Transatlantic Telecommunications Security Act
Bill: H.R.3344 | Sponsor: Rep. Kaptur, Marcy (D-OH)
Policy area: International Affairs

Summary:
Transatlantic Telecommunications Security Act
This bill directs the Department of State and other federal agencies to help certain countries improve the security of their telecommunications networks and addresses related issues.
Assistance provided under this bill shall be available to projects in a country that falls below certain gross domestic product per capita thresholds and is (1) a NATO member state that shares a border with Russia, or (2) a European country that has not participated in or aided Russia's invasion of Ukraine.
A project located in such a country shall be eligible for assistance if the project (1) improves telecommunications networks; (2) is inclusive, transparent, economically viable, sustainable, supplied only with secure equipment and services, and compliant with international standards and laws; and (3) does not use equipment or services from China or Russia or replaces such equipment or services.
To support eligible projects, the State Department shall provide diplomatic and political support and shall also encourage international financial institutions to provide investment support. The U.S. Trade and Development Agency, the U.S. International Development Finance Corporation, and other specified federal agencies shall also provide project support, such as feasibility studies and finance-related support, as necessary.
The State Department must also appoint, from among its existing personnel, an International Telecommunication Union Security Campaign Director. The director must, among other duties, lead efforts to promote candidates for elections at the International Telecommunication Union who will support and defend democratic values, internet freedom, and telecommunication security.


To prioritize the efforts of and enhance coordination among United 
States agencies to encourage countries in Central and Eastern Europe to 
  improve the security of their telecommunications networks, 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 ``Transatlantic Telecommunications 
Security Act''.

SEC. 2. SENSE OF CONGRESS; STATEMENT OF POLICY.

    (a) Sense of Congress.--It is the sense of Congress that--
            (1) fifth and future generation's telecommunication 
        networks in allied and partner countries based on common, 
        secure, transparent, democratic standards have the potential to 
        increase cultural, political, and economic exchanges leading to 
        mutual job creation, closer citizen relations, and stronger 
        democratic institutions;
            (2) Russia's unprovoked, unjustified, and illegal invasion 
        of Ukraine and the People's Republic of China's tacit support 
        for Russian Federation's actions demonstrate the importance of 
        secure telecommunication infrastructure in Central and Eastern 
        European nations;
            (3) the United States has national security and economic 
        interests in assisting Central and Eastern European countries 
        to improve the security of their telecommunication networks by 
        reducing dependence on covered telecommunication equipment or 
        services that are often offered with predatory economic 
        inducements and replacing them with secure telecommunication 
        equipment or services;
            (4) China's Belt and Road Initiative and the 17+1 
        Initiative seek to undermine Central and Eastern Europe's 
        infrastructure resilience and sovereignty through predatory 
        inducements from state-linked providers of telecommunication 
        equipment or services such as Huawei Technologies Company and 
        ZTE Corporation;
            (5) China's 2017 National Intelligence Law obligates 
        Chinese businesses to fully cooperate with state intelligence 
        work, and thereby compromises the integrity of any network that 
        utilizes equipment from Chinese companies because providers 
        could be forced to hand over sensitive data or shut down 
        networks at the command of China;
            (6) Russia's campaign to elect a Russian national, who is a 
        former Huawei Technologies Company executive, to serve as the 
        Secretary-General of the International Telecommunication Union 
        (ITU) is indicative of China and Russia's efforts to use 
        international organizations to promote their interests and 
        their malign influence;
            (7) at global fora such as the ITU, the United States 
        Government should actively support candidates that espouse 
        democratic values, internet freedoms, and secure 
        telecommunication networks;
            (8) the United States International Development Finance 
        Corporation's development priorities, as described in section 
        1412 of the Better Utilization of Investments Leading to 
        Development Act of 2018, properly includes a focus on less 
        developed countries;
            (9) the United States should assemble a coalition of 
        democratic and like-minded allies and partners to counter the 
        rise of global malign actors such as China and Russia and build 
        resilience in Central and Eastern Europe against malign 
        influences; and
            (10) in order to ensure robust military coordination and 
        interoperability with the North Atlantic Treaty Organization 
        (NATO) and transatlantic allies and partners, the United States 
        should ensure that allies and partners' telecommunication 
        networks are secure and free from potential threats in 
        accordance with the 2019 NATO London Declaration.
    (b) Statement of Policy.--It is the policy of the United States--
            (1) to strengthen the transatlantic alliance based on 
        shared values in the face of rising malign influence from the 
        People's Republic of China and the Russian Federation, 
        countries that seek to undermine democratic institutions and 
        values;
            (2) to encourage public and private sector investment in 
        European telecommunication infrastructure projects to ensure 
        secure telecommunication and to catalyze economic advancement 
        through the highest standards of transparency, accessibility, 
        and competition;
            (3) to provide economically feasible alternatives to 
        financing from providers of covered telecommunication equipment 
        or services;
            (4) to engage in diplomacy with European allies and 
        partners to strengthen the United States and European private 
        sector efforts to develop common telecommunication technology 
        and industry standards, and in turn promote them globally;
            (5) to support the Three Seas Initiative organized by 12 
        Central and Eastern European countries of the European Union to 
        increase infrastructure resiliency and reduce reliance on 
        malign actors, including in the telecommunication space;
            (6) to enhance telecommunication security and freedom 
        around the globe by engaging in elections at the ITU and 
        promoting the candidacies of individuals that will promote 
        democratic values, the rule of law, technological freedoms, and 
        telecommunication security;
            (7) to support the people of Ukraine, Moldova, Georgia, and 
        the Western Balkan countries in their desire for integration 
        into Euro-Atlantic institutions and economies through enhanced 
        cross-border telecommunication infrastructure connectivity; and
            (8) to ensure that frontline NATO allies have 
        telecommunication services that cannot be controlled by China 
        or Russia, especially considering Russia's illegal and 
        unjustifiable invasion of Ukraine.

SEC. 3. INTERNATIONAL TELECOMMUNICATION UNION SECURITY CAMPAIGN 
              DIRECTOR.

    (a) Appointment.--Not later than 30 days after the date of the 
enactment of this Act, the Secretary of State shall appoint, from among 
existing personnel of the Department of State, an International 
Telecommunication Union Security Campaign Director (in this section 
referred to as the ``Director'').
    (b) Duties.--The Director shall--
            (1) lead efforts to promote candidates for elections at the 
        International Telecommunication Union (ITU) who will support 
        and defend democratic values, internet freedom, and 
        telecommunication security;
            (2) coordinate with other officials of the Department of 
        State, the Department of Commerce, the Federal Communications 
        Commission, and other Federal departments and agencies to 
        ensure efforts described in paragraph (1) are carried out in an 
        organized, nimble, efficient, and effective manner;
            (3) work with stakeholders in the private sector to 
        harmonize efforts and to galvanize focus on elections at the 
        ITU;
            (4) use diplomatic tools of the Department of State to 
        bolster support for candidates for elections at the ITU who 
        will support and defend democratic values, internet freedom, 
        and telecommunication security;
            (5) brief Congress regularly on the implementation of the 
        duties described in paragraphs (1) through (4) and, if 
        appropriate, on requests for additional legislative authority 
        necessary to enhance telecommunication security and freedom 
        around the globe as described in section 2(b)(6); and
            (6) report to the Assistant Secretary of State for 
        International Organization Affairs regularly on development, 
        progress, or setbacks with respect to support to the people of 
        Ukraine, Moldova, Georgia, and the Western Balkan countries as 
        described in section 2(b)(7).
    (c) Sunset.--This section shall terminate on October 31, 2022.

SEC. 4. PRIORITIZATION OF EFFORTS AND ASSISTANCE FOR TELECOMMUNICATION 
              INFRASTRUCTURE PROJECTS IN CENTRAL AND EASTERN EUROPE.

    (a) In General.--In carrying out the policy described in section 
2(b), the Secretary of State, in consultation with the Secretary of 
Commerce, the Chief Executive Officer of the United States 
International Development Finance Corporation, the Director of the 
Trade and Development Agency, the head of the Federal Communications 
Commission, and the heads of other relevant Federal departments and 
agencies, shall, as appropriate, prioritize and expedite the efforts of 
the Department of State and those departments and agencies in 
supporting the efforts of the European Commission and the governments 
of Central and Eastern European countries to improve the security of 
their telecommunication networks, including through providing 
diplomatic and political support to the European Commission and Central 
and Eastern European countries, as necessary--
            (1) to ensure European telecommunication networks are built 
        securely, consistent with democratic values and principles such 
        as privacy, including through early-stage project support and 
        late-stage project support for the construction or improvement 
        of telecommunication and related infrastructure;
            (2) to remove covered telecommunication equipment or 
        services and replace such equipment or services with secure 
        telecommunication equipment or services;
            (3) to support the development of telecommunication 
        networks that are inclusive, transparent, economically viable, 
        financially, environmentally, and socially sustainable, 
        compliant with international standards, laws, and regulations, 
        and supplied by providers of secure telecommunication equipment 
        or services; and
            (4) to facilitate international coordination on cross-
        border telecommunication infrastructure construction and 
        security standards to ensure cross-border telecommunications 
        are secure.
    (b) Project Selection.--
            (1) In general.--The Secretary of State, the Chief 
        Executive Officer of the United States International 
        Development Finance Corporation, and the Director of the Trade 
        and Development Agency shall jointly identify telecommunication 
        infrastructure projects that would advance the United States 
        national security and be appropriate for United States 
        assistance under this section.
            (2) Project eligibility.--A project is eligible for United 
        States assistance under this section if--
                    (A) the project--
                            (i) improves telecommunication networks 
                        through either hard infrastructure, such as 
                        telecommunication lines, towers, antennas, or 
                        other equipment, or soft infrastructure, such 
                        as innovative software development or cloud 
                        services;
                            (ii) is inclusive, transparent, 
                        economically viable, financially, 
                        environmentally, and socially sustainable, 
                        compliant with international standards, laws, 
                        and regulations, and supplied with secure 
                        telecommunication equipment or services solely 
                        by providers of secure telecommunication 
                        equipment or services; and
                            (iii) does not use covered 
                        telecommunication equipment or services or 
                        removes covered telecommunication equipment or 
                        services and replaces such equipment or 
                        services with secure telecommunication 
                        equipment or services; and
                    (B) the project is located in a covered country.
            (3) Preference.--In selecting among projects that are 
        eligible under paragraph (2), the heads of the Federal 
        departments and agencies specified in subsection (a) shall give 
        preference to projects that--
                    (A) are located in Ukraine;
                    (B) can attract funding from the private sector, an 
                international financial institution, the government of 
                the country in which the project will be carried out, 
                or the European Commission;
                    (C) have been designated as available for funding 
                through the Three Seas Initiative Investment Fund;
                    (D) are to be carried out in the Three Seas 
                Initiative member nations;
                    (E) are to be carried out in NATO member states 
                that meet or are making progress toward meeting their 
                commitments to upholding the rule of law and preserving 
                democratic institutions in accordance with the preamble 
                and Article 2 of the North Atlantic Treaty;
                    (F) are to be carried out in NATO member states 
                that meet or are making demonstrable progress toward 
                meeting their defense spending commitments in 
                accordance with the 2014 NATO Wales Summit Declaration; 
                or
                    (G) have the potential to advance United States 
                economic interests.
    (c) Types of Assistance.--
            (1) Diplomatic and political support.--The Secretary of 
        State shall provide diplomatic and political support to the 
        covered countries, as necessary, including by using the 
        diplomatic and political influence and expertise of the 
        Department of State to build the capacity of covered countries 
        to resolve any impediments to the development of projects 
        selected under subsection (b).
            (2) International financial institutions support.--The 
        Secretary of State shall seek to encourage international 
        financial institutions, including the European Bank for 
        Reconstruction and Development, the European Investment Bank, 
        and the International Monetary Fund, the Foreign, Commonwealth, 
        and Development Office of the Government of the United Kingdom, 
        the Agency for International Cooperation of the Government of 
        Germany, and the Development Agency of the Government of France 
        to invest in telecommunication infrastructure resilience in 
        Central and Eastern Europe.
            (3) Early-stage project support.--The Director of the Trade 
        and Development Agency shall provide early-stage project 
        support with respect to projects selected under subsection (b), 
        as necessary.
            (4) Late-stage project support.--The heads of the Federal 
        departments and agencies specified in subsection (a) that 
        provide late-stage project support shall do so, with respect to 
        projects selected under subsection (b), as necessary.
            (5) United states international development finance 
        corporation support.--The United States International 
        Development Finance Corporation is authorized to provide 
        support for projects under this section in covered countries 
        that are countries with upper-middle-income economies or high-
        income economies (as those terms are defined by the 
        International Bank for Reconstruction and Development and the 
        International Development Association (collectively referred to 
        as the ``World Bank'')), notwithstanding the restriction 
        contained in section 1412(c)(2) of the Better Utilization of 
        Investments Leading to Development Act of 2018 (22 U.S.C. 
        9612(c)(2)).

SEC. 5. REPORT.

    (a) In General.--Not later than 1 year after the date of the 
enactment of this Act, and annually thereafter for 5 years, the 
President shall submit to the appropriate congressional committees a 
report on the progress made in providing assistance for projects under 
section 4 that includes--
            (1) a description of the telecommunications infrastructure 
        projects the United States has identified for such assistance; 
        and
            (2) for each such project--
                    (A) a description of the role of the United States 
                in the project, including in early-stage project 
                support and late-stage project support;
                    (B) the amount and form of debt financing, equity 
                financing, and insurance provided by the United States 
                Government, the Three Seas Initiative Investment Fund, 
                and international financial institutions, including the 
                European Bank for Reconstruction and Development, the 
                European Investment Bank, and the International 
                Monetary Fund, the Foreign, Commonwealth, and 
                Development Office of the Government of the United 
                Kingdom, the Agency for International Cooperation of 
                the Government of Germany, and the Development Agency 
                of the Government of France for the project;
                    (C) the contractual terms of the project that 
                preclude the use of covered telecommunication equipment 
                or services and steps taken to ensure providers of 
                telecommunication equipment or services meet such 
                contractual terms; and
                    (D) an update on the progress made on the project 
                as of the date of the report.
    (b) Appropriate Congressional Committees Defined.--In this section, 
the term ``appropriate congressional committees'' means--
            (1) the Committee on Foreign Affairs and the Committee on 
        Appropriations of the House of Representatives; and
            (2) the Committee on Foreign Relations and the Committee on 
        Appropriations of the Senate.

SEC. 6. DEFINITIONS.

    In this Act:
            (1) Covered country.--The term ``covered country'' 
        includes--
                    (A) any member state of the North Atlantic Treaty 
                Organization that--
                            (i) shares a border with the Russian 
                        Federation; and
                            (ii) according to World Bank official data 
                        for 2020, has a Gross Domestic Product per 
                        capita, adjusted for purchasing power parity, 
                        of less than $45,000; and
                    (B) any European country that--
                            (i) has not participated or aided in 
                        Russia's invasion of Ukraine; and
                            (ii) according to World Bank official data 
                        for 2020, has a Gross Domestic Product per 
                        capita, adjusted for purchasing power parity, 
                        of less than $34,000.
            (2) Covered telecommunication equipment or services.--The 
        term ``covered telecommunication equipment or services'' means 
        any of the following:
                    (A) Telecommunication equipment or services 
                produced or provided by Huawei Technologies Company or 
                ZTE Corporation (or any subsidiary or affiliate of such 
                entities).
                    (B) Telecommunication equipment or services 
                produced or provided by an entity that the Secretary of 
                State, in consultation with the Director of National 
                Intelligence, reasonably believes to be an entity owned 
                or controlled by, or otherwise connected to, the 
                People's Republic of China or the Russian Federation.
            (3) Early-stage project support.--The term ``early-stage 
        project support'' includes--
                    (A) feasibility studies;
                    (B) resource evaluations;
                    (C) project appraisal and costing;
                    (D) pilot projects;
                    (E) commercial support, such as trade missions, 
                reverse trade missions, technical workshops, 
                international buyer programs, and international partner 
                searchers to link suppliers to projects;
                    (F) technical assistance and other guidance to 
                improve the local regulatory environment and market 
                frameworks to encourage transparent competition and 
                enhance telecommunication security; and
                    (G) long-term telecommunication sector planning.
            (4) Late-stage project support.--The term ``late-stage 
        project support'' includes debt financing, equity financing, 
        insurance, and transaction advisory services.
            (5) Secure telecommunication equipment or services.--The 
        term ``secure telecommunication equipment or services'' means 
        telecommunication equipment or services that are not, and do 
        not contain, covered telecommunication equipment or services.

            Passed the House of Representatives April 27, 2022.

            Attest:

                                             CHERYL L. JOHNSON,

                                                                 Clerk.