What most people refer to as “propaganda material”, the amendment refers to as “public diplomacy information.”

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— Teresa (@Teresa06456632) February 12, 2022

2012 HR4310 repeals Smith-Mundt Act of 1948?

Let's check this out.  

From the Investment Watch Blog

the Bill essentially neutralized two previous acts—the Smith-Mundt Act of 1948 and Foreign Relations Authorization Act in 1987—that had been passed to protect U.S. audiences from their  own government’s misinformation campaigns.

What most people refer to as “propaganda material”, the amendment refers to as “public diplomacy information.” The text of the amendment to Bill H.R. 4310 was difficult to track down, but here it is  with the  change that concerns so many:

AMENDMENT NO. 114 OFFERED BY MR. THORNBERRY OF TEXAS

At the end of title X, add the following new section:
SEC. 10__. DISSEMINATION ABROAD OF INFORMATION ABOUT THE UNITED STATES.
(a) United States Information and Educational Exchange Act of 1948.–Section 501 of the United States Information and Educational Exchange Act of 1948 (22 U.S.C. 1461) is amended to read as follows:

“GENERAL AUTHORIZATION

“Sec. 501. (a) The Secretary and the Broadcasting Board of Governors are authorized to use funds appropriated or otherwise made available for public diplomacy information programs to provide for the preparation, dissemination, and use of information intended for foreign audiences abroad about the United States, its people, and its policies, through press, publications, radio, motion pictures, the Internet, and other information media, including social media, and through information centers, instructors, and other direct or indirect means of communication.

“(b)(1) Except as provided in paragraph (2), the Secretary and the Broadcasting Board of Governors may, upon request and reimbursement of the reasonable costs incurred in fulfilling such a request, make available, in the United States, motion pictures, films, video, audio, and other materials prepared for dissemination abroad or disseminated abroad pursuant to this Act, the United States International Broadcasting Act of 1994 (22 U.S.C. 6201 et seq.), the Radio Broadcasting to Cuba Act (22 U.S.C. 1465 et seq.), or the Television Broadcasting to Cuba Act (22 U.S.C. 1465aa et seq.). The Secretary and the Broadcasting Board of Governors shall issue necessary regulations–

“(A) to establish procedures to maintain such material;
“(B) for reimbursement of the reasonable costs incurred in fulfilling requests for such material; and
“(C) to ensure that the persons seeking release of such material have secured and paid for necessary United States rights and licenses.

“(2) With respect to material prepared for dissemination abroad or disseminated abroad before the effective date of the Smith-Mundt Modernization Act of 2012–
“(A) the Secretary and the Broadcasting Board of Governors shall make available to the Archivist of the United States, for domestic distribution, motion pictures, films, videotapes, and other material 12 years after the initial dissemination of the material abroad; and

“(B) the Archivist shall be the official custodian of the material and shall issue necessary regulations to ensure that persons seeking its release in the United States have secured and paid for necessary United States rights and licenses and that all costs associated with the provision of the material by the Archivist shall be paid by the persons seeking its release, in accordance with paragraph (3).

“(3) The Archivist may charge fees to recover the costs described in paragraph (2), in accordance with section 2116 (c) of title 44. Such fees shall be paid into, administered, and expended as part of the National Archives Trust Fund.

“(c) Nothing in this section may be construed to require the Secretary or the Broadcasting Board of Governors to make material disseminated abroad available in any format other than in the format disseminated abroad.”.

(b) Rule of Construction.–Nothing in this section may be construed to affect the allocation of funds appropriated or otherwise made specifically available for public diplomacy.

(c) Foreign Relations Authorization Act, Fiscal Years 1986 and 1987.–Section 208 of the Foreign Relations Authorization Act, Fiscal Years 1986 and 1987 (22 U.S.C. 1461-1a) is amended to read as follows:
“SEC. 208. CLARIFICATION ON DOMESTIC DISTRIBUTION OF PROGRAM MATERIAL.
“(a) In General.–No funds authorized to be appropriated to the Department of State or the Broadcasting Board of Governors shall be used to influence public opinion in the United States. This section shall apply only to programs carried out pursuant to the United States Information and Educational Exchange Act of 1948 (22 U.S.C. 1431 et seq.), the United States International Broadcasting Act of 1994 (22 U.S.C. 6201 et seq.), the Radio Broadcasting to Cuba Act (22 U.S.C. 1465 et seq.), and the Television Broadcasting to Cuba Act (22 U.S.C. 1465aa et seq.). This section shall not prohibit or delay the Department of State or the Broadcasting Board of Governors from providing information about its operations, policies, programs, or program material, or making such available, to the media, public, or Congress, in accordance with other applicable law.