GENE Act
Bill: S.1745 | Sponsor: Sen. Rubio, Marco (R-FL)
Policy area: Foreign Trade and International Finance

Summary:
Genomics Expenditures and National security Enhancement Act of 2021 or the GENE Act
This bill establishes oversight requirements for certain foreign investments in a U.S. business that maintains or collects information about the genetic tests of U.S. citizens (including information relating to genomic sequencing).
Specifically, the Committee on Foreign Investment in the United States (CFIUS) must require the parties to specified transactions (e.g., mergers, acquisitions, or takeovers by or with any foreign person that could result in foreign control of any U.S. business) to submit a mandatory declaration containing basic information regarding the transaction.
Further, CFIUS must consult with the Department of Health and Human Services in any review or investigation of a covered transaction that involves this type of investment by a foreign person in a U.S. business.
The bill also expands the congressional committees to which CFIUS must give annual testimony concerning foreign investment in the United States to include (1) the Committee on Foreign Relations of the Senate, (2) the Select Committee on Intelligence of the Senate, (3) the Committee on Foreign Affairs of the House of Representatives, and (4) the Permanent Select Committee on Intelligence of the House of Representatives. Currently, such testimony is only given to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate.

To strengthen the requirements for reviews by the Committee on Foreign 
   Investment in the United States of covered transactions involving 
              genetic information, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Genomics Expenditures and National 
security Enhancement Act of 2021'' or the ``GENE Act''.

SEC. 2. REQUIREMENTS FOR REVIEWS OF COVERED TRANSACTIONS INVOLVING 
              GENETIC INFORMATION.

    (a) Mandatory Declarations.--Section 721(b)(1)(C)(v)(IV) of the 
Defense Production Act of 1950 (50 U.S.C. 4565(b)(1)(C)(v)(IV)) is 
amended--
            (1) by redesignating items (cc) through (gg) as items (dd) 
        through (hh), respectively; and
            (2) by inserting after item (bb) the following:
                                            ``(cc) Covered transactions 
                                        involving genetic 
                                        information.--The parties to a 
                                        covered transaction shall 
                                        submit a declaration described 
                                        in subclause (I) with respect 
                                        to the transaction if the 
                                        transaction involves an 
                                        investment described in 
                                        subsection (a)(4)(B)(iii)(III) 
                                        by a foreign person in a United 
                                        States business that maintains 
                                        or collects information about 
                                        genetic tests of United States 
                                        citizens, including any such 
                                        information relating to genomic 
                                        sequencing.''.
    (b) Consultation With Secretary of Health and Human Services.--
Section 721(k)(6) of the Defense Production Act of 1950 (50 U.S.C. 
4565(k)(6)) is amended--
            (1) by striking ``The chairperson'' and inserting the 
        following:
                    ``(A) In general.--The chairperson''; and
            (2) by adding at the end the following:
                    ``(B) Covered transactions involving genetic 
                information.--The chairperson shall consult with the 
                Secretary of Health and Human Services in any review or 
                investigation under subsection (a) of a covered 
                transaction that involves an investment described in 
                subsection (a)(4)(B)(iii)(III) by a foreign person in a 
                United States business that maintains or collects 
                information about genetic tests of United States 
                citizens, including any such information relating to 
                genomic sequencing.''.
    (c) Regulations.--Not later than 180 days after the date of the 
enactment of this Act, the Committee on Foreign Investment in the 
United States shall prescribe regulations to carry out the amendments 
made by this section.

SEC. 3. EXPANSION OF COMMITTEES RECEIVING ANNUAL TESTIMONY FROM 
              COMMITTEE ON FOREIGN INVESTMENT IN THE UNITED STATES.

    Section 721(o) of the Defense Production Act of 1950 (50 U.S.C. 
4565(o)) is amended--
            (1) in paragraph (1), in the matter preceding subparagraph 
        (A), by striking ``the Committee on Financial Services of the 
        House of Representatives and the Committee on Banking, Housing, 
        and Urban Affairs of the Senate'' and inserting ``the 
        committees specified in paragraph (2)'';
            (2) by redesignating paragraph (2) as paragraph (3); and
            (3) by inserting after paragraph (1) the following:
            ``(2) Committees specified.--The committees specified in 
        this paragraph are--
                    ``(A) the Committee on Banking, Housing, and Urban 
                Affairs, the Committee on Foreign Relations, and the 
                Select Committee on Intelligence of the Senate; and
                    ``(B) the Committee on Financial Services, the 
                Committee on Foreign Affairs, and the Permanent Select 
                Committee on Intelligence of the House of 
                Representatives.''.

SEC. 4. EFFECTIVE DATE; APPLICABILITY.

    The amendments made by this Act shall--
            (1) take effect on the date that is 90 days after the date 
        of the enactment of this Act; and
            (2) apply with respect to any covered transaction the 
        review or investigation of which is initiated under section 721 
        of the Defense Production Act of 1950 on or after the date 
        described in paragraph (1).
                                 <all>