[Congressional Record Volume 170, Number 79 (Tuesday, May 7, 2024)]
[Senate]
[Pages S3537-S3538]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 2012. Mr. CORNYN (for himself and Mr. King) submitted an amendment 
intended to be proposed to amendment SA 1911 proposed by Ms. Cantwell 
(for herself, Mr. Cruz, Ms. Duckworth, and Mr. Moran) to the bill H.R. 
3935, to amend title 49, United States Code, to reauthorize and improve 
the Federal Aviation Administration and other civil aviation programs, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

     SEC. ___. TERMINATION OF TAX-EXEMPT STATUS OF TERRORIST 
                   SUPPORTING ORGANIZATIONS.

       (a) In General.--Section 501(p) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following 
     new paragraph:
       ``(8) Application to terrorist supporting organizations.--
       ``(A) In general.--For purposes of this subsection, in the 
     case of any terrorist supporting organization--
       ``(i) such organization (and the designation of such 
     organization under subparagraph (B)) shall be treated as 
     described in paragraph (2), and
       ``(ii) the period of suspension described in paragraph (3) 
     with respect to such organization shall be treated as 
     beginning on the date that the Secretary designates such 
     organization under subparagraph (B) and ending on the date 
     that the Secretary rescinds such designation under 
     subparagraph (D).
       ``(B) Terrorist supporting organization.--For purposes of 
     this paragraph, the term `terrorist supporting organization' 
     means any organization which is designated by the Secretary 
     as having provided, during the 3-year period ending on the 
     date of such designation, material support or resources 
     (within the meaning of section 2339B of title 18, United 
     States Code) to an organization described in paragraph (2) 
     (determined after the application of this paragraph to such 
     organization) in excess of a de minimis amount.
       ``(C) Designation procedure.--
       ``(i) Notice requirement.--Prior to designating any 
     organization as a terrorist supporting organization under 
     subparagraph (B), the Secretary shall mail to the most recent 
     mailing address provided by such organization on the 
     organization's annual return or notice under section 6033 (or 
     subsequent form indicating a change of address) a written 
     notice which includes--

       ``(I) a statement that the Secretary will designate such 
     organization as a terrorist supporting organization unless 
     the organization satisfies the requirements of subclause (I) 
     or (II) of clause (ii),
       ``(II) the name of the organization or organizations with 
     respect to which the Secretary has determined such 
     organization provided material support or sources as 
     described in subparagraph (B), and
       ``(III) a description of such material support or resources 
     to the extent consistent with national security and law 
     enforcement interests.

       ``(ii) Opportunity to cure.--In the case of any notice 
     provided to an organization under clause (i), the Secretary 
     shall, at the close of the 90-day period beginning on the 
     date that such notice was sent, designate such organization 
     as a terrorist supporting organization under subparagraph (B) 
     if (and only if) such organization has not (during such 
     period)--

       ``(I) demonstrated to the satisfaction of the Secretary 
     that such organization did not provide the material support 
     or resources referred to in subparagraph (B), or

[[Page S3538]]

       ``(II) made reasonable efforts to have such support or 
     resources returned to such organization and certified in 
     writing to the Secretary that such organization will not 
     provide any further support or resources to organizations 
     described in paragraph (2).

     A certification under subclause (II) shall not be treated as 
     valid if the organization making such certification has 
     provided any other such certification during the preceding 5 
     years.
       ``(D) Rescission.--The Secretary shall rescind a 
     designation under subparagraph (B) if (and only if)--
       ``(i) the Secretary determines that such designation was 
     erroneous,
       ``(ii) after the Secretary receives a written certification 
     from an organization that such organization did not receive 
     the notice described in subparagraph (C)(i)--

       ``(I) the Secretary determines that it is reasonable to 
     believe that such organization did not receive such notice, 
     and
       ``(II) such organization satisfies the requirements of 
     subclause (I) or (II) of subparagraph (C)(ii) (determined 
     after taking into account the last sentence thereof), or

       ``(iii) the Secretary determines, with respect to all 
     organizations to which the material support or resources 
     referred to in subparagraph (B) were provided, the periods of 
     suspension under paragraph (3) have ended.
     A certification described in the matter preceding subclause 
     (I) of clause (ii) shall not be treated as valid if the 
     organization making such certification has provided any other 
     such certification during the preceding 5 years.
       ``(E) Administrative review by internal revenue service 
     independent office of appeals.--In the case of the 
     designation of an organization by the Secretary as a 
     terrorist supporting organization under subparagraph (B), a 
     dispute regarding such designation shall be subject to 
     resolution by the Internal Revenue Service Independent Office 
     of Appeals under section 7803(e) in the same manner as if 
     such designation were made by the Internal Revenue Service 
     and paragraph (5) of this subsection did not apply.
       ``(F) Jurisdiction of united states courts.--
     Notwithstanding paragraph (5), the United States district 
     courts shall have exclusive jurisdiction to review a final 
     determination with respect to an organization's designation 
     as a terrorist supporting organization under subparagraph 
     (B). In the case of any such determination which was based on 
     classified information (as defined in section 1(a) of the 
     Classified Information Procedures Act), such information may 
     be submitted to the reviewing court ex parte and in camera. 
     For purposes of this subparagraph, a determination with 
     respect to an organization's designation as a terrorist 
     supporting organization shall not fail to be treated as a 
     final determination merely because such organization fails to 
     utilize the dispute resolution process of the Internal 
     Revenue Service Independent Office of Appeals provided under 
     subparagraph (E).''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to designations made after the date of the 
     enactment of this Act in taxable years ending after such 
     date.
                                 ______