S. 4521

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 4521 Introduced in Senate (IS)]

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119th CONGRESS
2d Session
S. 4521

To amend title 10, United States Code, to authorize cooperative 
partnerships for mineral extraction activities at Army organic 
industrial base facilities, and for other purposes.

_______________________________________________________________________

IN THE SENATE OF THE UNITED STATES

May 13, 2026

Mr. Cruz (for himself and Mr. Cornyn) introduced the following bill; 
which was read twice and referred to the Committee on Armed Services

_______________________________________________________________________

A BILL

To amend title 10, United States Code, to authorize cooperative 
partnerships for mineral extraction activities at Army organic 
industrial base facilities, and for other purposes.

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 ``Army Organic Industrial Base Mineral 
Partnerships Act of 2026''.

SEC. 2. COOPERATIVE PARTNERSHIPS BETWEEN THE ARMY AND INDUSTRY FOR 
MINERAL EXTRACTION ACTIVITIES AT ARMY ORGANIC INDUSTRIAL 
BASE FACILITIES.

Section 7544 of title 10, United States Code, is amended--
(1) in subsection (b), by adding at the end the following:
``(7) Mineral extraction operations and related support 
services carried out by a non-Army entity, including the 
recovery, processing, or handling of strategic or critical 
minerals, using land, facilities, infrastructure, waste 
streams, or byproducts under the control of the Army industrial 
facility.'';
(2) by redesignating subsections (i) and (j) as subsections 
(j) and (k), respectively;
(3) by inserting after subsection (h) the following:
``(i) Special Rules for Mineral Extraction.--
``(1) Environmental and other responsibilities.--Mineral 
extraction operations authorized under this section under a 
contract or cooperative arrangement with a non-Army entity 
shall be subject to--
``(A) all applicable Federal, State, and local 
environmental laws and regulations, including the 
National Environmental Policy Act of 1969 (42 U.S.C. 
4331 et seq.) and the Clean Air Act (42 U.S.C. 7401 et 
seq.); and
``(B) a requirement that the contract or 
cooperative arrangement--
``(i) provide that the non-Army entity 
shall be responsible, to the maximum extent 
permitted by law, for compliance with all 
applicable environmental laws and for any 
environmental mitigation, remediation, cleanup, 
response, natural resource damages, or other 
liability arising from or relating to such 
mineral extraction operations, including 
contamination discovered after the termination 
of the contract or cooperative arrangement and 
contamination migrating beyond the boundaries 
of the facility involved;
``(ii) require the non-Army entity to 
indemnify and hold harmless the United States 
for obligations described in clause (i) to the 
maximum extent permitted by law; and
``(iii) require the provision of adequate 
financial assurance, performance bonding, 
insurance, or other financial security 
mechanisms sufficient to protect the interests 
of the United States in the event of default, 
insolvency, or bankruptcy of the non-Army 
entity.
``(2) Consideration and compensation.--
``(A) In general.--A contract or cooperative 
arrangement entered into under this section with a non-
Army entity that includes mineral extraction operations 
shall provide for the receipt by the Army of 
consideration that the Secretary of the Army determines 
to be reasonable in value, taking into account the 
nature and quantity of minerals recovered, the use of 
land, facilities, infrastructure, waste streams, or 
byproducts of the Army, and the costs and risks assumed 
by the non-Army entity.
``(B) Forms of consideration.--Consideration under 
subparagraph (A) may include, as determined appropriate 
by the Secretary of the Army--
``(i) cash payments;
``(ii) in-kind consideration, including 
minerals, processed materials, equipment, 
infrastructure improvements, or services;
``(iii) provision of equipment, tooling, 
production capability enhancements, or other 
industrial process improvements, or other 
tangible industrial support that directly 
support the mission, sustainment, or 
modernization of the organic industrial base of 
the Army; or
``(iv) any combination of the consideration 
specified under clause (i) through (iii).
``(C) Use of funds.--Except as provided in 
subparagraph (E), and subject to applicable law, any 
cash amounts received by the Army under subparagraph 
(B)(i) may be retained and used, without further 
appropriation, for the operation, maintenance, 
modernization, environmental remediation, or mission 
support of Army industrial facilities.
``(D) Best interest determination.--The Secretary 
of the Army shall determine whether any consideration 
to be accepted under this paragraph is in the best 
interest of the Department of the Army and does not 
interfere with missions of the Army.
``(E) Army working capital fund facilities.--
``(i) In general.--In the case of an Army 
industrial facility for which operations are 
financed through the Army Working Capital Fund 
established under section 2208 of this title, 
any cash amounts received under subparagraph 
(B)(i) shall be credited to the Army Working 
Capital Fund, or to the appropriate working 
capital fund activity or subaccount, and shall 
be available for the purposes of such fund, 
consistent with such section 2208.
``(ii) Use of funds.--Notwithstanding 
subsections (k) and (o)(2)(A) of section 2208 
of this title, amounts credited to the Army 
Working Capital Fund under clause (i) may be 
used for capital investments, including 
military construction projects, directly 
supporting facilities of the organic industrial 
base of the Army.
``(F) No requirement for competitive sale.--The 
provision or receipt of minerals or other consideration 
under this paragraph shall not be subject to chapter 5 
of title 40 (relating to surplus property) if the 
Secretary determines that the contract or cooperative 
arrangement under this section is in the best interest 
of the Department of the Army.
``(3) Mineral leasing act for acquired lands.--The 
requirements of the Mineral Leasing Act for Acquired Lands (30 
U.S.C. 351 et seq.) shall not apply to mineral extraction 
operations authorized under this section.
``(4) Rules of construction.--Nothing in this section shall 
be construed--
``(A) to authorize an Army industrial facility, or 
any personnel of the Army, to directly engage in 
mineral extraction, drilling, or mining operations; or
``(B) to modify, supersede, or otherwise affect any 
existing contractual or administrative agreements 
between Federal agencies or between the United States 
and any non-governmental entity regarding subsurface 
rights.
``(5) Annual report.--Not later than one year after the 
date of the enactment of the Army Organic Industrial Base 
Mineral Partnerships Act of 2026, and annually thereafter, the 
Secretary of the Army shall submit to the Committees on Armed 
Services of the Senate and the House of Representatives a 
report that--
``(A) identifies the number of contracts or 
cooperative arrangements entered into under this 
section that include mineral extraction operations; and
``(B) describes, in general terms, the types of 
strategic or critical minerals covered by such 
contracts or arrangements.''; and
(4) in subsection (k), as redesignated by paragraph (2), by 
adding at the end the following:
``(6) The term `mineral extraction operations' means the 
removal, recovery, processing, or handling of minerals, and 
related support activities necessary to produce minerals from 
land, water, facilities, waste streams, or byproducts under the 
control of an Army industrial facility, including solid 
minerals, brines, and other naturally occurring mineral 
resources, and including associated infrastructure and 
environmental mitigation.
``(7) The term `strategic or critical mineral' has the 
meaning given the term `strategic and critical materials' in 
section 12 of the Strategic and Critical Materials Stock Piling 
Act (50 U.S.C. 98h-3) and includes rare earth elements, 
lithium, titanium, nickel, and other minerals determined by the 
Secretary of the Army to be essential to national defense, 
energy security, or advanced manufacturing.
``(8) The term `under the control of an Army industrial 
facility' means real property, facilities, infrastructure, 
waste streams, byproducts, or other resources that are under 
the administrative jurisdiction of the Secretary of the Army, 
including property assigned to a facility of the organic 
industrial base of the Army, and includes property subject to 
leases, licenses, permits, or other use agreements administered 
by the Secretary of the Army.''.
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