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119th CONGRESS
2d Session |
To protect the national security of the United States by strengthening review of foreign adversary investments in the general aviation sector, and for other purposes.
Mr. Harrigan (for himself and Mr. Mackenzie) introduced the following bill; which was referred to the Committee on Financial Services, and in addition to the Committees on Foreign Affairs, Energy and Commerce, Transportation and Infrastructure, Oversight and Government Reform, and Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned
To protect the national security of the United States by strengthening review of foreign adversary investments in the general aviation sector, and for other purposes.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
(a) Short title.—This Act may be cited as the “General Aviation Protection Act” or the “GAP Act”.
(b) Table of contents.—The table of contents of this Act is as follows:
(a) Findings.—Congress finds the following:
(1) The general aviation sector of the United States represents a critical component of the national aerospace and defense industrial base. General aviation aircraft, engines, avionics systems, and related technologies support pilot training pipelines for both civilian and military aviators, serve as platforms for surveillance, logistics, and emergency response operations, and form an integral part of the supply chains supporting the United States Armed Forces and Federal agencies.
(2) The People’s Republic of China (PRC) has, over the past two decades, systematically acquired United States general aviation manufacturers, engine producers, avionics firms, and flight training infrastructure, including through entities wholly owned or directed by the Aviation Industry Corporation of China (AVIC), a conglomerate designated as a Chinese military company under section 1237 of the National Defense Authorization Act for Fiscal Year 1999 (50 U.S.C. 1701 note) and listed on the Non-SDN Chinese Military-Industrial Complex Companies List (NS-CMIC List) maintained by the Office of Foreign Assets Control.
(3) PRC entities have made more than 20 acquisitions of, investments in, or joint venture agreements with United States general aviation companies since 2005, spanning engine manufacturers, airframe producers, avionics developers, helicopter manufacturers, and flight training operators. The pattern and pace of these transactions, their concentration in strategically sensitive subsectors, and their alignment with stated PRC industrial policy objectives constitute a coordinated campaign rather than ordinary commercial investment activity.
(4) These acquisitions have resulted in the transfer to PRC-controlled entities of Federal Aviation Administration (FAA) production certificates, advanced composite airframe manufacturing expertise, high-efficiency piston engine technology, and FAA-certified avionics integration knowledge, capabilities that carry direct application to unmanned aerial systems, military trainers, and dual-use aviation platforms.
(5) Congress has previously recognized analogous national security risks in other sectors and taken corrective action, including through the Protecting Americans from Foreign Adversary Controlled Applications Act (Public Law 118–50), restrictions on Huawei and ZTE Corporation equipment in United States telecommunications networks under the Secure and Trusted Communications Networks Act of 2019 (47 U.S.C. 1601 et seq.), and prohibitions on AVIC-affiliated entities in United States defense procurement. The general aviation sector warrants equivalent congressional attention and protection.
(b) Amendments to the defense production act of 1950.—Section 721 of the Defense Production Act of 1950 (50 U.S.C. 4565) is amended—
(A) by redesignating paragraphs (8) through (13) as paragraphs (10) through (15), respectively; and
(B) by inserting after paragraph (7) the following new paragraphs:
“(8) COVERED AVIATION TRANSACTION.—The term ‘covered aviation transaction’ means any covered transaction in which—
“(A) the acquirer is a foreign person from a country of concern; and
“(B) the United States business is a covered general aviation entity.
“(9) COVERED GENERAL AVIATION ENTITY.—The term ‘covered general aviation entity’ means any United States business that—
“(A) holds an FAA production certificate issued pursuant to part 21 of title 14, Code of Federal Regulations, for the manufacture of aircraft engines, propellers, or airframes intended for use in the United States civil aviation fleet;
“(B) designs, manufactures, or sells avionics or flight control systems, including autopilot systems, glass cockpit displays, or air-to-ground data link systems, intended primarily for general aviation aircraft, as that term is defined in section 40102(a)(17) of title 49, United States Code;
“(C) is a type certificate holder or production certificate holder under part 21 of title 14, Code of Federal Regulations, for helicopters or light rotorcraft with a maximum certificated takeoff weight of 12,500 pounds or less; or
“(D) holds a certificate of approval as an FAA-certificated pilot school under part 141 of title 14, Code of Federal Regulations, or an aviation training center under part 142 of title 14, Code of Federal Regulations, and is located within 50 nautical miles of a military installation (as such term is defined in section 802.227 of title 31, Code of Federal Regulations).”;
(2) in subsection (b)(1)(C)(v)(IV), by adding at the end the following:
“(hh) COVERED AVIATION TRANSACTION.—The Committee shall require a declaration under this subclause for a covered aviation transaction.”; and
(A) in paragraph (10), by striking “and” at the end;
(B) by redesignating paragraph (11) as paragraph (13); and
(C) by inserting after paragraph (10) the following:
“(11) with respect to a covered aviation transaction—
“(A) the applicability of the acquirer’s home country’s military-civil fusion policies, or analogous policies, to the acquired United States business;
“(B) the dual-use potential of the products, technologies, or manufacturing processes of the acquired business for unmanned aerial systems or military aviation platforms; and
“(C) the acquired business’s participation in FAA certification programs, supply chains supporting Federal agencies, or flight training programs that train foreign nationals;
“(12) if a business has an ultimate foreign parent entity on the NS-CMIC List, the Entity List maintained under part 744 of title 15, Code of Federal Regulations, or the Specially Designated Nationals and Blocked Persons List; and”.
(c) Implementing regulations.—Not later than 180 days after the date of enactment of this Act, the Secretary of the Treasury, in coordination with the Secretary of Defense, the Secretary of Transportation, and the Secretary of Commerce, shall promulgate regulations implementing the amendments made by subsection (b).
(a) In general.—Section 721(a)(4)(B)(ii) of the Defense Production Act of 1950 (50 U.S.C. 4565(a)(4)(B)(ii)) is further amended—
(1) in subclause (II)(bb)(CC), by striking “and” at the end;
(2) in subclause (III), by striking the period at the end and inserting “; and”; and
(3) by adding at the end the following:
“(IV) is general aviation airport certificated under part 139 of title 14, Code of Federal Regulations, or any real property—
“(aa) used or intended to be used as a fixed-base operator facility, hangar, flight school campus, or general aviation maintenance facility; and
“(bb) located within 50 nautical miles of a military installation (as such term is defined in section 802.227 of title 31, Code of Federal Regulations) or within 10 nautical miles of Class B or Class C airspace surrounding a major civil-military joint-use airport.”.
(b) Rebuttable presumption.—When evaluating any real estate transaction described in subsection (a) in which the acquirer is a foreign person from a country of concern, the Committee shall presume that such transaction poses a risk to national security but such presumption may be rebutted with a showing of clear and convincing evidence that the transaction will not provide the foreign person with—
(1) a capability to conduct surveillance, signals collection, or intelligence gathering at or near a military installation or restricted airspace;
(2) persistent physical access to aviation infrastructure supporting United States civil or military operations; or
(3) a base of operations for flight training activities that would benefit the military aviation programs of a country of concern.
Section 721 of the Defense Production Act of 1950 (50 U.S.C. 4565) is further amended by adding at the end the following:
“(r) Rebuttable presumption of prohibition for covered aviation transactions.—
“(1) PRESUMPTION.—Notwithstanding any other provision of this section, a covered aviation transaction shall be prohibited with respect to any covered aviation transaction in which the acquirer—
“(A) is an entity owned by, controlled by, or subject to the jurisdiction or direction of a country of concern, including any entity in which a government of a country of concern holds, directly or indirectly, a 5-percent or greater equity interest;
“(B) is an entity on the Non-SDN Chinese Military-Industrial Complex Companies List (NS-CMIC List) maintained by the Office of Foreign Assets Control, or any subsidiary, parent, affiliate, or successor entity thereof;
“(C) is an entity, based on credible evidence as determined by the Committee, that is acting as a conduit, nominee, or front company for any entity described in subparagraph (A) or (B); or
“(D) derives 10 percent or more of its operating income, as determined under the General Accepted Accounting Principles published by the Financial Accounting Standards Board, from an entity based in a country of concern.
“(2) REBUTTAL.—The presumption established under paragraph (1) may be rebutted only by the acquirer, by clear and convincing evidence submitted to the Committee demonstrating that—
“(A) the transaction does not create any risk of transfer of technology, manufacturing know-how, FAA certification data, or engineering talent to a country of concern;
“(B) enforceable, verifiable mitigation measures exist that would prevent any such transfer;
“(C) the transaction does not undermine the availability or integrity of the United States civil aviation supply chain; and
“(D) approval of the transaction is in the national security interest of the United States.
“(3) NO MITIGATION FOR CERTAIN ENTITIES.—With respect to any acquirer that is an entity listed on the NS-CMIC List or any entity in which the government of a country of concern holds, directly or indirectly, 25 percent or greater equity or voting interest, no mitigation agreement under subsection (l) shall be considered sufficient to rebut the presumption established under paragraph (1). The President may only approve such a transaction upon a written determination to Congress, included in the reporting required under subsection (m), that approval is in the paramount national security interest of the United States.”.
(a) Findings.—Congress finds that certain general aviation technologies have significant dual-use potential, including for unmanned aerial systems, military trainers, and tactical aviation platforms, but are not currently classified as controlled items on the Commerce Control List (CCL) maintained pursuant to part 774 of title 15, Code of Federal Regulations, or are controlled at inadequate levels relative to their strategic significance.
(b) Required review.—Not later than 180 days after the date of enactment of this Act, the Secretary of Commerce, in coordination with the Secretary of Defense and the Secretary of State, shall conduct a comprehensive review of the CCL and related Export Administration Regulations under the Export Control Reform Act of 2018 (50 U.S.C. 4811 et seq.) to determine whether the following technologies should be newly classified or reclassified as controlled items requiring a license for export, reexport, or in-country transfer to countries of concern:
(1) HIGH-EFFICIENCY PISTON AND SMALL TURBOPROP ENGINES.—
(A) Diesel-cycle and Jet-A-fuel capable horizontally opposed piston aircraft engines producing 100 shaft horsepower or greater, including associated type certificate data, manufacturing process know-how, and fuel injection and ignition systems.
(B) Small turboprop engines with a maximum continuous power output below 2,000 shaft horsepower, including associated reduction gearboxes, full authority digital engine control systems, and maintenance data packages.
(C) Engine test cell equipment, tooling, and software capable of certifying the engines described in subparagraphs (A) and (B) to FAA or equivalent standards.
(2) ADVANCED COMPOSITE AIRFRAMES AND STRUCTURAL SYSTEMS.—
(A) Carbon fiber and advanced composite airframe structures, tooling, and layup processes used in the production of high-performance general aviation aircraft, including structural health monitoring systems using embedded sensor arrays or acoustic emission detection capable of real-time structural integrity assessment.
(B) Associated design data, finite element analysis models, and FAA-approved structural repair manuals for composite airframes that would enable foreign entities to reproduce or adapt airframe designs for unmanned or military platforms.
(3) AVIONICS AND FLIGHT CONTROL SYSTEMS.—
(A) Autopilot and flight director systems capable of coupling with a flight management system and executing instrument approaches to Category I precision minimums or better, when designed or adaptable for platforms with a maximum takeoff weight below 12,500 pounds.
(B) Fly-by-wire flight control systems for general aviation or light sport aircraft.
(C) Integrated avionics suites combining navigation, communication, surveillance, and flight management functions on a common software-defined architecture, when such architecture is capable of software reconfiguration to support unmanned flight operations.
(D) Air-to-ground and air-to-air data link systems operating in frequency bands allocated for aeronautical mobile services, when combined with or capable of integration with an autopilot or flight management system.
(c) Report to congress.—Not later than 270 days after the date of enactment of this Act, the Secretary of Commerce shall submit to the Committee on Foreign Affairs and the Committee on Armed Services of the House of Representatives, and the Committee on Foreign Relations and the Committee on Armed Services of the Senate, a report setting forth—
(1) the findings of the review conducted under subsection (b);
(2) the specific Export Control Classification Number revisions, new entries, or license requirements the Secretary has implemented or proposes to implement with respect to each technology category described in subsection (b); and
(3) any interagency disagreements regarding classification decisions and how such disagreements were or are being resolved.
(d) Wassenaar arrangement and multilateral controls.—The Secretary of State, in coordination with the Secretary of Commerce and the Secretary of Defense, shall seek to advance analogous control measures for the technologies described in subsection (b) through the Wassenaar Arrangement on Export Controls for Conventional Arms and Dual-Use Goods and Technologies and other applicable multilateral export control regimes, consistent with United States national security and foreign policy objectives.
(a) Findings.—Congress finds that—
(1) the outbound investment notification program established pursuant to Executive Order 14105 of August 9, 2023 (88 Fed. Reg. 54867), and the implementing regulations promulgated by the Department of the Treasury at part 850 of title 31, Code of Federal Regulations, do not currently encompass general aviation-sector transactions; and
(2) United States persons investing in PRC projects involving general aviation airframes, engines, or avionics risk facilitating technology transfer that serves PRC Military-Civil Fusion objectives and strengthens the aviation-industrial base of a country of concern.
(b) Covered outbound general aviation transactions.—Not later than 180 days after the date of enactment of this Act, the Secretary of the Treasury, in consultation with the Secretary of Commerce and the Secretary of Defense, shall promulgate regulations to require any United States person to—
(1) submit a mandatory notification to the Department of the Treasury before completing any transaction that would constitute a covered outbound general aviation transaction; and
(2) for any transaction described in subsection (c)(2)(B), obtain prior approval from the Department of the Treasury before completing such transaction.
(c) Definitions.—For purposes of this section:
(1) COVERED FOREIGN ENTITY.—The term “covered foreign entity” means an entity organized under the laws of, or with its principal place of business in, a country of concern.
(2) COVERED OUTBOUND GENERAL AVIATION TRANSACTION.—The term “covered outbound general aviation transaction” means any of the following transactions by a United States person with a covered foreign entity:
(A) NOTIFICATION-REQUIRED TRANSACTIONS.—Any acquisition of an equity interest or contingent equity interest in a covered foreign entity that is engaged in the development, manufacture, or sale of—
(i) general aviation airframes or rotorcraft structures, including composite airframe manufacturing;
(ii) aircraft engines or propulsion systems designed or adaptable for general aviation or unmanned aerial system applications; or
(iii) avionics, autopilot, or flight management systems for general aviation platforms.
(B) APPROVAL-REQUIRED TRANSACTIONS.—Any transaction described in subparagraph (A) in which the covered foreign entity—
(i) is owned by, controlled by, or subject to the direction of the government of a country of concern;
(ii) is listed, or whose ultimate parent is listed, on the NS-CMIC List; or
(iii) has, within the preceding 5 years, entered into a formal cooperation agreement, joint venture, or technology-sharing arrangement with an entity of a country of concern’s military, paramilitary, or state security apparatus.
(3) UNITED STATES PERSON.—The term “United States person” has the meaning given that term in section 850.101 of title 31, Code of Federal Regulations (or any successor regulation).
(d) Civil penalties.—Any United States person that fails to submit a notification required under subsection (b)(1), or that completes a transaction requiring prior approval under subsection (b)(2) without such approval, shall be subject to civil monetary penalties in accordance with section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705), as applicable.
(e) Relationship to existing outbound investment program.—The notification and approval requirements established pursuant to this section shall be implemented as an amendment to, or in coordination with, the program established under part 850 of title 31, Code of Federal Regulations, and shall apply in addition to, and not in lieu of, any requirements under Executive Order 14105 or any successor order.
Not later than 180 days after the date of enactment of this Act, the Committee on Foreign Investment in the United States shall—
(1) conduct a comprehensive review of all previously completed transactions in which a foreign person from a country of concern acquired a covered general aviation entity;
(2) determine, for each such transaction, whether—
(A) the national security agreement or mitigation measures (if any) in effect with respect to such transaction remain adequate to protect United States national security in light of the designations of the acquirer or its affiliates under the NS-CMIC List, the Department of Defense’s Section 1260H list, or any applicable export control order; and
(B) changed circumstances, including applicable designations or new intelligence assessments, warrant reopening the review of such transaction pursuant to section 721 of the Defense Production Act of 1950 (50 U.S.C. 4565); and
(3) submit to the Committee on Financial Services and the Committee on Armed Services of the House of Representatives, and the Committee on Banking, Housing, and Urban Affairs and the Committee on Armed Services of the Senate, a classified report setting forth—
(A) the transactions reviewed pursuant to paragraph (1), including the identity of each foreign acquirer and each acquired general aviation entity;
(B) the determination made pursuant to paragraph (2) with respect to each such transaction; and
(C) any actions taken or recommended by the Committee as a result of such determinations, including any recommendation for divestiture pursuant to section 721 of the Defense Production Act of 1950 (50 U.S.C. 4565).
(a) Directed review.—Not later than 270 days after the date of enactment of this Act, the Administrator of the Federal Aviation Administration, in coordination with the Director of the Cybersecurity and Infrastructure Security Agency and the Secretary of Defense, shall conduct a comprehensive supply chain integrity audit of all avionics systems, flight control systems, and aircraft engine control systems (including full authority digital engine control systems) that are designed, manufactured, or maintained by any covered general aviation entity that is owned, controlled, or directed by a foreign person from a country of concern and that holds any of the following:
(1) A production certificate issued pursuant to part 21 of title 14, Code of Federal Regulations.
(2) A parts manufacturer approval issued pursuant to part 21 of title 14, Code of Federal Regulations.
(3) A technical standard order authorization issued pursuant to part 21 of title 14, Code of Federal Regulations.
(b) Scope.—The audit required under subsection (a) shall assess—
(1) whether any such system contains unauthorized hardware components, embedded firmware, or software code capable of enabling remote access, data exfiltration, or operational interference by a foreign person;
(2) whether existing FAA certification processes are adequate to detect such components; and
(3) whether any mitigation agreements in effect with respect to such entities adequately address supply chain integrity risks.
(c) Technical assistance.—In carrying out the audit required under subsection (a), the FAA Administrator and the Director of the Cybersecurity and Infrastructure Security Agency may request technical assistance from the Director of the National Security Agency and the Director of the Defense Advanced Research Projects Agency, including hardware forensic analysis, firmware reverse engineering, and adversarial threat assessment support. The Director of the National Security Agency and the Director of the Defense Advanced Research Projects Agency are authorized to provide such assistance consistent with their respective statutory authorities.
(d) Remedial authority.—Upon a finding that any system audited under subsection (a) contains a component described in subsection (b)(1), the FAA Administrator may, consistent with part 39 of title 14, Code of Federal Regulations, issue an airworthiness directive requiring inspection, modification, or replacement of the affected system.
(e) Report.—Not later than 1 year after the date of enactment of this Act, the FAA Administrator shall submit to the relevant congressional committees a report, which may include a classified annex, describing the findings of the audit and any remedial actions taken or recommended.
(a) Prohibition.—Notwithstanding any other provision of law, no Federal funds appropriated or otherwise made available on or after the date of enactment of this Act shall be obligated or expended as a loan, loan guarantee, grant, or contract with any covered general aviation entity that—
(1) that is owned by, controlled by, or subject to the direction of—
(A) a foreign person from a country of concern;
(B) any entity listed on the NS-CMIC List; or
(C) any entity in which the government of a country of concern holds, directly or indirectly, a 5 percent or greater equity interest; or
(2) that derives 10 percent or more of its operating income, as determined under the General Accepted Accounting Principles published by the Financial Accounting Standards Board, from an entity based in a country of concern.
(b) Clawback authority.—The head of any Federal agency shall take all available legal measures to recover Federal financial assistance, including through demand letters, administrative offset under section 3716 of title 31, United States Code, or referral to the Department of Justice for civil recovery under section 516 of title 28, United States Code, where—
(1) such assistance was obligated or expended on or after the date of enactment of this Act in violation of the prohibition established under subsection (a); or
(2) such assistance was obligated or expended on or after the date of enactment of this Act to an entity that subsequently became subject to the prohibition under subsection (a) as a result of a post-enactment change in ownership or control.
(c) Covered Federal financial assistance.—For purposes of this section, the term “Federal financial assistance” includes—
(1) loans, grants, or loan guarantees provided under any provision of Federal law, including programs administered by the Small Business Administration under the Small Business Act (15 U.S.C. 631 et seq.);
(2) contracts or subcontracts awarded pursuant to the Federal Acquisition Regulation (48 CFR chpt. 1); and
(3) any other direct or indirect Federal financial benefit of a value exceeding $50,000 in any 12-month period.
(d) Certification requirement.—As a condition of receiving any Federal financial assistance described in subsection (c), a covered general aviation entity shall annually certify to the relevant Federal agency, under penalty of section 1001 of title 18, United States Code, that—
(1) it is not owned, controlled, or directed by a foreign person from a country of concern and that no such foreign person holds, directly or indirectly, 5 percent or more of any class of its equity or voting interests; and
(2) it does not derive 10 percent or more of its operating income, as determined under the General Accepted Accounting Principles published by the Financial Accounting Standards Board, from an entity based in a country of concern.
(e) Foreign ownership disclosure requirement.—
(1) IN GENERAL.—Any covered general aviation entity that is owned, controlled, or directed, directly or indirectly, by a foreign person holding 5 percent or more of any class of equity or voting interests or that derives 10 percent or more of its operating income (as determined under the General Accepted Accounting Principles published by the Financial Accounting Standards Board) from an entity based in a country of concern shall prominently disclose such foreign ownership in each of the following:
(A) FAA PRODUCTION CERTIFICATE FILINGS.—Any application for, renewal of, or amendment to a production certificate issued pursuant to part 21 of title 14, Code of Federal Regulations, shall include a disclosure statement identifying—
(i) the name, nationality, and jurisdiction of organization of each foreign person holding, directly or indirectly, 5 percent or more of any class of equity or voting interests in the applicant or certificate holder;
(ii) the percentage interest held by each such foreign person; and
(iii) whether any such foreign person is an entity of a country of concern, is listed on the NS-CMIC List, the Entity List maintained under part 744 of title 15, Code of Federal Regulations, or the Specially Designated Nationals and Blocked Persons List.
(B) FEDERAL CONTRACT AND GRANT APPLICATIONS.—Any application, offer, bid, or proposal submitted by a covered general aviation entity in connection with any Federal contract, subcontract, grant, cooperative agreement, or other Federal financial assistance described in subsection (c) shall include, on the face of such submission, a disclosure statement containing the information required under subparagraph (A)(i) through (iii).
(2) IMPLEMENTING REGULATIONS.—Not later than 180 days after the date of enactment of this Act, the Administrator of the FAA and the Federal Acquisition Regulatory Council shall each promulgate such regulations as may be necessary to implement paragraph (1) within their respective jurisdictions, including regulations specifying the form, placement, and timing of required disclosure statements.
(A) Any covered general aviation entity that knowingly fails to make a disclosure required under paragraph (1), or that knowingly makes a false or misleading disclosure, shall be subject to civil monetary penalties as determined by the relevant Federal agency.
(B) In addition to the civil penalties under subparagraph (A), any knowing false or misleading disclosure made in connection with a Federal contract, grant, or financial assistance application shall constitute a violation of section 1001 of title 18, United States Code, and may subject the entity and its responsible officers to criminal prosecution thereunder.
(C) The FAA Administrator may suspend or revoke a production certificate held by any entity that knowingly fails to make or falsifies a disclosure required under paragraph (1)(A), consistent with the procedures under part 13 of title 14, Code of Federal Regulations.
(4) RELATIONSHIP TO CERTIFICATION REQUIREMENT.—The disclosure requirement under this subsection is in addition to, and shall not be construed to limit or substitute for, the annual certification requirement under subsection (d).
In this Act, unless otherwise provided:
(1) CFIUS.—The term “CFIUS” or “Committee” means the Committee on Foreign Investment in the United States established under section 721(k) of the Defense Production Act of 1950 (50 U.S.C. 4565(k)).
(2) COUNTRY OF CONCERN.—The term “country of concern” has the meaning given the term in section 809 of the Defense Production Act of 1950 (50 U.S.C. 4589).
(3) COVERED GENERAL AVIATION ENTITY.—The term “covered general aviation entity” means any United States business that—
(A) holds an FAA production certificate issued pursuant to part 21 of title 14, Code of Federal Regulations, for the manufacture of aircraft engines, propellers, or airframes intended for use in the United States civil aviation fleet;
(B) designs, manufactures, or sells avionics or flight control systems, including autopilot systems, glass cockpit displays, or air-to-ground data link systems, intended primarily for general aviation aircraft, as that term is defined in section 40102(a)(17) of title 49, United States Code;
(C) is a type certificate holder or production certificate holder under part 21 of title 14, Code of Federal Regulations, for helicopters or light rotorcraft with a maximum certificated takeoff weight of 12,500 pounds or less; or
(D) holds a certificate of approval as an FAA-certificated pilot school under part 141 of title 14, Code of Federal Regulations, or an aviation training center under part 142 of title 14, Code of Federal Regulations, and is located within 50 nautical miles of a military installation (as such term is defined in section 802.227 of title 31, Code of Federal Regulations).
(4) FAA.—The term “FAA” means the Federal Aviation Administration.
(5) GENERAL AVIATION.—The term “general aviation” has the meaning given the term “general aviation aircraft” in section 40102(a)(17) of title 49, United States Code.
(6) MILITARY-CIVIL FUSION.—The term “military-civil fusion” means the strategy of the People’s Republic of China, codified in the PRC’s National Intelligence Law of 2017 and related policies, that requires civilian entities, including private companies, to support, cooperate with, and strengthen the military, defense mobilization, and intelligence apparatus of the PRC upon demand.
(7) NS-CMIC LIST.—The term “NS-CMIC List” means the Non-SDN Chinese Military-Industrial Complex Companies List maintained by the Office of Foreign Assets Control of the Department of the Treasury pursuant to Executive Order 13959 (85 Fed. Reg. 73185), as amended, or any successor list.
(8) TYPE CERTIFICATE; PRODUCTION CERTIFICATE.—The terms “type certificate” and “production certificate” have the meanings given those terms under part 21 of title 14, Code of Federal Regulations.
If any provision of this Act, or the application of any such provision to any person or circumstance, is held to be unconstitutional, the remainder of this Act, and the application of the remaining provisions to any person or circumstance, shall not be affected thereby.
Except as otherwise specifically provided in this Act, this Act shall take effect on the date of its enactment. The amendments made by sections 2, 3, and 4 shall apply to transactions for which a definitive agreement is entered into on or after the date of enactment. The review directed under section 7 shall apply to all previously completed transactions, regardless of the date of completion. The prohibition and clawback authority under section 9(a) and (b) shall apply only to Federal financial assistance obligated or expended on or after the date of enactment; nothing in section 9 shall be construed to impose liability, require repayment, or authorize recovery with respect to any Federal financial assistance obligated or expended prior to the date of enactment, except as may be available under the False Claims Act (31 U.S.C. 3729 et seq.) or other law in effect at the time such assistance was provided.