[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 1868 Reported in Senate (RS)]

<DOC>





                                                       Calendar No. 185
118th CONGRESS
  1st Session
                                S. 1868

                          [Report No. 118-82]

   To require an interagency study to produce a security assessment 
process on adjacent space to high-security leased space to accommodate 
               a Federal agency, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              June 7, 2023

   Mr. Peters (for himself and Mr. Scott of Florida) introduced the 
 following bill; which was read twice and referred to the Committee on 
               Homeland Security and Governmental Affairs

                             July 27, 2023

               Reported by Mr. Peters, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
   To require an interagency study to produce a security assessment 
process on adjacent space to high-security leased space to accommodate 
               a Federal agency, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Secure Adjacent Federal 
Property Act of 2023''.</DELETED>

<DELETED>SEC. 2. DEFINITIONS.</DELETED>

<DELETED>    In this Act:</DELETED>
        <DELETED>    (1) Administrator.--The term ``Administrator'' 
        means the Administrator of General Services.</DELETED>
        <DELETED>    (2) Beneficial owner.--</DELETED>
                <DELETED>    (A) In general.--The term ``beneficial 
                owner'', with respect to a covered entity, means each 
                natural person who, directly or indirectly, through any 
                contract, arrangement, understanding, relationship, or 
                otherwise--</DELETED>
                        <DELETED>    (i) exercises control over the 
                        covered entity; or</DELETED>
                        <DELETED>    (ii) has a substantial interest in 
                        or receives substantial economic benefits from 
                        the assets of the covered entity.</DELETED>
                <DELETED>    (B) Exclusions.--The term ``beneficial 
                owner'', with respect to a covered entity, does not 
                include--</DELETED>
                        <DELETED>    (i) a minor;</DELETED>
                        <DELETED>    (ii) a person acting as a nominee, 
                        intermediary, custodian, or agent on behalf of 
                        another person;</DELETED>
                        <DELETED>    (iii) a person acting solely as an 
                        employee of the covered entity and whose 
                        control over or economic benefits from the 
                        covered entity derives solely from the 
                        employment status of the person;</DELETED>
                        <DELETED>    (iv) a person whose only interest 
                        in the covered entity is through a right of 
                        inheritance, unless the person also meets the 
                        requirements of subparagraph (A); or</DELETED>
                        <DELETED>    (v) a creditor of the covered 
                        entity, unless the creditor also meets the 
                        requirements of subparagraph (A).</DELETED>
                <DELETED>    (C) Anti-abuse rule.--The exclusions under 
                subparagraph (B) shall not apply if, in the 
                determination of the Administrator, an exclusion is 
                used for the purpose of evading, circumventing, or 
                abusing the requirements of this Act.</DELETED>
        <DELETED>    (3) Control.--The term ``control'', with respect 
        to a covered entity, means--</DELETED>
                <DELETED>    (A) having the authority or ability to 
                determine how the covered entity is used; or</DELETED>
                <DELETED>    (B) having some decision-making power for 
                the use of the covered entity.</DELETED>
        <DELETED>    (4) Covered entity.--The term ``covered entity'' 
        means--</DELETED>
                <DELETED>    (A) a person, corporation, company, 
                business association, partnership, society, trust, or 
                any other nongovernmental entity, organization, or 
                group; and</DELETED>
                <DELETED>    (B) any governmental entity or 
                instrumentality of a government.</DELETED>
        <DELETED>    (5) Executive agency.--The term ``Executive 
        agency'' has the meaning given the term in section 105 of title 
        5, United States Code.</DELETED>
        <DELETED>    (6) Federal agency.--The term ``Federal agency'' 
        means--</DELETED>
                <DELETED>    (A) an Executive agency; and</DELETED>
                <DELETED>    (B) any establishment in the legislative 
                or judicial branch of the Federal Government.</DELETED>
        <DELETED>    (7) Federal lessee.--</DELETED>
                <DELETED>    (A) In general.--The term ``Federal 
                lessee'' means--</DELETED>
                        <DELETED>    (i) the Administrator;</DELETED>
                        <DELETED>    (ii) the Architect of the Capitol; 
                        and</DELETED>
                        <DELETED>    (iii) the head of any other 
                        Federal agency that has independent statutory 
                        leasing authority.</DELETED>
                <DELETED>    (B) Exclusions.--The term ``Federal 
                lessee'' does not include--</DELETED>
                        <DELETED>    (i) the head of an element of the 
                        intelligence community; or</DELETED>
                        <DELETED>    (ii) the Secretary of 
                        Defense.</DELETED>
        <DELETED>    (8) Federal tenant.--</DELETED>
                <DELETED>    (A) In general.--The term ``Federal 
                tenant'' means a Federal agency that is occupying or 
                will occupy a high-security leased space for which a 
                lease agreement has been secured on behalf of the 
                Federal agency.</DELETED>
                <DELETED>    (B) Exclusion.--The term ``Federal 
                tenant'' does not include an element of the 
                intelligence community.</DELETED>
        <DELETED>    (9) Foreign entity.--The term ``foreign entity'' 
        means a covered entity that is headquartered or incorporated in 
        a country that is not the United States.</DELETED>
        <DELETED>    (10) Foreign person.--The term ``foreign person'' 
        means an individual who is not a United States 
        person.</DELETED>
        <DELETED>    (11) High-security leased adjacent space.--The 
        term ``high-security leased adjacent space'' means a building 
        or office space that shares a boundary with or surrounds a 
        high-security leased space.</DELETED>
        <DELETED>    (12) High-security leased space.--The term ``high-
        security leased space'' means a space leased by a Federal 
        lessee that--</DELETED>
                <DELETED>    (A) will be occupied by Federal employees 
                for nonmilitary activities; and</DELETED>
                <DELETED>    (B) has a facility security level of III, 
                IV, or V, as determined by the Federal tenant in 
                consultation with the Interagency Security Committee, 
                the Secretary of Homeland Security, and the 
                Administrator.</DELETED>
        <DELETED>    (13) Highest-level owner.--The term ``highest-
        level owner'' means an entity that owns or controls--</DELETED>
                <DELETED>    (A) an immediate owner of the offeror of a 
                lease for a high-security leased adjacent space; 
                or</DELETED>
                <DELETED>    (B) 1 or more entities that control an 
                immediate owner of the offeror of a lease described in 
                subparagraph (A).</DELETED>
        <DELETED>    (14) Immediate owner.--The term ``immediate 
        owner'' means an entity, other than the offeror of a lease for 
        a high-security leased adjacent space, that has direct control 
        of that offeror, including--</DELETED>
                <DELETED>    (A) ownership or interlocking 
                management;</DELETED>
                <DELETED>    (B) identity of interests among family 
                members;</DELETED>
                <DELETED>    (C) shared facilities and equipment; 
                and</DELETED>
                <DELETED>    (D) the common use of employees.</DELETED>
        <DELETED>    (15) Intelligence community.--The term 
        ``intelligence community'' has the meaning given the term in 
        section 3 of the National Security Act of 1947 (50 U.S.C. 
        3003).</DELETED>
        <DELETED>    (16) Substantial economic benefits.--The term 
        ``substantial economic benefits'', with respect to a natural 
        person described in paragraph (2)(A)(ii), means having an 
        entitlement to the funds or assets of a covered entity that, as 
        a practical matter, enables the person, directly or indirectly, 
        to control, manage, or direct the covered entity.</DELETED>
        <DELETED>    (17) United states person.--The term ``United 
        States person'' means an individual who--</DELETED>
                <DELETED>    (A) is a citizen of the United States; 
                or</DELETED>
                <DELETED>    (B) is an alien lawfully admitted for 
                permanent residence in the United States.</DELETED>

<DELETED>SEC. 3. GOVERNMENTWIDE STUDY.</DELETED>

<DELETED>    (a) Coordination Study.--The Administrator, in 
coordination with the Director of the Federal Protective Service, the 
Secretary of Homeland Security, the Director of the Office of 
Management and Budget, and any other relevant entities, as determined 
by the Administrator, shall carry out a governmentwide study examining 
options to assist agencies (as defined is defined in section 551 of 
title 5, United States Code) to produce a security assessment process 
on high-security leased adjacent space before entering into a lease or 
novation agreement with a covered entity for the purposes of 
accommodating a Federal tenant located in a high-security leased 
space.</DELETED>
<DELETED>    (b) Contents.--The study required under subsection (a)--
</DELETED>
        <DELETED>    (1) shall evaluate how to produce a security 
        assessment process that includes a process for assessing the 
        threat level of each occupancy of a high-security leased space, 
        including through--</DELETED>
                <DELETED>    (A) site-visits;</DELETED>
                <DELETED>    (B) interviews; and</DELETED>
                <DELETED>    (C) any other relevant activities 
                determined necessary by the Director of the Federal 
                Protective Service; and</DELETED>
        <DELETED>    (2) may include a process for collecting and using 
        information on each immediate owner, highest-level owner, or 
        beneficial owner of a covered entity that seeks to enter into a 
        lease with a Federal lessee for a high-security leased adjacent 
        space, including--</DELETED>
                <DELETED>    (A) name;</DELETED>
                <DELETED>    (B) current residential or business street 
                address; and</DELETED>
                <DELETED>    (C) an identifying number or document that 
                verifies identity as a United States person, a foreign 
                person, or foreign entity.</DELETED>
<DELETED>    (c) Working Group.--</DELETED>
        <DELETED>    (1) In general.--Not later than 90 days after the 
        date of enactment of this Act, the Administrator, in 
        coordination with the Director of Federal Protective Service, 
        the Secretary of Homeland Security, the Director of the Office 
        of Management and Budget, and any other relevant entities, as 
        determined by the Administrator, shall establish a working 
        group to assist in the carrying out of the study required under 
        subsection (a).</DELETED>
        <DELETED>    (2) No compensation.--A member of the working 
        group established under paragraph (1) shall receive no 
        compensation as a result of serving on the working 
        group.</DELETED>
        <DELETED>    (3) Sunset.--The working group established under 
        paragraph (1) shall terminate on the date on which the report 
        required under subsection (e) is submitted.</DELETED>
<DELETED>    (d) Protection of Information.--The Administrator shall 
ensure that any information collected pursuant to the study required 
under subsection (a) shall not be made available to the 
public.</DELETED>
<DELETED>    (e) Report.--Not later than 2 years after the date of 
enactment of this Act, the Administrator, in coordination with the 
Director of Federal Protective Service, the Secretary of Homeland 
Security, the Director of the Office of Management and Budget, and any 
other relevant entities, as determined by the Administrator, shall 
submit to the Committee on Homeland Security and Governmental Affairs 
of the Senate and the Committee on Transportation and Infrastructure of 
the House of Representatives a report describing--</DELETED>
        <DELETED>    (1) the results of the study required under 
        subsection (a); and</DELETED>
        <DELETED>    (2) how all applicable privacy laws and rights 
        relating to the First and Fourth Amendments to the Constitution 
        of the United States would be upheld and followed in--
        </DELETED>
                <DELETED>    (A) the security assessment process 
                described in paragraph (1) of subsection (b); 
                and</DELETED>
                <DELETED>    (B) the information collection process 
                described in paragraph (2) of that 
                subsection.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Secure Adjacent Federal Property Act 
of 2023''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of General Services.
            (2) Beneficial owner.--
                    (A) In general.--The term ``beneficial owner'', 
                with respect to a covered entity, means each natural 
                person who, directly or indirectly, through any 
                contract, arrangement, understanding, relationship, or 
                otherwise--
                            (i) exercises substantial control over the 
                        covered entity; or
                            (ii) owns or controls not less than 25 
                        percent of the ownership interests of, or 
                        receives substantial economic benefits from the 
                        assets of, the covered entity.
                    (B) Exclusions.--The term ``beneficial owner'', 
                with respect to a covered entity, does not include--
                            (i) a minor;
                            (ii) a person acting as a nominee, 
                        intermediary, custodian, or agent on behalf of 
                        another person;
                            (iii) a person acting solely as an employee 
                        of the covered entity and whose control over or 
                        economic benefits from the covered entity 
                        derives solely from the employment status of 
                        the person;
                            (iv) a person whose only interest in the 
                        covered entity is through a right of 
                        inheritance, unless the person also meets the 
                        requirements of subparagraph (A); or
                            (v) a creditor of the covered entity, 
                        unless the creditor also meets the requirements 
                        of subparagraph (A).
                    (C) Anti-abuse rule.--The exclusions under 
                subparagraph (B) shall not apply if, in the 
                determination of the Administrator, an exclusion is 
                used for the purpose of evading, circumventing, or 
                abusing the requirements of this Act.
            (3) Control.--The term ``control'', with respect to a 
        covered entity, means--
                    (A) having the authority or ability to determine 
                how the covered entity is utilized; or
                    (B) having some decisionmaking power for the use of 
                the covered entity.
            (4) Covered entity.--The term ``covered entity'' means--
                    (A) a person, corporation, company, business 
                association, partnership, society, trust, or any other 
                nongovernmental entity, organization, or group; or
                    (B) any governmental entity or instrumentality of a 
                government.
            (5) Executive agency.--The term ``Executive agency'' has 
        the meaning given the term in section 105 of title 5, United 
        States Code.
            (6) Federal agency.--The term ``Federal agency'' means--
                    (A) an Executive agency; and
                    (B) any establishment in the legislative or 
                judicial branch of the Federal Government.
            (7) Federal lessee.--
                    (A) In general.--The term ``Federal lessee'' 
                means--
                            (i) the Administrator;
                            (ii) the Architect of the Capitol; and
                            (iii) the head of any other Federal agency 
                        that has independent statutory leasing 
                        authority.
                    (B) Exclusions.--The term ``Federal lessee'' does 
                not include--
                            (i) the head of an element of the 
                        intelligence community; or
                            (ii) the Secretary of Defense.
            (8) Federal tenant.--
                    (A) In general.--The term ``Federal tenant'' means 
                a Federal agency that is occupying or will occupy a 
                high-security leased space for which a lease agreement 
                has been secured on behalf of the Federal agency.
                    (B) Exclusion.--The term ``Federal tenant'' does 
                not include an element of the intelligence community.
            (9) Foreign entity.--The term ``foreign entity'' means--
                    (A) a corporation, company, business association, 
                partnership, society, trust, or any other 
                nongovernmental entity, organization, or group that is 
                headquartered in or organized under the laws of--
                            (i) a country that is not the United 
                        States; or
                            (ii) a State, unit of local government, or 
                        Indian Tribe that is not located within or a 
                        territory of the United States; or
                    (B) a government or governmental instrumentality 
                that is not--
                            (i) the United States Government; or
                            (ii) a State, unit of local government, or 
                        Indian Tribe that is located within or a 
                        territory of the United States.
            (10) Foreign person.--The term ``foreign person'' means an 
        individual who is not a United States person.
            (11) High-security leased adjacent space.--The term ``high-
        security leased adjacent space'' means a building or office 
        space that shares a boundary with or surrounds a high-security 
        leased space.
            (12) High-security leased space.--The term ``high-security 
        leased space'' means a space leased by a Federal lessee that--
                    (A) will be occupied by Federal employees for 
                nonmilitary activities; and
                    (B) has a facility security level of III, IV, or V, 
                as determined by the Federal tenant in consultation 
                with the Interagency Security Committee, the Secretary 
                of Homeland Security, and the Administrator.
            (13) Highest-level owner.--The term ``highest-level owner'' 
        means an entity that owns or controls--
                    (A) an immediate owner of the offeror of a lease 
                for a high-security leased adjacent space; or
                    (B) 1 or more entities that control an immediate 
                owner of the offeror of a lease described in 
                subparagraph (A).
            (14) Immediate owner.--The term ``immediate owner'' means 
        an entity, other than the offeror of a lease for a high-
        security leased adjacent space, that has direct control of that 
        offeror, including--
                    (A) ownership or interlocking management;
                    (B) identity of interests among family members;
                    (C) shared facilities and equipment; and
                    (D) the common use of employees.
            (15) Intelligence community.--The term ``intelligence 
        community'' has the meaning given the term in section 3 of the 
        National Security Act of 1947 (50 U.S.C. 3003).
            (16) Substantial economic benefits.--The term ``substantial 
        economic benefits'', with respect to a natural person described 
        in paragraph (2)(A)(ii), means having an entitlement to the 
        funds or assets of a covered entity that, as a practical 
        matter, enables the person, directly or indirectly, to control, 
        manage, or direct the covered entity.
            (17) United states person.--The term ``United States 
        person'' means an individual who--
                    (A) is a citizen of the United States; or
                    (B) is an alien lawfully admitted for permanent 
                residence in the United States.

SEC. 3. GOVERNMENT-WIDE STUDY.

    (a) Coordination Study.--The Administrator, in coordination with 
the Director of the Federal Protective Service, the Secretary of 
Homeland Security, the Director of the Office of Management and Budget, 
and any other relevant entities, as determined by the Administrator, 
shall carry out a Government-wide study examining options to assist 
agencies (as defined in section 551 of title 5, United States Code) to 
produce a security assessment process for high-security leased adjacent 
space before entering into a lease or novation agreement with a covered 
entity for the purposes of accommodating a Federal tenant located in a 
high-security leased space.
    (b) Contents.--The study required under subsection (a)--
            (1) shall evaluate how to produce a security assessment 
        process that includes a process for assessing the threat level 
        of each occupancy of a high-security leased adjacent space, 
        including through--
                    (A) site-visits;
                    (B) interviews; and
                    (C) any other relevant activities determined 
                necessary by the Director of the Federal Protective 
                Service; and
            (2) may include a process for collecting and using 
        information on each immediate owner, highest-level owner, or 
        beneficial owner of a covered entity that seeks to enter into a 
        lease with a Federal lessee for a high-security leased adjacent 
        space, including--
                    (A) name;
                    (B) current residential or business street address; 
                and
                    (C) an identifying number or document that verifies 
                identity as a United States person, a foreign person, 
                or a foreign entity.
    (c) Working Group.--
            (1) In general.--Not later than 90 days after the date of 
        enactment of this Act, the Administrator, in coordination with 
        the Director of Federal Protective Service, the Secretary of 
        Homeland Security, the Director of the Office of Management and 
        Budget, and any other relevant entities, as determined by the 
        Administrator, shall establish a working group to assist in the 
        carrying out of the study required under subsection (a).
            (2) No compensation.--A member of the working group 
        established under paragraph (1) shall receive no compensation 
        as a result of serving on the working group.
            (3) Sunset.--The working group established under paragraph 
        (1) shall terminate on the date on which the report required 
        under subsection (f) is submitted.
    (d) Protection of Information.--The Administrator shall ensure that 
any information collected pursuant to the study required under 
subsection (a) shall not be made available to the public.
    (e) Limitation.--Nothing in this section requires an entity located 
in the United States to provide information requested pursuant to the 
study required under subsection (a).
    (f) Report.--Not later than 2 years after the date of enactment of 
this Act, the Administrator, in coordination with the Director of 
Federal Protective Service, the Secretary of Homeland Security, the 
Director of the Office of Management and Budget, and any other relevant 
entities, as determined by the Administrator, shall submit to the 
Committee on Homeland Security and Governmental Affairs of the Senate 
and the Committee on Transportation and Infrastructure of the House of 
Representatives a report describing--
            (1) the results of the study required under subsection (a); 
        and
            (2) how all applicable privacy laws and rights relating to 
        the First and Fourth Amendments to the Constitution of the 
        United States would be upheld and followed in--
                    (A) the security assessment process described in 
                paragraph (1) of subsection (b); and
                    (B) the information collection process described in 
                paragraph (2) of that subsection.
    (g) Limitation.--Nothing in this section authorizes a Federal 
entity to mandate information gathering unless specifically authorized 
by law.
    (h) Prohibition.--No information collected pursuant the security 
assessment process described in subsection (b)(1) may be used for law 
enforcement purposes.
    (i) No Additional Funding.--No additional funds are authorized to 
be appropriated to carry out this section.
                                                       Calendar No. 185

118th CONGRESS

  1st Session

                                S. 1868

                          [Report No. 118-82]

_______________________________________________________________________

                                 A BILL

   To require an interagency study to produce a security assessment 
process on adjacent space to high-security leased space to accommodate 
               a Federal agency, and for other purposes.

_______________________________________________________________________

                             July 27, 2023

                       Reported with an amendment