II 

Calendar No. 294

108TH CONGRESS 

1ST SESSION S. 1680

[Report No. 108–156] 

To reauthorize the Defense Production Act of 1950, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

SEPTEMBER 30 (legislative day, SEPTEMBER 29), 2003

Mr. SHELBY, from the Committee on Banking, Housing, and Urban Affairs, 

reported the following original bill; which was read twice and placed on 

the calendar 

A BILL

To reauthorize the Defense Production Act of 1950, 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 ‘‘Defense Production 

5 Reauthorization Act of 2003’’. 

6 SEC. 2. FINDINGS AND DECLARATION OF POLICY. 

7 Section 2(a) of the Defense Production Act of 1950 

8 (50 U.S.C. App. 2062(a)) is amended to read as follows: 
2

•S 1680 PCS 

1 ‘‘SEC. 2. FINDINGS AND DECLARATION OF POLICY. 

2 ‘‘(a) FINDINGS.—Congress finds that—

3 ‘‘(1) the security of the United States is de4 pendent upon its ability—

5 ‘‘(A) to maintain and enhance the indus6 trial and technology base necessary to meet na7 tional defense requirements for emergency con8 tingencies; and 

9 ‘‘(B) to continue to function economically, 

10 politically, and socially in the midst of a crisis 

11 and thereafter, whether it results from a nat12 ural or man-caused event, especially after an at13 tack by a hostile state or organization; 

14 ‘‘(2) to that end, the United States Government 

15 requires certain statutory authorities to enable it to 

16 prepare for, respond to, and recover from hazards 

17 that threaten the national security or emergency 

18 preparedness of the United States; 

19 ‘‘(3) private industries, both manufacturing and 

20 service-oriented, that support the functioning of the 

21 United States Government and its Armed Forces 

22 and ensure economic security and social stability 

23 need to be capable of preparing for and responding 

24 as expeditiously as possible to an attack, either 

25 physical upon its premises or support structures or 

26 electronic, and recovering from any such attack; 
3

•S 1680 PCS 

1 ‘‘(4) with the rise in terrorism as a principal 

2 threat to the security of the United States, and with 

3 the increasing dependence of the Government, 

4 Armed Forces, banking, financial, public works, 

5 communications, transportation, and other critical 

6 sectors on infrastructure vulnerable to hostile attack, 

7 the Government continues to require statutory au8 thority that enables it to establish priorities, alloca9 tions, and processes essential to the ability of the 

10 country to function as required; 

11 ‘‘(5) the maintenance of industrial capabilities 

12 critical to the ability of the Armed Forces to prepare 

13 for and respond to hostile attack on the United 

14 States or its interests remains a vital interest of the 

15 United States; 

16 ‘‘(6) contraction in the United States defense 

17 industrial base and increased dependence on over18 seas sources of defense items has placed a premium 

19 on the authorities provided for in this Act, including 

20 expansion of domestic productive capacity and some 

21 diversion of certain materials and facilities from ci22 vilian use to military and related purposes; and 

23 ‘‘(7) United States economic and national secu24 rity remain dependent on assured access to sources 
4

•S 1680 PCS 

1 of energy, and on the uninterrupted supply of energy 

2 within the United States. 

3 ‘‘(b) STATEMENT OF POLICY.—It is the policy of the 

4 United States that—

5 ‘‘(1) the authorities provided for in this Act 

6 should be used as judiciously as possible, and always 

7 with the intent of ensuring the national security of 

8 the United States and its infrastructure against hos9 tile attack and against other man-caused and nat10 ural hazards; 

11 ‘‘(2) the authorities provided for in this Act 

12 should be used to ensure the availability of materials 

13 and services that promote national defense, economic 

14 security, and social stability; and 

15 ‘‘(3) executive agencies and departments re16 sponsible for defense acquisition should continuously 

17 assess the capability of the domestic defense and in18 dustrial base to satisfy national security require19 ments.’’. 

20 SEC. 3. REAUTHORIZATION OF THE DEFENSE PRODUCTION 

21 ACT OF 1950. 

22 (a) IN GENERAL.—Section 717(a) of the Defense 

23 Production Act of 1950 (50 U.S.C. App. 2166(a)) is 

24 amended—
5

•S 1680 PCS 

1 (1) in the first sentence, by striking ‘‘Title I 

2 (except’’ and all that follows through ‘‘2003:’’ and 

3 inserting ‘‘Title I (except section 104), title III, and 

4 title VII (except sections 707, 708, and 721), and all 

5 authority conferred thereunder, shall terminate at 

6 the close of September 30, 2008:’’; and 

7 (2) by striking ‘‘Section 714’’ and all that fol8 lows through the end of the subsection. 

9 (b) AUTHORIZATION OF APPROPRIATIONS.—Section 

10 711(b) of the Defense Production Act of 1950 (50 U.S.C. 

11 App. 2161(b)) is amended by striking ‘‘2003’’ and insert12 ing ‘‘2008’’. 

13 SEC. 4. RESOURCE SHORTFALL FOR RADIATION-HARD14 ENED ELECTRONICS. 

15 (a) SPECIAL RULE.—Section 303(a)(6) of the De16 fense Production Act of 1950 (50 U.S.C. App. 2093(a)(6)) 

17 is amended—

18 (1) in subparagraph (A), by inserting ‘‘and sub19 paragraph (D) of this paragraph’’ after ‘‘paragraph 

20 (7)’’; and 

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

22 ‘‘(D) SPECIAL RULE WITH RESPECT TO

23 RADIATION-HARDENED ELECTRONICS.—

24 ‘‘(i) IN GENERAL.—Notwithstanding 

25 subparagraph (A), the President may take 
6

•S 1680 PCS 

1 action under this section to correct an in2 dustrial resource shortfall for radiation3 hardened electronics, to the extent that 

4 such action does not cause the aggregate 

5 outstanding amount of all such actions for 

6 industrial resource shortfalls to exceed 

7 $200,000,000. 

8 ‘‘(ii) REPORT BY THE SECRETARY.—

9 Not later than 6 months after the date of 

10 enactment of this subparagraph, the Sec11 retary of Defense shall submit a report to 

12 the Committee on Banking, Housing, and 

13 Urban Affairs of the Senate and the Com14 mittee on Financial Services of the House 

15 of Representatives describing—

16 ‘‘(I) the current state of the do17 mestic industrial base for radiation18 hardened electronics; 

19 ‘‘(II) the projected requirements 

20 of the Department of Defense for ra21 diation-hardened electronics; 

22 ‘‘(III) the intentions of the De23 partment of Defense for the industrial 

24 base for radiation-hardened elec25 tronics; and 
7

•S 1680 PCS 

1 ‘‘(IV) the plans of the Depart2 ment of Defense for use of providers 

3 of radiation-hardened electronics be4 yond the providers with which the De5 partment had entered into contractual 

6 arrangements under the authority of 

7 this Act as of the date of enactment 

8 of this subparagraph.’’. 

9 (b) DEFINITION.—Section 702 of the Defense Pro10 duction Act of 1950 (50 U.S.C. App. 2152) is amended—

11 (1) by redesignating paragraphs (15) through 

12 (17) as paragraphs (17) through (19), respectively; 

13 and 

14 (2) by inserting after paragraph (14) the fol15 lowing: 

16 ‘‘(16) RADIATION-HARDENED ELECTRONICS.—

17 The term ‘radiation-hardened electronics’ means key 

18 electronic components used in strategic defense 

19 space and missile systems developed for the Depart20 ment of Defense and warhead maintenance pro21 grams of the Department of Energy that ensure the 

22 functionality of such systems in high radiation envi23 ronments, such as ambient space and in proximity to 

24 nuclear detonations.’’. 
8

•S 1680 PCS 

1 (c) REPEAL OF DUPLICATIVE PROVISION.—Section 

2 829 of the Bob Stump National Defense Authorization 

3 Act for Fiscal Year 2003 (50 U.S.C. App. 2093 note, 116 

4 Stat. 2618) is repealed. 

5 SEC. 5. PROTECTION AND RESTORATION OF CRITICAL IN6 FRASTRUCTURE. 

7 (a) DEFINITION.—Section 702 of the Defense Pro8 duction Act of 1950 (50 U.S.C. App. 2152), as amended 

9 by section 4(b), is amended—

10 (1) by redesignating paragraphs (3) through 

11 (14) as paragraphs (4) through (15), respectively; 

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

14 ‘‘(3) CRITICAL INFRASTRUCTURE.—The term 

15 ‘critical infrastructure’ means systems and assets, 

16 whether physical or cyber-based, so vital to the 

17 United States that the degradation or destruction of 

18 such systems and assets would have a debilitating 

19 impact on national security, national economic secu20 rity, national public health or safety, or any com21 bination of those matters.’’; and 

22 (3) in paragraph (14), as redesignated, by in23 serting before the period at the end the following: 

24 ‘‘and critical infrastructure protection and restora25 tion’’. 
9

•S 1680 PCS 

1 (b) AUTHORITY TO PROTECT AND RESTORE CRIT2 ICAL INFRASTRUCTURE.—Section 101 of the Defense Pro3 duction Act (50 U.S.C. App. 2071) is amended by adding 

4 at the end the following: 

5 ‘‘(d) PROTECTION AND RESTORATION OF CRITICAL

6 INFRASTRUCTURE.—The President may exercise the au7 thority provided under subsection (a) to directly assist a 

8 private sector critical infrastructure owner or operator in 

9 the furtherance of critical infrastructure protection or res10 toration.’’. 

11 SEC. 6. CLARIFICATION OF PRESIDENTIAL AUTHORITY. 

12 Section 705(a) of the Defense Production Act of 

13 1950 (50 U.S.C. App. 2155(a)) is amended by inserting 

14 after the first sentence the following: ‘‘The authority of 

15 the President under this section includes the authority to 

16 obtain information in order to perform industry studies 

17 assessing the capabilities of the United States industrial 

18 base to support the national defense.’’.
Calendar No. 294

108TH CONGRESS 

1ST SESSION S. 1680

[Report No. 108–156] 

A BILL

To reauthorize the Defense Production Act of 

1950, and for other purposes. 

SEPTEMBER 30 (legislative day, SEPTEMBER 29), 2003

Read twice and placed on the calendar