[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[S. 3543 Introduced in Senate (IS)]

<DOC>






114th CONGRESS
  2d Session
                                S. 3543

To contain, reverse, and deter Russian aggression in Ukraine, to assist 
        Ukraine's democratic transition, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            December 9, 2016

  Mr. Menendez (for himself, Mr. Coons, Mr. Durbin, and Mrs. Shaheen) 
introduced the following bill; which was read twice and referred to the 
                     Committee on Foreign Relations

_______________________________________________________________________

                                 A BILL


 
To contain, reverse, and deter Russian aggression in Ukraine, to assist 
        Ukraine's democratic transition, 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 ``Stability and 
Democracy for Ukraine Act'' or ``STAND for Ukraine Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title and table of contents.
Sec. 2. Statements of policy.
               TITLE I--CRIMEA ANNEXATION NONRECOGNITION

Sec. 101. United States policy against recognition of territorial 
                            changes effected by force alone.
Sec. 102. Prohibitions against United States recognition of the Russian 
                            Federation's annexation of Crimea.
Sec. 103. Determinations and codification of sanctions under Executive 
                            Order No. 13685.
                     TITLE II--SANCTIONS PROVISIONS

Sec. 201. Prohibiting certain transactions with foreign sanctions 
                            evaders and serious human rights abusers 
                            with respect to the Russian Federation.
Sec. 202. Report on certain foreign financial institutions.
Sec. 203. Requirements relating to transfers of defense articles and 
                            defense services to the Russian Federation.
                        TITLE III--OTHER MATTERS

Sec. 301. Strategy to respond to Russian Federation-supported 
                            information and propaganda efforts directed 
                            toward Russian-speaking communities in 
                            countries bordering the Russian Federation.
Sec. 302. Cost limitation.
Sec. 303. Sunset.

SEC. 2. STATEMENTS OF POLICY.

    (a) In General.--It is the policy of the United States to further 
assist the Government of Ukraine in restoring its sovereignty and 
territorial integrity to contain, reverse, and deter Russian aggression 
in Ukraine. That policy shall be carried into effect, among other 
things, through a comprehensive effort, in coordination with allies and 
partners of the United States where appropriate, that includes 
sanctions, diplomacy, and assistance, including lethal defensive 
weapons systems, for the people of Ukraine intended to enhance their 
ability to consolidate a rule of law-based democracy with a free market 
economy and to exercise their right under international law to self-
defense.
    (b) Additional Statement of Policy.--It is further the policy of 
the United States--
            (1) to use its voice, vote, and influence in international 
        fora to encourage others to provide assistance that is similar 
        to assistance described in subsection (a) to Ukraine; and
            (2) to ensure that any relevant sanctions relief for the 
        Russian Federation is contingent on timely, complete, and 
        verifiable implementation of the Minsk Agreements, especially 
        the restoration of Ukraine's control of the entirety of its 
        eastern border with the Russian Federation in the conflict 
        zone.

               TITLE I--CRIMEA ANNEXATION NONRECOGNITION

SEC. 101. UNITED STATES POLICY AGAINST RECOGNITION OF TERRITORIAL 
              CHANGES EFFECTED BY FORCE ALONE.

    Between the years of 1940 and 1991, the United States did not 
recognize the forcible incorporation and annexation of the three Baltic 
States of Lithuania, Latvia, and Estonia into the Soviet Union under a 
policy known as the ``Stimson Doctrine''.

SEC. 102. PROHIBITIONS AGAINST UNITED STATES RECOGNITION OF THE RUSSIAN 
              FEDERATION'S ANNEXATION OF CRIMEA.

    (a) In General.--In accordance with United States policy enumerated 
in section 101, no Federal department or agency should take any action 
or extend any assistance that recognizes or implies any recognition of 
the de jure or de facto sovereignty of the Russian Federation over 
Crimea, its airspace, or its territorial waters.
    (b) Documents Portraying Crimea as Part of Russian Federation.--In 
accordance with United States policy enumerated in section 101, the 
Government Printing Office should not print any map, document, record, 
or other paper of the United States portraying or otherwise indicating 
Crimea as part of the territory of the Russian Federation.

SEC. 103. DETERMINATIONS AND CODIFICATION OF SANCTIONS UNDER EXECUTIVE 
              ORDER NO. 13685.

    (a) Determinations.--
            (1) In general.--Not later than 90 days after the date of 
        the enactment of this Act, the President shall submit to the 
        appropriate congressional committees a report that contains the 
        assessment described in paragraph (2).
            (2) Assessment described.--The assessment described in this 
        paragraph is--
                    (A) a review of each person designated pursuant to 
                Executive Order No. 13660 (March 6, 2014; 79 Fed. Reg. 
                13493; relating to blocking property of certain persons 
                contributing to the situation in Ukraine) or Executive 
                Order No. 13661 (March 16, 2014; 79 Fed. Reg. 15535; 
                relating to blocking property of additional persons 
                contributing to the situation in Ukraine); and
                    (B) a determination as to whether any such person 
                meets the criteria for designation pursuant to 
                Executive Order No. 13685 (December 19, 2014; 79 Fed. 
                Reg. 77357; relating to blocking property of certain 
                persons and prohibiting certain transactions with 
                respect to the Crimea region of Ukraine).
            (3) Form.--The assessment required by paragraph (2) shall 
        be submitted in unclassified form but may contain a classified 
        annex.
    (b) Codification.--United States sanctions provided for in 
Executive Order No. 13685, as in effect on the day before the date of 
the enactment of this Act, shall remain in effect until the date on 
which the President submits to the appropriate congressional committees 
a certification described in subsection (c).
    (c) Certification.--A certification described in this subsection is 
a certification of the President that Ukraine's sovereignty over Crimea 
has been restored.
    (d) Rule of Construction.--Nothing in this section shall be 
construed to restrict the authority of the President to impose 
additional United States sanctions with specific respect to the Russian 
Federation's occupation of Crimea pursuant to Executive Order No. 
13685.
    (e) Appropriate Congressional Committees.--In this section, the 
term ``appropriate congressional committees'' means--
            (1) the Committee on Foreign Affairs, the Committee on 
        Financial Services, and the Committee on Ways and Means of the 
        House of Representatives; and
            (2) the Committee on Foreign Relations, the Committee on 
        Banking, Housing, and Urban Affairs, and the Committee on 
        Finance of the Senate.

                     TITLE II--SANCTIONS PROVISIONS

SEC. 201. PROHIBITING CERTAIN TRANSACTIONS WITH FOREIGN SANCTIONS 
              EVADERS AND SERIOUS HUMAN RIGHTS ABUSERS WITH RESPECT TO 
              THE RUSSIAN FEDERATION.

    (a) In General.--The Support for the Sovereignty, Integrity, 
Democracy, and Economic Stability of Ukraine Act of 2014 (Public Law 
113-95; 22 U.S.C. 8901 et seq.) is amended by adding at the end the 
following new sections:

``SEC. 10. PROHIBITING CERTAIN TRANSACTIONS WITH FOREIGN SANCTIONS 
              EVADERS WITH RESPECT TO THE RUSSIAN FEDERATION.

    ``(a) In General.--The President is authorized to impose with 
respect to a foreign person the sanctions described in subsection (b) 
if the President determines that the foreign person knowingly--
            ``(1) has materially violated, attempted to violate, 
        conspired to violate, or caused a violation of any license, 
        order, regulation, or prohibition contained in, or issued 
        pursuant to any covered Executive order; or
            ``(2) has facilitated significant deceptive or structured 
        transactions for or on behalf of any person subject to United 
        States sanctions concerning the Russian Federation.
    ``(b) Sanctions Described.--
            ``(1) In general.--The sanctions described in this 
        subsection are the exercise of all powers granted to the 
        President by the International Emergency Economic Powers Act 
        (50 U.S.C. 1701 et seq.) to the extent necessary to block and 
        prohibit all transactions in all property and interests in 
        property of a person determined by the President to be subject 
        to subsection (a) if such property and interests in property 
        are in the United States, come within the United States, or are 
        or come within the possession or control of a United States 
        person.
            ``(2) Penalties.--A person that violates, attempts to 
        violate, conspires to violate, or causes a violation of 
        paragraph (1) or any regulation, license, or order issued to 
        carry out that paragraph shall be subject to the penalties set 
        forth in subsections (b) and (c) of section 206 of the 
        International Emergency Economic Powers Act (50 U.S.C. 1705) to 
        the same extent as a person that commits an unlawful act 
        described in subsection (a) of that section.
    ``(c) Waiver.--The President may waive the application of sanctions 
under subsection (b) on a case-by-case for a period of not more than 
120 days, and may renew that waiver for additional periods of not more 
than 120 days with respect to a person if the President determines that 
such a waiver is in the national interests of the United States and on 
or before the date on which the waiver takes effect, submits to the 
appropriate congressional committees a notice of and justification for 
the waiver.
    ``(d) Implementation Authority.--The President may exercise all 
authorities provided to the President under sections 203 and 205 of the 
International Emergency Economic Powers Act (50 U.S.C. 1702 and 1704) 
for purposes of carrying out this section.
    ``(e) Regulatory Authority.--The President shall issue such 
regulations, licenses, and orders as are necessary to carry out this 
section.
    ``(f) Definitions.--In this section:
            ``(1) Appropriate congressional committees.--The term 
        `appropriate congressional committees' means--
                    ``(A) the Committee on Foreign Affairs, the 
                Committee on Financial Services, and the Committee on 
                Ways and Means of the House of Representatives; and
                    ``(B) the Committee on Foreign Relations, the 
                Committee on Banking, Housing, and Urban Affairs, and 
                the Committee on Finance of the Senate.
            ``(2) Covered executive order.--The term `covered Executive 
        order' means any of the following:
                    ``(A) Executive Order No. 13660 (March 6, 2014; 79 
                Fed. Reg. 13493; relating to blocking property of 
                certain persons contributing to the situation in 
                Ukraine).
                    ``(B) Executive Order No. 13661 (March 16, 2014; 79 
                Fed. Reg. 15535; relating to blocking property of 
                additional persons contributing to the situation in 
                Ukraine).
                    ``(C) Executive Order No. 13685 (December 19, 2014; 
                79 Fed. Reg. 77357; relating to blocking property of 
                certain persons and prohibiting certain transactions 
                with respect to the Crimea region of Ukraine).
            ``(3) Foreign person.--The term `foreign person' has the 
        meaning given such term in section 595.304 of title 31, Code of 
        Federal Regulations, as in effect on the date of the enactment 
        of this Act.
            ``(4) Structured.--The term `structured', with respect to a 
        transaction, has the meaning given the term `structure' in 
        paragraph (xx) of section 1010.100 of title 31, Code of Federal 
        Regulations.
            ``(5) United states person.--The term `United States 
        person' has the meaning given such term in section 589.312 of 
        title 31, Code of Federal Regulations, as in effect on the date 
        of the enactment of this Act.

``SEC. 11. PROHIBITING CERTAIN TRANSACTIONS IN AREAS CONTROLLED BY THE 
              RUSSIAN FEDERATION.

    ``(a) In General.--The President is authorized to impose with 
respect to a foreign person the sanctions described in subsection (b) 
if the President determines that the foreign person, based on credible 
information--
            ``(1) is responsible for, complicit in, or responsible for 
        ordering, controlling, or otherwise directing, the commission 
        of serious human rights abuses in any territory forcibly 
        occupied or otherwise controlled by the Government of the 
        Russian Federation;
            ``(2) has materially assisted, sponsored, or provided 
        financial, material, or technological support for, or goods or 
        services to, a foreign person that is responsible for, 
        complicit in, or responsible for ordering, controlling, or 
        otherwise directing, the commission of serious human rights 
        abuses in any territory forcibly occupied or otherwise 
        controlled by the Government of the Russian Federation; or
            ``(3) is owned or controlled by a foreign person, or has 
        acted or purported to act for or on behalf of, directly or 
        indirectly, a foreign person, that is responsible for, 
        complicit in, or responsible for ordering, controlling, or 
        otherwise directing, the commission of serious human rights 
        abuses in any territory forcibly occupied or otherwise 
        controlled by the Government of the Russian Federation.
    ``(b) Sanctions Described.--
            ``(1) In general.--The sanctions described in this 
        subsection are the exercise of all powers granted to the 
        President by the International Emergency Economic Powers Act 
        (50 U.S.C. 1701 et seq.), without regard to section 202 of such 
        Act, to the extent necessary to block and prohibit all 
        transactions in all property and interests in property of a 
        person determined by the President to be subject to subsection 
        (a) if such property and interests in property are in the 
        United States, come within the United States, or are or come 
        within the possession or control of a United States person.
            ``(2) Penalties.--A person that violates, attempts to 
        violate, conspires to violate, or causes a violation of 
        paragraph (1) or any regulation, license, or order issued to 
        carry out that paragraph shall be subject to the penalties set 
        forth in subsections (b) and (c) of section 206 of the 
        International Emergency Economic Powers Act (50 U.S.C. 1705) to 
        the same extent as a person that commits an unlawful act 
        described in subsection (a) of that section.
    ``(c) Waiver.--The President may waive the application of sanctions 
under subsection (b) on a case-by-case for a period of not more than 
120 days, and may renew that waiver for additional periods of not more 
than 120 days with respect to a person if the President determines that 
such a waiver is in the national interests of the United States and on 
or before the date on which the waiver takes effect, submits to the 
appropriate congressional committees a notice of and justification for 
the waiver.
    ``(d) Implementation Authority.--The President may exercise all 
authorities provided to the President under sections 203 and 205 of the 
International Emergency Economic Powers Act (50 U.S.C. 1702 and 1704) 
for purposes of carrying out this section.
    ``(e) Regulatory Authority.--The President shall issue such 
regulations, licenses, and orders as are necessary to carry out this 
section.
    ``(f) Definitions.--In this section:
            ``(1) Appropriate congressional committees.--The term 
        `appropriate congressional committees' means--
                    ``(A) the Committee on Foreign Affairs, the 
                Committee on Financial Services, and the Committee on 
                Ways and Means of the House of Representatives; and
                    ``(B) the Committee on Foreign Relations, the 
                Committee on Banking, Housing, and Urban Affairs, and 
                the Committee on Finance of the Senate.
            ``(2) Foreign person.--The term `foreign person' has the 
        meaning given such term in section 595.304 of title 31, Code of 
        Federal Regulations, as in effect on the date of enactment of 
        this section.
            ``(3) United states person.--The term `United States 
        person' has the meaning given such term in section 589.312 of 
        title 31, Code of Federal Regulations, as in effect on the date 
        of enactment of this section.''.
    (b) Conforming Amendment.--Section 2 of the Support for the 
Sovereignty, Integrity, Democracy, and Economic Stability of Ukraine 
Act of 2014 (22 U.S.C. 8901) is amended, in the matter preceding 
paragraph (1), by striking ``In this Act:'' and inserting ``Except as 
otherwise provided, in this Act:''.

SEC. 202. REPORT ON CERTAIN FOREIGN FINANCIAL INSTITUTIONS.

    The Support for the Sovereignty, Integrity, Democracy, and Economic 
Stability of Ukraine Act of 2014 (Public Law 113-95; 22 U.S.C. 8901 et 
seq.) is amended by inserting after section 11 (as added by section 201 
of this Act) the following new section:

``SEC. 12. REPORT ON CERTAIN FOREIGN FINANCIAL INSTITUTIONS.

    ``(a) In General.--Not later than 90 days after the date of the 
enactment of this section, the Secretary of State and the Secretary of 
the Treasury shall jointly submit to the appropriate congressional 
committees a report on--
            ``(1) foreign financial institutions that are in direct 
        control of assets owned or controlled by the Government of 
        Ukraine in a manner determined by the Secretary of State and 
        the Secretary of the Treasury to be in violation of the 
        sovereignty, independence, or territorial integrity of Ukraine;
            ``(2) foreign financial institutions that are directly or 
        indirectly assisting or otherwise aiding the violation of 
        sovereignty, independence, and territorial integrity of 
        Ukraine; and
            ``(3) foreign financial institutions determined by the 
        Secretary of State and the Secretary of the Treasury to be 
        complicit in illicit financial activity, including money 
        laundering, financing of terrorism, transnational organized 
        crime, or misappropriation of state assets, that are--
                    ``(A) organized under the laws of the Russian 
                Federation; or
                    ``(B) owned or controlled by a foreign person whose 
                property or interests in property have been blocked 
                pursuant to any covered Executive order.
    ``(b) Form.--The report required to be submitted under this 
subsection shall be submitted in unclassified form but may include a 
classified annex.
    ``(c) Definitions.--In this section:
            ``(1) Appropriate congressional committees.--The term 
        `appropriate congressional committees' means--
                    ``(A) the Committee on Foreign Affairs, the 
                Committee on Financial Services, the Committee on Ways 
                and Means, and the Committee on the Judiciary of the 
                House of Representatives; and
                    ``(B) the Committee on Foreign Relations, the 
                Committee on Banking, Housing, and Urban Affairs, the 
                Committee on Finance, and the Committee on the 
                Judiciary of the Senate.
            ``(2) Covered executive order.--The term `covered Executive 
        order' has the meaning given the term in section 10(f) of this 
        Act.''.

SEC. 203. REQUIREMENTS RELATING TO TRANSFERS OF DEFENSE ARTICLES AND 
              DEFENSE SERVICES TO THE RUSSIAN FEDERATION.

    (a) Statement of Policy.--It is the policy of the United States to 
oppose the transfer of defense articles and defense services from any 
country that is a member of the North Atlantic Treaty Organization 
(NATO) to, or on behalf of, the Russian Federation, during any period 
in which the Russian Federation forcibly occupies the territory of 
Ukraine or of a NATO member country.
    (b) Adoption of NATO Policy.--The President shall use the voice, 
vote, and influence of the United States in NATO to seek the adoption 
of a policy by NATO that is consistent with the policy of the United 
States specified in subsection (a).
    (c) Monitoring and Identification of Transfers.--
            (1) In general.--The President shall direct the heads of 
        the appropriate departments and agencies of the United States 
        to identify those transfers of defense articles and defense 
        services described in subsection (a) that are contrary to the 
        policy of the United States specified in subsection (a).
            (2) Report.--
                    (A) In general.--The President shall submit a 
                written report to the chairmen and ranking members of 
                the appropriate committees of Congress within 5 days of 
                the receipt of information indicating that a transfer 
                described in paragraph (1) has occurred.
                    (B) Form.--The report required under subparagraph 
                (A) shall be submitted in unclassified form but may 
                include a classified annex.
    (d) Definitions.--In this section:
            (1) Appropriate committees of congress.--The term 
        ``appropriate committees of Congress'' means--
                    (A) the Committee on Armed Services, the Committee 
                on Foreign Affairs, and the Permanent Select Committee 
                on Intelligence of the House of Representatives; and
                    (B) the Committee on Armed Services, the Committee 
                on Foreign Relations, and the Select Committee on 
                Intelligence of the Senate.
            (2) Defense articles and defense services.--The terms 
        ``defense article'' and ``defense service'' have the meanings 
        given such terms in section 47 of the Arms Export Control Act 
        (22 U.S.C. 2794).

                        TITLE III--OTHER MATTERS

SEC. 301. STRATEGY TO RESPOND TO RUSSIAN FEDERATION-SUPPORTED 
              INFORMATION AND PROPAGANDA EFFORTS DIRECTED TOWARD 
              RUSSIAN-SPEAKING COMMUNITIES IN COUNTRIES BORDERING THE 
              RUSSIAN FEDERATION.

    (a) In General.--Not later than 60 days after the date of the 
enactment of this Act, the Secretary of State shall develop and 
implement a strategy to respond to Russian Federation-supported 
disinformation and propaganda efforts directed toward persons in 
countries bordering the Russian Federation.
    (b) Matters To Be Included.--The strategy required under subsection 
(a) should include the following:
            (1) Development of a response to propaganda and 
        disinformation campaigns as an element of the ongoing crisis in 
        Ukraine, specifically--
                    (A) assistance in building the capacity of the 
                Ukrainian military to document conflict zones and 
                disseminate information in real time;
                    (B) assistance in enhancing broadcast capacity with 
                terrestrial television transmitters in Eastern Ukraine; 
                and
                    (C) media training for officials of the Government 
                of Ukraine.
            (2) Establishment of a partnership with partner governments 
        and private-sector entities to provide Russian language 
        entertainment and news content to broadcasters in Russian-
        speaking communities bordering the Russian Federation.
            (3) Assessment of the extent of Russian Federation 
        influence in political parties, financial institutions, media 
        organizations, and other entities seeking to exert political 
        influence and sway public opinion in favor of Russian 
        Federation policy across Europe.
    (c) Report.--The Secretary of State shall submit to the appropriate 
congressional committees a report on the strategy required under 
subsection (a) and its implementation.
    (d) Appropriate Congressional Committees.--In this section, the 
term ``appropriate congressional committees'' means--
            (1) the Committee on Foreign Affairs and the Committee on 
        Armed Services of the House of Representatives; and
            (2) the Committee on Foreign Relations and the Committee on 
        Armed Services of the Senate.

SEC. 302. COST LIMITATION.

    No additional funds are authorized to carry out the requirements of 
this Act and the amendments made by this Act. Such requirements shall 
be carried out using amounts otherwise authorized.

SEC. 303. SUNSET.

    This Act and the amendments made by this Act shall cease to be 
effective beginning on the date that is 5 years after the date of the 
enactment of this Act.
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