H.R. 7644

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7644 Introduced in House (IH)]

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119th CONGRESS
2d Session
H. R. 7644

To amend the Millennium Challenge Act of 2003 to modify the authorities 
of the Millennium Challenge Corporation relating to strategic 
competitors of the United States and critical minerals.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

February 23, 2026

Mr. Barr introduced the following bill; which was referred to the 
Committee on Foreign Affairs

_______________________________________________________________________

A BILL

To amend the Millennium Challenge Act of 2003 to modify the authorities 
of the Millennium Challenge Corporation relating to strategic 
competitors of the United States and critical minerals.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Millennium Challenge Corporation 
Strategic Modernization Act''.

SEC. 2. FINDINGS.

Congress finds the following:
(1) The Millennium Challenge Corporation is an independent 
United States Government agency that delivers results-driven 
foreign assistance, using a transparent, data-driven model 
rooted in good governance, economic freedom, and investment in 
people to advance America's economic and strategic interests.
(2) Strategic competitors of the United States, including 
the People's Republic of China, the Russian Federation, and the 
Islamic Republic of Iran, increasingly deploy state-directed 
finance, infrastructure development, and resource investments 
to gain long-term political and economic leverage in developing 
countries.
(3) The global supply of critical minerals is increasingly 
concentrated, opaque, and vulnerable to coercion by strategic 
competitors of the United States, creating risks to United 
States national security, energy security, and advanced 
manufacturing.
(4) The Millennium Challenge Corporation's tools, including 
grant-based financing, policy reform conditionality, and high 
governance standards, are well-suited to addressing constraints 
in critical mineral supply chains, such as infrastructure gaps, 
regulatory weaknesses, and workforce development limitations.
(5) Earlier and more systematic engagement by the 
Millennium Challenge Corporation with the United States private 
sector can improve project design, crowd in private capital, 
and strengthen economic ties between partner countries and the 
United States.
(6) The modernization of the Millennium Challenge 
Corporation should strengthen, not dilute, its core development 
mission and independence.

SEC. 3. SENSE OF CONGRESS.

It is the sense of Congress that--
(1) strategic competition considerations should inform but 
not replace the Millennium Challenge Corporation's existing 
eligibility standards;
(2) reforms should increase transparency, accountability, 
and value to United States taxpayers; and
(3) the Millennium Challenge Corporation should be 
modernized as a strategic asset in an era of global 
competition.

SEC. 4. PURPOSES.

Section 602 of the Millennium Challenge Act of 2003 (22 U.S.C. 
7701) is amended--
(1) in paragraph (1), by striking ``and'' at the end;
(2) in paragraph (2), by striking the period at the end and 
inserting ``; and''; and
(3) by adding at the end the following:
``(3) to advance United States economic security and 
strategic competitiveness by supporting eligible country 
reforms and investments that strengthen critical mineral supply 
chains, strategic infrastructure, and market-based economic 
integration, while also supporting poverty reduction and 
sustainable economic growth.''.

SEC. 5. CRITICAL MINERALS TASK FORCE.

Section 604 of the Millennium Challenge Act of 2003 (22 U.S.C. 
7703) is amended by adding at the end the following:
``(d) Critical Minerals Task Force.--
``(1) Establishment.--The Board of Directors shall 
establish in the Corporation a Critical Minerals Task Force (in 
this subsection referred to as the `Task Force').
``(2) Duties.--The Task Force shall--
``(A) assess global and regional critical mineral 
supply chain vulnerabilities to United States economic 
and national security;
``(B) identify candidate countries in which 
Corporation engagement could enhance transparent, 
diversified, and sustainable mineral supply chains;
``(C) evaluate infrastructure, regulatory, 
environmental, labor, and governance constraints 
affecting mineral development and downstream 
processing;
``(D) recommend priority policy reforms and 
investment areas appropriate for Corporation 
assistance; and
``(E) coordinate, as appropriate, with relevant 
United States Government agencies, multilateral 
institutions, and private sector stakeholders.
``(3) Rule of construction.--Nothing in this subsection may 
be construed to authorize the Corporation to engage in 
extractive activities or to subsidize mineral production.''.

SEC. 6. GREAT POWER COMPETITION FACTSHEET.

Section 607 of the Millennium Challenge Corporation Act of 2003 (22 
U.S.C. 7706) is amended by adding at the end the following:
``(g) Great Power Competition Factsheet.--
``(1) In general.--In determining eligible countries under 
this section, the Board shall assess strategic exposure and 
resilience of candidate countries to the People's Republic of 
China, the Russian Federation, the Islamic Republic of Iran, 
and other strategic competitors of the United States using the 
factors described in paragraph (2). The assessment carried out 
under this paragraph may be referred to as the `Great Power 
Competition Factsheet' (in this subsection referred to as the 
`GPC Factsheet').
``(2) Factors described.--The GPC Factsheet shall include, 
where data are available--
``(A) trade volumes, export dependencies, and 
import reliance involving the People's Republic of 
China, the Russian Federation, the Islamic Republic of 
Iran, and other strategic competitors of the United 
States;
``(B) foreign direct investment, sovereign lending, 
and state-owned enterprise activity from such 
countries;
``(C) foreign assistance, concessional finance, and 
debt exposure linked to such countries;
``(D) ownership, control, financing, or operation 
of strategic infrastructure, including ports, rail, 
power generation, transmission, digital networks, and 
data systems such countries;
``(E) critical mineral endowments, processing 
capacity, export controls, and governance frameworks; 
and
``(F) alignment with international transparency, 
labor, environmental, and anti-corruption standards.
``(3) Limitation.--The GPC Factsheet shall inform Board 
deliberations but shall not replace other eligibility criteria 
under other provisions of law.''.

SEC. 7. MILLENNIUM CHALLENGE COMPACT.

Section 609 of the Millennium Challenge Act of 2003 (22 U.S.C. 
7708) is amended--
(1) by amending subsection (j) to read as follows:
``(j) Duration of Compact.--
``(1) In general.--The implementation of a Compact shall 
not exceed 5 years.
``(2) Other matters.--The Corporation shall--
``(A) obligate the entire funding for a Compact 
upon the execution of the Compact; and
``(B) consult with the appropriate congressional 
committees at the commencement of the implementation 
period of a Compact.''; and
(2) by adding at the end the following:
``(m) Early Private Sector Engagement.--In developing a Compact 
under this section or under other programs developed under section 616, 
the Corporation shall, to the extent practicable, engage United States 
private sector entities, investors, and technical experts during the 
early stages of project identification and design. Such engagement 
shall seek to--
``(1) improve the feasibility and effectiveness of Compact 
projects;
``(2) mobilize private capital to supplement assistance 
provided under this title; and
``(3) enhance the long-term sustainability and impact of 
assistance provided under this title.
``(n) Timely Completion of Constraint Analysis and Due Diligence.--
``(1) In general.--The Corporation shall use best efforts 
to commence implementation of the program by ensuring that all 
required constraint analyses, feasibility studies, 
environmental assessments, economic analyses, and other forms 
of due diligence necessary for project commencement are 
conducted in an expeditious and efficient manner, consistent 
with the Corporation's policies.
``(2) Safeguards.--Nothing in this subsection may be 
construed to authorize the circumvention of any requirements 
for a Compact described in subsection (b)(1).
``(3) Board oversight.--During the period beginning on 
which a Compact or an agreement under section 616 is entered 
into and ending on the date on which the Compact or agreement 
has commenced implementation, the Corporation shall 
periodically provide a written update to the Board and consult 
with the appropriate congressional committees to describe--
``(A) the status of the program, including the 
anticipated date of implementation the program will 
commence;
``(B) issues that may negatively impact the 
anticipated date implementation will commence and steps 
taken to resolve such issues; and
``(C) any measures adopted with the intent to 
mitigate the issues identified in subparagraph (B) for 
future Compacts or agreements under section 616.''.

SEC. 8. CONGRESSIONAL AND PUBLIC NOTIFICATION.

Section 610(a) of the Millennium Challenge Corporation Act of 2003 
(22 U.S.C. 7709(a)) is amended--
(1) by redesignating paragraph (4) as paragraph (5); and
(2) by inserting after paragraph (3) the following:
``(4) Complementary framework.--
``(A) In general.--In addition to a report 
describing the economic rate of return of the Compact 
as required under paragraph (3)(A), the Corporation 
shall develop and include in the report a complementary 
framework to assess benefits accruing to the United 
States under the Compact.
``(B) Matters to be included.--Such complementary 
framework may include--
``(i) diversification and resilience of 
critical supply chains and inputs to United 
States productive activities;
``(ii) increased participation of United 
States companies and investors;
``(iii) actions to reduce recipient country 
exposure to strategic competitors;
``(iv) export of goods and services from 
the United States; and
``(v) strengthened diplomatic and economic 
partnerships.''.
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