I 
118TH CONGRESS 
2D SESSION 
H. R. 8742 
To establish the Office of Information and Communications Technology and 
Services within the Bureau of Industry and Security of the Department 
of Commerce, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 13, 2024 
Ms. SLOTKIN introduced the following bill; which was referred to the Com-
mittee on Foreign Affairs, and in addition to the Permanent Select Com-
mittee on Intelligence, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall within 
the jurisdiction of the committee concerned 
A BILL 
To establish the Office of Information and Communications 
Technology and Services within the Bureau of Industry 
and Security of the Department of Commerce, and for 
other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Information and Communication Technology and Serv-
ices National Security Review Act’’ or the ‘‘ICTS National 
Security Review Act’’. 
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(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. The Office of Information and Communications Technology and Serv-
ices. 
Sec. 3. Transaction review process. 
Sec. 4. Regulating person or jurisdiction of concern-connected covered ICTS 
transactions. 
Sec. 5. Risk assessment. 
Sec. 6. Other authorities. 
Sec. 7. Enforcement. 
Sec. 8. Judicial review. 
Sec. 9. Penalties. 
Sec. 10. Relationship to other laws. 
Sec. 11. Definitions. 
SEC. 2. THE OFFICE OF INFORMATION AND COMMUNICA-
TIONS TECHNOLOGY AND SERVICES. 
(a) ESTABLISHMENT.—There is established within 
the Bureau of Industry and Security of the Department 
of Commerce an Office of Information and Communica-
tions Technology and Services (in this section, referred to 
as the ‘‘Office’’). 
(b) EXECUTIVE DIRECTOR.—The head of the Office 
shall be an Executive Director who reports to the Under 
Secretary for Industry and Security and shall be des-
ignated by the Secretary. 
(c) CONTINUATION IN OFFICE OF THE EXECUTIVE 
DIRECTOR.—An individual serving as the Executive Direc-
tor before the date of the enactment of this Act may serve 
as the Executive Director on and after that date without 
the need for designation under subsection (b). 
(d) DUTIES.—The Office shall— 
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(1) identify and prevent through mitigation or 
prohibition the undue or unacceptable risk posed by 
certain ICTS transactions; and 
(2) educate industry and other partners on rel-
evant risks and communicate decisions. 
(e) SPECIAL HIRING AUTHORITY.—The Executive 
Director may appoint, without regard to the provisions of 
sections 3309 through 3318 of title 5, United States Code, 
candidates directly to positions in the competitive service 
(as defined in section 2102 of that title). 
SEC. 3. TRANSACTION REVIEW PROCESS. 
(a) ICTS TRANSACTION REVIEW PROCESS.—The 
Secretary, acting through the Office of Information and 
Communications Technology and Services, shall review 
ICTS transactions according to the following procedures: 
(1) REVIEW.—The Secretary may review any 
ICTS transaction that the Secretary suspects poses 
an undue or unacceptable risk. 
(2) INVESTIGATIVE AUTHORITY.—In reviewing 
an ICTS transaction described in paragraph (1) the 
Secretary may do the following: 
(A) Require any person subject to the ju-
risdiction of the United States to furnish under 
oath, in the form of a report or otherwise, at 
any time as may be required by the Secretary, 
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complete information relative to any such trans-
action. 
(B) Require that any such report take a 
particular form as directed in a request, regula-
tion, or other guidance provided by the Sec-
retary, which may be required before, during, or 
after any such transaction. 
(C) Through any agency, conduct inves-
tigations, hold hearings, administer oaths, ex-
amine witnesses, receive evidence, take deposi-
tions, and require by subpoena the attendance 
and testimony of witnesses and the production 
of any book, contract, letter, paper, and other 
hard copy or document relating to any matter 
under investigation, regardless of whether any 
such report has been required or filed. 
(b) MITIGATION OF RISK.— 
(1) IN GENERAL.—If the Secretary finds that a 
covered ICTS transaction poses an undue or unac-
ceptable risk under subsection (a), the Secretary 
shall mitigate the undue or unacceptable risk de-
scribed in paragraph (2) or prohibit such trans-
action. 
(2) MITIGATION
OF
RISK
AUTHORITY.—The 
Secretary may choose to mitigate any undue or un-
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acceptable risk posed by a covered ICTS transaction 
reviewed under subsection (a). To mitigate the 
undue or unacceptable risk, the Secretary may do 
any of the following with regard to any party to a 
covered ICTS transaction: 
(A) Negotiate, enter into or impose, and 
enforce any agreement or condition with any 
such party. 
(B) Require adherence to certain cyberse-
curity standards and other mitigation require-
ments determined to be necessary by the Sec-
retary. 
(C) Require the exclusion (in whole or in 
part) of certain components, including physical 
parts or hardware, software, digital services, 
and digital components, of any ICTS or any 
sub-component of ICTS from any such trans-
action. 
(D) Anything else the Secretary deter-
mines to be appropriate or necessary to miti-
gate the undue or unacceptable risks. 
(3) PROHIBITION
OF
TRANSACTION.—If the 
Secretary determines that the undue or unacceptable 
risk posed by a covered ICTS transaction cannot be 
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effectively mitigated for any reason as determined by 
the Secretary, the Secretary— 
(A) may prohibit the covered ICTS trans-
action; 
(B) shall notify any party subject to the 
covered ICTS transaction review of the prohibi-
tion; and 
(C) may publish any such prohibition in 
the Federal Register. 
SEC. 4. REGULATING PERSON OR JURISDICTION OF CON-
CERN-CONNECTED COVERED ICTS TRANS-
ACTIONS. 
(a) AUTHORIZATION TO ISSUE RULES FOR CERTAIN 
CLASSES OF COVERED ICTS TRANSACTIONS.—The Sec-
retary may determine that, for certain classes of covered 
ICTS transactions, an ICTS transaction review described 
under section 3 may not effectively address undue or unac-
ceptable risks and may promulgate regulations that do the 
following: 
(1) Identify particular covered ICTS trans-
actions and person or jurisdiction of concern which 
warrant particular scrutiny for undue or unaccept-
able risk. 
(2) Establish mitigation measures to address 
undue or unacceptable risk, to include prohibitions 
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related to entities of concern or for classes of cov-
ered ICTS transactions. 
(3) Establish criteria by which particular cov-
ered ICTS transactions or particular classes of par-
ticipants in the covered ICTS transaction supply 
chain may be recognized as categorically included in 
or as categorically excluded from mitigation meas-
ures or prohibitions. 
(4) Establish particular classes of covered ICTS 
transactions or parties to transactions that must 
abide by certain prohibitions or mitigation measures. 
(5) Establish procedures to authorize or license 
transactions otherwise prohibited pursuant to a reg-
ulation promulgated under this section. 
(6) Any other rule the Secretary determines to 
be appropriate. 
(b) OTHER REVIEW BY SECRETARY PERMITTED.— 
The promulgation of any regulation under subsection (a) 
does not preclude the Secretary from initiating a review 
of any covered ICTS transaction, including a covered 
ICTS transaction that belongs to an identified category 
under this section. 
SEC. 5. RISK ASSESSMENT. 
(a) DNI RISK ASSESSMENT.—Not later than 180 
days after the date of the enactment of this Act, and annu-
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ally thereafter, the Director of National Intelligence shall 
submit to the Secretary a risk assessment that relates to 
threats posed by persons or jurisdictions of concern to the 
United States by the supply chain of covered ICTS trans-
actions that— 
(1) includes specific criteria to evaluate any 
undue or unacceptable risk to the national security 
of the United States; and 
(2) identifies any person or jurisdiction of con-
cern, participants in such supply chain, and covered 
ICTS transactions or classes of covered ICTS trans-
actions posing the highest risks to the national secu-
rity of the United States. 
(b) SUBMISSION OF RISK ASSESSMENT.—Not later 
than 90 days after the date on which the risk assessment 
is submitted to the Secretary, the Director of National In-
telligence shall submit the risk assessment to the relevant 
congressional committees in unclassified format. 
(c) CLASSIFIED ANNEX.—The risk assessment sub-
mitted under subsection (b)— 
(1) may include a classified annex; and 
(2) shall only include specific participants in 
such supply chain that pose risk to the national se-
curity of the United States in the classified annex. 
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SEC. 6. OTHER AUTHORITIES. 
(a) REGULATIONS.—Any regulation the Secretary 
promulgated under Executive Order 13873 (84 Fed. Reg. 
22689; relating to securing the information and commu-
nications technology and services supply chain) and Exec-
utive Order 14034 (86 Fed. Reg. 31423; relating to pro-
tecting Americans’ sensitive data from foreign adver-
saries) before the date of the enactment of this Act shall 
continue in effect on and after the date of the enactment 
of this Act. In carrying out the requirements of this Act, 
the Secretary may amend regulations or promulgate new 
regulations and procedures as the Secretary considers ap-
propriate. 
(b) GUIDANCE.—The Secretary may issue guidance 
and establish procedures to carry out this Act. 
(c) TECHNICAL ADVISORY COMMITTEE.—Not later 
than 180 days after the date of the enactment of this Act, 
the Secretary shall establish an ICTS technical advisory 
committee to report to the Executive Director of the Office 
of Information and Communications Technology and Serv-
ices. 
(d) MEMBERSHIP.—The ICTS advisory committee 
shall include the following: 
(1) Industry academic experts on covered ICTS 
transaction supply chains. 
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(2) Representatives of private sector companies, 
industry associations, and academia. 
(3) A designated Federal officer to administer 
the advisory committee and report to the Executive 
Director. 
(e) CONFIDENTIALITY AND DISCLOSURE OF INFOR-
MATION.—Any information or document not otherwise 
publicly or commercially available that has been submitted 
to the Secretary under this Act shall not be released pub-
licly excepted to the extent required by Federal law. 
SEC. 7. ENFORCEMENT. 
(a) INVESTIGATIONS.— 
(1) IN GENERAL.—The Secretary may conduct 
an investigation of any violation of an authorization, 
order, mitigation measure, regulation, or prohibition 
issued under this Act. 
(2) ACTIONS BY DESIGNEES.—In conducting an 
investigation described in paragraph (1), designated 
officers or employees of the Secretary may, to the 
extent necessary or appropriate to enforce this Act, 
exercise such authority as is conferred upon them by 
any other Federal law, subject to policies and proce-
dures approved by the Attorney General. 
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(b) PERMITTED ACTIVITIES.—An officer or employee 
authorized to conduct investigations under subsection (a) 
by the Secretary may do any of the following: 
(1) Inspect, search, detain, seize, or impose a 
temporary denial order with respect to any item, in 
any form, or conveyance on which it is believed that 
there are items that have been, are being, or are 
about to be imported into the United States in viola-
tion of this Act or any other applicable Federal law. 
(2) Require, inspect, and obtain any book, 
record, and any other information from any person 
subject to the provisions of this Act or other applica-
ble Federal law. 
(3) Administer an oath or affirmation and, by 
subpoena, require any person to appear and testify 
or to appear and produce books, records, and other 
writings. 
(4) Obtain a court order and issue legal process 
to the extent authorized under chapters 119, 121, 
and 206 of title 18, United States Code, or any 
other applicable Federal law. 
(c) ENFORCEMENT OF SUBPOENAS.—In the case of 
contumacy by, or refusal to obey a subpoena issued to, 
any person under subsection (b)(3), a district court of the 
United States, after notice to such person and a hearing, 
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shall have jurisdiction to issue an order requiring such 
person to appear and give testimony or to appear and 
produce books, records, and other writings, regardless of 
format, that are the subject of the subpoena. Any failure 
to obey such order of the court may be punished by such 
court as a contempt thereof. 
(d) ACTIONS BY THE ATTORNEY GENERAL.—The At-
torney General may bring an action in an appropriate dis-
trict court of the United States for appropriate relief, in-
cluding declaratory and injunctive, or divestment relief, 
against any person who violates this Act or any regulation, 
order, direction, mitigation measure, prohibition, or other 
authorization or directive issued under this Act. 
SEC. 8. JUDICIAL REVIEW. 
(a) RIGHT OF ACTION.—A claim or petition chal-
lenging this Act or any action, finding, or determination 
under this Act may be filed only in the United States 
Court of Appeals for the District of Columbia Circuit. 
(b) EXCLUSIVE JURISDICTION.—The United States 
Court of Appeals for the District of Columbia Circuit shall 
have exclusive jurisdiction over claims or petitions arising 
under this Act against the United States, any agency, or 
any component or official of an agency, subject to review 
by the Supreme Court of the United States under section 
1254 of title 28, United States Code. 
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(c) IN CAMERA AND EX PARTE REVIEW.—The fol-
lowing information may be included in the administrative 
record and shall be submitted only to the court ex parte 
and in camera: 
(1) Sensitive security information, as defined in 
section 1520.5 of title 49, Code of Federal Regula-
tions. 
(2) Records or information compiled for law en-
forcement 
purposes, 
as 
described 
in 
section 
552(b)(7) of title 5, United States Code. 
(3) Classified information, meaning any infor-
mation or material that has been determined by the 
United States Government pursuant to an Executive 
order, statute, or regulation, to require protection 
against unauthorized disclosure for reasons of na-
tional security and any restricted data, as defined in 
section 11 of the Atomic Energy Act of 1954 (42 
U.S.C. 2014). 
(4) Information subject to privilege or protec-
tions under any other provision of law, including 
subchapter II of title 31, United States Code. 
(d) INFORMATION UNDER SEAL.—Any information 
that is part of the administrative record filed ex parte and 
in camera under subsection (b), or cited by the court in 
any decision, shall be treated by the court consistent with 
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the provisions of this section. In no event shall such infor-
mation be released to the claimant or petitioner or as part 
of the public record. 
(e) RETURN.—After the expiration of the time to 
seek further review, or the conclusion of further pro-
ceedings, the court shall return the administrative record, 
including any and all copies, to the United States. 
(f) EXCLUSIVE REMEDY.—A determination by the 
court under this section shall be the exclusive judicial rem-
edy for any claim or petition for review challenging this 
Act or any action, finding, or determination under this 
Act against the United States, any agency, or any compo-
nent or official of any such agency. 
(g) RULE OF CONSTRUCTION.—Nothing in this sec-
tion shall be construed as limiting, superseding, or pre-
venting the invocation of, any privileges or defenses that 
are otherwise available at law or in equity to protect 
against the disclosure of information. 
(h) STATUTE OF LIMITATIONS.—A challenge to any 
determination under this Act may only be brought not 
later than 180 days after the date of such a determination. 
SEC. 9. PENALTIES. 
(a) UNLAWFUL ACTS.—It shall be unlawful for a per-
son to violate, attempt to violate, conspire to violate, or 
cause a violation of any regulation, order, direction, prohi-
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bition, or other authorization or directive issued under this 
Act. 
(b) CRIMINAL PENALTIES.—A person who willfully 
commits, willfully attempts to commit, or willfully con-
spires to commit, or aids and abets in the commission of 
a violation of subsection (a) shall be fined not more than 
$1,000,000 for each violation, imprisoned for not more 
than 20 years, or both. 
(c) CIVIL PENALTIES.—The Secretary may impose 
the following civil penalties on a person for each violation 
by that person of a rule promulgated under this section: 
(1) A fine that is the greater of— 
(A) $300,000; or 
(B) an amount that is twice the value of 
the action that is the basis of the violation with 
respect to which the penalty is imposed. 
(2) Revocation of any mitigation measure or 
authorization issued under this Act to the person. 
(3) A prohibition or other restriction on the 
ability of the person to engage in any transaction or 
class of transactions covered by this Act. 
(d) PROCEDURES.—Any civil penalty imposed under 
subsection (c) may be imposed only pursuant to a rule pro-
mulgated under this section. 
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(e) STANDARDS FOR LEVELS OF CIVIL PENALTY.— 
The Secretary may, by rule, provide standards for estab-
lishing levels of civil penalty under subsection (c) based 
upon factors, including— 
(1) the seriousness of the violation; 
(2) the culpability of the violator, including any 
pattern of reckless behavior; and 
(3) any mitigating factors, such as the record 
of cooperation of the violator with the Federal Gov-
ernment in disclosing the violation. 
SEC. 10. RELATIONSHIP TO OTHER LAWS. 
(a) RULE OF CONSTRUCTION RELATING TO OTHER 
LAW.—Nothing in this Act shall be construed to alter or 
affect any other authority, process, regulation, investiga-
tion, enforcement measure, or review provided by or estab-
lished under any other provision of Federal law. 
(b) ADMINISTRATIVE PROCEDURE EXCEPTIONS.— 
Except with respect to a civil penalty imposed pursuant 
to section 9(c), any function exercised under this Act is 
not subject to sections 551, 553 through 559, and 701 
through 706 of title 5, United States Code. 
(c) PAPERWORK REDUCTION ACT EXCEPTION.—The 
requirements of chapter 35 of title 44, United States Code 
(commonly referred to as the ‘‘Paperwork Reduction 
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Act’’), shall not apply to any action by the Secretary to 
implement this Act. 
(d) DEFENSE PRODUCTION ACT.—Nothing in this 
Act shall prevent or preclude the President or the Com-
mittee on Foreign Investment in the United States from 
exercising any authority under section 721 of the Defense 
Production Act of 1950 (50 U.S.C. 4565 et seq.) as would 
be available in the absence of this Act. 
(e) RULE OF CONSTRUCTION FOR THE OICTS.— 
Nothing in this Act may be construed as altering any of 
the authority of the Office of Information and Commu-
nications Technology and Services under Executive Order 
13873 (84 Fed. Reg. 22689; relating to securing the infor-
mation and communications technology and services sup-
ply chain) and Executive Order 14034 (86 Fed. Reg. 
31423; relating to protecting Americans’ sensitive data 
from foreign adversaries). 
SEC. 11. DEFINITIONS. 
In this Act: 
(1) AGENCY.—The term ‘‘agency’’ has the 
meaning given that term in section 551 of title 5, 
United States Code. 
(2) COVERED
ICTS
TRANSACTION.—The term 
‘‘covered ICTS transaction’’ means an ICTS trans-
action that— 
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(A) is conducted by any person subject to 
the jurisdiction of the United States or involves 
property subject to the jurisdiction of the 
United States; and 
(B) involves ICTS designed, developed, 
manufactured, or supplied by a person owned 
by, controlled by, or subject to the jurisdiction 
or direction of a person or jurisdiction of con-
cern. 
(3) CRITICAL
INFRASTRUCTURE.—The term 
‘‘critical infrastructure’’ means systems and assets, 
whether physical or virtual, so vital to the United 
States that the incapacity or destruction of such sys-
tems and assets would have a debilitating impact on 
national security, national economic security, na-
tional public health or safety, or any combination of 
those matters. 
(4) ICTS TRANSACTION.—The term ‘‘ICTS 
transaction’’ means any acquisition, importation, 
transfer, installation, dealing in, or use of ICTS, in-
cluding any ongoing activity, such as a managed 
service, data transmission, software update, repair, 
or the platforming or data hosting of an application 
for consumer download, and any class of ICTS 
transactions (including the acquisition, importation, 
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transfer, installation, dealing in, or use, including 
any ongoing activity, of any category of technology 
product or services, or group of technology products 
or services as identified by the Secretary). 
(5) 
INFORMATION
AND
COMMUNICATIONS 
TECHNOLOGY AND SERVICES; ICTS.—The terms ‘‘in-
formation and communications technology or serv-
ices’’ and ‘‘ICTS’’ mean any hardware, software, or 
other product or service, including cloud-computing 
services, primarily intended to fulfill or enable the 
function of information or data processing, storage, 
retrieval, or communication by electronic means (in-
cluding electromagnetic, magnetic, and photonic), in-
cluding transmission, storage, or display. 
(6) OFFICE.—The term ‘‘Office’’ means the Of-
fice of Information and Communications Technology 
and Services established under section 2. 
(7) PERSON OR JURISDICTION OF CONCERN.— 
(A) IN GENERAL.—Except as provided in 
subparagraph (B), the term ‘‘person or jurisdic-
tion of concern’’ means any foreign person or 
any foreign region, country, or government that 
is engaged in any long-term pattern or serious 
instances of activity adverse to the national se-
curity of the United States, the security of crit-
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ical infrastructure of the United States, or the 
safety and security of United States persons 
and includes the following: 
(i) The Russian Federation. 
(ii) The People’s Republic of China, 
including the Hong Kong Special Adminis-
trative Region and the Macau Special Ad-
ministrative Region. 
(iii) The Republic of Cuba. 
(iv) The Islamic Republic of Iran. 
(v) The Democratic People’s Republic 
of Korea. 
(vi) 
Venezuelan 
politician 
Nicola´s 
Maduro. 
(B) UPDATES
TO
THE
LIST.—The Sec-
retary, in consultation with the Director of Na-
tional Intelligence, shall periodically review the 
list under subparagraph (A) and may update by 
adding to, subtracting from, supplementing, or 
otherwise amending the list through publication 
of a notice in the Federal Register and any 
such update shall apply with respect to any 
ICTS transaction that is initiated, pending, or 
completed on or after the date of the notice. 
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(8) RELEVANT COMMITTEES OF CONGRESS.— 
The term ‘‘relevant committees of Congress’’ 
means— 
(A) the Committee on Commerce, Science, 
and Transportation, the Committee on Bank-
ing, Housing, and Urban Affairs, the Com-
mittee on Armed Services, and the Select Com-
mittee on Intelligence of the Senate; and 
(B) the Committee on Energy and Com-
merce, the Committee on Foreign Affairs, the 
Committee on Armed Services, and the Perma-
nent Select Committee on Intelligence of the 
House of Representatives. 
(9) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Commerce. 
(10) UNDUE
OR
UNACCEPTABLE
RISK.—The 
term ‘‘undue or unacceptable risk’’ means any of the 
following: 
(A) The undue risk of sabotage to or sub-
version of the design, integrity, manufacturing, 
production, distribution, installation, operation, 
or maintenance of ICTS in the United States. 
(B) The undue risk of catastrophic effects 
on the security or resiliency of United States 
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