[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 938 Referred in Senate (RFS)]

113th CONGRESS
  2d Session
                                H. R. 938


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 6, 2014

Received; read twice and referred to the Committee on Foreign Relations

_______________________________________________________________________

                                 AN ACT


 
  To strengthen the strategic alliance between the United States and 
                    Israel, 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 AND TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``United States-
Israel Strategic Partnership Act of 2014''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title and table of contents.
Sec. 2. Findings.
Sec. 3. Declaration of policy.
            TITLE I--UNITED STATES-ISRAEL STRATEGIC ALLIANCE

Sec. 101. Amendments to the United States-Israel Enhanced Security 
                            Cooperation Act of 2012.
Sec. 102. Authorization of assistance for Israel.
Sec. 103. United States-Israel cooperation on cyber-security.
Sec. 104. Statement of United States Policy Regarding Israel's defense 
                            systems.
Sec. 105. Report on other matters.
Sec. 106. Statement of policy.
Sec. 107. Sense of Congress.
           TITLE II--UNITED STATES-ISRAEL ENERGY COOPERATION

Sec. 201. United States-Israel energy cooperation.
                           TITLE III--OFFSET

Sec. 301. Offset.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The turmoil in the Middle East poses a serious threat 
        to United States national security interests and requires 
        cooperation with allies that are willing to work with the 
        United States in pursuit of shared objectives.
            (2) The October 31, 1998, Memorandum of Agreement signed by 
        President Clinton and Prime Minister Netanyahu commits the 
        United States to working jointly with Israel towards enhancing 
        Israel's defensive and deterrent capabilities and upgrading the 
        framework of the United States-Israel strategic and military 
        relationships, as well as the technological cooperation between 
        both countries.
            (3) On August 16, 2007, the United States and Israel signed 
        a Memorandum of Understanding reaffirming United States 
        commitment to the security of Israel and establishing a 10-year 
        framework for incremental increases in United States military 
        assistance to Israel.
            (4) The Memorandum of Understanding signed two years later 
        on January 16, 2009 reaffirmed the United States commitment and 
        noted ``the security, military and intelligence cooperation 
        between the United States and Israel''.
            (5) The United States and Israel conduct a semi-annual 
        Strategic Dialogue. The Department of State, in a statement 
        following the July 12, 2012, meeting of the Strategic Dialogue, 
        noted that the discussions focused on such issues of mutual 
        concern as ``Iran's continued quest to develop nuclear weapons, 
        which the United States and Israel are both determined to 
        prevent'' and ``how the continued violence of the Syrian regime 
        against its citizens [assisted by Iran and Hezbollah] could 
        also lead to severe consequences for the entire region''.

SEC. 3. DECLARATION OF POLICY.

    Congress declares that Israel is a major strategic partner of the 
United States.

            TITLE I--UNITED STATES-ISRAEL STRATEGIC ALLIANCE

SEC. 101. AMENDMENTS TO THE UNITED STATES-ISRAEL ENHANCED SECURITY 
              COOPERATION ACT OF 2012.

    (a) United States Actions To Assist in the Defense of Israel and 
Protect United States Interests.--Section 4 of the United States-Israel 
Enhanced Security Cooperation Act of 2012 (Public Law 112-150; 22 
U.S.C. 8603) is amended--
            (1) by striking ``It is the sense of Congress that the 
        United States Government should'' and inserting ``(a) In 
        General.--The President should, to the maximum extent 
        practicable,''; and
            (2) by adding at the end the following:
    ``(b) Report.--Not later than 180 days after the date of the 
enactment of this subsection, the President shall submit to Congress a 
report on the implementation of this section.''.
    (b) Extension of War Reserves Stockpile Authority.--Section 5(a) of 
the United States-Israel Enhanced Security Cooperation Act of 2012 
(Public Law 112-150) is amended to read as follows:
    ``(a) Extension of War Reserves Stockpile Authority.--
            ``(1) Department of defense appropriations act, 2005.--
        Section 12001(d) of the Department of Defense Appropriations 
        Act, 2005 (Public Law 108-287; 118 Stat. 1011), is amended by 
        striking `more than 10 years after' and inserting `more than 11 
        years after'.
            ``(2) Foreign assistance act of 1961.--Section 514(b)(2)(A) 
        of the Foreign Assistance Act of 1961 (22 U.S.C. 
        2321h(b)(2)(A)) is amended by striking `and 2014' and inserting 
        `, 2014, and 2015'.''.
    (c) Amendments to Requirements Relating to Assessment of Israel's 
Qualitative Military Edge Over Military Threats.--
            (1) Assessment required; reports.--Section 201 of Public 
        Law 110-429 (122 Stat. 4843; 22 U.S.C. 2776 note) is amended--
                    (A) in subsection (a), by striking ``an ongoing 
                basis'' and inserting ``a biennial basis''; and
                    (B) in subsection (c)(2)--
                            (i) in the heading, by striking 
                        ``Quadrennial'' and inserting ``Biennial''; and
                            (ii) in the text, by striking ``Not later 
                        than four years after the date on which the 
                        President transmits the initial report under 
                        paragraph (1), and every four years 
                        thereafter,'' and inserting ``Not later than 
                        one year after the date of the enactment of the 
                        United States-Israel Strategic Partnership Act 
                        of 2014, and biennially thereafter,''.
            (2) Report.--
                    (A) In general.--Not later than 90 days after the 
                date of the enactment of this Act, the Secretary of 
                State shall submit to the appropriate congressional 
                committees a report on--
                            (i) the range of cyber and asymmetric 
                        threats posed to Israel by state and non-state 
                        actors; and
                            (ii) the joint efforts of the United States 
                        and Israel to address the threats identified in 
                        clause (i).
                    (B) Form.--The report required under subparagraph 
                (A) shall be submitted in unclassified form, but may 
                contain a classified annex.
                    (C) Appropriate congressional committees defined.--
                In this paragraph, the term ``appropriate congressional 
                committees'' means the Committee on Foreign Affairs of 
                the House of Representatives and the Committee on 
                Foreign Relations of the Senate.

SEC. 102. AUTHORIZATION OF ASSISTANCE FOR ISRAEL.

    (a) Finding.--Congress finds that Israel has adopted high standards 
in the field of export controls, including by becoming adherent to the 
Australia Group, the Missile Technology Control Regime, the Nuclear 
Suppliers Group, and the Wassenaar Arrangement control lists, and by 
enacting robust legislation and regulations for the control of dual-use 
and defense items.
    (b) Expedited Licensing Procedures.--
            (1) In general.--The President shall direct the Secretary 
        of State to undertake discussions with Israel to identify the 
        steps required to be taken to include Israel within the list of 
        countries described in section 740.20(c)(1) of title 15, Code 
        of Federal Regulations (relating to eligibility for Strategic 
        Trade Authorization).
            (2) Report.--
                    (A) In general.--Not later than 180 days after the 
                date of the enactment of this Act, and every 180 days 
                thereafter for a period of 3 years or until such time 
                that Israel is included on the list of countries 
                determined as eligible for the Strategic Trade 
                Authorization, whichever occurs first, the President 
                shall submit to the Committee on Foreign Affairs of the 
                House of Representatives and the Committee on Foreign 
                Relations and the Committee on Banking, Housing, and 
                Urban Affairs of the Senate a report on the following:
                            (i) The current status of negotiations.
                            (ii) The reasons that Israel has not yet 
                        been determined as eligible for the Strategic 
                        Trade Authorization.
                    (B) Form.--The report required by subparagraph (A) 
                shall be submitted in unclassified form but may contain 
                a classified annex.
    (c) Licensing Treatment as MTCR Adherent.--The President shall 
direct the Secretary of Commerce to ensure that, subject to the 
requirements of section 6(l) of the Export Administration Act of 1979 
(50 U.S.C. App. 2405(l)) (as continued in effect pursuant to the 
International Emergency Economic Powers Act), Israel is treated no less 
favorably than other members or adherents to the Missile Technology 
Control Regime designated in Country Group A:2 in Supplement No. 1 to 
part 740 of title 15, Code of Federal Regulations.
    (d) Overseas Private Investment Corporation.--In carrying out its 
authorities under title IV of chapter 2 of part I of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2191 et seq.), the Overseas Private 
Investment Corporation should consider giving preference to providing 
insurance, financing, or reinsurance for energy and water projects in 
Israel.
    (e) Energy, Water, Agriculture, and Alternative Fuel 
Technologies.--
            (1) In general.--The President is authorized to carry out 
        cooperative activities with Israel and to provide assistance to 
        Israel that promotes cooperation in the fields of energy, 
        water, agriculture, alternative fuel technologies, and civil 
        space, where appropriate and pursuant to existing law.
            (2) Requirements.--In carrying out paragraph (1), the 
        President is authorized to share and exchange with Israel 
        research, technology, intelligence, information, equipment, and 
        personnel that the President determines will advance the 
        national security interests of the United States and is 
        consistent with the Strategic Dialogue and pertinent provisions 
        of law--
                    (A) by enhancing scientific cooperation between 
                Israel and the United States; or
                    (B) by the sale, lease, exchange in kind, or other 
                techniques the President determines to be suitable.
    (f) Cooperative Research Pilot Programs.--
            (1) In general.--The Secretary of Homeland Security, acting 
        through the Director of the Homeland Security Advanced Research 
        Projects Agency and with the concurrence of the Secretary of 
        State, is authorized to enter into cooperative research pilot 
        programs with Israel to enhance Israel's capabilities in the 
        following areas:
                    (A) Border, maritime, and aviation security.
                    (B) Explosives detection.
                    (C) Emergency services.
            (2) Authorization of appropriations.--For fiscal year 2014, 
        there are authorized to be appropriated to the Secretary of 
        Homeland Security--
                    (A) $1,000,000 to carry out paragraph (1)(A);
                    (B) $1,000,000 to carry out paragraph (1)(B); and
                    (C) $1,000,000 to carry out paragraph (1)(C).

SEC. 103. UNITED STATES-ISRAEL COOPERATION ON CYBER-SECURITY.

    It is a sense of Congress that the United States and Israel should 
take steps and explore avenues to increase cooperation on cyber-
security.

SEC. 104. STATEMENT OF UNITED STATES POLICY REGARDING ISRAEL'S DEFENSE 
              SYSTEMS.

    (a) Findings.--Congress--
            (1) commends the first phase completion of the David's 
        Sling Weapon System (DSWS) by the Israel Missile Defense 
        Organization and the U.S. Missile Defense Agency, which is 
        designed to provide additional opportunities for interception 
        by the joint United States-Israel Arrow Weapon System (Arrow 2 
        and Arrow 3);
            (2) congratulates the Israel Missile Defense Organization 
        and the U.S. Missile Defense Agency on successfully executing 
        the Arrow 3 flyout of a more advanced interceptor, which will 
        improve Israel's defenses against upper tier ballistic missile 
        threats from nations including Iran;
            (3) recognizes that during Operation Pillar of Defense in 
        November 2012, Israel deployed Iron Dome short-range rocket 
        defense batteries to intercept Hamas-launched rockets fired 
        from Gaza--of those rockets that posed a threat to the life of 
        Israeli citizens, 80 to 85 percent were successfully 
        intercepted, saving countless lives; and
            (4) agrees that, as stated by former Secretary of Defense 
        Leon Panetta, ``Iron Dome performed, I think it's fair to say, 
        remarkably well during the recent escalation . . . Iron Dome 
        does not start wars. It helps prevent wars.''.
    (b) Statement of Policy.--It should be the policy of the United 
States that the President, acting through the Secretary of Defense and 
the Secretary of State, should provide assistance, upon request by the 
Government of Israel, for the enhancement of the David's Sling Weapon 
System, the enhancement of the joint United States-Israel Arrow Weapon 
System (Arrow 2 and Arrow 3), and the procurement and enhancement of 
the Iron Dome short-range rocket defense system for purposes of 
intercepting short-range rockets, missiles, and other projectiles 
launched against Israel.

SEC. 105. REPORT ON OTHER MATTERS.

    (a) Sense of Congress.--It is the sense of Congress that--
            (1) the United States and Israel should continue 
        collaborative efforts to enhance Israel's military 
        capabilities, including through the transfer of advanced combat 
        aircraft, active phased array radar, military tanker-
        transports, other multi-mission military aircraft, advanced or 
        specialized munitions, and through joint training and exercise 
        opportunities in the United States;
            (2) the United States and Israel should expeditiously 
        conclude an updated Memorandum of Understanding regarding 
        United States security assistance in order to help Israel meet 
        its unique security requirements and uphold its qualitative 
        military edge;
            (3) the United States should ensure that Israel has timely 
        access to important military equipment, including by augmenting 
        the forward deployed United States War Reserve Stockpile in 
        Israel and by continuing to provide Israel with critical 
        military equipment and spare parts through the Department of 
        Defense's Excess Defense Articles program; and
            (4) the United States should continue to support Israel's 
        inherent right of self-defense.
    (b) Report.--
            (1) In general.--Not later than 120 days after the date of 
        the enactment of this Act, the Comptroller General of the 
        United States shall submit to the appropriate congressional 
        committees a report that--
                    (A) reviews the progress made toward the actions 
                and efforts identified in the report required under 
                section 6(b) of the United States-Israel Enhanced 
                Security Cooperation Act of 2012 (Public Law 112-150; 
                22 U.S.C. 8604(b)); and
                    (B) provides policy recommendations, if necessary.
            (2) Form.--The report required by paragraph (1) may include 
        a classified annex.
            (3) Appropriate congressional committees defined.--In this 
        subsection, the term ``appropriate congressional committees'' 
        means--
                    (A) the Committee on Foreign Affairs and the 
                Committee on Armed Services of the House of 
                Representatives; and
                    (B) the Committee on Foreign Relations and the 
                Committee on Armed Services of the Senate.

SEC. 106. STATEMENT OF POLICY.

    It shall be the policy of the United States to include Israel in 
the list of countries that participate in the visa waiver program under 
section 217 of the Immigration and Nationality Act (8 U.S.C. 1187) when 
Israel satisfies, and as long as Israel continues to satisfy, the 
requirements for inclusion in such program specified in such section.

SEC. 107. SENSE OF CONGRESS.

    It is the sense of Congress that the Department of State should 
continue and, to the furthest extent practicable, increase its 
coordination on monitoring and combating anti-Semitism with the 
Government of Israel.

           TITLE II--UNITED STATES-ISRAEL ENERGY COOPERATION

SEC. 201. UNITED STATES-ISRAEL ENERGY COOPERATION.

    (a) Findings.--Section 917(a) of the Energy Independence and 
Security Act of 2007 (42 U.S.C. 17337(a)) is amended--
            (1) in paragraph (1), by striking ``renewable'' and 
        inserting ``covered'';
            (2) in paragraph (4)--
                    (A) by striking ``possible many'' and inserting 
                ``possible--
                    ``(A) many'';
                    (B) by inserting ``and'' after the semicolon at the 
                end; and
                    (C) by adding at the end the following:
                    ``(B) significant contributions to the development 
                of renewable energy and energy efficiency through the 
                established programs of the United States-Israel 
                Binational Industrial Research and Development 
                Foundation and the United States-Israel Binational 
                Science Foundation;'';
            (3) in paragraph (6)--
                    (A) by striking ``renewable'' and inserting 
                ``covered''; and
                    (B) by striking ``and'' after the semicolon at the 
                end;
            (4) in paragraph (7)--
                    (A) by striking ``renewable'' and inserting 
                ``covered''; and
                    (B) by striking the period at the end and inserting 
                a semicolon; and
            (5) by adding at the end the following:
            ``(8) United States-Israel energy cooperation, and the 
        development of natural resources by Israel, are strategic 
        interests of the United States;
            ``(9) Israel is a strategic partner of the United States in 
        water technology;
            ``(10) the United States can play a role in assisting 
        Israel with regional safety and security issues;
            ``(11) the National Science Foundation of the United States 
        should collaborate with the Israel Science Foundation;
            ``(12) the United States and Israel should strive to 
        develop more robust academic cooperation in energy innovation 
        technology and engineering, water science, technology transfer, 
        and analysis of geopolitical implications of new natural 
        resource development and associated areas;
            ``(13) the United States supports the goals of the 
        Alternative Fuels Administration of Israel;
            ``(14) the United States strongly urges open dialogue and 
        continued mechanisms for regular engagement and encourages 
        further cooperation between applicable departments, agencies, 
        ministries, institutions of higher education, and the private 
        sectors of the United States and Israel on energy security 
        issues, including--
                    ``(A) identifying policy priorities associated with 
                the development of natural resources of Israel;
                    ``(B) discussing best practices to secure cyber 
                energy infrastructure;
                    ``(C) best practice sharing;
                    ``(D) leveraging natural gas to positively impact 
                regional stability;
                    ``(E) improving energy efficiency and the overall 
                performance of water technologies through research and 
                development in water desalination, wastewater treatment 
                and reclamation, and other water treatment 
                technologies;
                    ``(F) technical and environmental management of 
                deep-water exploration and production;
                    ``(G) coastal protection and restoration;
                    ``(H) academic outreach and engagement;
                    ``(I) private sector and business development 
                engagement;
                    ``(J) regulatory consultations;
                    ``(K) leveraging alternative transportation fuels 
                and technologies; and
                    ``(L) any other areas determined appropriate by the 
                United States and Israel;
            ``(15) the United States acknowledges the achievements and 
        importance of the United States-Israel Binational Industrial 
        Research and Development Foundation and the United States-
        Israel Binational Science Foundation and supports continued 
        multiyear funding to ensure the continuity of the programs of 
        the Foundations; and
            ``(16) the United States and Israel have a shared interest 
        in addressing their immediate, near-term, and long-term energy 
        and environmental challenges.''.
    (b) Establishment.--Section 917(b)(1) of the Energy Independence 
and Security Act of 2007 (42 U.S.C. 17337(b)(1)) is amended by striking 
``renewable energy or energy efficiency'' and inserting ``covered 
energy''.
    (c) Types of Energy.--Section 917(b)(2) of the Energy Independence 
and Security Act of 2007 (42 U.S.C. 17337(b)(2)) is amended--
            (1) in the heading, by striking ``Types of'' and inserting 
        ``Covered'';
            (2) in subparagraph (F), by striking ``and'' after the 
        semicolon at the end;
            (3) in subparagraph (G), by striking the period at the end 
        and inserting a semicolon; and
            (4) by adding at the end the following:
                    ``(H) natural gas energy, including conventional 
                and unconventional natural gas technologies and natural 
                gas projects conducted by or in conjunction with the 
                United States-Israel Binational Science Foundation, the 
                United States-Israel Binational Industrial Research and 
                Development Foundation, and the United States-Israel 
                Science and Technology Foundation; and
                    ``(I) improvement of energy efficiency and the 
                overall performance of water technologies through 
                research and development in water desalination, 
                wastewater treatment and reclamation, and other water 
                treatment technologies.''.
    (d) Eligible Applicants.--Section 917(b)(3) of the Energy 
Independence and Security Act of 2007 (42 U.S.C. 17337(b)(3)) is 
amended by striking ``energy efficiency or renewable'' and inserting 
``covered''.
    (e) Authorization of Appropriations; International Partnerships.--
Section 917 of the Energy Independence and Security Act of 2007 (42 
U.S.C. 17337) is amended--
            (1) by redesignating subsections (c) and (d) as subsections 
        (e) and (f), respectively;
            (2) by inserting after subsection (b) the following:
    ``(c) International Partnerships.--
            ``(1) In general.--The Secretary may, subject to the 
        availability of appropriations, enter into cooperative 
        agreements supporting and enhancing dialogue and planning 
        involving international partnerships between the Department, 
        including National Laboratories of the Department, and the 
        Government of Israel and its ministries, offices, and 
        institutions.
            ``(2) Federal share.--The Secretary may not pay more than 
        50 percent of the costs described in paragraph (1).
            ``(3) Annual reports.--The Secretary shall submit to the 
        Committee on Energy and Commerce, the Committee on Science, 
        Space, and Technology, the Committee on Foreign Affairs, and 
        the Committee on Appropriations of the House of Representatives 
        and the Committee on Energy and Natural Resources, the 
        Committee on Foreign Relations, and the Committee on 
        Appropriations of the Senate an annual report that describes--
                    ``(A) actions taken to carry out this subsection; 
                and
                    ``(B) any projects under this subsection for which 
                the Secretary requests funding.
    ``(d) United States-Israel Center.--The Secretary may establish a 
joint United States-Israel Center based in an area of the United States 
with the experience, knowledge, and expertise in offshore energy 
development to further dialogue and collaboration to develop more 
robust academic cooperation in energy innovation technology and 
engineering, water science, technology transfer, and analysis of 
geopolitical implications of new natural resource development and 
associated areas.''; and
            (3) by amending subsection (f) (as redesignated) to read as 
        follows:
    ``(f) Authorization of Appropriations.--Of the amounts made 
available under section 931 of the Energy Policy Act of 2005 (42 U.S.C. 
16231), the Secretary is authorized to use $2,000,000 for each fiscal 
year to carry out this section.''.
    (f) Termination.--Subsection (e) of section 917 of the Energy 
Independence and Security Act of 2007 (42 U.S.C. 17337) (as 
redesignated by subsection (e)(1)) is amended by striking ``the date 
that is 7 years after the date of enactment of this Act'' and inserting 
``September 30, 2021''.

                           TITLE III--OFFSET

SEC. 301. OFFSET.

    Section 102(a) of the Enhanced Partnership with Pakistan Act of 
2009 (Public Law 111-73) is amended by striking ``$1,500,000,000'' and 
inserting ``$1,487,000,000''.

            Passed the House of Representatives March 5, 2014.

            Attest:

                                                 KAREN L. HAAS,

                                                                 Clerk.