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<dc:title>119 HR 9707 IH: General Aviation Protection Act</dc:title>
<dc:publisher>U.S. House of Representatives</dc:publisher>
<dc:date>2026-07-15</dc:date>
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<dc:language>EN</dc:language>
<dc:rights>Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.</dc:rights>
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<distribution-code display="yes">I</distribution-code><congress display="yes">119th CONGRESS</congress><session display="yes">2d Session</session><legis-num display="yes">H. R. 9707</legis-num><current-chamber>IN THE HOUSE OF REPRESENTATIVES</current-chamber><action display="yes"><action-date date="20260715">July 15, 2026</action-date><action-desc><sponsor name-id="H001101">Mr. Harrigan</sponsor> (for himself and <cosponsor name-id="M001230">Mr. Mackenzie</cosponsor>) introduced the following bill; which was referred to the <committee-name committee-id="HBA00">Committee on Financial Services</committee-name>, and in addition to the Committees on <committee-name committee-id="HFA00">Foreign Affairs</committee-name>, <committee-name committee-id="HIF00">Energy and Commerce</committee-name>, <committee-name committee-id="HPW00">Transportation and Infrastructure</committee-name>, <committee-name committee-id="HGO00">Oversight and Government Reform</committee-name>, and <committee-name committee-id="HSM00">Small Business</committee-name>, 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</action-desc></action><legis-type>A BILL</legis-type><official-title display="yes">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.</official-title></form><legis-body id="H4E9DBEB4D58442E4BC0C9AED61311BBA" style="OLC"> 
<section id="H73294A82946F41EE9F152F0697C61EBA" section-type="section-one"><enum>1.</enum><header>Short title; table of contents</header> 
<subsection id="H9BD8F48B77F84E06BCFD66365FE1352E">
        <enum>(a)</enum>
        <header>Short title</header>
 <text>This Act may be cited as the <quote><short-title>General Aviation Protection Act</short-title></quote> or the <quote><short-title>GAP Act</short-title></quote>.</text>
      </subsection> 
<subsection id="H874BCF05742549889A9B9EF327ABE933"><enum>(b)</enum><header>Table of contents</header><text>The table of contents of this Act is as follows:</text> <toc container-level="legis-body-container" quoted-block="no-quoted-block" lowest-level="section" regeneration="yes-regeneration" lowest-bolded-level="division-lowest-bolded"> <toc-entry idref="H73294A82946F41EE9F152F0697C61EBA" level="section">Sec. 1. Short title; table of contents.</toc-entry> <toc-entry idref="HC91D3A29AB814014AC7227DC60DB59D7" level="section">Sec. 2. Mandatory CFIUS filing for covered aviation transactions.</toc-entry> <toc-entry idref="H3C8C3A57D40D45968BFD5A96DC354F18" level="section">Sec. 3. Extended CFIUS real-estate jurisdiction for general aviation facilities.</toc-entry> <toc-entry idref="H475BA33ACEAD4F47B6D20546B4FFFE3A" level="section">Sec. 4. Rebuttable presumption of prohibition for foreign adversary acquisitions of general aviation companies.</toc-entry> <toc-entry idref="H10FD22A3F54F4AFCBBB3F39110CB01F9" level="section">Sec. 5. Review and classification of general aviation dual-use technologies.</toc-entry> <toc-entry idref="H301BED8E300C43DEA7819EC65D90162C" level="section">Sec. 6. Outbound investment notification for general aviation technologies.</toc-entry> <toc-entry idref="H56979E28B2864165B734CD8C7E99F082" level="section">Sec. 7. Review of existing foreign adversary ownership of general aviation companies.</toc-entry> <toc-entry idref="H4E975D146AA645E6948F60B70CE4CF4C" level="section">Sec. 8. Supply chain integrity audits for foreign adversary-controlled aviation certificate holders.</toc-entry> <toc-entry idref="H2E015652ED5D43B7B1D8D3C7AD381A3D" level="section">Sec. 9. Restrictions on Federal financial assistance; foreign ownership disclosure requirement.</toc-entry> <toc-entry idref="H1DBEA77D835642A297C8FC1ACFB74084" level="section">Sec. 10. Definitions.</toc-entry> <toc-entry idref="H6A096DF6A1AB4AFCAEC836FCC78022C9" level="section">Sec. 11. Severability.</toc-entry> <toc-entry idref="H3449D0BD1C84404E89FEF8C9C516EF7B" level="section">Sec. 12. Effective date.</toc-entry> </toc></subsection></section> <section id="HC91D3A29AB814014AC7227DC60DB59D7"><enum>2.</enum><header>Mandatory CFIUS filing for covered aviation transactions</header> <subsection id="HF74F7EC0EBD34800A8E5733A8CDA9923"><enum>(a)</enum><header>Findings</header><text>Congress finds the following:</text> 
<paragraph id="H723B24CED75741128758A86DE061E00C"><enum>(1)</enum><text>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.</text></paragraph> <paragraph id="H2D4B4B90BB76445BAAD16B5BD9CD8043"> <enum>(2)</enum> <text>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 (<external-xref legal-doc="usc" parsable-cite="usc/50/1701">50 U.S.C. 1701</external-xref> note) and listed on the Non-SDN Chinese Military-Industrial Complex Companies List (NS-CMIC List) maintained by the Office of Foreign Assets Control.</text>
        </paragraph> 
<paragraph id="H8EB6FADE3C1549D3A36F80CDC12F9D93"><enum>(3)</enum><text>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.</text></paragraph> <paragraph id="HD05732375FFF4A769A83DA651BC609D3"><enum>(4)</enum><text>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.</text></paragraph> 
<paragraph id="HCD6B1279ED2B4FD0B83F83348F0ED268"><enum>(5)</enum><text>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 (<external-xref legal-doc="public-law" parsable-cite="pl/118/50">Public Law 118–50</external-xref>), restrictions on Huawei and ZTE Corporation equipment in United States telecommunications networks under the Secure and Trusted Communications Networks Act of 2019 (<external-xref legal-doc="usc" parsable-cite="usc/47/1601">47 U.S.C. 1601 et seq.</external-xref>), and prohibitions on AVIC-affiliated entities in United States defense procurement. The general aviation sector warrants equivalent congressional attention and protection.</text></paragraph></subsection> <subsection id="H7F67F3ABF1C54126ACAA4E75567314A0"><enum>(b)</enum><header>Amendments to the defense production act of 1950</header><text>Section 721 of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4565">50 U.S.C. 4565</external-xref>) is amended—</text> 
<paragraph id="HD3435FF91CB54E50933E7102D8DD87F2"><enum>(1)</enum><text>in subsection (a)—</text> <subparagraph id="HC33D01A46CF341858BC3600AAB3130E4" commented="no"><enum>(A)</enum><text>by redesignating paragraphs (8) through (13) as paragraphs (10) through (15), respectively; and</text></subparagraph> 
<subparagraph id="H2B2EA20FB67C4D6E85842B51E3E23ACB"><enum>(B)</enum><text>by inserting after paragraph (7) the following new paragraphs:</text> <quoted-block id="H5B57A820A25A4461941D363B74EDE027" style="OLC"> <paragraph id="H8D4E9BCF15E44C46BDB8B7BE87A35ACD"><enum>(8)</enum><header>Covered aviation transaction</header><text>The term <term>covered aviation transaction</term> means any covered transaction in which—</text> 
<subparagraph id="H7F62B7C829A5432AB7CAA87C68CB4559"><enum>(A)</enum><text>the acquirer is a foreign person from a country of concern; and</text></subparagraph> <subparagraph id="H94BB269C5469497AB4B02C503B73E102"><enum>(B)</enum><text>the United States business is a covered general aviation entity.</text></subparagraph></paragraph> 
<paragraph id="HB19CFD22D64A4BC1BB5330544FA5FC79"><enum>(9)</enum><header>Covered general aviation entity</header><text>The term <term>covered general aviation entity</term> means any United States business that—</text> <subparagraph id="H2AFA55A0C406426D95E7D2FDC297C2AE"><enum>(A)</enum><text>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;</text></subparagraph> 
<subparagraph id="H2C5DE6A83AA4470D9F4785AA04D6347F"><enum>(B)</enum><text>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;</text></subparagraph> <subparagraph id="H5644051D65B34F5685D6A008FA63D1FF"><enum>(C)</enum><text>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</text></subparagraph> 
<subparagraph id="H08C6649E07B447E1988BA8ED94C07BBE">
                  <enum>(D)</enum>
 <text display-inline="yes-display-inline">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).</text>
                </subparagraph></paragraph><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph></paragraph> 
<paragraph id="H6F47FB47560B4EB6B95CD1535BCA188A"><enum>(2)</enum><text display-inline="yes-display-inline">in subsection (b)(1)(C)(v)(IV), by adding at the end the following:</text> <quoted-block style="OLC" id="HA8A4C041BBE64F3D9379BFC130FBA9BA" display-inline="no-display-inline"> <item id="H989BB45FA9264ED38373CEFDF180C527"><enum>(hh)</enum><header>Covered aviation transaction</header><text display-inline="yes-display-inline">The Committee shall require a declaration under this subclause for a covered aviation transaction.</text></item><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph> 
<paragraph id="HB3FC5CA6E71B484EACF06E04F8B42295"><enum>(3)</enum><text>in subsection (f)—</text> <subparagraph id="H24473DDB9F954B3B94C73A401F88E87F"><enum>(A)</enum><text>in paragraph (10), by striking <quote>and</quote> at the end;</text></subparagraph> 
<subparagraph id="H13FF9129BDF04760AB7D8BE55EA0A2D1"><enum>(B)</enum><text>by redesignating paragraph (11) as paragraph (13); and</text></subparagraph> <subparagraph id="H4847D7E1001B42D9B0422F2E59E39877"><enum>(C)</enum><text>by inserting after paragraph (10) the following:</text> 
<quoted-block style="OLC" id="H1D2AF327BC8143A689CD9B138F3083D9" display-inline="no-display-inline"> 
<paragraph id="HC39341C35AEE43A6BD0C0A04EE187022"><enum>(11)</enum><text display-inline="yes-display-inline">with respect to a covered aviation transaction—</text> <subparagraph id="H62E6ADD9D54F4C4AB869BB488A73009D"><enum>(A)</enum><text>the applicability of the acquirer’s home country’s military-civil fusion policies, or analogous policies, to the acquired United States business;</text></subparagraph> 
<subparagraph id="HD92E0E99E680412D95752C9740A62E82"><enum>(B)</enum><text>the dual-use potential of the products, technologies, or manufacturing processes of the acquired business for unmanned aerial systems or military aviation platforms; and</text></subparagraph> <subparagraph id="H0B7AF98D438442E68B9968742158DA89"><enum>(C)</enum><text>the acquired business’s participation in FAA certification programs, supply chains supporting Federal agencies, or flight training programs that train foreign nationals;</text></subparagraph></paragraph> 
<paragraph id="H1332E3F81C284E05890631223FDC7CF9">
                <enum>(12)</enum>
 <text display-inline="yes-display-inline">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</text>
              </paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph></subsection> 
<subsection id="H2D247BD161B7446FBCF5480563972244"><enum>(c)</enum><header>Implementing regulations</header><text>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).</text></subsection></section> <section id="H3C8C3A57D40D45968BFD5A96DC354F18"><enum>3.</enum><header>Extended CFIUS real-estate jurisdiction for general aviation facilities</header> <subsection id="H7AA788694C0142F3A3ED1551300B9E6B"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Section 721(a)(4)(B)(ii) of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4565">50 U.S.C. 4565(a)(4)(B)(ii)</external-xref>) is further amended—</text> 
<paragraph id="HAA156148ECB64CC69F453BC94BF76CCC" commented="no"><enum>(1)</enum><text>in subclause (II)(bb)(CC), by striking <quote>and</quote> at the end;</text></paragraph> <paragraph id="H9D12486B0B70442AA5AD897647D20E78" commented="no"><enum>(2)</enum><text>in subclause (III), by striking the period at the end and inserting <quote>; and</quote>; and</text></paragraph> 
<paragraph id="H1A2C52C0F63A4846B5432F442F3414AB"><enum>(3)</enum><text>by adding at the end the following:</text> <quoted-block id="HDAB383A89A224168B42610AAB96CE4CC" style="OLC"> <subclause id="H83CCB6FB64724FD58C631366C34D3A96"><enum>(IV)</enum><text>is general aviation airport certificated under part 139 of title 14, Code of Federal Regulations, or any real property—</text> 
<item id="HE4836FD727B443829D0E3EB820ABD958"><enum>(aa)</enum><text>used or intended to be used as a fixed-base operator facility, hangar, flight school campus, or general aviation maintenance facility; and</text></item> <item id="HEA7A574F345E4DFDB192F33D02425C0E"><enum>(bb)</enum><text display-inline="yes-display-inline">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.</text></item></subclause><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection> 
<subsection id="H4414A5B04C3840258A9AC7B8EC01A301">
        <enum>(b)</enum>
        <header>Rebuttable presumption</header>
 <text display-inline="yes-display-inline">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—</text>
        <paragraph id="HE277BD52EE0E4D2CA1D7C67F3C3817C7">
          <enum>(1)</enum>
 <text>a capability to conduct surveillance, signals collection, or intelligence gathering at or near a military installation or restricted airspace;</text>
        </paragraph>
        <paragraph id="H8C59A5B07C424AFA98D9836FC74E1B43">
          <enum>(2)</enum>
 <text>persistent physical access to aviation infrastructure supporting United States civil or military operations; or</text>
        </paragraph>
        <paragraph id="H88FF337E550F4254B93660A5CE00908A">
          <enum>(3)</enum>
 <text>a base of operations for flight training activities that would benefit the military aviation programs of a country of concern.</text>
        </paragraph>
      </subsection></section> 
<section id="H475BA33ACEAD4F47B6D20546B4FFFE3A"><enum>4.</enum><header>Rebuttable presumption of prohibition for foreign adversary acquisitions of general aviation companies</header><text display-inline="no-display-inline">Section 721 of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4565">50 U.S.C. 4565</external-xref>) is further amended by adding at the end the following:</text> <quoted-block id="H168A3BCF2BF54684BD52858F3F32E7DF" style="OLC"> <subsection id="H47D3A675BF7D454FA757758C172B8E3B"><enum>(r)</enum><header>Rebuttable presumption of prohibition for covered aviation transactions</header> <paragraph id="H49C1AE773F3F42A8BC38F10EB5748B6D"><enum>(1)</enum><header>Presumption</header><text>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—</text> 
<subparagraph id="H375BE4EA452549539F2CBD52E1F8DF6E"><enum>(A)</enum><text>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;</text></subparagraph> <subparagraph id="H13FC1A7C8B4B4FA98B30EDD3BC3FC908"> <enum>(B)</enum> <text display-inline="yes-display-inline">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;</text>
            </subparagraph> 
<subparagraph id="HB0AABAE657AA4E66A8FDDC0A6C869D6C"><enum>(C)</enum><text>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</text></subparagraph> <subparagraph id="HD849210DAD7241AE9B4A1FF32881CEDB"><enum>(D)</enum><text>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.</text></subparagraph></paragraph> 
<paragraph id="HC1256E1E9EF949C1A8527195709EDA74"><enum>(2)</enum><header>Rebuttal</header><text>The presumption established under paragraph (1) may be rebutted only by the acquirer, by clear and convincing evidence submitted to the Committee demonstrating that—</text> <subparagraph id="H6512B4B083B34AD3AB1AC48B94702B09"><enum>(A)</enum><text>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;</text></subparagraph> 
<subparagraph id="H85D1546667014C879F2AAAD37FF44A3E"><enum>(B)</enum><text>enforceable, verifiable mitigation measures exist that would prevent any such transfer;</text></subparagraph> <subparagraph id="HE9C2988B8EDC40DCB4222E442DC393DB"><enum>(C)</enum><text>the transaction does not undermine the availability or integrity of the United States civil aviation supply chain; and</text></subparagraph> 
<subparagraph id="H40D69E314F624991823D3A1F608DD30B"><enum>(D)</enum><text>approval of the transaction is in the national security interest of the United States.</text></subparagraph></paragraph> <paragraph id="HE35DC74D9233471B915B75CA07E7DEF5"> <enum>(3)</enum> <header>No mitigation for certain entities</header> <text>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.</text>
          </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section> 
<section id="H10FD22A3F54F4AFCBBB3F39110CB01F9"><enum>5.</enum><header>Review and classification of general aviation dual-use technologies</header> 
<subsection id="H32D3DDACE55342CC9D9CF6E4D7360A71"><enum>(a)</enum><header>Findings</header><text>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.</text></subsection> <subsection id="HB5BCDC26748F4E899AC83946E6F2C2F1"><enum>(b)</enum><header>Required review</header><text>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 (<external-xref legal-doc="usc" parsable-cite="usc/50/4811">50 U.S.C. 4811 et seq.</external-xref>) 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:</text> 
<paragraph id="H324799E800AF4065B2DF3E630985887C"><enum>(1)</enum><header>High-efficiency piston and small turboprop engines</header> 
<subparagraph id="HBE4DE3D1A7734F9C9402FB15F52580DE">
            <enum>(A)</enum>
 <text>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.</text>
          </subparagraph> 
<subparagraph id="HD7F1A3EE8B9242AE8FE62CC4201A9825"><enum>(B)</enum><text>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.</text></subparagraph> <subparagraph id="H8F11A5ACC8124454BAD9D41DF500E7CF"><enum>(C)</enum><text>Engine test cell equipment, tooling, and software capable of certifying the engines described in subparagraphs (A) and (B) to FAA or equivalent standards.</text></subparagraph></paragraph> 
<paragraph id="H088FB792F02441CEB6EB8238C179B0E3"><enum>(2)</enum><header>Advanced composite airframes and structural systems</header> 
<subparagraph id="H0AEBC9BFBA53412CB4F96D6E82F9810F"><enum>(A)</enum><text>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.</text></subparagraph> <subparagraph id="HD6D25654B3E74BE480D33B4185C669EB"><enum>(B)</enum><text>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.</text></subparagraph></paragraph> 
<paragraph id="H2D45589865F9441BA8E87179994B38B7"><enum>(3)</enum><header>Avionics and flight control systems</header> 
<subparagraph id="H8342A522EEF14989BDF3A06A3E4131AD"><enum>(A)</enum><text>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.</text></subparagraph> <subparagraph id="HC2A545CEEAE740CE8037E8CD7D82E131"><enum>(B)</enum><text>Fly-by-wire flight control systems for general aviation or light sport aircraft.</text></subparagraph> 
<subparagraph id="H08E097DC22074D23A94C5DEC06D3C78F"><enum>(C)</enum><text>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.</text></subparagraph> <subparagraph id="H128C3B5CEFA648E4B3B2AB57A3D599D9"><enum>(D)</enum><text>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.</text></subparagraph></paragraph></subsection> 
<subsection id="H857804997F7F4000A38C6D326EDAF356"><enum>(c)</enum><header>Report to congress</header><text>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—</text> <paragraph id="HA6D2075226CE4147A09F385E0508F72B"><enum>(1)</enum><text>the findings of the review conducted under subsection (b);</text></paragraph> 
<paragraph id="H82943472FF34457E9A9C4ED4BCE027DA"><enum>(2)</enum><text>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</text></paragraph> <paragraph id="H6D602C0B6E8B4E8BACA4D76F37D7ACA9"><enum>(3)</enum><text>any interagency disagreements regarding classification decisions and how such disagreements were or are being resolved.</text></paragraph></subsection> 
<subsection id="HC648B87C8045419ABFE72AAEA7549CFC"><enum>(d)</enum><header>Wassenaar arrangement and multilateral controls</header><text>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.</text></subsection></section> <section id="H301BED8E300C43DEA7819EC65D90162C"><enum>6.</enum><header>Outbound investment notification for general aviation technologies</header> <subsection id="H9DF397BB96D3410886D0BBB4CB02B0E0"><enum>(a)</enum><header>Findings</header><text>Congress finds that—</text> 
<paragraph id="HD5F48828BAE2425EA6DCF21323323172">
          <enum>(1)</enum>
 <text>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</text>
        </paragraph> 
<paragraph id="H4339626858E04E3F8EE300EAAD9088EE"><enum>(2)</enum><text>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.</text></paragraph></subsection> <subsection id="H5EB8EA01ADAA468394AE4272B642A8BF"><enum>(b)</enum><header>Covered outbound general aviation transactions</header><text>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—</text> 
<paragraph id="HC7CD8E332A5944A3ABA104E4BDEE9C95"><enum>(1)</enum><text>submit a mandatory notification to the Department of the Treasury before completing any transaction that would constitute a covered outbound general aviation transaction; and</text></paragraph> <paragraph id="H103BA357FCCB4C6EB07D13F791072C0E"><enum>(2)</enum><text>for any transaction described in subsection (c)(2)(B), obtain prior approval from the Department of the Treasury before completing such transaction.</text></paragraph></subsection> 
<subsection id="HE28BBD4EE317464282F3691423F80C52"><enum>(c)</enum><header>Definitions</header><text>For purposes of this section:</text> <paragraph id="H54B7F88867D6420C8A11F28CE5B2BC22"><enum>(1)</enum><header>Covered foreign entity</header><text>The term <term>covered foreign entity</term> means an entity organized under the laws of, or with its principal place of business in, a country of concern.</text></paragraph> 
<paragraph id="HAD6CF6E623E346C8929929EC852D3E36"><enum>(2)</enum><header>Covered outbound general aviation transaction</header><text>The term <term>covered outbound general aviation transaction</term> means any of the following transactions by a United States person with a covered foreign entity:</text> <subparagraph id="H9DCA7F6F3EE541759546EE859660DC4F"><enum>(A)</enum><header>Notification-required transactions</header><text>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—</text> 
<clause id="H6966F26FECFC409F9C2B17D46503CAB1"><enum>(i)</enum><text>general aviation airframes or rotorcraft structures, including composite airframe manufacturing;</text></clause> <clause id="HCF71152F534B48C6851B889974754350"><enum>(ii)</enum><text>aircraft engines or propulsion systems designed or adaptable for general aviation or unmanned aerial system applications; or</text></clause> 
<clause id="HA9E343AB9A1C4CCB98E46BF9AE3C0D9B"><enum>(iii)</enum><text>avionics, autopilot, or flight management systems for general aviation platforms.</text></clause></subparagraph> <subparagraph id="HEB77F8C5EF7D45CFA13E957E5052C417"><enum>(B)</enum><header>Approval-required transactions</header><text>Any transaction described in subparagraph (A) in which the covered foreign entity—</text> 
<clause id="H7137BA05373A40E88C49158D88F0175F"><enum>(i)</enum><text>is owned by, controlled by, or subject to the direction of the government of a country of concern;</text></clause> <clause id="H3CA40C2C3DD747208C5BC22027DB09E4"> <enum>(ii)</enum> <text>is listed, or whose ultimate parent is listed, on the NS-CMIC List; or</text>
            </clause> 
<clause id="H350E4CFACA984DF88F690009795526F7"><enum>(iii)</enum><text>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.</text></clause></subparagraph></paragraph> <paragraph id="H24B609D4B094477E912A4F809EB91FE9"><enum>(3)</enum><header>United states person</header><text>The term <term>United States person</term> has the meaning given that term in section 850.101 of title 31, Code of Federal Regulations (or any successor regulation).</text></paragraph> </subsection> 
<subsection id="HC67C5F4CF1C3468D85917B2D46C7CBBD"><enum>(d)</enum><header>Civil penalties</header><text>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 (<external-xref legal-doc="usc" parsable-cite="usc/50/1705">50 U.S.C. 1705</external-xref>), as applicable.</text></subsection> <subsection id="HEFDC8A618F50449E86600C57A688F20F"><enum>(e)</enum><header>Relationship to existing outbound investment program</header><text>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.</text></subsection></section> 
<section id="H56979E28B2864165B734CD8C7E99F082" commented="no"><enum>7.</enum><header>Review of existing foreign adversary ownership of general aviation companies</header> <text display-inline="no-display-inline">Not later than 180 days after the date of enactment of this Act, the Committee on Foreign Investment in the United States shall—</text> <paragraph id="HD22625F4BBF2457BB3E4E3BB93AE094B" commented="no"><enum>(1)</enum><text display-inline="yes-display-inline">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;</text></paragraph> 
<paragraph id="HB51BF8B4DBB84BE29FE01CD4A72A827C" commented="no"><enum>(2)</enum><text>determine, for each such transaction, whether—</text> <subparagraph id="H2B370BACC6AF454FA11A3BCC745105A7" commented="no"> <enum>(A)</enum> <text>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</text>
        </subparagraph> 
<subparagraph id="HA3AB4E018A214DD098B38AB272D0B5A5" commented="no"><enum>(B)</enum><text display-inline="yes-display-inline">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 (<external-xref legal-doc="usc" parsable-cite="usc/50/4565">50 U.S.C. 4565</external-xref>); and</text></subparagraph></paragraph> <paragraph id="H8D8BB33BA12D466087D0B04BD7F65E7C" commented="no"><enum>(3)</enum><text>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—</text> 
<subparagraph id="H1B52F5BDD54A4D9EBBC35A4D3AED9906" commented="no"><enum>(A)</enum><text>the transactions reviewed pursuant to paragraph (1), including the identity of each foreign acquirer and each acquired general aviation entity;</text></subparagraph> <subparagraph id="H9FDCEF6B1D1B40A49579E316512F019E" commented="no"><enum>(B)</enum><text>the determination made pursuant to paragraph (2) with respect to each such transaction; and</text></subparagraph> 
<subparagraph id="H0850AAF1BFCF4E439C2C8EF065362B84" commented="no"><enum>(C)</enum><text>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 (<external-xref legal-doc="usc" parsable-cite="usc/50/4565">50 U.S.C. 4565</external-xref>).</text></subparagraph></paragraph></section> <section id="H4E975D146AA645E6948F60B70CE4CF4C"><enum>8.</enum><header>Supply chain integrity audits for foreign adversary-controlled aviation certificate holders</header> <subsection id="H2FF8A7A29E1E4CE2B6B4DD53DB9D2D7F"><enum>(a)</enum><header>Directed review</header><text>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:</text> 
<paragraph id="H381197097E8F4E19ABD8172BD52D3AC9"><enum>(1)</enum><text>A production certificate issued pursuant to part 21 of title 14, Code of Federal Regulations.</text></paragraph> <paragraph id="HE9540B3A69F54A1CAFB813ADC3B19CC0"><enum>(2)</enum><text>A parts manufacturer approval issued pursuant to part 21 of title 14, Code of Federal Regulations.</text></paragraph> 
<paragraph id="H2DA749531D924835971913F468767B7D"><enum>(3)</enum><text>A technical standard order authorization issued pursuant to part 21 of title 14, Code of Federal Regulations.</text></paragraph></subsection> <subsection id="H5E961251243E45DABFCE44F0D96F5313"><enum>(b)</enum><header>Scope</header><text>The audit required under subsection (a) shall assess—</text> 
<paragraph id="H873DD90253D6490BB6AC85D097B41B39"><enum>(1)</enum><text>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;</text></paragraph> <paragraph id="HF7B9DD59461C4DC0A51A835149F1A75A"><enum>(2)</enum><text>whether existing FAA certification processes are adequate to detect such components; and</text></paragraph> 
<paragraph id="HF332D4DDA49D49E7BD54B9E1071E684E"><enum>(3)</enum><text>whether any mitigation agreements in effect with respect to such entities adequately address supply chain integrity risks.</text></paragraph></subsection> <subsection id="H7610ED87FFB4453F836FBECFE8408371"><enum>(c)</enum><header>Technical assistance</header><text>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.</text></subsection> 
<subsection id="H7046FEA49B72498A825023A6F1F0DC33"><enum>(d)</enum><header>Remedial authority</header><text>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.</text></subsection> <subsection id="H9A2098EAF3744BE99DCC3E6B0F91F8AD"><enum>(e)</enum><header>Report</header><text>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.</text></subsection></section> 
<section id="H2E015652ED5D43B7B1D8D3C7AD381A3D"><enum>9.</enum><header>Restrictions on Federal financial assistance; foreign ownership disclosure requirement</header> 
<subsection id="H219C8E2B6BA44725B895D2B4E548C9B4"><enum>(a)</enum><header>Prohibition</header><text>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—</text> <paragraph id="H3B632704430845BF8521B63715B99673"><enum>(1)</enum><text>that is owned by, controlled by, or subject to the direction of—</text> 
<subparagraph id="H9D3351F53DDA4ABAAC35AFBEF17E0181"><enum>(A)</enum><text>a foreign person from a country of concern;</text></subparagraph> <subparagraph id="HE24A3DFFBB784470B0C9C0D6ED779B9E"> <enum>(B)</enum> <text>any entity listed on the NS-CMIC List; or</text>
          </subparagraph> 
<subparagraph id="HACA932FF9D2749DB83B71039B18C4F62"><enum>(C)</enum><text>any entity in which the government of a country of concern holds, directly or indirectly, a 5 percent or greater equity interest; or</text></subparagraph></paragraph> <paragraph id="HFE0C05FD134F43ECA8EA2AA2EC5AFEE5"><enum>(2)</enum><text display-inline="yes-display-inline">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.</text></paragraph></subsection> 
<subsection id="HED0D431DD4B044FAA50F469DAC6645F1"><enum>(b)</enum><header>Clawback authority</header><text>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—</text> <paragraph id="HE6634D7354D54C81BAFBC4542C13F080"><enum>(1)</enum><text>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</text></paragraph> 
<paragraph id="H56AF4814C48E40E299DE7FAF63F9709E"><enum>(2)</enum><text>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.</text></paragraph></subsection> <subsection id="H8F453B03699049179035570A1B635E63"><enum>(c)</enum><header>Covered Federal financial assistance</header><text>For purposes of this section, the term <term>Federal financial assistance</term> includes—</text> 
<paragraph id="H8C212770AC7E4C8FABB563295A6B72A8"><enum>(1)</enum><text>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 (<external-xref legal-doc="usc" parsable-cite="usc/15/631">15 U.S.C. 631 et seq.</external-xref>);</text></paragraph> <paragraph id="H3D9616C0563C433589AF67B4ECA04ED1"> <enum>(2)</enum> <text>contracts or subcontracts awarded pursuant to the Federal Acquisition Regulation (48 CFR chpt. 1); and</text>
        </paragraph> 
<paragraph id="H7D030329E7B146B99E3AA9069CB9CF89"><enum>(3)</enum><text>any other direct or indirect Federal financial benefit of a value exceeding $50,000 in any 12-month period.</text></paragraph></subsection> <subsection id="HB43911342DA4407CAAB0D0BAA9D48EC9"><enum>(d)</enum><header>Certification requirement</header><text>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—</text> 
<paragraph id="HF3A15C7F1D484230A651472B3089F39D"><enum>(1)</enum><text>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</text></paragraph> <paragraph id="H33B90BC2177A47699CD5B9CADC98E19D"><enum>(2)</enum><text display-inline="yes-display-inline">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.</text></paragraph></subsection> 
<subsection id="HFCA760159DB54FE5B50B5B645F1AB9F7"><enum>(e)</enum><header>Foreign ownership disclosure requirement</header> 
<paragraph id="HFCBF464D7D8A4A939CEB4F096E4EACDD"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">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:</text> <subparagraph id="H9B76AB4C7BE244F7BD360E2330A3C93A"><enum>(A)</enum><header>FAA production certificate filings</header><text>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—</text> 
<clause id="H1EFA578E0F0848FEB3329E02D092E28A"><enum>(i)</enum><text>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;</text></clause> <clause id="H533A3214A6564370BF1E4CD4A5C531B4"><enum>(ii)</enum><text>the percentage interest held by each such foreign person; and</text></clause> 
<clause id="H0426016EBE78463FAAA8F35DF05B1CAA">
              <enum>(iii)</enum>
 <text>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.</text>
            </clause></subparagraph> 
<subparagraph id="H75BD8894D89B4CCA866E85DAD8198578"><enum>(B)</enum><header>Federal contract and grant applications</header><text>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).</text></subparagraph></paragraph> <paragraph id="H0881B735911C44B7AC3BCB2E6B393CB6"><enum>(2)</enum><header>Implementing regulations</header><text>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.</text></paragraph> 
<paragraph id="H599CDF2467004F21B09DDFB2BF2F2647"><enum>(3)</enum><header>Penalties</header> 
<subparagraph id="H1C96063C07804298AF8ABA13A7F8CFFD"><enum>(A)</enum><text>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.</text></subparagraph> <subparagraph id="HFDD8BFB5B14F407F86914C660E5D5DD0"><enum>(B)</enum><text>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.</text></subparagraph> 
<subparagraph id="HE0DCB25278134254811D37E7A936088A"><enum>(C)</enum><text>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.</text></subparagraph></paragraph> <paragraph id="HDDF7C332CF574089BCDCA98415D67C0D"><enum>(4)</enum><header>Relationship to certification requirement</header><text>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).</text></paragraph></subsection></section> 
<section id="H1DBEA77D835642A297C8FC1ACFB74084"><enum>10.</enum><header>Definitions</header><text display-inline="no-display-inline">In this Act, unless otherwise provided:</text> <paragraph id="HBA93CCEB580C4B2FBCADD0EC89BEB69B"><enum>(1)</enum><header>CFIUS</header><text>The term <term>CFIUS</term> or <term>Committee</term> means the Committee on Foreign Investment in the United States established under section 721(k) of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4565">50 U.S.C. 4565(k)</external-xref>).</text></paragraph> 
<paragraph id="H2A903F28EA454191B417E4CAB1E5ADD2"><enum>(2)</enum><header>Country of concern</header><text display-inline="yes-display-inline">The term <term>country of concern</term> has the meaning given the term in section 809 of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4589">50 U.S.C. 4589</external-xref>).</text> </paragraph> <paragraph id="H6A9DF3C692F44793A12E0D4E2EF5D800"><enum>(3)</enum><header>Covered general aviation entity</header><text display-inline="yes-display-inline">The term <term>covered general aviation entity</term> means any United States business that—</text> 
<subparagraph id="H30F6B91D43A44C6F98CB8368E20F333C"><enum>(A)</enum><text>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;</text></subparagraph> <subparagraph id="HEAE3AC80F3B0487FA0CF803A3EEB3A70"><enum>(B)</enum><text>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;</text></subparagraph> 
<subparagraph id="H8CA9B8D7F2C04BD6885DF67EFDDA11B0"><enum>(C)</enum><text>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</text></subparagraph> <subparagraph id="H513B7DB525F64A6AB1F30EB942C15708"><enum>(D)</enum><text>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).</text> </subparagraph></paragraph> 
<paragraph id="H90AB43E098B9477089E3B8F98A326AA0"><enum>(4)</enum><header>FAA</header><text>The term <term>FAA</term> means the Federal Aviation Administration.</text></paragraph> <paragraph id="H83680F2E9E4246FE9967F15894172E43"><enum>(5)</enum><header>General aviation</header><text>The term <term>general aviation</term> has the meaning given the term <term>general aviation aircraft</term> in section 40102(a)(17) of title 49, United States Code.</text></paragraph> 
<paragraph id="H3866A43F0B0045F5A16B68F9FD246D53"><enum>(6)</enum><header>Military-civil fusion</header><text>The term <term>military-civil fusion</term> 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.</text></paragraph> <paragraph id="H6BFF59F156E848E3B7396E8286B45F24"> <enum>(7)</enum> <header>NS-CMIC List</header> <text>The term <term>NS-CMIC List</term> 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.</text>
      </paragraph> 
<paragraph id="H428C37F93887465B8152A21AF0AF8770"><enum>(8)</enum><header>Type certificate; production certificate</header><text>The terms <term>type certificate</term> and <term>production certificate</term> have the meanings given those terms under part 21 of title 14, Code of Federal Regulations.</text></paragraph></section> <section id="H6A096DF6A1AB4AFCAEC836FCC78022C9"><enum>11.</enum><header>Severability</header><text display-inline="no-display-inline">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.</text></section> 
<section id="H3449D0BD1C84404E89FEF8C9C516EF7B"><enum>12.</enum><header>Effective date</header><text display-inline="no-display-inline">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 (<external-xref legal-doc="usc" parsable-cite="usc/31/3729">31 U.S.C. 3729 et seq.</external-xref>) or other law in effect at the time such assistance was provided.</text></section> </legis-body></bill>

