Foreign adversary registration, transnational repression bill passed

A measure that establishes registration and reporting requirements for certain foreign entities in Nebraska was approved by lawmakers May 30.

LB644, introduced by Lincoln Sen. Eliot Bostar at the request of Gov. Jim Pillen, creates two new acts in state law: the Foreign Adversary and Terrorist Agent Registration Act and the Crush Transnational Repression in Nebraska Act.

Under the bill, agents of foreign principals from adversary nations or terrorist organizations are required to file a detailed registration statement with the Nebraska Attorney General’s Office, including the nature of all activities, agreements and financial transactions.

LB644 also regulates dissemination of informational material by registered agents, who are required to file copies with the attorney general within 48 hours of transmission. Agents must maintain detailed records of their activities for three years, open to inspection, with civil penalties of up to $50,000 per violation, per year.

State employees currently required to file financial interest statements will be required to deny foreign agent status under the measure, and businesses and nonprofits are required to indicate compliance with the act in filings with the Nebraska secretary of state.

The attorney general has authority to issue civil investigative demands of potential violations of the act and agents may face expulsion or dismissal from Nebraska postsecondary institutions if found to be in violation.

The bill also establishes the Crush Transnational Repression in Nebraska Act. Those provisions enhance penalties to the next higher classification for certain offenses — including assault, terroristic threats and stalking — if committed by an agent of a foreign principal with the intent to:
• coerce action on behalf of a foreign principal;
• force an individual to leave the U.S.;
• suppress protected conduct, such as free speech or the free exercise of religion; or
• retaliate for protected conduct.

The bill authorizes the Nebraska State Patrol to prepare a report on transnational repression threats and permits them to develop training for law enforcement on identifying and responding to transnational repression.

It also adds requirements for lobbyists and consultants working for Chinese military companies to acknowledge that they are acting as agents of a foreign adversary, with a civil penalty of $100,000 per violation for noncompliance. Informants whose information leads to a violation finding under this provision would be paid $50,000 from the Nebraska Accountability and Disclosure Cash Fund.

LB644 also prohibits research facilities from using genetic sequencers or software produced by foreign adversaries, their state-owned enterprises or businesses domiciled or affiliated with them.

Finally, the bill requires companies bidding on public contracts to certify that they are not “scrutinized companies” under federal law and do not subcontract with such companies or provide products originating from them. Exceptions are provided for certain electrical suppliers and when no other reasonable option exists.

Lawmakers passed LB644 on a 37-11 vote.