[Congressional Record Volume 168, Number 158 (Thursday, September 29, 2022)]
[Senate]
[Pages S5683-S5684]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 6139. Mr. ROMNEY submitted an amendment intended to be proposed to
amendment SA 5499 submitted by Mr. Reed (for himself and Mr. Inhofe)
and intended to be proposed to the bill H.R. 7900, to authorize
appropriations for fiscal year 2023 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 XIV, add the following:
SEC. 1414. CRITICAL MINERAL SUPPLY CHAIN INDEPENDENCE FROM
GEOSTRATEGIC COMPETITORS AND ADVERSARIES.
(a) Statement of Policy.--It is the policy of the United
States--
(1) to expand mining and processing of critical minerals,
including rare earth elements, in the United States and in
allied countries to meet the needs of the United States
defense sector so that Department of Defense will achieve
critical mineral supply chain independence by 2027;
(2) that the Department of Defense will procure critical
minerals processed by the United States and allied countries
to replenish and expand the National Defense Stockpile to
meet growing geopolitical threats by 2027; and
(3) to develop critical mineral supply chains for the
Department of Defense that are not dependent on mining or
processing of critical minerals in countries that are
geostrategic competitors or adversaries of the United States.
(b) Report on United States and Allied Processing of
Critical Minerals Required to Achieve Defense Supply Chain
Independence.--
(1) In general.--Not later than 90 days after the date of
the enactment of this Act, the Under Secretary of Defense for
Acquisition and Sustainment shall submit to the appropriate
committees of Congress a report on the processing by the
United States and allied countries of critical minerals,
including rare earth elements, required to achieve supply
chain independence for the United States Armed Forces and
allied countries by 2027.
(2) Elements.--The report required by paragraph (1) shall
include the following:
(A) An estimate of the annual demand for processed critical
minerals for the United States Armed Forces and allied
countries.
(B) An outline of the necessary processed critical minerals
value chain required to support the needs of the Department
of Defense.
(C) An assessment of any gaps in the outline described in
subparagraph (B), indicating where sufficient United States
processing capacity exists and where such capacity does not
exist.
(D) An identification of any Federal funds, including any
funds made available under title III of the Defense
Production Act of 1950 (50 U.S.C. 4531 et seq.), being
deployed, as of the date of the report, to support
development of United States capacity to address those gaps.
(E) An estimate of the additional capital investment
required to grow and operate sufficient United States
capacity to address those gaps.
(F) An estimate of the annual funding necessary for the
Department of Defense to procure critical minerals processed
in the United States sufficient to meet the annual needs of
the Department, including consideration of increased
investments from private sector capital.
(G) An estimate of the cost difference between the
Department of Defense--
(i) sourcing critical minerals processed by the United
States;
(ii) sourcing critical minerals processed by allied
countries; and
(iii) sourcing critical minerals on the open market.
(H) An assessment of what changes, if any, are necessary to
the acquisition policies of the Department of Defense to
ensure weapon suppliers use critical minerals processed by
the United States or allied countries.
(I) An assessment of what changes, if any, to authorities
under title III of the Defense Production Act of 1950 are
necessary to enter into a long-term offtake agreement with
respect to critical minerals processed by the United States
or allied countries.
(J) An assessment of the duration of potential contracts
necessary to prevent the collapse of United States processing
of critical minerals in the event of price fluctuations
resulting from increases in the export quota of the People's
Republic of China.
(K) Recommendations for international cooperation with
allied countries to jointly reduce dependence on critical
minerals processed in or by the People's Republic of China.
(c) Strategy to Transition the Supply Chain for the
National Defense Stockpile to United States and Allied-
processed Critical Minerals by 2027.--
(1) In general.--Not later than 90 days after the report
required by subsection (b) is submitted, the Director of the
Defense Logistics Agency, in coordination with the Under
Secretary of Defense for Acquisition and Sustainment, shall
develop, and submit to the appropriate committees of
Congress, a strategy to transition the supply chain for
critical minerals, including rare earths elements, in the
National Defense Stockpile away from reliance on geostrategic
competitors and adversaries of the United States by 2027,
through acquisition of critical minerals processed by--
(A) the United States, with a preference given to critical
minerals processed in the United States; or
(B) allied countries (excluding critical minerals processed
in a country that is a geostrategic competitor or adversary
of the United States), with preference given to critical
minerals processed in such countries.
(2) Forecasted need of critical minerals.--The strategy
required by paragraph (1) shall be designed to meet the
forecasted need for critical minerals of the Department of
Defense through calendar year 2027 for--
(A) planned procurements;
(B) anticipated adoption of emerging technology; and
(C) potential increases in the National Defense Stockpile
that would be needed if the Department implements the
guidance included in the Climate Adaptation Action Plan of
the Department of Defense, dated September 2021.
(3) Elements.--The strategy required by paragraph (1) shall
include the following:
(A) A list of critical minerals in the National Defense
Stockpile.
(B) A priority ranking for transitioning the critical
minerals on the list required by subparagraph (A), developed
using, for each such mineral--
(i) the percentage of the mineral processed by foreign
sources (excluding allied countries);
(ii) the percentage of operational processing facilities
for the mineral located in the United States and in allied
countries, compared to foreign sources of the mineral
(excluding allied countries);
(iii) the quantity of the mineral required to fulfill the
purposes set forth in section 2 of the Strategic and Critical
Materials Stock Piling Act (50 U.S.C. 98a); and
(iv) any other metric, as determined by the Director and
the Under Secretary, that may be an indicator of reliance on
foreign sources (excluding allied countries) for the mineral.
(C) A process to replenish 50 percent of each mineral on
the list required by subparagraph (A) with the mineral
processed by United States or allied country processors
during the 1-year period after implementation of the
strategy.
(D) A process to replenish 95 percent of each mineral on
the list required by subparagraph (A) with the mineral
processed by United States or allied country processors
during the 3-year period after implementation of the
strategy.
(E) Recommendations to Congress with respect to any
authorities needed to implement the strategy.
(F) Any other matters related to implementing the strategy
as the Director and the Under Secretary consider appropriate.
(4) Implementation.--The Director and the Under Secretary
shall--
(A) coordinate the implementation of the processes required
by subparagraphs (C) and (D) of paragraph (3) with the
Department of Defense and activities carried out by the
Department under title III of the Defense Production Act of
1950 (50 U.S.C. 4531 et seq.); and
(B) to the greatest extent practicable, implement the
strategy required by paragraph (1) with respect to
acquisition of critical minerals for the National Defense
Stockpile with funds authorized to be appropriated by this
Act.
(5) Briefings required.--Not later than 180 days after the
submission of the strategy required by paragraph (1), and
every 180 days thereafter, the Director and the Under
Secretary shall brief the appropriate committees of Congress
on implementation of the strategy.
(d) Form of Report and Strategy.--The report required by
subsection (b) and the strategy required by subsection (c)
shall be submitted in classified form but shall include an
unclassified summary.
(e) Definitions.--In this section:
(1) Allied country.--The term ``allied country'' means--
(A) a country of the national technology and industrial
base, as defined in section 4801 of title 10, United States
Code; or
(B) another country that is an ally of the United States
and is identified by the Secretary of Defense for purposes of
this section.
(2) Appropriate committees of congress.--The term
``appropriate committees of Congress'' means--
(A) the Committee on Energy and Natural Resources, the
Committee on Armed Services, the Committee on Foreign
Relations, and the Committee on Banking, Housing, and Urban
Affairs of the Senate; and
[[Page S5684]]
(B) the Committee on Natural Resources, the Committee on
Armed Services, the Committee on Foreign Affairs, and the
Committee on Financial Services of the House of
Representatives.
(3) Critical mineral.--The term ``critical mineral'' has
the meaning given that term in section 7002(a) of the Energy
Act of 2020 (30 U.S.C. 1606(a)).
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