[Congressional Record Volume 167, Number 192 (Tuesday, November 2, 2021)]
[Senate]
[Pages S7612-S7613]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 4145. Mr. TUBERVILLE (for himself and Mr. Murphy) submitted an 
amendment intended to be proposed to amendment SA 3867 submitted by Mr. 
Reed and intended to be proposed to the bill H.R. 4350, to authorize 
appropriations for fiscal year 2022 for military activities of the 
Department of Defense, for military construction, and for defense 
activities of the Department of Energy, to prescribe military personnel 
strengths for such fiscal year, and for other purposes; which was 
ordered to lie on the table; as follows:

        At the end of subtitle B of title VIII, add the following:

     SEC. 821. INDEMNIFICATION OF CONTRACTORS FOR UNUSUALLY 
                   HAZARDOUS RISKS.

       Section 2354 of title 10, United States Code, is amended--
       (1) in subsection (a)--
       (A) in the matter preceding paragraph (1)--
       (i) by inserting ``the Secretary of Defense or'' after 
     ``approval of'';
       (ii) by striking ``for research or development, or both, 
     may'' and inserting ``or Defense Agency shall''; and

[[Page S7613]]

       (iii) by striking ``either or both of''; and
       (B) in paragraphs (1) and (2), by striking ``that the 
     contract defines'' and inserting ``that subsection (b) or the 
     contract defines'';
       (2) by redesignating subsections (b), (c), and (d) as 
     subsections (c), (f), and (g), respectively;
       (3) by inserting after subsection (a) the following new 
     subsection (b):
       ``(b) For purposes of subsection (a), risk of burning, 
     explosion, detonation, flight or surface impact, or toxic or 
     hazardous material release, associated with the following 
     shall be considered unusually hazardous:
       ``(1) Any hypersonic weapon system, including boost glide 
     vehicles and air-breathing propulsion systems.
       ``(2) Rocket propulsions systems, including rockets, 
     missiles, launch vehicles, rocket engines or motors, or 
     hypersonic weapons systems using a solid or liquid high-
     energy propellant, including any warhead in excess of 1000 
     pounds of the chemical equivalent of TNT.
       ``(3) Introduction, fielding, or incorporating any item 
     containing high-energy propellants, including any warhead in 
     excess of 1000 pounds of the chemical equivalent of TNT 
     introduced, fielded, or incorporated into any ship, vessel, 
     submarine, aircraft, or spacecraft.
       ``(4) A classified program for which insurance is not 
     available as a result of the prohibition on disclosure of 
     classified information to commercial insurance providers.'';
       (4) by inserting after subsection (c), as redesignated by 
     paragraph (2), the following new subsections (d) and (e):
       ``(d) For each contract made under subsection (a) that 
     provides for indemnification, the Secretary that approved the 
     contract shall determine the maximum probable loss for claims 
     under paragraph (1) of that subsection or losses or damage 
     under paragraph (2) of that subsection, as applicable.
       ``(e)(1) A contractor that is a party to a contract made 
     under subsection (a) that provides for indemnification shall 
     obtain liability insurance to compensate for claims under 
     paragraph (1) of that subsection and losses or damage under 
     paragraph (2) of that subsection, as applicable, in amounts 
     and to the extent such insurance is available under 
     commercially reasonable terms and pricing, including any 
     limits, sub-limits, exclusions, and other coverage 
     restrictions.
       ``(2) A contractor described in paragraph (1) is not 
     required to obtain insurance in amounts greater than the 
     lesser of--
       ``(A) the amount available under commercially reasonable 
     terms and pricing; or
       ``(B) the maximum probable loss determined under subsection 
     (d).'';
       (5) in subsection (f), as so redesignated, by inserting 
     ``the Secretary of Defense,'' before ``the Secretary''; and
       (6) in subsection (g), as so redesignated--
       (A) in the matter preceding paragraph (1), by inserting 
     ``the Secretary of Defense,'' before ``the Secretary''; and
       (B) in paragraph (2), by striking ``for research or 
     development, or both,''.
                                 ______