[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 4930 Introduced in Senate (IS)]
<DOC>
117th CONGRESS
2d Session
S. 4930
To prohibit Federal procurement from companies operating in the Russian
Federation, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
September 22, 2022
Mr. Peters introduced the following bill; which was read twice and
referred to the Committee on Homeland Security and Governmental Affairs
_______________________________________________________________________
A BILL
To prohibit Federal procurement from companies operating in the Russian
Federation, 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 ``Federal Contracting for Peace and
Security Act''.
SEC. 2. FEDERAL CONTRACTING FOR PEACE AND SECURITY.
(a) Purpose.--It is the policy of the Federal Government not to
conduct business with companies that undermine United States national
security interests by continuing to operate in the Russian Federation
during its ongoing war of aggression against Ukraine.
(b) Contracting Prohibition.--
(1) Prohibition.--The head of an executive agency may not
enter into, extend, or renew a covered contract with a company
that continues to conduct business operations in territory
internationally recognized as the Russian Federation during the
covered period.
(2) Exceptions.--
(A) Good faith exemption.--The Office of Management
and Budget, in consultation with the General Services
Administration, may exempt a contractor from the
prohibition in paragraph (1) if the contractor has--
(i) pursued and continues to pursue all
reasonable steps in demonstrating a good faith
effort to comply with the requirements of this
Act; and
(ii) provided to the executive agency a
reasonable, written plan to achieve compliance
with such requirements.
(B) Permissible operations.--The prohibition in
paragraph (1) shall not apply to business operations in
Russia authorized by a license issued by the Office of
Foreign Assets Control or the Bureau of Industry and
Security or is otherwise allowed to operate
notwithstanding the imposition of sanctions or export
controls.
(C) American diplomatic mission in russia.--The
prohibition in paragraph (1) shall not apply to
contracts related to the operation and maintenance of
the United States Government's consular offices and
diplomatic posts in Russia.
(D) Individual contracts.--The prohibition under
paragraph (1) shall not apply to any contract that is
any of the following:
(i) For the benefit, either directly or
through the efforts of regional allies, of the
country of Ukraine.
(ii) For humanitarian purposes to meet
basic human needs.
(3) National security and public interest waivers.--
(A) In general.--The head of an executive agency is
authorized to waive the prohibition under paragraph (1)
with respect to a covered contract if the head of the
agency certifies in writing to the President that such
waiver is for the national security of the United
States or in the public interest of the United States,
and includes in such certification a justification for
the waiver and description of the contract to which the
waiver applies. The authority in this subparagraph may
not be delegated below the level of the senior
procurement executive of the agency.
(B) Congressional notification.--The head of an
executive agency shall, not later than 7 days before
issuing a waiver described in subparagraph (A), submit
to the appropriate congressional committees the
certification described in such subparagraph.
(4) Emergency rulemaking authority.--Not later than 60 days
after the date of the enactment of this Act, the Director of
the Office of Management and Budget, in consultation with the
Administrator of General Services and the Secretary of Defense,
shall promulgate regulations for agency implementation of this
Act using emergency rulemaking procedures while considering
public comment to the greatest extent practicable, that
includes the following:
(A) A list of equipment, facilities, personnel,
products, services, or other items or activities, the
engagement with which would be considered business
operations, subject to the prohibition under paragraph
(1).
(B) A requirement for a contractor or offeror to
represent whether such contractor or offeror uses any
of the items on the list described in subparagraph (A).
(C) A description of the process for determining a
good faith exemption described under paragraph (2).
(5) Definitions.--In this section:
(A) Appropriate congressional committees.--The term
``appropriate congressional committees'' means the
Committee on Homeland Security and Governmental Affairs
of the Senate and the Committee on Oversight and Reform
of the House of Representatives.
(B) Business operations.--
(i) In general.--Except as provided in
clauses (ii) and (iii), the term ``business
operations'' means engaging in commerce in any
form, including acquiring, developing, selling,
leasing, or operating equipment, facilities,
personnel, products, services, personal
property, real property, or any other apparatus
of business or commerce.
(ii) Exceptions.--The term ``business
operations'' does not include any of the
following:
(I) Action taken for the benefit of
the country of Ukraine.
(II) Action serving humanitarian
purposes to meet basic human needs,
including through a hospital, school,
or non-profit organization.
(III) The provision of products or
services for compliance with legal,
reporting, or other requirements of the
laws or standards of countries other
than the Russian Federation.
(IV) Journalistic and publishing
activities, news reporting, or the
gathering and dissemination of
information, informational materials,
related services, or transactions
ordinarily incident to journalistic and
publishing activities.
(iii) Exception for suspension or
termination actions.--The term ``business
operations'' does not include action taken to
support the suspension or termination of
business operations (as described in clause
(i)) for the duration of the covered period,
including--
(I) an action to secure or divest
from facilities, property, or
equipment;
(II) the provision of products or
services provided to reduce or
eliminate operations in territory
internationally recognized as the
Russian Federation or to comply with
sanctions relating to the Russian
Federation; and
(III) activities that are incident
to liquidating, dissolving, or winding
down a subsidiary or legal entity in
Russia through which operations had
been conducted.
(C) Covered contract.--The term ``covered
contract'' means a prime contract entered into by an
executive agency with a company conducting business
operations in territory internationally recognized as
the Russian Federation during the covered period.
(D) Covered period.--The term ``covered period''
means the period of time beginning 90 days after the
date of the enactment of this Act and ending on a date
that is determined by the Secretary of State based on
steps taken by the Russian Federation to restore the
safety, sovereignty, and condition of the country of
Ukraine, or 10 years after the date of the enactment of
this Act, whichever is sooner.
(E) Executive agency.--The term ``executive
agency'' has the meaning given the term in section 133
of title 41, United States Code.
<all>