Further Continuing Appropriations and Disaster Relief Supplemental Appropriations Act 2025 (Title VIII "Prohibition and Notification on Investments Relating to Covered National Security Transactions")

• Authority: United States Congress
• Parent authority: Federal government
• Jurisdiction: United States
• Collections: U.S. federal laws
• Most recent activity: Defunct
• Most recent activity date: 2025-01-03

Risk subdomain coverage

Good coverage — Comprehensive governance measures or mitigations with clear procedures relating to the risk subdomain are explicitly described.

• AI system security vulnerabilities
• Disinformation, surveillance, and influence at scale
• Cyberattacks, weapon development or use
• Competitive dynamics
• Governance failure
• AI possessing dangerous capabilities

Minimal coverage — Brief mention but no specific mitigations, recommendations or governance measures relating to the risk subdomain are described.

• Compromise of privacy
• Fraud, scams, and targeted manipulation

All other risk subdomains had no coverage in this document.

Risk Coverage Summary

The document has good coverage of approximately 8-10 subdomains, with strong focus on malicious actors (4.1, 4.2, 4.3), AI system security (2.2), competitive dynamics (6.4), governance failure (6.5), and dangerous capabilities (7.2). Coverage is concentrated in national security, technology transfer prevention, and strategic competition domains.

Sector coverage

Good coverage — Comprehensive governance measures or mitigations with clear procedures relating to the sector are explicitly described.

• Information
• Finance & Insurance
• Scientific Research & Development Services
• National Security

Minimal coverage — Brief mention but no specific mitigations, recommendations or governance measures relating to the sector are described.

• Agriculture, Mining, Construction & Manufacturing
• Real Estate, Rental & Leasing
• Professional & Technical Services
• Public Administration (excl. National Security)

All other sectors had no coverage in this document.

Sectors Summary

This document primarily governs the Information sector (AI development, semiconductors, telecommunications) and Scientific Research and Development Services sector (quantum computing, AI research). It also has significant coverage of Finance and Insurance (investment transactions), Professional and Technical Services (technical consulting on covered technologies), and National Security (military AI applications, defense technologies). The governance applies across multiple sectors where U.S. persons might invest in or transact with covered foreign persons in prohibited technologies.

Legislative Status

Hard Law

Legislative Status Summary

This is a binding federal statute enacted by the United States Congress with explicit enforcement mechanisms including civil penalties up to $250,000 or twice the transaction value, divestment authority, and judicial relief provisions.

Actors

Proposer

• Entity Types: AI_Governance_Actor
• Entities: United States Congress
• Summary: This is Title VIII of the Further Continuing Appropriations and Disaster Relief Supplemental Appropriations Act 2025, enacted by the United States Congress as federal legislation.

Target

• Entity Types: AI_Developer, AI_Deployer, AI_Infrastructure_Provider
• Entities: United States persons engaging in transactions with covered foreign persons in countries of concern (specifically People's Republic of China, Hong Kong, Macau)
• Summary: The document explicitly targets United States persons (citizens, permanent residents, and U.S.-organized entities) who engage in covered national security transactions involving prohibited or notifiable technologies with covered foreign persons, particularly those connected to the People's Republic of China.

Enforcer

• Entity Types: AI_Governance_Actor
• Entities: Secretary of the Treasury; Secretary of Commerce; Attorney General of the United States; President of the United States
• Summary: The Secretary of the Treasury has primary enforcement authority including issuing regulations, imposing civil penalties, and compelling divestment. The Attorney General can seek judicial relief at the President's direction.

Monitor

• Entity Types: AI_Governance_Actor
• Entities: Secretary of the Treasury; Secretary of Commerce; appropriate congressional committees (Committee on Financial Services, Committee on Foreign Affairs, Committee on Banking, Housing, and Urban Affairs)
• Summary: The Secretary of the Treasury, in coordination with the Secretary of Commerce, monitors compliance through notification review processes and establishes processes to identify non-notified transactions. Congressional committees receive annual reports and testimony on implementation.

AI Lifecycle Stages

Lifecycle stages covered by the documents, as defined in the OECD Framework for the Classification of AI Systems

• Plan and Design
• Build and Use Model
• Deploy
• Operate and Monitor

AI Lifecycle Summary

The document covers multiple AI lifecycle stages with primary focus on Build and Use Model (through compute thresholds and model specifications), Deploy (through transaction prohibitions at deployment), and Operate and Monitor (through notification requirements and ongoing oversight). It addresses AI systems across their development and deployment lifecycle in the context of national security transactions.

Technical Scope

Terms relating to technical scope that are mentioned or implicitly referenced in the document

• AI Models
• AI Systems
• Compute Threshold

Technical Scope Summary

The document explicitly covers AI models and AI systems with specific compute thresholds (10^23 and 10^25 FLOPs). It does not use the terms 'frontier AI', 'general purpose AI', 'task-specific AI', 'foundation models', 'generative AI', or 'predictive AI' explicitly, though it describes AI systems with military, surveillance, and dual-use applications. It does not explicitly mention open-weight or open-source models.