[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4818 Introduced in House (IH)]
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116th CONGRESS
1st Session
H. R. 4818
To impose sanctions with respect to the provision of certain vessels
for the construction of Russian energy export pipelines, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
October 23, 2019
Mr. Barr (for himself, Mr. Murphy of North Carolina, Mr. Hagedorn, Mr.
Mitchell, Mr. Huizenga, Mr. Graves of Louisiana, and Mr. Shimkus)
introduced the following bill; which was referred to the Committee on
Foreign Affairs, and in addition to the Committees on the Judiciary,
Financial Services, Oversight and Reform, and Ways and Means, for a
period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
_______________________________________________________________________
A BILL
To impose sanctions with respect to the provision of certain vessels
for the construction of Russian energy export pipelines, 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 ``Protecting Europe's Energy Security
Act of 2019''.
SEC. 2. SENSE OF CONGRESS.
It is the sense of Congress that--
(1) the United States and Europe share a common history, a
common identity, and common values built upon the principles of
democracy, rule of law, and individual freedoms;
(2) the United States has encouraged and admired the
European project, which has resulted in a common market and
common policies, has achieved unprecedented prosperity and
stability on the continent, and serves as a model for other
countries to reform their institutions and prioritize
anticorruption measures;
(3) the relationships between the United States and Europe
and the United States and Germany are critical to the national
security interests of the United States as well as to global
prosperity and peace, and Germany in particular is a crucial
partner for the United States in multilateral efforts aimed at
promoting global prosperity and peace;
(4) the United States should stand against any effort
designed to weaken those relationships; and
(5) Germany has demonstrated leadership within the European
Union and in international fora to ensure that sanctions
imposed with respect to the Russian Federation for its malign
activities are maintained.
SEC. 3. IMPOSITION OF SANCTIONS WITH RESPECT TO PROVISION OF CERTAIN
VESSELS FOR THE CONSTRUCTION OF RUSSIAN ENERGY EXPORT
PIPELINES.
(a) Report Required.--Not later than 60 days after the date of the
enactment of this Act, and every 90 days thereafter, the Secretary of
State shall submit to the appropriate congressional committees a report
that identifies, for the period beginning on the date of the enactment
of this Act and ending on the date of the report--
(1) vessels that engaged in pipe-laying at depths of 100
feet or more below sea level for the construction of Russian
energy export pipelines; and
(2) foreign persons that have sold, leased, provided, or
facilitated the provision of those vessels for the construction
of such pipelines.
(b) Inadmissibility to United States of Identified Persons and
Corporate Officers.--The Secretary of State shall deny a visa to, and
the Secretary of Homeland Security shall exclude from the United States
of, any alien who is--
(1) a foreign person identified under subsection (a)(2);
(2) a corporate officer of a person described in paragraph
(1); or
(3) a principal shareholder with a controlling interest in
a person described in paragraph (1).
(c) Blocking of Property of Identified Persons.--The President
shall exercise 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 any person identified under subsection (a)(2)
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.
(d) Sanctions for Provision of Underwriting Services or Insurance
or Reinsurance for Identified Vessels.--
(1) In general.--The President may impose 5 or more of the
sanctions described in paragraph (2) with respect to a foreign
person if the President determines that the person knowingly,
on or after the date of the enactment of this Act, provides
underwriting services or insurance or reinsurance for a vessel
identified under subsection (a)(1).
(2) Sanctions described.--The sanctions that may be imposed
with respect to a foreign person under paragraph (1) are the
following:
(A) Export-import bank assistance for exports to
sanctioned persons.--The President may direct the
Export-Import Bank of the United States not to give
approval to the issuance of any guarantee, insurance,
extension of credit, or participation in the extension
of credit in connection with the export of any goods or
services to the foreign person.
(B) Export sanction.--The President may order the
United States Government not to issue any specific
license and not to grant any other specific permission
or authority to export any goods or technology to the
foreign person under--
(i) the Export Control Reform Act of 2018
(50 U.S.C. 4801 et seq.);
(ii) the Arms Export Control Act (22 U.S.C.
2751 et seq.);
(iii) the Atomic Energy Act of 1954 (42
U.S.C. 2011 et seq.); or
(iv) any other statute that requires the
prior review and approval of the United States
Government as a condition for the export or
reexport of goods or services.
(C) Loans from united states financial
institutions.--The United States Government may
prohibit any United States financial institution from
making loans or providing credits to the foreign person
totaling more than $10,000,000 in any 12-month period
unless such person is engaged in activities to relieve
human suffering and the loans or credits are provided
for such activities.
(D) Prohibitions on financial institutions.--The
following prohibitions may be imposed with respect to
the foreign person if the foreign person is a financial
institution:
(i) Prohibition on designation as primary
dealer.--Neither the Board of Governors of the
Federal Reserve System nor the Federal Reserve
Bank of New York may designate, or permit the
continuation of any prior designation of, such
financial institution as a primary dealer in
United States Government debt instruments.
(ii) Prohibition on service as a repository
of government funds.--Such financial
institution may not serve as agent of the
United States Government or serve as repository
for United States Government funds.
The imposition of either sanction under clause (i) or
(ii) shall be treated as 1 sanction for purposes of
paragraph (1), and the imposition of both such
sanctions shall be treated as 2 sanctions for purposes
of paragraph (1).
(E) Procurement sanction.--The United States
Government may not procure, or enter into any contract
for the procurement of, any goods or services from the
foreign person.
(F) Foreign exchange.--The President may, pursuant
to such regulations as the President may prescribe,
prohibit any transactions in foreign exchange that are
subject to the jurisdiction of the United States and in
which the foreign person has any interest.
(G) Banking transactions.--The President may,
pursuant to such regulations as the President may
prescribe, prohibit any transfers of credit or payments
between financial institutions or by, through, or to
any financial institution, to the extent that such
transfers or payments are subject to the jurisdiction
of the United States and involve any interest of the
foreign person.
(H) Property transactions.--The President may,
pursuant to such regulations as the President may
prescribe, prohibit any person from--
(i) acquiring, holding, withholding, using,
transferring, withdrawing, transporting,
importing, or exporting any property that is
subject to the jurisdiction of the United
States and with respect to which the foreign
person has any interest;
(ii) dealing in or exercising any right,
power, or privilege with respect to such
property; or
(iii) conducting any transaction involving
such property.
(I) Ban on investment in equity or debt of
sanctioned person.--The President may, pursuant to such
regulations or guidelines as the President may
prescribe, prohibit any United States person from
investing in or purchasing significant amounts of
equity or debt instruments of the foreign person.
(J) Exclusion of corporate officers.--The President
may direct the Secretary of State to deny a visa to,
and the Secretary of Homeland Security to exclude from
the United States, any alien that the President
determines is a corporate officer or principal of, or a
shareholder with a controlling interest in, the foreign
person.
(K) Sanctions on principal executive officers.--The
President may impose on the principal executive officer
or officers of the foreign person, or on persons
performing similar functions and with similar
authorities as such officer or officers, any of the
sanctions under this paragraph.
(e) Exceptions.--
(1) Exception to comply with united nations headquarters
agreement.--Sanctions under this subsection shall not apply
with respect to the admission of an alien to the United States
if the admission of the alien is necessary to permit the United
States to comply with the Agreement regarding the Headquarters
of the United Nations, signed at Lake Success June 26, 1947,
and entered into force November 21, 1947, between the United
Nations and the United States, the Convention on Consular
Relations, done at Vienna April 24, 1963, and entered into
force March 19, 1967, or other applicable international
obligations.
(2) Exception relating to importation of goods.--
(A) In general.--A requirement or the authority to
block and prohibit all transactions in all property and
interests in property under this section shall not
include the authority to impose sanctions on the
importation of goods.
(B) Good defined.--In this paragraph, the term
``good'' means any article, natural or man-made
substance, material, supply or manufactured product,
including inspection and test equipment, and excluding
technical data.
(f) National Security Waiver.--The President may waive the
application of sanctions under this section with respect to a person if
the President--
(1) determines that the waiver is in the national security
interests of the United States; and
(2) submits to the appropriate congressional committees a
report on the waiver and the reasons for the waiver.
(g) Implementation; Penalties.--
(1) Implementation.--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) to carry out this section.
(2) Penalties.--A person that violates, attempts to
violate, conspires to violate, or causes a violation of this
section or any regulation, license, or order issued to carry
out this section 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.
(h) Definitions.--In this section:
(1) Admission; admitted; alien.--The terms ``admission'',
``admitted'', and ``alien'' have the meanings given those terms
in section 101 of the Immigration and Nationality Act (8 U.S.C.
1101).
(2) Appropriate congressional committees.--The term
``appropriate congressional committees'' means the Committee on
Foreign Relations and Committee on Banking, Housing, and Urban
Affairs of the Senate and the Committee on Foreign Affairs and
Committee on Financial Services of the House of
Representatives.
(3) Foreign person.--The term ``foreign person'' means an
individual or entity that is not a United States person.
(4) Knowingly.--The term ``knowingly'', with respect to
conduct, a circumstance, or a result, means that a person has
actual knowledge, or should have known, of the conduct, the
circumstance, or the result.
(5) United states person.--The term ``United States
person'' means--
(A) a United States citizen or an alien lawfully
admitted for permanent residence to the United States;
or
(B) an entity organized under the laws of the
United States or any jurisdiction within the United
States, including a foreign branch of such an entity.
SEC. 4. STRATEGY TO IMPROVE ENERGY SECURITY OF EUROPEAN ALLIES OF THE
UNITED STATES.
(a) In General.--The President shall direct the Secretary of State,
in coordination with the heads of other Federal agencies, as
appropriate, to develop a strategy to improve the national and regional
energy security of allies of the United States in Europe.
(b) Elements.--The strategy required by subsection (a) shall
include elements--
(1) to deepen the role of United States diplomacy in Europe
and the Middle East in enhancing the energy security of allies
of the United States in Europe;
(2) to diversify the energy sources of such allies;
(3) to counter efforts by the Russian Federation to
establish energy dominance over Europe; and
(4) to improve the resilience of energy infrastructure of
such allies.
SEC. 5. REPORT ON EFFECTS OF NORD STREAM 2 ON THE NATIONAL SECURITY OF
THE UNITED STATES.
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 (as defined in section 3(h)) a report that includes the
following:
(1) An assessment of the effects of the Nord Stream 2
natural gas pipeline on the national security of the United
States, including an assessment of the effect that increased
dependence by countries in Europe on Russian natural gas would
have on--
(A) the energy security of Europe;
(B) the diplomatic security and foreign policy of
Ukraine;
(C) the diplomatic security and foreign policy of
Germany; and
(D) United States diplomatic missions and
facilities of the United States Government in Europe.
(2) A description of activities of, or support by, the
Government of the Russian Federation aimed at influencing
opinions of the public and elites in Europe to generate support
for Nord Stream 2 and other Russian energy export projects,
including through--
(A) propaganda activities through media and digital
platforms, including broadcast and satellite-based
television, radio, internet, and print media; or
(B) funding or otherwise supporting third-party
groups in Europe such as think tanks, academic
institutions, trade associations, and other
nongovernmental organizations.
SEC. 6. REPORT ON ENTITIES INVOLVED IN CONSTRUCTION OR REPAIR OF NORD
STREAM 2.
(a) In General.--Not later than 180 days after the date of the
enactment of this Act, and annually thereafter until the date that is 6
years after such date of enactment, the Secretary of State shall submit
to the appropriate congressional committees (as defined in section
3(h)) a report that includes--
(1) a list of all entities, including financial
institutions, directly or indirectly providing goods, services,
information, or technology for the construction or repair of
the Nord Stream 2 natural gas pipeline; and
(2) an assessment of whether each entity on the list
required by paragraph (1) has knowingly engaged in a
significant transaction with, or provided goods, services,
information, or technology to or for--
(A) a Russian person the property or interests in
property of which have been blocked pursuant to the
International Emergency Economic Powers Act (50 U.S.C.
1701 et seq.);
(B) any person with respect to which sanctions have
been imposed under section 231 of the Countering
America's Adversaries Through Sanctions Act (22 U.S.C
9525); or
(C) any person with respect to which sanctions have
been imposed under--
(i) any other provision of title II of the
Countering America's Adversaries Through
Sanctions Act (22 U.S.C. 9501 et seq.);
(ii) the Support for the Sovereignty,
Integrity, Democracy, and Economic Stability of
Ukraine Act of 2014 (22 U.S.C. 8901 et seq.);
or
(iii) the Ukraine Freedom Support Act of
2014 (22 U.S.C. 8921 et seq.).
(b) Russian Person Defined.--In this section, the term ``Russian
person'' has the meaning given that term in section 2 of the Ukraine
Freedom Support Act of 2014 (22 U.S.C. 8921).
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