[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 402 Introduced in Senate (IS)]







107th CONGRESS
  1st Session
                                 S. 402

 To make an exception to the United States embargo on trade with Cuba 
    for the export of agricultural commodities, medicines, medical 
  supplies, medical instruments, or medical equipment, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           February 27, 2001

Mr. Baucus (for himself, Mr. Roberts, and Mrs. Lincoln) introduced the 
 following bill, which was read twice and referred to the Committee on 
                                Finance

_______________________________________________________________________

                                 A BILL


 
 To make an exception to the United States embargo on trade with Cuba 
    for the export of agricultural commodities, medicines, medical 
  supplies, medical instruments, or medical equipment, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Cuban Humanitarian Trade Act of 
2001''.

SEC. 2. AMENDMENT TO EMBARGO AUTHORITY IN THE FOREIGN ASSISTANCE ACT OF 
              1961.

    Section 620(a)(1) of the Foreign Assistance Act of 1961 (22 U.S.C. 
2370(a)(1)) is amended by inserting striking the period at the end of 
the second sentence and inserting the following: ``, except that any 
such embargo shall not apply with respect to the export of any 
agricultural commodity, medicines, medical supplies, medical 
instruments, or medical equipment, or with respect to travel incident 
to the delivery of agricultural commodities, medicines, medical 
supplies, medical instruments, or medical equipment. As used in this 
paragraph, the terms `agricultural commodity' and `medicine' have the 
meanings given those terms in section 9 of the Cuban Humanitarian Trade 
Act of 2001.''.

SEC. 3. LIMITATION ON EXISTING RESTRICTIONS ON TRADE WITH CUBA.

    Upon the enactment of this Act, any regulation, proclamation, or 
provision of law, including Presidential Proclamation 3447 of February 
3, 1962, the Export Administration Regulations (15 C.F.R. 730 and 
following), and the Cuban Assets Control Regulations (31 C.F.R. 515), 
that prohibits exports to Cuba or transactions involving exports to 
Cuba and that is in effect on the date of the enactment of this Act, 
shall not apply with respect to the export to Cuba of agricultural 
commodities, medicines, medical supplies, medical instruments, or 
medical equipment, or with respect to travel incident to the delivery 
of agricultural commodities, medicines, medical supplies, medical 
instruments, or medical equipment.

SEC. 4. LIMITATION ON THE FUTURE EXERCISE OF AUTHORITY.

    After the enactment of this Act, the President may not restrict the 
exportation to Cuba of agricultural commodities, medicines, medical 
supplies, medical instruments, or medical equipment--
            (1) under the Export Administration Act of 1979, except to 
        the extent such restrictions would be permitted under section 5 
        of that Act for goods containing parts or components on which 
        export controls are in effect under that section; or
            (2) under section 203 of the International Emergency 
        Economic Powers Act, except to the extent the authorities under 
        that section are exercised to restrict the export of medical 
        instruments or medical equipment to deal with a threat to the 
        national security of the United States by virtue of the 
        technology incorporated in such instruments or equipment.

SEC. 5. OTHER PROVISIONS OF LAW; CONFORMING AMENDMENTS.

    (a) Trade Sanctions Reform and Export Enhancement Act of 2000.--
            (1) Inapplicability.--The Trade Sanctions Reform and Export 
        Enhancement Act of 2000 (title IX of H.R. 5426, as enacted into 
        law by section 1(a) of Public Law 106-387, and as contained in 
        the appendix of such Public Law) shall not apply with respect 
        to exports to Cuba of agricultural commodities, medicines, 
        medical supplies, medical instruments, or medical equipment.
            (2) Conforming amendments.--The Trade Sanctions Reform and 
        Export Enhancement Act of 2000 is amended--
                    (A) in section 906(a)(1)--
                            (i) by striking ``to Cuba or''; and
                            (ii) by inserting ``(other than Cuba)'' 
                        after ``to the government of a country'';
                    (B) in section 908--
                            (i) by striking subsection (b);
                            (ii) in subsection (a)--
                                    (I) by striking ``Prohibition'' and 
                                all that follows through ``(1) In 
                                general.--'' and inserting ``In 
                                general.--'';
                                    (II) by striking ``for exports to 
                                Cuba or'';
                                    (III) by striking paragraph (2); 
                                and
                                    (IV) by redesignating paragraph (3) 
                                as subsection (b) (and conforming the 
                                margin accordingly); and
                            (iii) in subsection (b) (as redesignated), 
                        by striking ``paragraph (1)'' and inserting 
                        ``subsection (a)'';
                    (C) by striking section 910; and
                    (D) by redesignating section 911 as section 910.
    (b) Sanctions Under Cuban Democracy Act of 1992.--
            (1) Inapplicability.--Section 1706(b) of the Cuban 
        Democracy Act of 1992 (22 U.S.C. 6005(b); prohibiting certain 
        vessels from entering United States ports) shall not apply with 
        respect to vessels that transport agricultural commodities, 
        medicines, medical supplies, medical instruments, or medical 
        equipment to Cuba, or that transport persons whose travel is 
        incident to the delivery of agricultural commodities, 
        medicines, medical supplies, medical instruments, or medical 
        equipment to Cuba.
            (2) Conforming amendments.--(A) Section 1705 of the Cuban 
        Democracy Act of 1992 (22 U.S.C. 6004) is amended--
                    (i) in subsection (b)--
                            (I) in the subsection caption by striking 
                        ``, Donations'' and inserting ``, Exports''; 
                        and
                            (II) by striking ``donations of food to 
                        nongovernmental organizations or individuals in 
                        Cuba'' and inserting ``exports of agricultural 
                        commodities to Cuba'';
                    (ii) by amending subsection (c) to read as follows:
    ``(c) Exports of Medicines and Medical Supplies to Cuba.--Exports 
of medicines, medical supplies, medical instruments, or medical 
equipment to Cuba shall not be restricted--
            ``(1) except to the extent such restrictions would be 
        permitted--
                    ``(A) under section 5 of the Export Administration 
                Act of 1979 for goods containing parts or components on 
                which export controls are in effect under that section; 
                or
                    ``(B) under clause (A), (B), or (C) of section 
                203(b)(2) of the International Emergency Economic 
                Powers Act;
            ``(2) except in a case in which there is a reasonable 
        likelihood that the item to be exported will be used for 
        purposes of torture or other human rights abuses;
            ``(3) except in a case in which there is a reasonable 
        likelihood that the item to be exported will be reexported; and
            ``(4) except in a case in which the item to be exported 
        could be used in the production of any bio-technological 
        product.
Before imposing restrictions under this subsection, the President shall 
submit to the Congress a report describing the restrictions to be 
imposed and the reasons for the restrictions.''; and
                    (iii) by striking subsection (d) and redesignating 
                subsections (e), (f), and (g) as subsections (d), (e), 
                and (f), respectively.
            (B) Section 1704(b)(2)(C)(i) of the Cuban Democracy Act of 
        1992 (22 U.S.C. 6003(b)(2)(C)(i)) is amended to read as 
        follows:
                            ``(i) exports of agricultural commodities 
                        to Cuba; or''.
            (C) Section 1704 of the Cuban Democracy Act of 1992 (22 
        U.S.C. 6003) is amended by adding at the end the following:
    ``(c) Definitions.--As used in this section and section 1705, the 
terms `agricultural commodity' and `medicine' have the meanings given 
those terms in section 9 of the Cuban Humanitarian Trade Act of 2001.''

SEC. 6. APPLICATION OF DENIAL OF FOREIGN TAX CREDIT WITH RESPECT TO 
              CUBA.

    Subparagraph (A) of section 901(j)(2) of the Internal Revenue Code 
of 1986 (relating to denial of foreign tax credit, etc., with respect 
to certain foreign countries) is amended by adding at the end thereof 
the following new flush sentence:
                ``Notwithstanding the preceding sentence, this 
                subsection shall not apply to Cuba with respect to 
                income, war profits, or excess profits taxes paid to 
                Cuba that are attributable to activities with respect 
                to articles permitted to be exported to Cuba, or travel 
                incident thereto that is permitted, by virtue of the 
                enactment of the Cuban Humanitarian Trade Act of 2001. 
                The preceding sentence shall apply after the date which 
                is 60 days after the date of the enactment of this 
                sentence.''

SEC. 7. PROHIBITION ON LIMITING ANNUAL REMITTANCES.

    (a) In General.--Except as provided in subsection (b), the 
Secretary of the Treasury may not limit the amount of remittances to 
Cuba that may be made by any person who is subject to the jurisdiction 
of the United States, and the Secretary shall rescind all regulations 
in effect on the date of enactment of this Act that so limit the amount 
of those remittances.
    (b) Statutory Construction.--Nothing in subsection (a) may be 
construed to prohibit the prosecution or conviction of any person 
committing an offense described in section 1956 of title 18, United 
States Code (relating to the laundering of monetary instruments) or 
section 1957 of such title (relating to engaging in monetary 
transactions in property derived from specific unlawful activity).

SEC. 8. INAPPLICABILITY OF OTHER RESTRICTIONS.

    This Act and the amendments made by this Act apply notwithstanding 
section 102(h) of the Cuban Liberty and Democratic Solidarity 
(LIBERTAD) Act of 1996 (22 U.S.C. 6032(h)).

SEC. 9. REPORT TO CONGRESS.

    Not later than 6 months after the date of the enactment of this 
Act, the President shall transmit to the Congress a report that sets 
forth--
            (1) the extent (expressed in volume and dollar amounts) of 
        sales to Cuba of agricultural commodities, medicines, medical 
        supplies, medical instruments, and medical equipment, since the 
        enactment of this Act;
            (2) a description of the types and end users of the goods 
        so exported; and
            (3) whether there has been any indication that any 
        medicines, medical supplies, medical instruments, or medical 
        equipment exported to Cuba since the enactment of this Act--
                    (A) have been used for purposes of torture or other 
                human rights abuses;
                    (B) were reexported; or
                    (C) were used in the production of any bio-
                technological product.

SEC. 10. DEFINITIONS.

    In this Act:
            (1) Agricultural commodity.--The term ``agricultural 
        commodity''--
                    (A) has the meaning given the term in section 102 
                of the Agricultural Trade Act of 1978 (7 U.S.C. 5602); 
                and
                    (B) includes fertilizer.
            (2) Medicine.--The term ``medicine'' has the meaning given 
        the term ``drug'' in section 201 of the Federal Food, Drug, and 
        Cosmetic Act (21 U.S.C. 7321).
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