[Congressional Record Volume 169, Number 120 (Thursday, July 13, 2023)]
[Senate]
[Pages S2701-S2702]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 579. Mr. SCHUMER submitted an amendment intended to be proposed by 
him to the bill S. 2226, to authorize appropriations for fiscal year 
2024 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 title XII, add the following:

                     Subtitle H--AUKUS Partnership

     SEC. 1299L. ACCEPTANCE OF CONTRIBUTIONS IN SUPPORT OF 
                   AUSTRALIA, UNITED KINGDOM, AND UNITED STATES 
                   SUBMARINE SECURITY ACTIVITIES.

       (a) In General.--Chapter 155 of title 10, United States 
     Code, is amended by inserting after section 2608 the 
     following new section:

     ``Sec. 2609. Acceptance of contributions for Australia, 
       United Kingdom, and United States submarine security 
       activities; Submarine Security Activities Account

       ``(a) Acceptance Authority.--The Secretary of Defense may 
     accept from the Government of Australia contributions of 
     money made by the Government of Australia for use by the 
     Department of Defense in support of non-nuclear related 
     aspects of submarine security activities between Australia, 
     the United Kingdom, and the United States (in this section 
     referred to as `AUKUS').
       ``(b) Establishment of Submarine Security Activities 
     Account.--(1) There is established in the Treasury of the 
     United States a special account to be known as the `Submarine 
     Security Activities Account'.
       ``(2) Contributions of money accepted by the Secretary of 
     Defense under subsection (a) shall be credited to the 
     Submarine Security Activities Account.
       ``(c) Use of the Submarine Security Activities Account.--
     (1) The Secretary of Defense may use funds in the Submarine 
     Security Activities Account--
       ``(A) for any purpose authorized by law that the Secretary 
     determines would support AUKUS submarine security activities; 
     or
       ``(B) to carry out a military construction project that is 
     consistent with the purposes for which the contributions were 
     made and is not otherwise authorized by law.
       ``(2) Funds in the Submarine Security Activities Account 
     may be used as described in this subsection without further 
     specific authorization in law.
       ``(d) Transfers of Funds.--(1) In carrying out subsection 
     (c), the Secretary of Defense may transfer funds available in 
     the Submarine Security Activities Account to appropriations 
     available to the Department of Defense.
       ``(2) In carrying out subsection (c), and in accordance 
     with the Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.), 
     the Secretary of Defense may transfer funds available in the 
     Submarine Security Activities Account to appropriations or 
     funds of the Department of Energy available to carry out 
     activities related to AUKUS submarine security activities.
       ``(3) Funds transferred under this subsection shall be 
     available for obligation for the same time period and for the 
     same purpose as the appropriation to which transferred.
       ``(4) Upon a determination by the Secretary that all or 
     part of the funds transferred from the Submarine Security 
     Activities Account are not necessary for the purposes for 
     which such funds were transferred, all or such part of such 
     funds shall be transferred back to the Submarine Security 
     Activities Account.
       ``(e) Investment of Money.--(1) Upon request by the 
     Secretary of Defense, the Secretary of the Treasury may 
     invest money in the Submarine Security Activities Account in 
     securities of the United States or in securities guaranteed 
     as to principal and interest by the United States.
       ``(2) Any interest or other income that accrues from 
     investment in securities referred to in paragraph (1) shall 
     be deposited to the credit of the Submarine Security 
     Activities Account.
       ``(f) Relationship to Other Laws.--The authority to accept 
     or transfer funds under this section is in addition to any 
     other authority to accept or transfer funds.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 155 of title 10, United States Code, is 
     amended by inserting after the item relating to section 2608 
     the following new item:

``2609. Acceptance of contributions for Australia, United Kingdom, and 
              United States submarine security activities; Submarine 
              Security Activities Account.''.

     SEC. 1299M. AUSTRALIA, UNITED KINGDOM, AND UNITED STATES 
                   SUBMARINE SECURITY ACTIVITIES.

       (a) Authorization to Transfer Submarines.--
       (1) In general.--Subject to paragraph (6), the President 
     may transfer not more than two Virginia class submarines from 
     the inventory of the Navy to the Government of Australia on a 
     sale basis under section 21 of the Arms Export Control Act 
     (22 U.S.C. 2761).
       (2) Costs of transfer.--Any expense incurred by the United 
     States in connection with a transfer under this subsection 
     shall be charged to the Government of Australia.
       (3) Waiver of certification requirement.--The requirement 
     for the Chief of Naval Operations to make a certification 
     under section 8678 of title 10, United States Code, shall not 
     apply to a transfer under this subsection.
       (4) Use of funds.--The Secretary of the Navy may use the 
     proceeds of a transfer under this subsection--
       (A) for the acquisition of vessels to replace the vessels 
     transferred to the Government of Australia; or
       (B) to carry out any other authority the use of which the 
     Secretary of the Navy determines would improve the submarine 
     industrial base.
       (5) Crediting of receipts.--Notwithstanding any provision 
     of law pertaining to the crediting of amounts received from a 
     sale under section 21 the Arms Export Control Act (22 U.S.C. 
     2761), any amounts received by the United States as a result 
     of a transfer under this subsection shall--
       (A) be credited, at the discretion of the Secretary of the 
     Navy, to--
       (i) the appropriation account or fund from which amounts 
     were expended for the cost of the applicable vessel;
       (ii) an appropriate appropriation account or fund from 
     which, as of the date of the transfer, amounts are available 
     for constructing Virginia class submarines; or
       (iii) any other appropriation account or fund from which 
     amounts are available for the purpose specified in paragraph 
     (4)(B); and
       (B) remain available for obligation until expended for the 
     same purpose as other amounts in the appropriation account or 
     fund to which the receipt is credited.
       (6) Applicability of existing law to transfer of special 
     nuclear material and utilization facilities for military 
     applications.--
       (A) In general.--With respect to any special nuclear 
     material for use in utilization facilities or any portion of 
     a vessel transferred under this subsection constituting 
     utilization facilities for military applications under 
     section 91 of the Atomic Energy Act of 1954 (42 U.S.C. 2121), 
     transfer of such material or such facilities shall occur only 
     in accordance with such section 91.
       (B) Use of funds.--The Secretary of Energy may use proceeds 
     from a transfer described in subparagraph (A) for the 
     acquisition of submarine naval nuclear propulsion plants and 
     nuclear fuel to replace the propulsion plants and fuel 
     transferred to the Government of Australia.
       (b) Repair and Refurbishment of AUKUS Submarines.--Section 
     8680 of title 10, United States Code, is amended--
       (1) by redesignating subsection (c) as subsection (d); and
       (2) by inserting after subsection (b) the following new 
     subsection (c):
       ``(c) Repair and Refurbishment of Certain Submarines.--
       ``(1) Shipyard.--Notwithstanding any other provision of 
     this section, the Secretary of the Navy shall determine the 
     appropriate shipyard in the United States, Australia, or the 
     United Kingdom to perform any repair or refurbishment of a 
     United States submarine involved in submarine security 
     activities between Australia, the United Kingdom, and the 
     United States.
       ``(2) Personnel.--Repair or refurbishment described in 
     paragraph (1) may be carried out by personnel of the United 
     States, the United Kingdom, or Australia in accordance with 
     the international arrangements governing the submarine 
     security activities described in such paragraph.''.

     SEC. 1299N. AUSTRALIA, UNITED KINGDOM, AND UNITED STATES 
                   SUBMARINE SECURITY TRAINING.

       (a) In General.--The President may transfer or authorize 
     export of defense services to the Government of Australia 
     under the Arms Export Control Act (22 U.S.C. 2751 et seq.) 
     that may also be directly exported to private-sector 
     personnel in Australia to support the development of the 
     Australian submarine industrial base necessary for submarine 
     security activities between Australia, the United Kingdom, 
     and the United

[[Page S2702]]

     States (in this section referred to as ``AUKUS''), including 
     where such private-sector personnel are not officers, 
     employees, or agents of the Government of Australia.
       (b) Application of Requirements for Further Transfer.--Any 
     transfer of defense services to the Government of Australia 
     pursuant to subsection (a) to persons other than those 
     directly provided such defense services pursuant to such 
     subsection shall only be made in accordance with the 
     requirements of the Arms Export Control Act (22 U.S.C. 2751 
     et seq.).

     SEC. 1299O. AUKUS DEFENSE TRADE PARTNERSHIP.

       Section 38 of the Arms Export Control Act (22 U.S.C. 2778) 
     is amended by adding at the end the following new subsection:
       ``(l) AUKUS Defense Trade Cooperation.--
       ``(1) Exemption from licensing and approval requirements.--
     Subject to paragraph (2) and notwithstanding any other 
     provision of this section, the Secretary of State may exempt 
     from the licensing or other approval requirements under this 
     section exports and transfers (including reexports, 
     retransfers, temporary imports, and brokering activities) of 
     defense articles and defense services between or among the 
     United States, the United Kingdom, and Australia that--
       ``(A) are not excluded by those countries;
       ``(B) are not referred to in subsection (j)(1)(C)(ii); and
       ``(C) involve only entities that are approved by relevant 
     authorities within those countries.
       ``(2) Required standards of export controls.--The Secretary 
     of State may only exercise the authority under paragraph (1) 
     with respect to the United Kingdom or Australia after the 
     Secretary submits to Congress a certification that the 
     country concerned has implemented standards for a system of 
     export controls that satisfies the elements described in 
     subsection (j)(2)(A) for defense articles and defense 
     services, and for controlling the provision of military 
     training, that are at least comparable to those administered 
     by the United States.
       ``(3) Reexports and retransfers.--
       ``(A) Exemption from certain certification requirements.--
     Paragraphs (1) through (3) of section 3(d) shall not apply to 
     transfers described in paragraph (1) (including transfers of 
     United States Government sales or grants, or commercial 
     exports authorized under this Act) among the United States, 
     the United Kingdom, or Australia.
       ``(B) Reports of transfers.--The Secretary of State shall 
     require all transfers that would be subject to the 
     requirements under paragraphs (1) through (3) of section 3(d) 
     but for the application of subparagraph (A) to be reported to 
     the Secretary on a quarterly basis.''.
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