[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 2338 Introduced in Senate (IS)]

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116th CONGRESS
  1st Session
                                S. 2338

To prohibit the Export-Import Bank of the United States from financing 
the export of nuclear technology, equipment, fuel, materials, or other 
       goods or services to Saudi Arabia, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             July 30, 2019

 Mr. Van Hollen (for himself, Mr. Graham, Mr. Moran, and Mr. Merkley) 
introduced the following bill; which was read twice and referred to the 
            Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
To prohibit the Export-Import Bank of the United States from financing 
the export of nuclear technology, equipment, fuel, materials, or other 
       goods or services to Saudi Arabia, 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 ``Preventing Nuclear Proliferation in 
Saudi Arabia Act of 2019''.

SEC. 2. PROHIBITION ON EXPORT-IMPORT BANK FINANCING FOR EXPORT OF 
              NUCLEAR TECHNOLOGY, EQUIPMENT, FUEL, MATERIALS, OR OTHER 
              GOODS OR SERVICES TO SAUDI ARABIA.

    (a) Findings.--Congress makes the following findings:
            (1) The Export-Import Bank of the United States identifies 
        global nuclear power as a key and growing industry in which the 
        Bank has played an important role by financing the export of 
        United States nuclear equipment, fuel, technology, and services 
        to foreign purchasers.
            (2) In September 2012, the Export-Import Bank authorized a 
        $2,000,000,000 direct loan to the Barakah One Company of the 
        United Arab Emirates to finance the export of United States 
        equipment and service-expertise for the construction of a 
        nuclear power plant in the United Arab Emirates, the first of 
        its kind on the Arabian Peninsula.
            (3) The transaction to finance the construction of the 
        Barakah nuclear power plant was enabled by the establishment of 
        a bilateral nuclear cooperation agreement between the United 
        States and the United Arab Emirates made pursuant to section 
        123 of the Atomic Energy Act of 1954 (42 U.S.C. 2153), in which 
        the United Arab Emirates committed to forgo uranium enrichment 
        and reprocessing on its territory and was obligated to bring 
        into force an Additional Protocol to its Comprehensive 
        Safeguards Agreement with the International Atomic Energy 
        Agency.
            (4) The nuclear cooperation agreement, which was signed on 
        May 21, 2009, became known as the first ``gold standard'' civil 
        nuclear agreement and was viewed as a step toward building a 
        strong nonproliferation framework in the region.
            (5) In accordance with that agreement, the United Arab 
        Emirates reserves the right to amend its terms in the event the 
        United States establishes a peaceful nuclear cooperation 
        agreement with another non-nuclear-weapon state in the Middle 
        East that is less prescriptive in scope and effect than its 
        agreement with the United States.
            (6) The Government of Saudi Arabia intends to develop an 
        extensive civilian nuclear program, including the construction 
        of 2 nuclear power reactors and multiple small modular 
        reactors.
            (7) For the construction of its first 2 nuclear power 
        reactors, the Government of Saudi Arabia plans to issue a 
        multi-billion dollar tender in 2020, and among the potential 
        suppliers is the United States.
            (8) The Government of Saudi Arabia currently has in place a 
        Small Quantities Protocol to its Comprehensive Safeguards 
        Agreement with the International Atomic Energy Agency, an 
        agreement that suspends the application of a number of 
        safeguards requirements for a country with minimal nuclear 
        material activities on its territory or under its jurisdiction.
            (9) Despite its plans to develop an extensive civilian 
        nuclear program and interest in the United States as a supplier 
        of nuclear technology and expertise, the Government of Saudi 
        Arabia has demonstrated little willingness to accept strong 
        nonproliferation measures, such as an Additional Protocol to 
        its Comprehensive Safeguards Agreement with the International 
        Atomic Energy Agency, and has even expressed a desire for 
        acquiring uranium enrichment technology.
            (10) Fully functional with a quorum and if reauthorized 
        beyond September 30, 2019, when its current charter lapses, the 
        Export-Import Bank will regain its ability to finance United 
        States nuclear exports by extending loans and credit to foreign 
        purchasers.
    (b) Sense of Congress.--It is the sense of Congress that--
            (1) any provision of financing assistance by the Export-
        Import Bank of the United States to Saudi Arabia for the import 
        of United States nuclear technology, equipment, fuel, 
        materials, or goods or services should be conditioned on the 
        commitment of the Government of Saudi Arabia to renounce 
        uranium enrichment and reprocessing on its territory and its 
        adoption and implementation of an Additional Protocol to its 
        Comprehensive Safeguards Agreement with the International 
        Atomic Energy Agency as a way to advance United States 
        nonproliferation and nuclear cooperation objectives in the 
        region; and
            (2) to further bolster nonproliferation efforts in the 
        region, the United States should oppose, through the Nuclear 
        Suppliers Group, the export of nuclear technology to Saudi 
        Arabia until the Government of Saudi Arabia has--
                    (A) committed to renouncing uranium enrichment and 
                reprocessing on its territory; and
                    (B) signed and implemented an Additional Protocol 
                to its Comprehensive Safeguards Agreement with the 
                International Atomic Energy Agency.
    (c) Prohibition.--The Export-Import Bank of the United States may 
not guarantee, insure, or extend (or participate in the extension of) 
credit in connection with the export of nuclear technology, equipment, 
fuel, materials, or other goods or services to Saudi Arabia unless--
            (1) the Government of Saudi Arabia--
                    (A) has in effect a nuclear cooperation agreement 
                pursuant to section 123 of the Atomic Energy Act of 
                1954 (42 U.S.C. 2153);
                    (B) has signed and implemented an Additional 
                Protocol to its Comprehensive Safeguards Agreement with 
                the International Atomic Energy Agency; and
                    (C) has committed not to possess sensitive nuclear 
                facilities within its territory or otherwise to engage 
                in activities relating to the enrichment or 
                reprocessing of nuclear material; and
            (2) not less than 30 days before the Board of Directors of 
        the Bank provides final approval to the guarantee, insurance, 
        or extension (or participation in the extension) of credit, the 
        Bank, in coordination with the Secretary of State and the 
        Chairman of the Nuclear Regulatory Commission, submits to the 
        appropriate congressional committees a report that includes--
                    (A) a detailed description of, and an explanation 
                for providing the guarantee, insurance, or extension 
                (or participation in the extension) of credit for, the 
                transaction;
                    (B) a description of the nuclear technology, 
                equipment, fuel, materials, or other goods or services 
                that will be exported to Saudi Arabia;
                    (C) the name, address, and place of incorporation 
                or other legal organization of the immediate parent, 
                the ultimate parent, and each immediate parent, if any, 
                of the foreign entities that are parties to the 
                transaction;
                    (D) the name of all United States businesses that 
                are parties to the transaction; and
                    (E) the name of any and all other financial 
                institutions involved in the transaction, including as 
                advisors, underwriters, or a source of financing for 
                the transaction.
    (d) Treatment of Confidential Information.--If the Export-Import 
Bank of the United States determines that any information required to 
be included in the report under subsection (c)(2) should be made 
confidential, that information may be submitted in a separate and 
confidential report to the chairmen and ranking members of the 
appropriate congressional committees.
    (e) Definitions.--In this section:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Banking, Housing, and Urban 
                Affairs and the Committee on Foreign Relations of 
                Senate; and
                    (B) the Committee on Financial Services and the 
                Committee on Foreign Affairs of the House of 
                Representatives.
            (2) Sensitive nuclear facility.--The term ``sensitive 
        nuclear facility'' means any facility designed or used 
        primarily for uranium enrichment, reprocessing of nuclear fuel, 
        heavy water production, or fabrication of nuclear fuel 
        containing plutonium.
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