Supply Chain Security and Resilience Act

To establish a National Resilience Center of Excellence in the Department of Commerce, and for other purposes. 1. Short title This Act may be cited as the Supply Chain Security and Resilience Act 2. National Resilience Center of Excellence (a) Establishment There is established in the Office of the Secretary of Commerce a Supply Chain Resiliency and Crisis Response Office to carry out the activities described in subsection (d). (b) Mission The mission of the Office shall be the following: (1) Help to promote the leadership of the United States with respect to critical industries and supply chains that— (A) strengthen the national security of the United States; and (B) have a significant effect on the economic security of the United States. (2) Encourage partnerships and collaboration with the Federal Government and the private sector, labor organizations, the governments of countries that are allies or key international partners of the United States, State governments and political subdivisions of a State, and Tribal governments in order to— (A) promote the resilience of supply chains; and (B) respond to supply chain shocks to— (i) critical industries; and (ii) supply chains. (3) Monitor the resilience, diversity, security, and strength of supply chains and critical industries, including by— (A) monitoring the financial and operational conditions of domestic manufacturers and domestic enterprises; (B) performing stress tests for critical industries, supply chains, domestic enterprises, and domestic manufacturers; and (C) monitoring the demand and supply of critical goods and services, industrial equipment, and manufacturing technology. (4) Support the development, maintenance, improvement, competitiveness, restoration, and expansion of the productive capacities, efficiency, and workforce of critical industries and domestic manufacturers of critical goods and services, industrial equipment, and manufacturing technology. (5) Prepare for and take appropriate steps to minimize the effects of supply chain shocks on critical industries and supply chains. (6) Support the creation of jobs with competitive wages in the manufacturing sector. (7) Encourage manufacturing growth and opportunities in economically distressed areas and communities of color. (8) Promote the health of the economy of the United States and the competitiveness of manufacturing in the United States. (9) Coordinate executive branch actions necessary to carry out the functions described in paragraphs (1) through (8). (c) Under Secretary of the Office (1) Appointment and term The head of the Office shall be the Under Secretary of the Office of Supply Chain Resiliency and Crisis Response, appointed by the President, by and with the advice and consent of the Senate, for a term of not more than 5 years. (2) Pay The Under Secretary shall be compensated at the rate in effect for level II of the Executive Schedule under section 5313 of title 5, United States Code. (3) Administrative authorities The Under Secretary may appoint officers and employees in accordance with chapter 51 and subchapter III of chapter 53 (d) In general The Under Secretary, in consultation with the Director of the National Institute of Standards and Technology, shall, on an ongoing basis, facilitate and support the development of a voluntary set of standards, guidelines, best practices, management strategies, methodologies, procedures, and processes for domestic manufacturers and entities manufacturing, purchasing, or using a critical good or service to— (1) measure the resilience, diversity, security, and strength of supply chains; (2) evaluate the value of the resilience, diversity, security, and strength of supply chains; and (3) design organizational processes and incentives to reduce the risks of disruption, strain, compromise, or elimination of a supply chain. (e) Requirements In carrying out subsection (d), the Under Secretary shall do the following: (1) Coordinate closely and regularly with relevant private sector personnel and entities, manufacturing extension centers established as part of the Hollings Manufacturing Extension Partnership, Manufacturing USA institutes as described in section 34(d) of the National Institute of Standards and Technology Act ( 15 U.S.C. 278s(d) (2) Consult with the head of any relevant Federal agency, including those with jurisdiction over supply chains, State and local governments, Tribal governments, the governments of other nations, and international organizations, as necessary. (3) Identify a prioritized, flexible, repeatable, performance-based, and cost-effective approach that may be voluntarily adopted by domestic manufacturers and entities purchasing or using a critical good or service to help them— (A) identify, assess, and manage risks to supply chains; and (B) value the resilience, diversity, security, and strength of their supply chain. (4) Design voluntary processes for selecting suppliers that support the resilience, diversity, security, and strength of supply chains. (5) Include methodologies to identify and mitigate the effects of a disruption, strain, compromise, or elimination of a supply chain. (6) Disseminate research and information to assist domestic manufacturers redesign products, expand manufacturing capacity, and improve capabilities to meet domestic needs for critical goods and services and supply chains. (7) Incorporate relevant voluntary standards and industry best practices. (8) Consider small business concerns. (9) Any other elements the Under Secretary determines to be necessary. (f) Authorization of appropriations There is authorized to be appropriated to the Office $500,000,000 for fiscal years 2022 through 2027, to remain available until expended, for the Under Secretary to carry out this section, of which not more than 2 percent per fiscal year may be used for administrative costs. (g) Definitions In this section: (1) Critical good or service The term critical good or service (A) the national security or economic security of the United States; and (B) critical infrastructure. (2) Domestic enterprise The term domestic enterprise (3) Domestic manufacturer The term domestic manufacturer (A) conducts in the United States the research and development, engineering, or production activities necessary or incidental to manufacturing; or (B) if provided financial assistance by the Federal Government, will conduct in the United States the research and development, engineering, or production activities necessary or incidental to manufacturing. (4) Federal agency The term Federal agency agency (5) Office The term Office (6) Small business concern The term small business concern 15 U.S.C. 632(a) (7) Supply chain The term supply chain (8) Under Secretary The term Under Secretary

Summary: Supply Chain Security and Resilience Act This bill establishes a Supply Chain Resiliency and Crisis Response Office within the Department of Commerce. The office must monitor the supply chains for critical goods or services and collaborate with various stakeholders to respond to disruptions in those supply chains. Additionally, the office must support the development of voluntary standards for manufacturers of critical goods or services to address the resilience, diversity, security, and strength of their supply chains.