Imposition of sanctions with respect to purchases of crude oil from Russian Federation

(a)

Purchases of crude oil from Russian Federation

(1)

List required

Not later than 60 days after the date of the enactment of this Act, and every 30 days thereafter, the President shall submit to Congress a list of foreign persons the President determines knowingly purchase, on or after the date that is 30 days after the date of the enactment of this Act, crude oil produced in the Russian Federation.(2)

Imposition of sanctions

The President shall, pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), block and prohibit all transactions in all property and interests in property of a foreign person on the list required by paragraph (1) 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. (b)

Facilitation of purchases of crude oil from Russian Federation

(1)

List required

Not later than 60 days after the date of the enactment of this Act, and every 30 days thereafter, the President shall submit to Congress a list of foreign financial institutions, insurance companies, brokering services, international trading houses, port operators, and shipping companies that the President determines have knowingly, on or after the date that is 30 days after the date of the enactment of this Act, facilitated any significant financial transaction for the purchase of crude oil produced in the Russian Federation.(2)

Imposition of sanctions

The President shall, pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), block and prohibit all transactions in all property and interests in property of an entity on the list required by paragraph (1) 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. (3)

Exception for crude oil purchases complying with certain conditions

(A)

Report required

Not later than 30 days after the date of the enactment of this Act, and every 60 days thereafter, the Administrator of the Energy Information Administration, in consultation with the Secretary of the Treasury, the Secretary of State, and the Director of National Intelligence, shall submit to Congress a report on the average marginal cost of production of crude oil throughout the Russian Federation during the 60-day period preceding the submission of the report. (B)

Establishment of price cap Russian crude oil

Not later than 30 days after the date of the enactment of this Act, and every 60 days thereafter, the President shall establish a price cap for crude oil produced in the Russian Federation, which shall be not more than 15 percent more than the average marginal cost of production of crude oil throughout the Russian Federation, as set forth in the most recent report submitted under subparagraph (A).(C)

Exception

Sanctions imposed pursuant to paragraph (2) shall not apply with respect to a foreign financial institution for facilitating a financial transaction for the purchase of crude oil from the Russian Federation if—(i)the purchase price of the crude oil does not exceed the most recent price cap determined under subparagraph (B);(ii)the funds used to purchase the crude oil are deposited into an account managed by the Secretary of the Treasury; and(iii)funds in the account are available to the Russian Federation only for purchases of non-luxury consumers goods, including food, medicine, and medical devices, the purchase of which is not subject to sanctions imposed by the United States.(D)

Release of funds in account

Funds in the account described in subparagraph (C)(ii) may be repatriated to the Russian Federation only if, at a minimum, the following conditions are met:(i)The Russian Federation signs a peace agreement with Ukraine. (ii)The Russian Federation withdraws all Armed Forces of the Russian Federation from both land and seaports in Ukraine, including Crimea.(iii)The Organization for Security and Co-operation in Europe verifies that all such forces have been withdrawn.(iv)The President determines that such funds will not be used for purposes of harming the United States or other countries.(4)

Waiver

The President may waive the imposition of sanctions under paragraph (2) for a period of not more than 120 days, and may renew that waiver for additional periods of not more than 120 days, if the President— (A)determines that such a waiver is in the national interest of the United States; and(B) submits to Congress a report—(i)providing a justification for the waiver; and (ii)that includes any concrete cooperation the President has received or expects to receive as a result of the waiver.(c)

Task force

(1)

In general

Not later than 30 days after the date of the enactment of this Act, the President shall establish an interagency task force, which shall be responsible for—(A)combating illicit trade by the Russian Federation to evade sanctions imposed under subsections (a) and (b) using foreign financial institutions, insurance companies, brokering services, international trading houses, port operators, and shipping companies; and(B)rapidly declassifying intelligence and issuing démarches to foreign governments and entities involved in purchases of crude oil from the Russian Federation subject to such sanctions.(2)

Composition

The task force established under paragraph (1) shall, at a minimum, include representatives of the following:(A)The Department of State.(B)The Department of Energy.(C)The Department of Commerce.(D)The Department of Homeland Security.(E)The Department of the Treasury. (F)The intelligence community (as defined in section 3(4) of the National Security Act of 1947 (50 U.S.C. 3003(4))). (3)

Use of satellite data mapping radio frequency emissions

The task force established under paragraph (1) shall, to the extent practicable, make use of commercial space-based radio frequency data—(A)to map radio frequency emissions in maritime areas of interest;(B)to identify vessels not transmitting Automated Identification System information; and(C)to geolocate vessels involved in efforts to evade sanctions imposed under subsection (a) or (b). (4)

Access to, use of, and handling of information of other Federal agencies

In carrying out activities under paragraph (1), the task force established under paragraph (1) shall, to the extent practicable, be provided with access to all reports or other information of any Federal agency that the task force determines necessary to carry out those activities—(A) upon written request to the agency in possession of the information; (B)subject to limitations under applicable provisions of law; (C)consistent with the protection of sources and methods, law enforcement strictures, protection of proprietary information of businesses, and protection of personally identifiable information; and(D)subject to all restrictions required by the source of the information. (d)

Increase in United States crude oil production and refining capacity

The President shall—(1)take all necessary steps to increase the production and refining of crude oil in the United States; and(2)conduct outreach to Canada and Mexico to encourage those countries to increase their production of crude oil—(A)to ensure there is a sufficient supply of crude oil from countries other than the Russian Federation; and (B)to minimize any impact on the price of crude oil resulting from the imposition of sanctions under this section. (e)

Form of reports

Each report submitted under this section shall be submitted in unclassified form, but may contain a classified annex.(f)

Implementation; penalties

(1)

Implementation

The President may exercise all authorities provided 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

The penalties provided for in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705) shall apply to a person that violates, attempts to violate, conspires to violate, or causes a violation of this section or a license, order, regulation, or prohibition issued under this section to the same extent that such penalties apply to a person that commits an unlawful act described in section 206(a) of that Act. (g)

Definitions

In this section:(1)

Foreign financial institution

The term foreign financial institution has the meaning of that term as determined by the Secretary of the Treasury in regulations.(2)

Foreign person

The term foreign person means an individual or entity that is not a United States person.(3)

United states person

The term United States person means—(A)an individual who is a United States citizen or an alien lawfully admitted for permanent residence to the United States;(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; or(C)any person in the United States.