WASHINGTON, D.C. – Rep. Chris Smith (R-NJ), dean of the New Jersey Congressional Delegation, co-sponsored the National Defense Critical Infrastructure Protection Act of 2006 – legislation that was introduced today by US House Armed Services Committee Chairman Duncan Hunter (R-CA) and Rep. Jim Saxton (R-NJ). 

“This important legislation would block Dubai Ports (DP) World’s acquisition of P&O Worldwide, a $6.8 billon deal to sell control over the Ports of New Jersey, New York, Philadelphia, Baltimore, Miami, and New Orleans,” said Smith, a senior member of the House International Relations Committee.  “In addition, the legislation will protect domestic infrastructure critical to U.S. national security.” 

“The security of our infrastructure and the safety of our citizens must trump all other considerations,” Smith said. “Selling operational control of our ports to a foreign state-owned company could have major implications on our national security, and we cannot afford to take that risk.”

“The horrific events on 9/11 showed us that we can never underestimate the will of those who want to do America harm,” Smith said.  “The National Defense Critical Infrastructure Protection Act will make the terrorists’ evil agenda much more difficult to achieve.”

The National Defense Critical Infrastructure Protection Act would:

Protect Critical Infrastructure by:

ü      Creating citizenship requirements for companies that own or operate critical infrastructure by requiring that the corporations be majority-owned by American citizens. 

ü      Requiring that the management and/or the majority of the board of directors of corporations that operate critical infrastructure be US citizens and mandating that the Secretary of Defense approve the independent directors and the members of a government security committee of the board of directors.

ü      Requiring the Secretary of Defense to jointly coordinate with the Secretary of Homeland Security to prepare and maintain a national defense critical infrastructure list.

Reform the Committee on Foreign Investment in the United States (CFIUS) Process by: 

ü      Mandating that a forty-five day investigation occurs following transactions that could have an effect on national security. 

ü      Requiring that the potential impacts of the transaction on homeland security, control of critical infrastructure and secure access to strategic natural resources be considered and reviewed during the CFIUS process.

ü      Creating regulations that mandate written notification to the Administration of any merger, acquisition or takeover that may be subject to CFIUS review or investigation. 

Ensure Port Security by: 

ü      Mandating a one-hundred percent inspection of imported cargo. 

ü      Requiring that an officer or employee of Border and Transportation Security or another employee of the United States inspect all cargo coming into the United States.