S.2116 - To require the Committee on Foreign Investment in the United States to annually review, update, and report on the facilities and property of the United States Government determined to be national security sensitive for purposes of review of real estate transactions under section 721 of the Defense Production Act of 1950. (119th Congress)
Summary
S.2116 aims to enhance the review process conducted by the Committee on Foreign Investment in the United States (CFIUS) regarding real estate transactions involving national security-sensitive sites. The bill mandates annual reviews and updates to the list of U.S. government facilities and properties deemed sensitive for national security reasons. It also requires regular reporting on transactions involving these sites.
Expected Effects
The bill will likely lead to more stringent oversight of foreign investment in real estate near sensitive U.S. government facilities. This could deter potentially harmful foreign acquisitions and enhance national security. It also increases transparency through required reporting to Congress.
Potential Benefits
- Enhanced national security through increased scrutiny of foreign investments.
- Improved transparency via mandatory reporting to Congress.
- Regular updates to the list of sensitive sites, ensuring relevance.
- Standardized review process across different government agencies.
- Potential deterrence of malicious foreign actors seeking to exploit real estate vulnerabilities.
Most Benefited Areas:
Potential Disadvantages
- Potential delays in real estate transactions due to increased scrutiny.
- Increased administrative burden on CFIUS and other government agencies.
- Possible chilling effect on legitimate foreign investment.
- Risk of over-classification or overly broad definition of 'sensitive sites'.
- Potential for political influence in the designation of sensitive sites.
Constitutional Alignment
The bill aligns with the federal government's constitutional responsibility to provide for the common defense (Article I, Section 8). It also falls under Congress's power to regulate commerce with foreign nations (Article I, Section 8, Clause 3). The bill does not appear to infringe on any specific constitutional rights or liberties.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).