HR 7688 · 119th Congress · Government Operations and Politics

DPA Modernization Act of 2026

Introduced February 25, 2026 Latest action April 15, 2026 4 cosponsors

Sponsor

Latest action

Placed on the Union Calendar, Calendar No. 529.

Action timeline

Every recorded action on this bill, newest first. Stage badges color-code the legislative path.

Apr 15, 2026

committee Reported (Amended) by the Committee on Financial Services. H. Rept. 119-611.

Financial Services Committee

Apr 15, 2026

other Placed on the Union Calendar, Calendar No. 529.

Mar 04, 2026

committee Committee Consideration and Mark-up Session Held

Financial Services Committee

Mar 04, 2026

committee Ordered to be Reported by the Yeas and Nays: 41 - 0.

Financial Services Committee

Feb 25, 2026

introduced Introduced in House

Text versions

Each stage of the bill — official text published by GPO. Click any format to read on congress.gov / govinfo.

Apr 15, 2026 Reported in House

XML

Feb 25, 2026 Introduced in House

XML

Changelog

ⓘ

How a bill moves through Congress. Each stage produces a new official text. The diff between them shows what changed at that step.

`ih` / `is` — Introduced in House / Senate. First filed version.

`rfh` / `rfs` — Referred to a committee for review.

`rh` / `rs` — Reported back by the committee to the floor (often with amendments — this is where most language changes happen).

`pcs` / `pch` — Placed on Calendar for floor consideration.

`eh` / `es` — Engrossed. Passed by the originating chamber. Text is now what was actually voted on.

`rdh` / `rds` — Received by the other chamber.

`eah` / `eas` — Engrossed Amendment. The other chamber passed an amended version.

`ath` / `ats` — Agreed to. Both chambers settled on the same text.

`enr` — Enrolled. Final reconciled text, sent to the President.

`pl` — Public Law. Signed by the President. It's now law.

`pp` — Public Print. Official printing post-enactment.

Most bills die before `eh`/`es`. Going from `pcs` → `enr` is the full path through both chambers.

Line-level diff between text versions of this bill — what actually changed at each legislative stage.

+497 −177 342 unchanged

--- Introduced (House)

+++ Reported (House)

@@ -1,12 +1,15 @@

[From the U.S. Government Publishing Office]

-[H.R. 7688 Introduced in House (IH)]

+[H.R. 7688 Reported in House (RH)]

<DOC>

+Union Calendar No. 529

119th CONGRESS

2d Session

H. R. 7688

+[Report No. 119-611]

To modernize and reauthorize the Defense Production Act of 1950, and

for other purposes.

@@ -20,6 +23,15 @@

Mr. Nunn of Iowa) introduced the following bill; which was referred to

the Committee on Financial Services

+April 15, 2026

+Reported with an amendment, committed to the Committee of the Whole

+House on the State of the Union, and ordered to be printed

+[Strike out all after the enacting clause and insert the part printed

+in italic]

+[For text of introduced bill, see copy of bill as introduced on

+February 25, 2026]

_______________________________________________________________________

A BILL

@@ -34,7 +46,27 @@

This Act may be cited as the ``DPA Modernization Act of 2026''.

-SEC. 2. PRIORITIES AND ALLOCATIONS.

+SEC. 2. FRONT MATTER.

+(a) Short Title Correction.--The first undesignated section of the

+the Defense Production Act of 1950 is amended, effective on the date of

+enactment of such Act, by striking ``cited as `the Defense'' and

+inserting ``cited as the `Defense''.

+(b) Table of Contents.--The table of contents for the Defense

+Production Act of 1950 is amended to read as follows:

+``TABLE OF CONTENTS

+``TITLE I. PRIORITIES AND ALLOCATIONS.

+``TITLE II. EXPANSION OF PRODUCTIVE CAPACITY AND SUPPLY.

+``TITLE III. GENERAL PROVISIONS.

+``TITLE IV. PROHIBITION AND NOTIFICATION ON INVESTMENTS RELATING TO

+COVERED NATIONAL SECURITY TRANSACTIONS.''.

+SEC. 3. PRIORITIES AND ALLOCATIONS.

Title I of the Defense Production Act of 1950 (50 U.S.C. 4511 et

seq.) is amended--

@@ -45,7 +77,7 @@

appropriate'' each place such term appears;

(i) by striking ``The powers'' and

-inserting ``(1) The powers'';

+inserting ``(1) The powers''

(ii) by striking ``unless the President

finds (1) that such'' and inserting the

following: ``unless--

@@ -53,28 +85,25 @@

``(i) such'';

(iii) by striking ``defense, and (2) that''

and inserting the following: ``defense; and

-``(I) that'';

+``(ii) that'';

(iv) by striking the period at the end and

inserting ``; and''; and

(v) by adding at the end the following:

``(B) the powers are used to address--

``(i) a national emergency declared by the

President;

-``(ii) a natural disaster declared by the

-President pursuant to the Robert T. Stafford

-Disaster Relief and Emergency Assistance Act;

-or

-``(iii) a public health emergency, as

-determined by the Secretary of Health and Human

-Services pursuant to section 319 of the Public

-Health Service Act.

-``(2) The powers described in this section may not be used

-to control the general distribution of any material in the

-civilian market for a period exceeding 1 year, except that the

-President may extend such 1-year period for up to 180 days upon

-reporting to Congress, on a non-delegable basis, that the

-extension is essential to meet national defense

-requirements.'';

+``(ii) a natural disaster declared by the President

+pursuant to the Robert T. Stafford Disaster Relief and

+Emergency Assistance Act; or

+``(iii) a public health emergency, as determined by

+the Secretary of Health and Human Services pursuant to

+section 319 of the Public Health Service Act.

+``(2) The powers described in this section may not be used to

+control the general distribution of any material in the civilian market

+for a period exceeding 1 year, except that the President may extend

+such 1-year period for up to 180 days upon reporting to Congress, on a

+non-delegable basis, that the extension is essential to meet national

+defense requirements.'';

(D) in subsection (c)--

(i) in paragraph (1), by striking

``Notwithstanding any other provision of this

@@ -86,11 +115,11 @@

(E) in subsection (d)--

(i) strike ``section shall'' and all that

follows through ``issue, and annually review

-and update'' and insert the following:

-``section, in consultation with the Defense

-Production Act Committee--

+and update whenever appropriate,'' and insert

+the following: ``section, in consultation with

+the Defense Production Act Committee--

``(1) shall--

-``(A) issue and'';

+``(A) issue and, whenever appropriate, revise'';

(ii) by redesignating paragraph (2) as

subparagraph (B), and adjusting the margin of

such subparagraph accordingly;

@@ -115,7 +144,7 @@

(5) by redesignating section 108 as section 207 and

transferring such section so as to appear after section 305.

-SEC. 3. EXPANSION OF PRODUCTIVE CAPACITY AND SUPPLY.

+SEC. 4. EXPANSION OF PRODUCTIVE CAPACITY AND SUPPLY.

The Defense Production Act of 1950 (50 U.S.C. 4501 et seq.) is

amended--

@@ -146,8 +175,8 @@

members of the Defense Production Act

Committee,''; and

(IV) in subparagraph (G)(i), by

-striking ``the President'' and

-inserting ``Fund manager of the Defense

+striking ``President'' and inserting

+``Fund manager of the Defense

Production Act Fund'';

and inserting ``Fund manager of the Defense Production

@@ -175,7 +204,7 @@

(VI) by striking subparagraph (B);

and

(ii) in paragraph (2)(B), by striking ``not

-later than 10 days''; and

+later than 10 days'';

(4) in section 202, as so redesignated--

(A) in subsection (a), by inserting ``authorize a

lending agency, with the concurrence of the Fund

@@ -186,9 +215,7 @@

(i) in paragraph (1), by striking ``and''

at the end;

(ii) in paragraph (2)--

-(I) by inserting ``except'' before

-``during'';

-(II) by striking ``no such loan may

+(I) by striking ``no such loan may

be made unless the President'' and

inserting ``no such loan may be made

with respect to the national emergency

@@ -197,7 +224,7 @@

the Defense Production Act Fund and

relevant members of the Defense

Production Act Committee,''; and

-(III) by striking the period at the

+(II) by striking the period at the

end and inserting a semicolon; and

(iii) by adding at the end the following:

``(3) any such loan shall be secured by a first-priority

@@ -212,27 +239,24 @@

shall have priority in payment over all other unsecured

claims.''; and

-(i) in paragraph (1)--

-(I) by striking ``$50,000,000'' and

+(i) by striking ``(1) In general.--'';

+(ii) by striking ``$50,000,000'' and

inserting ``$100,000,000'';

-(II) by striking ``only--'' and all

-that follows through ``if the

-President'' and inserting ``only if the

-Fund manager of the Defense Production

-Act Fund'';

-(III) in subparagraph (A), by

-striking ``; and'' at the end and

-inserting a period; and

-(IV) by striking subparagraph (B);

-and

-(ii) by striking paragraph (2);

+(iii) by striking ``only--'' and all that

+follows through ``if the President'' and

+inserting ``only if the Fund manager of the

+Defense Production Act Fund'';

+(iv) in subparagraph (A), by striking ``;

+and'' at the end and inserting a period;

+(v) by striking subparagraph (B); and

+(vi) by striking paragraph (2);

(5) in section 203, as so redesignated--

(A) in the heading, by striking ``other

presidential action authorized'' and inserting

``purchases, commitments to purchase, and subsidy

payments'';

(B) in subsection (a)--

-(i) in paragraph (1) by striking ``the

+(i) in paragraph (1), by striking ``the

President'' and inserting ``a member of the

Defense Production Act Committee described

under section 317(b)(1)(A), in consultation

@@ -248,10 +272,11 @@

described under paragraph (1)'';

(III) by striking ``the President,

on a non-delegable basis,'' and

-inserting ``member, on a non-delegable

-basis, and in consultation with the

-Executive Director of the Defense

-Production Act Committee,''; and

+inserting ``the member, on a non-

+delegable basis, and in consultation

+with the Executive Director of the

+Defense Production Act Committee,'';

+and

(IV) in subparagraph (B), by

striking ``Presidential'';

(iii) in paragraph (6)--

@@ -283,14 +308,42 @@

acquisition would result in the Government holding, in the

aggregate, 15 percent or more of the equity shares of the

entity.

-``(8) Acquisition and liquidation.--A member of the Defense

+``(8) Report on equity investments.--The Defense Production

+Act Committee shall include, in each annual report of the

+Committee required under section 317(d)--

+``(A) a description of any equity held by the

+Government pursuant to the authorities of this Act;

+``(B) the rationale for, and valuation of, any such

+holding, including--

+``(i) the expected contribution of the

+holding to the objectives of this Act; and

+``(ii) the estimated gain or loss in value

+of the holding since the preceding report.

+``(9) Acquisition and liquidation.--A member of the Defense

Production Act Committee described under section 317(b)(1)(A)--

``(A) may make an equity investment in an entity

under this section only after the Fund manager of the

-Defense Production Act Fund finds that the entity is

-unable to obtain additional equity investment from

-private sources on commercially reasonable terms; and

-``(B) shall seek to sell and liquidate any equity

+Defense Production Act Fund reports to the Committee on

+Banking, Housing, and Urban Affairs of the Senate and

+the Committee on Financial Services of the House of

+Representatives that the entity is unable to obtain

+additional equity investment from private sources on

+commercially reasonable terms;

+``(B) shall, with respect to each equity investment

+made in an entity by the member under this section,

+transmit to the Committee on Banking, Housing, and

+Urban Affairs of the Senate and the Committee on

+Financial Services of the House of Representatives--

+``(i) not later than 10 days after making

+the equity investment, copies of all relevant

+documents concerning the terms of the

+investment, including any governance rights or

+contractual obligations; and

+``(ii) a certification that the equity

+investment advances the objectives of this Act,

+with a detailed explanation of the reasons

+therefor; and

+``(C) shall seek to sell and liquidate any equity

support for an entity provided under this section as

soon as commercially feasible, commensurate with other

similar investors in the entity, taking into

@@ -309,7 +362,7 @@

the Fund manager of the Defense Production Act Fund, may make

grants, purchases, and commitments to purchase involving an

entity in the United States, a member country of the North

-Atlantic Treasury Organization, or a major non-NATO ally, to--

+Atlantic Treaty Organization, or a major non-NATO ally, to--

``(A) ensure that the mining or processing of

critical and strategic materials is not dominated by a

foreign adversary; and

@@ -365,7 +418,7 @@

striking ``make provision'' and inserting ``exercise

the authorities under title I and this title''; and

(I) by adding at the end the following:

-``(i) Waiver To Expedite Procurement.--In exercising the

+``(i) Waiver to Expedite Procurement.--In exercising the

authorities under section 201, section 202, or this section, the

President may waive or revise relevant regulations for the purpose of

expediting--

@@ -405,7 +458,7 @@

report of the Defense Production Act Committee--

``(i) a discussion of the identification

required under subparagraph (A) and the

-authority provided under subparagraph (B);

+authority provided under subparagraph (B); and

``(ii) short-term and long-term

recommendations for administrative or

legislative action to reduce any workforce gaps

@@ -415,14 +468,7 @@

on workforce training programs to recruit,

train, place, and retain workers in occupations

critical to the national defense, including any

-apprenticeships.

-``(k) Special Hiring Authority for Subject Matter Experts.--Each

-agency represented on the Defense Production Act Committee may appoint,

-without regard to the provisions of sections 3309 through 3318 of title

-5, subject matter experts directly to positions in the competitive

-service (as defined in section 2102 of that title) in the agency for

-the sole purpose of identifying, soliciting, evaluating, or approving

-activities that may receive financial assistance under this title.'';

+apprenticeships.'';

(6) in section 204, as redesignated and moved by section

3(4)--

(A) in subsection (a)--

@@ -437,7 +483,7 @@

(B) in subsection (b)(1), by striking ``assure''

and inserting ``ensure''; and

-``(c) Waiver To Expedite Procurement.--The President may waive or

+``(c) Waiver to Expedite Procurement.--The President may waive or

revise relevant regulations for the purpose of expediting--

``(1) the procurement of critical technologies (as defined

under section 316(a)) or critical minerals subject to the

@@ -446,9 +492,9 @@

produce or refine the critical technologies or critical

minerals described in paragraph (1).''.

(7) in section 205, as so redesignated--

-(A) in subsection (a), insert before the period at

-the end the following: ``, to be administered by the

-Secretary of the Treasury'';

+(A) in subsection (a), by inserting before the

+period at the end the following: ``, to be administered

+by the Secretary of the Treasury'';

(B) in subsection (b)--

(i) in paragraph (1)--

(I) by striking ``section 711'' and

@@ -464,12 +510,14 @@

(iv) in paragraph (3), as so redesignated,

by striking ``section 303'' and inserting

``this title'';

-(C) in subsection (e), by striking ``$750,000,000''

+(C) in subsection (c), by inserting ``and section

+318'' after ``this title'';

+(D) in subsection (e), by striking ``$750,000,000''

each place such term appears and inserting

``$2,000,000,000'';

-(D) by redesignating subsections (f) and (g) as

+(E) by redesignating subsections (f) and (g) as

subsections (g) and (h), respectively;

-(E) by inserting after subsection (e) the

+(F) by inserting after subsection (e) the

following:

``(f) Waiver.--The Executive Director of the Defense Production Act

Committee may waive the requirement described under subsection (e) for

@@ -477,7 +525,7 @@

Services of the House of Representatives and the Committee on Banking,

Housing, and Urban Affairs of the Senate in writing that the waiver is

in the national security interests of the United States.'';

-(F) in subsection (g), as so redesignated--

+(G) in subsection (g), as so redesignated--

(i) by striking ``President shall designate

a'' and inserting ``Secretary of the Treasury

shall serve as'';

@@ -504,16 +552,18 @@

Committee; and

``(6) issuing rules and guidance regarding financing

activities authorized by this title.''; and

-(G) by adding at the end the following:

+(H) by adding at the end the following:

``(i) Deferral.--The Executive Director of the Defense Production

Act Committee shall defer budget authority involving the Fund for an

agency that has repeatedly failed to submit complete reports described

-under section 101(e) and 206(a).'';

+under section 206(a).'';

(8) section 206, as so redesignated--

(A) in the heading, by striking ``reports on

exercise of authorities'' and inserting ``dpa

strategy'';

-(B) by striking subsections (a) and (b) and

+(B) by redesignating subsection (c) as subsection

+(e);

+(C) by striking subsections (a) and (b) and

inserting the following:

``(a) In General.--Not later than 180 days after the effective date

of this subsection, and annually thereafter, the head of each agency to

@@ -553,11 +603,7 @@

simulation (commonly known as a `table-top exercise') to determine the

resources needed and the best use of the authorities under title I and

this title to implement the strategy described in subsection (b)(2)

-contained in the most recent report required under subsection (a).'';

-(C) in subsection (c)(2), by striking ``section

-702(7)(B)(ii)(II)(bb)'' and inserting ``section

-302(7)(B)(ii)(II)(bb)''; and

-(D) by adding at the end the following:

+contained in the most recent report required under subsection (a).

``(d) Strategy on Securing Supply Chains Essential to National

Defense.--The head of any relevant agency, as determined by the

President, shall, in the first report submitted under subsection (a)

@@ -578,7 +624,11 @@

paragraph (1).

``(3) Any authorities provided by this Act to be used by

the agency to ensure that essential components of such supply

-chains are not under the control of a foreign adversary.''.

+chains are not under the control of a foreign adversary.''; and

+(D) in paragraph (2) of subsection (e), as so

+redesignated, by striking ``section

+702(7)(B)(ii)(II)(bb)'' and inserting ``section

+302(7)(B)(ii)(II)(bb)''; and

(9) in section 207, as redesignated and moved by section

3(5)--

(A) in subsection (a), by inserting ``, to the

@@ -609,7 +659,8 @@

``SEC. 209. LIMITATION ON ELIGIBILITY FOR ASSISTANCE.

-``(a) In General.--A covered entity is not eligible for assistance

+``(a) In General.--Notwithstanding any other provision of this Act

+or any other Act, a covered entity is not eligible for assistance

authorized under this title.

``(b) Definitions.--In this section:

``(1) Covered entity.--The term `covered entity' means an

@@ -642,19 +693,23 @@

20 percent, by vote or value, of the outstanding amount of any

class of equity interest in an entity.''.

-SEC. 4. GENERAL PROVISIONS.

+SEC. 5. GENERAL PROVISIONS.

The Defense Production Act of 1950 (50 U.S.C. 4501 et seq.) is

amended--

(1) by redesignating title VII as title III;

(2) by striking section 714 and 723;

-(3) by redesignating sections 701 through 711, section 713,

-sections 715 through 717, and sections 721 and 722 as sections

-301 through 317, respectively;

-(4) in section 301, as so redesignated, in subsection (e),

+(3) by redesignating sections 701 through 711 as sections

+301 through 311, respectively;

+(4) by redesignating section 713 as section 312;

+(5) by redesignating section 715 as section 313;

+(6) by redesignating section 717 as section 315;

+(7) by redesignating sections 721 and 722 as sections 316

+and 317, respectively;

+(8) in section 301, as so redesignated, in subsection (e),

by inserting ``and consistent with national defense

requirements'' after ``practicable'';

-(5) in section 302, as so redesignated--

+(9) in section 302, as so redesignated--

(A) in paragraph (7)(B), by striking ``title III''

each place such term appears in a heading or text, and

inserting ``title II''; and

@@ -668,7 +723,7 @@

protection and restoration, and public health

emergency preparedness and response

activities'';

-(6) in section 303, as so redesignated--

+(10) in section 303, as so redesignated--

(A) by striking ``Any officer'' and inserting the

following:

``(a) In General.--Any officer'';

@@ -702,7 +757,7 @@

the response to the public health emergency, including through

the exercise of the authorities delegated by the President

under section 308.'';

-(7) in section 304, as so redesignated--

+(11) in section 304, as so redesignated--

(A) by striking ``(a) in general.--'';

(B) by striking ``section 709 and subsection (b),

the President may prescribe'' and inserting ``section

@@ -710,7 +765,7 @@

360 days after the date of enactment of the DPA

Modernization Act of 2026, shall issue''; and

-(8) in section 305, as so redesignated--

+(12) in section 305, as so redesignated--

(A) in subsection (a)--

(i) by striking ``or appropriate, in his

discretion,''; and

@@ -727,7 +782,7 @@

means personally identifiable information which, if lost, compromised,

or disclosed without authorization, could result in substantial harm,

embarrassment, inconvenience, or unfairness to an individual.''.

-(9) in section 306, as so redesignated--

+(13) in section 306, as so redesignated--

(A) in subsection (a), by striking ``he'' and

inserting ``the President'';

(B) in subsection (b), by striking ``subpena'' each

@@ -736,7 +791,7 @@

``(c) Civil Actions.--A civil action challenging an action taken

under this Act may be brought only in the United States Court of

Appeals for the District of Columbia Circuit.'';

-(10) in section 308, as so redesignated--

+(14) in section 308, as so redesignated--

(A) by striking ``he'' each place such term appears

and inserting ``the President'';

(B) in subsection (c)(2), by striking ``not less

@@ -748,15 +803,17 @@

United States Code'' and inserting ``section

309''; and

(iii) by striking paragraphs (2) and (3);

-(11) in section 309, as so redesignated--

+(15) in section 309, as so redesignated--

(A) in subsection (a), by striking ``sections 551

through 559'' and inserting ``sections 552 through 552b

and sections 554 through 559''; and

(B) by striking subsection (c);

-(12) in section 310, as so redesignated--

-(A) by redesignating subsections (b) through (g) as

-subsections (a) through (f), respectively;

-(B) in subsection (a), as so redesignated--

+(16) in section 310, as so redesignated--

+(A) by striking subsection (e);

+(B) by redesignating subsections (b), (c), (d),

+(f), and (g) as subsections (a) through (e),

+respectively;

+(C) in subsection (a), as so redesignated--

(i) in paragraph (1), by striking ``he''

each place such term appears and inserting

``the President''; and

@@ -765,7 +822,7 @@

inserting ``the Director's''; and

(II) by striking ``he or she'' and

inserting ``the Director'';

-(C) in subsection (b), as so redesignated--

+(D) in subsection (b), as so redesignated--

(i) by striking ``he'' and inserting ``the

President''; and

(ii) by striking ``section 55a of title 5

@@ -778,23 +835,121 @@

expenses while so employed'' and inserting

``section 3109 of title 5, United States

Code'';

-(D) in subsection (e), as so redesignated, by

+(E) in subsection (d), as so redesignated, by

striking ``$10,000'' and inserting ``$100,000''; and

-(E) in subsection (f), as so redesignated, by

-striking ``he'' and inserting ``the President'';

-(13) in section 311, as so redesignated--

+(F) in subsection (e), as so redesignated, by

+striking ``he'' each place such term appears and

+inserting ``the President'';

+(17) in section 311, as so redesignated--

(A) by striking ``he'' and inserting ``the

President'';

(B) by striking ``$133,000,000 for fiscal year

2015'' and inserting ``$250,000,000 for fiscal year

-2025''; and

+2026''; and

years 2020 through 2024 to carry out title III'' and

inserting ``$5,000,000 for each of fiscal years 2026

through 2031 to the Executive Director of the Defense

Production Act Committee and the Fund manager of the

Defense Production Act Fund to carry out this Act'';

-(14) in section 315, as so redesignated--

+(18) by inserting after section 313, as so redesignated,

+the following:

+``SEC. 314. NATIONAL DEFENSE EXECUTIVE RESERVE.

+``(a) Establishment.--The President shall establish a National

+Defense Executive Reserve (in this section referred to as the

+`Reserve').

+``(b) Purpose.--The purpose of the Reserve shall be to improve the

+preparedness of the Federal Government for national defense emergencies

+by allowing private persons with unique expertise to volunteer, be

+trained for, and be temporarily employed in Federal positions within

+any of the Federal agencies that has established a Reserve unit under

+subsection (c) that may be necessary during periods of national defense

+emergency, as determined by the President.

+``(c) Reserve Units.--

+``(1) In general.--The President shall require the heads of

+each of the following agencies to establish a unit of the

+Reserve within the applicable agency:

+``(A) The Department of Commerce.

+``(B) The Department of Defense.

+``(C) The Department of Homeland Security.

+``(D) Such other agencies as the President

+determines appropriate.

+``(2) Activities of reserve units.--Activities of such

+Reserve units within each agency shall be aligned with the

+contents of the reports required under--

+``(A) section 203(j)(2)(C), related to workforce

+and skills gaps;

+``(B) section 206(b), related to overall strategy;

+``(C) section 206(d), related to the strategy on

+securing supply chains essential to national defense;

+and

+``(D) section 317(h)(1), the report from the

+Subcommittee on Emerging Technology.

+``(3) Deadline.--The units of the Reserve within the

+agencies described under subparagraphs (A), (B), and (C) shall

+be established not later than 180 days after the issuance of

+the final rules required under subsection (f).

+``(d) Training.--The President may, without activating the Reserve,

+allow for periodic training and exercises to prepare the Reserve for

+duty during an activation.

+``(e) Rulemaking.--Not later than 360 days after the date of

+enactment of this section, the Director of the Office of Personnel

+Management, in consultation with the Secretary of Commerce, the

+Secretary of Defense, and the Secretary of Homeland Security, shall

+issue rules, in accordance with section 553 of title 5, United States

+Code, to provide--

+``(1) criteria for determining the number of positions in

+and organization of Reserve units;

+``(2) criteria for determining the appropriate level of

+seniority and job classifications of Reserve positions;

+``(3) the advertisement of the Reserve to the public to

+generate interest in volunteers;

+``(4) the selection of individuals for the Reserve and the

+job assignment process;

+``(5) the appointment authorities to be used by the head of

+an agency during an activation of the applicable Reserve unit;

+``(6) the appropriate levels of compensation for private

+individuals for service in the Reserve, dependent on the

+qualifications and expected roles of the individuals;

+``(7) the appropriate levels of compensation for private

+individuals for service in the Reserve for additional expenses,

+such as travel and accommodation, to fulfill the

+responsibilities in the Reserve, including during training and

+exercise;

+``(8) additional incentives to be provided to private

+individuals to encourage participation in the Reserve;

+``(9) whether and how to issue security clearances to

+individuals selected to serve in the Reserve, both prior to and

+during activation;

+``(10) the frequency and content of training and exercises

+for the Reserve;

+``(11) the appropriate interaction between permanent

+Government employees and individuals in the Reserve during

+training, exercises, and activations of the Reserve;

+``(12) the appointment of permanent Government employees to

+manage the Reserve for each agency with a Reserve unit, both

+prior to and during activation;

+``(13) practices to ensure that ethics and conflict-of-

+interest standards are implemented and maintained throughout

+the activities of the Reserve; and

+``(14) all other matters necessary to effectively manage

+the Reserve, as determined by the Director of the Office of

+Personnel Management.

+``(f) Additional Guidance.--The Director of the Office of Personnel

+Management may issue any additional internal guidance as the Director

+of the Office of Personnel determines is necessary to supplement the

+rules issued under subsection (e).

+``(g) Employment Protection.--For purposes of chapter 43 of title

+38, United States Code, an individual absent from a position of

+employment due to an appointment into service in the Reserve shall be

+subject to the same employment and reemployment protections as are

+provided under such chapter for an individual absent from a position of

+employment due to an appointment into service in the Federal Emergency

+Management Agency as intermittent personnel under section 306(b)(1) of

+the Robert T. Stafford Disaster Relief and Emergency Assistance Act.'';

+(19) in section 315, as so redesignated--

(A) in subsection (a)--

(i) by striking ``title III, and title VII

(except sections 707, 708, and 721)'' and

@@ -807,10 +962,115 @@

(B) in subsection (c), by striking ``section 301 of

this Act'' and inserting ``section 201''; and

-(15) in section 316, as so redesignated, in subsection

-(l)(3)(D), by striking ``section 706(b)'' and inserting

-``section 306(b)''; and

-(16) in section 317, as so redesignated--

+(20) in section 316, as so redesignated--

+(A) in subsection (a)(4)(C)(i)(II), by striking

+``in `urbanized areas', as'' and inserting ``in an

+`urbanized area', or equivalent term, as'';

+(B) in subsection (b)--

+(i) in paragraph (1), by adding at the end

+the following:

+``(I) Consideration of certain agricultural land

+transactions.--

+``(i) In general.--After receiving

+notification from the Secretary of Agriculture

+of a reportable agricultural land transaction,

+the Committee shall determine--

+``(I) whether the transaction is a

+covered transaction; and

+``(II) if the Committee determines

+that the transaction is a covered

+transaction, whether the Committee

+should initiate a review pursuant to

+subparagraph (D), or take another

+action authorized under this section,

+with respect to the reportable

+agricultural land transaction.

+``(ii) Reportable agricultural land

+transaction..--In this subparagraph, the term

+`reportable agricultural land transaction'

+means a transaction--

+``(I) that the Secretary of

+Agriculture has reason to believe is a

+covered transaction, based on

+information from or in cooperation with

+the intelligence community;

+``(II) that involves the

+acquisition of an interest in

+agricultural land by a foreign person

+of the People's Republic of China, the

+Democratic People's Republic of Korea,

+the Russian Federation, or the Islamic

+Republic of Iran; and

+``(III) with respect to which a

+person is required to submit a report

+to the Secretary of Agriculture under

+section 2(a) of the Agricultural

+Foreign Investment Disclosure Act of

+1978.

+``(iii) Sunset.--The requirements under

+this subparagraph shall terminate, with respect

+to a foreign person of the respective foreign

+country, on the date that the People's Republic

+of China, the Democratic People's Republic of

+Korea, the Russian Federation, or the Islamic

+Republic of Iran, as the case may be, is

+removed from the list of foreign adversaries in

+section 791.4 of title 15, Code of Federal

+Regulations.'';

+(ii) in paragraph (3)--

+(I) in subparagraph (A), by

+striking ``Upon completion of'' and

+inserting ``Not later than the seventh

+day of the month following the month in

+which the Committee completed''; and

+(II) in subparagraph (C)(i)--

+(aa) by striking ``shall be

+submitted to the members'' and

+inserting ``shall be submitted

+in a searchable, machine-

+readable format to the

+members'';

+(bb) in subclause (II), by

+striking ``and'' at the end;

+(cc) by redesignating

+subclause (III) as subclause

+(IV); and

+(dd) by inserting after

+subclause (II) the following:

+``(III) the date on which the

+transaction was accepted by the

+Committee and the date on which

+transaction parties were notified of

+the completion by the Committee of the

+Committee's review of the transaction

+pursuant to subsection (b)(6); and'';

+(C) in subsection (d)(4)(A), by striking ``assets

+as a result'' and inserting ``assets or in real estate

+in the United States as a result'';

+(D) in subsection (k), by adding at the end the

+following:

+``(8) Inclusion of the secretary of agriculture.--The

+Secretary of Agriculture shall be a member of the Committee

+with respect to a covered transaction that involves--

+``(A) agricultural land;

+``(B) agriculture biotechnology; or

+``(C) the agriculture industry, including

+agricultural transportation, storage, and

+processing.'';

+(E) in subsection (l)(3)(D), by striking ``section

+706(b)'' and inserting ``section 306(b)'';

+(F) in subsection (o)--

+(i) in paragraph (1), by striking ``March

+31'' and inserting ``September 30''; and

+(ii) in paragraph (2), by striking ``the

+date that is 7 years after the date of the

+enactment of the Foreign Investment Risk Review

+Modernization Act of 2018'' and inserting

+``November 30, 2030''; and

+(G) in subsection (p)(2), by striking ``through

+2023 $20,000,000'' and inserting ``through 2030

+$21,000,000''; and

+(21) in section 317, as so redesignated--

(A) in subsection (a), by striking ``plan for on''

and inserting ``plan for'';

(B) in subsection (b)--

@@ -850,8 +1110,9 @@

``(1) the most recent reports submitted pursuant to section

206;'';

(iv) by striking paragraph (5);

-(v) by redesignating paragraphs (3) and (4)

-as paragraphs (2) and (3), respectively;

+(v) by redesignating paragraphs (3), (4),

+and (6) as paragraphs (2), (3), and (7),

+respectively;

(vi) in paragraph (2), as so redesignated,

by striking ``legislation'' and inserting

``legislative'';

@@ -866,19 +1127,23 @@

206(b)(2);

``(5) a summary of any steps taken to reduce fraud in

transactions under this Act and a fraud risk assessment for all

-activities under undertaken under this Act; and''; and

-(ix) in paragraph (4), as so redesignated,

+activities undertaken under this Act;

+``(6) a summary of activities by the National Defense

+Executive Reserve, along with any recommendations for

+regulatory and legislative improvements to support the National

+Defense Executive Reserve; and''; and

+(ix) in paragraph (7), as so redesignated,

by striking ``each'' and inserting ``any'';

(E) by redesignating subsection (e) as subsection

-(f);

+(k); and

(F) by inserting after subsection (d) the

following:

``(e) Defense Production Act Dashboard.--The Executive Director of

the Committee shall maintain a database that--

``(1) compiles and categorizes the actions reported under

-section 206(b)(3);

+section 206(b)(4);

``(2) is available to all members of the Committee, for the

-purpose of more effective coordination of actions authorized

+purpose of more effective coordination of actions authorized by

this Act;

``(3) allows for real-time updates by the members of the

Committee; and

@@ -935,7 +1200,7 @@

within a single industry or Federal agency, or

across industries and Federal agencies, to

improve efficiencies, encourage innovation, and

-address supply chain gaps;

+address supply chain gaps

``(C) Report elements.--The Subcommittee on

Emerging Technology shall include, in the annual report

of the Defense Production Act Committee, the analysis

@@ -961,9 +1226,8 @@

subcommittees of the Committee as the Executive Director

determines appropriate to improve coordination among member

agencies of the Committee regarding particular activities

-authorized under this Act.''; and

-(G) by adding at the end the following:

-``(g) Fraud Risk Management in Transactions Under This Act.--Not

+authorized under this Act.

+``(i) Fraud Risk Management in Transactions Under This Act.--Not

later than 1 year after the date of the enactment of this subsection,

the Defense Production Act Committee shall--

``(1) establish and implement processes and procedures

@@ -975,9 +1239,18 @@

``(3) designate a point of contact within the Defense

Production Act Committee to be responsible for managing issues

relating to fraud, including coordinating with agencies to

-review fraud-related issues.''.

-SEC. 5. PROHIBITION AND NOTIFICATION ON INVESTMENTS RELATING TO COVERED

+review fraud-related issues.

+``(j) Testimony.--The following persons, or their designees, shall

+provide testimony to the Committee on Financial Services of the House

+of Representatives and the Committee on Banking, Housing, and Urban

+Affairs of the Senate not later than 90 days following submission of

+the report described under subsection (d):

+``(1) The Executive Director.

+``(2) Upon request of either such committee, the head of

+any Federal agency to which the President has delegated

+authority under this Act.''.

+SEC. 6. PROHIBITION AND NOTIFICATION ON INVESTMENTS RELATING TO COVERED

NATIONAL SECURITY TRANSACTION.

The Defense Production Act of 1950 (50 U.S.C. 4501 et seq.) is

@@ -1000,7 +1273,7 @@

and 802(b)'' and inserting ``section 401(e) or

402(b)'';

(B) in paragraph (2)--

-(i) by striking ``section 801(e) and

+(i) by striking ``section 801(e) or

802(b)'' and inserting ``section 401(e) or

402(b)''; and

(ii) by striking ``section 801(e)'' each

@@ -1011,9 +1284,12 @@

(6) in section 407, as so redesignated--

(A) in subsection (a), by striking ``section 801 or

802'' and inserting ``section 401 or 402''; and

-(B) in subsection (b), by striking ``subsection

-801(a)'' each place such term appears and inserting

-``section 401(a)'';

+(B) in subsection (b)--

+(i) in paragraph (3), by striking ``section

+801(a)'' and inserting ``section 401(a)''; and

+(ii) in paragraph (4), by striking

+``subsection 801(a)'' and inserting ``section

+401(a)'';

(7) in subsection (b)(4) of section 408, as so

redesignated, by striking ``section 805'' and inserting

``section 405''; and

@@ -1032,36 +1308,63 @@

(D) in paragraph (10)(B), by striking ``section

709'' and inserting ``section 309''.

-SEC. 6. GAO STUDY ON STOCKPILING AND LONG-LEAD ITEMS.

-(a) In General.--The Comptroller General of the United States

-shall, not later than 1 year after the date of the enactment of this

-Act, begin a study on the efficacy of the current methods used by DPA

-agencies to address DPA-related long-lead items and related stockpiling

-challenges.

-(b) Requirements.--When conducting the study required under

-subsection (a), the Comptroller General shall--

-(1) examine how DPA-related long-lead items are currently

-procured and stockpiled by DPA agencies;

-(2) identify ways in which Federal agencies can work

-together to better address procurement and stockpiling of DPA-

-related long-lead items; and

-(3) provide legislative recommendations, including

-amendments to the DPA, to address procurement of DPA-related

-long-lead items and the stockpiling of such items.

-(c) Definitions.--In this section:

-(1) DPA.--The term ``DPA'' means the Defense Production Act

-of 1950.

-(2) DPA agency.--The term ``DPA agency'' means a Federal

-agency to which the President has delegated authority under the

-DPA.

-(3) Long-lead item.--The term ``long-lead item'' means

-components of a system or piece of equipment for which the

-times to design and fabricate are the longest, and therefore,

-to which an early commitment of funds may be desirable to

-complete the system by the earliest possible.

-SEC. 7. CONFORMING AMENDMENTS.

+SEC. 7. STUDIES AND REPORTS.

+(a) GAO Study on Stockpiling and Long-lead Items.--

+(1) In general.--The Comptroller General of the United

+States shall, not later than 1 year after the date of the

+enactment of this Act, begin a study on the efficacy of the

+current methods used by DPA agencies to address DPA-related

+long-lead items and related stockpiling challenges.

+(2) Requirements.--When conducting the study required under

+paragraph (1), the Comptroller General shall--

+(A) examine how DPA-related long-lead items are

+currently procured and stockpiled by DPA agencies;

+(B) identify ways in which Federal agencies can

+work together to better address procurement and

+stockpiling of DPA-related long-lead items; and

+(C) provide legislative recommendations, including

+amendments to the DPA, to address procurement of DPA-

+related long-lead items and the stockpiling of such

+items.

+(3) Definitions.--In this subsection:

+(A) DPA.--The term ``DPA'' means the Defense

+Production Act of 1950.

+(B) DPA agency.--The term ``DPA agency'' means a

+Federal agency to which the President has delegated

+authority under the DPA.

+(C) Long-lead item.--The term ``long-lead item''

+means components of a system or piece of equipment for

+which the times to design and fabricate are the

+longest, and therefore, to which an early commitment of

+funds may be desirable to complete the system by the

+earliest possible.

+(b) GAO Report on the Defense Production Act Committee.--Not later

+than 2 years after the date of the enactment of this Act, the

+Comptroller General of the United States shall issue a report to the

+Committee on Financial Services of the House of Representatives and the

+Committee on Banking, Housing and Urban Affairs of the Senate that

+includes--

+(1) an assessment of the quality of coordination and

+planning for the effective use of the authorities provided

+under section 317 of the Defense Production Act of 1950;

+(2) an identification of authorities and requirements

+provided for under Section 317 the Defense Production Act of

+1950 that may call for greater use or compliance by the Defense

+Production Act Committee; and

+(3) any other recommendations relating to how the Defense

+Production Act Committee could improve the Committee's

+coordination and planning.

+(c) Subcommittee on Emerging Technology Report on Potential

+Strategic Reserve of Biological Inputs.--The Subcommittee on Emerging

+Technology of the Defense Production Act Committee shall, not later

+than 18 months after the date of the enactment of this Act, submit to

+Congress an evaluation of the potential benefits and drawbacks, and any

+resources required, in establishing a strategic reserve of critical

+biomanufacturing essential to national defense activities under the

+Defense Production Act of 1950.

+SEC. 8. CONFORMING AMENDMENTS.

(a) ADVANCE Act of 2024.--Section 301(d) of division B of the

ADVANCE Act of 2024 (42 U.S.C. 2133 note) is amended by striking

@@ -1076,35 +1379,52 @@

of the Further Consolidated Appropriations Act, 2020 (12 U.S.C. 635

note) is amended by striking ``section 721(a)(6)(A)'' and inserting

``section 316(a)(6)(A)''.

-(e) John S. McCain National Defense Authorization Act for Fiscal

-Year 2019.--Section 1792 of the John S. McCain National Defense

-Authorization Act for Fiscal Year 2019 (50 U.S.C. 4531 note) is hereby

-repealed.

-(f) National Defense Authorization Act for Fiscal Years 1988 and

-1989.--Section 272 of the National Defense Authorization Act for Fiscal

-Years 1988 and 1989 (15 U.S.C. 4602(c)) is amended by striking

+(e) National Defense Authorization Act for Fiscal Years 1988 and

+1989 .--Section 272 of the National Defense Authorization Act for

+Fiscal Years 1988 and 1989 (15 U.S.C. 4602(c)) is amended by striking

``section 719 of the Defense Production Act of 1950 (50 U.S.C. App.

2168),''.

-(g) National Defense Authorization Act for Fiscal Year 2018.--

-Section 226 of the National Defense Authorization Act for Fiscal Year

-2018 (50 U.S.C. 4531 note) is amended--

-(1) by striking subsection (e); and

-(2) by redesignating subsection (f) as subsection (e).

-(h) National Defense Authorization Act for Fiscal Year 2020.--

+(f) National Defense Authorization Act for Fiscal Year 2020.--

Section 847(e) of the National Defense Authorization Act for Fiscal

Year 2020 is amended by striking ``section 721'' and inserting

``section 316''.

-(i) National Defense Authorization Act for Fiscal Year 2022.--

+(g) National Defense Authorization Act for Fiscal Year 2022.--

Effective on the date of enactment of the National Defense

Authorization Act for Fiscal Year 2022, section 1702(k)(4) of such Act

is amended by striking ``Defense Production Act'' and inserting

``Defense Production Act of 1950''.

-(j) Title 10, United States Code.--Section 4891(a) of title 10,

-United States Code, is amended by striking ``section 721(a)'' and

-inserting ``section 316(a)''.

-(k) William M. (Mac) Thornberry National Defense Authorization Act

+(h) Title 10, United States Code.--Section 4891(b)(1) of title 10,

+United States Code, is amended by striking ``If the Secretary of

+Defense is acting as a designee of the President under section 721(a)

+of the Defense Production Act of 1950 (50 U.S.C. 4565(a)) and if the

+Secretary determines'' and inserting ``If the Committee on Foreign

+Investment in the United States determines, under section 316 of the

+Defense Production Act of 1950 (50 U.S.C. 4565),''.

+(i) William M. (Mac) Thornberry National Defense Authorization Act

for Fiscal Year 2021.--Section 848(b)(2)(C) of the William M. (Mac)

Thornberry National Defense Authorization Act for Fiscal Year 2021 (10

U.S.C. 4811 note) is amended by striking ``title III'' and inserting

``title II''.

-<all>

+Union Calendar No. 529

+119th CONGRESS

+2d Session

+H. R. 7688

+[Report No. 119-611]

+_______________________________________________________________________

+A BILL

+To modernize and reauthorize the Defense Production Act of 1950, and

+for other purposes.

+_______________________________________________________________________

+April 15, 2026

+Reported with an amendment, committed to the Committee of the Whole

+House on the State of the Union, and ordered to be printed

Cosponsors (4)

Members who signed on to support this bill.