IIB 

118TH CONGRESS 

2D SESSION H. R. 9597 

IN THE SENATE OF THE UNITED STATES 

NOVEMBER 13, 2024 

Received; read twice and referred to the Committee on Homeland Security and 

Governmental Affairs 

AN ACT 

To amend title 41, United States Code, to make changes 

with respect to the Federal Acquisition Security Council, 

and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Federal Acquisition 

3 Security Council Improvement Act of 2024’’. 

4 SEC. 2. CHANGES WITH RESPECT TO THE FEDERAL ACQUI5 SITION SECURITY COUNCIL. 

6 (a) DEFINITION OF SOURCE OF CONCERN, COVERED

7 SOURCE OF CONCERN, RECOMMENDED ORDER, AND DES8 IGNATED ORDER.—Section 1321 of title 41, United States 

9 Code, is amended— 

10 (1) by redesignating paragraphs (5) through 

11 (8) as paragraphs (7) through (10); 

12 (2) by inserting after paragraph (4) the fol13 lowing: 

14 ‘‘(5) COVERED SOURCE OF CONCERN.—The 

15 term ‘covered source of concern’ means a source of 

16 concern that is specifically designated as a ‘covered 

17 source of concern’ by a statute that states that such 

18 designation is for the purposes of this subchapter. 

19 ‘‘(6) DESIGNATED ORDER.—The term ‘des20 ignated order’ means an order described under sec21 tion 1323(c)(3).’’; and 

22 (3) by adding at the end the following: 

23 ‘‘(11) RECOMMENDED ORDER.—The term ‘rec24 ommended order’ means an order recommended 

25 under section 1323(c)(2). 

26 ‘‘(12) SOURCE OF CONCERN.— 


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1 ‘‘(A) IN GENERAL.—The term ‘source of 

2 concern’ means a source— 

3 ‘‘(i) subject to the jurisdiction, direc4 tion, or control of the government of a for5 eign adversary, or operates on behalf of 

6 the government of a foreign adversary; or 

7 ‘‘(ii) that poses a risk to the national 

8 security of the United States based on col9 laboration with, whole or partial ownership 

10 or control by, or being affiliated with a 

11 military, internal security force, or intel12 ligence agency of a foreign adversary. 

13 ‘‘(B) FOREIGN ADVERSARY DEFINED.—In 

14 this paragraph, the term ‘foreign adversary’ has 

15 the meaning given the term ‘covered nation’ in 

16 section 4872(d) of title 10.’’. 

17 (b) ESTABLISHMENT AND MEMBERS OF COUNCIL.— 

18 Section 1322 of title 41, United States Code, is amend19 ed— 

20 (1) in subsection (a), by striking ‘‘executive 

21 branch’’ and inserting ‘‘Executive Office of the 

22 President’’; 

23 (2) in subsection (b)— 

24 (A) by amending paragraph (1) to read as 

25 follows: 


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1 ‘‘(1) IN GENERAL.—The members of the Coun2 cil shall be as follows: 

3 ‘‘(A) The Administrator for Federal Pro4 curement Policy. 

5 ‘‘(B) The Deputy Director for Manage6 ment of the Office of Management and Budget. 

7 ‘‘(C) The following officials, each of whom 

8 shall occupy a position at the level of Assistant 

9 Secretary or Deputy Assistant Secretary (or 

10 equivalent): 

11 ‘‘(i) Two officials from the Office of 

12 the Director of National Intelligence, one 

13 of which shall be from the National Coun14 terintelligence and Security Center. 

15 ‘‘(ii) Two officials from the Depart16 ment of Defense, one of which shall be one 

17 from the National Security Agency. 

18 ‘‘(iii) Two officials from the Depart19 ment of Homeland Security, one of which 

20 shall be one from the Cybersecurity and 

21 Infrastructure Security Agency. 

22 ‘‘(iv) An official from the General 

23 Services Administration. 

24 ‘‘(v) An official from the Office of the 

25 National Cyber Director. 


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1 ‘‘(vi) Two officials from the Depart2 ment of Justice, one of which shall be one 

3 from the Federal Bureau of Investigation. 

4 ‘‘(vii) Two officials from the Depart5 ment of Commerce, one of which shall be 

6 from the National Institute of Standards 

7 and Technology and one of which shall be 

8 from the Bureau of Industry and Security. 

9 ‘‘(viii) An official from any executive 

10 agency not listed under clauses (i) through 

11 (vii) whose temporary or permanent par12 ticipation is determined by the Chairperson 

13 of the Council to be necessary to carry out 

14 the functions of the Council while main15 taining the intended balance in subject 

16 matter expertise.’’; and 

17 (B) in paragraph (2)— 

18 (i) in the heading, by striking ‘‘LEAD

19 REPRESENTATIVES’’ and inserting ‘‘MEM20 BERS’’; 

21 (ii) by amending subparagraph (A)(i) 

22 to read as follows: 

23 ‘‘(i) IN GENERAL.—The head of each 

24 executive agency listed under paragraph 

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1 cials from that agency who shall serve on 

2 the Council in accordance with such para3 graph.’’; 

4 (iii) by amending subparagraph 

5 (A)(ii) to read as follows: 

6 ‘‘(ii) REQUIREMENTS.—To the extent 

7 feasible, any official designated under 

8 clause (i) shall have expertise in supply 

9 chain risk management, acquisitions, law, 

10 or information and communications tech11 nology.’’; 

12 (iv) by amending subparagraph (B) to 

13 read as follows: 

14 ‘‘(B) FUNCTIONS.—A member of the 

15 Council shall— 

16 ‘‘(i) regularly participate in the activi17 ties of the Council; 

18 ‘‘(ii) ensure that any information re19 quested by the Council from the agency 

20 represented by the member is provided to 

21 the Council; and 

22 ‘‘(iii) ensure that the head of the 

23 agency represented by the member and 

24 other appropriate personnel of the agency 

25 are aware of the activities of the Council.’’; 


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1 (3) in subsection (c)— 

2 (A) by amending paragraph (1) to read as 

3 follows: 

4 ‘‘(1) IN GENERAL.—The Chairperson of the 

5 Council shall be— 

6 ‘‘(A) the National Cyber Director; or 

7 ‘‘(B) another member of the Council des8 ignated by the National Cyber Director.’’; and 

9 (B) in paragraph (2)— 

10 (i) in subparagraph (B), by striking 

11 ‘‘(b)(1)(H)’’ and inserting 

12 ‘‘(b)(1)(C)(viii)’’; and 

13 (ii) in subparagraph (C), by striking 

14 ‘‘lead representative of each agency rep15 resented on the Council’’ and inserting 

16 ‘‘members of the Council’’; and 

17 (4) in subsection (d)— 

18 (A) by striking ‘‘The Council’’ and insert19 ing the following: 

20 ‘‘(1) COUNCIL MEETINGS.—The Council’’; and 

21 (B) by adding at the end the following: 

22 ‘‘(2) OTHER MEETINGS.—The Chairperson of 

23 the Council shall meet, not less frequently than 

24 semiannually, with— 


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1 ‘‘(A) the Secretary of Homeland Security, 

2 Secretary of Defense, and Director of National 

3 Intelligence; or 

4 ‘‘(B) in the case that any of the officials 

5 under subparagraph (A) delegated authority to 

6 an official under section 1323(c)(6)(C), with 

7 the delegated official.’’. 

8 (c) FUNCTIONS AND AUTHORITIES.—Section 1323 of 

9 title 41, United States Code is amended— 

10 (1) in subsection (a)— 

11 (A) by striking ‘‘supply chain’’ each place 

12 it appears and inserting ‘‘acquisition security 

13 and supply chain’’; 

14 (B) in paragraph (1), as amended by sub15 paragraph (A), by striking ‘‘, particularly’’ and 

16 inserting ‘‘that arise’’; 

17 (C) in paragraph (2), as amended by sub18 paragraph (A), by inserting ‘‘associated with 

19 the acquisition and use of covered articles’’ 

20 after ‘‘risk’’; 

21 (D) in paragraph (6), as amended by sub22 paragraph (A)— 

23 (i) by striking ‘‘posed by’’ and insert24 ing ‘‘associated with’’; and 


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1 (ii) by inserting ‘‘and use’’ before ‘‘of 

2 covered articles’’; 

3 (E) in paragraph (7), by striking ‘‘posed 

4 by acquisitions’’ and inserting ‘‘associated with 

5 the acquisition’’; 

6 (F) by redesignating paragraph (7) as 

7 paragraph (12); and 

8 (G) by inserting after paragraph (6) the 

9 following: 

10 ‘‘(7) Implementing a prioritization scheme for 

11 evaluating the security risks associated with the ac12 quisition and use of covered articles provided or pro13 duced by a covered source of concern. 

14 ‘‘(8) Evaluating each covered source of concern 

15 to determine whether to issue a designated order 

16 with respect to the covered source of concern or a 

17 covered article produced or provided by the covered 

18 source of concern. 

19 ‘‘(9) Evaluating sources of concern to determine 

20 whether to issue a recommended order with respect 

21 to the source of concern, or any covered article pro22 duced or provided by the source of concern. 

23 ‘‘(10) Monitoring and evaluating compliance by 

24 the Secretary of Homeland Security, Secretary of 

25 Defense, and Director of National Intelligence with 


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1 the requirement to issue designated orders under 

2 subsection (c)(6)(B). 

3 ‘‘(11) Reporting to Congress annually on the 

4 security risks associated with the acquisition and use 

5 of covered articles produced or provided by sources 

6 of concern.’’; 

7 (2) in subsection (b)— 

8 (A) by striking ‘‘The Council’’ and insert9 ing the following: 

10 ‘‘(1) IN GENERAL.—The Council’’; and 

11 (B) in paragraph (1), as so redesignated, 

12 by striking ‘‘a program office and’’; and 

13 (C) by adding at the end the following: 

14 ‘‘(2) FEDERAL ACQUISITION SECURITY COUNCIL

15 PROGRAM OFFICE.— 

16 ‘‘(A) ESTABLISHMENT.—The Council shall 

17 establish a Federal Acquisition Security Council 

18 Program Office (referred to in this paragraph 

19 as the ‘Program Office’) within the Office of 

20 the National Cyber Director to carry out the 

21 functions of the Council duties described under 

22 subparagraph (B). 

23 ‘‘(B) DUTIES.—The Program Office shall 

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1 ies established by the Council under paragraph 

2 (1)— 

3 ‘‘(i) administrative, legal, and policy 

4 support; and 

5 ‘‘(ii) analysis and subject matter ex6 pertise on information communications 

7 technology, acquisition security, and supply 

8 chain risk. 

9 ‘‘(C) STRUCTURE.—The head of the Pro10 gram Office shall be a senior official from the 

11 Office of the National Cyber Director that occu12 pies a position at the level of Assistant Sec13 retary or Deputy Assistant Secretary (or equiv14 alent). 

15 ‘‘(D) PROHIBITION.—The Program Office 

16 may not provide administrative support to the 

17 Council for any activities of the Council carried 

18 out pursuant to a provision of law other than 

19 a provision of law under this subchapter. 

20 ‘‘(E) FUNDING AND RESOURCES.—The 

21 Program Office may use the staff and resources 

22 of the Office of the National Cyber Director or 

23 maintain dedicated staff and resources, as ap24 propriate, in the performance of the duties of 

25 the Office. 


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1 ‘‘(F) SHARED STAFFING AUTHORITY.— 

2 ‘‘(i) IN GENERAL.—The Program Of3 fice may accept officers or employees of 

4 the United States or members of the 

5 Armed Forces on a detail from an element 

6 of the intelligence community (as such 

7 term is defined in section 3 of the National 

8 Security Act of 1947 (50 U.S.C. 3003)) or 

9 from another element of the Federal Gov10 ernment on a nonreimbursable basis, as 

11 jointly agreed to by the heads of the receiv12 ing and detailing elements, for a period not 

13 to exceed three years. 

14 ‘‘(ii) RULE OF CONSTRUCTION.— 

15 Nothing in this subparagraph may be con16 strued as imposing any limitation on any 

17 other authority for reimbursable or nonre18 imbursable details. 

19 ‘‘(iii) NONREIMBURSABLE DETAIL.—A 

20 nonreimbursable detail made under this 

21 subparagraph shall not be considered an 

22 augmentation of the appropriations of the 

23 receiving element of the Program Office or 

24 the Office of the National Cyber Director. 


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1 ‘‘(G) SUNSET.—The Program Office shall 

2 terminate on the date described under section 

3 1328.’’; 

4 (3) in subsection (c)— 

5 (A) in paragraph (1)— 

6 (i) in the matter preceding subpara7 graph (A), by striking ‘‘supply chain risk’’ 

8 and inserting ‘‘acquisition security and 

9 supply chain risk associated with the ac10 quisition of covered articles’’; 

11 (ii) in subparagraph (A), by inserting 

12 ‘‘recommended’’ before ‘‘exclusion orders’’; 

13 (iii) in subparagraph (B), by inserting 

14 ‘‘recommended’’ before ‘‘removal orders’’; 

15 (iv) in subparagraph (C), by striking 

16 ‘‘; and’’ and inserting a semicolon; 

17 (v) in subparagraph (D), by striking 

18 the period at the end and inserting ‘‘; 

19 and’’; and 

20 (vi) by adding at the end the fol21 lowing: 

22 ‘‘(E) issuing designated orders.’’; 

23 (B) in paragraph (2)— 


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1 (i) in the heading, by striking ‘‘REC2 OMMENDATIONS’’ and inserting ‘‘REC3 OMMENDED ORDERS’’; 

4 (ii) by striking ‘‘use’’ and inserting ‘‘, 

5 using’’; 

6 (iii) by striking ‘‘subsection (a)(3)’’ 

7 and inserting ‘‘subsection (a)(4)’’; 

8 (iv) by striking ‘‘to issue recommenda9 tions’’ and inserting ‘‘, recommend or10 ders’’; 

11 (v) by striking ‘‘Such recommenda12 tions’’ and inserting ‘‘Any such order rec13 ommended’’; 

14 (vi) by inserting ‘‘to the officials de15 scribed under clause (iii) of paragraph 

16 (6)(A) for issuance under such paragraph’’ 

17 after ‘‘thereof,’’; 

18 (vii) in subparagraph (D), by striking 

19 ‘‘supply chain risk’’ and inserting ‘‘acquisi20 tion security and supply chain risk associ21 ated with the acquisition of covered arti22 cles’’; and 

23 (viii) in subparagraph (E), by striking 

24 ‘‘exclusion or removal’’; 


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1 (C) by redesignating paragraphs (3) 

2 through (7) as paragraphs (4) through (8); 

3 (D) by inserting after paragraph (2) the 

4 following: 

5 ‘‘(3) DESIGNATED ORDERS.— 

6 ‘‘(A) EXCLUSION OR REMOVAL OF COV7 ERED SOURCES OF CONCERN.— 

8 ‘‘(i) IN GENERAL.—Not later than 

9 270 days after a source of concern is des10 ignated as a covered source of concern, the 

11 Council— 

12 ‘‘(I) shall provide to the officials 

13 described under clause (iii) of para14 graph (6)(B) for issuance under such 

15 paragraph orders requiring— 

16 ‘‘(aa) the exclusion of the 

17 covered source of concern from 

18 any executive agency procure19 ment action, including source se20 lection and consent for a con21 tractor; or 

22 ‘‘(bb) the removal of covered 

23 articles produced or provided by 

24 the covered source of concern 


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1 from the information system of 

2 executive agencies; or 

3 ‘‘(II) report to Congress why the 

4 Council has determined to not issue 

5 an order described under subclause (I) 

6 with respect to the covered source of 

7 concern or covered articles produced 

8 or provided by the covered source of 

9 concern. 

10 ‘‘(ii) CONTENTS OF ORDER.—Any 

11 order provided under clause (i) shall in12 clude— 

13 ‘‘(I) information regarding the 

14 scope and applicability of the order, 

15 including any information necessary 

16 to positively identify the covered 

17 source of concern or covered articles 

18 produced or provided by the covered 

19 source of concern required to be ex20 cluded or removed under the order; 

21 ‘‘(II) a summary of any risk as22 sessment reviewed or conducted in 

23 support of the order; 

24 ‘‘(III) a summary of the basis for 

25 the order, including a discussion of 


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1 less intrusive measures that were con2 sidered and why such measures were 

3 not reasonably available to reduce se4 curity risk; 

5 ‘‘(IV) a description of the actions 

6 necessary to implement the order; and 

7 ‘‘(V) where practicable, in the 

8 Council’s sole and unreviewable dis9 cretion, a description of mitigation 

10 steps that could be taken by the cov11 ered source of concern that may result 

12 in the Council rescinding the order. 

13 ‘‘(B) EXCLUSION OR REMOVAL OF SECOND

14 ORDER SOURCES OR COVERED ARTICLES.— 

15 ‘‘(i) ISSUANCE.—In the case that the 

16 Council provides an order under subpara17 graph (A), the Council may also provide an 

18 order to the officials described under para19 graph (6)(A)(iii) requiring the exclusion of 

20 sources or covered articles from executive 

21 agency procurement actions or removal of 

22 covered articles from executive agency in23 formation systems if— 

24 ‘‘(I) such covered articles or such 

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1 cern in the performance of a contract 

2 with the executive agency; or 

3 ‘‘(II) such sources enter into a 

4 contract, the performance of which 

5 such source knows or has reason to 

6 believe will require, in the perform7 ance of a contract with the executive 

8 agency, the use of a covered source of 

9 concern or the use of a covered article 

10 produced or provided by a covered 

11 source of concern. 

12 ‘‘(ii) EFFECTIVE DATE CONSIDER13 ATIONS.—Any effective date prescribed by 

14 the Council for an order issued pursuant 

15 to clause (i) shall take into account— 

16 ‘‘(I) the risk posed by the covered 

17 source of concern or the covered arti18 cle produced or provided by the cov19 ered source of concern to the national 

20 security of the United States; 

21 ‘‘(II) the likelihood of the covered 

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1 nent threat to public health and safe2 ty; 

3 ‘‘(III) the availability of an alter4 native source or covered article pro5 duced or provided by an alternative 

6 source; and 

7 ‘‘(IV) an assessment of the po8 tential direct or quantifiable costs 

9 that may be incurred by the Federal 

10 Government, a State, local, or Tribal 

11 government, or by the private sector, 

12 as a result of compliance by the head 

13 of an executive agency with such an 

14 exclusion or removal order.’’; 

15 (E) in paragraph (4), as so redesignated— 

16 (i) in the heading, by striking ‘‘OF

17 RECOMMENDATION AND REVIEW’’ and in18 serting ‘‘AND REVIEW OF RECOMMENDED

19 AND DESIGNATED ORDERS’’; 

20 (ii) by striking ‘‘ the recommenda21 tion’’ each place the term appears, and in22 serting ‘‘ the order’’; 

23 (iii) in the matter preceding subpara24 graph (A), by striking ‘‘A notice of the 

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1 graph (2)’’ and inserting ‘‘Before the 

2 Council recommends an order under para3 graph (2) or issues an order under para4 graph (3), a notice’’; 

5 (iv) in subparagraph (A), by striking 

6 ‘‘a recommendation has been made’’ and 

7 inserting ‘‘the order will be recommended 

8 or issued’’; 

9 (v) in subparagraph (D), by striking 

10 ‘‘paragraph (5)’’ and inserting ‘‘paragraph 

11 (6)’’; and 

12 (vi) by inserting a new subparagraph 

13 to read as follows: 

14 ‘‘(F) Until an order is issued pursuant to 

15 paragraph (6), information collected under this 

16 paragraph shall be exempt from public disclo17 sure and shall be exempt from disclosure under 

18 section 552(b)(3)(B) of title 5, United States 

19 Code (commonly referred to as the ‘Freedom of 

20 Information Act’).’’; 

21 (F) in paragraph (5), as so redesignated— 

22 (i) by striking ‘‘paragraph (3)’’ and 

23 inserting ‘‘paragraph (4)’’; 


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1 (ii) in subparagraph (A), by striking 

2 ‘‘paragraph (5)’’ and inserting ‘‘paragraph 

3 (6)’’; and 

4 (iii) in subparagraph (B), by striking 

5 ‘‘paragraph (6)’’ and inserting ‘‘paragraph 

6 (7)’’; 

7 (G) in paragraph (6), as so redesignated— 

8 (i) by amending subparagraph (A) to 

9 read as follows: 

10 ‘‘(A) ISSUANCE OF RECOMMENDED OR11 DERS.— 

12 ‘‘(i) MODIFICATIONS TO ORDER.— 

13 After considering any response properly 

14 submitted by a source under paragraph (4) 

15 related to an order to be recommended 

16 under paragraph (2), the Council shall— 

17 ‘‘(I) make such modifications to 

18 the order as the Council considers ap19 propriate; and 

20 ‘‘(II) provide the order (together 

21 with any information submitted by a 

22 source under paragraph (4) related to 

23 such order) to the officials described 

24 under clause (iii). 


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1 ‘‘(ii) ORDER.—Not later than 90 days 

2 after receiving a recommended order, the 

3 officials described under clause (iii) shall— 

4 ‘‘(I) issue the order to the heads 

5 of the applicable agencies; or 

6 ‘‘(II) submit a notification to the 

7 Council that the order will not be 

8 issued, that includes in the notifica9 tion to the Council, all the reasons for 

10 why the order will not be issued. 

11 ‘‘(iii) OFFICIALS.—The officials de12 scribed in this clause are as follows: 

13 ‘‘(I) The Secretary of Homeland 

14 Security, for exclusion and removal 

15 orders applicable to civilian agencies, 

16 to the extent not covered by subclause 

17 (II) or (III). 

18 ‘‘(II) The Secretary of Defense, 

19 for exclusion and removal orders ap20 plicable to the Department of Defense 

21 and national security systems other 

22 than sensitive compartmented infor23 mation systems. 

24 ‘‘(III) The Director of National 

25 Intelligence, for exclusion and removal 


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1 orders applicable to the intelligence 

2 community and sensitive compart3 mented information systems, to the 

4 extent not covered by subclause (II).’’; 

5 (ii) by redesignating subparagraphs 

6 (B) through (E) as subparagraphs (C) 

7 through (F), respectively; 

8 (iii) by inserting after subparagraph 

9 (A) the following: 

10 ‘‘(B) ISSUANCE OF DESIGNATED ORDER.— 

11 ‘‘(i) MODIFICATIONS.—After consid12 ering any response properly submitted by a 

13 source under paragraph (4) related to a 

14 designated order, the Council shall— 

15 ‘‘(I)(aa) make any such modifica16 tions to the order as the Council con17 siders appropriate; or 

18 ‘‘(bb) if the Council deter19 mines that the issuance of a des20 ignated order is not warranted, 

21 rescind the designated order and 

22 notify the source of the rescis23 sion; and 

24 ‘‘(II) except in the case that the 

25 Council rescinds the designated order 


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1 under subclause (I)(bb), provide the 

2 designated order (including any modi3 fications made to such order by the 

4 Council) to the officials described in 

5 clause (iii). 

6 ‘‘(ii) ISSUANCE.—The officials de7 scribed in clause (iii) shall, not later than 

8 90 days after receiving a designated order, 

9 issue the order to the heads of the applica10 ble agencies. 

11 ‘‘(iii) OFFICIALS.—The officials de12 scribed in this clause are as follows: 

13 ‘‘(I) The Secretary of Homeland 

14 Security, for exclusion and removal 

15 orders applicable to civilian agencies, 

16 to the extent not covered by subclause 

17 (II) or (III). 

18 ‘‘(II) The Secretary of Defense, 

19 for exclusion and removal orders ap20 plicable to the Department of Defense 

21 and national security systems other 

22 than sensitive compartmented infor23 mation systems. 

24 ‘‘(III) The Director of National 

25 Intelligence, for exclusion and removal 


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1 orders applicable to the intelligence 

2 community and sensitive compart3 mented information systems, to the 

4 extent not covered by subclause (II). 

5 ‘‘(iv) WAIVER.—An official described 

6 under clause (iii) may waive for a period of 

7 not more than 365 days the application of 

8 an order issued by such official under 

9 clause (ii) with respect to a covered source 

10 of concern or a covered article produced or 

11 provided by a covered source of concern if 

12 the official submits, not later than 30 days 

13 after making such waiver, a written notifi14 cation to the Council, appropriate congres15 sional committees, and leadership that con16 tains the justification for such waiver. 

17 ‘‘(v) RENEWAL OF WAIVER.—An offi18 cial described under clause (iii) may renew 

19 a waiver under clause (iv) for an additional 

20 period of not more than 180 days if— 

21 ‘‘(I) the renewal of the waiver is 

22 in the national security interests of 

23 the United States; and 

24 ‘‘(II) the official submits, not 

25 later than 30 days after renewing 


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1 such waiver, a written notification to 

2 the Council, appropriate congressional 

3 committees, and leadership that in4 cludes the justification for renewing 

5 the wavier. 

6 ‘‘(vi) NATIONAL SECURITY WAIVER.— 

7 An official described under clause (iii) may 

8 waive the application of an order issued by 

9 such official under clause (ii) with respect 

10 to a covered source of concern or a covered 

11 article produced or provided by a covered 

12 source of concern for any activity subject 

13 to the reporting requirements under title V 

14 of the National Security Act of 1947 (50 

15 U.S.C. 3091 et seq.) or any authorized in16 telligence activities of the United States. 

17 ‘‘(vii) RESCISSION OF ORDER.—An ex18 clusion or removal order issued under this 

19 subparagraph by an official may be re20 scinded only by the Council.’’. 

21 (iv) in subparagraph (C), as so redes22 ignated— 

23 (I) by striking ‘‘subparagraph 

24 (A)’’ and inserting ‘‘subparagraph 

25 (A)(iii) or (B)(iii)’’; 


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1 (II) by striking ‘‘this subpara2 graph’’ and inserting ‘‘subparagraph 

3 (A)(iii) or (B)(iii)’’; and 

4 (III) by striking ‘‘, except’’ and 

5 all that follows before the period at 

6 the end; 

7 (v) in subparagraph (D), as so redes8 ignated— 

9 (I) by striking ‘‘this paragraph’’ 

10 and inserting ‘‘subparagraph (A)(iii) 

11 or (B)(iii)’’; and 

12 (II) by striking ‘‘help’’; 

13 (vi) in subparagraph (E), as so redes14 ignated, by striking ‘‘this paragraph’’ and 

15 inserting ‘‘subparagraph (A)’’; and 

16 (vii) by adding after subparagraph 

17 (F), as so redesignated, the following: 

18 ‘‘(G) EFFECTIVE DATE OF ORDERS.—The 

19 effective date of an order issued under this 

20 paragraph may not be more than 365 days 

21 after the order is issued.’’; 

22 (H) in paragraph (7), as so redesignated, 

23 by striking ‘‘paragraph (5)(A)’’ and inserting 

24 ‘‘subparagraph (A) or (B) of paragraph (6)’’; 

25 and 


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1 (I) in paragraph (8), as so redesignated, 

2 by striking ‘‘paragraph (5)’’ and inserting 

3 ‘‘paragraph (6)’’; 

4 (4) in subsection (e), by inserting ‘‘the Chief 

5 Data Officers Council,’’ before ‘‘the Chief Acquisi6 tion’’; and 

7 (5) in subsection (f)(2), by striking the period 

8 at the end and inserting ‘‘unless such source is spe9 cifically designated by statute as a covered source of 

10 concern for the purposes of this subchapter.’’. 

11 (d) STRATEGIC PLAN.—Section 1324(a) of title 41, 

12 United States Code, is amended— 

13 (1) by inserting ‘‘, and periodically thereafter’’ 

14 after ‘‘2018’’; 

15 (2) in the matter preceding paragraph (1), by 

16 inserting ‘‘acquisition security and’’ before ‘‘supply 

17 chain risks’’; 

18 (3) in paragraph (8), by inserting ‘‘acquisition 

19 security and’’ before ‘‘supply chain risks’’; and 

20 (4) in paragraph (9)(A), by inserting ‘‘acquisi21 tion security and’’ before ‘‘supply chain risk’’. 

22 (e) REQUIREMENTS FOR EXECUTIVE AGENCIES.— 

23 Section 1326 of title 41, United States Code, is amend24 ed— 

25 (1) in subsection (a)— 


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1 (A) in paragraph (1), by striking ‘‘; and’’ 

2 and inserting a semicolon; 

3 (B) in paragraph (2), by striking the pe4 riod at the end and inserting ‘‘; and’’; and 

5 (C) by adding at the end the following: 

6 ‘‘(3) providing any information requested by the 

7 Chairperson of the Council for the purpose of car8 rying out activities of this subchapter, subject to ap9 plicable law or policy on the control and handling of 

10 classified, sensitive, or proprietary information.’ ’’’; 

11 (2) by striking ‘‘supply chain’’ each place such 

12 term appears and inserting ‘‘security and supply 

13 chain’’; and 

14 (3) in subsection (b)(6), by striking ‘‘supply 

15 chain’’ and inserting ‘‘security or supply chain’’. 

16 (f) JUDICIAL PROCEDURE.—Section 1327(b) of title 

17 41, United States Code, is amended— 

18 (1) in paragraph (1), by striking ‘‘section 

19 1323(c)(6)’’ and inserting ‘‘section 1323(c)(7)’’; 

20 (2) in paragraph (3), by striking ‘‘section 

21 1323(c)(5)’’ and inserting ‘‘sections 1323(c)(6)’’; 

22 and 

23 (3) in paragraph (4), by amending subpara24 graph (B)(i) to read as follows: 


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1 ‘‘(i) FILING OF RECORD.—The United 

2 States shall file with the court an adminis3 trative record, which shall consist of— 

4 ‘‘(I) the information the Council 

5 relied upon in issuing a designated 

6 order under 1323(c)(6); and 

7 ‘‘(II) the information that the ap8 propriate official relied upon in 

9 issuing an exclusion or removal order 

10 under section 1323(c)(6) or a covered 

11 procurement action under section 

12 4713.’’. 

13 (g) ADDITIONAL PROVISIONS.—Subchapter III of 

14 chapter 13 of title 41, United States Code, is amended 

15 by adding at the end the following: 

16 ‘‘§ 1329. Additional provisions 

17 ‘‘(a) COMPLIANCE WITH EXISTING PROHIBITIONS.— 

18 In implementing this subchapter, the Council shall coordi19 nate, as applicable and practicable, with the head of an 

20 agency to assist with compliance by the agency with— 

21 ‘‘(1) section 889 of the John S. McCain Na22 tional Defense Authorization Act of 2019 (Public 

23 Law 115–232; 41 U.S.C. 3901 note); 


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1 ‘‘(2) section 5949 of the James M. Inhofe Na2 tional Defense Authorization Act of 2023 (Public 

3 Law 117–263; 41 U.S.C. 4713 note); and 

4 ‘‘(3) sections 1821 through 1833 of the Amer5 ican Security Drone Act of 2023 (Public Law 118– 

6 31). 

7 ‘‘(b) UPDATE TO REGULATIONS.—The Federal Ac8 quisition Security Council shall update, within two years 

9 after the date of the enactment of this section, any regula10 tions of the Council as necessary.’’. 

11 (h) TECHNICAL AND CONFORMING CHANGES.—Sub12 chapter III of chapter 13 of title 41, United States Code, 

13 is amended— 

14 (1) in the table of sections for the subchapter 

15 by adding after the item related to section 1328 the 

16 following: 

‘‘1329. Additional provisions.’’; 

17 (2) in section 1321(1)(B), by striking ‘‘Govern18 ment Reform’’ and inserting ‘‘Accountability’’; and 

19 (3) by striking ‘‘of this title’’ each place the 

20 term appears. 

21 SEC. 3. REALLOCATING EXISTING RESOURCES. 

22 Section 5949(l) of the James M. Inhofe National De23 fense Authorization Act for Fiscal Year 2023 (Public Law 

24 117–263) is amended— 


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1 (1) in paragraph (1), by striking ‘‘Office of 

2 Management and Budget’’ and inserting ‘‘Office of 

3 the National Cyber Director’’; and 

4 (2) in paragraph (2), by striking ‘‘Office of 

5 Management and Budget’’ and inserting ‘‘Office of 

6 the National Cyber Director’’. 

Passed the House of Representatives November 12, 

2024. 

Attest: KEVIN F. MCCUMBER, 

Clerk. 


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