[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 1956 Introduced in Senate (IS)]

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118th CONGRESS
  1st Session
                                S. 1956

   To improve the commercialization of Federal research by domestic 
                 manufacturers, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 13, 2023

Ms. Baldwin (for herself and Mr. Vance) introduced the following bill; 
    which was read twice and referred to the Committee on Commerce, 
                      Science, and Transportation

_______________________________________________________________________

                                 A BILL


 
   To improve the commercialization of Federal research by domestic 
                 manufacturers, 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 ``Invent Here, Make Here Act of 
2023''.

SEC. 2. IMPROVEMENT OF COMMERCIALIZATION OF FEDERAL RESEARCH BY 
              DOMESTIC MANUFACTURERS.

    Section 2 of the National Institute of Standards and Technology Act 
(15 U.S.C. 272) is amended by adding at the end the following:
    ``(f) Commercialization of Federal Research by Domestic 
Manufacturers.--In order for the Institute to meet the need described 
in section 1(a)(1) and most effectively carry out the activities under 
subsection (c)(1) of this section, the Director shall--
            ``(1) coordinate with the Manufacturing USA Network 
        established under section 34(c)(1) to identify domestic 
        manufacturers that can develop commercial products based on 
        research conducted by Federal agencies;
            ``(2) work with the Administrator of the Small Business 
        Administration to identify domestic investors to support the 
        development of commercial products based on research conducted 
        by Federal agencies; and
            ``(3) coordinate with the Director of the Made in America 
        Office at the Office of Management and Budget to use the 
        procedures described in section 204(c)(2)(A)(i) of title 35, 
        United States Code, to identify appropriate domestic 
        manufacturers and investors to commercialize products based on 
        Federal research and manufacture such products in the United 
        States.''.

SEC. 3. STUDY AND COMPREHENSIVE REVIEW OF COMMERCIALIZATION OF FEDERAL 
              RESEARCH BY DOMESTIC MANUFACTURERS.

    Not later than 540 days after the date of enactment of this Act, 
the Director of the National Institute of Standards and Technology 
shall--
            (1) complete a study and comprehensive review of the 
        commercialization of Federal research by domestic manufacturers 
        that--
                    (A) addresses--
                            (i) what barriers currently (as of the date 
                        on which the study is completed) exist for 
                        domestic manufacturers to commercialize Federal 
                        research; and
                            (ii) what role investment and the 
                        availability of investors plays in the 
                        encouragement or discouragement of the 
                        commercialization of Federal research by 
                        domestic manufacturers; and
                    (B) provides recommendations for modifications to 
                the comprehensive strategic plan developed and 
                implemented pursuant to section 107 of the American 
                Innovation and Competitiveness Act (15 U.S.C. 272 note) 
                to ensure that Federal science, engineering, and 
                technology research is being transferred to domestic 
                manufacturers to modernize manufacturing processes in 
                accordance with section 2(b)(1) of the National 
                Institute of Standards and Technology Act (15 U.S.C. 
                272(b)(1)); and
            (2) submit to the Committee on Commerce, Science, and 
        Transportation of the Senate and the Committee on Science, 
        Space, and Technology of the House of Representatives a report 
        on the findings of the Director with respect to the study and 
        review completed under paragraph (1).

SEC. 4. PREFERENCE FOR UNITED STATES INDUSTRY.

    Section 204 of title 35, United States Code, is amended to read as 
follows:
``Sec. 204. Preference for United States industry
    ``(a) Definitions.--In this section:
            ``(1) Country of concern.--The term `country of concern' 
        means a country that--
                    ``(A) is a covered nation, as that term is defined 
                in section 4872(d) of title 10; or
                    ``(B) the Secretary of Commerce determines is 
                engaged in conduct that is detrimental to the national 
                security of the United States.
            ``(2) Manufactured substantially in the united states.--The 
        term `manufactured substantially in the United States' means 
        manufactured substantially from all articles, materials, or 
        supplies mined, produced, or manufactured in the United States.
            ``(3) Relevant congressional committees.--The term 
        `relevant congressional committees' means--
                    ``(A) the Committee on Commerce, Science, and 
                Transportation of the Senate; and
                    ``(B) the Committee on Science, Space, and 
                Technology of the House of Representatives.
    ``(b) General Preference.--Notwithstanding any other provision of 
this chapter, and subject to subsection (c), no small business firm or 
nonprofit organization which receives title to any subject invention 
and no assignee of any such small business firm or nonprofit 
organization shall grant to any person the exclusive right to use or 
sell any subject invention unless such person agrees that any products 
embodying the subject invention or produced through the use of the 
subject invention will be manufactured substantially in the United 
States.
    ``(c) Waivers.--
            ``(1) In general.--In individual cases, subject to 
        paragraph (2), the requirement for an agreement described in 
        subsection (b) may be waived by the Federal agency under whose 
        funding agreement the applicable subject invention was made 
        upon a showing by the small business firm, nonprofit 
        organization, or assignee that reasonable but unsuccessful 
        efforts have been made to grant licenses on similar terms to 
        potential licensees that would be likely to manufacture 
        substantially in the United States or that under the 
        circumstances domestic manufacture is not commercially 
        feasible.
            ``(2) Conditions on waivers.--
                    ``(A) Before grant of waiver.--Before granting a 
                waiver under paragraph (1), a Federal agency shall--
                            ``(i) comply with the procedures developed 
                        and implemented pursuant to section 70923(b)(2) 
                        of the Build America, Buy America Act (subtitle 
                        A of title IX of division G of Public Law 117-
                        58); and
                            ``(ii) in carrying out clause (i), preserve 
                        the confidentiality or trade sensitive nature 
                        of information included in the applicable 
                        application for a license.
                    ``(B) Prohibition on granting certain waivers.--A 
                Federal agency may not grant a waiver under paragraph 
                (1) if, as a result of the waiver, products embodying 
                the applicable subject invention, or produced through 
                the use of the applicable subject invention, will be 
                manufactured substantially in a country of concern.
            ``(3) Annual report to congressional committees.--Not later 
        than 1 year after the date of enactment of the Invent Here, 
        Make Here Act of 2023, and annually thereafter, each Federal 
        agency that, during the preceding year, has received a request 
        for a waiver under this subsection shall submit to the relevant 
        congressional committees a report regarding the decision of the 
        Federal agency to grant or deny each such request.''.

SEC. 5. AMENDMENTS TO THE DIRECTORATE FOR TECHNOLOGY, INNOVATION, AND 
              PARTNERSHIPS.

    Subtitle G of title III of the Research and Development, 
Competition, and Innovation Act (42 U.S.C. 19101 et seq.) is amended--
            (1) in section 10382--
                    (A) in paragraph (2), by striking ``and'' after the 
                semicolon;
                    (B) in paragraph (3), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
            ``(4) ensure that products developed through research 
        funded by the Directorate will be manufactured in the United 
        States.'';
            (2) in section 10383--
                    (A) in paragraph (2), in the matter preceding 
                subparagraph (A), by striking ``products,'' and 
                inserting ``products that will be manufactured in the 
                United States,'';
                    (B) in paragraph (4)(C), by inserting 
                ``producing,'' after ``capable of'';
                    (C) in paragraph (6), by striking ``and'' after the 
                semicolon;
                    (D) in paragraph (7), by striking the period at the 
                end and inserting ``; and''; and
                    (E) by adding at the end the following:
            ``(8) develop industrial capacity to produce innovations 
        competitively in the United States for the global 
        marketplace.'';
            (3) in section 10384--
                    (A) in paragraph (1), by striking ``and'' after the 
                semicolon;
                    (B) in paragraph (2), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
            ``(3) maximizes economic benefits by ensuring that 
        innovations developed from research awards are produced in the 
        United States.'';
            (4) in section 10385--
                    (A) in subsection (b)(1), by striking ``and 
                commercialization'' and inserting ``commercialization, 
                and domestic production''; and
                    (B) in subsection (c)(2), by striking ``and 
                commercialization'' and inserting ``commercialization, 
                and domestic production'';
            (5) in section 10386(b)(2), by inserting ``with domestic 
        manufacturing operations'' after ``private sector'';
            (6) in section 10389(a), by striking ``and 
        commercialization'' and inserting ``commercialization, and 
        domestic production'';
            (7) in section 10391(a), by striking ``and 
        commercialization'' and inserting ``commercialization, and 
        domestic production''; and
            (8) in section 10394(f)(5), by striking ``and, as 
        appropriate, commercializing'' and inserting ``, 
        commercializing, and producing''.
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