Transatlantic Telecommunications Security Act
Bill: S.2876 | Sponsor: Sen. Shaheen, Jeanne (D-NH)
Policy area: International Affairs

Summary:
Transatlantic Telecommunications Security Act
This bill directs the Department of State and other federal agencies to help Central and Eastern European countries improve the security of their telecommunications networks.
A project located in a Central or Eastern European country shall be eligible for assistance if it (1) improves telecommunications networks with secure equipment or services, (2) removes telecommunications equipment or services from China, or (3) enhances telecommunications market integration across the Central or Eastern European region that is secure against malign actors.
To support eligible projects, the State Department must provide, as necessary, diplomatic and political support and must 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 must also provide project support, such as feasibility studies and finance-related support, as necessary.

To prioritize the efforts of, and to 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 generation (5G) telecommunications 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) the United States has national security and economic 
        interests in assisting Central and Eastern European countries 
        to improve the security of their telecommunications networks 
        by--
                    (A) reducing their dependence on covered 
                telecommunications equipment or services that are often 
                offered with predatory economic inducements; and
                    (B) replacing such equipment or services with 
                secure telecommunications equipment or services;
            (3) the People's Republic of 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 
        telecommunications equipment or services, such as Huawei 
        Technologies Company and ZTE Corporation;
            (4) the United States must assemble a coalition of 
        democratic and like-minded allies and partners--
                    (A) to counter the rise of global malign actors, 
                such as the People's Republic of China and the Russian 
                Federation; and
                    (B) to build resilience in Central and Eastern 
                Europe against malign influences; and
            (5) in order to ensure robust military coordination and 
        interoperability with the North Atlantic Treaty Organization 
        (referred to in this Act as ``NATO'') and transatlantic allies 
        and partners, the United States should ensure that allies' and 
        partners' telecommunications networks are secure and free from 
        potential threats in accordance with NATO's December 2019 
        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 
        Russian Federation and the People's Republic of China, which 
        seek to undermine democratic institutions and values;
            (2) to encourage public and private sector investment in 
        European telecommunications infrastructure projects--
                    (A) to ensure secure telecommunications; and
                    (B) 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 telecommunications 
        equipment or services;
            (4) to engage in diplomacy with European allies and 
        partners to strengthen United States and European private 
        sector efforts--
                    (A) to develop common telecommunications technology 
                and industry standards; and
                    (B) to 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 telecommunications space; and
            (6) to support the people of Ukraine, Moldova, and the 
        Western Balkan countries in their desire for integration into 
        euro-Atlantic institutions and economies through enhanced 
        cross-border telecommunications infrastructure connectivity.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Central or eastern european country.--The term 
        ``Central or Eastern European country'' includes--
                    (A) Albania;
                    (B) Austria
                    (C) Bosnia and Herzegovina;
                    (D) Bulgaria;
                    (E) Croatia;
                    (F) Cyprus;
                    (G) Czechia;
                    (H) Estonia;
                    (I) Greece;
                    (J) Hungary;
                    (K) Kosovo;
                    (L) Latvia;
                    (M) Lithuania;
                    (N) Moldova;
                    (O) Montenegro;
                    (P) North Macedonia;
                    (Q) Poland;
                    (R) Romania;
                    (S) Serbia;
                    (T) Slovakia;
                    (U) Slovenia; and
                    (V) Ukraine.
            (2) Covered foreign country.--The term ``covered foreign 
        country'' means the People's Republic of China.
            (3) Covered telecommunications equipment or services.--The 
        term ``covered telecommunications equipment or services'' 
        means--
                    (A) telecommunications equipment or services 
                produced or provided by Huawei Technologies Company or 
                ZTE Corporation (or any subsidiary or affiliate of such 
                entities); and
                    (B) telecommunications 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 
                government of a covered foreign country.
            (4) 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 telecommunications security; and
                    (G) long-term telecommunications sector planning.
            (5) Late-stage project support.--The term ``late-stage 
        project support'' includes debt financing, equity financing, 
        insurance, and transaction advisory services.
            (6) Malign influence.--The term ``malign influence'' has 
        the meaning given the term ``foreign malign influence'' in 
        section 119C(e)(2) of the National Security Act of 1947 (50 
        U.S.C. 3059(e)(2)).
            (7) Secure telecommunications equipment or services.--The 
        term ``secure telecommunications equipment or services'' means 
        telecommunications equipment or services that are not, and do 
        not contain, covered telecommunications equipment or services.

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

    (a) In General.--In pursuing 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 United States 
Trade and Development Agency, the Federal Communications Commission, 
and heads of other relevant United States agencies, shall, as 
appropriate, prioritize and expedite the efforts of the Department of 
State and the aforementioned agencies in supporting the efforts of the 
European Commission and the governments of Central and Eastern European 
countries to improve the security of their telecommunications networks, 
including through providing diplomatic and political support to the 
European Commission and Central and Eastern Europe countries, as 
necessary--
            (1) to support the enhancement of European 
        telecommunications markets, including through early-stage 
        project support and late-stage project support for the 
        construction or improvement of telecommunications and related 
        infrastructure;
            (2) to remove covered telecommunications equipment or 
        services and replace such equipment or services with secure 
        telecommunications equipment or services;
            (3) to support the development of telecommunications 
        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 telecommunications 
        equipment or services; and
            (4) to facilitate international coordination on cross-
        border telecommunications 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 United 
        States Trade and Development Agency should identify 
        telecommunications infrastructure projects that would--
                    (A) advance United States national security; and
                    (B) be appropriate for United States assistance 
                under this section.
            (2) Project eligibility.--A project is eligible for United 
        States assistance under this section if the project--
                    (A)(i) improves, modernizes, or expands 
                telecommunications networks with secure 
                telecommunications equipment or services through--
                            (I) an investment in hard infrastructure, 
                        such as telecommunications lines or equipment; 
                        or
                            (II) an investment in soft infrastructure, 
                        such as innovative software development or 
                        cloud services;
                    (ii) removes covered telecommunications equipment 
                or services and replaces such equipment or services 
                with secure telecommunications equipment or services; 
                or
                    (iii) enhances telecommunications market 
                integration across the Central or Eastern European 
                region that is secure from exploitation by malign 
                actors; and
                    (B) is located in a Central European or Eastern 
                European country.
            (3) Preference.--In selecting among eligible projects, the 
        agencies described in subsection (a) should give preference to 
        projects that--
                    (A) 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;
                    (B) have been designated as available for funding 
                through the Three Seas Initiative Investment Fund;
                    (C) are to be carried out in 1 or more of the Three 
                Seas Initiative member nations;
                    (D) are to be carried out in NATO member nations 
                that--
                            (i) 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, done at 
                        Washington April 4, 1949; or
                            (ii) meet or are making demonstrable 
                        progress toward meeting their defense spending 
                        commitments in accordance with the NATO Wales 
                        Summit Declaration issued on September 5, 2014; 
                        or
                    (E) 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 
        European Commission and to Central and Eastern European 
        countries, as necessary, including by using the diplomatic and 
        political influence and expertise of the Department of State to 
        build the capacity of Central and Eastern European countries to 
        resolve any impediments to the development of projects selected 
        pursuant to subsection (b).
            (2) International financial institutions support.--The 
        Secretary of State shall 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 telecommunications infrastructure resilience in 
        Central and Eastern Europe.
            (3) Early-stage project support.--The Director of the 
        United States Trade and Development Agency shall provide early-
        stage project support with respect to projects selected 
        pursuant to subsection (b), as necessary, including project 
        support in middle- and upper-income countries.
            (4) Late-stage project support.--Agencies described in 
        subsection (a) that provide late-stage project support shall 
        provide such support with respect to projects selected pursuant 
        to subsection (b), as necessary.
            (5) United states international development finance 
        corporation support.--Notwithstanding the restriction under 
        section 1412(c)(2) of the BUILD Act of 2018 (22 U.S.C. 
        9612(c)(2)), the United States International Development 
        Finance Corporation is authorized to provide support for 
        projects under this section in Central and Eastern European 
        countries that are countries with upper-middle-income economies 
        or high-income economies (as such terms are defined by the 
        International Bank for Reconstruction and Development and the 
        International Development Association (collectively referred to 
        as the ``World Bank'')).

SEC. 5. PROGRESS REPORTS.

    (a) Appropriate Congressional Committees Defined.--In this section, 
the term ``appropriate congressional committees'' means--
            (1) the Committee on Foreign Relations of the Senate;
            (2) the Committee on Appropriations of the Senate;
            (3) the Committee on Foreign Affairs of the House of 
        Representatives; and
            (4) the Committee on Appropriations of the House of 
        Representatives.
    (b) In General.--Not later than 1 year after the date of the 
enactment of this Act, and annually thereafter, the President shall 
submit a report to the appropriate congressional committees that 
describes the progress made in providing assistance for projects 
selected pursuant to section 4(b), including--
            (1) a description of the telecommunications infrastructure 
        projects the United States has assisted; 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 for the project by--
                            (i) the United States Government;
                            (ii) the Three Seas Initiative Investment 
                        Fund;
                            (iii) international financial institutions, 
                        including the European Bank for Reconstruction 
                        and Development, the European Investment Bank, 
                        and the International Monetary Fund;
                            (iv) the Foreign, Commonwealth, and 
                        Development Office of the Government of the 
                        United Kingdom;
                            (v) the Agency for International 
                        Cooperation of the Government of Germany; or
                            (vi) the Development Agency of the 
                        Government of France;
                    (C) the public summary disclosure of the project 
                that preclude the use of covered telecommunications 
                equipment or services; and
                    (D) an update on the progress made on the project 
                as of the date of the report.
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