[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2194 Reported in House (RH)]
Union Calendar No. 217
111th CONGRESS
1st Session
H. R. 2194
[Report No. 111-342, Part I]
To amend the Iran Sanctions Act of 1996 to enhance United States
diplomatic efforts with respect to Iran by expanding economic sanctions
against Iran.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 30, 2009
Mr. Berman (for himself, Ms. Ros-Lehtinen, Mr. Ackerman, Mr. Burton of
Indiana, Mr. Sherman, Mr. Royce, Mr. Andrews, and Mr. Kirk) introduced
the following bill; which was referred to the Committee on Foreign
Affairs, and in addition to the Committees on Financial Services,
Oversight and Government Reform, and Ways and Means, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee
concerned
November 19, 2009
Reported from the Committee on Foreign Affairs with an amendment
[Strike out all after the enacting clause and insert the part printed
in italic]
November 19, 2009
Referral to the Committees on Financial Services, Oversight and
Government Reform, and Ways and Means extended for a period ending not
later than December 4, 2009
December 4, 2009
Committees on Financial Services and Oversight and Government Reform
discharged; referral to the Committee on Ways and Means extended for a
period ending not later than December 11, 2009
December 11, 2009
Additional sponsors: Mr. Klein of Florida, Ms. Harman, Mr. Wexler, Mr.
Engel, Ms. Wasserman Schultz, Mr. Hastings of Florida, Mr. McMahon, Mr.
Bilirakis, Mr. McHugh, Mr. Meek of Florida, Mr. McCotter, Mr. Gary G.
Miller of California, Mr. Hodes, Mr. Smith of New Jersey, Mr. Platts,
Mrs. Lowey, Mr. Rooney, Mr. Gene Green of Texas, Mr. LaTourette, Mr.
Marchant, Mr. Gerlach, Mr. Bishop of Utah, Mr. Souder, Mr. Paulsen, Mr.
Sullivan, Mr. Gordon of Tennessee, Mr. Tiberi, Mr. Culberson, Mr. King
of New York, Mr. Quigley, Mr. Baca, Mrs. Myrick, Mr. Poe of Texas, Mr.
Filner, Mr. Moran of Kansas, Mr. Buchanan, Ms. Foxx, Mrs. Miller of
Michigan, Mr. Lamborn, Mrs. Schmidt, Mr. LoBiondo, Ms. Fallin, Mr.
Sensenbrenner, Mr. Bachus, Mr. Dent, Mr. Cooper, Mr. Waxman, Mr.
Pallone, Mr. Garrett of New Jersey, Mr. Schiff, Mr. Scalise, Mr.
Grayson, Mr. Holden, Ms. Schwartz, Mr. Inglis, Mr. Mitchell, Mr. Blunt,
Mr. Gallegly, Mrs. Napolitano, Mr. Barrow, Mr. Jackson of Illinois, Mr.
Reichert, Mr. Mack, Mr. Kagen, Mr. Nadler of New York, Mr. Alexander,
Mr. Higgins, Mr. Cole, Ms. Bean, Mr. Sires, Mr. Adler of New Jersey,
Mr. Upton, Mr. Lance, Mr. Latta, Ms. Giffords, Mr. Rush, Mr. Connolly
of Virginia, Mr. Aderholt, Mr. DeFazio, Mr. Hare, Mr. Smith of
Nebraska, Mr. Luetkemeyer, Mr. Ryan of Wisconsin, Mr. Shuler, Mrs. Bono
Mack, Mr. Crowley, Mr. Ross, Ms. Berkley, Mr. Boren, Mr. Rothman of New
Jersey, Ms. Ginny Brown-Waite of Florida, Mr. Maffei, Mr. Daniel E.
Lungren of California, Mr. Roe of Tennessee, Mr. Melancon, Mr. McHenry,
Mr. Heinrich, Mr. Olson, Mr. Boozman, Mr. Cantor, Mrs. Kirkpatrick of
Arizona, Mr. Cohen, Mr. Van Hollen, Mr. Space, Mr. Guthrie, Mr. Lucas,
Mr. Lipinski, Mr. Michaud, Mr. Patrick J. Murphy of Pennsylvania, Mr.
Rogers of Alabama, Mr. Fleming, Mr. Neugebauer, Mr. Levin, Mr. Boswell,
Mr. Sam Johnson of Texas, Mr. Hill, Mr. Tiahrt, Mrs. McMorris Rodgers,
Mr. Cardoza, Mr. Costa, Ms. Eshoo, Mr. Carney, Mr. Perlmutter, Mr.
Wilson of South Carolina, Mr. Rehberg, Mr. Larson of Connecticut, Mr.
Griffith, Mr. Bishop of New York, Mr. Davis of Tennessee, Ms. Granger,
Mr. Carter, Mr. Roskam, Mr. Price of Georgia, Mr. Wilson of Ohio, Mr.
Davis of Alabama, Mr. Visclosky, Mr. Boyd, Mr. Cleaver, Mr.
Frelinghuysen, Mr. Himes, Mr. Tim Murphy of Pennsylvania, Mr. McNerney,
Mr. Latham, Mr. Lincoln Diaz-Balart of Florida, Mr. Rogers of Michigan,
Mr. Rodriguez, Mr. Arcuri, Mr. Kratovil, Mr. Shuster, Mr. Chaffetz, Mr.
Austria, Mr. Thompson of Pennsylvania, Mrs. McCarthy of New York, Mr.
Forbes, Mr. Brady of Pennsylvania, Mr. Coffman of Colorado, Mr. Young
of Alaska, Mr. Moore of Kansas, Mr. Boccieri, Mr. Deal of Georgia, Mr.
Brown of South Carolina, Mr. Putnam, Mr. Foster, Ms. Titus, Mr.
Shadegg, Mr. Smith of Washington, Mr. Walden, Mr. Graves, Mr. Peters,
Mr. Pitts, Mr. Broun of Georgia, Mr. Cassidy, Mr. Franks of Arizona,
Mr. Schauer, Mr. Bonner, Mr. Driehaus, Mr. Sessions, Mr. Stearns, Mrs.
Biggert, Ms. Matsui, Mr. Markey of Massachusetts, Mr. McKeon, Mr.
Wittman, Mr. Pence, Mr. Kildee, Mr. Massa, Mr. Miller of Florida, Mr.
Johnson of Illinois, Mr. Yarmuth, Mr. Wu, Mr. McClintock, Mr. King of
Iowa, Ms. Schakowsky, Mr. McCaul, Mr. Campbell, Mr. Donnelly of
Indiana, Mr. Fattah, Ms. Fudge, Mr. Hoyer, Mr. Johnson of Georgia, Mr.
Welch, Mr. McCarthy of California, Mr. Conaway, Mr. Hensarling, Ms.
Loretta Sanchez of California, Mr. Israel, Mr. Salazar, Mr. Mario Diaz-
Balart of Florida, Mr. Wolf, Mr. Simpson, Mr. Herger, Mr. Westmoreland,
Mr. Bilbray, Mrs. Maloney, Mrs. Halvorson, Mr. Hastings of Washington,
Mr. Coble, Mr. Carnahan, Mr. Polis of Colorado, Mr. Nunes, Mr.
Manzullo, Mr. Courtney, Mr. Posey, Mrs. Emerson, Ms. Jenkins, Mr. Brady
of Texas, Mr. Shimkus, Mr. Linder, Mr. Barrett of South Carolina, Ms.
Markey of Colorado, Ms. Kosmas, Mr. Miller of North Carolina, Mr.
Gohmert, Mr. Bishop of Georgia, Mr. Stupak, Mr. Cao, Mr. Langevin, Mr.
Farr, Mr. Altmire, Mr. Calvert, Mrs. Blackburn, Mr. Terry, Mr. Minnick,
Mr. Bartlett, Mr. Kline of Minnesota, Ms. Corrine Brown of Florida, Ms.
Sutton, Mr. Hoekstra, Ms. Linda T. Sanchez of California, Mr. Sarbanes,
Mr. Schock, Mr. Fortenberry, Mr. Hunter, Mr. Wamp, Mr. Honda, Mr. Issa,
Mr. Smith of Texas, Mr. Jordan of Ohio, Mrs. Capito, Mr. Kennedy, Mr.
Scott of Georgia, Mr. Rogers of Kentucky, Mr. Marshall, Mr. Al Green of
Texas, Mr. Buyer, Mr. Kingston, Mr. Young of Florida, Mr. Weiner, Mr.
Gingrey of Georgia, Mrs. Bachmann, Mr. Lee of New York, Ms. Slaughter,
Mr. Mica, Mr. Turner, Mr. Ryan of Ohio, Mr. Skelton, Mr. Hall of New
York, Mr. Larsen of Washington, Mr. Pascrell, Ms. DeLauro, Ms. DeGette,
Mr. Rohrabacher, Mr. Cummings, Mr. Crenshaw, Mr. Bright, Ms. Kilroy,
Mr. Chandler, Mr. Walz, Mr. Childers, Mr. Goodlatte, Mr. Gonzalez, Mr.
Capuano, Mr. Ellsworth, Ms. Chu, Mr. Costello, Mr. Murphy of
Connecticut, Mr. Doyle, Mr. Clay, Mr. Thompson of California, Mr.
Tonko, Mr. Davis of Illinois, Mr. Matheson, Mr. Murphy of New York, Mr.
Etheridge, Mr. Heller, Mr. Schrader, Ms. Castor of Florida, Mr. Castle,
Mr. Payne, Mr. Kissell, Ms. Roybal-Allard, Mr. Gutierrez, Mr. Harper,
Mrs. Davis of California, Mr. Nye, Ms. Tsongas, Mr. Teague, Mr.
Grijalva, Mr. Towns, Mr. Boustany, Mr. Lewis of Georgia, Mr.
Ruppersberger, Mr. Barton of Texas, Mr. Edwards of Texas, Mr. Tanner,
Ms. Jackson-Lee of Texas, Mr. Frank of Massachusetts, Mr. Boehner, Mr.
Radanovich, Mr. Lewis of California, Ms. Herseth Sandlin, Ms. Clarke,
Ms. Speier, Ms. Richardson, Mr. Spratt, and Mr. Holt
December 11, 2009
Committee on Ways and Means discharged; committed to the Committee of
the Whole House on the State of the Union and ordered to be printed
[For text of introduced bill, see copy of bill as introduced on April
30, 2009]
_______________________________________________________________________
A BILL
To amend the Iran Sanctions Act of 1996 to enhance United States
diplomatic efforts with respect to Iran by expanding economic sanctions
against Iran.
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Iran Refined Petroleum Sanctions Act
of 2009''.
SEC. 2. FINDINGS; SENSE OF CONGRESS; STATEMENT OF POLICY.
(a) Findings.--Congress finds the following:
(1) The illicit nuclear activities of the Government of
Iran--combined with its development of unconventional weapons
and ballistic missiles, and support for international
terrorism--represent a serious threat to the security of the
United States and U.S. allies in Europe, the Middle East, and
around the world.
(2) The United States and other responsible nations have a
vital interest in working together to prevent the Government of
Iran from acquiring a nuclear weapons capability.
(3) The International Atomic Energy Agency has repeatedly
called attention to Iran's unlawful nuclear activities, and, as
a result, the United Nations Security Council has adopted a
range of sanctions designed to encourage the Government of Iran
to suspend those activities and comply with its obligations
under the Treaty on the Non-Proliferation of Nuclear Weapons
(commonly known as the ``Nuclear Non-Proliferation Treaty'').
(4) As a presidential candidate, then-Senator Obama stated
that additional sanctions, especially those targeting Iran's
dependence on imported refined petroleum, may help to persuade
the Government of Iran to abandon its illicit nuclear
activities.
(5) On October 7, 2008, then-Senator Obama stated, ``Iran
right now imports gasoline, even though it's an oil producer,
because its oil infrastructure has broken down. If we can
prevent them from importing the gasoline that they need and the
refined petroleum products, that starts changing their cost-
benefit analysis. That starts putting the squeeze on them.''.
(6) On June 4, 2008, then-Senator Obama stated, ``We should
work with Europe, Japan, and the Gulf states to find every
avenue outside the U.N. to isolate the Iranian regime--from
cutting off loan guarantees and expanding financial sanctions,
to banning the export of refined petroleum to Iran.''.
(7) Major European allies, including the United Kingdom,
France, and Germany, have advocated that sanctions be
significantly toughened should international diplomatic efforts
fail to achieve verifiable suspension of Iran's uranium
enrichment program and an end to its nuclear weapons program
and other illicit nuclear activities.
(8) The serious and urgent nature of the threat from Iran
demands that the United States work together with U.S. allies
to do everything possible--diplomatically, politically, and
economically--to prevent Iran from acquiring a nuclear weapons
capability.
(9) The human rights situation in Iran has steadily
deteriorated in 2009, as punctuated by the transparent fraud
that occurred on June 12, the brutal repression and murder,
arbitrary arrests, and show trials of peaceful dissidents, and
ongoing suppression of freedom of expression.
(b) Sense of Congress.--It is the sense of the Congress that--
(1) international diplomatic efforts to address Iran's
illicit nuclear efforts, unconventional and ballistic missile
development programs, and support for international terrorism
are more likely to be effective if the President is empowered
with the explicit authority to impose additional sanctions on
the Government of Iran;
(2) the concerns of the United States regarding Iran are
strictly the result of the actions of the Government of Iran;
(3) the revelation in September 2009 that Iran is
developing a secret uranium enrichment site on an Islamic
Revolutionary Guard Corps base near Qom, which appears to have
no civilian application, highlights the urgency for Iran to
fully disclose the full nature of its nuclear program,
including any other secret locations, and provide the
International Atomic Energy Agency (IAEA) unfettered access to
its facilities pursuant to Iran's legal obligations under the
Treaty on the Non-Proliferation of Nuclear Weapons and Iran's
Safeguards Agreement with the IAEA;
(4) because of its involvement in Iran's nuclear program
and other destabilizing activities, the President should impose
sanctions, including the full range of sanctions otherwise
applicable to Iran, on any individual or entity that is an
agent, alias, front, instrumentality, representative, official,
or affiliate of the Islamic Revolutionary Guard Corps or is an
individual serving as a representative of the Islamic
Revolutionary Guard Corps, or on any person that has conducted
any commercial transaction or financial transaction with such
entities;
(5) Government to Government agreements with Iran to
provide the regime with refined petroleum products, such as the
September 2009 agreement under which the Government of
Venezuela committed to provide 20,000 barrels of gasoline per
day to Iran, undermine efforts to pressure Iran to suspend its
nuclear weapons program and cease all enrichment activities;
and
(6) the people of the United States--
(A) have feelings of friendship for the people of
Iran; and
(B) hold the people of Iran, their culture, and
their ancient and rich history in the highest esteem.
(c) Statement of Policy.--It shall be the policy of the United
States--
(1) to prevent Iran from achieving the capability to make
nuclear weapons, including by supporting international
diplomatic efforts to halt Iran's uranium enrichment program;
(2) to fully implement and enforce the Iran Sanctions Act
of 1996 as a means of encouraging foreign governments to--
(A) direct state-owned entities to cease all
investment in, and support of, Iran's energy sector and
all exports of refined petroleum products to Iran; and
(B) require private entities based in their
territories to cease all investment in, and support of,
Iran's energy sector and all exports of refined
petroleum products to Iran;
(3) to impose sanctions on--
(A) the Central Bank of Iran, and any other
financial institution in Iran that is engaged in
proliferation activities or support of terrorist
groups, and
(B) any other financial institution that conducts
financial transactions with the Central Bank of Iran or
with another financial institution described in
subparagraph (A),
including through the use of Executive Orders 13224, 13382, and
13438 and United Nations Security Council Resolutions 1737,
1747, 1803, and 1835;
(4) to persuade the allies of the United States and other
countries to take appropriate measures to deny access to the
international financial system by Iranian banks and financial
institutions involved in proliferation activities or support of
terrorist groups;
(5) to support all Iranian citizens who embrace the values
of freedom, human rights, civil liberties, and the rule of law;
and
(6) for the Secretary of State to make every effort to
assist United States citizens held hostage in Iran at any time
during the period beginning on November 4, 1979 and ending on
January 20, 1981, and their survivors in matters of
compensation related to such citizens' detention.
SEC. 3. AMENDMENTS TO THE IRAN SANCTIONS ACT OF 1996.
(a) Expansion of Sanctions.--Section 5(a) of the Iran Sanctions Act
of 1996 (50 U.S.C. 1701 note) is amended to read as follows:
``(a) Sanctions With Respect to the Development of Petroleum
Resources of Iran and Exportation of Refined Petroleum to Iran.--
``(1) Development of petroleum resources of iran.--
``(A) Investment.--Except as provided in subsection
(f), the President shall impose 2 or more of the
sanctions described in paragraphs (1) through (6) of
section 6(a) if the President determines that a person
has knowingly, on or after the date of the enactment of
this Act, made an investment of $20,000,000 or more (or
any combination of investments of at least $5,000,000
each, which in the aggregate equals or exceeds
$20,000,000 in any 12-month period), that directly and
significantly contributed to the enhancement of Iran's
ability to develop petroleum resources of Iran.
``(B) Production of refined petroleum products.--
Except as provided in subsection (f), the President
shall impose the sanctions described in section 6(b) if
the President determines that a person knowingly sells,
leases, or provides to Iran any goods, services,
technology, information, or support, or enters into a
contract to sell, lease, or provide to Iran any goods,
services, technology, information, or support, that
would allow Iran to maintain or expand its domestic
production of refined petroleum products, including any
assistance in the construction, modernization, or
repair of refineries that make refined petroleum
products, if--
``(i) the value of the goods, services,
technology, information, or support provided in
such sale, lease, or provision, or to be
provided in such contract, exceeds $200,000; or
``(ii) the value of the goods, services,
technology, information, or support provided in
any combination of such sales, leases, or
provision in any 12-month period, or to be
provided under contracts entered into in any
12-month period, exceeds $500,000.
``(2) Exportation of refined petroleum products to iran.--
``(A) In general.--Except as provided in subsection
(f), the President shall impose the sanctions described
in section 6(b) if the President determines that a
person knowingly provides Iran with refined petroleum
products or engages in any of the activities described
in subparagraph (B), if--
``(i) the value of such products or of the
goods, services, technology, information, or
support provided or to be provided in
connection with such activity exceeds $200,000;
or
``(ii) the value of such products, or of
the goods, services, technology, information,
or support, provided or to be provided in
connection with any combination of providing
such products or such activities, in any 12-
month period exceeds $500,000.
``(B) Activities described.--The activities
referred to in subparagraph (A) are the following:
``(i) Providing ships, vehicles, or other
means of transportation to deliver refined
petroleum products to Iran, or providing
services relating to the shipping or other
transportation of refined petroleum products to
Iran.
``(ii) Underwriting or otherwise providing
insurance or reinsurance for an activity
described in clause (i).
``(iii) Financing or brokering an activity
described in clause (i).''.
(b) Description of Sanctions.--Section 6 of such Act is amended--
(1) by striking ``The sanctions to be imposed on a
sanctioned person under section 5 are as follows:'' and
inserting the following:
``(a) In General.--The sanctions to be imposed on a sanctioned
person under subsections (a)(1)(A) and (b)(1) of section 5 are as
follows:'';
(2) in paragraph (4), by striking ``section 5'' each place
it appears and inserting ``subsections (a)(1)(A) and (b) of
section 5''; and
(3) by adding at the end the following:
``(b) Additional Mandatory Sanctions.--The sanctions to be imposed
on a sanctioned person under paragraphs (1)(B) and (2) of section 5(a)
are as follows:
``(1) Foreign exchange.--The President shall prohibit any
transactions in foreign exchange by the sanctioned person.
``(2) Banking transactions.--The President shall prohibit
any transfers of credit or payments between, by, through, or to
any financial institution, to the extent that such transfers or
payments involve any interest of the sanctioned person.
``(3) Property transactions.--The President shall prohibit
any acquisition, holding, withholding, use, transfer,
withdrawal, transportation, importation, or exportation of,
dealing in, or exercising any right, power, or privilege with
respect to, or transactions involving, any property in which
the sanctioned person has any interest by any person, or with
respect to any property, subject to the jurisdiction of the
United States.
``(c) Additional Measure Relating to Refined Petroleum Products.--
``(1) In general.--The head of each executive agency shall
ensure that each contract with a person entered into by such
executive agency for the procurement of goods or services, or
agreement for the use of Federal funds as part of a grant,
loan, or loan guarantee to a person, includes a clause that
requires the person to certify to the contracting officer or
other appropriate official of such agency that the person does
not conduct any activity described in paragraph (1)(B) or (2)
of section 5(a).
``(2) Remedies.--
``(A) In general.--If the head of the executive
agency determines that such person has submitted a
false certification under paragraph (1) after the date
on which the Federal Acquisition Regulation is revised
to implement the requirements of this subsection, the
head of an executive agency may terminate a contract,
or agreement described in paragraph (1), with such
person or debar or suspend such person from eligibility
for Federal contracts or such agreements for a period
not to exceed 15 years.
``(B) Inclusion on list of parties excluded from
federal procurement and nonprocurement programs.--The
Administrator of General Services shall include on the
List of Parties Excluded from Federal Procurement and
Nonprocurement Programs maintained by the Administrator
under part 9 of the Federal Acquisition Regulation
issued under section 25 of the Office of Federal
Procurement Policy Act (41 U.S.C. 421) each person that
is debarred, suspended, proposed for debarment or
suspension, or declared ineligible by the head of an
executive agency on the basis of a determination of a
false certification under subparagraph (A).
``(C) Rule of construction.--This subsection shall
not be construed to limit the use of other remedies
available to the head of an executive agency or any
other official of the Federal Government on the basis
of a determination of a false certification under
paragraph (1).
``(3) Implementation through the federal acquisition
regulation.--Not later than 120 days after the date of the
enactment of the Iran Refined Petroleum Sanctions Act of 2009,
the Federal Acquisition Regulation issued pursuant to section
25 of the Office of Federal Procurement Policy Act (41 U.S.C.
421) shall be revised to provide for the implementation of the
requirements of this subsection.''.
(c) Additional Mandatory Sanctions Relating to Transfer of Nuclear
Technology.--Section 5(b) of the Iran Sanctions Act of 1996 is
amended--
(1) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively, and moving such
paragraphs 2 ems to the right;
(2) by striking ``The President shall impose'' and
inserting the following:
``(1) In general.--The President shall impose'';
(3) by striking ``section 6'' and inserting ``section
6(a)''; and
(4) by adding at the end the following:
``(2) Additional sanction.--
``(A) Restriction.--In any case in which a person
is subject to sanctions under paragraph (1) because of
an activity described in such paragraph that relates to
the acquisition or development of nuclear weapons or
related technology or of missiles or other advanced
conventional weapons that are capable of delivering a
nuclear weapon, then notwithstanding any other
provision of law, the following measures shall apply
with respect to the country that has jurisdiction over
such person, unless the President determines and
notifies the appropriate congressional committees that
the government of such country has taken, or is taking,
effective actions to penalize such person and to
prevent a reoccurrence of such activity in the future:
``(i) No agreement for cooperation between
the United States and the government of such
country may be submitted to the President or to
Congress pursuant to section 123 of the Atomic
Energy Act of 1954 (42 U.S.C. 2153), or may
enter into force.
``(ii) No license may be issued for the
export, and no approval may be given for the
transfer or retransfer, directly or indirectly,
to such country of any nuclear material,
facilities, components, or other goods,
services, or technology that would be subject
to an agreement to cooperation.
``(B) Construction.--The restrictions in
subparagraph (A) shall apply in addition to all other
applicable procedures, requirements, and restrictions
contained in the Atomic Energy Act of 1954 and other
laws.
``(C) Definition.--In this paragraph, the term
`agreement for cooperation' has the meaning given that
term in section 11 b. of the Atomic Energy Act of 1954
(42 U.S.C. 2014(b)).''.
(d) Strengthening of Waiver Authority and Sanctions
Implementation.--
(1) Investigations.--Section 4(f) of the Iran Sanctions Act
of 1996 (50 U.S.C. 1701 note) is amended--
(A) in paragraph (1)--
(i) by striking ``should initiate'' and
inserting ``shall immediately initiate'';
(ii) by inserting ``or 5(b)'' after
``section 5(a)''; and
(iii) by striking ``as described in such
section'' and inserting ``as described in
section 5(a)(1) or other activity described in
section 5(a)(2) or 5(b) (as the case may be)'';
and
(B) in paragraph (2), by striking ``should
determine, pursuant to section 5(a), if a person has
engaged in investment activity in Iran as described in
such section'' and inserting ``shall determine,
pursuant to section 5(a) or (b) (as the case may be),
if a person has engaged in investment activity in Iran
as described in section 5(a)(1) or other activity
described in section 5(a)(2) or 5(b) (as the case may
be)''.
(2) General waiver authority.--Section 9(c) of the Iran
Sanctions Act of 1996 (50 U.S.C. 1701 note) is amended--
(A) in paragraph (1)--
(i) by inserting after ``on a person
described in section 5(c),'' the following:
``or on a country described in section
5(b)(2)(A) (if the President certifies to the
appropriate congressional committees that the
President is unable to make the determination
described in such section 5(b)(2)(A) with
respect to the government of that country),'';
and
(ii) by striking ``important to the
national interest of the United States'' and
inserting ``vital to the national security
interest of the United States''; and
(B) in paragraph (2)--
(i) in subparagraphs (A), (B), and (D), by
striking ``or (b)'' each place it appears and
inserting ``or (b)(1)''; and
(ii) by amending subparagraph (C) to read
as follows:
``(C) an estimate of the significance of the
provision of the items described in paragraph (1) or
(2) of section 5(a) or section 5(b)(1) to Iran's
ability to develop its petroleum resources, to maintain
or expand its domestic production of refined petroleum
products, to import refined petroleum products, or to
develop its weapons of mass destruction or other
military capabilities (as the case may be); and''.
(e) Reports on United States Efforts To Curtail Certain Business
and Other Transactions Relating to Iran.--Section 10 of such Act is
amended--
(1) in subsection (a), by amending paragraph (4) to read as
follows:
``(4) Iran's use in the Middle East, the Western
Hemisphere, Africa, and other regions, of Iranian diplomats and
representatives of other government and military or quasi-
governmental institutions or proxies of Iran, including, but
not limited to, Hezbollah, to promote acts of international
terrorism or to develop or sustain Iran's nuclear, chemical,
biological, and missile weapons programs.''; and
(2) by adding at the end the following:
``(d) Reports on Certain Business and Other Transactions Relating
to Iran.--
``(1) In general.--Not later than 90 days after the date of
the enactment of the Iran Refined Petroleum Sanctions Act of
2009, and every 6 months thereafter, the President shall submit
a report to the appropriate congressional committees regarding
any person who has--
``(A) provided Iran with refined petroleum
products;
``(B) sold, leased, or provided to Iran any goods,
services, or technology that would allow Iran to
maintain or expand its domestic production of refined
petroleum products; or
``(C) engaged in any activity that could contribute
to the enhancement of Iran's ability to import refined
petroleum products.
``(2) Description.--For each activity set forth in
subparagraphs (A) through (C) of paragraph (1), the President
shall provide a complete and detailed description of such
activity, including--
``(A) the date or dates of such activity;
``(B) the name of any persons who participated or
invested in or facilitated such activity;
``(C) the United States domiciliary of the persons
referred to in subparagraph (B);
``(D) any Federal Government contracts to which the
persons referred to in subparagraph (B) are parties;
and
``(E) the steps taken by the United States to
respond to such activity.
``(3) Additional information.--The report required by this
subsection shall also include a list of--
``(A) any person that the President determines is
an agent, alias, front, instrumentality,
representative, official, or affiliate of the Islamic
Revolutionary Guard Corps or is an individual serving
as a representative of the Islamic Revolutionary Guard
Corps;
``(B) any person that the President determines has
knowingly provided material support to the Islamic
Revolutionary Guard Corps or an agent, alias, front,
instrumentality, representative, official, or affiliate
of the Islamic Revolutionary Guard Corps; and
``(C) any person who has conducted any commercial
transaction or financial transaction with the Islamic
Revolutionary Guards Corps or an agent, alias, front,
instrumentality, representative, official, or affiliate
of the Islamic Revolutionary Guard Corps.
``(4) Form of reports; publication.--The reports required
under this subsection shall be--
``(A) submitted in unclassified form, but may
contain a classified annex; and
``(B) published in the Federal Register.
``(e) Reports on Global Trade Relating to Iran.--Not later than one
year after the date of the enactment of the Iran Refined Petroleum
Sanctions Act of 2009 and annually thereafter, the President shall
submit to the appropriate congressional committees a report, with
respect to the immediately preceding 12-month period, on the dollar
value amount of trade, including in the energy sector, between Iran and
each country maintaining membership in the Group of Twenty Finance
Ministers and Central Bank Governors.''.
(f) Clarification and Expansion of Definitions.--Section 14 of such
Act is amended--
(1) in paragraph (13)(B)--
(A) by inserting ``financial institution, insurer,
underwriter, guarantor, any other business
organization, including any foreign subsidiary, parent,
or affiliate of such a business organization,'' after
``trust,''; and
(B) by inserting ``, such as an export credit
agency'' before the semicolon at the end;
(2) by redesignating paragraphs (15) and (16) as paragraphs
(17) and (18), respectively; and
(3) by striking paragraph (14) and inserting the following:
``(14) Knowingly.--The term `knowingly' means--
``(A) having actual knowledge; or
``(B) having the constructive knowledge deemed to
be possessed by a reasonable individual who acts under
similar circumstances.
``(15) Petroleum resources.--The term `petroleum resources'
includes petroleum, oil or liquefied natural gas, oil or
liquefied natural gas tankers, and products used to construct
or maintain pipelines used to transport oil or compressed or
liquefied natural gas.
``(16) Refined petroleum products.--The term `refined
petroleum products' means gasoline, kerosene, diesel fuel,
residual fuel oil, and distillates and other goods classified
in headings 2709 and 2710 of the Harmonized Tariff Schedule of
the United States.''.
(g) Termination of Certain Provisions.--Section 8 of the Iran
Sanctions Act of 1996 is amended--
(1) by striking ``The requirement under section 5(a)'' and
inserting ``(a) Sanctions Relating to Investment.--The
requirement under section 5(a)(1)(A)'';
(2) by striking ``with respect to Iran''; and
(3) by adding at the end the following:
``(b) Refined Petroleum Products.--The requirements under
paragraphs (1)(B) and (2) of section 5(a) and section 6(b) to impose
sanctions shall no longer have force or effect if the President
determines and certifies to the appropriate congressional committees
that Iran--
``(1) has ceased its efforts to design, develop,
manufacture, or acquire a nuclear explosive device or related
materials and technology; and
``(2) has ceased nuclear-related activities, including
uranium enrichment, that would facilitate the efforts described
in paragraph (1).''.
(h) Extension of Act.--Section 13(b) of the Iran Sanctions Act of
1996 is amended by striking ``2011'' and inserting ``2016''.
(i) Technical Amendments.--
(1) Multilateral regime.--Section 4 of such Act is
amended--
(A) in subsection (b)(2), by striking ``(in
addition to that provided in subsection (d))''; and
(B) by striking subsection (d) and redesignating
subsections (e) and (f) as subsections (d) and (e),
respectively.
(2) Reference to committee on foreign affairs.--Section
14(2) of such Act is amended by striking ``International
Relations'' and inserting ``Foreign Affairs''.
(3) Conforming amendments.--(A) Section 5(c)(1) of such Act
is amended by striking ``or (b)'' and inserting ``or (b)(1)''.
(B) Section 9(a) of such Act is amended by striking ``or
5(b)'' each place it appears and inserting ``or 5(b)(1)''.
SEC. 4. EFFECTIVE DATE; RULE OF CONSTRUCTION.
(a) In General.--The amendments made by this Act shall take effect
upon the expiration of the 60-day period beginning on the date of the
enactment of this Act, except that--
(1) paragraphs (1) and (2) of section 5(a), section
5(b)(2), and section 6(b), of the Iran Sanctions Act of 1996,
as amended by this Act, shall apply to conduct engaged in on or
after October 28, 2009, notwithstanding section 5(f)(3) of the
Iran Sanctions Act of 1996; and
(2) the amendments made by subsection (d) of section 3 of
this Act shall apply with respect to conduct engaged in before,
on, or after the date of the enactment of this Act.
(b) Rule of Construction.--
(1) Existing sanctions not affected.--The amendments made
by subsections (a) and (b) of section 3 of this Act shall not
be construed to affect the requirements of section 5(a) of the
Iran Sanctions Act of 1996 as in effect before the date of the
enactment of this Act, and such requirements continue to apply,
on and after such date of enactment, to conduct engaged in
before October 28, 2009.
(2) Waiver authority.--The amendments made by subsection
(d) of section 3 of this Act shall not be construed to affect
any exercise of the authority under section 4(f) or section
9(c) of the Iran Sanctions Act of 1996 as in effect on the day
before the date of the enactment of this Act.
Union Calendar No. 217
111th CONGRESS
1st Session
H. R. 2194
[Report No. 111-342, Part I]
_______________________________________________________________________
A BILL
To amend the Iran Sanctions Act of 1996 to enhance United States
diplomatic efforts with respect to Iran by expanding economic sanctions
against Iran.
_______________________________________________________________________
December 11, 2009
Committee on Ways and Means discharged; committed to the Committee of
the Whole House on the State of the Union and ordered to be printed