Text of Senate Amendment 6392

On 2026-06-24, Senator Gary C. Peters (D-MI) delivered a floor speech titled "Text Of Senate Amendment 6392" in the Senate.

Text of Senate Amendment 6392

Congressional Record, Volume 172 Issue 106 (Wednesday, June 24, 2026) [Congressional Record Volume 172, Number 106 (Wednesday, June 24, 2026)] [Senate] [Pages S3519-S3520] From the Congressional Record Online through the Government Publishing Office [ www.gpo.gov ] SA 6392. Mr. PETERS submitted an amendment intended to be proposed by him to the bill S. 4784, to authorize appropriations for fiscal year 2027 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: Strike section 812 and insert the following: SEC. 812. REQUIREMENTS FOR INFORMATION RELATED TO SUPPLY CHAIN RISK. Section 3252 of title 10, United States Code, is amended to read as follows: ``Sec. 3252. Requirements for information relating to supply chain risk ``(a) Authority.--Subject to subsection (b), the head of a covered agency may-- ``(1) carry out a covered procurement action; and ``(2) limit, notwithstanding any other provision of law, in whole or in part, the disclosure of information relating to the basis for carrying out a covered procurement action. ``(b) Determination and Notification.--The head of a covered agency may exercise the authority provided in subsection (a) only after-- ``(1) consulting with and receiving a written recommendation from procurement officials, general counsels, or other relevant officials of the covered agency, including the chief acquisition officer and the chief information officer of the agency (or comparable employee); ``(2) making a determination in writing, in unclassified or classified form, that-- ``(A) use of the authority in subsection (a)(1) is necessary to protect national security by reducing supply chain risk, including the facts, evidence, and conclusions of the risk assessment upon which this determination was made; ``(B) less intrusive measures have been taken and are not reasonably expected to reduce such supply chain risk, including-- ``(i) the facts and evidence upon which this determination was made; ``(ii) the options that were considered in making this determination; ``(iii) the actions taken from this consideration; and ``(iv) why such options were not reasonably available to reduce supply chain risk; ``(D) in a case where the head of the covered agency plans to limit disclosure of information under subsection (a)(2), the risk to national security due to the disclosure of such information outweighs the risk due to not disclosing such information; and ``(E) in the case of termination of an existing agreement, contract, or license, such action is necessary to address an imminent risk to national security; ``(3) providing a classified or unclassified notice of the determination made under paragraph (2) to the appropriate congressional committee, and briefings upon request not later than 1 day after the request, which notice shall include-- ``(A) a summary of the risk assessment and the facts and evidence upon which the risk assessment is based, including the nature of the supply chain risk, that serves as the basis for the written determination required by paragraph (2); ``(B) a summary of the basis for the determination, including a discussion of less intrusive measures that were taken and why they were not reasonably expected to reduce supply chain risk; and ``(C) a legal opinion from the Department of Defense Office of the General Counsel that the determination required in paragraph (2), as well as the analysis required in subparagraphs (A) and (B), meets the statutory requirements of this section; ``(4) determining and certifying to the appropriate congressional committees that a foreign entity of concern in the supply chain has carried out nefarious, malicious, or concerning actions warranting such exercise of authority; and ``(5) the Inspector General of the Department of Defense conducts a review and determines that all requirements under this subsection have been met. ``(c) Limitation on Disclosure.--If the head of a covered agency has exercised the authority provided in subsection (a)(2) to limit disclosure of information-- ``(1) no action undertaken by the agency head under such authority shall be subject to review in a bid protest before the Government Accountability Office or in any Federal court; and ``(2) the agency head shall-- ``(A) notify appropriate parties of a covered procurement action and the basis for such action only to the extent necessary to effectuate the covered procurement action; ``(B) allow the appropriate parties of a covered procurement action a 30-day window to address the Department's concerns or take other remedial actions; [[Page S3520]] ``(C) notify other Department of Defense components or other Federal agencies responsible for procurements that may be subject to the same or similar supply chain risk, in a manner and to the extent consistent with the requirements of national security; and ``(D) ensure the confidentiality of any such notifications. ``(d) Limitations on Authority.--(1) Unless a complete and detailed notification has been received by the appropriate congressional committees within 5 days of a determination under this section, the determination shall have no effect for purposes of this section until the notification has been received. ``(2) A determination under this section shall not be invoked for contract disputes or as a negotiating tool and shall only be invoked to protect critical defense systems from adversary exploitation by screening out suppliers who pose unacceptable risks of sabotage or malicious subversion in the procurement process. ``(e) Additional Requirements Before Carrying Out a Covered Procurement Action.--(1) The head of a covered agency may carry out a covered procurement action [against affecting] a domestic source or non-FOCI entity only after-- ``(2) notifying the domestic source or non-FOCI entity that a covered action is being considered; ``(3) providing the domestic source or non-FOCI entity, to the extent consistent with the national security and law enforcement interests, of information that forms the basis for the covered action, in accordance with paragraph (3); ``(4) allowing the domestic source or non-FOCI entity 30 days after receipt of the notice to submit information and argument to the head of the covered agency in response to such notification; and ``(5) submitting notice to the appropriate congressional committees that the covered procurement action is not being taken for any purpose described in paragraph (2). ``(2) The head of a covered agency may not directly or indirectly exclude a domestic source or non-FOCI entity as a source pursuant to subsection (a) for-- ``(A) exercising, declining to waive, or declining to renegotiate any right under, or any term or condition of, a contract, subcontract, agreement, license, or other arrangement with a Federal agency; or ``(B) declining to enter into such an arrangement on terms proposed by a Federal official. ``(f) Non-punitive Purposes.--The authority under this section shall be exercised solely to protect the integrity and security of covered systems, and not for purposes of punishment, coercion, or retaliation. ``(g) Judicial Review.--Covered procurement actions carried out under this section shall be subject to judicial review under subchapter II of chapter 5, and chapter 7, of title 5, United States Code (commonly known as the `Administrative Procedure Act'). ``(h) Rule of Construction.--Limitations on disclosure allowed under this section do not preclude judicial review. Nothing in this section shall be considered to restrict judicial review available under the law. ``(i) Definitions.--In this section: ``(1) Appropriate congressional committees.--The term `appropriate congressional committees' means-- ``(A) in the case of a covered system included in the National Intelligence Program or the Military Intelligence Program, the Select Committee on Intelligence of the Senate, the Permanent Select Committee on Intelligence of the House of Representatives, and the congressional defense committees; and ``(B) in the case of a covered system not otherwise included in subparagraph (A), the congressional defense committees. ``(2) Covered item of supply.--The term `covered item of supply' means an item of information technology (as that term is defined in section 11101 of title 40) that is purchased for inclusion in a covered system and the loss of integrity of which could result in a supply chain risk for a covered system. ``(3) Covered procurement.--The term `covered procurement' means-- ``(A) a source selection for a covered system or a covered item of supply involving either a performance specification, as provided in section 3206(a)(3)(B) of this title, or an evaluation factor, as provided in section 3206(b)(1) of this title, relating to supply chain risk; ``(B) the consideration of proposals for and issuance of a task or delivery order for a covered system or a covered item of supply, as provided in section 3406(d)(3) of this title, where the task or delivery order contract concerned includes a contract clause establishing a requirement relating to supply chain risk; or ``(C) any contract action involving a contract for a covered system or a covered item of supply where such contract includes a clause establishing requirements relating to supply chain risk. ``(4) Covered procurement action.--The term `covered procurement action' means any of the following actions, if the action takes place in the course of conducting a covered procurement: ``(A) The exclusion of a source that fails to meet qualification standards established in accordance with the requirements of section 3243 of this title for the purpose of reducing supply chain risk in the acquisition of covered systems. ``(B) The exclusion of a source that fails to achieve an acceptable ra