I 112th CONGRESS 1st Session H. R. 3725 IN THE HOUSE OF REPRESENTATIVES December 16, 2011 Mr. Sherman (for himself and Mr. Burton of Indiana) introduced the following bill; which was referred to the Committee on Foreign Affairs A BILL To authorize the President to vest certain property of the Government of Libya seized or blocked by the United States and to authorize the use of that property to defray the full costs of Operation Odyssey Dawn and United States participation in NATO Operation Unified Protector, and for other purposes.

1.

Short title

This Act may be cited as the Libyan Assets Taxpayer Reimbursement Act of 2011.

2.

Findings

Congress finds the following: (1)The United States Government has frozen, through Executive Order 13566 of February 25, 2011, over $30 billion in assets in the United States owned by the late Muammar Qaddafi, his family, and his regime. (2)The United States military conducted actions, through Operation Odyssey Dawn and NATO Operation Unified Protector, over the territory and off the coast of Libya designed to protect the Libyan people from the violence and cruelty of the Qaddafi regime. (3)United States military operations in Libya exposed members of the United States Armed Forces to the risk of death. (4)The Libyan uprising against the late dictator Qaddafi succeeded with the help of United States forces. (5)Libya is an oil rich country that will be able to finance its economic development and reconstruction. (6)Libya has Africa’s largest oil reserves and a population of approximately 6.5 million people. (7)In 2010, Libya had one of the highest per capita oil export revenues in the world. (8)The Department of Defense estimates the cost of United States military and humanitarian efforts for the Libyan people at under $3 billion. (9)Funds collected by the United States from Libya pursuant to the United States-Libya Claims Settlement Agreement are insufficient to provide complete relief for all of the victims of Libyan state-sponsored terrorism whose claims are currently being adjudicated, or have been awarded, by the Foreign Claims Settlement Commission of the United States. The amount of the shortfall is believed to be as much as $400 million. (10)Around the world, over $150 billion of Qaddafi assets are frozen, and almost all of this amount will be paid to the new Libyan government, including the vast majority of the assets blocked by the United States.

3.

Statement of policy

It shall be the policy of the United States Government— (1)to ensure that the United States Treasury is reimbursed for the full cost of all military and humanitarian operations undertaken in and with respect to Libya from the onset of Operation Odyssey Dawn through the fall of the Qaddafi regime; and (2)to ensure that there are sufficient funds available to the United States to fully compensate victims of Libyan-sponsored terrorism, prior to providing assets blocked pursuant Executive Order 13566 of February 25, 2011 to the Government of Libya or other rightful owners.

4.

Authority to vest and use blocked Libyan assets to defray the full costs of Operation Odyssey Dawn and U.S. participation in NATO Operation Unified Protector

(a)

In general

Pursuant to the authorities of the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), the President is authorized to— (1)by means of instructions, licenses, or otherwise, vest such blocked Libyan assets that are available as of the date of the enactment of this Act in an amount necessary for the purposes described in subsection (b); (2)liquidate or sell any blocked Libyan assets described in paragraph (1); and (3)deposit any funds taken under paragraph (1) and any funds resulting from the liquidation or sale of blocked Libyan assets under paragraph (2) in the United States Treasury for the purposes described in subsection (b). (b)

Use of vested funds

(1)

In general

Notwithstanding any other provision of law, the President shall use blocked Libyan assets vested under subsection (a)(1) to defray the full costs of Operation Odyssey Dawn and United States participation in NATO Operation Unified Protector and any associated humanitarian efforts undertaken on behalf of the Libyan people. (2)

Other use of funds

Notwithstanding any other provision of law, the President is authorized to use blocked Libyan assets vested under subsection (a)(1) to satisfy and pay in full all final awards of compensation to United States nationals ordered by the Foreign Claims Settlement Commission in its Libya Claims Program pursuant to the Libyan Claims Resolution Act (Public Law 110–301) and the International Claims Settlement Act of 1949 (22 U.S.C. 1621 et seq.). (c)

Regulations

The President may issue such regulations, including regulations prescribing definitions in addition to the definitions listed in subsection (d), as may be necessary for the exercise of the authorities granted by this Act. (d)

Definitions

In this section— (1)the term blocked Libyan assets means all property and interests in property that are seized or blocked by the United States in accordance with Executive Order 13566 of February 25, 2011 (76 Fed. Reg. 11315); and (2)the term Government of Libya means the Government of Libya on the date of the enactment of this Act, including any agency or instrumentality of that Government and any entity controlled by that Government.

5.

Determination of amounts

(a)

In general

For purposes of determining the amount of blocked Libyan assets to vest under section 4(a)(1), the President shall ensure the full costs of military operations and humanitarian efforts described in section 4(b)(1)— (1)are determined in accordance with generally accepted accounting principles; (2)include all expenditures properly chargeable to such operations and efforts; and (3)are not limited to marginal costs. (b)

Consultation

The President shall determine the amount of blocked Libyan assets to vest under section 4(a)(1) after consultation with the Secretary of Defense and the Foreign Claims Settlement Commission.

6.

Report

Not later than 1 year after the date of the enactment of this Act, and annually thereafter as appropriate, the President shall prepare and submit to Congress a report on the implementation of this Act.