Foreign Investment and National Security Act of 2007

An original bill to ensure national security while promoting foreign investment and the creation and maintenance of jobs, to reform the process by which such investments are examined for any effect they may have on national security, to establish the Committee on Foreign Investment in the United States, and for other purposes.

6/13/2007--Reported to Senate without amendment. (This measure has not been amended since it was introduced. The summary has been expanded because action occurred on the measure.) Foreign Investment and National Security Act of 2007 -
(Sec. 2) Amends the Defense Production Act of 1950 to revise provisions concerning presidential authority to review certain mergers, acquisitions, and takeovers to direct the President, acting through the Committee on Foreign Investment in the United States (CFIUS), and upon receiving written notification from any parties to a possible merger, acquisition or takeover which could result in foreign control of any person engaged in interstate commerce (covered transaction), to review such covered transaction to determine its effects on national security. Requires CFIUS to investigate a covered transaction which it determines is a foreign government-controlled transaction. Permits any party to a covered transaction to initiate a review by submitting a written notice of the transaction to CFIUS. Authorizes the President or CFIUS to initiate a review of:
(1) any covered transaction;
(2) any covered transaction that has been previously reviewed or investigated, if any party submitted false or misleading material information; or
(3) any covered transaction that has been previously reviewed or investigated, if any party intentionally materially breaches a mitigation agreement or condition imposed on the transaction. Requires the President, acting through CFIUS, to immediately conduct an investigation of the effects of certain covered transactions on national security and to take necessary actions to protect the national security, if a review results in a determination that:
(1) the transaction threatens to impair national security and that threat has not been mitigated, or the transaction is a foreign government-controlled transaction;
(2) the transaction would result in control of any U.S. critical infrastructure by a foreign person, if CFIUS determines that the transaction could impair national security and that impairment has not been properly mitigated; or
(3) the lead agency for each covered transaction recommends, and CFIUS concurs, that an investigation be undertaken. Requires such investigations to be completed within 45 days. Provides that an investigation of a foreign government-controlled transaction or one involving a critical infrastructure will not be required if the Secretary of the Treasury and the head of the lead agency jointly determine that the transaction will not impair national security. Requires the chairperson of CFIUS:
(1) to publish in the Federal Register guidance on the types of transactions that CFIUS has reviewed and that have presented national security considerations; and
(2) and head of the lead agency to transmit to specified Members of Congress a certified notice and written report concerning each investigation of a covered transaction. Requires the Director of National Intelligence to conduct an analysis of any threat to national security posed by a covered transaction.
(Sec. 3) Establishes CFIUS as a multi-agency statutory committee and revises its membership. Requires the Secretary to designate a CFIUS member(s) to act as the lead agency or agencies with respect to a covered transaction.
(Sec. 4) Adds several factors to be considered by the President in evaluating a covered transaction, including whether the proposed transaction:
(1) has a security-related impact on U.S. critical infrastructure, including major energy assets; and
(2) is a foreign government-controlled transaction.
(Sec. 5) Authorizes CFIUS or a lead agency to enter into agreements with parties to a covered transaction to mitigate any threat to national security. Requires the lead agency to negotiate, modify, monitor, and enforce such agreements. Requires designated agencies to provide periodic reports to CFIUS on the implementation of any agreements or conditions.
(Sec. 6) Authorizes the President to suspend or prohibit any covered transaction by or with a foreign person or government that threatens to impair national security. (Current law authorizes the President to suspend or prohibit a transaction by or with foreign persons so that their control will not threaten to impair national security.) Requires (under current law, authorizes) the President to consider specified factors (including those added in this Act) when determining whether to suspend or prohibit a covered transaction.
(Sec. 7) Requires:
(1) upon request, CFIUS to brief certain Members of Congress of covered transactions for which action has concluded; and
(2) CFIUS annual reports to Congress after completed investigations. Requires specific report information with respect to possible foreign acquisition of U.S. companies involved in the research, development, or production of critical technologies, as well as possible industrial espionage activities. Requires the Secretary to:
(1) annually study foreign direct investments in the United States, especially investments in critical infrastructure and industries affecting national security by foreign governments (or their agents) which comply with any boycott of Israel or do not ban terrorist organizations; and
(2) report each study's results to Congress. Directs the Inspector General of the Treasury to:
(1) conduct an investigation of each failure of the Department of the Treasury to make any report required by CFIUS; and
(2) report to the appropriate congressional committees on investigation results.
(Sec. 8) Requires the certification of information submitted by a party to a covered transaction.


... morehide bill summary

Sponsor

• Sen. Christopher Dodd [D, CT]

Committees

• Senate Banking, Housing, and Urban Affairs

Amendments

This bill has 1 amendments. See All AmendmentsHide All Amendments

Amendments to S.1610

Number	Status	Purpose
S.Amdt.2002	Pass	In the nature of a substitute.

Bill Status

Make a Bill Status Widget

	OpenCongress widgets allow you to display information about bills and issue areas on your own website or blog. First, select which bill or issue you want to track, then customize the appearance of the panel, and finally paste a simple chunk of HTML into your site. Now your community will have an easy, up-to-date way to track the status of important bills and issues in Congress.

Introduced		Voted on by Senate		Voted on by House		Considered By President		Bill Becomes Law
June 13, 2007

Show All Actions (11 actions)Hide Actions

All Bill Actions

• Jun 29, 2007: See also H.R. 556.
• Jun 29, 2007: Senate incorporated this measure in H.R. 556 as an amendment.
• Jun 29, 2007: Senate passed companion measure H.R. 556 in lieu of this measure by Unanimous Consent.
• Jun 29, 2007: Returned to the Calendar. Calendar No. 197.
• Jun 29, 2007: Measure laid before Senate by unanimous consent.
• Jun 29, 2007: The bill was read the third time by Unanimous Consent.
• Jun 13, 2007: Committee on Banking, Housing, and Urban Affairs. Original measure reported to Senate by Senator Dodd. With written report No. 110-80.
• Added to calendar on Jun 13, 2007: Placed on Senate Legislative Calendar under General Orders. Calendar No. 197..
• Introduced on Jun 13, 2007.
• May 16, 2007: Committee on Banking, Housing, and Urban Affairs ordered to be reported an original measure.
• Added to calendar on May 16, 2007: Committee on Banking, Housing, and Urban Affairs ordered to be reported an original measure..

---

Related Bills:

• H.R.556

Related Issue Areas:

• Trade
• Administrative procedure
• Armed forces
• Arms control agreements
• 48 more
• Arms sales
• Business
• Business intelligence
• Commercial blacklisting
• Congress
• Congressional oversight
• Congressional reporting requirements
• Corporate mergers
• Corporate reorganizations
• Criminal justice
• Defense economics
• Defense industries
• Defense policy
• Energy
• Energy industries
• Executive Office of the President
• Executive departments
• Export controls
• Foreign agents
• Foreign corporations
• Foreign investments
• Foreign policy
• Government information
• Government ownership
• Government paperwork
• Governmental investigations
• Infrastructure
• Infrastructure (Economics)
• Inspectors general
• International affairs
• International finance
• Israel
• Law
• Middle East and North Africa
• National security
• Nuclear nonproliferation
• Politics and government
• President and foreign policy
• Presidents
• Research and development
• Risk
• Science policy
• Strategic materials
• Technology
• Technology transfer
• Terrorism
• Terrorists
• Trade secrets

Data from the Congressional Research Service

Show More User Statistics... Hide User Statistics

In the News

July 13, 2007 Positive Signs About Foreign Investment

Congress just passed S. 1610, the Foreign Investment and National Security Act of 2007, a bill Anderson says "makes reasonable security reforms to the ...

Was this article useful? Yes or No

Source: Manufacturers' Blog, DC

Did you find this article useful? Your opinion counts - together, we're finding the very best news and blog coverage about Congress available on the web.

See most useful news articles

Information made available by:

Blog Coverage

November 23, 2008 Federal Register: Part II [31 CFR Part 800]

FINSA was passed by Congress as H.R. 556, which adopted the language of S. 1610. Senate Report 11080, accompanying S. 1610, provides a useful history of the various bills leading to the enactment of FINSA. President Bush signed FINSA ...

Was this article useful? Yes or No

Source: The Federal Register

Did you find this article useful? Your opinion counts - together, we're finding the very best news and blog coverage about Congress available on the web.

September 12, 2007 Nelson Mullins | Newsletters

The Senate passed S.1610 to reform the process by which the Committee on Foreign Investment in the U.S. (CFIUS) reviewed foreign direct investment particularly scrutinizing state owned enterprises seeking to purchase U.S. companies or ...

Was this article useful? Yes or No

Source: Nelson Mullins Newsletters

Did you find this article useful? Your opinion counts - together, we're finding the very best news and blog coverage about Congress available on the web.

September 12, 2007 Nelson Mullins | Newsletters

The Senate passed S.1610 to reform the process by which the Committee on Foreign Investment in the U.S. (CFIUS) reviewed foreign direct investment particularly scrutinizing state owned enterprises seeking to purchase U.S. companies or ...

Was this article useful? Yes or No

Source: Nelson Mullins Newsletters

Did you find this article useful? Your opinion counts - together, we're finding the very best news and blog coverage about Congress available on the web.

11 more posts...
See most useful blog posts

Information made available by: