I 

114TH CONGRESS 

2D SESSION H. R. 4448 

To amend the Comprehensive Iran Sanctions, Accountability, and Divestment 

Act of 2010 to secure the authority of State and local governments 

to adopt and enforce measures restricting investment in business enterprises in Iran, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 3, 2016 

Mr. DESANTIS (for himself, Mr. LAMBORN, Mr. CRENSHAW, Mr. ROKITA, Mr. 

SMITH of Texas, Mr. ROHRABACHER, Mr. HARPER, Mr. BISHOP of 

Michigan, Mr. ROSS, Mr. COLLINS of New York, Mr. DESJARLAIS, Mr. 

YOHO, Mr. SALMON, Mr. CLAWSON of Florida, Mr. WEBER of Texas, Mr. 

PERRY, Mr. MEADOWS, Mr. JORDAN, Mr. ZELDIN, Mr. WALKER, and 

Ms. MCSALLY) introduced the following bill; which was referred to the 

Committee on Financial Services 

A BILL 

To amend the Comprehensive Iran Sanctions, Accountability, 

and Divestment Act of 2010 to secure the authority 

of State and local governments to adopt and enforce 

measures restricting investment in business enterprises 

in Iran, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘State Sanctions 

5 Against Iranian Terrorism Act’’. 


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1 SEC. 2. AUTHORITY OF STATE AND LOCAL GOVERNMENTS 

2 TO RESTRICT INVESTMENT ACTIVITIES IN 

3 IRAN. 

4 (a) ADDITIONAL AUTHORITY.—Section 202 of the 

5 Comprehensive Iran Sanctions, Accountability, and Di6 vestment Act of 2010 (22 U.S.C. 8532) is amended as 

7 follows: 

8 (1) Subsection (a) is amended— 

9 (A) by striking ‘‘should support’’ and in10 serting ‘‘should not interfere with’’; and 

11 (B) by striking ‘‘in the energy sector of 

12 Iran’’ and all that follows through ‘‘United 

13 States’’ and inserting ‘‘in the business sector in 

14 Iran, or prohibits or limits any person from en15 gaging in investment activities in the business 

16 sector of Iran, until such time as all Federal 

17 laws that either expressly authorize or require 

18 the imposition of sanctions by the Federal Gov19 ernment on Iran are rescinded by an Act or 

20 Acts of Congress’’. 

21 (2) Subsection (b) is amended— 

22 (A) by amending the subsection heading to 

23 read as follows: 

24 ‘‘(b) AUTHORITY TO RESTRICT INVESTMENT IN

25 IRAN.—’’; 


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1 (B) by striking ‘‘may adopt and enforce 

2 measures that meet’’ and inserting ‘‘may— 

3 ‘‘(1) adopt and enforce measures— 

4 ‘‘(A) that meet’’; 

5 (C) by moving the remaining text of sub6 section (b) 4 ems to the right; 

7 (D) by striking ‘‘subsection (c).’’ and in8 serting ‘‘subsection (c); or’’; and 

9 (E) by adding at the end the following: 

10 ‘‘(B) to prohibit or limit any person from 

11 engaging in investment activities in Iran de12 scribed in subsection (c); and 

13 ‘‘(2) enter into interstate compacts regarding 

14 measures described in paragraph (1). 

15 Enforcement of measures under this subsection may in16 clude the imposition of disclosure and other transparency 

17 requirements to carry out paragraph (1).’’. 

18 (3) Subsection (c) is amended— 

19 (A) in paragraph (1)— 

20 (i) by striking ‘‘$20,000,000 or more 

21 in the energy sector’’ and inserting 

22 ‘‘$10,000,000 or more— 

23 ‘‘(A) in the energy sector’’; 

24 (ii) by moving the remaining text of 

25 paragraph (1) 2 ems to the right; and 


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1 (iii) by adding at the end the fol2 lowing: 

3 ‘‘(B) in any other business enterprise in 

4 Iran, including an entity that is owned or con5 trolled by the Government of Iran; or’’; and 

6 (B) in paragraph (2)— 

7 (i) by striking ‘‘$20,000,000’’ and in8 serting ‘‘$10,000,000’’; and 

9 (ii) by adding after ‘‘energy sector of 

10 Iran’’ the following: ‘‘or otherwise in a 

11 business enterprise in Iran, including an 

12 entity that is owned or controlled by the 

13 Government of Iran’’. 

14 (4) Subsection (f) is amended to read as fol15 lows: 

16 ‘‘(f) NONPREEMPTION; NO CONFLICT WITH U.S. 

17 FOREIGN AND INTERNATIONAL COMMERCE POLICY.—A 

18 measure of a State or local government authorized under 

19 subsection (b), (i), or (j)— 

20 ‘‘(1) is authorized and not preempted by any 

21 Federal law or regulation, or any policy, agreement, 

22 or exercise of waiver authority of the executive 

23 branch; and 

24 ‘‘(2) is consistent with United States Federal 

25 policy, including United States foreign policy.’’. 


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1 (5) Subsection (g) is amended by adding at the 

2 end the following: 

3 ‘‘(3) OWN OR CONTROL.—The term ‘own or 

4 control’ means, with respect to an entity— 

5 ‘‘(A) to hold more than 20 percent of the 

6 equity interest by vote or value in the entity; 

7 ‘‘(B) to hold a majority of seats on the 

8 board of directors of the entity; or 

9 ‘‘(C) to otherwise control the actions, poli10 cies, or personnel decisions of the entity.’’. 

11 (6) Subsection (h) is amended— 

12 (A) in paragraph (1), by striking ‘‘or sub13 section (i)’’ and inserting ‘‘and subsections (i) 

14 and (j)’’; and 

15 (B) in paragraph (2), by striking ‘‘sub16 section (i)’’ and inserting ‘‘subsections (i) and 

17 (j)’’. 

18 (7) Subsection (i) is amended by adding at the 

19 end the following: 

20 ‘‘(3) APPLICABILITY OF PRIOR PROVISIONS.— 

21 Paragraphs (1) and (2) apply with respect to this 

22 section as in effect on the day before the effective 

23 date of the State Sanctions Against Iranian Ter24 rorism Act.’’. 

25 (8) Section 202 is further amended— 


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1 (A) by redesignating subsection (j) as sub2 section (k); and 

3 (B) by inserting after subsection (i) the 

4 following: 

5 ‘‘(j) APPLICABILITY OF AMENDMENTS.— 

6 ‘‘(1) IN GENERAL.—Notwithstanding any other 

7 provision of this section or any other provision of 

8 law, a State or local government may enforce a 

9 measure (without regard to the requirements of sub10 section (d), except as provided in paragraph (2)) 

11 adopted by the State or local government before the 

12 date of the enactment of the State Sanctions 

13 Against Iranian Terrorism Act (other than a meas14 ure covered by subsection (i)) that— 

15 ‘‘(A) provides for the divestment of assets 

16 of the State or local government from, or pro17 hibits the investment of the assets of the State 

18 or local government in, any person that the 

19 State or local government determines, using 

20 credible information available to the public, en21 gages in investment activities in Iran (deter22 mined without regard to subsection (c)) or 

23 other business activities in Iran that are identi24 fied in the measure; or 


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1 ‘‘(B) prohibits or limits any person from 

2 engaging in investment activities in Iran de3 scribed in subsection (c). 

4 ‘‘(2) APPLICATION OF NOTICE REQUIRE5 MENTS.—A measure described in paragraph (1) 

6 shall be subject to the requirements of paragraphs 

7 (1) and (2) and the first sentence of paragraph (3) 

8 of subsection (d) on and after the date that is 2 

9 years after the date of the enactment of the State 

10 Sanctions Against Iranian Terrorism Act.’’. 

11 (b) EXEMPTION FROM SUNSET.—Section 401(a) of 

12 the Comprehensive Iran Sanctions, Accountability, and 

13 Divestment Act of 2010 (22 U.S.C. 855(a)) is amended, 

14 in the matter preceding paragraph (1), by striking ‘‘sec15 tions 105 and 305’’ and inserting ‘‘sections 105, 202, and 

16 305’’. 

17 (c) CONFORMING AMENDMENTS.— 

18 (1) The heading for title II of the Comprehen19 sive Iran Sanctions, Accountability, and Divestment 

20 Act of 2010 (22 U.S.C. 8531 et seq.) is amended to 

21 read as follows: 


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1 ‘‘TITLE II—RESTRICTIONS BY 

2 STATE AND LOCAL GOVERN3 MENTS ON INVESTMENT AC4 TIVITIES IN IRAN’’. 

5 (2) The heading for section 202 of the Com6 prehensive Iran Sanctions, Accountability, and Di7 vestment Act of 2010 (22 U.S.C. 8532) is amended 

8 to read as follows: 

9 ‘‘SEC. 202. AUTHORITY OF STATE AND LOCAL GOVERN10 MENTS TO RESTRICT INVESTMENT ACTIVI11 TIES IN IRAN.’’. 

12 (3) The table of contents of the Comprehensive 

13 Iran Sanctions, Accountability, and Divestment Act 

14 of 2010 (22 U.S.C. 8501 et seq.) is amended— 

15 (A) by amending the item relating to title 

16 II to read as follows: 

‘‘TITLE II—RESTRICTIONS BY STATE AND LOCAL GOVERNMENTS 

ON INVESTMENT IN IRAN’’; 

17 and 

18 (B) by amending the item relating to sec19 tion 202 to read as follows: 

‘‘Sec. 202. Authority of State and local governments to restrict investment activities in Iran.’’. 

20 SEC. 3. EFFECTIVE DATE. 

21 The amendments made by this Act shall apply to 

22 measures adopted by a State or local government on or 

23 after the date of the enactment of this Act, except as proVerDate Sep 11 2014 06:52 Feb 04, 2016 Jkt 059200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H4448.IH H4448

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1 vided in section 202(j) of the Comprehensive Iran Sanc2 tions, Accountability, and Divestment Act of 2010, as 

3 amended by this Act. 

Æ 


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