text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Fix United States Government 
  Contracting Deficit with China Act''.
  
  SEC. 2. FINDINGS AND STATEMENT OF POLICY.
  
      (a) Findings.--Congress finds the following:
              (1) The purchase of government goods and services is an 
          important means through which the government fulfills its 
          constitutional duties to provide for the common defense and 
          promote the general welfare of the United States.
              (2) American taxpayers expect that government procurement 
          serves the interests of all Americans.
              (3) The United States and several of its trading partners 
          are signatories to the WTO Agreement on Government Procurement, 
          which holds that signatories agree to certain restraints with 
          regard to government procurement.
              (4) However, the People's Republic of China is not a 
          signatory to the Agreement on Government Procurement, and that, 
          accordingly, it is not a violation of that agreement for the 
          Congress to establish procurement policies as best suit the 
          American public interest with regard to Chinese goods.
              (5) China has structured its government procurement law to 
          favor its domestic goods, as noted in article 10 of such law.
              (6) China has also recently announced a plan to favor so-
          called ``indigenous innovation'' under which the Chinese 
          Government would expressly favor locally developed products and 
          technologies.
              (7) American companies have had little or no success in 
          accessing Chinese Government procurement contracts, while 
          Chinese companies have had great success in selling goods for 
          United States Government projects.
      (b) Statement of Policy.--Accordingly, it shall be the policy of 
  the United States to limit the total value of Chinese goods that may be 
  procured by the United States Government during a calendar year to not 
  more than the total value of United States goods procured by the 
  Chinese Government if any during the preceding calendar year.
  
  SEC. 3. CERTIFICATION; PROHIBITION AND LIMITATION ON UNITED STATES 
                PROCUREMENT OF CHINESE GOODS.
  
      (a) Certification.--Not later than March 1 of each year beginning 
  in 2012, the Secretary of Commerce shall submit to Congress a 
  certification in writing that contains the following:
              (1) A determination of whether or not the Chinese 
          Government has prohibited the procurement of United States 
          goods by the Chinese Government during the preceding calendar 
          year.
              (2) If the Chinese Government has not prohibited the 
          procurement of United States goods by the Chinese Government 
          during the preceding calendar year, an identification of the 
          total value of United States goods procured by the Chinese 
          Government during the preceding calendar year, as determined by 
          the International Trade Administration under section 4.
      (b) Prohibition.--If the Secretary determines and certifies to 
  Congress under subsection (a)(1) that the Chinese Government has 
  prohibited the procurement of United States goods by the Chinese 
  Government during the preceding calendar year, then--
              (1) the head of each executive agency may not award a 
          contract for the procurement of Chinese goods during the 
          succeeding calendar year; and
              (2) the Secretary of Transportation shall prohibit a State 
          or other entity from using funds made available from the 
          Highway Trust Fund or the Airport and Airway Trust Fund for the 
          award of a contract for the procurement of Chinese goods during 
          the succeeding calendar year.
      (c) Limitation.--
              (1) In general.--If the Secretary determines and certifies 
          to Congress under subsection (a)(1) that the Chinese Government 
          has not prohibited the procurement of United States goods by 
          the Chinese Government during the preceding calendar year, then 
          the total value of Chinese goods that may be procured by the 
          United States Government during the succeeding calendar year 
          may not exceed the total value of United States goods procured 
          by the Chinese Government during the preceding calendar year, 
          as identified under subsection (a)(2).
              (2) Rule of construction.--For purposes of determining the 
          total value of Chinese goods that may be procured by the United 
          States Government during a calendar year under paragraph (1), 
          the total value of Chinese goods procured by a State or other 
          entity using funds made available from the Highway Trust Fund 
          or the Airport and Airway Trust Fund during the preceding 
          calendar year shall be deemed to be Chinese goods procured by 
          the United States Government.
  
  SEC. 4. ITA PROGRAM AND NOTIFICATION.
  
      (a) Program.--The International Trade Administration shall 
  establish a program--
              (1) to identify the total value of United States goods 
          procured by the Chinese Government on an annual basis, as 
          required under section 3(a)(2), including an accounting of the 
          value of such procurement; and
              (2) to provide notification in accordance with subsection 
          (b).
      (b) Notification.--The International Trade Administration shall 
  publish notice in the Federal Register on or as soon as practicable 
  after the date on which the total value of Chinese goods procured by 
  the United States Government equals 50 percent, 75 percent, and 100 
  percent of the total value of United States goods procured by the 
  Chinese Government during the preceding calendar year for purposes of 
  complying with the limitation under section 3(c).
  
  SEC. 5. DEFINITIONS.
  
      In this Act:
              (1) Chinese good.--The term ``Chinese good'' means a good 
          that is the growth, product, or manufacture of the People's 
          Republic of China. A good shall be determined to be the 
          manufacture of the People's Republic of China for purposes of 
          this paragraph if the sum of--
                      (A) the cost or value of the materials produced in 
                  China, plus
                      (B) the direct costs of processing operations 
                  performed in China,
          is not less than 50 percent of the appraised value of such good 
          at the time it is entered.
              (2) Chinese government.--The term ``Chinese Government'' 
          means the central government of the People's Republic of China 
          and any other governmental entity, including--
                      (A) any agency or instrumentality of the Chinese 
                  Government;
                      (B) any entity that is owned or controlled, 
                  directly or indirectly, by the Chinese Government; and
                      (C) any Chinese provincial or local governmental 
                  entity.
              (3) Executive agency.--The term ``executive agency'' has 
          the meaning given the term in section 4 of the Office of 
          Federal Procurement Policy Act (41 U.S.C. 403).
              (4) Secretary.--The term ``Secretary'' means the Secretary 
          of Commerce.
              (5) United states good.--The term ``United States good'' 
          means a good that is the growth, product, or manufacture of the 
          United States. A good shall be determined to be the manufacture 
          of the United States for purposes of this paragraph if the sum 
          of--
                      (A) the cost or value of the materials produced in 
                  the United States, plus
                      (B) the direct costs of processing operations 
                  performed in the United States,
          is not less than 50 percent of the appraised value of such good 
          at the time it is entered.
target: Fix United States Government Contracting Deficit with China Act - Directs the Secretary of Commerce to certify annually to Congress: (1) a determination of whether the Chinese government has prohibited its procurement of U.S. goods during the preceding calendar year; and (2) the total value of U.S. goods procured by the Chinesse government during that year, if the Chinese government has not prohibited such procurement.
  
  Prohibits the head of each executive agency from awarding a contract for the procurement of Chinese goods during the succeeding calendar year if the Chinese government has prohibited procurement of U.S. goods during the preceding calendar year.
  
  Directs the Secretary of Transportation (DOT), in such an instance, to prohibit a state or other entity from using funds made available to it from the Highway Trust Fund or the Airport and Airway Trust Fund for the award of a contract for the procurement of Chinese goods during the succeeding calendar year.
  
  Limits the total value of Chinese goods that may be procured by the U.S. government during the succeeding calendar year to the total value of U.S. goods procured by the Chinese Government during the preceding calendar year, if in fact the Chinese government has not prohibited its procurement of U.S. goods during that preceding calendar year.
  
  Directs the International Trade Administration to establish a program to: (1) identify annually the total value of U.S. goods procured by the Chinese government; and (2) provide notice in the Federal Register on or as soon as practicable after the date on which the total value of Chinese goods procured by the U.S. government equals 50%, 75%, and 100% of the total value of U.S. goods procured by the Chinese government during the preceding calendar year, for purposes of compliance with the limitation required by this Act.
feat_title: To limit the total value of Chinese goods that may be procured by the United States Government during a calendar year to not more than the total value of United States goods procured by the Chinese Government if any during the preceding calendar year, and for other purposes.