Bill Summary
The proposed legislation aims to enhance national security oversight by requiring the Committee on Foreign Investment in the United States (CFIUS) to conduct annual reviews and updates of government properties and facilities deemed sensitive for national security reasons. It amends the Defense Production Act of 1950 by establishing a formal list of such sensitive sites, which may include facilities related to the intelligence community and National Laboratories.
Key provisions include:
1. **Listing Sensitive Sites**: CFIUS is authorized to create and maintain a list of U.S. government facilities that are sensitive due to national security concerns.
2. **Annual Reviews**: Each member of CFIUS must review the facilities under their agency's purview annually and report any necessary updates or revisions regarding these sensitive sites.
3. **Reporting Requirements**: The legislation mandates CFIUS to compile and report all relevant transactions, investigations, and certifications concerning the sensitive sites as part of its oversight duties.
This legislation aims to bolster the government's ability to monitor and assess potential foreign investments in sensitive areas, thereby protecting national security interests.
Possible Impacts
The legislation outlined in the bill has the potential to affect people in various ways. Here are three examples:
1. **Enhanced National Security Oversight**:
The annual review and reporting requirements for national security-sensitive sites could lead to stricter oversight over real estate transactions involving properties near or associated with these sites. This could impact businesses and individuals looking to develop or purchase properties in proximity to sensitive government facilities, as they may face more rigorous scrutiny and delays in approval processes.
2. **Transparency and Accountability**:
By mandating that the Committee on Foreign Investment in the United States (CFIUS) provide detailed reports and updates on national security-sensitive sites, the legislation could enhance transparency regarding government property management. This may lead to increased public awareness and confidence in how the government safeguards sensitive information and facilities, impacting how citizens view government accountability and transparency.
3. **Real Estate Market Dynamics**:
The classification of certain facilities and properties as national security-sensitive may alter the real estate market dynamics in specific regions. For example, areas with properties identified as sensitive might see decreased demand, affecting property values and investment opportunities. Conversely, properties outside these designated areas could become more attractive to investors, leading to shifts in local economies and real estate trends.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2116 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
1st Session
S. 2116
To require the Committee on Foreign Investment in the United States to
annually review, update, and report on the facilities and property of
the United States Government determined to be national security
sensitive for purposes of review of real estate transactions under
section 721 of the Defense Production Act of 1950.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 18, 2025
Mr. Scott of South Carolina (for himself, Mr. Crapo, Mr. Rounds, Mr.
Tillis, Mr. Kennedy, Mr. Hagerty, Mrs. Britt, Mr. Ricketts, Mr. Cramer,
Mr. Moreno, Mr. Banks, and Mr. McCormick) introduced the following
bill; which was read twice and referred to the Committee on Banking,
Housing, and Urban Affairs
_______________________________________________________________________
A BILL
To require the Committee on Foreign Investment in the United States to
annually review, update, and report on the facilities and property of
the United States Government determined to be national security
sensitive for purposes of review of real estate transactions under
section 721 of the Defense Production Act of 1950.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. REVIEW OF AND REPORTING ON NATIONAL SECURITY SENSITIVE SITES
FOR PURPOSES OF REVIEWS OF REAL ESTATE TRANSACTIONS BY
THE COMMITTEE ON FOREIGN INVESTMENT IN THE UNITED STATES.
(a) List of National Security Sensitive Sites.--Section
721(a)(4)(C) of the Defense Production Act of 1950 (50 U.S.C.
4565(a)(4)(C)) is amended by adding at the end the following:
``(iii) List of sites.--For purposes of
subparagraph (B)(ii), the Committee may
prescribe through regulations a list of
facilities and property of the United States
Government that are sensitive for reasons
relating to national security. Such list may
include certain facilities and property of the
intelligence community and National
Laboratories (as defined in section 2 of the
Energy Policy Act of 2005 (42 U.S.C.
15801)).''.
(b) Review and Reports.--Section 721(m) of the Defense Production
Act of 1950 (50 U.S.C. 4565(m)(2)) is amended--
(1) in paragraph (2), by adding at the end the following:
``(L) A list of all notices and declarations filed
and all reviews or investigations of covered
transactions completed during the period relating to
facilities and property of the United States Government
determined to be sensitive for reasons relating to
national security for purposes of subsection
(a)(4)(B)(ii).
``(M) A certification that the list of sites
identified under subsection (a)(4)(C)(iii) reflects
consideration of the recommended updates and revisions
submitted under paragraph (4)(B). Upon request from any
Member of Congress specified in subsection
(b)(3)(C)(iii), the chairperson shall provide a
classified briefing to that Member, and staff of the
member with appropriate security clearances, regarding
the list of sites identified under subsection
(a)(4)(C)(iii).'';
(2) by redesignating paragraph (4) as paragraph (5); and
(3) by inserting after paragraph (3) the following:
``(4) Annual review of list of facilities and property.--
Not later than January 31 of each year, each member of the
Committee shall--
``(A) review the facilities and property of the
agency represented by that member that are on the list
prescribed under subparagraph (C)(iii) of subsection
(a)(4) of facilities and property that are sensitive
for reasons relating to national security for purposes
of subparagraph (B)(ii) of that subsection; and
``(B) submit to the chairperson a report on that
review, after approval of the report by an Assistant
Secretary or equivalent official of the agency, which
shall include any recommended updates or revisions to
the list regarding facilities and property administered
by the member of the Committee.''.
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