[House Report 118-653]
[From the U.S. Government Publishing Office]
118th Congress } { Report
HOUSE OF REPRESENTATIVES
2d Session } { 118-653
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TO AMEND THE RESEARCH AND DEVELOPMENT, COMPETITION, AND INNOVATION ACT
TO CLARIFY THE DEFINITION OF FOREIGN COUNTRY FOR PURPOSES OF MALIGN
FOREIGN TALENT RECRUITMENT RESTRICTION, AND FOR OTHER PURPOSES
_______
September 9, 2024.--Committed to the Committee of the Whole House on
the State of the Union and ordered to be printed
_______
Mr. Lucas, from the Committee on Science, Space, and Technology,
submitted the following
R E P O R T
[To accompany H.R. 7686]
The Committee on Science, Space, and Technology, to whom
was referred the bill (H.R. 7686) to amend the Research and
Development, Competition, and Innovation Act to clarify the
definition of foreign country for purposes of malign foreign
talent recruitment restriction, and for other purposes, having
considered the same, reports favorably thereon with an
amendment and recommends that the bill as amended do pass.
CONTENTS
Page
Purpose and Summary.............................................. 2
Background and Need for Legislation.............................. 2
Legislative History.............................................. 3
Section-by-Section............................................... 3
Related Committee Hearings....................................... 3
Committee Consideration.......................................... 3
Roll Call Votes.................................................. 4
Application of Law to the Legislative Branch..................... 6
Statement of Oversight Findings and Recommendations of the
Committee...................................................... 6
Statement of General Performance Goals and Objectives............ 6
Duplication of Federal Programs.................................. 6
Federal Advisory Committee Act................................... 6
Unfunded Mandate Statement....................................... 6
Earmark Identification........................................... 6
Committee Cost Estimate.......................................... 6
New Budget Authority, Entitlement Authority, and Tax Expenditures 7
Congressional Budget Office Cost Estimate........................ 7
Changes in Existing Law Made by the Bill, as Reported............ 7
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. CLARIFICATION OF DEFINITION OF FOREIGN COUNTRY FOR PURPOSES
OF MALIGN FOREIGN TALENT RECRUITMENT RESTRICTION.
Paragraph (4) of section 10638 of title VI of division B of the
Research and Development, Competition, and Innovation Act is amended--
(1) by inserting ``of concern'' after ``foreign country''
each place such term appears;
(2) by striking ``means--'' and all that follows through
``any program, position, or activity'' and inserting ``means
any program, position, or activity'';
(3) by striking subparagraph (B);
(4) by redesignating clauses (i) through (ix) as
subparagraphs (A) through (I), respectively, and moving such
subparagraphs, as so redesignated, two ems to the left;
(5) in the matter preceding subparagraph (A), as so
redesignated, by striking ``directly provided'' and inserting
``whether directly or indirectly provided''; and
(6) in subparagraph (I), as so redesignated, by striking ``;
and'' and inserting a period.
Purpose and Summary
H.R. 7686 amends Section 10638 of title VI of division B of
the Research and Development, Competition, and Innovation Act
(P.L. 117-167) by merging the two-part definition of `malign
foreign talent recruitment program' into one and specifically
addressing foreign countries of concern.
Background and Need for Legislation
U.S. research agencies have worked for decades to foster
openness, transparency, and reciprocal international
collaboration on basic research. However, in recent years,
several incidents have led to the concern that other countries
are taking advantage of the openness of the academic research
environment in the United States. This sense of unfair
competition is entwined with concerns about U.S. economic and
national security. Examining threats to research security is
difficult without robust disclosure policies mandating that
applicants for federal funding disclose foreign affiliations,
commitments, and sources of funding that may present a conflict
of interest. Foreign talent recruitment programs have been
found to incentivize or coerce participants to acquire
``through illicit as well as licit means, proprietary
technology or software, unpublished data and methods, and
intellectual property to further the military modernization
goals and/or economic goals of a foreign government.''\1\
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\1\National Science & Technology Council, Joint Committee on the
Research Environment, ``Recommended Practices for Strengthening the
Security and Integrity of America's Science and Technology
Enterprise,'' January 2021, available at https://
trumpwhitehouse.archives.gov/wp-content/uploads/2021/01/NSTC-Research-
Security-Best-Practices-Jan2021.pdf.
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Since 2019, the Administration and Congress have worked
diligently to enact research security policies across federal
research agencies to protect federally funded research from
undue foreign influence, including through the Fiscal Years
2020 and 2021 National Defense Authorization Acts. The 2022
CHIPS and Science Act includes several provisions to combat
security threats that undermine the integrity of our federal
research enterprise. Section 10638 of the bill requires a
prohibition of federally funded research grantees from being
members of a malign foreign talent program or participating in
similar activities. Two years later, it has come to Congress'
attention that the way this provision was written has created
unnecessary and unintended confusion. H.R. 7686 amends this
section to provide clarity by merging the two-part definition
of `malign foreign talent recruitment program' into one and
specifically address foreign countries of concern.
Legislative History
H.R. 7686 was introduced on March 15, 2024, by
Representative Garcia (R-CA) and cosponsored by Representative
Stevens (D-MI).
Section-by-Section
Section 1. Clarification of definition of foreign country for purposes
of malign foreign talent recruitment restriction
This section adds ``of concern'' following every mention of
``foreign country'' within section 10638 of title VI of
division B of the Research and Development, Competition, and
Innovation Act. Additionally, it combines the two-part
definition into a single subsection by striking subparagraph
(B) and redesignating clauses (i) through (ix) as subparagraphs
(A) through (I) respectively. Lastly, this section strikes
``directly provided'' and replaces it with ``whether directly
or indirectly provided''.
Related Committee Hearings
Pursuant to clause 3(c)(6) of rule XIII, the following
hearings were used to develop or consider H.R. 7686.
On February 15, 2024, the Committee held a full committee
hearing, ``Examining Federal Science Agency Actions to Secure
the U.S. Science and Technology Enterprise.''
Witnesses:
The Honorable Arati Prabhakar, Director,
White House Office of Science and Technology Policy;
Dr. Rebecca Keiser, Chief of Research Security Strategy
and Policy, National Science Foundation.
The Honorable Geri Richmond, Under Secretary
for Science and Innovation, Department of Energy.
Dr. Michael Lauer, Deputy Director for
Extramural Research, National Institutes of Health. The
Committee discussed the implementation of the CHIPS and
Science Act of 2022 research security mandates and
OSTP's memorandum guidelines for federal research
agencies regarding foreign talent recruitment programs.
Committee Consideration
On March 20, 2024, the Committee on Science, Space, and
Technology met to consider H.R. 7686.
Chairman Lucas offered an Amendment in the Nature of a
Substitute, which made minor technical changes to the text of
the bill. The amendment was adopted by voice vote.
Representative Tenney offered and withdrew an amendment.
Chairman Lucas moved that the Committee favorably report
the bill, as amended, to the House of Representatives with the
recommendation that the bill be approved. The motion was agreed
to by a vote of 38 yeas and 0 nays, as amended, a quorum being
present.
Roll Call Votes
Clause 3(b) of rule XIII requires the Committee to list the
record votes on the motion to report legislation and amendments
thereto. The following reflects the record votes taken during
the Committee consideration:
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Application of Law to the Legislative Branch
The Committee finds that H.R. 7686 does not relate to the
terms and conditions of employment or access to public services
or accommodations within the meaning of section 102(b)(3) of
the Congressional Accountability Act (Public Law 104-1).
Statement of Oversight Findings and Recommendations of the Committee
In compliance with clause 3(c)(1) of rule XIII and clause
(2)(b)(1) of rule X, the Committee's oversight findings and
recommendations are reflected in the descriptive portions of
this report.
Statement of General Performance Goals and Objectives
Pursuant to clause (3)(c)(4) of rule XIII, the goal of H.R.
7686 is to provide clarity by merging the two-part definition
of `malign foreign talent recruitment program' in section 10638
of title VI of division B of the Research and Development,
Competition, and Innovation Act into one and specifically
addressing foreign countries of concern.
Duplication of Federal Programs
Pursuant to clause 3(c)(5) of rule XIII, the Committee
finds that no provision of H.R. 7686 establishes or
reauthorizes a program of the Federal Government known to be
duplicative of another Federal program, including any program
that was included in a report to Congress pursuant to section
21 of Public Law 111-139 or identified in the most recent
Catalog of Federal Domestic Assistance.
Federal Advisory Committee Act
The Committee finds that the legislation does not establish
or authorize the establishment of an advisory committee within
the definition of section 5(b) of the Federal Advisory
Committee Act.
Unfunded Mandate Statement
The Committee adopts as its own the estimate of Federal
mandates prepared by the Director of the Congressional Budget
Office pursuant to section 423 of the Unfunded Mandates Reform
Act.
Earmark Identification
Pursuant to clauses 9(e), 9(f), and 9(g) of rule XXI, the
Committee finds that H.R. 7686 does not include any
congressional earmarks, limited tax benefits, or limited tariff
benefits.
Committee Cost Estimate
Pursuant to clause 3(d)(1) of rule XIII, the Committee
adopts as its own the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974. At the time this report was
filed, the estimate was not available.
New Budget Authority, Entitlement Authority, and Tax Expenditures
Pursuant to clause 3(c)(2) of rule XIII, the Committee
finds that H.R. 7686 would result in no new or increased budget
authority, entitlement authority, or tax expenditures or
revenues.
Congressional Budget Office Cost Estimate
Pursuant to clause 3(c)(3) of rule XIII, at the time this
report was filed, the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974 was not available.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italics, and existing law in which no
change is proposed is shown in roman):
RESEARCH AND DEVELOPMENT, COMPETITION, AND INNOVATION ACT
DIVISION B--RESEARCH AND INNOVATION
* * * * * * *
TITLE VI--MISCELLANEOUS SCIENCE AND TECHNOLOGY PROVISIONS
* * * * * * *
Subtitle D--Research Security
* * * * * * *
SEC. 10638. DEFINITIONS.
In this subtitle:
(1) Covered individual.--The term ``covered
individual'' means an individual who--
(A) contributes in a substantive, meaningful
way to the scientific development or execution
of a research and development project proposed
to be carried out with a research and
development award from a Federal research
agency; and
(B) is designated as a covered individual by
the Federal research agency concerned.
(2) Foreign country of concern.--The term ``foreign
country of concern'' means the People's Republic of
China, the Democratic People's Republic of Korea, the
Russian Federation, the Islamic Republic of Iran, or
any other country determined to be a country of concern
by the Secretary of State.
(3) Foreign entity of concern.--The term ``foreign
entity of concern'' means a foreign entity that is--
(A) designated as a foreign terrorist
organization by the Secretary of State under
section 219(a) of the Immigration and
Nationality Act (8 U.S.C. 1189(a));
(B) included on the list of specially
designated nationals and blocked persons
maintained by the Office of Foreign Assets
Control of the Department of the Treasury
(commonly known as the SDN list);
(C) owned by, controlled by, or subject to
the jurisdiction or direction of a government
of a foreign country that is a covered nation
(as such term is defined in section 4872 of
title 10, United States Code);
(D) alleged by the Attorney General to have
been involved in activities for which a
conviction was obtained under--
(i) chapter 37 of title 18, United
States Code (commonly known as the
Espionage Act);
(ii) section 951 or 1030 of title 18,
United States Code;
(iii) chapter 90 of title 18, United
States Code (commonly known as the
Economic Espionage Act of 1996);
(iv) the Arms Export Control Act (22
U.S.C. 2751 et seq.);
(v) section 224, 225, 226, 227, or
236 of the Atomic Energy Act of 1954
(42 U.S.C. 2274, 2275, 2276, 2277, and
2284);
(vi) the Export Control Reform Act of
2018 (50 U.S.C. 4801 et seq.); or
(vii) the International Emergency
Economic Powers Act (50 U.S.C. 1701 et
seq.); or
(E) determined by the Secretary of Commerce,
in consultation with the Secretary of Defense
and the Director of National Intelligence, to
be engaged in unauthorized conduct that is
detrimental to the national security or foreign
policy of the United States.
(4) Malign foreign talent recruitment program.--The
term ``malign foreign talent recruitment program''
[means--]
[(A) any program, position, or activity]
means any program, position, or activity that
includes compensation in the form of cash, in-
kind compensation, including research funding,
promised future compensation, complimentary
foreign travel, things of non de minimis value,
honorific titles, career advancement
opportunities, or other types of remuneration
or consideration [directly provided] whether
directly or indirectly provided by a foreign
country of concern at any level (national,
provincial, or local) or their designee, or an
entity based in, funded by, or affiliated with
a foreign country of concern, whether or not
directly sponsored by the foreign country of
concern, to the targeted individual, whether
directly or indirectly stated in the
arrangement, contract, or other documentation
at issue, in exchange for the individual--
[(i)] (A) engaging in the unauthorized
transfer of intellectual property, materials,
data products, or other nonpublic information
owned by a United States entity or developed
with a Federal research and development award
to the government of a foreign country of
concern or an entity based in, funded by, or
affiliated with a foreign country of concern
regardless of whether that government or entity
provided support for the development of the
intellectual property, materials, or data
products;
[(ii)] (B) being required to recruit trainees
or researchers to enroll in such program,
position, or activity;
[(iii)] (C) establishing a laboratory or
company, accepting a faculty position, or
undertaking any other employment or appointment
in a foreign country of concern or with an
entity based in, funded by, or affiliated with
a foreign country of concern if such activities
are in violation of the standard terms and
conditions of a Federal research and
development award;
[(iv)] (D) being unable to terminate the
foreign talent recruitment program contract or
agreement except in extraordinary
circumstances;
[(v)] (E) through funding or effort related
to the foreign talent recruitment program,
being limited in the capacity to carry out a
research and development award or required to
engage in work that would result in substantial
overlap or duplication with a Federal research
and development award;
[(vi)] (F) being required to apply for and
successfully receive funding from the
sponsoring foreign government's funding
agencies with the sponsoring foreign
organization as the recipient;
[(vii)] (G) being required to omit
acknowledgment of the recipient institution
with which the individual is affiliated, or the
Federal research agency sponsoring the research
and development award, contrary to the
institutional policies or standard terms and
conditions of the Federal research and
development award;
[(viii)] (H) being required to not disclose
to the Federal research agency or employing
institution the participation of such
individual in such program, position, or
activity; or
[(ix)] (I) having a conflict of interest or
conflict of commitment contrary to the standard
terms and conditions of the Federal research
and development award[; and].
[(B) a program that is sponsored by--
[(i) a foreign country of concern or
an entity based in a foreign country of
concern, whether or not directly
sponsored by the foreign country of
concern;
[(ii) an academic institution on the
list developed under section 1286(c)(8)
of the John S. McCain National Defense
Authorization Act for Fiscal Year 2019
(10 U.S.C. 2358 note; Public Law 115-
232); or
[(iii) a foreign talent recruitment
program on the list developed under
section 1286(c)(9) of the John S.
McCain National Defense Authorization
Act for Fiscal Year 2019 (10 U.S.C.
2358 note; Public Law 115-232).]
* * * * * * *
[all]