[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 2950 Introduced in Senate (IS)]
<DOC>
117th CONGRESS
1st Session
S. 2950
To combat illegal deforestation by prohibiting the importation of
products made wholly or in part of certain commodities produced on land
undergoing illegal deforestation, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
October 6, 2021
Mr. Schatz (for himself, Mr. Murphy, Mr. Whitehouse, Mr. Heinrich, Mr.
Booker, Mr. Merkley, Mr. Coons, and Ms. Warren) introduced the
following bill; which was read twice and referred to the Committee on
Finance
_______________________________________________________________________
A BILL
To combat illegal deforestation by prohibiting the importation of
products made wholly or in part of certain commodities produced on land
undergoing illegal deforestation, and for other purposes.
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 ``Fostering Overseas Rule of law and
Environmentally Sound Trade Act of 2021'' or the ``FOREST Act of
2021''.
SEC. 2. FINDINGS; SENSE OF CONGRESS.
(a) Findings.--Congress makes the following findings:
(1) According to the Food and Agriculture Organization of
the United Nations, 31 percent of land on earth is covered in
forests, but that area is rapidly decreasing. An estimated
1,600,000 square miles of forest has been converted to other
land uses since 1990, with 42,500 square miles converted
annually since 2010. Since the early 2000s, \2/3\ of global
forest cover loss has occurred in the tropics and subtropics.
(2) The expansion of commercial agriculture into tropical
forests is the largest driver of forest conversion, led by
cattle ranching and the cultivation of soy and palm oil. An
estimated 69 percent of such conversion between 2013 and 2019
was carried out in contravention of the laws of the country in
which the conversion occurred.
(3) Such illegal deforestation results in the emission of
more than 2.7 gigatons of carbon dioxide equivalent per year,
more than the entire annual fossil fuel emissions of India in
2018.
(4) Limiting global temperatures below 1.5 degrees Celsius
above preindustrialized levels requires rapid and significant
reductions in deforestation globally. Cost-effective greenhouse
gas emission mitigation from forests and land use can provide
roughly \1/3\ of the mitigation required by 2030 to stay below
2 degrees Celsius.
(5) Forests contain most of the world's terrestrial
biodiversity, providing habitats for 80 percent of amphibian
species, 75 percent of bird species, 68 percent of mammal
species, and 60,000 different species of trees.
(6) Forests are also an important source of livelihoods,
food, and fuel, with more than 1,600,000,000 people depending
directly on forests for their livelihoods.
(7) The Intergovernmental Science-Policy Platform on
Biodiversity and Ecosystem Services found in 2019 that the rate
of global species extinction is accelerating and is now tens to
hundreds of times higher than the average rate over the last
10,000,000 years, threatening the loss of 1,000,000 species,
and land-use change is the direct driver with the largest
relative impact on terrestrial ecosystems.
(8) Deforestation in many countries is closely associated
with violations of the rights of indigenous peoples and local
communities and with the exploitation of workers, including
through the use forced labor and child labor, and in many cases
is enabled by corruption, criminality, and violence against
individuals defending their land rights and environment.
(9) According to the United Nations High Commissioner for
Human Rights, individuals defending the rights of communities
and indigenous peoples to their traditional lands and
environment are particularly vulnerable to threats and violence
and accounted for roughly half of the killings of human rights
defenders documented in 2019.
(10) Congress has taken a number of steps to address the
trade in illegal timber to protect legitimate forestry
businesses and reduce illegal logging globally, such as, in
section 8204 of the Food, Conservation, and Energy Act of 2008
(Public Law 110-246; 122 Stat. 2052), amending the Lacey Act
Amendments of 1981 (16 U.S.C. 3371 et seq.) to prohibit the
importation of illegal plant products, including such products
made from illegally logged wood.
(11) As with illegal timber, agricultural commodities
produced on illegally deforested land enter international
markets, including the United States, and compete with
commodities produced legally.
(12) The United States is a significant market for products
made wholly or in part of commodities such as palm oil, cattle,
cocoa, and rubber at risk of being produced on illegally
deforested land. For example, in 2020, the United States
imported--
(A) processed cowhides and beef products valued at
more than $500,000,000 from Brazil, where cattle
ranching is the largest driver of deforestation in the
Amazon forest and other biomes, and an estimated 95
percent of all deforestation was not in full compliance
with applicable laws; and
(B) crude palm oil and palm kernel oil valued at
more than $880,000,000 and oleochemicals commonly
derived from palm oils valued at more than
$390,000,000, from Indonesia, where the expansion of
palm oil plantations is the largest driver of
deforestation, and government audits of the sector in
recent years have indicated widespread noncompliance
with applicable laws.
(13) The lack of traceability in the supply chains for such
commodities and the absence of importer due diligence
requirements increases the risk that United States trade is
associated with illegal deforestation and human rights abuses,
preventing United States consumers from knowing where or how
the goods they purchase were produced and putting companies
that ensure legal sourcing at a competitive disadvantage.
(b) Sense of Congress.--It is the sense of Congress that the United
States must do more to address illegal deforestation from agricultural
commodities, including--
(1) avoiding trade that incentivizes foreign governments to
allow illegal deforestation;
(2) assisting foreign governments in eliminating illegal
deforestation and limiting all deforestation to the extent
practicable;
(3) requiring that goods entering the United States market
be subject to requirements, including the necessary supply
chain traceability, to reduce the risk of association with
illegal deforestation;
(4) preventing the United States financial system from
being used to launder proceeds from illegal deforestation; and
(5) providing incentives to suppliers of the Federal
Government to adopt and implement policies to eliminate goods
produced on or from deforested land from their supply chains.
SEC. 3. PROHIBITION ON IMPORTATION OF COMMODITIES PRODUCED ON ILLEGALLY
DEFORESTED LAND AND PRODUCTS MADE FROM SUCH COMMODITIES.
(a) In General.--The Tariff Act of 1930 is amended by inserting
after section 527 (19 U.S.C. 1527) the following:
``SEC. 527A. PROHIBITION ON IMPORTATION OF PRODUCTS MADE WHOLLY OR IN
PART OF COMMODITIES PRODUCED ON ILLEGALLY DEFORESTED
LAND.
``(a) In General.--It shall be unlawful for any person to import
any product made wholly or in part of a covered commodity produced from
land that undergoes illegal deforestation on or after the date of the
enactment of the FOREST Act of 2021.
``(b) Import Declarations.--
``(1) In general.--On and after the date that is one year
after the date of the enactment of the FOREST Act of 2021, and
subject to paragraph (2), a person may not import a covered
product unless the person files upon entry a declaration
stating that the person has exercised reasonable care to assess
and mitigate the risks that any covered commodity used to make
the covered product was produced from land subject to illegal
deforestation on or after such date of enactment.
``(2) Covered commodities from countries under an action
plan.--On and after the date that is one year after an action
plan applicable to a foreign country is finalized under
subsection (d)(2), a person may not import a covered product
containing any covered commodity produced in the country and
identified in the action plan unless the person files upon
entry a declaration that includes sufficient information to
show--
``(A)(i) the supply chain and the point of origin
of the covered commodity; and
``(ii) steps taken to assess and mitigate the risks
that the point of origin was subject to illegal
deforestation on or after the date of the enactment of
the FOREST Act of 2021; or
``(B)(i) all possible points of origin that could
have contributed to the supply chain of the covered
commodity, if mixing or points of aggregation exist
within the supply chain; and
``(ii) steps taken to assess and mitigate the risks
that any possible points of origin were subject to
illegal deforestation on or after such date of
enactment.
``(3) Treatment of products subject to multiple import
declaration requirements.--In the case of a product for which
an import declaration is required by this subsection and
section 3(f) of the Lacey Act Amendments of 1981 (16 U.S.C.
3372(f)), U.S. Customs and Border Protection and the Animal and
Plant Health Inspection Service shall coordinate to limit the
administrative burden, to the extent practicable, for
importers.
``(4) Guidance.--Not later than 90 days after the date of
the FOREST Act of 2021, and as appropriate thereafter, the
Commissioner of U.S. Customs and Border Protection (in this
section referred to as the `Commissioner')--
``(A) shall publish guidance on what constitutes
reasonable care under paragraph (1) and sufficient
information under paragraph (2), which may include
guidance with respect to specific commodities, as
appropriate; and
``(B) may, as appropriate, issue guidance about the
potential role of third-party certifications assisting
importers with meeting the requirements of this
section.
``(c) Lists of Covered Commodities and Covered Products.--
``(1) Initial lists.--Not later than 30 days after the date
of the enactment of the FOREST Act of 2021, the United States
Trade Representative (in this section referred to as the `Trade
Representative') shall publish the following:
``(A) An initial list made up of the following
commodities (in this section referred to as `covered
commodities'):
``(i) Palm oil.
``(ii) Soybeans.
``(iii) Cocoa.
``(iv) Cattle.
``(v) Rubber.
``(vi) Wood pulp.
``(B) An initial list made up of the following
products made wholly or in part of a covered commodity
(in this section referred to as `covered products'):
``(i) Palm oil or palm oil products
classifiable under any of the following
headings or subheadings of the HTS:
``1511................................ 2905.17.00................... 3823.11.00
1513.21.00............................ 2905.45.00................... 3823.12.00
1513.29.00............................ 2915.70.01................... 3823.19
2306.60.00............................ 2915.90...................... 3823.70.
``(ii) Soybeans or soybean products
classifiable under heading 1201 or 1507 or
subheading 2304.00.00 of the HTS.
``(iii) Cocoa or cocoa products
classifiable under heading 1803 or 1806 or
subheading 1801.00.00, 1802.00.00, 1804.00.00,
or 1805.00.00 of the HTS.
``(iv) Cattle or cattle products
classifiable under any of the following
headings or subheadings of the HTS:
``0201................................ 0206.21.00................... 1602.50
0202.................................. 0206.22.00................... 4104
0206.10.00............................ 0206.29.00................... 4107.
``(v) Rubber or rubber products
classifiable under heading 4001 or 4011 of the
HTS.
``(vi) Pulp or pulp products classifiable
under any of the following headings or
subheadings of the HTS:
``4703................................ 4804......................... 4818
4801.00.01............................ 4805......................... 4819
4802.................................. 4810......................... 4820
4803.00............................... 4811......................... 4823.
``(2) Reviews and updates.--
``(A) In general.--Not less frequently than
annually, the Trade Representative shall--
``(i) review the list of covered
commodities published under subparagraph (A) of
paragraph (1) and the list of covered products
published under subparagraph (B) of that
paragraph to assess whether covered commodities
or covered products, as the case may be, should
be added to or removed from the lists to ensure
that the scope of the lists is sufficient to
increasingly deter illegal deforestation and to
ensure that no material amount of a commodity
produced from illegally deforested land enters
the United States; and
``(ii) publish updated lists based on that
review.
``(B) Effect on import declarations.--Any addition
under subparagraph (A) to the list of covered products
under paragraph (1)(B) shall be subject to the
declaration requirement under subsection (b) on and
after the date that is one year after the updated list
including the addition is published.
``(3) Solicitation of input.--In updating the lists under
paragraph (1) as required by paragraph (2), the Trade
Representative shall--
``(A) consult with the Secretary of State and the
Administrator of the United States Agency for
International Development; and
``(B) coordinate and solicit relevant information
from--
``(i) the interagency working group
established under subsection (f);
``(ii) the advisory committee established
under subsection (g);
``(iii) other Federal, State, and local
agencies in the United States; and
``(iv) the public.
``(d) Action Plans for Countries Without Adequate and Effective
Protection Against Illegal Deforestation.--
``(1) Identification of countries.--
``(A) In general.--Not later than 180 days after
the date of the enactment of the FOREST Act of 2021,
the Trade Representative shall--
``(i) identify foreign countries without
adequate and effective protection against
illegal deforestation caused by the production
of commodities likely to enter the United
States; and
``(ii) make available to the public--
``(I) a list of the countries
identified under clause (i); and
``(II) data and analysis related to
the considerations described in
subparagraph (B).
``(B) Considerations.--In identifying a foreign
country under subparagraph (A), the Trade
Representative shall consider--
``(i) trends of deforestation and illegal
deforestation in that country;
``(ii) policies and practices of the
government of the country that deny adequate
and effective enforcement against illegal
deforestation;
``(iii) trends in the capacity and
effectiveness of enforcement against illegal
deforestation by the country; and
``(iv) the incidence of violence against,
and other violations of the rights of,
indigenous peoples, local residents, and
environmental and human rights defenders in the
country in connection with illegal
deforestation.
``(C) Reassessment.--Not less frequently than every
2 years, the Trade Representative shall assess whether
additional foreign countries should be identified under
subparagraph (A).
``(2) Action plans.--
``(A) In general.--Not later than 3 years after the
date of the enactment of the FOREST Act of 2021, the
Trade Representative shall finalize an action plan with
respect to each foreign country identified under
paragraph (1).
``(B) Finality.--An action plan developed under
subparagraph (A) shall be considered final for the
purposes of subsection (b)(2) on the date on which the
action plan is posted on a publicly accessible internet
website of the Office of the United States Trade
Representative.
``(C) Involvement of foreign country and public.--
The Trade Representative shall--
``(i) seek to involve each foreign country
for which the Trade Representative develops an
action plan under subparagraph (A) in the
development of the action plan for that foreign
country; and
``(ii) release a draft of each action plan
for public review and comment before finalizing
the action plan.
``(D) Goals of action plans.--The Trade
Representative shall design an action plan developed
under subparagraph (A) with respect to a foreign
country to achieve--
``(i) new laws, rules, enforcement
procedures, or agreements to ensure that
illegal deforestation is no longer occurring in
the country;
``(ii) sufficient capacity to enforce
relevant laws;
``(iii) processes to remedy or adjudicate
previous illegal deforestation activities;
``(iv) comprehensive monitoring and data
sharing related to deforestation and potential
impacts to other ecosystems;
``(v) transparency and accessibility of
information with respect to land tenure and
land-use decisions;
``(vi) traceability, transparency, and data
sharing for commodity supply chains; and
``(vii) in the case of a country that is a
party to the decision of the 21st Conference of
Parties of the United Nations Framework
Convention on Climate Change adopted in Paris
December 12, 2015 (commonly known as the `Paris
Agreement'), the incorporation of--
``(I) forest protection into the
country's nationally determined
contribution under the Paris Agreement;
and
``(II) deforestation into the
country's greenhouse gas reporting as
required by the Paris Agreement.
``(E) Benchmarks.--
``(i) In general.--The Trade Representative
shall include in each action plan developed
under subparagraph (A) intermediate and final
benchmarks described in clause (ii) and a
timeline for achieving those benchmarks.
``(ii) Benchmarks described.--Benchmarks
described in this clause may be such
legislative, institutional, enforcement, or
other actions as the Trade Representative
determines to be necessary to demonstrate that
the foreign country has achieved the goals
described in subparagraph (D).
``(F) Identification of covered commodities.--The
Trade Representative shall identify in the action plan
developed under subparagraph (A) with respect to a
foreign country the specific covered commodities at
risk of being produced on illegally deforested land in
that country that shall be subject to the declaration
requirement under subsection (b)(2).
``(3) Presidential action authorized.--On and after the
date on which an action plan released to the public under
paragraph (2)(A) with respect to a foreign country has been in
place for one year, if the President determines that the
country has not substantially complied with the benchmarks in
the action plan, the President may take appropriate action with
respect to the country.
``(4) Petitions for determination of compliance.--
``(A) In general.--A foreign country to which an
action plan developed under paragraph (2)(A) applies
may petition the Trade Representative to determine that
the country has achieved all benchmarks in the action
plan.
``(B) Determination of adequacy and effectiveness
of protection.--
``(i) In general.--If the Trade
Representative determines under subparagraph
(A) that a foreign country to which an action
plan developed under paragraph (2)(A) applies
has achieved all benchmarks in the action plan,
the Trade Representative shall determine
whether that country, after achieving those
benchmarks, provides adequate and effective
protection against illegal deforestation.
``(ii) Countries that fail to provide
adequate and effective protection against
illegal deforestation.--If the Trade
Representative determines under clause (i) that
a foreign country described in that clause
continues to fail to provide adequate and
effective protection against illegal
deforestation, the Trade Representative shall
develop a new action plan under paragraph
(2)(A) with respect to the country.
``(iii) Countries that provide adequate and
effective protection against illegal
deforestation.--If the Trade Representative
determines under clause (i) that a foreign
country described in that clause provides
adequate and effective protection against
illegal deforestation, the action plan
developed under paragraph (2)(A) with respect
to the country shall terminate.
``(5) Consultations.--In identifying foreign countries
under paragraph (1), developing action plans under paragraph
(2), and making determinations under paragraph (4), the Trade
Representative shall--
``(A) consult with the Secretary of State and the
Administrator of the United States Agency for
International Development; and
``(B) coordinate and solicit relevant information
from--
``(i) the interagency working group
established under subsection (f);
``(ii) the advisory committee established
under subsection (g);
``(iii) relevant committees of Congress;
``(iv) other Federal, State, or local
agencies in the United States;
``(v) civil society, indigenous peoples,
and local communities in countries that produce
covered commodities and covered products; and
``(vi) the public.
``(e) Enforcement.--
``(1) Administration.--
``(A) In general.--The provisions of this section
and any regulations issued under this section shall be
enforced, as appropriate, by the Commissioner, the
Secretary of Agriculture, the Secretary of the
Interior, and the Attorney General.
``(B) Audits.--The Administrator of the Animal and
Plant Health Inspection Service, in collaboration with
the heads of other Federal agencies, shall conduct
random audits of importers filing declarations under
subsection (b)(1) to ensure such importers are
retaining the supporting documentation demonstrating
reasonable care was exercised as required by that
subsection.
``(C) Agreements.--An official specified in
subparagraph (A) may enter into an agreement with any
other Federal agency or any State agency or Indian
Tribe under which that official may use, with or
without reimbursement, the personnel, services, and
facilities of the agency or Indian Tribe for the
enforcement of this section and regulations issued
under this section.
``(D) Availability of information.--Not later than
one year after the date of the enactment of the FOREST
Act of 2021, the Commissioner shall develop a process
to make information filed with a declaration required
by subsection (b)(2) (other than information considered
to be confidential business information) available to
the public.
``(2) Coordination of enforcement.--The Commissioner shall
share declarations filed under subsection (b) and other
information received by U.S. Customs and Border Protection with
the Trade Representative, the Secretary of Agriculture, the
Secretary of the Interior, the Attorney General, and the heads
of other Federal agencies as needed to ensure effective
enforcement of this section.
``(3) Information from outside sources.--Not later than 180
days after the date of the enactment of the FOREST Act of 2021,
the Commissioner shall establish a process for receiving
information from persons outside U.S. Customs and Border
Protection indicating that a covered commodity may be being
imported in violation of this section.
``(4) Report required.--Not later than 2 years after the
date of the enactment of the FOREST Act of 2021, and annually
thereafter, the Commissioner, with input from the heads of
relevant Federal agencies, shall submit to Congress a report on
the enforcement of this section that includes, for the year
preceding submission of the report--
``(A) the number of audits conducted by Federal
agencies of importers of record to detect potential
violations of this section;
``(B) the number of instances in which information
was submitted to the Commissioner under paragraph (3);
``(C) the number of investigations initiated into
possible violations of this section;
``(D) the number of such investigations initiated
based on information submitted to the Commissioner
under paragraph (3);
``(E) the results of cases adjudicated following
such an investigation;
``(F) the number of such investigations pending as
of the date of the report; and
``(G) an explanation of how information submitted
to the Commissioner under paragraph (3) was used to
prioritize audits and other checks.
``(f) Interagency Working Group.--
``(1) In general.--There is established an interagency
working group to provide advice and recommendations to the
Trade Representative, the Commissioner, and the heads of other
relevant Federal agencies on the implementation of this
section.
``(2) Membership.--The interagency working group
established under paragraph (1) shall be composed of
representatives of--
``(A) the Department of State;
``(B) the Department of Agriculture;
``(C) U.S. Customs and Border Protection;
``(D) the Office of the United States Trade
Representative;
``(E) the United States Agency for International
Development;
``(F) the Department of the Interior;
``(G) the Department of Justice; and
``(H) such other Federal agencies as the Trade
Representative considers appropriate.
``(3) Chairperson.--The representative of the Office of the
United States Trade Representative shall serve as the
chairperson of the interagency working group established under
paragraph (1).
``(g) Advisory Committee.--
``(1) In general.--The Trade Representative shall establish
an advisory committee to provide advice and recommendations to
the Trade Representative and the heads of other relevant
Federal agencies on the implementation of this section.
``(2) Membership.--The advisory committee established under
paragraph (1) shall be made up of 12 individuals--
``(A) 5 of whom shall be representatives of
institutions of higher education or nongovernmental
organizations with expertise relevant to international
deforestation, associated human rights abuses, or
trade;
``(B) 5 of whom shall be representatives of
industry; and
``(C) 2 of whom shall be representatives of labor
organizations.
``(h) Definitions.--In this section:
``(1) Deforestation.--The term `deforestation' means a loss
of natural forest resulting from the whole or partial
conversion of natural forest to--
``(A) agricultural use or another non-forest land
use; or
``(B) a tree plantation.
``(2) HTS.--The term `HTS' means the Harmonized Tariff
Schedule of the United States.
``(3) Illegal deforestation.--The term `illegal
deforestation' means deforestation conducted in violation of
the law (or any action that has the force and effect of law) of
the country in which the deforestation is occurring,
including--
``(A) anti-corruption laws;
``(B) laws relating to land tenure rights; and
``(C) laws relating to the free, prior, and
informed consent of indigenous peoples and local
communities.
``(4) Indian tribe.--The term `Indian Tribe' has the
meaning given the term `Indian tribe' in section 4 of the
Indian Self-Determination and Education Assistance Act (25
U.S.C. 5304).
``(5) Natural forest.--The term `natural forest' means a
natural arboreal ecosystem that--
``(A) has a species composition a significant
percentage of which is native species; and
``(B) includes--
``(i) a native tree canopy cover of more
than 10 percent over an area of not less 0.5
hectares; or
``(ii) other wooded land with a combined
cover of shrubs, bushes, and trees of more than
10 percent over an area of not less than 0.5
hectares.
``(6) Point of origin.--
``(A) In general.--The term `point of origin', with
respect to a covered commodity, means the geographical
location, identified by the smallest administrative
unit of land possible (such as a concession, farm,
ranch, property, or other type of public or private
land allocation), where the covered commodity was
produced.
``(B) Application to livestock.--In the case of
livestock, the term `point of origin' includes all
geographic locations where that animal existed from
birth to slaughter.
``(7) Produce.--
``(A) In general.--Except as provided by
subparagraph (B), the term `produce' means growing,
harvesting, rearing, collecting, extracting, or
otherwise producing a commodity.
``(B) Exclusion.--The term `produce' does not
include refining or manufacturing.
``(8) Supply chain.--The term `supply chain' means the end-
to-end process for getting commodities or products to the
United States, beginning at the point of origin and including
all points until entry into the United States, including
refiners, manufacturers, suppliers, distributors, or vendors.
``(9) Wholly or in part.--
``(A) In general.--The term `wholly or in part'
shall have the meaning given that term in regulations.
``(B) Regulations.--Regulations prescribed under
subsection (b) of the FOREST Act of 2021 shall define
the term `wholly or in part' in a manner designed to
limit the administrative burden on the importer of
record while deterring illegal deforestation.''.
(b) Regulations.--Not later than one year after the date of the
enactment of this Act, the Commissioner of U.S. Customs and Border
Protection and the United States Trade Representative shall publish
final regulations for implementing section 527A of the Tariff Act of
1930, as added by subsection (a).
SEC. 4. FOREIGN ASSISTANCE FOR COUNTRIES COMMITTED TO ELIMINATING
DEFORESTATION.
(a) Statement of Policy.--It is the policy of the United States to
assist foreign governments in eliminating illegal deforestation and to
limit all deforestation to the extent practicable.
(b) Establishment of Fund.--
(1) In general.--There is established in the Treasury of
the United States a fund, consisting of amounts authorized to
be appropriated or appropriated under paragraph (2) or (3).
(2) Deposits to the fund.--There are authorized to be
appropriated, and there are appropriated, to the fund
established under paragraph (1) for fiscal year 2022 and each
fiscal year thereafter an amount equivalent to the amount of
penalties estimated by the Secretary of the Treasury to be
collected under section 527A(e) of the Tariff Act of 1930, as
added by section 3, in that fiscal year.
(3) Additional authorization of appropriations.--In
addition to amounts authorized to be appropriated under
paragraph (2), there are authorized to be appropriated to the
fund established under paragraph (1) $30,000,000 to carry out
this section.
(4) Availability of funds.--Amounts in the fund established
under paragraph (1) shall be available as follows:
(A) $20,000,000 shall be available to the Secretary
of State--
(i) to provide financial and technical
assistance and other resources to the
governments of countries and implementing
partners that are working to complete the
benchmarks in action plans developed under
section 527A(d) of the Tariff Act of 1930, as
added by section 3;
(ii) to provide assistance for
international efforts to combat deforestation;
(iii) to provide assistance to civil
society, indigenous peoples, and local
residents in foreign countries to engage in
efforts to combat deforestation; and
(iv) to be transferred, notwithstanding
section 3302 of title 31, United States Code,
to the Administrator of the United States
Agency for International Development and the
heads of other appropriate Federal agencies to
provide assistance under clauses (i), (ii), and
(iii).
(B) $8,000,000 shall be available to the
Commissioner of U.S. Customs and Border Protection--
(i) to carry out the duties of the
Commissioner under section 527A of the Tariff
Act of 1930, as added by section 3; and
(ii) to be transferred, notwithstanding
section 3302 of title 31, United States Code,
to the Secretary of Agriculture and the
Secretary of the Interior for monitoring,
audits, enforcement, and other duties assigned
under such section 527A.
(C) $3,000,000 shall be available to the United
States Trade Representative to carry out the duties of
the Trade Representative under such section 527A.
(c) Definitions.--In this section, the terms ``deforestation'' and
``illegal deforestation'' have the meanings given those terms in
section 527A(h) of the Tariff Act of 1930, as added by section 3.
SEC. 5. INCLUSION OF ILLEGAL DEFORESTATION AS SPECIFIED UNLAWFUL
ACTIVITY.
Section 1956(c)(7)(B) of title 18, United States Code, is amended--
(1) in clause (vi), by striking ``; or'' and inserting a
semicolon;
(2) in clause (vii), by striking the semicolon and
inserting ``; or''; and
(3) by adding at the end the following:
``(viii) any act, engaged in knowingly, to
carry out, enable, or encourage illegal
deforestation (as defined in section 527A(h) of
the Tariff Act of 1930).''.
SEC. 6. PROCUREMENT PREFERENCE FOR COMMODITIES NOT PRODUCED FROM LAND
SUBJECT TO DEFORESTATION.
(a) In General.--Chapter 47 of title 41, United States Code, is
amended by adding at the end the following:
``Sec. 4715. Procurement preference for commodities not produced from
land subject to deforestation
``(a) In General.--In comparing proposals for the purpose of
awarding a contract involving any product made wholly or in part of a
covered commodity (as defined by section 1527A(c) of the Tariff Act of
1930), the head of an executive agency shall reduce the bid price by 10
percent if the contractor demonstrates to the satisfaction of the head
of the agency that--
``(1) the contractor has a policy described in subsection
(b) in effect; and
``(2) the policy and data on monitoring and enforcement of
that policy are publicly available and updated not less
frequently than annually.
``(b) Policy Described.--A policy described in this subsection is a
policy that includes, at a minimum, the following:
``(1) Measures to identify the point-of-origin of forest-
risk commodities and ensure compliance with the policy when
supply chain risks are present.
``(2) Data detailing the complete list of direct and
indirect suppliers and supply chain traceability information,
including refineries, processing plants, farms, and
plantations, and their respective owners, parent entities, and
farmers, maps, and geolocations, for each forest-risk commodity
found in products that may be furnished to the Federal
Government.
``(3) Measures taken to ensure that each such commodity
does not contribute to deforestation.
``(4) Measures taken to ensure the process of obtaining the
free, prior, and informed consent of indigenous peoples and
local communities directly affected by the production of such
commodities.
``(5) Measures taken to protect biodiversity and prevent
the poaching of wildlife and trade in bushmeat in all
operations and areas adjacent to the production of such
commodities.
``(6) Measures taken to ensure compliance with the laws of
countries where forest-risk commodities in the supply chain of
the contractor are produced.
``(c) Buy American Requirements.--Subsection (a) does not affect
the application of the requirements of chapter 83 of title 41, United
States Code.
``(d) Definitions.--In this section:
``(1) Deforestation; produce.--The terms `deforestation'
and `produce' have the meanings given those terms in section
527A(h) of the Tariff Act of 1930.
``(2) Forest-risk commodity.--The term `forest-risk
commodity' means a commodity at risk of being produced from
land subject to deforestation.''.
(b) Clerical Amendment.--The table of sections for such chapter is
amended by inserting after the item relating to section 4714 the
following:
``4715. Procurement preference for commodities not produced from land
subject to deforestation.''.
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