[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 1956 Reported in Senate (RS)]
<DOC>
Calendar No. 475
118th CONGRESS
2d 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
August 1, 2024
Reported by Ms. Cantwell, with an amendment
[Strike out all after the enacting clause and insert the part printed
in italic]
_______________________________________________________________________
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,
<DELETED>SECTION 1. SHORT TITLE.</DELETED>
<DELETED> This Act may be cited as the ``Invent Here, Make Here Act
of 2023''.</DELETED>
<DELETED>SEC. 2. IMPROVEMENT OF COMMERCIALIZATION OF FEDERAL RESEARCH
BY DOMESTIC MANUFACTURERS.</DELETED>
<DELETED> 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:</DELETED>
<DELETED> ``(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--</DELETED>
<DELETED> ``(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;</DELETED>
<DELETED> ``(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</DELETED>
<DELETED> ``(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.''.</DELETED>
<DELETED>SEC. 3. STUDY AND COMPREHENSIVE REVIEW OF COMMERCIALIZATION OF
FEDERAL RESEARCH BY DOMESTIC MANUFACTURERS.</DELETED>
<DELETED> Not later than 540 days after the date of enactment of
this Act, the Director of the National Institute of Standards and
Technology shall--</DELETED>
<DELETED> (1) complete a study and comprehensive review of
the commercialization of Federal research by domestic
manufacturers that--</DELETED>
<DELETED> (A) addresses--</DELETED>
<DELETED> (i) what barriers currently (as of
the date on which the study is completed) exist
for domestic manufacturers to commercialize
Federal research; and</DELETED>
<DELETED> (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</DELETED>
<DELETED> (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</DELETED>
<DELETED> (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).</DELETED>
<DELETED>SEC. 4. PREFERENCE FOR UNITED STATES INDUSTRY.</DELETED>
<DELETED> Section 204 of title 35, United States Code, is amended to
read as follows:</DELETED>
<DELETED>``Sec. 204. Preference for United States industry</DELETED>
<DELETED> ``(a) Definitions.--In this section:</DELETED>
<DELETED> ``(1) Country of concern.--The term `country of
concern' means a country that--</DELETED>
<DELETED> ``(A) is a covered nation, as that term is
defined in section 4872(d) of title 10; or</DELETED>
<DELETED> ``(B) the Secretary of Commerce determines
is engaged in conduct that is detrimental to the
national security of the United States.</DELETED>
<DELETED> ``(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.</DELETED>
<DELETED> ``(3) Relevant congressional committees.--The term
`relevant congressional committees' means--</DELETED>
<DELETED> ``(A) the Committee on Commerce, Science,
and Transportation of the Senate; and</DELETED>
<DELETED> ``(B) the Committee on Science, Space, and
Technology of the House of Representatives.</DELETED>
<DELETED> ``(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.</DELETED>
<DELETED> ``(c) Waivers.--</DELETED>
<DELETED> ``(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.</DELETED>
<DELETED> ``(2) Conditions on waivers.--</DELETED>
<DELETED> ``(A) Before grant of waiver.--Before
granting a waiver under paragraph (1), a Federal agency
shall--</DELETED>
<DELETED> ``(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</DELETED>
<DELETED> ``(ii) in carrying out clause (i),
preserve the confidentiality or trade sensitive
nature of information included in the
applicable application for a license.</DELETED>
<DELETED> ``(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.</DELETED>
<DELETED> ``(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.''.</DELETED>
<DELETED>SEC. 5. AMENDMENTS TO THE DIRECTORATE FOR TECHNOLOGY,
INNOVATION, AND PARTNERSHIPS.</DELETED>
<DELETED> Subtitle G of title III of the Research and Development,
Competition, and Innovation Act (42 U.S.C. 19101 et seq.) is amended--
</DELETED>
<DELETED> (1) in section 10382--</DELETED>
<DELETED> (A) in paragraph (2), by striking ``and''
after the semicolon;</DELETED>
<DELETED> (B) in paragraph (3), by striking the
period at the end and inserting ``; and'';
and</DELETED>
<DELETED> (C) by adding at the end the
following:</DELETED>
<DELETED> ``(4) ensure that products developed through
research funded by the Directorate will be manufactured in the
United States.'';</DELETED>
<DELETED> (2) in section 10383--</DELETED>
<DELETED> (A) in paragraph (2), in the matter
preceding subparagraph (A), by striking ``products,''
and inserting ``products that will be manufactured in
the United States,'';</DELETED>
<DELETED> (B) in paragraph (4)(C), by inserting
``producing,'' after ``capable of'';</DELETED>
<DELETED> (C) in paragraph (6), by striking ``and''
after the semicolon;</DELETED>
<DELETED> (D) in paragraph (7), by striking the
period at the end and inserting ``; and'';
and</DELETED>
<DELETED> (E) by adding at the end the
following:</DELETED>
<DELETED> ``(8) develop industrial capacity to produce
innovations competitively in the United States for the global
marketplace.'';</DELETED>
<DELETED> (3) in section 10384--</DELETED>
<DELETED> (A) in paragraph (1), by striking ``and''
after the semicolon;</DELETED>
<DELETED> (B) in paragraph (2), by striking the
period at the end and inserting ``; and'';
and</DELETED>
<DELETED> (C) by adding at the end the
following:</DELETED>
<DELETED> ``(3) maximizes economic benefits by ensuring that
innovations developed from research awards are produced in the
United States.'';</DELETED>
<DELETED> (4) in section 10385--</DELETED>
<DELETED> (A) in subsection (b)(1), by striking
``and commercialization'' and inserting
``commercialization, and domestic production'';
and</DELETED>
<DELETED> (B) in subsection (c)(2), by striking
``and commercialization'' and inserting
``commercialization, and domestic
production'';</DELETED>
<DELETED> (5) in section 10386(b)(2), by inserting ``with
domestic manufacturing operations'' after ``private
sector'';</DELETED>
<DELETED> (6) in section 10389(a), by striking ``and
commercialization'' and inserting ``commercialization, and
domestic production'';</DELETED>
<DELETED> (7) in section 10391(a), by striking ``and
commercialization'' and inserting ``commercialization, and
domestic production''; and</DELETED>
<DELETED> (8) in section 10394(f)(5), by striking ``and, as
appropriate, commercializing'' and inserting ``,
commercializing, and producing''.</DELETED>
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Invent Here, Make Here Act of
2024''.
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 Secretary of Defense, the
Secretary of Energy, the Director of the National Science
Foundation, and industry organizations to identify domestic
manufacturers that can develop commercial products based on
completed 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) maintain a publicly accessible and searchable
database of domestic manufacturers and their capabilities with
respect to commercialization of federally funded research.''.
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, the Committee on the Judiciary of
the Senate, the Committee on Science, Space, and Technology of
the House of Representatives, and the Committee on the
Judiciary 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'
has the meaning given the term `covered nation' in section
4872(d) of title 10.
``(2) Relevant congressional committees.--The term
`relevant congressional committees' means--
``(A) the Committee on Commerce, Science, and
Transportation of the Senate;
``(B) the Committee on the Judiciary of the Senate;
``(C) the Committee on Science, Space, and
Technology of the House of Representatives; and
``(D) the Committee on the Judiciary 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 in the United States 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
paragraphs (2) and (3), the Federal agency under whose funding
agreement the applicable subject invention was made may waive
the requirement for an agreement described in subsection (b)
upon a showing by the applicable 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) Review timeline.--Not later than 90 days after the
date on which a Federal agency receives a request for a waiver
described in paragraph (1) and with respect to which paragraph
(3) does not apply, the Federal agency shall issue a decision
regarding whether to grant the request.
``(3) Prohibition on granting certain waivers without
presidential authorization.--If granting a waiver under
paragraph (1) would result in products embodying the applicable
subject invention or produced through the use of the applicable
subject invention being manufactured substantially in a country
of concern, the applicable Federal agency may not grant the
waiver without the written authorization of the President (or a
designee of the President).
``(4) Annual report to congressional committees.--
``(A) In general.--Not later than 1 year after the
date of enactment of the Invent Here, Make Here Act of
2024, and annually thereafter, each Federal agency with
respect to which, during the preceding year, a
nonprofit organization or small business firm that is a
party to a funding agreement with the Federal agency
elected to retain title under section 202 to the
subject invention that was the subject of that funding
agreement shall submit to the relevant congressional
committees a report that includes the information
described in subparagraph (B).
``(B) Contents.--Each report required under
subparagraph (A) shall include, for the period covered
by the report--
``(i) with respect to each request received
by the applicable Federal agency for a waiver
under this subsection, information regarding--
``(I) the subject invention that is
the subject of the request;
``(II) the efforts made by the
entity seeking the waiver to grant the
exclusive right to use or sell the
applicable subject invention to a
person that would agree that any
products embodying the subject
invention or produced through the use
of the subject invention would be
manufactured substantially in the
United States; and
``(III) in which markets the
products embodying the applicable
subject invention or produced through
the use of the applicable subject
invention will be sold; and
``(ii) with respect to a small business
firm or nonprofit organization that is based in
the United States and has elected to retain
title to a subject invention pursuant to
section 202, whether that firm or organization
intends to manufacture that subject invention
in a foreign country for a foreign market.
``(C) Preservation of confidentiality.--Each
Federal agency that is required to submit a report
under this paragraph shall preserve the confidentiality
or trade sensitive nature of all information included
in each such report.''.
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) strongly encourage 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''.
Calendar No. 475
118th CONGRESS
2d Session
S. 1956
_______________________________________________________________________
A BILL
To improve the commercialization of Federal research by domestic
manufacturers, and for other purposes.
_______________________________________________________________________
August 1, 2024
Reported with an amendment