[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 3944 Introduced in Senate (IS)]

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118th CONGRESS
  2d Session
                                S. 3944

  To establish the William S. Knudsen Commission for American Defense-
            Industrial Mobilization, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 14, 2024

  Mr. Vance (for himself, Mr. Rubio, Mr. Schmitt, Mr. Hawley, and Mr. 
    Cotton) introduced the following bill; which was read twice and 
              referred to the Committee on Armed Services

_______________________________________________________________________

                                 A BILL


 
  To establish the William S. Knudsen Commission for American Defense-
            Industrial Mobilization, 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 ``William S. Knudsen Defense 
Remobilization Act''.

SEC. 2. FINDINGS.

     Congress makes the following findings:
            (1) The United States faces a critical lack of domestic 
        industrial capacity necessary to support and maintain its 
        defense, particularly in the event of a major conflict.
            (2) Current and building shortages of munitions and 
        materiel are estimated to require years to replenish 
        sufficiently.
            (3) The domestic industrial base is shaped by Federal 
        Government policies, including by a raft of regulations that 
        often inhibit production and expansion.
            (4) The lack of industrial capacity now constituted a major 
        threat to the national security as conflicts supplied with 
        United States arms escalate around the globe and imminent 
        threats to United States interests have emerged.
            (5) Before entering World War II, the United States faced a 
        similar crisis of adequate defense production as it supplied 
        its allies in Europe and prepared for the event of war.
            (6) In 1940, William S. Knudsen, an American automotive 
        executive, was tasked with coordinating and spearheading the 
        nation's war production by serving as the chairman of the 
        Office of Production Management and as a member of the National 
        Defense Advisory Commission.
            (7) As a result of Mr. Knudsen's efforts, the United States 
        mobilized an unprecedented industrial war production network, 
        renowned as the ``Arsenal of Democracy,'' that enabled Allied 
        victory.

SEC. 3. ESTABLISHMENT OF THE WILLIAM S. KNUDSEN COMMISSION FOR AMERICAN 
              DEFENSE-INDUSTRIAL MOBILIZATION.

    (a) Establishment.--There is established in the legislative branch 
the William S. Knudsen Commission for American Defense-Industrial 
Mobilization (referred to in this Act as the ``Commission'').
    (b) Purpose.--The purpose of the Commission is to examine and make 
recommendations to the President and Congress with respect to the 
defense-industrial base of the United States.
    (c) Membership.--
            (1) Composition.--The Commission shall be composed of 12 
        members of whom--
                    (A) 1 member shall be appointed by the majority 
                leader of the Senate;
                    (B) 1 member shall be appointed by the minority 
                leader of the Senate;
                    (C) 1 member shall be appointed by the Speaker of 
                the House of Representatives;
                    (D) 1 member shall be appointed by the minority 
                leader of the House of Representatives;
                    (E) 2 members shall be appointed by the chair of 
                the Committee on Armed Services of the Senate;
                    (F) 2 members shall be appointed by the ranking 
                minority member of the Committee on Armed Services of 
                the Senate;
                    (G) 2 members shall be appointed by the chair of 
                the Committee on Armed Services of the House of 
                Representatives; and
                    (H) 2 members shall be appointed by the ranking 
                minority member of the Committee on Armed Services of 
                the House of Representatives.
            (2) Qualifications.--the members appointed under paragraph 
        (1) shall be from among individuals who--
                    (A) are United States citizens; and
                    (B) have significant professional experience or 
                expertise in--
                            (i) the manufacturing sector;
                            (ii) defense procurement;
                            (iii) defense technology and innovation; 
                        and
                            (iv) industrial policy.
            (3) Deadline for appointment.--
                    (A) In general.--All members of the Commission 
                shall be appointed under paragraph (1) not later than 
                45 days after the date of the enactment of this Act.
                    (B) Effect of lack of appointments by appointment 
                date.--If one or more appointments under paragraph (1) 
                is not made by the date specified in subparagraph (A)--
                            (i) the authority to make such appointment 
                        or appointments shall expire; and
                            (ii) the number of members of the 
                        Commission shall be reduced by the number of 
                        appointments not made by that date.
            (4) Chair; vice chair.--
                    (A) Chair.--The chairs of the appropriate 
                congressional committees shall jointly designate one 
                member of the Commission to serve as chair of the 
                Commission.
                    (B) Vice chair.--The ranking minority members of 
                the appropriate congressional committees shall jointly 
                designate one member of the Commission to serve as vice 
                chair of the Commission.
            (5) Meetings.--
                    (A) Initial meeting.--The Commission shall hold the 
                first meeting as soon as practicable after \2/3\ of the 
                members of the Commission have been appointed under 
                paragraph (1).
                    (B) Subsequent meetings.--After its initial 
                meeting, the Commission shall meet upon the call of the 
                chair or a majority of its members.
            (6) Quorum.--Eight members of the Commission shall 
        constitute a quorum for purposes of conducting business.
            (7) Period of appointment; vacancies.--Members of the 
        Commission shall be appointed for the life of the Commission. A 
        vacancy in the Commission does not affect the powers of the 
        Commission and shall (except as provided by paragraph (3)(B)) 
        be filled in the same manner in which the original appointment 
        was made.
            (8) Removal of members.--
                    (A) In general.--A member of the Commission may be 
                removed from the Commission for cause by the individual 
                serving in the position responsible for the original 
                appointment of the member under paragraph (1), provided 
                that notice is first provided to that official of the 
                cause for removal, and removal is voted and agreed upon 
                by \3/4\ of the members of the Commission.
                    (B) Vacancies.--A vacancy created by the removal of 
                a member of the Commission under subparagraph (A) does 
                not affect the powers of the Commission and shall be 
                filled in the same manner in which the original 
                appointment was made.
    (d) Duties.--
            (1) Review.--The Commission shall conduct a review of the 
        defense industrial base of the United States, including an 
        assessment of the production requirements necessary to wage a 
        major war across multiple theaters.
            (2) Assessment.--The Commission shall assess the following:
                    (A) Lessons learned from the experience of major 
                war in Ukraine, including a classified annex addressed 
                to whether current operational plans for major war 
                contingency scenarios in Europe, the Middle East, and 
                Asia give due consideration to the lessons learned from 
                that and other recent conflicts around the world.
                    (B) The expected defense production requirements 
                necessary to wage a major war across one or more 
                theaters, with attention to minimum production 
                requirements, ordinary production requirements, and 
                requirements in order to scale production quickly and 
                at need.
                    (C) Identification and establishment of minimum and 
                optimal production and stocks of key, critical weapons 
                systems and associated munitions production and 
                maintenance capacity indexed against operational 
                planning for major war in Europe, the Middle East, and 
                Asia.
                    (D) The current, standing capacity of the United 
                States defense industrial base to produce weapons 
                systems, ammunition, and other necessary supplies and 
                maintenance necessary for different major war 
                contingency scenarios, including sub-tier contracting, 
                with a view to identifying supply chain bottlenecks, 
                obstacles to competition, and requirements for the 
                conversion of civilian commercial facilities to defense 
                production in a national emergency.
                    (E) The policies and programs of the Federal 
                Government that affect domestic industrial capacity 
                that is or can be used for defense production.
                    (F) The burden imposed on different sectors within 
                the defense industrial base as a result of regulations 
                issued by--
                            (i) the Department of Energy;
                            (ii) the Environmental Protection Agency;
                            (iii) the Department of Commerce;
                            (iv) the Department of Defense; and
                            (v) the Small Business Administration.
            (3) Recommendations.--The Commission shall make 
        recommendations with respect to the following matters:
                    (A) Reforms to operational planning and defense 
                procurement planning with a view to ensuring United 
                States contingency plans--
                            (i) are well suited to likely contingency 
                        scenarios;
                            (ii) reflect the lessons learned from 
                        recent wars to include Russia's war in Ukraine; 
                        and
                            (iii) reflect the correct balance of new 
                        and legacy technology to provide the United 
                        States the greatest possible operational 
                        advantage in future contingency operations.
                    (B) Reforms to existing Federal programs and 
                policies related to defense production, procurement, 
                and innovation.
                    (C) Federal regulations that inhibit defense 
                production and innovation and their estimated burden to 
                producers, including regulations issued by--
                            (i) the Department of Energy;
                            (ii) the Environmental Protection Agency;
                            (iii) the Department of Commerce; and
                            (iv) the Department of Defense.
                    (D) Funding levels necessary to support increased 
                domestic industrial capacity.
                    (E) New Federal policies, programs, and offices 
                that can support a defense-industrial mobilization and 
                increased domestic industrial capacity.
    (e) Report and Briefing Required.--
            (1) In general.--Not later than one year after the date of 
        the enactment of this Act, the Commission shall submit to the 
        President and the appropriate congressional committees a report 
        on the Commission's findings, conclusions, and recommendations.
            (2) Elements.--The report required under paragraph (1) 
        shall include--
                    (A) a proposed strategy for increasing the 
                industrial capacity of the United States for defense 
                production;
                    (B) the assessment required by subsection (d)(2);
                    (C) the recommendations required by subsection 
                (d)(3); and
                    (D) considerations for policymakers, including 
                members and committees of Congress.
            (3) Interim briefing.--Not later than 180 days after the 
        deadline for appointment of members of the Commission specified 
        in subsection (c)(3)(A), the Commission shall provide to the 
        appropriate congressional committees a briefing on the status 
        of the review, assessments, and recommendations required by 
        subsection (d), including a discussion of any interim 
        recommendations.
    (f) Advice and Input.--The Committee shall seek the advise and 
input of industry partners, manufacturing policy experts, State and 
local development officials, and manufacturing worker interests when 
performing the duties described in subsection (d) and producing the 
report required under subsection (e), including by--
            (1) holding not less than 4 public hearings per year during 
        which industry representatives, worker groups, and regional 
        representatives can provide insight regarding the current state 
        of the defense-industrial base and the requirements for its 
        full mobilization; and
            (2) establishing an Industry Advisory Board of not more 
        than 10 members appointed by the chair, which shall include--
                    (A) an expert industrial competitiveness and 
                national security;
                    (B) a manufacturing trade association 
                representative;
                    (C) a representative of small business government 
                contractors;
                    (D) a manufacturing worker representative;
                    (E) a representative from a private investment firm 
                investing in the defense and industrial sectors; and
                    (F) such other representatives as the chair may 
                appoint.
    (g) Assistance From Federal Agencies.--
            (1) Information and suggestions.--The Commission may secure 
        directly from the Department of Defense, the Department of 
        Energy, the Department of Commerce, the Environmental 
        Protection Agency, the Small Business Administration, the 
        Department of the Treasury, and the United States Trade 
        Representative information, suggestions, estimates, and 
        statistics for the purposes of this section. Each such agency 
        shall, to the extent authorized by law, furnish such 
        information, suggestions, estimates, and statistics directly to 
        the Commission upon receiving a request made by--
                    (A) the chair of the Commission;
                    (B) the chair of any subcommittee of the Commission 
                created by a majority of members of the Commission; or
                    (C) any member the Commission designated by a 
                majority of the Commission for purposes of making 
                requests under this paragraph.
            (2) Additional assistance.--Departments and agencies of the 
        United States may provide to the Commission such services, 
        funds, facilities, staff, and other support services as those 
        departments and agencies may determine advisable and as may be 
        authorized by law.
    (h) Compensation and Travel Expenses.--
            (1) Status as federal employees.--Notwithstanding the 
        requirements of section 2105 of title 5, United States Code, 
        including the requirements relating to supervision under 
        subsection (a)(3) of such section, the members of the 
        Commission shall be deemed to be Federal employees.
            (2) Compensation.--Each member of the Commission may be 
        compensated at not to exceed the daily equivalent of the annual 
        rate of basic pay in effect for a position at level IV of the 
        Executive Schedule under section 5315 of title 5, United States 
        Code, for each day during which that member is engages in the 
        actual performance of the duties of the Commission.
            (3) Travel expenses.--While away from their homes or 
        regular places of business in the performance of services for 
        the Commission, members of the Commission shall be allowed 
        travel expenses, including per diem in lieu of subsistence, in 
        the same manner as persons employed intermittently in the 
        Government service are allowed expenses under section 5703 of 
        title 5, United States Code.
    (i) Staff.--
            (1) Executive director.--The Commission shall appoint and 
        fix the rate of basic pay for an Executive Director in 
        accordance with section 3161 of title 5, United States Code.
            (2) Pay.--The Executive Director appointed under paragraph 
        (1) may, with the approval of the Commission, appoint and fix 
        the rate of basic pay for additional personnel as staff of the 
        Commission in accordance with section 3161(d) of title 5, 
        United States Code.
    (j) Personal Services.--
            (1) Authority to procure.--The Commission may--
                    (A) procure the services of experts or consultants 
                (or of organizations of experts or consultants) in 
                accordance with the provisions of section 3109 of title 
                5, United States Code; and
                    (B) pay in connection with such services travel 
                expenses of individuals, including transportation and 
                per diem in lieu of subsistence, while such individuals 
                are traveling from their homes or places of business to 
                duty stations.
            (2) Maximum daily pay rates.--The daily rate paid an expert 
        or consultant procured pursuant to paragraph (1) may not exceed 
        the daily equivalent of the annual rate of basic pay in effect 
        for a position at level IV of the Executive Schedule under 
        section 5315 of title 5, United States Code.
    (k) Contracting Authority.--The Commission may acquire 
administrative supplies and equipment for Commission use to the extent 
funds are available.
    (l) Authority To Accept Gifts.--
            (1) In general.--The Commission may accept, sue, and 
        dispose of gifts or donations of services, goods, and property 
        from non-Federal entities for the purposes of aiding and 
        facilitating the work of the Commission. The authority under 
        this paragraph does not extend to gifts of money.
            (2) Documentation; conflicts of interest.--The Commission 
        shall document gifts accepted under the authority provided by 
        paragraph (1) and shall avoid conflicts of interest or the 
        appearance of conflicts of interest.
            (3) Compliance with congressional ethics rules.--Except as 
        specifically provided in this section, a member of the 
        Commission shall comply with rules set forth by the Select 
        Committee on Ethics of the Senate and the Committee on Ethics 
        of the House of Representative governing employees of the 
        Senate and the House of Representatives, respectively.
    (m) Postal Services.--The Commission may use the United States 
mails in the same manner and under the same conditions as departments 
and agencies of the United States.
    (n) Commission Support.--Not later than 60 days after the date of 
the enactment of this Act, the Secretary of Defense shall seek to enter 
into a contract with a federally funded research and development center 
to provide appropriate staff and administrative support for the 
activities of the Commission.
    (o) Expedition of Security Clearances.--The Office of Senate 
Security and the Office of House Security shall ensure the expedited 
processing of appropriate security clearances for personnel appointed 
to the Commission by offices of the Senate and House of 
Representatives, respectively, under processes developed for the 
clearance of legislative branch employees.
    (p) Legislative Advisory Committee.--The Commission shall operate 
as a legislative advisory committee and shall not be subject to the 
provisions of the Federal Advisory Committee Act (5 U.S.C. App.).
    (q) Funding.--There is authorized to be appropriated $7,000,000 for 
the Commission to carry out activities under this Act. Such funds shall 
remain available until expended.
    (r) Termination.--
            (1) In general.--The Commission shall terminate on the date 
        that is 90 days after the Commission submits the final report 
        required by subsection (e).
            (2) Administrative actions before termination.--The 
        Commission may use the 90-day period described in paragraph (1) 
        for the purpose of concluding its activities, including 
        providing testimony to committees of Congress with respect to 
        and disseminating the report required by subsection (e).
    (s) Appropriate Congressional Committees Defined.--In this section, 
the term ``appropriate congressional committees'' means--
            (1) the Committee on Armed Services of the Senate; and
            (2) the Committee on Armed Services of the House of 
        Representatives.
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