[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5602 Engrossed Amendment Senate (EAS)]

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                  In the Senate of the United States,

                       December 10 (legislative day, December 9), 2016.
    Resolved, That the bill from the House of Representatives (H.R. 
5602) entitled ``An Act to amend title 31, United States Code, to 
authorize the Secretary of the Treasury to include all funds when 
issuing certain geographic targeting orders, and for other purposes.'', 
do pass with the following

                               AMENDMENT:

            Strike all after the enacting clause and insert the 
      following:

    TITLE I--ENHANCING ANTITERRORISM TOOLS OF THE DEPARTMENT OF THE 
                                TREASURY

SEC. 101. INCLUSION OF ALL FUNDS.

    (a) In General.--Section 5326 of title 31, United States Code, is 
amended--
            (1) in the heading of such section, by striking ``coin and 
        currency'';
            (2) in subsection (a)--
                    (A) by striking ``subtitle and'' and inserting 
                ``subtitle or to''; and
                    (B) in paragraph (1)(A), by striking ``United 
                States coins or currency (or such other monetary 
                instruments as the Secretary may describe in such 
                order)'' and inserting ``funds (as the Secretary may 
                describe in such order),''; and
            (3) in subsection (b)--
                    (A) in paragraph (1)(A), by striking ``coins or 
                currency (or monetary instruments)'' and inserting 
                ``funds''; and
                    (B) in paragraph (2), by striking ``coins or 
                currency (or such other monetary instruments as the 
                Secretary may describe in the regulation or order)'' 
                and inserting ``funds (as the Secretary may describe in 
                the regulation or order)''.
    (b) Clerical Amendment.--The table of contents for chapter 53 of 
title 31, United States Code, is amended in the item relating to 
section 5326 by striking ``coin and currency''.

SEC. 102. IMPROVING ANTITERROR FINANCE MONITORING OF FUNDS TRANSFERS.

    (a) Study.--
            (1) In general.--To improve the ability of the Department 
        of the Treasury to better track cross-border fund transfers and 
        identify potential financing of terrorist or other forms of 
        illicit finance, the Secretary shall carry out a study to 
        assess--
                    (A) the potential efficacy of requiring banking 
                regulators to establish a pilot program to provide 
                technical assistance to depository institutions and 
                credit unions that wish to provide account services to 
                money services businesses serving individuals in 
                Somalia;
                    (B) whether such a pilot program could be a model 
                for improving the ability of United States persons to 
                make legitimate funds transfers through transparent and 
                easily monitored channels while preserving strict 
                compliance with the Bank Secrecy Act (Public Law 91-
                508; 84 Stat. 1114) and related controls aimed at 
                stopping money laundering and the financing of 
                terrorism; and
                    (C) consistent with current legal requirements 
                regarding confidential supervisory information, the 
                potential impact of allowing money services businesses 
                to share certain State examination information with 
                depository institutions and credit unions, or whether 
                another appropriate mechanism could be identified to 
                allow a similar exchange of information to give the 
                depository institutions and credit unions a better 
                understanding of whether an individual money services 
                business is adequately meeting its anti-money 
                laundering and counter-terror financing obligations to 
                combat money laundering, the financing of terror, or 
                related illicit finance.
            (2) Public input.--The Secretary should solicit and 
        consider public input as appropriate in developing this study.
    (b) Report.--Not later than 270 days after the date of the 
enactment of this Act, the Secretary shall submit to the Committee on 
Financial Services and the Committee on Foreign Affairs of the House of 
Representatives and the Committee on Banking, Housing, and Urban 
Affairs and the Committee on Foreign Relations of the Senate a report 
that contains all findings and determinations made in carrying out the 
study required under subsection (a).

SEC. 103. SENSE OF CONGRESS ON INTERNATIONAL COOPERATION REGARDING 
              TERRORIST FINANCING INTELLIGENCE.

    It is the sense of the Congress that the Secretary, acting through 
the Under Secretary for Terrorism and Financial Crimes, should 
intensify work with foreign partners to help the foreign partners 
develop intelligence analytic capacities, in a finance ministry or 
other appropriate agency, that are--
            (1) commensurate to the threats faced by the foreign 
        partner; and
            (2) designed to better integrate intelligence efforts with 
        the anti-money laundering and counter-terrorist financing 
        regimes of the foreign partner.

SEC. 104. EXAMINING THE COUNTER-TERROR FINANCING ROLE OF THE DEPARTMENT 
              OF THE TREASURY IN EMBASSIES.

    Not later than 180 days after the enactment of this Act, the 
Secretary shall submit to the Committee on Financial Services and the 
Committee on Foreign Affairs of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs and the Committee on 
Foreign Relations of the Senate a report that contains--
            (1) a list of the United States embassies in which a full-
        time Department of the Treasury financial attache is stationed 
        and a description of how the interests of the Department of the 
        Treasury relating to terrorist financing and money laundering 
        are addressed (via regional attaches or otherwise) at US 
        embassies where no such attaches are present;
            (2) a list of the United States embassies at which the 
        Department of the Treasury has assigned a technical assistance 
        advisor from the Office of Technical Assistance of the 
        Department of the Treasury;
            (3) an overview of how Department of the Treasury financial 
        attaches and technical assistance advisors assist in efforts to 
        counter illicit finance, to include money laundering, terrorist 
        financing, and proliferation financing; and
            (4) an overview of patterns, trends, or other issues 
        identified by Department of the Treasury attaches and whether 
        resources are sufficient to address these issues.

 TITLE II--NATIONAL STRATEGY FOR COMBATING TERRORIST AND OTHER ILLICIT 
                               FINANCING

SEC. 201. DEVELOPMENT OF NATIONAL STRATEGY.

    (a) In General.--The President, acting through the Secretary shall, 
in consultation with the Attorney General, the Secretary of State, the 
Secretary of Homeland Security, the Director of National Intelligence, 
and the appropriate Federal banking agencies, develop a national 
strategy for combating the financing of terrorism and related forms of 
illicit finance.
    (b) Transmittal to Congress.--
            (1) In general.--Not later than January 31, 2018, the 
        President shall submit to the appropriate congressional 
        committees a comprehensive national strategy developed in 
        accordance with subsection (a).
            (2) Updates.--Not later than January 31, 2020, and January 
        31, 2022, the President shall submit to the appropriate 
        congressional committees updated versions of the national 
        strategy submitted under paragraph (1).
    (c) Separate Presentation of Classified Material.--Any part of the 
national strategy that involves information that is properly classified 
under criteria established by the President shall be submitted to the 
Congress separately in a classified annex and, if requested by the 
chairman or ranking Member of one of the appropriate congressional 
committees, as a briefing at an appropriate level of security.

SEC. 202. CONTENTS.

    (a) In General.--The strategy described in section 201 shall 
contain the following:
            (1) Evaluation of existing efforts.--An assessment of the 
        effectiveness of and ways in which the United States is 
        currently addressing the highest levels of risk of various 
        forms of illicit finance, including those identified in the 
        documents entitled ``2015 National Money Laundering Risk 
        Assessment'' and ``2015 National Terrorist Financing Risk 
        Assessment'', published by the Department of the Treasury and a 
        description of how the strategy is integrated into, and 
        supports, the broader counter terrorism strategy of the United 
        States.
            (2) Goals, objectives, and priorities.--A comprehensive, 
        research-based, long-range, quantifiable discussion of goals, 
        objectives, and priorities for disrupting and preventing 
        illicit finance activities within and transiting the financial 
        system of the United States that outlines priorities to reduce 
        the incidence, dollar value, and effects of illicit finance.
            (3) Threats.--An identification of the most significant 
        illicit finance threats to the financial system of the United 
        States.
            (4) Reviews and proposed changes.--Reviews of enforcement 
        efforts, relevant regulations and relevant provisions of law 
        and, if appropriate, discussions of proposed changes determined 
        to be appropriate to ensure that the United States pursues 
        coordinated and effective efforts at all levels of government, 
        and with international partners of the United States, in the 
        fight against illicit finance.
            (5) Detection and prosecution initiatives.--A description 
        of efforts to improve detection and prosecution of illicit 
        finance, including efforts to ensure that--
                    (A) subject to legal restrictions, all appropriate 
                data collected by the Federal Government that is 
                relevant to the efforts described in this section be 
                available in a timely fashion to--
                            (i) all appropriate Federal departments and 
                        agencies; and
                            (ii) as appropriate and consistent with 
                        section 314 of the International Money 
                        Laundering Abatement and Financial Anti-
                        Terrorism Act of 2001 (31 U.S.C. 5311 note), to 
                        financial institutions to assist the financial 
                        institutions in efforts to comply with laws 
                        aimed at curbing illicit finance; and
                    (B) appropriate efforts are undertaken to ensure 
                that Federal departments and agencies charged with 
                reducing and preventing illicit finance make thorough 
                use of publicly available data in furtherance of this 
                effort.
            (6) The role of the private financial sector in prevention 
        of illicit finance.--A discussion of ways to enhance 
        partnerships between the private financial sector and Federal 
        departments and agencies with regard to the prevention and 
        detection of illicit finance, including--
                    (A) efforts to facilitate compliance with laws 
                aimed at stopping such illicit finance while 
                maintaining the effectiveness of such efforts; and
                    (B) providing guidance to strengthen internal 
                controls and to adopt on an industry-wide basis more 
                effective policies.
            (7) Enhancement of intergovernmental cooperation.--A 
        discussion of ways to combat illicit finance by enhancing--
                    (A) cooperative efforts between and among Federal, 
                State, and local officials, including State regulators, 
                State and local prosecutors, and other law enforcement 
                officials;
                    (B) cooperative efforts with and between 
                governments of countries and with and between 
                multinational institutions, including the Financial 
                Action Task Force, with expertise in fighting illicit 
                finance.
            (8) Trend analysis of emerging illicit finance threats.--A 
        discussion of and data regarding trends in illicit finance, 
        including evolving forms of value transfer such as so-called 
        cryptocurrencies, other methods that are computer, 
        telecommunications, or Internet-based, cyber crime, or any 
        other threats that the Secretary may choose to identify.
            (9) Budget priorities.--A multiyear budget plan that 
        identifies sufficient resources needed to successfully execute 
        the full range of missions called for in this section.
            (10) Technology enhancements.--An analysis of current and 
        developing ways to leverage technology to improve the 
        effectiveness of efforts to stop the financing of terrorism and 
        other forms of illicit finance, including better integration of 
        open-source data.

                         TITLE III--DEFINITIONS

SEC. 301. DEFINITIONS.

    In this Act--
            (1) the term ``appropriate congressional committees'' 
        means--
                    (A) the Committee on Financial Services, the 
                Committee on Foreign Affairs, the Committee on Armed 
                Services, the Committee on the Judiciary, Committee on 
                Homeland Security, and the Permanent Select Committee 
                on Intelligence of the House of Representatives; and
                    (B) the Committee on Banking, Housing, and Urban 
                Affairs, the Committee on Foreign Relations, Committee 
                on Armed Services, Committee on the Judiciary, 
                Committee on Homeland Security and Governmental 
                Affairs, and the Select Committee on Intelligence of 
                the Senate;
            (2) the term ``appropriate Federal banking agencies'' has 
        the meaning given the term in section 3 of the Federal Deposit 
        Insurance Act (12 U.S.C. 1813);
            (3) the term ``Bank Secrecy Act'' means--
                    (A) section 21 of the Federal Deposit Insurance Act 
                (12 U.S.C. 1829b);
                    (B) chapter 2 of title I of Public Law 91-508 (12 
                U.S.C. 1951 et seq.); and
                    (C) subchapter II of chapter 53 of title 31, United 
                States Code;
            (4) the term ``illicit finance'' means the financing of 
        terrorism, money laundering, or other forms of illicit 
        financing domestically or internationally, as defined by the 
        President;
            (5) the term ``money services business'' has the meaning 
        given the term under section 1010.100 of title 31, Code of 
        Federal Regulations;
            (6) the term ``Secretary'' means the Secretary of the 
        Treasury; and
            (7) the term ``State'' means each of the several States, 
        the District of Columbia, and each territory or possession of 
        the United States.

            Attest:

                                                             Secretary.
114th CONGRESS

  2d Session

                               H.R. 5602

_______________________________________________________________________

                               AMENDMENT