Preventing Malign Chinese Influence on Academic Institutions
Bill: S.4756 | Sponsor: Sen. Kennedy, John (R-LA)
Policy area: Education

Summary:
Preventing Malign Chinese Influence on Academic Institutions
This bill requires institutions of higher education (IHEs) to disclose information regarding gifts from and contracts with China-affiliated organizations. China-affiliated organization refers to any entity that receives support directly or indirectly from the Chinese government, including certain educational institutes or programs, think tanks, and business entities.
Under current law, an IHE must disclose to the Department of Education (ED) a gift or contract from a foreign source that is valued at $250,000 or more, considered alone or in combination with all other gifts from or contracts with that foreign source in a calendar year. This bill establishes a special disclosure rule relating to China-affiliated organizations. Specifically, the bill requires an IHE to disclose a gift from or contract with a China-affiliated organization that is valued at $5,000 or more, considered alone or in combination with all other gifts from or contracts with that organization in a calendar year.
Additionally, the bill requires an IHE that receives federal grants to annually file a report with ED that identifies any activities conducted pursuant to a contract or other agreement between the IHE and a China-affiliated organization, including any joint research or academic exchanges. Such a contract or other agreement must be made available on a publicly accessible website of the IHE.

To amend the disclosures of foreign gifts under the Higher Education 
   Act of 1965 to provide special rules relating to China-affiliated 
                             organizations.

    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 ``Preventing Malign Chinese Influence 
on Academic Institutions''.

SEC. 2. DISCLOSURES OF FOREIGN GIFTS.

    Section 117 of the Higher Education Act of 1965 (20 U.S.C. 1011f) 
is amended--
            (1) in subsection (a), by striking ``Whenever'' and 
        inserting ``Except as provided in subsection (d), whenever'';
            (2) by redesignating subsections (d) through (h) as 
        subsections (e) through (i), respectively;
            (3) by inserting after subsection (c) the following:
    ``(d) Special Rules Relating to China-Affiliated Organizations.--
            ``(1) Enhanced disclosures of gifts and contracts.--
                    ``(A) In general.--Whenever any institution 
                receives a gift from or enters into a contract with a 
                China-affiliated organization, the value of which is 
                $5,000 or more, considered alone or in combination with 
                all other gifts from or contracts with that 
                organization within a calendar year, the institution 
                shall file a disclosure report with the Secretary on 
                January 31 or July 31, whichever is sooner.
                    ``(B) Contents of report.--Each report under 
                subparagraph (A) shall include--
                            ``(i) the information described in 
                        subsections (b) and (c) (as applicable);
                            ``(ii) the full legal name of the 
                        individual or organization that made the gift 
                        or entered into the contract to which the 
                        disclosure pertains; and
                            ``(iii) instructions for accessing the 
                        information made available under paragraph (3).
            ``(2) Disclosure of joint activities.--On an annual basis, 
        any institution that receives funds under a Federal grant 
        program shall file a disclosure report with the Secretary that 
        identifies any activities conducted pursuant to a contract or 
        other agreement between the institution and a China-affiliated 
        organization, including any joint research or academic 
        exchanges.
            ``(3) Public availability of agreements.--Each institution 
        shall make available, on a publicly accessible website of the 
        institution, the full text of any contract, agreement, or 
        memorandum of understanding between the institution and a 
        China-affiliated organization (regardless of whether the 
        contract, agreement, or memorandum remains in effect).''; and
            (4) in subsection (i), as so redesignated--
                    (A) by redesignating paragraphs (1) through (5) as 
                paragraphs (2) through (6), respectively; and
                    (B) by inserting before paragraph (2) the 
                following:
            ``(1) the term `China-affiliated organization' means any 
        entity that receives support directly or indirectly from the 
        Government of the People's Republic of China, including--
                    ``(A) a cultural, language, or educational 
                institute or program;
                    ``(B) a think tank that has received more than 
                $100,000 in one calendar year or more than 10 percent 
                of the total funding for such think tank for that year, 
                whichever is less, from the Chinese Communist Party or 
                individuals affiliated with the Chinese Communist 
                Party;
                    ``(C) a person who is a current member of the 
                Chinese Communist Party or otherwise active in 
                collaborating with the Chinese Government as an 
                employee or advisor;
                    ``(D) a Chinese State-owned enterprise or partially 
                or wholly owned subsidiary of a Chinese State-owned 
                enterprise; and
                    ``(E) a company, think tank, nonprofit, or other 
                similar entity, which has on its board of directors or 
                with equity ownership or voting control in excess of 5 
                percent any members of the Chinese Communist Party or 
                executives of a Chinese State-owned enterprise, 
                including the president, vice president, or any other 
                officer who performs a policy making function or any 
                other person who performs similar policy making 
                functions for such enterprise, including an executive 
                officer of a subsidiary of such enterprise who performs 
                such policy making functions.''.
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