[Congressional Record Volume 144, Number 104 (Wednesday, July 29, 1998)]
[Senate]
[Pages S9239-S9240]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




  REPORT CONCERNING THE PROLIFERATION OF WEAPONS OF MASS DESTRUCTION--
                   MESSAGE FROM THE PRESIDENT--PM 149

  The PRESIDING OFFICER laid before the Senate the following message 
from the President of the United States, together with an accompanying 
report; which was referred to the Committee on Banking, Housing, and 
Urban Affairs.

To the Congress of the United States:
  On November 14, 1994, in light of the danger of the proliferation of 
nuclear, biological, and chemical weapons (weapons of mass destruction) 
and of the means of delivering such weapons, using my authority under 
the International Emergency Economic Powers Act (50 U.S.C. 1701 et 
seq.), I declared a national emergency and issued Executive Order 
12938. Because the proliferation of weapons of mass destruction 
continues to pose an unusual and extraordinary threat to the national 
security, foreign policy, and economy of the United States, I have 
renewed the national emergency declared in Executive Order 12938 
annually, most recently on November 14, 1997. Pursuant to section 
204(b) of the International Emergency Economic Powers Act (50 U.S.C. 
1703(b)), I hereby report to the Congress that I have exercised my 
statutory authority to issue an Executive order to amend Executive 
Order 12938 in order to more effectively to respond to the worldwide 
threat of weapons of mass destruction proliferation activities.
  The amendment of section 4 of Executive Order 12938 strengthens the 
original Executive order in several significant ways.
  First, the amendment broadens the type of proliferation activity that 
is subject to potential penalties. Executive Order 12938 covers 
contributions to the efforts of any foreign country, project, or entity 
to use, acquire, design, produce, or stockpile chemical or biological 
weapons (CBW). This amendment adds potential penalties for 
contributions to foreign programs for nuclear weapons and missiles 
capable of delivering weapons of mass destruction. For example, the new 
amendment authorizes the imposition of measures against foreign 
entities that materially assist Iran's missile program.
  Second, the amendment lowers the requirements for imposing penalties. 
Executive Order 12938 required a finding that a foreign person 
``knowingly and materially'' contributed to a foreign CBW program. The 
amendment removes the ``knowing'' requirement as a basis for 
determining potential penalties. Therefore, the Secretary of State need 
only determine that the foreign person made a ``material'' contribution 
to a weapons of mass destruction or missile program to apply the 
specified sanctions. At the same time, the Secretary of State will have 
discretion regarding the scope of sanctions so that a truly unwitting 
party will not be unfairly punished.
  Third, the amendment expands the original Executive order to include 
``attempts'' to contribute to foreign proliferation activities, as well 
as actual contributions. This will allow imposition of penalties even 
in cases where foreign persons make an unsuccessful effort to 
contribute to weapons of mass destruction and missile programs or where 
authorities block a transaction before it is consummated.
  Fourth, the amendment expressly expands the range of potential 
penalties to include the prohibition of United States Government 
assistance to the foreign person, as well as United States Government 
procurement and imports into the United States, which were specified by 
the original Executive order. Moreover, section 4(b) broadens the scope 
of the United States Government procurement limitations to include a 
bar on the procurement of technology, as well as goods or services from 
any foreign person described in section 4(a). Section 4(d) broadens the 
scope of import limitations to include a bar on imports of any 
technology or services produced or provided by any foreign person 
described in section 4(a).
  Finally, this amendment gives the United States Government greater 
flexibility and discretion in deciding how and to what extent to impose 
penalties against foreign persons that assist proliferation programs. 
This provision authorizes the Secretary of State, who will act in 
consultation with the heads of other interested agencies, to determine 
the extent to which these measures should be imposed against entities 
contributing to foreign weapons of mass destruction or missile 
programs. The Secretary of State will act to further the national 
security and foreign policy interests of the United States, including 
principally our nonproliferation objectives. Prior to imposing measures 
pursuant to this provision, the Secretary of State will take into 
account the likely effectiveness of such measures in furthering the 
interests of the United States and the costs and benefits of such 
measures. This approach provides the necessary flexibility to tailor 
our responses to specific situations.
  I have authorized these actions in view of the danger posed to the 
national security and foreign policy of

[[Page S9240]]

the United States by the continuing proliferation of weapons of mass 
destruction and their means of delivery. I am enclosing a copy of the 
Executive order that I have issued exercising these authorities.
                                                  William J. Clinton.  
  The White House, July 28, 1998.

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