[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 3197 Introduced in Senate (IS)]

<DOC>






118th CONGRESS
  1st Session
                                S. 3197

To establish and authorize funding for an Iranian Sanctions Enforcement 
 Fund to enforce United States sanctions with respect to Iran and its 
  proxies and pay off the United States public debt and to codify the 
                Export Enforcement Coordination Center.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 1, 2023

  Ms. Ernst (for herself and Mr. Blumenthal) introduced the following 
    bill; which was read twice and referred to the Committee on the 
                               Judiciary

_______________________________________________________________________

                                 A BILL


 
To establish and authorize funding for an Iranian Sanctions Enforcement 
 Fund to enforce United States sanctions with respect to Iran and its 
  proxies and pay off the United States public debt and to codify the 
                Export Enforcement Coordination Center.

    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 ``Iranian Sanctions Enforcement Act of 
2023''.

SEC. 2. IRAN SANCTIONS ENFORCEMENT FUND.

    (a) In General.--Not later than 15 days after the date of the 
enactment of this Act, there shall be established in the Treasury of 
the United States a fund, to be known as the ``Iran Sanctions 
Enforcement Fund'' (in this section referred to as the ``Fund''), to 
pay expenses relating to seizures and forfeitures of property made with 
respect to violations by Iran or a covered Iranian proxy of sanctions 
imposed by the United States.
    (b) Designation of Administrator.--Not later than 15 days after the 
date of the enactment of this Act, the Secretary of Homeland Security, 
in consultation with the Secretary of the Treasury, shall appoint an 
administrator for the Fund (in this section referred to as the 
``Administrator'').
    (c) Expenditures From the Fund.--
            (1) In general.--The Administrator may authorize amounts 
        from the Fund to be used, without further appropriation or 
        fiscal year limitation, for payment of all proper expenses 
        relating to a covered seizure or forfeiture, including the 
        following:
                    (A) Investigative costs incurred by a law 
                enforcement agency of the Department of Homeland 
                Security or the Department of Justice.
                    (B) Expenses of detention, inventory, security, 
                maintenance, advertisement, or disposal of the property 
                seized or forfeited, and if condemned by a court and a 
                bond for such costs was not given, the costs as taxed 
                by the court.
                    (C) Costs of--
                            (i) contract services relating to a covered 
                        seizure or forfeiture;
                            (ii) the employment of outside contractors 
                        to operate and manage properties seized or 
                        forfeited or to provide other specialized 
                        services necessary to dispose of such 
                        properties in an effort to maximize the return 
                        from such properties; and
                            (iii) reimbursing any Federal, State, or 
                        local agency for any expenditures made to 
                        perform the functions described in this 
                        subparagraph.
                    (D) Payments to reimburse any covered Federal 
                agency for investigative costs incurred leading to a 
                covered seizure or forfeiture.
                    (E) Payments for contracting for the services of 
                experts and consultants needed by the Department of 
                Homeland Security or the Department of Justice to 
                assist in carrying out duties related to a covered 
                seizure or forfeiture.
                    (F) Awards of compensation to informers for 
                assistance provided with respect to a violation by Iran 
                or a covered Iranian proxy of sanctions imposed by the 
                United States that leads to a covered seizure or 
                forfeiture.
                    (G) Equitable sharing payments made to other 
                Federal agencies, State and local law enforcement 
                agencies, and foreign governments for expenses incurred 
                with respect to a covered seizure or forfeiture.
                    (H) Payment of overtime pay, salaries, travel, 
                fuel, training, equipment, and other similar expenses 
                of State or local law enforcement officers that are 
                incurred in joint law enforcement operations with a 
                covered Federal agency relating to covered seizure or 
                forfeiture.
            (2) Authorization of use of fund for additional purposes.--
        The Secretary of Homeland Security may direct the Administrator 
        to authorize the use of amounts in the Fund for the following:
                    (A) Payment of awards for information or assistance 
                leading to a civil or criminal forfeiture made with 
                respect to a violation by Iran or a covered Iranian 
                proxy of sanctions imposed by the United States and 
                involving any covered Federal agency.
                    (B) Purchases of evidence or information by a 
                covered Federal agency with respect to a violation by 
                Iran or a covered Iranian proxy of sanctions imposed by 
                the United States that leads to a covered seizure or 
                forfeiture.
                    (C) Payment for equipment for any vessel, vehicle, 
                or aircraft available for official use by a covered 
                Federal agency to enable the vessel, vehicle, or 
                aircraft to assist in law enforcement functions 
                relating to a covered seizure or forfeiture, and for 
                other equipment directly related to a covered seizure 
                or forfeiture, including laboratory equipment, 
                protective equipment, communications equipment, and the 
                operation and maintenance costs of such equipment.
                    (D) Payment for equipment for any vessel, vehicle, 
                or aircraft for official use by a State or local law 
                enforcement agency to enable the vessel, vehicle, or 
                aircraft to assist in law enforcement functions 
                relating to a covered seizure or forfeiture if the 
                vessel, vehicle, or aircraft will be used in joint law 
                enforcement operations with a covered Federal agency.
                    (E) Reimbursement of individuals or organizations 
                for expenses incurred by such individuals or 
                organizations in cooperating with a covered Federal 
                agency in investigations and undercover law enforcement 
                operations relating to a covered seizure or forfeiture.
            (3) Prioritization of activities within the fund.--In 
        allocating amounts from the Fund for the purposes described in 
        paragraphs (1) and (2), the Administrator shall prioritize 
        activities that result in the seizure and forfeiture of oil or 
        petroleum products or other commodities or methods of exchange 
        that fund the efforts of Iran or covered Iranian proxies to 
        carry out acts of international terrorism or otherwise kill 
        United States citizens.
    (d) Management of Fund.--The Fund shall be managed and invested in 
the same manner as a trust fund is managed and invested under section 
9602 of the Internal Revenue Code of 1986.
    (e) Funding.--
            (1) Initial funding.--
                    (A) Authorization of appropriations.--There is 
                authorized to be appropriated to the Fund $150,000,000 
                for fiscal year 2024, to remain available until 
                expended.
                    (B) Repayment of initial funding.--
                            (i) In general.--Not later than September 
                        30, 2034, the Administrator shall transfer from 
                        the Fund into the general fund of the Treasury 
                        an amount equal to $150,000,000, as adjusted 
                        pursuant to paragraph (4).
                            (ii) Rule of construction.--The repayment 
                        of amounts under clause (i) shall not be 
                        construed as a termination of the authority for 
                        operation of the Fund.
            (2) Continued operation and funding.--
                    (A) In general.--Subject to subparagraph (B), the 
                net proceeds from the sale of property, forfeited or 
                paid to the United States, arising from a violation by 
                Iran or a covered Iranian proxy of sanctions imposed by 
                the United States, shall be deposited or transferred 
                into the Fund.
                    (B) Transfer of proceeds after deposits into the 
                justice for united states victims of state sponsored 
                terrorism act.--The deposit or transfer of any net 
                proceeds to the Fund under subparagraph (A) shall occur 
                after the deposit or transfer of net proceeds into the 
                United States Victims of State Sponsored Terrorism Fund 
                as required by subsection (e)(2)(A)(ii) of the Justice 
                for United States Victims of State Sponsored Terrorism 
                Act (34 U.S.C. 20144).
            (3) Maximum end-of-year balance.--
                    (A) In general.--If, at the end of a fiscal year, 
                the amount in the Fund exceeds the amount specified in 
                subparagraph (B), the Administrator shall transfer the 
                amount in excess of the amount specified in 
                subparagraph (B) to the general fund of the Treasury 
                for the payment of the public debt of the United 
                States.
                    (B) Amount specified.--The amount specified in this 
                subparagraph is--
                            (i) in fiscal year 2024, $500,000,000; and
                            (ii) in any fiscal year thereafter, 
                        $500,000,000, as adjusted pursuant to paragraph 
                        (4).
            (4) Adjustments for inflation.--
                    (A) In general.--The amounts described in 
                paragraphs (1)(B)(i) and (3)(B)(ii) shall be adjusted, 
                at the beginning of each of fiscal years 2025 through 
                2034, to reflect the percentage (if any) of the 
                increase in the average of the Consumer Price Index for 
                the preceding 12-month period compared to the Consumer 
                Price Index for fiscal year 2023.
                    (B) Consumer price index defined.--In this 
                paragraph, the term ``Consumer Price Index'' means the 
                Consumer Price Index for All Urban Consumers published 
                by the Bureau of Labor Statistics of the Department of 
                Labor.
    (f) Prohibition on Transfer of Funds.--
            (1) In general.--Any expenditure of amounts in the Fund, or 
        transfer of amounts from the Fund, not authorized by this 
        section is prohibited.
            (2) Acts by congress.--Any Act of Congress to remove money 
        from the Fund shall be reported in the Federal Register not 
        later than 10 days after the enactment of the Act.
    (g) Report.--Not later than September 1, 2024, and annually 
thereafter through September 1, 2034, the Secretary of Homeland 
Security, with the concurrence of the Secretary of the Treasury, shall 
submit to the appropriate congressional committees a report on--
            (1) all activities supported by the Fund during the fiscal 
        year during which the report is submitted and the preceding 
        fiscal year;
            (2) a list of each covered seizure or forfeiture supported 
        by the Fund during those fiscal years and, with respect to each 
        such seizure or forfeiture--
                    (A) the goods seized;
                    (B) the current status of the forfeiture of the 
                goods;
                    (C) an assessment of the impact on the national 
                security of the United States of the seizure or 
                forfeiture, including the estimated loss of revenue to 
                the person from which the goods were seized; and
                    (D) any anticipated response or outcome of the 
                seizure or forfeiture;
            (3) the financial health and financial data of the Fund as 
        of the date of the report;
            (4) the amount transferred to the general fund of the 
        Treasury under subsection (e) or (h);
            (5)(A) the amount paid to informants for information or 
        evidence under subsection (c);
            (B) whether the information or evidence led to a seizure; 
        and
            (C) if so, the cost of the goods seized;
            (6) the amount remaining to be transferred under subsection 
        (e)(3) and an estimated timeline for transferring the full 
        amount required by that subsection; and
            (7)(A) any instances during the fiscal years covered by the 
        report of a covered seizure or forfeiture if, after amounts 
        were expended from the Fund to support the seizure or 
        forfeiture, the seizure or forfeiture did not occur as a result 
        of a policy decision made by the Secretary of Homeland 
        Security, the President, or any other official of the United 
        States; and
            (B) a description of the costs incurred and reasons the 
        seizure or forfeiture did not occur.
    (h) Failure To Report or Utilize the Fund.--
            (1) Effect of failure to submit report.--If a report 
        required by subsection (g) is not submitted to the appropriate 
        congressional committees by the date that is 180 days after the 
        report is due under subsection (g), the Administrator shall 
        transfer an amount equal to 5 percent of the amounts in the 
        Fund to the general fund of the Treasury for the payment of the 
        public debt of the United States. For each 90-day period 
        thereafter during which the report is not submitted, the 
        Administrator shall transfer an additional amount, equal to 5 
        percent of the amounts in the Fund, to the general fund of the 
        Treasury for that purpose.
            (2) Effect of failure to use fund.--If a report submitted 
        under subsection (g) indicates that amounts in the Fund have 
        not been used for any seizure or forfeiture activity during the 
        fiscal years covered by the report, the Fund shall be 
        terminated and any amounts in the Fund shall transferred to the 
        general fund of the Treasury for the payment of the public debt 
        of the United States.
            (3) Waiver of termination of fund for national security 
        purposes.--
                    (A) In general.--If the President determines that 
                it is in the national security interests of the United 
                States not to terminate the Fund as required by 
                paragraph (2), the President may waive the requirement 
                to terminate the Fund.
                    (B) Report required.--If the President exercises 
                the waiver authority under subparagraph (A), the 
                President shall submit to the appropriate congressional 
                committees a report describing the factors considered 
                in determining that it is in the national security 
                interests of the United States not to terminate the 
                Fund.
                    (C) Form.--The report required by subparagraph (B) 
                shall be submitted in unclassified form, but may 
                include a classified annex.
    (i) Rule of Construction.--Nothing in this section may be construed 
to affect the requirements of subsection (e) of the Justice for United 
States Victims of State Sponsored Terrorism Act (34 U.S.C. 20144(e)) or 
the operation of the United States Victims of State Sponsored Terrorism 
Fund under that subsection.
    (j) 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 Homeland Security and 
                Governmental Affairs of the Senate; and
                    (B) the Committee on Financial Services and the 
                Committee on Homeland Security of the House of 
                Representatives.
            (2) Covered federal agency.--The term ``covered Federal 
        agency'' means any Federal agency specified in section 3(b).
            (3) Covered iranian proxy.--The term ``covered Iranian 
        proxy'' means a violent extremist organization or other 
        organization that works on behalf of or receives financial or 
        material support from Iran, including--
                    (A) the Iranian Revolutionary Guard Corps-Quds 
                Force;
                    (B) Hamas;
                    (C) Palestinian Islamic Jihad;
                    (D) Hezbollah;
                    (E) Ansar Allah (the Houthis); and
                    (F) Iranian-sponsored militias in Iraq and Syria.
            (4) Covered seizure or forfeiture.--The term ``covered 
        seizure or forfeiture'' means a seizure or forfeiture of 
        property made with respect to a violation by Iran or a covered 
        Iranian proxy of sanctions imposed by the United States.

SEC. 3. ESTABLISHMENT OF EXPORT ENFORCEMENT COORDINATION CENTER.

    (a) Establishment.--The Secretary of Homeland Security shall 
operate and maintain, within Homeland Security Investigations, the 
Export Enforcement Coordination Center, as established by Executive 
Order 13558 (50 U.S.C. 4601 note) (in this section referred to as the 
``Center'').
    (b) Purposes.--The Center shall serve as the primary center for 
Federal Government export enforcement efforts among the following 
agencies:
            (1) The Department of State.
            (2) The Department of the Treasury.
            (3) The Department of Defense.
            (4) The Department of Justice.
            (5) The Department of Commerce.
            (6) The Department of Energy.
            (7) The Department of Homeland Security.
            (8) The Office of the Director of National Intelligence.
            (9) Such other agencies as the President may designate.
    (c) Coordination Authority.--The Center shall--
            (1) serve as a conduit between Federal law enforcement 
        agencies and the intelligence community (as defined in section 
        3(4) of the National Security Act of 1947 (50 U.S.C. 3003(4))) 
        for the exchange of information related to potential violations 
        of United States export controls;
            (2) serve as a primary point of contact between enforcement 
        authorities and agencies engaged in export licensing;
            (3) coordinate law enforcement public outreach activities 
        related to United States export controls;
            (4) serve as the primary deconfliction and support center 
        to assist law enforcement agencies to coordinate and enhance 
        investigations with respect to export control violations;
            (5) establish integrated, governmentwide statistical 
        tracking and targeting capabilities to support export 
        enforcement; and
            (6) carry out additional duties as assigned by the 
        Secretary of Homeland Security regarding the enforcement of 
        United States export control laws.
    (d) Administration.--The Executive Associate Director of Homeland 
Security Investigations shall--
            (1) serve as the administrator of the Center; and
            (2) maintain documentation that describes the participants 
        in, funding of, core functions of, and personnel assigned to, 
        the Center.
    (e) Director; Deputy Directors.--
            (1) Director.--The Center shall have a Director, who shall 
        be--
                    (A) a member of the Senior Executive Service (as 
                defined in section 2101a of title 5, United States 
                Code) and a special agent within Homeland Security 
                Investigations; and
                    (B) designated by the Secretary of Homeland 
                Security.
            (2) Deputy directors.--The Center shall have 2 Deputy 
        Directors, as follows:
                    (A) One Deputy Director, who shall be--
                            (i) a full-time employee of the Department 
                        of Commerce; and
                            (ii) appointed by the Secretary of 
                        Commerce.
                    (B) One Deputy Director, who shall be--
                            (i) a full-time employee of the Department 
                        of Justice; and
                            (ii) appointed by the Attorney General.
    (f) Liaisons From Other Agencies.--
            (1) Intelligence community liaison.--An intelligence 
        community liaison shall be detailed to the Center. The liaison 
        shall be--
                    (A) a full-time employee of an element of the 
                intelligence community; and
                    (B) designated by the Director of National 
                Intelligence.
            (2) Liaisons from other agencies.--
                    (A) In general.--A liaison shall be detailed to the 
                Center by each agency specified in subparagraph (B). 
                Such liaisons shall be special agents, officers, 
                intelligence analysts, or intelligence officers, as 
                appropriate.
                    (B) Agencies specified.--The agencies specified in 
                this subparagraph are the following:
                            (i) Homeland Security Investigations.
                            (ii) U.S. Customs and Border Protection.
                            (iii) The Office of Export Enforcement of 
                        the Bureau of Industry and Security of the 
                        Department of Commerce.
                            (iv) The Federal Bureau of Investigation.
                            (v) The Defense Criminal Investigative 
                        Service.
                            (vi) The Bureau of Alcohol, Tobacco, 
                        Firearms and Explosives.
                            (vii) The National Counterintelligence and 
                        Security Center of the Office of the Director 
                        of National Intelligence.
                            (viii) The Department of Energy.
                            (ix) The Office of Foreign Assets Control 
                        of the Department of the Treasury.
                            (x) The Directorate of Defense Trade 
                        Controls of the Department of State.
                            (xi) The Office of Export Administration of 
                        the Bureau of Industry and Security.
                            (xii) The Office of Enforcement Analysis of 
                        the Bureau of Industry and Security.
                            (xiii) The Office of Special Investigations 
                        of the Air Force.
                            (xiv) The Criminal Investigation Division 
                        of the Army.
                            (xv) The Naval Criminal Investigative 
                        Service.
                            (xvi) The Defense Intelligence Agency.
                            (xvii) The Defense Counterintelligence and 
                        Security Agency.
                            (xviii) Any other agency, at the request of 
                        the Secretary of Homeland Security.
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