II 111th CONGRESS 2d Session S. 3810 IN THE SENATE OF THE UNITED STATES September 21, 2010 Mrs. Gillibrand (for herself and Mr. Cardin) introduced the following bill; which was read twice and referred to the Committee on Energy and Natural Resources A BILL To restrict participation in offshore oil and gas leasing by a person who engages in any activity for which sanctions may be imposed under section 5 of the Iran Sanctions Act of 1996, to require the lessee under an offshore oil and gas lease to disclose any participation by the lessee in certain energy-related joint ventures, investments, or partnerships located outside Iran, and for other purposes.

1.

Short title

This Act may be cited as the Gulf Security and Iran Sanctions Enforcement Act.

2.

Restriction on participation in offshore oil and gas leasing

(a)

Certification requirement

The Secretary of the Interior shall— (1)include in each lease issued after the date of enactment of this Act that authorizes drilling for oil and gas on the Outer Continental Shelf a provision that requires that— (A)the person that is the lessee to certify annually to the Secretary that the person does not engage in any activity for which sanctions may be imposed under section 5 of the Iran Sanctions Act of 1996 (50 U.S.C. 1701 note); and (B)authorizes the Secretary to cancel the lease if the person fails to make such a certification or makes such a certification that is false; and (2)upon determination by the Secretary, in consultation with the Secretary of State and the Secretary of the Treasury, that the person has failed to make a certification required under such provision or made such a certification that is false, shall cancel the lease. (b)

Disclosure requirement

The Secretary of the Interior shall— (1)include in each lease issued after the date of enactment of this Act that authorizes drilling for oil and gas on the Outer Continental Shelf a provision that— (A)requires the person that is the lessee to disclose to the Secretary any participation by the person in any energy-related joint venture, investment, or partnership located outside Iran that involves— (i)any person whose property and interests in property are blocked pursuant to Executive Order 13224 (66 Fed. Reg. 49079; relating to blocking property and prohibiting transacting with persons who commit, threaten to commit, or support terrorism); (ii)any person whose property and interests in property are blocked pursuant to Executive Order 13382 (70 Fed. Reg. 38567; relating to blocking of property of weapons of mass destruction proliferators and their supporters); or (iii)any entity listed on appendix A to part 560 of title 31, Code of Federal Regulations (relating to the Iranian Transactions Regulations); and (B)authorizes the Secretary to cancel the lease if the person fails to make such a disclosure or makes such a disclosure that is false; and (2)upon determination by the Secretary, in consultation with the Secretary of State and the Secretary of the Treasury, that the person has failed to make a disclosure required under such provision or made such a disclosure that is false, shall cancel the lease. (c)

Waiver

(1)

In general

The Secretary of the Interior may waive the requirement of subsection (a) or (b) (or both) on a case-by-case basis if the Secretary determines and certifies in writing to the appropriate congressional committees that it is in the national interest of the United States to do so. (2)

Reporting requirement

Not later than 120 days after the date of the enactment of this Act and semi-annually thereafter, the Secretary of the Interior shall submit to the appropriate congressional committees a report on waivers granted under paragraph (1). (d)

Reporting requirement

The Secretary of the Interior shall promptly report to the appropriate congressional committees any cancellation of a lease under this section, including an explanation of the reasons for the cancellation. (e)

Definitions

In this section— (1)the term appropriate congressional committees means— (A)the Committee on Natural Resources and the Committee on Foreign Affairs of the House of Representatives; and (B)the Committee on Energy and Natural Resources and the Committee on Foreign Relations of the Senate; and (2)the term person has the meaning given such term in section 14(14) of the Iran Sanctions Act of 1996 (50 U.S.C. 1701 note).

3.

Sunset

This Act shall terminate 30 days after the date on which the President certifies to Congress that the Government of Iran— (1)has permanently ceased— (A)providing support for acts of international terrorism and no longer satisfies the requirements for designation as a state sponsor of terrorism for purposes of section 6(j) of the Export Administration Act of 1979, section 620A of the Foreign Assistance Act of 1961, section 40 of the Arms Export Control Act, or any other provision of law; and (B)the pursuit, acquisition, and development of nuclear, biological, and chemical weapons and missiles; and (2)poses no significant threat to United States national security, interests, or allies.