tic neodymium iron boron magnets to meet the de-
mand of the Department of Defense. 
(2) REQUIREMENTS.—In carrying out para-
graph (1), the Secretary of Defense shall— 
(A) identify one or more reliable producers, 
potential producers, or past producers of sin-
tered neodymium iron boron magnets and seek 
to enter into a long-term supply contract with 
such producer of such magnets to support the 
national defense needs of the United States; 
(B) ensure that a sintered neodymium iron 
boron magnet producer who is awarded any 
such long-term contract establishes manufac-
turing capability for only military-use magnets 
for sale to the National Defense Stockpile; 
(C) include all appropriate language in any 
such contract to indemnify the producers re-
garding intellectual property issues; and 
(D) require the Administrator of the De-
fense Logistics Agency Strategic Materials to 
make available such magnets for purchase by 
Federal Government contractors until the date 
on which the Secretary determines that an al-
ternate qualified domestic supplier of sintered 
neodymium iron boron magnets exists. 
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(d) TERMINATION.—The authority under subsection 
(b) and the authority to enter into a long-term supply con-
tract under subsection (c) shall terminate on the earlier 
of the following dates: 
(1) The date on which the Secretary of Defense 
determines that an alternate qualified domestic sup-
plier of neodymium iron boron magnet alloy and 
dysprosium iron alloy exists. 
(2) October 1, 2018. 
SEC. 7. RARE EARTH MATERIALS PROGRAM. 
(a) IN GENERAL.—There is established in the United 
States Geological Survey a program of research, develop-
ment, demonstration, and commercial application to en-
sure the long-term, secure, and sustainable supply of rare 
earth materials sufficient to satisfy the national security, 
economic well-being, and industrial production needs of 
the United States. 
(b) PROGRAM ACTIVITIES.—The program described 
in subsection (a) shall support activities to— 
(1) better characterize and quantify virgin 
stocks of rare earth materials using theoretical geo-
chemical research; 
(2) explore, discover, and recover rare earth 
materials using advanced science and technology; 
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(3) improve methods for the extraction, proc-
essing, use, recovery, and recycling of rare earth ma-
terials; 
(4) improve the understanding of the perform-
ance, processing, and adaptability in engineering de-
signs of rare earth materials; 
(5) identify and test alternative materials that 
can be substituted for rare earth materials in par-
ticular applications; 
(6) engineer and test applications that— 
(A) use recycled rare earth materials; 
(B) use alternative materials; or 
(C) seek to minimize rare earth materials 
content; 
(7) collect, catalogue, archive, and disseminate 
information on rare earth materials, including sci-
entific and technical data generated by the research 
and development activities supported under this sec-
tion, and assist scientists and engineers in making 
the fullest possible use of the data holdings; and 
(8) facilitate information sharing and collabora-
tion among program participants and stakeholders. 
(c) IMPROVED PROCESSES AND TECHNOLOGIES.—To 
the maximum extent practicable, the Secretary of the Inte-
rior shall support new or significantly improved processes 
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and technologies as compared to those currently in use 
in the rare earth materials industry. 
(d) EXPANDING PARTICIPATION.—The Secretary of 
the Interior shall encourage— 
(1) multidisciplinary collaborations among pro-
gram participants; and 
(2) extensive opportunities for students at insti-
tutions of higher education, including institutions 
listed under section 371(a) of the Higher Education 
Act of 1965 (20 U.S.C. 1067q(a)). 
(e) CONSISTENCY.—The program shall be consistent 
with the policies and programs in the National Materials 
and Minerals Policy, Research and Development Act of 
1980 (30 U.S.C. 1601 et seq.). 
(f) INTERNATIONAL COLLABORATION.—In carrying 
out the program, the Secretary of the Interior may col-
laborate, to the extent practicable, on activities of mutual 
interest with the relevant agencies of foreign countries 
with interests relating to rare earth materials. 
(g) PLAN.— 
(1) IN GENERAL.—Within 180 days after the 
date of enactment of this Act and biennially there-
after, the Secretary of the Interior shall prepare and 
submit to the appropriate congressional committees 
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a plan to carry out the program established under 
subsection (a). 
(2) SPECIFIC REQUIREMENTS.—The plan shall 
include a description of— 
(A) the research and development activities 
to be carried out by the program during the 
subsequent 2 years; 
(B) the expected contributions of the pro-
gram to the creation of innovative methods and 
technologies for the efficient and sustainable 
provision of rare earth materials to the domes-
tic economy; 
(C) how the program is promoting the 
broadest possible participation by academic, in-
dustrial, and other contributors; and 
(D) actions taken or proposed that reflect 
recommendations from the assessment con-
ducted under subsection (h) or the Secretary’s 
rationale for not taking action pursuant to any 
recommendation from such assessment for 
plans submitted following the completion of the 
assessment under such subsection. 
(3) CONSULTATION.—In preparing each plan 
under paragraph (1), the Secretary of the Interior 
shall consult with appropriate representatives of in-
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