Overview

Title

To establish a Supply Chain Fraud and Theft Task Force.

ELI5 AI

The bill is like setting up a special team of grown-ups to stop bad guys from stealing things or tricking people in the places where we get our stuff, like stores or delivery trucks. They will have a big pot of money, like treasure, to help them do their job for several years.

Summary AI

H.R. 8834, titled the "Safeguarding Our Supply Chains Act," aims to combat supply chain fraud and theft in the United States. It directs the Secretary of Homeland Security to establish a Supply Chain Crime Coordination Center to collect and analyze data on these crimes. The bill also calls for the creation of a Supply Chain Fraud and Theft Task Force, made up of personnel from various federal and local law enforcement agencies, to collaborate on efforts to detect and counter organized crime in the supply chain. The legislation authorizes a total of $100 million for these efforts from fiscal years 2025 to 2029.

Published

2024-06-25
Congress: 118
Session: 2
Chamber: HOUSE
Status: Introduced in House
Date: 2024-06-25
Package ID: BILLS-118hr8834ih

Bill Statistics

Size

Sections:
3
Words:
1,186
Pages:
6
Sentences:
20

Language

Nouns: 399
Verbs: 94
Adjectives: 66
Adverbs: 7
Numbers: 44
Entities: 87

Complexity

Average Token Length:
4.49
Average Sentence Length:
59.30
Token Entropy:
4.96
Readability (ARI):
32.68

AnalysisAI

Overview of the Bill

The proposed legislation, titled the "Safeguarding Our Supply Chains Act," seeks to address the growing concerns of fraud and theft within the United States' supply chains. Introduced in the House of Representatives as Bill H.R. 8834, the Act mandates the creation of two key components: a Supply Chain Crime Coordination Center and a Supply Chain Fraud and Theft Task Force. The Coordination Center aims to gather and analyze data related to supply chain crimes, while the Task Force is designed to collaborate with various law enforcement agencies to tackle fraud and theft across different transportation and retail sectors. The bill emphasizes collaboration among federal, state, local, tribal, and foreign entities to ensure comprehensive protection and enforcement.

Significant Issues

One of the major discussions surrounding the bill is the substantial financial investment it demands. The authorization for an expenditure of $100 million over five fiscal years raises questions about budget allocation and the need for clear justification and accountability mechanisms to prevent potential wasteful spending. Furthermore, while the bill outlines its objectives, there is a notable absence of specific criteria or metrics to measure the success or efficacy of the initiatives it launches. This lack of clarity might impede the ability to determine the true impact of the Task Force and the Coordination Center on mitigating supply chain crimes.

Moreover, the involvement of multiple consultation bodies, spanning diverse federal, state, local, tribal, and international law enforcement agencies and the private sector, presents considerable coordination challenges. Such a broad collaboration mandate requires a finely-tuned strategy to ensure communication is effective and objectives are met without unnecessary delays or inefficiencies.

Impact on the Public

For the general public, this bill stands to strengthen national security and potentially lead to economic benefits by reducing the prevalence of organized crime within supply chains. This could translate into lower costs for goods and services, as companies experience fewer losses from theft and fraud-related disruptions. Improved supply chain integrity might also enhance consumer trust, knowing that the sources of their products are secure.

However, the bill's focus on data collection and analysis could raise concerns about privacy, especially if the details regarding how data protection is to be ensured are not clarified. Citizens might expect more information on how their data will be handled and what safeguards will be put in place to protect personal information from misuse.

Stakeholders' Perspectives

Businesses in the transportation and retail sectors could see a positive impact from the bill, as it aims to address organized crime that targets these industries. By curbing theft and fraud, companies might find an improved bottom line and increased competitiveness. The collaboration with law enforcement agencies and the private sector described in the bill could lead to a more resilient infrastructure.

On the other hand, smaller law enforcement agencies might face the burden of integrating into a large, complex framework, which could strain resources and require additional training and communication efforts. The introduction of foreign law enforcement agencies into the task force may lead to jurisdictional challenges and complicate the legal landscape, particularly regarding international cooperation.

Overall, while the bill extends promising protections and enhancements to the supply chain system, careful consideration of its execution, especially concerning financial accountability, collaboration challenges, and privacy concerns, will be crucial to its potential success.

Financial Assessment

The bill titled the "Safeguarding Our Supply Chains Act," as identified by its legislative number H.R. 8834, allocates significant financial resources to address supply chain fraud and theft in the United States. The financial provisions in the bill are centered around establishing essential infrastructure and support systems to combat these crimes effectively.

Summary of Financial Allocations

The bill authorizes $100 million to be appropriated over a five-year period, specifically from fiscal years 2025 through 2029. This funding is intended to support the establishment and operation of a Supply Chain Crime Coordination Center and a Supply Chain Fraud and Theft Task Force. These entities are designed to collect and analyze data related to supply chain crimes and coordinate among various law enforcement agencies to combat organized crime targeting supply chains.

Analysis of Financial Allocations

The allocation of $100 million reflects the bill’s recognition of supply chain fraud and theft as significant threats that require substantial resources to mitigate. However, given the large financial commitment, it is vital that the fund allocation be justified with robust oversight and accountability measures. Although the bill sets up the Task Force and Coordination Center, it does not explicitly outline how funds will be monitored or evaluated to ensure that they are spent efficiently and effectively. This gap raises concerns about potential wasteful spending.

Relation to Identified Issues

The issue of substantial funding and its justification is closely tied to several concerns raised in the bill analysis:

  1. Oversight and Accountability: The bill outlines financial commitments but lacks specific accountability structures to track or assess the effectiveness of spending. This deficiency could lead to inefficiency or misallocation of resources, thus undermining the act's objectives.

  2. Coordination Challenges: The bill emphasizes collaboration across various agencies and sectors. However, coordinating these diverse entities can be resource-intensive. Without clear guidelines, significant funds could be diverted into administrative overhead rather than direct action against supply chain crimes.

  3. Privacy and Data Security: While the bill emphasizes data collection and analysis, it does not address the mechanisms to secure sensitive information and protect privacy. Investments in data security protocols might be necessary, which need to be part of the financial planning and allocations but are not detailed in the bill.

  4. Deployment Criteria Ambiguities: The funding must account for the potential intricacies involved in determining the deployment of the Task Force. Without a well-defined process, there could be redundant spending in areas where existing initiatives might already be working, which could complicate financial management.

In summary, while the bill's financial commitment underscores the importance of combating supply chain fraud and theft, it would benefit from clear mechanisms to ensure that the significant investment leads to tangible results, prevents waste, and adheres to the stated goals.

Issues

  • The establishment of the Supply Chain Crime Coordination Center (Section 2) and Supply Chain Fraud and Theft Task Force (Section 3) requires substantial funding for operations, with $100,000,000 authorized for fiscal years 2025 through 2029 (Section 3(h)). It is crucial to ensure that this amount is justified, with mechanisms in place to prevent wasteful spending.

  • The text does not specify oversight measures, accountability structures, or specific metrics for evaluating the effectiveness of the Supply Chain Crime Coordination Center and the Task Force (Sections 2 and 3). This lack of clarity might lead to concerns over efficiency and effectiveness, particularly given the significant financial investment.

  • The broad consultation mandate involving various federal, state, local, tribal, and foreign law enforcement agencies and the private sector (Section 2(b) and Section 3(b)) could lead to coordination challenges and potential delays, undermining the objectives of the Act.

  • The criteria for identifying 'regions, modes of transportation, distribution networks, and retail stores' experiencing high volumes of organized crime are not well-defined (Section 2(a)(2)), which could result in inconsistencies in enforcement and the allocation of resources.

  • The involvement of foreign law enforcement agencies (Section 3(c)(11)) raises questions about jurisdictional authority, legal ramifications, and international cooperation, which could complicate the Task Force's operations.

  • Data collection and analysis (Section 2(a)(1)) are critical components of the Coordination Center's role, but the text lacks details on how data privacy concerns will be addressed, which is particularly important given the sensitivity of the information.

  • The deployment criteria for the Task Force (Section 3(d)) involve complex language and factors, such as whether a law enforcement initiative already exists in the area, that are not clearly outlined. This ambiguity could lead to overlaps or duplication of efforts in joint operations.

Sections

Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.

1. Short title Read Opens in new tab

Summary AI

The short title of this Act is the “Safeguarding Our Supply Chains Act.”

2. Supply Chain Crime Coordination Center Read Opens in new tab

Summary AI

The Supply Chain Crime Coordination Center will be established by the Secretary of Homeland Security through the Innovation Lab to gather and analyze data on supply chain crimes like fraud and theft. The center will also work alongside other federal, state, local, and international law enforcement agencies, as well as the private sector, to identify crime hotspots across the country and various transportation and retail systems.

3. Supply Chain Fraud and Theft Task Force Read Opens in new tab

Summary AI

In this section, a Supply Chain Fraud and Theft Task Force is established to combat fraud and theft in transportation systems and supply chains by promoting collaboration among various law enforcement agencies. The section outlines the Task Force's purposes, membership, duties, and operational guidelines, including deploying it strategically and reporting its effectiveness to Congress, with funding authorized for fiscal years 2025-2029.

Money References

  • (g) Report.—Not later than 180 days after the date on which the Task Force is established under this section, and annually thereafter for the following 5 years, the Secretary shall submit a report to Congress that describes the effectiveness of the Task Force in identifying and dismantling organized theft groups that profit from cargo theft, organized retail crime, fraud, other theft-related crimes that threaten the economy and security of the United States, as measured by crime statistics and data compiled by the Supply Chain Crime Coordination Center established under section 2. (h) Authorization of appropriations.—There is authorized to be appropriated to carry out this Act $100,000,000 for fiscal years 2025 through 2029.