I 

117TH CONGRESS 

2D SESSION H. R. 6478 

To establish the Office of Supply Chain Resiliency within the Department 

of Commerce to provide expansion support to companies and supply 

chains in the United States that are vulnerable to shortages and price 

increases, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 25, 2022 

Mrs. AXNE (for herself, Mr. SCHNEIDER, and Mr. KRISHNAMOORTHI) introduced the following bill; which was referred to the Committee on Energy 

and Commerce 

A BILL 

To establish the Office of Supply Chain Resiliency within 

the Department of Commerce to provide expansion support to companies and supply chains in the United States 

that are vulnerable to shortages and price increases, 

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, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Supply Chain Resil5 iency Act’’. 

6 SEC. 2. DEFINITIONS. 

7 In this Act: 


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1 (1) ASSISTANT SECRETARY.—The term ‘‘Assist2 ant Secretary’’ means the Assistant Secretary of 

3 Commerce for Supply Chain Resiliency. 

4 (2) CRITICAL PRODUCT.—The term ‘‘critical 

5 product’’ means a product that is critical to the na6 tional security, economic security, or public health of 

7 the United States. 

8 (3) ELIGIBLE ENTITY.—The term ‘‘eligible enti9 ty’’— 

10 (A) means a manufacturer that— 

11 (i) produces not less than one good at 

12 a facility in the United States; and 

13 (ii) is a small business concern; and 

14 (B) may include a manufacturer that is 

15 not a small business concern if the Secretary 

16 determines that providing expansion support to 

17 the manufacturer under section 4 would be in 

18 the public interest. 

19 (4) OFFICE.—The term ‘‘Office’’ means the Of20 fice of Supply Chain Resiliency. 

21 (5) PROGRAM.—The term ‘‘Program’’ means 

22 the Supply Chain Monitoring and Resiliency Pro23 gram established under section 4(a). 

24 (6) SECRETARY.—The term ‘‘Secretary’’ means 

25 the Secretary of Commerce. 


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1 (7) SMALL BUSINESS CONCERN.—The term 

2 ‘‘small business concern’’ has the meaning given the 

3 term in section 3 of the Small Business Act (15 

4 U.S.C. 632). 

5 SEC. 3. OFFICE OF SUPPLY CHAIN RESILIENCY. 

6 (a) ESTABLISHMENT.—The Secretary shall establish 

7 within the Department of Commerce the Office of Supply 

8 Chain Resiliency. 

9 (b) ASSISTANT SECRETARY.—The Office shall be 

10 headed by the Assistant Secretary of Commerce for Sup11 ply Chain Resiliency, who shall be appointed by the Sec12 retary. 

13 (c) RESPONSIBILITIES OF THE ASSISTANT SEC14 RETARY.—The Assistant Secretary shall— 

15 (1) administer the Supply Chain Monitoring 

16 and Resiliency Program; 

17 (2) hire each employee of the Office; and 

18 (3) issue regulations necessary to carry out this 

19 Act. 

20 SEC. 4. SUPPLY CHAIN MONITORING AND RESILIENCY PRO21 GRAM. 

22 (a) ESTABLISHMENT.—The Assistant Secretary shall 

23 establish within the Office the Supply Chain Resiliency 

24 Program. 


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1 (b) OBJECTIVES.—The objectives of the Program 

2 shall be to— 

3 (1) monitor and research interstate commerce 

4 and supply chains in the United States to identify 

5 vulnerabilities in supply chains that— 

6 (A) produce products that are critical to 

7 the national security, economic security, and 

8 public health of the United States; and 

9 (B) produce products in emerging tech10 nologies; and 

11 (2) improve the supply in the United States of 

12 critical products in supply chains identified under 

13 paragraph (1) by providing expansion support to eli14 gible entities. 

15 (c) SUPPLY CHAIN RESEARCH.— 

16 (1) IN GENERAL.—Under the Program, the As17 sistant Secretary shall conduct research and analysis 

18 to identify supply chains that are— 

19 (A) experiencing supply shortages; or 

20 (B) vulnerable to experiencing supply 

21 shortages. 

22 (2) SUPPLY CHAIN VULNERABILITIES.—For the 

23 purpose of paragraph (1), a supply chain that is ex24 periencing a supply shortage or vulnerable to experiVerDate Sep 11 2014 01:09 Jan 26, 2022 Jkt 029200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H6478.IH H6478

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1 encing a supply shortage shall include a supply chain 

2 within which there is— 

3 (A) a critical product— 

4 (i) of which there is a supply shortage 

5 or price spike due to a limited supply of 

6 the critical product; or 

7 (ii) that is in danger of experiencing 

8 a supply shortage or price spike due to a 

9 limited supply of the product; 

10 (B) a manufacturer in the United States 

11 that is the sole supplier, or that is in danger of 

12 becoming the sole supplier, in the supply chain 

13 of a critical product; 

14 (C) a manufacturer in the United States of 

15 a critical product that cannot make investments 

16 in property, a plant, and equipment necessary 

17 to expand the production of the critical product 

18 due to a lack of access to low-cost, long-term 

19 capital; 

20 (D) a manufacturer in the United States 

21 that has reduced output of a critical product 

22 because— 

23 (i) the necessary inputs to manufac24 ture the critical product are unavailable 


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1 due to a supply shortage or transportation 

2 disruption; 

3 (ii) the cost of necessary inputs to 

4 manufacture the critical product have in5 creased because of a supply shortage; or 

6 (iii) the critical product cannot be de7 livered due to a transportation disruption; 

8 and 

9 (E) any other supply chain disruption 

10 identified by the Assistant Secretary that re11 sults in, or could result in, increased prices and 

12 supply shortages for a critical product. 

13 (3) METHODS.—In conducting the research and 

14 analysis required under paragraph (1), the Assistant 

15 Secretary may— 

16 (A) conduct surveys of industry; 

17 (B) analyze market data, including con18 sumer price indices and the components of 

19 those indices; and 

20 (C) convene meetings with manufacturers, 

21 suppliers, consumers, retailers, labor organiza22 tions, and other constituents of supply chains in 

23 the United States. 

24 (4) SUPPLY SHOCK STRESS TESTS.—The As25 sistant Secretary may conduct stress tests to simuVerDate Sep 11 2014 01:09 Jan 26, 2022 Jkt 029200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H6478.IH H6478

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1 late the impact of hypothetical supply chain shocks 

2 on— 

3 (A) supply chains for critical products in 

4 the United States; and 

5 (B) manufacturers in the United States 

6 that comprise the supply chains described in 

7 subparagraph (A) by— 

8 (i) producing critical products; 

9 (ii) supplying inputs to critical prod10 ucts; or 

11 (iii) buying critical products as an 

12 input for the manufactured goods of the 

13 manufacturer. 

14 (5) ELIGIBILITY FOR EXPANSION SUPPORT.—In 

15 identifying entities that may be eligible to receive ex16 pansion support under subsection (d)(1), the Assist17 ant Secretary— 

18 (A) shall use data gathered from the re19 search conducted under paragraph (1); and 

20 (B) may use results of the stress tests con21 ducted under paragraph (4). 

22 (d) SUPPLY CHAIN RESILIENCY EXPANSION SUP23 PORT.— 


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1 (1) IN GENERAL.—Under the Program, the As2 sistant Secretary shall provide expansion support to 

3 eligible entities in the form of— 

4 (A) loans; 

5 (B) loan guaranties on private markets; 

6 and 

7 (C) grants. 

8 (2) USE OF EXPANSION SUPPORT.—An eligible 

9 entity that receives expansion support under para10 graph (1) shall use the expansion support to expand 

11 production of a product that is part of a supply 

12 chain identified under subsection (c)(1). 

13 (3) TERMS AND CONDITIONS OF EXPANSION

14 SUPPORT.— 

15 (A) IN GENERAL.—An eligible entity that 

16 receives expansion support under paragraph (1) 

17 shall agree to— 

18 (i) maintain production of a critical 

19 product in the United States; 

20 (ii) comply with the labor standards 

21 required under subparagraph (B); and 

22 (iii) any other terms or conditions the 

23 Assistant Secretary may require in order 

24 to achieve the objectives of the Program. 


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1 (B) LABOR-MANAGEMENT COOPERA2 TION.— 

3 (i) IN GENERAL.—Notwithstanding 

4 any other provision of law, including the 

5 National Labor Relations Act (29 U.S.C. 

6 151 et seq.), this subparagraph shall apply 

7 with respect to any recipient of funding 

8 under this section who is an employer and 

9 any labor organization who represents or 

10 seeks to represent any employees or only 

11 those employees who perform or will per12 form work funded under this section. 

13 (ii) RECOGNITION.—Any employer re14 ceiving funds under this section shall rec15 ognize for purposes of collective bargaining 

16 a labor organization that demonstrates 

17 that a majority of the employees in a unit 

18 appropriate for such purposes and who 

19 perform or will perform work funded under 

20 this section have signed valid authoriza21 tions designating the labor organization as 

22 their collective bargaining representative 

23 and that no other labor organization is cer24 tified or recognized pursuant to section 9 

25 of the National Labor Relations Act (29 


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1 U.S.C. 159) as the exclusive representative 

2 of any of the employees in the unit who 

3 perform or will perform such work. Upon 

4 such showing of majority status, the em5 ployer shall notify the labor organization 

6 and the National Labor Relations Board 

7 that the employer— 

8 (I) has determined that the labor 

9 organization represents a majority of 

10 the employees in such unit who per11 form or will perform such work; and 

12 (II) is recognizing the labor orga13 nization as the exclusive representa14 tive of the employees in such unit who 

15 perform or will perform such work for 

16 the purposes of collective bargaining 

17 pursuant to that section. 

18 (iii) DISPUTE RESOLUTION AND UNIT

19 CERTIFICATION.—If a dispute over major20 ity status or the appropriateness of the 

21 unit described in clause (ii) arise between 

22 the employer and the labor organization, 

23 either party may request that the National 

24 Labor Relations Board investigate and re25 solve the dispute. If the Board finds that 


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1 a majority of the employees in a unit ap2 propriate for purposes of collective bar3 gaining who perform or will perform work 

4 funded under this section has signed valid 

5 authorizations designating the labor orga6 nization as their representative for such 

7 purposes and that no other individual or 

8 labor organization is certified or recognized 

9 as the exclusive representative of any of 

10 the employees in the unit who perform or 

11 will perform such work for such purposes, 

12 the Board shall not direct an election but 

13 shall certify the labor organization as the 

14 representative described in section 9(a) of 

15 the National Labor Relations Act (29 

16 U.S.C. 159(a)). 

17 (iv) MEETINGS AND COLLECTIVE BAR18 GAINING AGREEMENTS.—Not later than 10 

19 days after an employer receiving funding 

20 under this section receives a written re21 quest for collective bargaining from a rec22 ognized or certified labor organization rep23 resenting employees who perform or will 

24 perform work funded under this section, or 

25 within such period as the parties agree 


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1 upon, the labor organization and employer 

2 shall meet and commence to bargain collec3 tively and shall make every reasonable ef4 fort to conclude and sign a collective bar5 gaining agreement. 

6 (v) MEDIATION AND CONCILIATION.— 

7 If, after the expiration of the 90-day pe8 riod beginning on the date on which collec9 tive bargaining is commenced under clause 

10 (iv), or such additional period as the par11 ties may agree upon, the parties have 

12 failed to reach an agreement, either party 

13 may notify the Federal Mediation and 

14 Conciliation Service (referred to in this 

15 subparagraph as the ‘‘Service’’) of the ex16 istence of a dispute and request mediation. 

17 Whenever such a request is received, it 

18 shall be the duty of the Service promptly 

19 to put itself in communication with the 

20 parties and to use its best efforts, by medi21 ation and conciliation, to bring them to 

22 agreement. 

23 (vi) TRIPARTITE ARBITRATION.— 

24 (I) IN GENERAL.—If, after the 

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1 ning on the date on which the request 

2 for mediation is made under clause 

3 (v), or such additional period as the 

4 parties may agree upon, the Service is 

5 not able to bring the parties to agree6 ment by mediation and conciliation, 

7 the Service shall refer the dispute to 

8 a tripartite arbitration panel estab9 lished in accordance with such regula10 tions as may be prescribed by the 

11 Service. 

12 (II) MEMBERS.—A tripartite ar13 bitration panel established under this 

14 clause with respect to a dispute shall 

15 be composed of 1 member selected by 

16 the labor organization, 1 member se17 lected by the employer, and 1 neutral 

18 member mutually agreed to by the 

19 labor organization and the employer. 

20 Each such member shall be selected 

21 not later than 14 days after the expi22 ration of the 30-day period described 

23 in subclause (I) with respect to such 

24 dispute. Any member not so selected 

25 by the date that is 14 days after the 


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1 expiration of such period shall be se2 lected by the Service. 

3 (III) DECISIONS.—A majority of 

4 a tripartite arbitration panel estab5 lished under this clause with respect 

6 to a dispute shall render a decision 

7 settling the dispute as soon as prac8 ticable, and (absent extraordinary cir9 cumstances or by agreement or per10 mission of the parties) not later than 

11 120 days after the establishment of 

12 such panel. Such a decision shall be 

13 binding upon the parties for a period 

14 of 2 years, unless amended during 

15 such period by written consent of the 

16 parties. Such decision shall be based 

17 on— 

18 (aa) the financial status and 

19 prospects of the employer; 

20 (bb) the size and type of the 

21 operations and business of the 

22 employer; 

23 (cc) the cost of living of the 

24 employees; 


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1 (dd) the ability of the em2 ployees to sustain themselves, 

3 their families, and their depend4 ents on the wages and benefits 

5 they earn from the employer; and 

6 (ee) the wages and benefits 

7 other employers in the same busi8 ness provide their employees. 

9 (vii) CONTRACTORS AND SUB10 CONTRACTORS.—Any employer receiving 

11 funds under this section to procure goods 

12 or services shall require a contractor or 

13 subcontractor, whose employees perform or 

14 will perform work funded under this sec15 tion, that contracts or subcontracts with 

16 the employer to comply with the require17 ments set forth in clauses (i) through (vi). 

18 (viii) DEFINITIONS.—In this subpara19 graph, the terms ‘‘employee’’, ‘‘employer’’, 

20 and ‘‘labor organization’’ have the mean21 ings given the terms in section 2 of the 

22 National Labor Relations Act (29 U.S.C. 

23 152). 

24 (C) LIMITATION OF FUNDS.—Funds ap25 propriated to carry out this Act shall not be 


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1 used to assist, promote, or deter organizing of 

2 labor organizations. 

3 (e) SUPPLY CHAIN RESILIENCY FUND.— 

4 (1) ESTABLISHMENT.—There is established a 

5 Supply Chain Resiliency Fund for the purpose of 

6 funding loans, loan guaranties, and grants under the 

7 Program. 

8 (2) FINANCIAL OPERATIONS OF THE SUPPLY

9 CHAIN RESILIENCY FUND.— 

10 (A) IN GENERAL.—The Assistant Sec11 retary shall use the funds in the Supply Chain 

12 Resiliency Fund to finance loans, loan guaran13 ties, and grants to eligible entities under the 

14 Program. 

15 (B) RESERVE RATIO.—The Assistant Sec16 retary shall not lend in excess of 10 times the 

17 capital in reserve in the Supply Chain Resil18 iency Fund. 

19 (C) INTEREST RATE.—The Assistant Sec20 retary shall establish interest rates for loans, 

21 loan guaranties, and other instruments as the 

22 Secretary considers appropriate, taking into ac23 count— 

24 (i) the objectives of the Program de25 scribed in section 3(b); and 


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1 (ii) the cost of capital experienced by 

2 foreign competitors to the beneficiaries of 

3 the support provided under this section. 

4 (f) AUTHORIZATION OF APPROPRIATIONS.—There 

5 are authorized to be appropriated to the Assistant Sec6 retary $5,000,000,000 for each of fiscal years 2023 

7 through 2027 to carry out the Program, of which 

8 $4,000,000,000 shall be deposited into the Supply Chain 

9 Resiliency Fund established under subsection (e). 

Æ 


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