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[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 5058 Introduced in Senate (IS)]

<DOC>

117th CONGRESS
  2d Session
                                S. 5058

  To require the imposition of sanctions with respect to purchases of 
                 crude oil from the Russian Federation.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           September 29, 2022

  Mr. Cassidy introduced the following bill; which was read twice and 
    referred to the Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL

 
  To require the imposition of sanctions with respect to purchases of 
                 crude oil from the Russian Federation.

    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 ``Breaking Russia's Energy Addicted 
Kleptocracy and Punishing Uncivil Tyrant Invading Neighbor Act of 
2022'' or the ``BREAK PUTIN Act of 2022''.

SEC. 2. 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 
                demarches 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.
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