagraph><subparagraph id="id2112fb6f-04ed-4458-8194-c30f2cf42b39"><enum>(B)</enum><text>continuously and automatically ingests data and updates domain models in near real-time to help identify new patterns and predict trends, to the extent possible, to help agency personnel to make better decisions and take faster actions;</text></subparagraph><subparagraph id="id89b3a5a5-8423-4ce3-a84b-1fce6c6777a3"><enum>(C)</enum><text>organizes data for meaningful data visualization and analysis so the Government has predictive transparency for situational awareness to improve use case outcomes;</text></subparagraph><subparagraph id="id2c23d1a2-464e-4e5f-9cd3-b0cb92b67cf0"><enum>(D)</enum><text>is rapidly configurable to support multiple applications and automatically adapts to dynamic conditions and evolving use case requirements, to the extent possible; </text></subparagraph><subparagraph id="id9621bf47-0e36-4bf1-847d-754a79ea4c89"><enum>(E)</enum><text>enables knowledge transfer and collaboration across agencies; and</text></subparagraph><subparagraph id="id10ff81f9-0912-41ab-a4cd-f800d186ccfe"><enum>(F)</enum><text>preserves intellectual property rights to the data and output for benefit of the Federal Government and agencies.</text></subparagraph></paragraph></subsection><subsection id="id3a481ce6-0a53-48ee-831a-0d922417aaf9"><enum>(c)</enum><header>Briefing</header><text>Not earlier than 270 days but not later than 1 year after the date of enactment of this Act, and annually thereafter for 4 years, the Director shall brief the appropriate congressional committees on the activities carried out under this section and results of those activities.</text></subsection><subsection id="id78BC8B7FBC5B4E239951812A2A27E2C0"><enum>(d)</enum><header>Sunset</header><text>The section shall cease to be effective on the date that is 5 years after the date of enactment of this Act.</text></subsection></section><section id="idc4a599db-7e53-45d1-94e7-0f4b8621ed8d" changed="added" reported-display-style="italic" committee-id="SSGA00"><enum>7.</enum><header>Enabling entrepreneurs and agency missions</header><subsection id="id91b021bf-c233-49b4-a80a-ce78fd52c4f1"><enum>(a)</enum><header>Innovative commercial items</header><text>Section 880 of the National Defense Authorization Act for Fiscal Year 2017 (<external-xref legal-doc="usc" parsable-cite="usc/41/3301">41 U.S.C. 3301</external-xref> note) is amended—</text><paragraph id="id5a508ef8-89de-47f5-94ad-2cc9e9bcc1e2"><enum>(1)</enum><text>in subsection (c), by striking $10,000,000” and inserting <quote>$25,000,000</quote>; </text></paragraph><paragraph id="id8a7de04e-5199-4ea4-8039-9eb70ccd8d50"><enum>(2)</enum><text>by amending subsection (f) to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idca4589be-be49-4b7e-9bcc-a62d86b7de47" changed="added" reported-display-style="italic" committee-id="SSGA00"><subsection id="id99f9be90-d720-4909-bc87-0513533f24b1"><enum>(f)</enum><header>Definitions</header><text>In this section—</text><paragraph id="idfd44a3bc-5698-4da5-b721-547c0a07b7d8"><enum>(1)</enum><text>the term <term>commercial product</term>—</text><subparagraph id="idD66D2C36143744B8A58821D376F88EC9"><enum>(A)</enum><text>has the meaning given the term <term>commercial item</term> in section 2.101 of the Federal Acquisition Regulation; and</text></subparagraph><subparagraph id="idCD19D93E3FF54A7EB99870AF0EAA43BC"><enum>(B)</enum><text>includes a commercial product or a commercial service, as defined in sections 103 and 103a, respectively, of title 41, United States Code; and</text></subparagraph></paragraph><paragraph id="id3d307aae-6fac-44b0-b72d-2ddb0cd4db45"><enum>(2)</enum><text>the term <term>innovative</term> means—</text><subparagraph id="id64315bc1-447a-4caf-af23-4d3dc6efb4dc"><enum>(A)</enum><text>any new technology, process, or method, including research and development; or</text></subparagraph><subparagraph id="id465197b1-0d39-4e2f-bde0-e0524e3516c3"><enum>(B)</enum><text>any new application of an existing technology, process, or method.</text></subparagraph></paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph><paragraph id="id0631cddc-6a29-48f4-9665-2f7e4df59884"><enum>(3)</enum><text>in subsection (g), by striking <quote>2022</quote> and insert <quote>2027</quote>.</text></paragraph></subsection><subsection id="id94dd4e50-739e-40d6-a74a-0004f200b268" commented="no"><enum>(b)</enum><header>DHS other transaction authority</header><text>Section 831 of the Homeland Security Act of 2002 (<external-xref legal-doc="usc" parsable-cite="usc/6/391">6 U.S.C. 391</external-xref>) is amended—</text><paragraph id="id5a6284e6-224a-45bf-8a4f-0686840fcabe"><enum>(1)</enum><text>in subsection (a)—</text><subparagraph id="id9b5348a9-c942-4e34-9786-9a88dc3a27a1"><enum>(A)</enum><text>in the matter preceding paragraph (1), by striking <quote>September 30, 2017</quote> and inserting <quote>September 30, 2024</quote>; and</text></subparagraph><subparagraph id="id65fd64e4-7359-4747-ba53-5b4f4d5a2b25"><enum>(B)</enum><text>by amending paragraph (2) to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idfefc4636-dc25-4a01-a933-0038f3b6df5d" changed="added" reported-display-style="italic" committee-id="SSGA00"><paragraph id="idea69cc82-5ef6-4807-9d26-499f4d62f8d4"><enum>(2)</enum><header>Prototype projects</header><text>The Secretary—</text><subparagraph id="id58a66fe7-dd4b-44fa-8dfa-00422fe5b0d4"><enum>(A)</enum><text>may, under the authority of paragraph (1), carry out prototype projects under section 2371b of title 10, United States Code; and</text></subparagraph><subparagraph id="id13a8ec3c-5cfd-4cd8-8dd7-a9ef6e980e4c" commented="no" display-inline="no-display-inline"><enum>(B)</enum><text>in applying the authorities of such section 2371b, the Secretary shall perform the functions of the Secretary of Defense as prescribed in such section.</text></subparagraph></paragraph><after-quoted-block>; </after-quoted-block></quoted-block></subparagraph></paragraph><paragraph id="id2e21f937-56c0-49f4-8ef0-18930e5578a3"><enum>(2)</enum><text>in subsection (c)(1), by striking “September 30, 2017” and inserting <quote>September 30, 2024</quote>; and</text></paragraph><paragraph id="iddd00f60f-df3c-40a0-8082-542f0451f522"><enum>(3)</enum><text>in subsection (d), by striking <quote>section 845(e)</quote> and all that follows and inserting <quote>section 2371b(e) of title 10, United States Code.</quote>.</text></paragraph></subsection><subsection id="id6a3a8f220fa14acfa3a2b24a068bca7a"><enum>(c)</enum><header>Commercial off the shelf supply chain risk management tools</header><text>The General Services Administration is encouraged to pilot commercial off the shelf supply chain risk management tools to improve the ability of the Federal Government to characterize, monitor, predict, and respond to specific supply chain threats and vulnerabilities that could inhibit future Federal acquisition operations. </text></subsection></section></legis-body><endorsement><action-date date="20221219">December 19, 2022</action-date><action-desc>Reported with an amendment</action-desc></endorsement></bill> 

