[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 1050 Introduced in Senate (IS)]
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118th CONGRESS
1st Session
S. 1050
To secure the bulk-power system in the United States.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 29, 2023
Mr. Scott of Florida (for himself, Mr. Rubio, Mr. Marshall, and Mr.
Cotton) introduced the following bill; which was read twice and
referred to the Committee on Energy and Natural Resources
_______________________________________________________________________
A BILL
To secure the bulk-power system in the United States.
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 ``Protect American Power
Infrastructure Act''.
SEC. 2. SECURING THE BULK-POWER SYSTEM.
(a) Definitions.--In this section:
(1) Bulk-power system.--
(A) In general.--The term ``bulk-power system'' has
the meaning given the term in section 215(a) of the
Federal Power Act (16 U.S.C. 824o(a)).
(B) Inclusion.--The term ``bulk-power system''
includes transmission lines rated at 69,000 volts (69
kV) or higher.
(2) Covered equipment.--The term ``covered equipment''
means items used in bulk-power system substations, control
rooms, or power generating stations, including--
(A)(i) power transformers with a low-side voltage
rating of 69,000 volts (69 kV) or higher; and
(ii) associated control and protection systems,
such as load tap changers, cooling systems, and sudden
pressure relays;
(B)(i) generator step-up (GSU) transformers with a
high-side voltage rating of 69,000 volts (69 kV) or
higher; and
(ii) associated control and protection systems,
such as load tap changers, cooling systems, and sudden
pressure relays;
(C) circuit breakers operating at 69,000 volts (69
kV) or higher;
(D) reactive power equipment rated at 69,000 volts
(69 kV) or higher; and
(E) microprocessing software and firmware that--
(i) is installed in any equipment described
in subparagraphs (A) through (D); or
(ii) is used in the operation of any of the
items described in those subparagraphs.
(3) Critical defense facility.--
(A) In general.--The term ``critical defense
facility'' means a facility that--
(i) is critical to the defense of the
United States; and
(ii) is vulnerable to a disruption of the
supply of electric energy provided to that
facility by an external provider.
(B) Inclusion.--The term ``critical defense
facility'' includes a facility designated as a critical
defense facility by the Secretary of Energy under
section 215A(c) of the Federal Power Act (16 U.S.C.
824o-1(c)).
(4) Critical electric infrastructure.--The term ``critical
electric infrastructure'' has the meaning given the term in
section 215A(a) of the Federal Power Act (16 U.S.C. 824o-1(a)).
(5) Defense critical electric infrastructure.--The term
``defense critical electric infrastructure'' has the meaning
given the term in section 215A(a) of the Federal Power Act (16
U.S.C. 824o-1(a)).
(6) Entity.--The term ``entity'' means a partnership,
association, trust, joint venture, corporation, group,
subgroup, or other organization.
(7) Foreign adversary.--The term ``foreign adversary''
means any foreign government or foreign nongovernment person
engaged in a long-term pattern or serious instances of conduct
significantly adverse to--
(A) the national security of--
(i) the United States; or
(ii) allies of the United States; or
(B) the security and safety of United States
persons.
(8) Person.--The term ``person'' means an individual or
entity.
(9) Procurement.--The term ``procurement'' means the
process of acquiring, through purchase, by contract and through
the use of appropriated funds, supplies or services, including
installation services, by and for the use of the Federal
Government.
(10) Transaction.--The term ``transaction'' means the
acquisition, importation, transfer, or installation of any
bulk-power system electric equipment by any person, or with
respect to any property, subject to the jurisdiction of the
United States.
(11) United states person.--The term ``United States
person'' means--
(A) an individual who is--
(i) a citizen of the United States; or
(ii) an alien lawfully admitted for
permanent residence in the United States;
(B) an entity organized under the laws of the
United States or any jurisdiction within the United
States, including a foreign branch of such an entity;
and
(C) any person in the United States.
(b) Prohibition.--
(1) In general.--Except as otherwise provided in this
subsection, no person that is the owner or operator of defense
critical electric infrastructure may engage in any transaction
relating to that defense critical electric infrastructure that
involves any covered equipment in which a foreign adversary has
an ownership or any other interest, including through an
interest in a contract for the provision of the covered
equipment, over which a foreign adversary has control, or with
respect to which a foreign adversary exercises influence,
including any transaction that--
(A) is initiated after the date of enactment of
this Act; and
(B) the Secretary of Energy, in coordination with
the Director of the Office of Management and Budget and
in consultation with the Secretary of Defense, the
Secretary of Homeland Security, the Director of
National Intelligence, and the heads of other
appropriate Federal agencies, as determined by the
Secretary of Energy, determines--
(i) involves covered equipment designed,
developed, manufactured, or supplied by persons
owned by, controlled by, or subject to the
jurisdiction or direction of a foreign
adversary; and
(ii) poses an undue risk of catastrophic
effects on the security or resiliency of
defense critical electric infrastructure in the
United States.
(2) Mitigation measures.--
(A) In general.--The Secretary of Energy, in
consultation with the heads of other Federal agencies,
as appropriate, may--
(i) in accordance with subparagraph (B),
approve a transaction or class of transactions
prohibited under paragraph (1); and
(ii) design or negotiate measures to
mitigate any concerns identified in making
determinations under paragraph (1)(B) with
respect to that transaction or class of
transactions.
(B) Precondition to approval of otherwise
prohibited transaction.--The Secretary of Energy shall
implement the measures described in subparagraph
(A)(ii) before approving a transaction or class of
transactions that would otherwise be prohibited under
paragraph (1).
(3) Application.--
(A) In general.--The prohibition described in
paragraph (1) shall apply to a transaction described in
that paragraph regardless of whether--
(i) a contract has been entered into with
respect to that transaction before the date of
enactment of this Act; or
(ii) a license or permit has been issued or
granted with respect to that transaction before
the date of enactment of this Act.
(B) Contrary law.--The prohibition described in
paragraph (1) shall apply to each transaction described
in that paragraph only to the extent not otherwise
provided by--
(i) another statute; or
(ii) a regulation, order, directive, or
license issued pursuant to this section.
(4) Prequalification.--
(A) In general.--The Secretary of Energy, in
consultation with the heads of other Federal agencies,
as appropriate, may--
(i) establish and publish criteria for
recognizing particular covered equipment and
particular vendors in the market for covered
equipment as prequalified for future
transactions; and
(ii) apply those criteria to establish and
publish, and update, as necessary, a list of
prequalified equipment and vendors.
(B) Savings provision.--Nothing in this paragraph
limits the authority of the Secretary of Energy under
this subsection to prohibit or otherwise regulate any
transaction involving prequalified equipment or
vendors.
(c) Implementation.--
(1) Implementation by the secretary of energy.--The
Secretary of Energy shall take such actions as the Secretary
determines to be necessary to implement this section,
including--
(A) directing the timing and manner of the
cessation of pending and future transactions prohibited
under subsection (b)(1);
(B) adopting appropriate rules and regulations; and
(C) exercising any applicable power granted to the
President by the International Emergency Economic
Powers Act (50 U.S.C. 1701 et seq.) and delegated to
the Secretary.
(2) Required rulemaking.--
(A) In general.--Not later than 150 days after the
date of enactment of this Act, the Secretary of Energy,
in consultation with the Secretary of Defense, the
Secretary of Homeland Security, the Director of
National Intelligence, and the heads of other
appropriate Federal agencies, as determined by the
Secretary of Energy, shall issue rules or regulations
to implement this section.
(B) Authority.--A rule or regulation issued under
subparagraph (A) may--
(i) determine that particular countries or
persons are foreign adversaries exclusively for
the purposes of this section;
(ii) identify persons owned by, controlled
by, or subject to the jurisdiction or direction
of, foreign adversaries exclusively for the
purposes of this section;
(iii) identify particular equipment or
countries with respect to which transactions
involving covered equipment warrant particular
scrutiny under this section; and
(iv) identify a mechanism and relevant
factors for the negotiation of agreements to
mitigate concerns identified in making
determinations under subsection (b)(1)(B).
(3) Identification of certain equipment.--As soon as
practicable after the date of enactment of this Act, the
Secretary of Energy, in consultation with the Secretary of
Defense, the Secretary of the Interior, the Secretary of
Homeland Security, the Director of National Intelligence, the
Board of Directors of the Tennessee Valley Authority, and the
heads of other appropriate Federal agencies, as determined by
the Secretary of Energy, shall--
(A) identify existing covered equipment that--
(i) is designed, developed, manufactured,
or supplied by persons owned by, controlled by,
or subject to the jurisdiction or direction of
a foreign adversary; and
(ii) poses an undue risk of catastrophic
effects on the security or resiliency of
critical electric infrastructure in the United
States; and
(B) develop recommendations on ways to identify,
isolate, monitor, or replace any covered equipment
identified under subparagraph (A) as soon as
practicable.
(4) Coordination and information sharing.--The Secretary of
Energy shall work with the Secretary of Defense, the Secretary
of the Interior, the Secretary of Homeland Security, the
Director of National Intelligence, the Board of Directors of
the Tennessee Valley Authority, and the heads of other
appropriate Federal agencies, as determined by the Secretary of
Energy, to protect critical defense facilities from national
security threats through--
(A) the coordination of the procurement of energy
infrastructure by the Federal Government; and
(B) the sharing of risk information and risk
management practices to inform that procurement.
(5) Requirement.--This section shall be implemented--
(A) in a manner that is consistent with all other
applicable laws; and
(B) subject to the availability of appropriations.
(d) Reports to Congress.--The Secretary of Energy shall submit to
Congress periodic reports describing any progress made in implementing,
or otherwise relating to the implementation of, this section.
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