PASS Act of 2025
- Sponsor
- Rep. Stefanik, Elise M. [R-NY-21]
- Committees
- Energy and Commerce Committee (primary)
- Last action
- Oct 14, 2025
Bottom line
The bill expands CFIUS's authority and mandates prohibitions on certain foreign investments in U.S. agriculture, aiming to bolster national and food security against adversarial foreign influence.
What it actually does
This bill amends the Defense Production Act of 1950 to expand the jurisdiction of the Committee on Foreign Investment in the United States (CFIUS) to explicitly cover transactions involving agriculture and agriculture-related biotechnology. It adds the Secretary of Agriculture as a member of CFIUS and mandates the prohibition of certain transactions by "covered foreign persons" from "prohibited countries" in U.S. agricultural businesses or real estate used in agriculture, subject to a presidential waiver. Additionally, it requires the Secretary of Agriculture to report regularly on risks posed by foreign purchases in the agricultural sector.
Proponents argue
Proponents argue that this bill is crucial for national security, protecting the U.S. food supply chain and agricultural land from control by adversarial foreign governments. They emphasize the importance of preventing foreign entities from gaining undue influence over critical infrastructure, including food production, and safeguarding American farmers and consumers from potential threats to food security.
Opponents contend
Opponents might argue that such prohibitions could deter legitimate foreign investment, potentially harming the agricultural sector by limiting access to capital or market opportunities. Concerns could also be raised about the broad definition of "agriculture" and the potential for unintended consequences on international trade relations or the value of agricultural assets, as well as the risk of diplomatic tensions.
The bill is short and relatively straightforward to read, but its implications for national security, foreign investment, and the agricultural sector are significant and require careful consideration beyond a quick read.
Section 2(a)(2)
Adds Secretary of Agriculture to CFIUS
This provision formally adds the Secretary of Agriculture as a member of the Committee on Foreign Investment in the United States (CFIUS). This change ensures that agricultural expertise and concerns are directly represented in the committee's deliberations when reviewing foreign investments for national security implications, integrating food security into the national security review process.
Supporters argue
Supporters argue that including the Secretary of Agriculture is essential to ensure that the unique national security risks associated with foreign control of agricultural assets are adequately considered during investment reviews, providing critical sector-specific expertise.
Critics contend
No specific opposition is typically raised against adding relevant agency heads to interagency committees, as it is generally seen as a logical step to ensure comprehensive review and expertise.
Tradeoffs
This provision balances the need for comprehensive expertise within CFIUS with the potential for increased administrative complexity or slower review processes due to additional stakeholders.
Section 2(a)(1)(A)(ii)
Expands CFIUS Review to Agriculture and Related Biotechnology
This provision expands the types of transactions subject to CFIUS review to include investments by foreign persons in unaffiliated U.S. businesses engaged in agriculture or agriculture-related biotechnology. It also covers the purchase, lease, or concession of private U.S. real estate used in agriculture by foreign persons, significantly broadening CFIUS's oversight.
Section 2(a)(3)
Mandates Prohibition of Certain Agricultural Transactions by Covered Foreign Persons
This provision introduces a new requirement for the President to prohibit transactions involving "covered foreign persons" (defined as those acting on behalf of, directed by, or citizens/entities from "prohibited countries") that would result in control or investment in U.S. agricultural businesses or real estate used in agriculture. The "prohibited countries" are explicitly listed as China, Russia, Iran, and North Korea. A presidential waiver is possible on a case-by-case basis for national security interests, with a 30-day reporting requirement to Congress.
Section 2(b)
Requires USDA Report on Foreign Agricultural Purchase Risks
This provision mandates that the Secretary of Agriculture submit a report every 180 days to the House and Senate Agriculture Committees. The report must detail the risks that foreign purchases of U.S. agricultural businesses pose to the U.S. agricultural sector, providing ongoing intelligence and oversight to Congress.
Defines "agriculture" by referencing Section 3 of the Fair Labor Standards Act of 1938 (29 U.S.C. 203), which includes farming in all its branches, cultivation and tillage of the soil, dairying, production, cultivation, growing, and harvesting of any agricultural or horticultural commodities, and raising of livestock, bees, fur-bearing animals, or poultry.
Section 2(a)(1)(B)
Why it matters:This is standard legislative practice to avoid reprinting lengthy definitions and ensure consistency with existing federal law. However, for a casual reader, it can obscure the full breadth of the bill's impact without consulting the referenced statute.
Case for: Proponents argue that using an existing, well-established definition ensures consistency and broad coverage, preventing loopholes that could be exploited by foreign adversaries seeking to acquire diverse agricultural assets.
Case against: Critics might argue that the FLSA definition of agriculture is extremely broad for national security purposes, potentially sweeping in activities or assets that do not pose a direct threat and thereby over-regulating foreign investment in a wide range of agricultural enterprises.
Estimated impact: Significantly expands the scope of CFIUS review to a vast array of agricultural activities and related land use, from traditional farming to specialized animal husbandry and horticultural production.