S.Amdt. 6448

The DETERRENT Act (Defending Education Transparency and Ending Rogue Regimes Engaging in Nefarious Transactions Act) is an amendment to the Higher Education Act of 1965. Its purpose is to increase transparency and oversight regarding foreign financial influence and contracts within higher education institutions.

The amendment aims to add and change the following:

• Foreign Gift and Contract Disclosures: It requires institutions to report gifts or contracts from foreign sources. There are stricter rules for "foreign countries of concern" or "foreign entities of concern," including reporting regardless of the value of the gift.

• Public Database: It mandates the creation of a searchable, public website where these disclosure reports are available for the public to identify and compare.

• Contract Prohibitions: It generally prohibits institutions from entering into contracts with foreign countries or entities of concern, unless they receive a 1-year waiver from the Secretary of Education.

• Faculty and Staff Policies: Certain institutions (based on their federal research funding or title VI status) must maintain policies requiring "covered individuals" to disclose foreign gifts and contracts. They must also have plans to manage espionage risks.

• Enforcement and Penalties: It establishes an investigation process and civil actions to compel compliance. Institutions that fail to comply face fines based on the value of the gift/contract or a percentage of the federal funds they receive.

• Severe Penalties: Institutions that are repeatedly sued and compelled to comply, and are prohibited from getting waivers, can be made ineligible for federal program participation for at least two fiscal years.

• Interagency Sharing: It requires the Department of Education to share unredacted reports with various federal agencies, such as the FBI, CIA, and the Department of Defense.