[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3858 Introduced in House (IH)]

<DOC>






114th CONGRESS
  1st Session
                                H. R. 3858

   To reauthorize the September 11th Victim Compensation Fund and to 
 create a fund to compensate U.S. victims of state sponsored terrorism 
    who hold final judgments from Article III courts and for other 
                               purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 29, 2015

    Mr. Chabot (for himself, Mr. Goodlatte, and Mr. Smith of Texas) 
 introduced the following bill; which was referred to the Committee on 
                             the Judiciary

_______________________________________________________________________

                                 A BILL


 
   To reauthorize the September 11th Victim Compensation Fund and to 
 create a fund to compensate U.S. victims of state sponsored terrorism 
    who hold final judgments from Article III courts 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.

    This Act may be cited as the ``September 11th VCF Reauthorization 
and U.S. Victims of State Sponsored Terrorism Compensation Act''.

TITLE I--REAUTHORIZATION OF THE SEPTEMBER 11TH VICTIM COMPENSATION FUND

SEC. 101. DEFINITIONS.

    Section 402 of the September 11th Victim Compensation Fund of 2001 
(49 U.S.C. 40101 note) is amended--
            (1) by redesignating paragraphs (5), (6), (7), (8), (9), 
        (10), (11), (12), (13), and (14) as paragraphs (6), (7), (8), 
        (9), (10), (11), (13), (14), (15), and (19), respectively;
            (2) by inserting after paragraph (4) the following:
            ``(5) Certified-eligible wtc survivor.--The term 
        `certified-eligible WTC survivor' has the meaning given such 
        term in section 3321(a)(2) of the Public Health Service Act (42 
        U.S.C. 300mm-31(a)(2)).'';
            (3) in paragraph (10), as so redesignated--
                    (A) by striking ``medical expense loss,'';
                    (B) by striking ``and loss of business or 
                employment opportunities'' and inserting ``, loss of 
                business or employment opportunities, and past out-of-
                pocket medical expense loss''; and
                    (C) by inserting ``, but does not include future 
                medical expense loss'' before the period at the end;
            (4) by inserting after paragraph (11), as so redesignated, 
        the following:
            ``(12) Enrolled wtc responder.--The term `enrolled WTC 
        responder' has the meaning given such term in section 3306 of 
        the Public Health Service Act (42 U.S.C. 300mm-5).'';
            (5) by inserting after paragraph (15), as so redesignated, 
        the following:
            ``(16) World trade center health program.--The term `World 
        Trade Center Health Program' means the program established by 
        section 3301 of the Public Health Service Act (42 U.S.C. 
        300mm).
            ``(17) WTC program administrator.--The term `WTC Program 
        Administrator' has the meaning given such term in section 3306 
        of the Public Health Service Act (42 U.S.C. 300mm-5).
            ``(18) WTC-related physical health condition.--
                    ``(A) In general.--The term `WTC-related physical 
                health condition'--
                            ``(i) means, subject to clause (ii), a WTC-
                        related physical health condition as defined by 
                        section 3312(a) of the Public Health Service 
                        Act (42 U.S.C. 300mm-22(a)), including the 
                        conditions listed in section 3322(b) of such 
                        Act (42 U.S.C. 300mm-32(b)); and
                            ``(ii) does not include any type of mental 
                        health condition.
                    ``(B) Medical judgment of wtc program 
                administrator.--For purposes of determining the 
                conditions that meet the definition of a WTC-related 
                physical health condition, the Special Master shall 
                rely on the medical judgment of the WTC Program 
                Administrator.''; and
            (6) in paragraph (19), as so redesignated, by amending 
        subparagraph (C) to read as:
                    ``(C) the area in Manhattan that is south of the 
                line that runs along Canal Street from the Hudson River 
                to the intersection of Canal Street and East Broadway, 
                north on East Broadway to Clinton Street, and east on 
                Clinton Street to the East River; and''.

SEC. 102. PURPOSE.

    Section 403 of the September 11th Victim Compensation Fund of 2001 
(49 U.S.C. 40101 note) is amended by inserting ``, or the rescue and 
recovery efforts during the immediate aftermath of such crashes'' 
before the period at the end.

SEC. 103. DETERMINATION OF ELIGIBILITY FOR COMPENSATION.

    Section 405 of the September 11th Victim Compensation Fund of 2001 
(49 U.S.C. 40101 note) is amended--
            (1) in subsection (a)(3), by striking ``during the period'' 
        and all that follows through the period and inserting ``during 
        either--
                            ``(i) the period beginning on October 3, 
                        2011, and ending on October 3, 2016; or
                            ``(ii) the period beginning on October 4, 
                        2016, and ending on October 4, 2021.'';
            (2) in subsection (b)(6), by inserting ``, or the rescue 
        and recovery efforts during the immediate aftermath of such 
        crashes'' before the period; and
            (3) in subsection (c)(3)--
                    (A) in subparagraph (A)--
                            (i) in clause (i), by striking ``the period 
                        described in subsection (a)(3)(B)'' and 
                        inserting ``a period described in clause (i) or 
                        (ii) of subsection (a)(3)(B)'';
                            (ii) in clause (i)(I)--
                                    (I) by striking ``the date 
                                specified in clause (iii)'' and 
                                inserting ``October 3, 2011'';
                                    (II) by striking ``before such 
                                specified date'' and inserting ``before 
                                such date''; and
                                    (III) by striking ``such specified 
                                date.'' and inserting ``October 3, 
                                2011.'';
                            (iii) in clause (i)(II)--
                                    (I) by striking ``date specified in 
                                clause (iii)'' and inserting ``October 
                                3, 2011,''; and
                                    (II) by striking ``on or after such 
                                specified date'' and inserting ``on or 
                                after such date''; and
                            (iv) by striking clauses (ii) and (iii) and 
                        inserting the following:
                            ``(ii) WTC health program requirements for 
                        eligibility.--
                                    ``(I) In general.--Subject to 
                                subclause (II), an individual may file 
                                a claim during a period described in 
                                clause (i) or (ii) of subsection 
                                (a)(3)(B) only if the individual has a 
                                WTC-related physical health condition 
                                and with respect to such condition--
                                            ``(aa) the individual is an 
                                        enrolled WTC responder;
                                            ``(bb) the individual is a 
                                        certified-eligible WTC 
                                        survivor; or
                                            ``(cc) the individual is an 
                                        individual described in section 
                                        3323(b) of the Public Health 
                                        Service Act (42 U.S.C. 300mm-
                                        33(b)).
                                    ``(II) Personal representatives.--
                                An individual who is a personal 
                                representative described in paragraph 
                                (2)(C) may file a claim during a period 
                                described in clause (i) or (ii) of 
                                subsection (a)(3)(B) only if the 
                                Special Master, with assistance from 
                                the WTC Program Administrator as 
                                necessary, determines that the 
                                Administrator would have determined 
                                that--
                                            ``(aa) the condition that 
                                        caused the death of the 
                                        decedent was a WTC-related 
                                        physical health condition; and
                                            ``(bb) on the date of the 
                                        death of a decedent, the 
                                        decedent would have qualified 
                                        to be an enrolled WTC 
                                        responder, a certified-eligible 
                                        WTC survivor, or an individual 
                                        described in section 3323(b) of 
                                        the Public Health Service Act 
                                        (42 U.S.C. 300mm-33(b)).''; and
                    (B) in subparagraph (C)--
                            (i) in clause (ii), by striking ``the 
                        period described in subsection (a)(3)(B)'' and 
                        inserting ``a period described in clause (i) or 
                        (ii) of subsection (a)(3)(B)''; and
                            (ii) in clause (iii), by striking ``the 
                        date on which the James Zadroga 9/11 Health and 
                        Compensation Act of 2010 was enacted'' and 
                        inserting ``January 2, 2011''.

SEC. 104. PAYMENTS TO ELIGIBLE INDIVIDUALS.

    Section 406 of the September 11th Victim Compensation Fund of 2001 
(49 U.S.C. 40101 note) is amended--
            (1) in subsection (b)--
                    (A) by striking ``This title constitutes'' and 
                inserting the following:
            ``(1) First extended period.--This title constitutes'';
                    (B) by striking ``subsection (d)(1)'' and inserting 
                ``subsection (d)(1)(A)''; and
                    (C) by adding at the end the following:
            ``(2) Final extended period.--For claims submitted between 
        October 4, 2016, and October 4, 2021, amounts in the 9/11 Fund 
        shall be available, without further appropriation, for the 
        payment of amounts for compensation under this title subject to 
        the limitations under subsection (d).''; and
            (2) by amending subsection (d) to read as follows:
    ``(d) Limitation.--
            ``(1) In general.--
                    ``(A) First extended period.--The total amount of 
                Federal funds paid for compensation under this title, 
                with respect to claims filed during the 5-year period 
                described in section 405(a)(3)(B)(i), shall not exceed 
                $2,775,000,000. Of such amounts, not to exceed 
                $875,000,000 shall be available to pay such claims 
                during such 5-year period.
                    ``(B) Final extended period.--The total amount of 
                Federal funds paid for compensation under this title, 
                with respect to claims filed during the 5-year period 
                described in section 405(a)(3)(B)(ii), shall not exceed 
                $2,775,000,000. Of such amounts, not to exceed 
                $1,400,000,000 shall be available to pay such claims 
                during such 5-year period.
            ``(2) Pro-ration and payment of remaining claims.--
                    ``(A) In general.--The Special Master shall ratably 
                reduce the amount of compensation due claimants under 
                this title in a manner to ensure, to the extent 
                possible, that--
                            ``(i) all claimants who, before application 
                        of the limitation under the second sentence of 
                        subparagraph (A) or (B) of paragraph (1), as 
                        applicable, would have been determined to be 
                        entitled to a payment under this title during 
                        the applicable 5-year period, receive a payment 
                        during such period; and
                            ``(ii) the total amount of all such 
                        payments made during the applicable 5-year 
                        period do not exceed the amount available under 
                        the second sentence of subparagraph (A) or (B) 
                        of paragraph (1), as applicable, to pay claims 
                        during such period.
                    ``(B) Payment of remainder of claim amounts.--
                            ``(i) In general.--In any case in which the 
                        amount of a claim is ratably reduced pursuant 
                        to subparagraph (A), on or after the first day 
                        after the 5-year period described in 
                        subparagraph (A) or (B) of paragraph (1), as 
                        applicable, but in no event later than 1 year 
                        after the applicable 5-year period, the Special 
                        Master shall pay to the claimant the amount 
                        that is equal to the difference between--
                                    ``(I) the amount that the claimant 
                                would have been paid under this title 
                                during the applicable 5-year period 
                                without regard to the limitation under 
                                the second sentence of subparagraph (A) 
                                or (B) of paragraph (1) applicable to 
                                the 5-year period described in such 
                                applicable subparagraph; and
                                    ``(II) the amount the claimant was 
                                paid under this title during the 
                                applicable 5-year period.
                            ``(ii) Pro rata distribution.--The Special 
                        Master shall ratably reduce the payments made 
                        under this subparagraph to ensure that the 
                        total amount of payments made for claims 
                        submitted during the applicable 5-year period 
                        do not exceed the limitations under the first 
                        sentence of paragraph (1)(A) or paragraph 
                        (1)(B) as applicable. In addition, for payments 
                        made pursuant to this subparagraph for claims 
                        submitted during the 5-year period described in 
                        section 405(a)(3)(B)(ii), the Special Master 
                        shall, if necessary, reduce such payments to 
                        ensure that the proportional ratio for such 
                        payments does not exceed the proportional ratio 
                        for payments made on claims submitted during 
                        the 5-year period described in section 
                        405(a)(3)(B)(i).
                            ``(iii) Final allocation.--If after all 
                        payments are made pursuant to subparagraph (B) 
                        on claims submitted between October 4, 2016, 
                        and October 4, 2021, funds remain in the 9/11 
                        Fund and claims were ratably reduced pursuant 
                        to clause (ii), the Special Master shall 
                        distribute the remaining funds on a pro rata 
                        basis to claimants who submitted claims during 
                        either 5-year period described in section 
                        405(a)(3)(B) whose claims were ratably reduced. 
                        If funds remain in the 9/11 Fund after such 
                        payments, such funds shall be transferred into 
                        the United States Victims of State Sponsored 
                        Terrorism Fund created by title II of this Act.
                    ``(C) Termination.--Upon completion of all payments 
                pursuant to this subsection, the Victim's Compensation 
                Fund shall be permanently closed.''.

SEC. 105. 9/11 FUND.

    The September 11th Victim Compensation Fund of 2001 (49 U.S.C. 
40101 note) is amended by adding at the end the following new section:

``SEC. 410. 9/11 FUND.

    ``(a) Establishment of the 9/11 Fund.--There is established in the 
Treasury a fund, to be designated as the 9/11 Fund.
    ``(b) Funding.--Beginning on the date of the enactment of this Act, 
$2,775,000,000 of the funds paid to the United States Government by BNP 
Paribas S.A. (BNPP) as part of, or related to, a plea agreement dated 
June 27, 2014, entered into between the United States Department of 
Justice and BNPP, and subject to a consent order entered by the United 
States District Court for the Southern District of New York on May 1, 
2015, in United States v. BNPP, No. 14 Cr. 460 (SDNY) to settle charges 
against BNPP for conspiracy to commit an offense against the United 
States in violation of section 371 of title 18, United States Code, by 
conspiring to violate the International Emergency Economic Powers Act 
(50 U.S.C. 1701 et seq.), and the Trading with the Enemy Act (50 U.S.C. 
App. 1 et seq.) shall be deposited or transferred into the Fund for 
distribution for claims submitted between October 4, 2016, and October 
4, 2021, under this Act.
    ``(c) Management of Fund.--The Fund shall be managed and invested 
in the same manner as a trust fund is managed and invested under 
section 9602 of the Internal Revenue Code of 1986.''.

  TITLE II--COMPENSATION FOR UNITED STATES VICTIMS OF STATE SPONSORED 
                             TERRORISM ACT

SEC. 201. SHORT TITLE.

    This title may be cited as the ``Justice for United States Victims 
of State Sponsored Terrorism Act''.

SEC. 202. ADMINISTRATION OF THE U.S. VICTIMS OF STATE SPONSORED 
              TERRORISM FUND.

    (a) Administration of the Fund.--
            (1) Appointment and terms of special master.--
                    (A) Initial appointment.--Not later than 60 days 
                after the date of the enactment of this Act, the 
                Attorney General shall appoint a Special Master. The 
                initial term for the Special Master shall be 18 months.
                    (B) Additional terms.--Thereafter, each time the 
                Attorney General determines sufficient money is 
                available in the Fund to compensate eligible victims, 
                the Attorney General shall appoint or reappoint a 
                Special Master for such period as is appropriate, not 
                to exceed one year.
                    (C) Special master to administer compensation from 
                the fund.--The Special Master shall administer the 
                compensation program described in this title for United 
                States persons who are victims of state sponsored 
                terrorism.
            (2) Use of department of justice personnel.--The Special 
        Master may utilize, as necessary, no more than five full-time 
        equivalent Department of Justice personnel to assist in 
        carrying out the duties of the Special Master under this title.
            (3) Compensation of special master.--The Special Master 
        shall be compensated from the Fund at a rate not to exceed the 
        annual rate of basic pay for level IV of the Executive 
        Schedule, as prescribed by section 5315 of title 5, United 
        States Code.
    (b) Publication of Regulations and Procedures.--
            (1) In general.--Not later than 60 days after the date of 
        the initial appointment of the Special Master, the Special 
        Master shall publish in the Federal Register and on a website 
        maintained by the Department of Justice a notice specifying the 
        procedures necessary for United States persons to apply and 
        establish eligibility for payment. Such notice is not subject 
        to the requirements of section 533 of title 5, United States 
        Code.
            (2) Information regarding other sources of compensation.--
        As part of the procedures for United States persons to apply 
        and establish eligibility for payment, the Special Master shall 
        require applicants to provide the Special Master with 
        information regarding the amount of compensation from any 
        source other than this Fund that the claimant (or, in the case 
        of a personal representative, the victim's beneficiaries) has 
        received or is entitled to receive as a result of the act of 
        international terrorism that gave rise to a claimant's final 
        judgment.
    (c) Decisions of the Special Master.--All decisions made by the 
Special Master with regard to compensation from the Fund shall be--
            (1) in writing and provided to the Attorney General, each 
        claimant and, if applicable, the attorney for each claimant; 
        and
            (2) final and, except as provided in subsection (d), not 
        subject to administrative or judicial review.
    (d) Review Hearing.--
            (1) Not later than 30 days after receipt of a written 
        decision by the Special Master, a claimant whose claim is 
        denied in whole or in part by the Special Master may request a 
        hearing before the Special Master pursuant to procedures 
        established by the Special Master.
            (2) Not later than 90 days after any such hearing, the 
        Special Master shall issue a written decision affirming or 
        amending the original decision. This written decision is final 
        and nonreviewable.

SEC. 203. ELIGIBLE CLAIMS.

    (a) Generally.--For the purposes of this title, a claim is an 
eligible claim if the Special Master determines that--
            (1) the judgment holder is a United States person;
            (2) the claim is described in subsection (b); and
            (3) the requirements of subsection (c) are met.
    (b) In General.--The claims referred to in subsection (a) are 
claims for--
            (1) compensatory damages awarded to a United States person 
        in a final judgment--
                    (A) issued by a United States district court under 
                State or Federal law against a state sponsor of 
                terrorism; and
                    (B) arising from acts of international terrorism, 
                for which the foreign state was determined not to be 
                immune from the jurisdiction of the courts of the 
                United States under section 1605A, or section 
                1605(a)(7) (as such section was in effect on January 
                27, 2008), of title 28, United States Code; or
            (2) the sum total of $10,000 per day for each day that a 
        United States person was taken and held hostage from the United 
        States embassy in Tehran, Iran, during the period beginning 
        November 4, 1979, and ending January 20, 1981.
    (c) Deadline for Application Submission.--
            (1) The deadline for submitting an application for a 
        payment under this section is as follows:
                    (A) Not later than 90 days after the date of the 
                publication required under section 202(b)(2), with 
                regard to an application based on--
                            (i) a final judgment described in 
                        subsection (b)(1) obtained before that date of 
                        publication; or
                            (ii) a claim described in subsection 
                        (b)(2).
                    (B) Not later than 90 days after the date of 
                obtaining a final judgment, with regard to a final 
                judgment obtained on or after the date of that 
                publication.
            (2) For good cause shown, the Special Master may grant a 
        claimant a reasonable extension of a deadline under this 
        subsection.

SEC. 204. PAYMENTS.

    (a) To Whom Made.--The Special Master shall order payment from the 
Fund for each eligible claim of a United States person to that person 
or, if that person is deceased, to the personal representative of the 
estate of that person.
    (b) Timing of Initial Payments.--The Special Master shall authorize 
all initial payments to satisfy eligible claims under this title not 
later than 1 year after the date of the enactment of this Act.
    (c) Payments To Be Made Pro Rata.--
            (1) In general.--Except as provided in paragraph (2), the 
        Special Master shall carry out subsection (a), by dividing all 
        available funds on a pro rata basis, based on the amounts 
        outstanding and unpaid on eligible claims, until all such 
        amounts have been paid in full. In the event that a United 
        States person has an eligible claim that exceeds $100 million, 
        the Special Master shall treat that claim as if it were for 
        $100 million for purposes of this section.
            (2) Minimum payments.--
                    (A) Any applicant with an eligible claim described 
                in section 203(b)(1) who has received, or is eligible 
                or scheduled to receive, any payment that is equal to, 
                or in excess of, 30 percent of the total compensatory 
                damages owed to such applicant on the applicant's claim 
                from any source other than this Fund shall not receive 
                any payment from the Fund until such time as all other 
                eligible applicants have received from the Fund an 
                amount equal to 30 percent of the compensatory damages 
                awarded to those applicants. For purposes of 
                calculating the pro rata for these payments, the 
                Special Master shall not include the total compensatory 
                damages for applicants excluded from payment by this 
                subparagraph.
                    (B) To the extent that an applicant with an 
                eligible claim has received less than 30 percent of the 
                compensatory damages owed that applicant under a final 
                judgment described in section 203(b)(1) from any source 
                other than this Fund, such applicant may apply to the 
                Special Master for the difference between the 
                percentage of compensatory damages the applicant has 
                received from other sources and the percentage of 
                compensatory damages to be awarded other eligible 
                applicants from the Fund.
    (d) Additional Payments.--On January 1 of the second calendar year 
that begins after the date of the initial payments described in 
subsection (a) if funds are available in the Fund, the Special Master 
shall authorize additional payments on a pro rata basis to those 
claimants with eligible claims under section 203(b)(1) and shall 
authorize additional payments for eligible claims annually thereafter 
if funds are available in the Fund.
    (e) Subrogation and Retention of Rights.--
            (1) United states subrogated to creditor rights to the 
        extent of payment.--The United States shall be subrogated to 
        the rights of any person who applies for and receives payments 
        under this title, but only to the extent and in the amount of 
        such payments made under this title. The President shall pursue 
        these subrogated rights as claims or offsets of the United 
        States in appropriate ways, including any negotiation process 
        that precedes the normalization of relations between the 
        foreign state designated as a state sponsor of terrorism and 
        the United States or the lifting of sanctions against such 
        foreign state.
            (2) Rights retained.--To the extent amounts of damages 
        remain unpaid and outstanding under this section, each 
        applicant shall retain that applicant's creditor rights in any 
        unpaid and outstanding amounts of the judgment, including any 
        prejudgment or post-judgment interest, or punitive damages, 
        awarded by the United States district court pursuant to a 
        judgment.

SEC. 205. UNITED STATES VICTIMS OF STATE SPONSORED TERRORISM FUND.

    (a) Establishment of U.S. Victims of State Sponsored Terrorism 
Fund.--There is established in the Treasury a fund, to be designated as 
the United States Victims of State Sponsored Terrorism Fund.
    (b) In General.--Beginning on the date of the enactment of this 
Act, the following shall be deposited or transferred into the Fund for 
distribution under this title:
            (1) Forfeited funds and property.--All funds, and the net 
        proceeds from the sale of property, forfeited or paid to the 
        United States after the date of enactment of this Act as a 
        civil or criminal penalty or fine arising from a violation of 
        any license, order, regulation, or prohibition issued under the 
        International Emergency Economic Powers Act (50 U.S.C. 1701 et 
        seq.) or the Trading with the Enemy Act (50 U.S.C. App. 1 et 
        seq.), or any related civil or criminal conspiracy, scheme, or 
        other Federal offense arising from the actions of, or doing 
        business with, a state sponsor of terrorism.
            (2) Transfer of forfeited funds related to plea agreement 
        and settlement between the united states and bnp paribas s.a.--
        All funds, excluding those funds transferred to the 9/11 Fund 
        by title I of this Act, paid to the United States Government by 
        BNP Paribas S.A. (BNPP) as part of, or related to, a plea 
        agreement dated June 27, 2014, entered into between the United 
        States Department of Justice and BNPP, and subject to a consent 
        order entered by the United States District Court for the 
        Southern District of New York on May 1, 2015, in United States 
        v. BNPP, No. 14 Cr. 460 (SDNY) to settle charges against BNPP 
        for conspiracy to commit an offense against the United States 
        in violation of section 371 of title 18, United States Code, by 
        conspiring to violate the International Emergency Economic 
        Powers Act (50 U.S.C. 1701 et seq.), and the Trading with the 
        Enemy Act (50 U.S.C. App. 1 et seq.).
            (3) Transfer into fund of certain assigned assets of iran 
        and election to participate in fund.--
                    (A) Deposit into fund of assigned proceeds from 
                sale of properties and related assets identified in in 
                re 650 fifth avenue & related properties.--
                            (i) In general.--Except as provided in 
                        clause (ii), if the United States receives a 
                        final judgment forfeiting the properties and 
                        related assets identified in the proceedings 
                        captioned as In Re 650 Fifth Avenue & Related 
                        Properties, No. 08 Civ. 10934 (S.D.N.Y. filed 
                        Dec. 17, 2008), the net proceeds (not including 
                        the litigation expenses and sales costs 
                        incurred by the United States) resulting from 
                        the sale of such properties and related assets 
                        by the United States shall be deposited into 
                        the Fund.
                            (ii) Limitation.--The following proceeds 
                        resulting from any sale of the properties and 
                        related assets identified in clause (i) shall 
                        not be transferred into the Fund:
                                    (I) The percentage of proceeds 
                                attributable to any party identified as 
                                a Settling Judgment Creditor in the 
                                order dated April 16, 2014, in such 
                                proceedings, who does not make an 
                                election (described in subparagraph 
                                (C)) to participate in the Fund.
                                    (II) The percentage of proceeds 
                                attributable to the parties identified 
                                as the Hegna Judgment Creditors in such 
                                proceedings, unless and until a final 
                                judgment is entered denying the claims 
                                of such creditors.
                    (B) Deposit into fund of assigned assets identified 
                in petersen v. islamic republic of iran.--If a final 
                judgment is entered in Peterson v. Islamic Republic of 
                Iran, No. 10 Civ. 4518 (S.D.N.Y.), awarding the assets 
                at issue in that case to the plaintiffs, those assets 
                shall be deposited into the Fund, but only to the 
                extent, and in such percentage, that the rights, title, 
                and interest to such assets were assigned through 
                elections made pursuant to subparagraph (C).
                    (C) Election to participate in the fund.--Upon 
                written notice to the Attorney General, the Special 
                Master, and the chief judge of the United States 
                District Court for the Southern District of New York 
                within 60 days of the date of enactment of this Act, a 
                United States person, who is a plaintiff in the 
                proceedings captioned Petersen v. Islamic Republic of 
                Iran, No. 10 Civ. 4518 (S.D.N.Y.), or a Settling 
                Judgment Creditor as identified in the proceedings 
                captioned In Re 650 Fifth Avenue & Related Properties, 
                No. 08 Civ. 10934 (S.D.N.Y. filed Dec. 17, 2008), shall 
                have the right to elect to participate in the Fund and, 
                to the extent any such person exercises such right, 
                shall irrevocably assign to the Fund all rights, title, 
                and interest to such person's claims to the assets at 
                issues in such proceedings. To the extent that a United 
                States person is both a plaintiff in the proceedings 
                captioned Petersen v. Islamic Republic of Iran, No. 10 
                Civ. 4518 (SDNY) and a Settling Judgment Creditor in In 
                Re 650 Fifth Avenue & Related Properties, No. 08 Civ. 
                10934 (S.D.N.Y. filed Dec. 17, 2008), any election by 
                such person to participate in the Fund pursuant to this 
                paragraph shall operate as an election to assign any 
                and all rights, title, and interest in the assets in 
                both actions for the purposes of participating in the 
                Fund. The Attorney General is authorized to pursue any 
                such assigned rights, title, and interest in those 
                claims for the benefit of the Fund.
                    (D) Application for conditional payment.--A United 
                States person who is a plaintiff in the proceedings 
                identified in subparagraph (C) and who does not elect 
                to participate in the Fund may, notwithstanding such 
                failure to elect, submit an application for conditional 
                payment from the Fund, subject to the following 
                limitations:
                            (i) Notwithstanding any such claimant's 
                        eligibility for payment and the initial 
                        deadline for initial payments set forth in 
                        section 204(b), the Special Master shall 
                        allocate but withhold payment to an eligible 
                        claimant who applies for a conditional payment 
                        under this paragraph until such time as an 
                        adverse final judgment is entered in both of 
                        the proceedings identified in subparagraph (C).
                            (ii) In the event that a final judgment is 
                        entered in favor of the plaintiffs in the 
                        proceedings identified in subparagraph (C), the 
                        payments allocated to claimants who applied for 
                        a conditional payment under this subparagraph 
                        shall be considered void, and any funds 
                        previously allocated to such conditional 
                        payments shall be made available and 
                        distributed to all other eligible claimants 
                        pursuant to section 204.
    (c) Expenditures From Fund.--Amounts in the Fund shall be 
available, without further appropriation, for the payment of eligible 
claims and compensation of the Special Master in accordance with this 
title.
    (d) Management of Fund.--The Fund shall be managed and invested in 
the same manner as a trust fund is managed and invested under section 
9602 of the Internal Revenue Code of 1986.

SEC. 206. AWARD OF COMPENSATION TO INFORMERS.

    (a) In General.--Any United States person who holds a final 
judgment described in section 203(b)(1) and who meets the requirements 
set forth in subsection (b) of this section is entitled to receive an 
award of 10 percent of the funds deposited in the Fund attributable to 
information such person furnished to the Attorney General that leads to 
a forfeiture described in section 203(a)(1), which is made after the 
date of enactment of this Act pursuant to a proceeding resulting in 
forfeiture that was initiated after the date of enactment of this Act.
    (b) Person Described.--A person meets the requirements of this 
subsection if--
            (1) the person identifies and notifies the Attorney General 
        of funds or property--
                    (A) of a state sponsor of terrorism, or held by a 
                third party on behalf of or subject to the control of 
                that state sponsor of terrorism;
                    (B) that were not previously identified or known by 
                the United States Government; and
                    (C) that are subsequently forfeited directly or in 
                the form of substitute assets to the United States; and
            (2) the Attorney General finds that the identification and 
        notification under paragraph (1) by that person substantially 
        contributed to the forfeiture to the United States.

SEC. 207. SPECIAL EXCLUSION FROM COMPENSATION.

    In no event shall an individual who is criminally culpable for an 
act of international terrorism receive any compensation under this 
title, either directly or on behalf of a victim.

SEC. 208. REPORT TO CONGRESS.

    Within 30 days after authorizing the payment of compensation of 
eligible claims pursuant to section 204, the Special Master shall 
submit to the chairman and ranking minority member of the Committee on 
the Judiciary of the House of Representatives and the chairman and 
ranking minority member of the Committee on the Judiciary of the Senate 
a report on the payment of eligible claims, which shall include--
            (1) an explanation of the procedures for filing and 
        processing of applications for compensation; and
            (2) an analysis of the payments made to United States 
        persons from the Fund and the amount of outstanding eligible 
        claims, including--
                    (A) the number of applications for compensation 
                submitted;
                    (B) the number of applications approved and the 
                amount of each award;
                    (C) the number of applications denied and the 
                reasons for the denial;
                    (D) the number of applications for compensation 
                that are pending for which compensatory damages have 
                not been paid in full; and
                    (E) the total amount of compensatory damages from 
                eligible claims that have been paid and that remain 
                unpaid.

SEC. 209. DEFINITIONS.

    In this title the following definitions apply:
            (1) Act of international terrorism.--The term ``act of 
        international terrorism'' includes--
                    (A) an act of torture, extrajudicial killing, 
                aircraft sabotage, or hostage taking as those terms are 
                defined by section 1605A(h) of title 28, United States 
                Code; and
                    (B) as defined by section 2339A of title 18, United 
                States Code, the provision of material support or 
                resources for an act described in subparagraph (A).
            (2) Adverse final judgment.--The term ``adverse final 
        judgment'' means a final judgment in favor of the defendant, or 
        defendants, in the proceedings identified in section 
        205(b)(3)(C), or which does not order any payment from, or 
        award any interest in, the assets at issue in such proceedings 
        to the plaintiffs or Settling Judgment Creditors in such 
        proceedings.
            (3) Compensatory damages.--The term ``compensatory 
        damages'' does not include pre-judgment or post-judgment 
        interest or punitive damages.
            (4) Final judgment.--The term ``final judgment'' means an 
        enforceable final judgment, decree or order on liability and 
        damages entered by a United States district court that is not 
        subject to further appellate review, but does not include a 
        judgment, decree, or order that has been waived, relinquished, 
        satisfied, espoused by the United States, or subject to a 
        bilateral claims settlement agreement between the United States 
        and a foreign state.
            (5) Fund.--The term ``Fund'' means the United States 
        Victims of State Sponsored Terrorism Fund established by this 
        title.
            (6) Source other than this fund.--The term ``source other 
        than this Fund'' means all collateral sources, including life 
        insurance, pension funds, death benefit programs, and payments 
        by Federal, State, or local governments (including payments 
        from the September 11th Victims Compensation Fund (49 U.S.C. 
        40101 note)), and court awarded compensation related to the act 
        of international terrorism that gave rise to a claimant's final 
        judgment.
            (7) State sponsor of terrorism.--The term ``state sponsor 
        of terrorism'' means a country the government of which the 
        Secretary of State has determined, for purposes of section 6(j) 
        of the Export Administration Act of 1979 (50 U.S.C. App. 
        2405(j)), section 620A of the Foreign Assistance Act of 1961 
        (22 U.S.C. 2371), section 40 of the Arms Export Control Act (22 
        U.S.C. 2780), or any other provision of law, is a government 
        that has repeatedly provided support for acts of international 
        terrorism.
            (8) United states person.--The term ``United States 
        person'' means a natural person entitled to a private right of 
        action under section 1605A(c) of title 28, United States Code.

SEC. 210. SEVERABILITY.

    The provisions of this title are severable. If any provision of 
this title, or any application thereof, is found unconstitutional, that 
finding shall not affect any provision or application of the Act not so 
adjudicated.
                                 <all>