II 112th CONGRESS 1st Session S. 1180 IN THE SENATE OF THE UNITED STATES June 13, 2011 Mr. Johnson of South Dakota (for himself, Mr. Shelby, Mr. Kerry, Mr. McCain, Mr. Levin, Mr. Lieberman, and Mr. Reed) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs A BILL To authorize the President to confiscate and vest certain property of the Government of Libya and to authorize the use of that property to provide humanitarian relief to and for the benefit of the people of Libya, and for other purposes.

1.

Short title

This Act may be cited as the Libyan Assets for Humanitarian Relief Act of 2011.

2.

Findings

Congress makes the following findings: (1)On February 26, 2011, the United Nations Security Council adopted Resolution 1970, which imposed an asset freeze on Colonel Muammar Qaddafi and members of his family. (2)On March 17, 2011, the United Nations Security Council adopted Resolution 1973, which expanded the asset freeze to include the Central Bank of Libya, the Libyan Investment Authority, the Libyan Foreign Bank, the Libyan Africa Investment Portfolio, and the Libyan National Oil Corporation. (3)The United Nations Security Council stated in Resolution 1973 that the assets frozen would at a later stage, as soon as possible, be made available to and for the benefit of the people of the Libyan Arab Jamahiriya. (4)On March 3, 2011, the President of the United States stated that Muammar Qaddafi has lost the legitimacy to lead, and he must leave. (5)On March 29, 2011, the Transitional National Council of the Libyan Republic issued A Vision of a Democratic Libya, which stated that its goal is building a free and democratic society and ensuring the supremacy of international humanitarian law and human rights declarations, and that [t]his can only be achieved through dialogue, tolerance, co-operation, national cohesiveness and the active participation of all citizens. In that statement, the Transitional National Council pledged itself, without reservation, to the establishment of a constitutional civil and free state that upholds intellectual and political pluralism and the peaceful transfer of power and guarantees full citizenship rights to all Libyans. (6)On April 7, 2011, Ali Aujali, the Official Representative to the United States of the Transitional National Council of the Libyan Republic, wrote to the United States Secretary of the Treasury and requested immediate access to some of the frozen Qaddafi regime funds to purchase needed humanitarian supplies and to support critical services such as hospitals, water distribution and sanitation. (7)On May 19, 2011, the President of the United States, referring to the Transitional National Council of the Libyan Republic, stated that the opposition has organized a legitimate and credible interim council.

3.

Authorization of confiscation of property of the Government of Libya

(a)

In general

The International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) is amended by adding at the end the following:

209.

Authorization of confiscation of property of the Government of Libya

(a)

Definitions

In this section: (1)

Appropriate congressional committees

The term appropriate congressional committees means— (A)the Committee on Banking, Housing, and Urban Affairs and the Committee on Foreign Relations of the Senate; and (B)the Committee on Financial Services and the Committee on Foreign Affairs of the House of Representatives. (2)

Executive agency

The term executive agency has the meaning given that term in section 133 of title 41, United States Code. (3)

Government of Libya

The term Government of Libya— (A)means the Government of Libya on the date of the enactment of the Libyan Assets for Humanitarian Relief Act of 2011, including any agency or instrumentality of that Government, any entity controlled by that Government, and the Central Bank of Libya; and (B)does not include a successor government of Libya. (4)

Successor government of Libya

The term successor government of Libya means a successor government to the Government of Libya (as defined in paragraph (3)) that is recognized as the legitimate governing authority of Libya by the Government of the United States. (b)

Statement of policy

It is the policy of the United States to provide humanitarian relief to and for the benefit of the people of Libya and to support the aspirations of the people of Libya for democratic self-government. (c)

Authorization of confiscation of property of the Government of Libya

(1)

In general

The President— (A)may confiscate and vest, through instructions or licenses or in such other manner as the President determines appropriate, funds and other property of the Government of Libya that are subject to the jurisdiction of the United States in the amounts specified in subsection (f); (B)may liquidate or sell any of such property; and (C)shall deposit any funds confiscated and vested under subparagraph (A) and any funds resulting from the liquidation or sale of property under subparagraph (B) in the account established under subsection (d). (2)

Vesting

All right, title, and interest in funds and other property confiscated under paragraph (1) shall vest in the Government of the United States. (d)

Establishment of account for confiscated property

(1)

In general

The President shall establish a non-interest-bearing account to consist of the funds deposited into the account under subsection (c)(1)(C). (2)

Use of funds

The funds in the account established under paragraph (1) shall be available to be used only as specified in subsection (e)(1). (e)

Use of confiscated property To provide humanitarian relief to the people of Libya

(1)

In general

Subject to paragraph (2), the President may transfer funds from the account established under subsection (d)— (A)to such executive agencies and, subject to paragraph (3), such other persons as the President determines appropriate, to be used only for costs related to providing humanitarian relief to and for the benefit of the people of Libya, consistent with the purposes of United Nations Security Council Resolutions 1970 (2011) and 1973 (2011); and (B)on and after the date on which a successor government of Libya is recognized by the Government of the United States, to the successor government of Libya. (2)

Limitations on transfer of funds

(A)

Limitations on transfer to certain persons and organizations

None of the funds transferred under this subsection may knowingly be provided to— (i)an organization designated as a foreign terrorist organization under section 219(a) of the Immigration and Nationality Act (8 U.S.C. 1189(a)); (ii)a person that provides support for acts of international terrorism or for an organization described in clause (i); (iii)a person whose property or interests in property are blocked pursuant to this Act, unless the transfer is authorized by the Secretary of the Treasury; or (iv)a person the President determines is responsible for violations of internationally recognized human rights. (B)

Prohibition on use of funds for military purposes

None of the funds transferred under this subsection may be used to purchase weapons or military equipment of either a lethal or nonlethal nature. (3)

Certifications by certain persons

The President may not transfer funds to any person, other than an executive agency, under paragraph (1)(A) unless that person certifies to the President that the person— (A)will use such funds only for the costs described in paragraph (1)(A); and (B)will not— (i)transfer any of such funds to a person or organization described in paragraph (2)(A); or (ii)use any of such funds to purchase weapons or military equipment of either a lethal or nonlethal nature. (4)

Terms and conditions

If the President exercises the authority provided under this section, the President shall impose such additional terms and conditions as the President determines appropriate with respect to the transfer of funds under this subsection and with respect to the use of such funds. (5)

Use by executive agencies

Notwithstanding any other provision of law, any funds transferred to an executive agency under this subsection— (A)shall remain available until expended; (B)shall be used only for the costs described in paragraph (1)(A); (C)may be distributed in such manner as the head of the executive agency determines appropriate to accomplish the purposes of this section, including through grants and contributions; and (D)may be transferred among executive agencies. (f)

Initial and subsequent authorizations of confiscation of property

(1)

Authority

The authority of the President to confiscate and vest funds and other property under subsection (c) shall be limited as follows: (A)

Initial limitation

Effective on and after the date of the enactment of the Libyan Assets for Humanitarian Relief Act of 2011, the President may confiscate and vest not more than $4,000,000,000 under subsection (c). (B)

Confiscation and vesting of additional amounts

(i)

In general

If, at any one time after the date of the enactment of the Libyan Assets for Humanitarian Relief Act of 2011, the President submits to Congress the notification described in clause (ii), effective on and after the day after the end of the 30-day period beginning on the date on which that notification is submitted, the President may confiscate and vest not more than an additional $4,000,000,000 under subsection (c) over the amount authorized to be confiscated and vested under subparagraph (A), unless a joint resolution of disapproval described in paragraph (2) is enacted within the 30-day period after the notification is submitted. (ii)

Notification described

The notification described in this clause is a notification— (I)that the President intends to confiscate and vest the additional amount specified in clause (i) to be used for the costs described in subsection (e)(1)(A); and (II)submitted with a report— (aa)describing the necessity of confiscating and vesting that additional amount; and (bb)detailing the plan of the President with respect to the use of that additional amount. (C)

Emergency certification; confiscation and vesting to address emergency humanitarian needs

(i)

In general

If, at any one time after the date of the enactment of the Libyan Assets for Humanitarian Relief Act of 2011, the President submits to Congress the certification described in clause (ii), effective on and after the date on which that certification is submitted, the President may confiscate and vest not more than an additional $2,000,000,000 under subsection (c) over the amounts otherwise authorized to be confiscated and vested under this paragraph. (ii)

Certification described

The certification described in this clause is a certification by the President that it is necessary to confiscate and vest the additional amount specified in clause (i) to address an emergency need for additional humanitarian assistance. (2)

Joint resolution of disapproval

(A)

Joint resolution of disapproval

In this paragraph, the term joint resolution of disapproval means only a joint resolution of the 2 Houses of Congress, the sole matter after the resolving clause of which is as follows: That Congress disapproves of the confiscation and vesting of the amount of funds or other property specified in section 209(f)(1)(B)(i) of the International Emergency Economic Powers Act.. (B)

Procedures for considering resolutions

(i)

Introduction

A joint resolution of disapproval— (I)may be introduced in the House of Representatives or the Senate during the 10-day period beginning on the date on which a notification described in paragraph (1)(B)(ii) is submitted; (II)in the House of Representatives, may be introduced by any Member of the House of Representatives; (III)in the Senate, may be introduced by any Member of the Senate; and (IV)may not be amended. (ii)

Referral to committees

A joint resolution of disapproval introduced in the Senate shall be referred to the Committee on Banking, Housing, and Urban Affairs and a joint resolution of disapproval introduced in the House of Representatives shall be referred to the Committee on Foreign Affairs. (iii)

Committee discharge and floor consideration

The provisions of subsections (c) through (f) of section 152 of the Trade Act of 1974 (19 U.S.C. 2192) (relating to committee discharge and floor consideration of certain resolutions in the House of Representatives and the Senate) apply to a resolution of disapproval under this paragraph to the same extent as such subsections apply to joint resolutions under such section 152, except that— (I)subsection (c)(1) of such section 152 shall be applied and administered by substituting 10 days for 30 days; and (II)subsection (f)(1)(A)(i) of such section 152 shall be applied and administered by substituting Committee on Banking, Housing, and Urban Affairs for Committee on Finance. (C)

Rules of House of Representatives and Senate

This paragraph is enacted by Congress— (i)as an exercise of the rulemaking power of the Senate and the House of Representatives, respectively, and as such is deemed a part of the rules of each House, respectively, but applicable only with respect to the procedure to be followed in that House in the case of a joint resolution, and it supersedes other rules only to the extent that it is inconsistent with such rules; and (ii)with full recognition of the constitutional right of either House to change the rules (so far as relating to the procedure of that House) at any time, in the same manner and to the same extent as in the case of any other rule of that House. (g)

Recordkeeping

(1)

In general

The President may, in exercising the authority provided under this section, require any person to keep a full record of— (A)any act or transaction carried out pursuant to any regulation, instruction, license, order, or direction issued under this section, either before, during, or after the completion of the act or transaction; (B)any property in which any foreign country or any national of a foreign country has or has had any interest; and (C)any other information the President determines necessary to carry out the provisions of this section. (2)

Production of information

The President may require any person— (A)to provide any information required to be kept by the person under paragraph (1) under oath and in the form of reports or any other form; and (B)to produce any books of account, records, contracts, letters, memoranda, or other papers in the custody or control of the person that relate to any information required to be kept under paragraph (1). (h)

Reports on use of funds

(1)

In general

Not later than 90 days after the President first confiscates and vests funds or other property under subsection (c), and every 90 days thereafter, the President shall submit to the appropriate congressional committees a report detailing, for the 90-day period preceding the submission of the report— (A)the amount of funds and other property confiscated and transferred under this section; (B)the executive agencies and other persons to which such funds were transferred; (C)the manner in which such funds were used; and (D)the amount remaining in the account established under subsection (d) at the end of the 90-day period. (2)

Special rule with respect to report relating to authorization of confiscation of additional amounts

If, after the date on which a report is required to be submitted by paragraph (1) and before the next such report is required to be submitted, the President submits to the appropriate congressional committees the report described in subsection (f)(1)(B)(ii)(II), the President— (A)shall include in the report described in subsection (f)(1)(B)(ii)(II) the information required to be included in the report required by paragraph (1) for the period that— (i)begins on the date on which the last report required by paragraph (1) was required to be submitted; and (ii)ends on the date on which the President submits the report described in subsection (f)(1)(B)(ii)(II); and (B)may include in the next report required by paragraph (1) only the information required by paragraph (1) for the period— (i)beginning on the date on which the report described in subsection (f)(1)(B)(ii)(II) is submitted; and (ii)ending on the date on which the report required by paragraph (1) is required to be submitted. (i)

Government Accountability Office Report

Not later than 180 days after the date of the enactment of the Libyan Assets for Humanitarian Relief Act of 2011, and every 180 days thereafter, the Comptroller General of the United States shall submit to the appropriate congressional committees a report assessing the confiscation and vesting of funds and other property under subsection (c) and the use of funds under subsection (e). (j)

Penalties

The penalties provided for in subsections (b) and (c) of section 206 shall apply to a person that violates, attempts to violate, conspires to violate, or causes a violation of this section or any regulation, instruction, license, order, or direction issued under this section to the same extent that such penalties apply to a person that commits an unlawful act described in section 206(a). (k)

Judicial review

(1)

Safe harbor

A person that complies fully with a regulation, instruction, license, order, or direction issued under this section may not be held liable for a violation of this section. (2)

Good faith compliance

A person may not be held liable in any court for or with respect to any act or omission done in good faith in connection with the administration of, or pursuant to and in reliance on, this section, or any regulation, instruction, license, order, or direction issued under this section. (3)

No legal process with respect to confiscated property

Any funds or other property confiscated and vested under subsection (c), including any proceeds from the liquidation or sale of such property, shall be immune from any legal process or attachment. (4)

Actions taken under this section

No action taken under this section, other than the imposition of penalties with respect to a person under subsection (j), shall be reviewable in any court in the United States. (5)

Rule of construction

This section does not create any right or benefit, substantive or procedural, that is enforceable at law or in equity by any party against the United States, any agency of the United States, any officer or employee of the United States, or any other person. (l)

Termination

(1)

In general

Except to the extent necessary to carry out the plan required by paragraph (2), the provisions of this section (other than subsections (a), (g), (j), (k), and (m)) shall terminate on the date described in paragraph (3). (2)

Plan for distribution of remaining amounts

On the date described in paragraph (3), the President shall submit to the appropriate congressional committees a report describing the plan of the President for using any funds remaining of the amounts confiscated and vested under this section that— (A)describes how any of such funds that are obligated as of that date will be expended; and (B)provides for the distribution of any of such funds that are unobligated as of that date to a successor government of Libya. (3)

Date described

The date described in this paragraph is the date on which the national emergency declared by the President with respect to Libya pursuant to section 202 expires and is not continued by the President. (m)

Regulations

The President shall prescribe such regulations as may be necessary to carry out the provisions of this section.

. (b)

Clerical amendment

Section 204 of the International Emergency Economic Powers Act (50 U.S.C. 1703) is amended— (1)in subsection (b), by striking Whenever and inserting Except as provided in subsection (e), whenever; and (2)by adding at the end the following: (e)

Reports relating to confiscation of assets of the Government of Libya

If the President exercises the authority provided under section 209, the President shall submit reports in accordance with subsection (h) of that section. .