Number:        116-29   
Date:             January 13, 2021

President Signs S. 1869, the
“Secure Federal LEASEs Act of 2020”

On December 31, 2020, the President signed S.1869, the "Secure Federal Leases from Espionage and Suspicious Entanglements Act" or the Secure Federal LEASEs Act of 2020, which became Public Law 116-276. The bill previously passed the Senate on December 8, by unanimous consent, and the House on November 17, under suspension of the rules. This law, among other things, provides that Federal lessees1 must require covered entities2 to identify and disclose whether a foreign source owns certain leased spaces.

S. 1869 includes the following provisions of interest to SSA:

Section. 3. Disclosure of Ownership of High-Security Space Leased for Federal Agencies.

  • Requires Federal lessees for high-security leased space3 to require covered entities to identify and disclose whether the owner of the leased space, including an entity involved in the financing thereof, is a foreign person or a foreign entity, including the country associated with the ownership entity, before entering into a lease agreement. Covered entities must provide Federal lessees such information—

    • when first submitting proposal lease agreements in response to a solicitation for offers issued by the lessee; and
    • annually, beginning on the date that is one year after the date on which the Federal tenant began occupancy. Annual updates must include the list of immediate or highest level owners of the covered entity during the preceding one-year period of occupancy.

  • Requires the Federal lessee to notify the Federal tenant in writing if such a disclosure of foreign ownership is made and consult with the tenant regarding any security concerns prior to awarding a new lease agreement.

Section. 5. Other Security Agreements for Leased Space.

  • Requires that lease agreements for high-security leased space between a Federal lessee and covered entity must provide that:

    • the covered entity and any member of the property management company responsible for oversight and maintenance of the space may not maintain access to the space, or access the space without prior approval from the Federal tenant;
    • the Federal tenant will only grant the covered entity access to such space if it determines that access is consistent with its mission and responsibilities; and
    • the Federal lessee will have written procedures in place, signed by the Federal lessee and the covered entity, governing access to the space in case of emergencies that may damage the property.

Section. 6. Agency Notifications.

  • No later than 60 days after enactment, requires the Administrator of GSA, in consultation with the Office of Management and Budget to notify relevant Executive branch agencies with independent leasing authorities of the requirements of this Act.

Section. 7. Applicability.

  • Unless otherwise stated, the provisions in this Act would apply to any lease agreement entered into on or after 6 months after enactment.

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1 Federal agencies that lease space from a third party, based on independent statutory leasing authority. For SSA purposes, the “lessee” is the General Services Administration (GSA).
2 The third parties that lease space to Federal agencies. Defined as a person, corporation, business association, non-governmental entity, organization, group, society, trust, partnership, government entity or instrumentality.
3 A space leased by a Federal lessee that will be occupied by Federal employees for nonmilitary activities, and has a facility security level of III, IV, or V, as determined by the Federal tenant in consultation with the Interagency Security Committee, the Department of Homeland Security, and GSA.