Pax Silica Artificial Intelligence Assistance Project

The Pax Silica Artificial Intelligence Assistance Project is a Department of State initiative funded through the Pax Fund to establish a global trusted supply chain credentialing and provenance platform securing AI infrastructure across partner nations. This historic program aims to create a digital-physical corridor known as the Silicon Highway, integrating cryptographic cargo verification, AI-driven risk assessment, and pre-approved expedited processing to streamline logistics and combat insecure supply chains dominated by strategic competitors. The initiative launches with a pilot in Panama, with planned expansion to other Pax Silica signatory countries, deploying a unified verification framework that tracks origin, custody, and compliance of critical components from mineral extraction through semiconductor fabrication, logistics, and end-use deployment. The Department retains rights to all intangible property generated under the project, and all activities must align with U.S. federal regulations including 2 CFR Chapter 200, which governs administrative requirements, cost principles, and audit standards, as well as specific mandates on drug-free workplaces, trafficking in persons, national security, and domestic preference for U.S.-produced goods. Applicants must comply with stringent registration and certification requirements, including a current Unique Entity Identifier (UEI) through SAM.gov, adherence to 2 CFR 25 and 170 for entity identification and subaward reporting, and full compliance with 2 CFR 175 regarding trafficking in persons—particularly for projects exceeding $500,000 in foreign services, which require a certified compliance plan. Submissions must include standardized forms such as SF-424, SF-424A, SF-LLL (if applicable), a Summary Page, Key Personnel list, Monitoring and Evaluation Narrative and Plan, a Consolidated Project List in Excel, and a project-specific narrative using the prescribed template along with a detailed line-item budget and narrative, all in English and denominated in U.S. dollars. Evaluation prioritizes technical feasibility (25 points), organizational capacity (15 points), sustainability (10 points), and cost sharing of at least $25,000 (5 points), with awards subject to risk reviews evaluating financial stability, management systems, past performance, and audit history. Projects are expected to run for 24 months with a possible extension to 36 months, beginning October 1, 2026, and require quarterly progress reports and a final comprehensive report within 120 days of project end. Payments will be processed through the HHS Payment Management System, with financial reporting mandated via Form SF-42