Limits intelligence funding to universities tied to certain Chinese entities

Creates a new Section 121A in the National Security Act that restricts intelligence-community funding to institutions of higher education that have relationships with specified Chinese-linked entities.

Defines "covered entity" to include Confucius Institutes, the Thousand Talents Program, Chinese universities of concern, and entities on the 1260H list.

Sets a broad definition of "relationship" covering contracts, agreements, in-kind donations, or gifts between an institution and a covered entity.

Allows the Director of National Intelligence to grant case-by-case, time-limited waivers if institutions show safeguards or if the relationship serves U.S. national security interests or poses no security risk.

Requires the DNI to provide outreach and technical assistance and to report to congressional intelligence committees starting 18 months after enactment and annually thereafter.