An Act to Identify and Report Certain Foreign-Related Transactions to the Committee on Foreign Investment in the United States (CFIUS)

NOTE: Prior to task force meetings, ALEC posts these legislative member-submitted draft model policies to our website. The draft model policies are then discussed, debated, and voted on by ALEC task force members. Policies that receive final approval by legislators on the ALEC Board of Directors become official ALEC model policy. Draft model policies that fail to become official ALEC model policy are removed from the website.

Summary

While the federal government has formidable structures to identify national security risks, its systems are not foolproof and sometimes the states have a superior perspective on investments, transactions and activities that could potentially pose national and homeland security threats. This Act establishes a process for this state to identify and report certain foreign-related transactions to the Committee on Foreign Investment in the United States (CFIUS).

An Act to Identify and Report Certain Foreign-Related Transactions to the Committee on Foreign Investment in the United States (CFIUS)

BE IT ENACTED BY THE LEGISLATURE OF THIS STATE:

REPORTING NON-NOTIFIED FOREIGN TRANSACTIONS.

(a)  In this section, “non-notified transactions” means foreign investments in the United States that are not voluntarily submitted to the Committee on Foreign Investment in the United States for review under 50 U.S.C. Section 4565.

(b)  The office of the attorney general shall establish a process by which local officials, state officials, or other persons may submit to the office information or concerns regarding non-notified transactions in this state.  The office of the attorney general may adopt any necessary rules to implement this subsection.

(c)  The attorney general may submit a memorandum or report concerning non-notified transactions the office of the attorney general has identified in this state to the Committee on Foreign Investment in the United States.

(d)  The office of the attorney general shall:

(1)  retain a copy of any documents submitted to the committee described by Subsection (c) that are included with a memorandum or report submitted under that subsection; and

(2)  notify the legislature and the governor as soon as practicable after submitting a memorandum, report, or other information under Subsection (c).

SECTION 2.  This Act takes effect upon becoming law.