119-s903

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 903 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 903

To amend the Defense Production Act of 1950 to require the Committee on 
Foreign Investment in the United States to review and prohibit certain 
 transactions relating to agriculture.

_______________________________________________________________________

 IN THE SENATE OF THE UNITED STATES

 March 6, 2025

 Mr. Rounds (for himself, Ms. Cortez Masto, Ms. Lummis, Mr. Thune, and 
 Mr. Hoeven) introduced the following bill; which was read twice and 
 referred to the Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

 A BILL

To amend the Defense Production Act of 1950 to require the Committee on 
Foreign Investment in the United States to review and prohibit certain 
 transactions relating to agriculture.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

 This Act may be cited as the ``Promoting Agriculture Safeguards and 
Security Act'' or the ``PASS Act''.

SEC. 2. REVIEW AND PROHIBITIONS BY COMMITTEE ON FOREIGN INVESTMENT IN 
 THE UNITED STATES OF CERTAIN TRANSACTIONS RELATING TO 
 AGRICULTURE.

    (a) In General.--

Section 721 of the Defense Production Act of 1950 
(50 U.S.C. 4565) is amended--

    (1) in subsection

    (a) , by adding at the end the following:
 ``

    (14) Agriculture.--The term `agriculture' has the meaning 
 given that term in 

section 3 of the Fair Labor Standards Act of 
 1938 (29 U.S.C. 203).'';

    (2) in subsection

    (b)

    (1) , by adding at the end the 
 following:
 ``
            (I) Consideration of certain agricultural land 
 transactions.--
 ``
            (i) In general.--Not later than 30 days 
 after receiving notification from the Secretary 
 of Agriculture of a reportable agricultural 
 land transaction, the Committee shall 
 determine--
 ``
            (I) whether the transaction is a 
 covered transaction; and
 ``
            (II) if the Committee determines 
 that the transaction is a covered 
 transaction, whether to--
 ``

    (aa) request the 
 submission of a notice under 
 clause
            (i) of subparagraph
            (C) or a declaration under clause
            (v) of such subparagraph 
 pursuant to the process 
 established under subparagraph
        (H) ; or
 ``

    (bb) initiate a review 
 pursuant to subparagraph
            (D) .
 ``
            (ii) Reportable agricultural land 
 transaction defined.--In this subparagraph, the 
 term `reportable agricultural land transaction' 
 means a transaction--
 ``
            (I) that the Secretary of 
 Agriculture has reason to believe is a 
 covered transaction;
 ``
            (II) that involves the 
 acquisition of an interest in 
 agricultural land by a foreign person, 
 other than an excepted investor or an 
 excepted real estate investor, as such 
 terms are defined in regulations 
 prescribed by the Committee; and
 ``
            (III) with respect to which a 
 person is required to submit a report 
 to the Secretary of Agriculture under 
 

section 2

    (a) of the Agricultural 
 Foreign Investment Disclosure Act of 
 1978 (7 U.S.C. 3501

    (a) ).'';

    (3) in subsection

    (k)

    (2) --
        (A) by redesignating subparagraphs
        (H) ,
            (I) , and
        (J) as subparagraphs
            (I) ,
        (J) , and
        (K) , respectively; 
 and
        (B) by inserting after subparagraph
        (G) the 
 following:
 ``
        (H) The Secretary of Agriculture, with respect to 
 any covered transaction related to the purchase of 
 agricultural land or agricultural biotechnology or 
 otherwise related to the agriculture industry in the 
 United States.''; and

    (4) by adding at the end the following:
 ``

    (r) Prohibitions Relating to Purchases of Agricultural Land and 
Agricultural Businesses.--
 ``

    (1) In general.--If the Committee, in conducting a review 
 under this section, determines that a transaction described in 
 clause
            (i) ,
            (ii) , or
            (iv) of subsection

    (a)

    (4)
        (B) would result 
 in the purchase or lease by a covered foreign person of real 
 estate described in paragraph

    (2) or would result in control by 
 a covered foreign person of a United States business engaged in 
 agriculture, the President shall prohibit the transaction 
 unless a party to the transaction voluntarily chooses to 
 abandon the transaction.
 ``

    (2) Real estate described.--Subject to regulations 
 prescribed by the Committee, real estate described in this 
 paragraph is agricultural land (as defined in 

section 9 of the 
 Agricultural Foreign Investment Disclosure Act of 1978 (7 
 U.S.C. 3508)) in the United States that is in close proximity 
 (subject to subsection

    (a)

    (4)
            (C) 
            (ii) ) to a United States 
 military installation or another facility or property of the 
 United States Government that is--
 ``
        (A) sensitive for reasons relating to national 
 security for purposes of subsection

    (a)

    (4)
        (B)
            (ii) 
            (II) (bb) ; and
 ``
        (B) identified in regulations prescribed by the 
 Committee.
 ``

    (3) Waiver.--The President may waive, on a case-by-case 
 basis, the requirement to prohibit a transaction under 
 paragraph

    (1) after the President determines and reports to the 
 Committee on Banking, Housing, and Urban Affairs of the Senate 
 and the Committee on Financial Services of the House of 
 Representatives that the waiver is in the national interest of 
 the United States.
 ``

    (4) Covered foreign person defined.--
 ``
        (A) In general.--In this subsection, subject to 
 regulations prescribed by the Committee, the term 
 `covered foreign person'--
 ``
            (i) means any foreign person (including a 
 foreign entity) that acts as an agent, 
 representative, or employee of, or acts at the 
 direction or control of, the government of a 
 covered country; and
 ``
            (ii) does not include a United States 
 citizen or an alien lawfully admitted for 
 permanent residence to the United States.
 ``
        (B) Covered country defined.--For purposes of 
 subparagraph
        (A) , the term `covered country' means any 
 of the following countries, if the country is 
 determined to be a foreign adversary pursuant to 
 

section 791.4 of title 15, Code of Federal Regulations 
 (or a successor regulation):
 ``
            (i) The People's Republic of China.
 ``
            (ii) The Russian Federation.
 ``
            (iii) The Islamic Republic of Iran.
 ``
            (iv) The Democratic People's Republic of 
 Korea.''.

    (b) Spending Plans.--Not later than 60 days after the date of the 
enactment of this Act, each department or agency represented on the 
Committee on Foreign Investment in the United States shall submit to 
the chairperson of the Committee a copy of the most recent spending 
plan required under 

section 1721

    (b) of the Foreign Investment Risk 
Review Modernization Act of 2018 (50 U.S.C. 4565 note).
            (c) Regulations.--

    (1) In general.--The President shall direct, subject to 
 

section 553 of title 5, United States Code, the issuance of 
 regulations to carry out the amendments made by this section.

    (2) Effective date.--The regulations prescribed under 
 paragraph

    (1) shall take effect not later than one year after 
 the date of the enactment of this Act.
            (d) Effective Date; Applicability.--The amendments made by this 
section shall--

    (1) take effect on the date that is 30 days after the 
 effective date of the regulations under subsection
            (c) (2) ; and

    (2) apply with respect to a covered transaction (as defined 
 in 

section 721 of the Defense Production Act of 1950 (50 U.S.C. 
 4565)) that is proposed, pending, or completed on or after the 
 date described in paragraph

    (1) .
 <all>