I 
109TH CONGRESS 
2D SESSION 
H. R. 4842 
To ensure the security of United States ports, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 1, 2006 
Ms. WASSERMAN SCHULTZ (for herself, Mr. POE, Mr. CLYBURN, Mr. 
PALLONE, Mr. NADLER, and Mr. MCNULTY) introduced the following 
bill; which was referred to the Committee on Financial Services, and in 
addition to the Committees on Energy and Commerce and International 
Relations, for a period to be subsequently determined by the Speaker, in 
each case for consideration of such provisions as fall within the jurisdic-
tion of the committee concerned 
A BILL 
To ensure the security of United States ports, 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. 
This Act may be cited as the ‘‘Port Security Act of 
2006’’. 
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SEC. 2. PROHIBITION ON LEASES OF REAL PROPERTY AND 
FACILITIES AT UNITED STATES PORTS BY 
FOREIGN GOVERNMENT-OWNED ENTITIES. 
(a) IN GENERAL.—Section 271(d) of the Defense 
Production Act of 1950 (50 U.S.C. App. 2170(d)) is 
amended— 
(1) by striking ‘‘Subject to subsection (d)’’ and 
inserting the following: 
‘‘(1) IN GENERAL.—Subject to subsection (e)’’; 
and 
(2) by adding at the end the following new 
paragraph: 
‘‘(2) PROHIBITION ON LEASES OF REAL PROP-
ERTY AND FACILITIES AT UNITED STATES PORTS BY 
FOREIGN
GOVERNMENT-OWNED
ENTITIES.—The 
President shall prohibit any merger, acquisition, or 
takeover described in subsection (a)(1) that will re-
sult in any entity that is owned or controlled by a 
foreign government leasing, operating, managing, or 
owning real property or facilities at a United States 
port.’’. 
(b) REPORT REQUIRED.— 
(1) IN GENERAL.—Not later than 30 days after 
the date of the enactment of this Act, the President 
shall submit to Congress a report on the leasing, op-
erating, managing, or owning real property or facili-
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ties at United States ports by entities that are 
owned or controlled by foreign governments. 
(2) CONTENT.—The report required under 
paragraph (1) shall include— 
(A) a list of all entities that are owned or 
controlled by foreign governments that are leas-
ing, operating, managing, or owning real prop-
erty or facilities at United States ports; 
(B) an assessment of the national security 
threat posed by such activities; and 
(C) recommendations for any legislation in 
response to such threat. 
SEC. 3. INCREASED TRANSPARENCY OF MANDATORY IN-
VESTIGATIONS. 
Section 271(b) of the Defense Production Act of 
1950 (50 U.S.C. App. 2170(b)) is amended— 
(1) by redesignating paragraphs (1) and (2) as 
subparagraphs (A) and (B), respectively; 
(2) by striking ‘‘The President’’ and inserting 
the following: 
‘‘(1) IN GENERAL.—The President’’; 
(3) by adding at the end the following new 
paragraphs: 
‘‘(2) NOTIFICATION TO CONGRESS.—Not later 
than one day after commencing an investigation 
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under paragraph (1), the President shall provide no-
tice of the investigation and relevant information re-
garding the proposed merger, acquisition, or take-
over, including relevant ownership records to— 
‘‘(A) the Majority Leader and Minority 
Leader of the Senate; 
‘‘(B) the Speaker and Minority Leader of 
the House of Representatives; 
‘‘(C) the Chairmen and Ranking Members 
of the Committee on Finance, the Committee 
on Homeland Security and Government Affairs, 
the Committee on Banking, Housing, and 
Urban Affairs, the Committee on Armed Serv-
ices, and the Select Committee on Intelligence 
of the Senate; 
‘‘(D) the Chairmen and Ranking Members 
of the Committee on Ways and Means, the 
Committee on Homeland Security, the Com-
mittee on Financial Services, the Committee on 
Armed Services, and the Permanent Select 
Committee on Intelligence of the House of Rep-
resentatives; and 
‘‘(E) the Members of Congress rep-
resenting the States and districts affected by 
the proposed transaction. 
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‘‘(3) NOTIFICATION TO PUBLIC OFFICIALS OF 
INVESTIGATIONS OF PROPOSED TRANSACTIONS AF-
FECTING UNITED STATES PORTS.—In the case of an 
investigation under paragraph (1) of a proposed 
merger, acquisition, or takeover that will result in 
any entity that is owned or controlled by a foreign 
government leasing, operating, managing, or owning 
real property or facilities at a United States port, 
the President shall, not later than one day after 
commencing an investigation under paragraph (1), 
notify the Governors and heads of relevant govern-
ment agencies of the States in which such ports are 
located and provide to such Governors and relevant 
agency heads information regarding the proposed 
merger, acquisition, or takeover, including relevant 
ownership records. 
‘‘(4) PUBLIC COMMENTS.— 
‘‘(A) SOLICITATION
OF
PUBLIC
COM-
MENTS.—Not later than 7 days after com-
mencing an investigation under paragraph (1), 
the President shall publish in the Federal Reg-
ister a description of the proposed merger, ac-
quisition, or takeover, including a solicitation 
for public comments on such proposed merger, 
acquisition, or takeover. 
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‘‘(B) SUMMARY OF PUBLIC COMMENTS.— 
Not later than 10 days prior to the completion 
of an investigation under paragraph (1), the 
President shall publish in the Federal Register 
a summary of the public comments received 
pursuant to subparagraph (A).’’. 
SEC. 4. TECHNICAL CORRECTION. 
Section 271(e) of the Defense Production Act of 1950 
(50 U.S.C. App. 2170(e)) is amended by striking ‘‘sub-
section (c)’’ and inserting ‘‘subsection (d)’’. 
SEC. 5. EFFECTIVE DATE. 
The amendments made by this Act shall apply to any 
merger, acquisition, or takeover considered on or after Oc-
tober 1, 2005 under section 271 of the Defense Produc-
tion Act of 1950 (50 U.S.C. App. 2170). 
Æ 
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