A bill to provide for Congressional authority with respect to certain acquisitions, mergers, and takeovers under the Defense Production Act of 1950.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Foreign Investment Security Act of 
2005''.

SEC. 2. CONGRESSIONAL AUTHORITY UNDER DEFENSE PRODUCTION ACT.

    Section 721 of the Defense Production Act of 1950 (50 U.S.C. App. 
2170) is amended--
            (1) in subsection (a)--
                    (A) by striking ``30'' and inserting ``60''; and
                    (B) by adding at the end the following: ``The 
                findings and recommendations of any such investigation 
                shall be sent immediately to the President and to the 
                Committee on Banking, Housing, and Urban Affairs of the 
                Senate and the Committee on Financial Services of the 
                House of Representatives for review.'';
            (2) in subsection (b)--
                    (A) by inserting before the first period ``, or in 
                such instance at the request of the chairman and 
                ranking member of the Committee on Banking, Housing, 
                and Urban Affairs of the Senate or the Committee on 
                Financial Services of the House of Representatives'';
                    (B) in paragraph (2), by inserting before the 
                period ``, and the findings and recommendations of such 
                investigation shall be sent immediately to the 
                President and to the Committee on Banking, Housing, and 
                Urban Affairs of the Senate and the Committee on 
                Financial Services of the House of Representatives for 
                review''; and
                    (C) by striking ``30'' and inserting ``60'';
            (3) in subsection (f)--
                    (A) by striking ``designee may'' and inserting 
                ``designee shall'';
                    (B) in paragraph (4), by striking ``and'' at the 
                end;
                    (C) in paragraph (5), by striking the period at the 
                end and inserting ``; and''; and
                    (D) by adding at the end the following:
            ``(6) the long-term projections of United States 
        requirements for sources of energy and other critical resources 
        and materials and for economic security.'';
            (4) in subsection (g)--
                    (A) by striking ``The President'' and inserting the 
                following:
            ``(1) In general.--The President''; and
                    (B) by adding at the end the following:
            ``(2) Quarterly submissions.--The Secretary of the Treasury 
        shall transmit to the Committee on Banking, Housing, and Urban 
        Affairs of the Senate and the Committee on Financial Services 
        of the House of Representatives on a quarterly basis, a 
        detailed summary and analysis of each merger, acquisition, or 
        takeover that is being reviewed, was reviewed during the 
        preceding 90-day period, or is likely to be reviewed in the 
        coming quarter by the President or the President's designee 
        under subsection (a) or (b). Each such summary and analysis 
        shall be submitted in unclassified form, with classified 
        annexes as the Secretary determines are required to protect 
        company proprietary information and other sensitive 
        information. Each such summary and analysis shall include an 
        appendix detailing dissenting views.''; and
            (5) by adding at the end the following new subsections:
    ``(l) Congressional Authority.--
            ``(1) In general.--If the President does not suspend or 
        prohibit an acquisition, merger, or takeover under subsection 
        (d), the acquisition, merger, or takeover may not be 
        consummated until 10 legislative days after the President 
        notifies the Congress of the decision not to suspend or 
        prohibit. If a joint resolution objecting to the proposed 
        transaction is introduced in either House of Congress by the 
        chairman of one of the appropriate congressional committees 
        during such 10-legislative-day period, the transaction may not 
        be consummated until 30 legislative days after the date on 
        which such resolution is introduced.
            ``(2) Disapproval upon passage of resolution.--If a joint 
        resolution introduced under paragraph (1) is enacted into law, 
        the transaction may not be consummated.
            ``(3) Considerations.--The Committee on Banking, Housing, 
        and Urban Affairs of the Senate and the Committee on Financial 
        Services of the House of Representatives shall review any 
        findings and recommendations submitted under subsection (a) or 
        (b), and any joint resolution under paragraph (1) of this 
        subsection shall be based on the factors outlined in subsection 
        (f).
            ``(4) Senate procedure.--Any joint resolution under 
        paragraph (1) shall be considered in the Senate in accordance 
        with the provisions of section 601(b) of the International 
        Security Assistance and Arms Export Control Act of 1976 (Public 
        Law 94-329, 90 Stat. 765).
            ``(5) House consideration.--For the purpose of expediting 
        the consideration and enactment of a joint resolution under 
        paragraph (1), a motion to proceed to the consideration of any 
        such joint resolution shall be treated as highly privileged in 
        the House of Representatives.
    ``(m) Thorough Review.--The President, or the President's designee, 
shall ensure that an acquisition, merger, or takeover that is completed 
prior to a review or investigation under this section shall be fully 
reviewed for national security considerations, even in the event that a 
request for such review is withdrawn.''.

Summary: Foreign Investment Security Act of 2005 - Amends the Defense Production Act of 1950 relating to authorized investigations of the effects on national security of a proposed acquisition, merger, or takeover (transaction) by or with foreign persons which could result in foreign control of persons engaged in US commerce to: (1) extend the time to commence such investigation. (2) require the findings and recommendations of any investigation to be sent immediately to the President and specified congressional committees for review. (3) require certain factors to be considered as part of such investigation, including the effect on domestic production and long-term projections of US requirements for sources of energy and other critical resources. (4) direct the Secretary of the Treasury to report quarterly to such committees a detailed summary and analysis of each transaction being, or likely to be, reviewed. And (5) subject the President's decision not to suspend or prohibit a transaction to a congressional approval process.