Plain Language Summary
# Summary of the RIFA Act (HR 1023) **What it does:** The Reporting on Investments in Foreign Adversaries Act would require large private universities to disclose their financial investments in countries and organizations considered foreign threats to the U.S. Specifically, colleges with either more than $6 billion in total assets or more than $250 million invested in "countries of concern" (like China, Russia, Iran, and North Korea) would have to file annual reports to the Department of Education. These reports would detail any stocks, bonds, or other investments the schools hold in these countries or entities designated as foreign threats. **Who it affects:** The bill primarily targets wealthy private universities and colleges, along with the Department of Education, which would need to create and maintain a public database of this information so Americans can see where their institutions' money is being invested.
It could indirectly affect students and donors interested in knowing about their schools' financial practices. **Current status:** The bill was introduced by Rep. Burgess Owens (R-Utah) in the 119th Congress and is currently in committee, meaning it has not yet been voted on by the full House of Representatives.
CRS Official Summary
Reporting on Investments in Foreign Adversaries Act or the RIFA ActThis bill requires private institutions of higher education (IHEs) with specified assets or investments involving foreign countries or entities of concern to file annual investment disclosure reports. The bill applies to a private IHE with (1) assets in excess of $6 billion, or (2) investments of concern in excess of $250 million. Specifically, the bill requires such a private IHE to file a disclosure report with the Department of Education (ED) for a year in which the IHE purchases, sells, or holds one or more investments of concern. Investment of concern means any specified interest (e.g., stock or debt) with respect to a foreign country of concern (e.g., North Korea, China, Russia, or Iran) or a foreign entity of concern (e.g., a foreign entity that is designated as a foreign terrorist organization). Additionally, the bill requires ED to establish and maintain a publicly available and searchable database with these disclosure reports.The bill requires ED to investigate possible violations of this bill and outlines the various penalties for each violation. Penalties may include losing eligibility for federal student financial aid.
Latest Action
Referred to the House Committee on Education and Workforce.