Plain Language Summary
# DETERRENT Act Summary **What It Does:** The DETERRENT Act would require U.S. colleges and universities to report foreign funding to the Department of Education more frequently and comprehensively. Currently, schools must disclose foreign gifts and contracts worth $250,000 or more annually. This bill would lower that threshold to $50,000 for most foreign sources and require disclosure of *any* amount received from countries or entities deemed "of concern" (like China or Russia). It also adds new disclosure requirements for certain contracts with foreign countries of concern and situations where universities are substantially controlled by foreign interests. **Who It Affects:** The bill primarily affects colleges, universities, and research institutions that receive international funding.
It could impact students and researchers at these institutions, as well as legitimate international academic partnerships and collaborations. Foreign governments, companies, and educational institutions that work with U.S. schools would also be affected through increased transparency requirements. **Current Status:** The bill was introduced by Senator Thomas Tillis (R-NC) in the 119th Congress and is currently in committee, meaning it has not yet been debated or voted on by the full Senate. The stated intent is to increase transparency around foreign funding sources in American higher education institutions.
CRS Official Summary
Defending Education Transparency and Ending Rogue Regimes Engaging in Nefarious Transactions Act or the DETERRENT ActThis bill expands oversight and disclosure requirements related to foreign sources and institutions of higher education (IHEs).Specifically, the bill requires an IHE to annually disclose to the Department of Education (ED) any year in which the IHEreceives a gift from a foreign country of concern (e.g., China or Russia) or foreign entity of concern of any dollar amount;receives a gift or contract from a foreign source (other than a foreign country of concern or foreign entity of concern) that is valued at $50,000 or more, considered alone or in combination with all other gifts or contracts within a calendar year (current disclosure threshold is $250,000 or more), or which has an undetermined monetary value;enters into a contract with a foreign country of concern or foreign entity of concern after receiving a waiver for such contract; oris substantially controlled by a foreign source.Additionally, the billprohibits IHEs from entering into contracts with a foreign country of concern or with a foreign entity of concern without obtaining a waiver, andrequires certain IHEs to disclose gifts or contracts between covered individuals (e.g., researchers) and foreign sources.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
Read twice and referred to the Committee on Health, Education, Labor, and Pensions.