H.R. 5248 — To ensure the alignment of economic and foreign policies, to position the Department of State to reflect that economic security is national security, and for other purposes.

This section establishes in the Department of State an Under Secretary for Economic Affairs, responsible to the Secretary for economic growth, commercial expansion, energy, technology policy and innovation, scientific research, commercial outer space affairs, critical minerals, water and the environment, protection of natural resources, sanctions policies, and related duties. The section specifies additional responsibilities for continuous observation and coordination of economic and business affairs in foreign policy—including preparing an annual strategic plan for U.S. private sector opportunities abroad; developing policies on trade, investment, energy exports, critical minerals, space governance, emerging technologies, natural resources, and the U.S. dollar's preeminence; promoting U.S. economic interests in the Biannual National Economic Security Strategy Report; participating in National Security Council and National Space Council meetings as directed; providing guidance to Department personnel; coordinating related activities; and representing the Department at interagency meetings—and provides that the individual serving as Under Secretary for Economic Growth, Energy, and the Environment prior to enactment becomes the first Under Secretary for Economic Affairs, with subsequent appointments requiring Senate advice and consent.

This section designates the Under Secretary of State for Economic Affairs to oversee and administer the International Technology Security and Innovation Fund within the Department of State and directs the Secretary of State to act through that Under Secretary in administering the fund.

This section directs the Under Secretary for Economic Affairs to administer funds for the International Technology Security and Innovation Fund (i.e., a State Department program to promote secure international technology supply chains and innovation). It further authorizes appropriations to the Under Secretary, from funds authorized to the Secretary of State under section 141, as necessary to fulfill those responsibilities for FY2026 and FY2027.

This section establishes in the Department of State a Chief Economist, responsible to the Under Secretary for Economic Affairs for analyzing and forecasting the impact of economic trends on diplomatic functions and national security priorities. The Chief Economist must also (1) provide research and analysis to inform the department's strategy for supply chain resilience, access to raw materials and critical minerals, and market access; (2) analyze geoeconomic issues and advise on economic diplomacy; (3) conduct data-driven research on economics-foreign policy intersections; (4) maintain analytical products on issues including sanctions evasion, economic coercion vulnerabilities, and U.S. business opportunities; (5) expand departmental economic expertise via collaborations; and (6) serve as a liaison to economic experts. Not later than one year after enactment, and biennially thereafter for four years, the Chief Economist must submit to Congress a report on the U.S. international economic strategy, coordinating input from relevant department bureaus.

This section establishes an Office of the Chief Economist to provide expert economic advice and analysis as prescribed by the Under Secretary for Economic Affairs, with the Chief Economist serving as its head.

This section authorizes, from funds appropriated to the Under Secretary for Economic Affairs under section 503, necessary funding for the Chief Economist to fulfill office functions and responsibilities for FY2026 and FY2027.

This section establishes in the Department of State an Assistant Secretary for Commercial Diplomacy, responsible to the Under Secretary for Economic Affairs for trade and investment promotion and policy, international finance and development, transportation affairs, and related duties. The Assistant Secretary leads Department policies and programs, and coordinates with other U.S. agencies as appropriate, on (1) trade and investment promotion (e.g., assisting U.S. businesses overseas, identifying market opportunities, attracting foreign investment, and promoting projects advancing U.S. national security); (2) international trade policy (e.g., negotiating trade agreements, resolving disputes, bolstering supply chains, and protecting intellectual property); (3) international investment policy (e.g., monitoring investment climates, negotiating agreements, and representing the Department on the Committee on Foreign Investment in the United States); (4) development finance (e.g., mobilizing private, bilateral, and multilateral finance for infrastructure in developing countries); (5) negotiating debt relief and sovereign loan guarantees for U.S. allies and partners; (6) promoting sound economic policies overseas; and (7) other designated duties. On enactment, the incumbent Assistant Secretary for Economic and Business Affairs assumes the position; subsequent appointments require Senate advice and consent.

This section establishes the Bureau of Commercial Diplomacy, headed by the Assistant Secretary for Commercial Diplomacy, to perform functions related to trade and investment promotion and policy, international finance and development, and transportation affairs, as prescribed by the Under Secretary for Economic Affairs.

This section establishes in the Department of State an Office of Subnational Diplomacy to work with subnational governments (states, counties, cities, municipalities) within the United States to attract foreign investment, counter foreign malign influence, and advance U.S. foreign policy priorities. The office is headed by a Coordinator for Subnational Diplomacy who reports through the Assistant Secretary for Commercial Diplomacy to the Under Secretary for Economic Affairs. The Coordinator's responsibilities include (1) advising the Under Secretary on subnational engagements and serving as the principal Department official on such matters; (2) coordinating Department support for local and municipal governments' foreign engagements; (3) advising subnational officials on risks from countries of concern and best practices against foreign interference; (4) assisting subnational governments in attracting international events and foreign direct investment, tracking investment trends, building staff capacity for foreign engagements, advancing sports diplomacy, cooperating on policy priorities, understanding foreign policy implications, and negotiating agreements with foreign governments; (5) supporting U.S. economic interests through such engagements in coordination with other agencies; (6) coordinating with associations of subnational leaders (e.g., U.S. Conference of Mayors, National Governors Association); and (7) performing other duties as designated.

This section directs that the Assistant Secretary for Commercial Diplomacy receive necessary funds, from those authorized to the Under Secretary for Economic Affairs under section 503, to fulfill bureau functions and the Assistant Secretary's responsibilities for FY2026 and FY2027.

This section establishes in the Department an Assistant Secretary for Water, Environment, and Space Affairs, responsible to the Under Secretary for Economic Affairs for space, oceans, polar affairs, environmental quality, freshwater, fisheries, wildlife and wildlife trafficking, conservation, and related duties as designated by the Secretary. The Assistant Secretary must also maintain observation and coordination on oceans, fisheries, natural resource conservation, and outer space in foreign policy, including the following: (1) developing U.S. policy on global environmental security issues such as oceans, fisheries, Antarctica, waste, pollution, and natural resource management; (2) representing the Department in bilateral and multilateral negotiations on law of the sea, maritime security, marine science, habitats, pollution, and boundaries; (3) leading engagement on Antarctica and international oceans agreements; (4) coordinating policies for ecosystems such as forests, wetlands, drylands, and coral reefs; (5) addressing threats including illicit trade, illegal fishing, wildlife trafficking, and illegal logging; (6) developing policies on transboundary pollution and hazardous waste; (7) representing the Department in related engagements and agreements; (8) supporting U.S. space partnerships with international and private entities to counter adversaries, expand markets, and provide assistance; (9) leading engagements on space activities, law, and diplomacy; (10) engaging Global Navigation Satellite Systems providers for compatibility with U.S. GPS; (11) implementing Earth observation cooperation; (12) engaging on space policy, law, and treaties; (13) maintaining the U.S. space object registry and promoting space safety practices; (14) aligning foreign space frameworks with U.S. models; and (15) other duties as designated. On the date of enactment, the individual serving as Assistant Secretary for Oceans and International Environmental and Scientific Affairs becomes the new Assistant Secretary, with subsequent appointments subject to Senate confirmation.

This section establishes the Bureau of Water, Environment, and Space Affairs to perform functions related to space, oceans, environmental quality, fisheries, wildlife, wildlife trafficking, and conservation affairs, as prescribed by the Under Secretary for Economic Affairs. The Assistant Secretary for Water, Environment, and Space Affairs heads the bureau.

This section directs that, of the funds authorized to the Under Secretary for Economic Affairs under section 503, the Assistant Secretary for Water, Environment, and Space Affairs receive the amounts necessary to fulfill bureau functions and the Assistant Secretary's responsibilities for FY2026 and FY2027.

This section establishes in the Department of State an Assistant Secretary for Energy Security and Diplomacy, responsible to the Under Secretary for Economic Affairs for formulating and implementing international energy, energy technology, critical minerals, and supply chain policies in foreign policy to protect U.S. energy security interests and coordinate energy programs abroad. The Assistant Secretary shall represent the Secretary in interagency policy development; lead analysis and implementation of policies advancing U.S. energy interests; manage bilateral and multilateral relations, including in the International Energy Agency; coordinate with specified federal agencies and Department bureaus (i.e., Commercial Diplomacy, Water/Environment/Space Affairs, and Arms Control/Nonproliferation); promote secure supply chains and resolve international energy disputes; support U.S. commercial interests abroad; and conduct public diplomacy on U.S. energy policy. Not later than one year after enactment, and annually thereafter for three years, the Assistant Secretary shall submit to Congress a report on the U.S. international energy strategy.

This section establishes a Bureau of Energy Security and Diplomacy, headed by the Assistant Secretary for Energy Security and Diplomacy, to perform functions related to the formulation and implementation of international energy, energy technology, critical minerals, and relevant supply chain policies, as prescribed by the Under Secretary for Economic Affairs.

This section authorizes the Assistant Secretary for Energy Security and Diplomacy to receive necessary funds from amounts authorized to be appropriated to the Under Secretary for Economic Affairs under section 503 for FY2026 and FY2027 to fulfill bureau functions and the Assistant Secretary’s responsibilities.

This section establishes in the Department of State an Assistant Secretary for Sanctions Policy, responsible to the Under Secretary for Economic Affairs for developing sanctions policies in consultation with specified officials and performing related duties designated by the Secretary. The Assistant Secretary must coordinate sanctions development and implementation as part of U.S. foreign policy—including strategies integrating sanctions with other tools, enforcement activities, ally coordination, stakeholder consultations on economic impacts, contributions to congressional reports, visa sanctions for human rights violators, and efforts against illicit finance—and represent the Department in interagency groups. The Secretary may delegate sanctions authority to the Assistant Secretary, and the individual serving as Coordinator for Sanctions becomes the first Assistant Secretary upon enactment, with subsequent appointments requiring Senate advice and consent.

This section establishes a Bureau of Sanctions Policy in the Department of the Treasury to develop policies governing the imposition of sanctions and sanctions strategies, as prescribed by the Under Secretary for Economic Affairs, and designates the Assistant Secretary for Sanctions Policy as head of the bureau.

This section authorizes the allocation of necessary funds, from those appropriated to the Under Secretary for Economic Affairs under section 503, to the Assistant Secretary for Sanctions Policy for bureau functions and responsibilities for FY2026 and FY2027.

This section deems references in any statute, reorganization plan, Executive order, regulation, agreement, or other official document to certain Department of State positions and offices to instead refer to their successor titles, as follows: (1) Under Secretary for Economic Growth, Energy and the Environment to Under Secretary for Economic Affairs; (2) Assistant Secretary for Economic and Business Affairs to Assistant Secretary for Commercial Diplomacy; (3) Bureau for Economic and Business Affairs to Bureau for Commercial Diplomacy; (4) Assistant Secretary for Oceans and International Environmental and Scientific Affairs to Assistant Secretary for Water, Environment, and Space Affairs; (5) Bureau for Oceans and International Environmental and Scientific Affairs to Bureau for Water, Environment, and Space Affairs; (6) Sanctions Coordinator to Assistant Secretary for Sanctions Policy; and (7) Office of the Sanctions Coordinator to Bureau of Sanctions Policy.

This section directs the Office of Law Revision Counsel to (1) classify the sections of this title using sections 129–159 of title 22, United States Code; and (2) maintain, under editorial notes, the legislative history of repealed law previously occupying the corresponding sections of U.S. Code.