To establish a defense industrial base advanced capabilities pilot program.

HR 3147 establishes a 5-year pilot program to strengthen the U.S. defense industrial base by creating public-private partnerships. It directs the Under Secretary of Defense to partner with eligible private equity firms (requiring no foreign ownership or influence) to invest equity in domestic small defense businesses or "nontraditional" defense companies. The program provides government loan guarantees (up to 80% of investments) to accelerate production of advanced defense capabilities, with strict criteria for partner eligibility and mandatory progress reports to Congress after 27 months and 5 years. This directly affects small defense manufacturers and private investors meeting the program's security and ownership requirements.