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[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 2370 Engrossed in Senate (ES)]

  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
109th CONGRESS
  2d Session
                                S. 2370

_______________________________________________________________________

                                 AN ACT

 
 To promote the development of democratic institutions in areas under 
the administrative control of the Palestinian Authority, and for other 
                               purposes.

    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 ``Palestinian Anti-Terrorism Act of 
2006''.

SEC. 2. LIMITATION ON ASSISTANCE TO THE PALESTINIAN AUTHORITY.

    (a) Declaration of Policy.--It shall be the policy of the United 
States--
            (1) to support a peaceful, two-state solution to end the 
        conflict between Israel and the Palestinians in accordance with 
        the Performance-Based Roadmap to a Permanent Two-State Solution 
        to the Israeli-Palestinian Conflict (commonly referred to as 
        the ``Roadmap'');
            (2) to oppose those organizations, individuals, and 
        countries that support terrorism and violently reject a two-
        state solution to end the Israeli-Palestinian conflict;
            (3) to promote the rule of law, democracy, the cessation of 
        terrorism and incitement, and good governance in institutions 
        and territories controlled by the Palestinian Authority; and
            (4) to urge members of the international community to avoid 
        contact with and refrain from supporting the terrorist 
        organization Hamas until it agrees to recognize Israel, 
        renounce violence, disarm, and accept prior agreements, 
        including the Roadmap.
    (b) Amendments.--Chapter 1 of part III of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2351 et seq.) is amended--
            (1) by redesignating the second section 620G (as added by 
        section 149 of Public Law 104-164 (110 Stat. 1436)) as section 
        620J; and
            (2) by adding at the end the following new section:

``SEC. 620K. LIMITATION ON ASSISTANCE TO THE PALESTINIAN AUTHORITY.

    ``(a) Limitation.--Assistance may be provided under this Act to the 
Hamas-controlled Palestinian Authority only during a period for which a 
certification described in subsection (b) is in effect.
    ``(b) Certification.--A certification described in subsection (a) 
is a certification transmitted by the President to Congress that 
contains a determination of the President that--
            ``(1) no ministry, agency, or instrumentality of the 
        Palestinian Authority is effectively controlled by Hamas, 
        unless the Hamas-controlled Palestinian Authority has--
                    ``(A) publicly acknowledged the Jewish state of 
                Israel's right to exist; and
                    ``(B) committed itself and is adhering to all 
                previous agreements and understandings with the United 
                States Government, with the Government of Israel, and 
                with the international community, including agreements 
                and understandings pursuant to the Performance-Based 
                Roadmap to a Permanent Two-State Solution to the 
                Israeli-Palestinian Conflict (commonly referred to as 
                the `Roadmap'); and
            ``(2) the Hamas-controlled Palestinian Authority has made 
        demonstrable progress toward--
                    ``(A) completing the process of purging from its 
                security services individuals with ties to terrorism;
                    ``(B) dismantling all terrorist infrastructure 
                within its jurisdiction, confiscating unauthorized 
                weapons, arresting and bringing terrorists to justice, 
                destroying unauthorized arms factories, thwarting and 
                preempting terrorist attacks, and fully cooperating 
                with Israel's security services;
                    ``(C) halting all anti-American and anti-Israel 
                incitement in Palestinian Authority-controlled 
                electronic and print media and in schools, mosques, and 
                other institutions it controls, and replacing 
                educational materials, including textbooks, with 
                materials that promote peace, tolerance, and 
                coexistence with Israel;
                    ``(D) ensuring democracy, the rule of law, and an 
                independent judiciary, and adopting other reforms such 
                as ensuring transparent and accountable governance; and
                    ``(E) ensuring the financial transparency and 
                accountability of all government ministries and 
                operations.
    ``(c) Recertifications.--Not later than 90 days after the date on 
which the President transmits to Congress an initial certification 
under subsection (b), and every six months thereafter--
            ``(1) the President shall transmit to Congress a 
        recertification that the conditions described in subsection (b) 
        are continuing to be met; or
            ``(2) if the President is unable to make such a 
        recertification, the President shall transmit to Congress a 
        report that contains the reasons therefor.
    ``(d) Congressional Notification.--Assistance made available under 
this Act to the Palestinian Authority may not be provided until 15 days 
after the date on which the President has provided notice thereof to 
the appropriate congressional committees in accordance with the 
procedures applicable to reprogramming notifications under section 
634A(a) of this Act.
    ``(e) National Security Waiver.--
            ``(1) In general.--Subject to paragraph (2), the President 
        may waive subsection (a) with respect to--
                    ``(A) the administrative and personal security 
                costs of the Office of the President of the Palestinian 
                Authority;
                    ``(B) the activities of the President of the 
                Palestinian Authority to fulfill his or her duties as 
                President, including to maintain control of the 
                management and security of border crossings, to foster 
                the Middle East peace process, and to promote democracy 
                and the rule of law; and
                    ``(C) assistance for the judiciary branch of the 
                Palestinian Authority and other entities.
            ``(2) Certification.--The President may only exercise the 
        waiver authority under paragraph (1) after--
                    ``(A) consulting with, and submitting a written 
                policy justification to, the appropriate congressional 
                committees; and
                    ``(B) certifying to the appropriate congressional 
                committees that--
                            ``(i) it is in the national security 
                        interest of the United States to provide 
                        assistance otherwise prohibited under 
                        subsection (a); and
                            ``(ii) the individual or entity for which 
                        assistance is proposed to be provided is not a 
                        member of, or effectively controlled by (as the 
                        case may be), Hamas or any other foreign 
                        terrorist organization.
            ``(3) Report.--Not later than 10 days after exercising the 
        waiver authority under paragraph (1), the President shall 
        submit to the appropriate congressional committees a report 
        describing how the funds provided pursuant to such waiver will 
        be spent and detailing the accounting procedures that are in 
        place to ensure proper oversight and accountability.
            ``(4) Treatment of certification as notification of program 
        change.--For purposes of this subsection, the certification 
        required under paragraph (2)(B) shall be deemed to be a 
        notification under section 634A and shall be considered in 
        accordance with the procedures applicable to notifications 
        submitted pursuant to that section.
    ``(f) Definitions.--In this section:
            ``(1) Appropriate congressional committees.--The term 
        `appropriate congressional committees' means--
                    ``(A) the Committee on International Relations and 
                the Committee on Appropriations of the House of 
                Representatives; and
                    ``(B) the Committee on Foreign Relations and the 
                Committee on Appropriations of the Senate.
            ``(2) Foreign terrorist organization.--The term `foreign 
        terrorist organization' means an organization designated as a 
        foreign terrorist organization by the Secretary of State in 
        accordance with section 219(a) of the Immigration and 
        Nationality Act (8 U.S.C. 1189(a)).
            ``(3) Palestinian authority.--The term `Palestinian 
        Authority' means the interim Palestinian administrative 
        organization that governs part of the West Bank and all of the 
        Gaza Strip (or any successor Palestinian governing entity), 
        including the Palestinian Legislative Council.''.
    (c) Previously Obligated Funds.--The provisions of section 620K of 
the Foreign Assistance Act of 1961, as added by subsection (b), shall 
be applicable to the unexpended balances of funds obligated prior to 
the date of the enactment of this Act.

SEC. 3. LIMITATION ON ASSISTANCE FOR THE WEST BANK AND GAZA.

    (a) Amendment.--Chapter 1 of part III of the Foreign Assistance Act 
of 1961 (22 U.S.C. 2351 et seq.), as amended by section 2(b)(2), is 
further amended by adding at the end the following new section:

``SEC. 620L. LIMITATION ON ASSISTANCE FOR THE WEST BANK AND GAZA.

    ``(a) Limitation.--Assistance may be provided under this Act to 
nongovernmental organizations for the West Bank and Gaza only during a 
period for which a certification described in section 620K(b) is in 
effect with respect to the Palestinian Authority.
    ``(b) Exceptions.--Subsection (a) shall not apply with respect to 
the following:
            ``(1) Assistance to meet basic human needs.--Assistance to 
        meet food, water, medicine, health, or sanitation needs, or 
        other assistance to meet basic human needs.
            ``(2) Assistance to promote democracy.--Assistance to 
        promote democracy, human rights, freedom of the press, non-
        violence, reconciliation, and peaceful co-existence, provided 
        that such assistance does not directly benefit Hamas or any 
        other foreign terrorist organization.
            ``(3) Assistance for individual members of the palestinian 
        legislative council.--Assistance, other than funding of 
        salaries or salary supplements, to individual members of the 
        Palestinian Legislative Council who the President determines 
        are not members of Hamas or any other foreign terrorist 
        organization, for the purposes of facilitating the attendance 
        of such members in programs for the development of institutions 
        of democratic governance, including enhancing the transparent 
        and accountable operations of such institutions, and providing 
        support for the Middle East peace process.
            ``(4) Other types of assistance.--Any other type of 
        assistance if the President--
                    ``(A) determines that the provision of such 
                assistance is in the national security interest of the 
                United States; and
                    ``(B) not less than 30 days prior to the obligation 
                of amounts for the provision of such assistance--
                            ``(i) consults with the appropriate 
                        congressional committees regarding the specific 
                        programs, projects, and activities to be 
                        carried out using such assistance; and
                            ``(ii) submits to the appropriate 
                        congressional committees a written memorandum 
                        that contains the determination of the 
                        President under subparagraph (A).
    ``(c) Marking Requirement.--Assistance provided under this Act to 
nongovernmental organizations for the West Bank and Gaza shall be 
marked as assistance from the American people or the United States 
Government unless the Secretary of State or, as appropriate, the 
Administrator of the United States Agency for International 
Development, determines that such marking will endanger the lives or 
safety of persons delivering such assistance or would have an adverse 
effect on the implementation of that assistance.
    ``(d) Congressional Notification.--Assistance made available under 
this Act to nongovernmental organizations for the West Bank and Gaza 
may not be provided until 15 days after the date on which the President 
has provided notice thereof to the Committee on International Relations 
and the Committee on Appropriations of the House of Representatives and 
to the Committee on Foreign Relations and the Committee on 
Appropriations of the Senate in accordance with the procedures 
applicable to reprogramming notifications under section 634A(a) of this 
Act.
    ``(e) Definitions.--In this section:
            ``(1) Appropriate congressional committees.--the term 
        `appropriate congressional committees' means--
                    ``(A) the Committee on International Relations and 
                the Committee on Appropriations of the House of 
                Representatives; and
                    ``(B) the Committee on Foreign Relations and the 
                Committee on Appropriations of the Senate.
            ``(2) Foreign terrorist organization.--The term `foreign 
        terrorist organization' means an organization designated as a 
        foreign terrorist organization by the Secretary of State in 
        accordance with section 219(a) of the Immigration and 
        Nationality Act (8 U.S.C. 1189(a)).''.
    (b) Oversight and Related Requirements.--
            (1) Oversight.--For each of the fiscal years 2007 and 2008, 
        the Secretary of State shall certify to the appropriate 
        congressional committees not later than 30 days prior to the 
        initial obligation of amounts for assistance to nongovernmental 
        organizations for the West Bank or Gaza under the Foreign 
        Assistance Act of 1961 that procedures have been established to 
        ensure that the Comptroller General of the United States will 
        have access to appropriate United States financial information 
        in order to review the use of such assistance.
            (2) Vetting.--Prior to any obligation of amounts for each 
        of the fiscal years 2007 and 2008 for assistance to 
        nongovernmental organizations for the West Bank or Gaza under 
        the Foreign Assistance Act of 1961, the Secretary of State 
        shall take all appropriate steps to ensure that such assistance 
        is not provided to or through any individual or entity that the 
        Secretary knows, or has reason to believe, advocates, plans, 
        sponsors, engages in, or has engaged in, terrorist activity. 
        The Secretary shall, as appropriate, establish procedures 
        specifying the steps to be taken in carrying out this paragraph 
        and shall terminate assistance to any individual or entity that 
        the Secretary has determined advocates, plans, sponsors, or 
        engages in terrorist activity.
            (3) Prohibition.--No amounts made available for fiscal year 
        2007 or 2008 for assistance to nongovernmental organizations 
        for the West Bank or Gaza under the Foreign Assistance Act of 
        1961 may be made available for the purpose of recognizing or 
        otherwise honoring individuals who commit, or have committed, 
        acts of terrorism.
            (4) Audits.--
                    (A) In general.--The Administrator of the United 
                States Agency for International Development shall 
                ensure that Federal or non-Federal audits of all 
                contractors and grantees, and significant 
                subcontractors and subgrantees, that receive amounts 
                for assistance to nongovernmental organizations for the 
                West Bank or Gaza under the Foreign Assistance Act of 
                1961 are conducted for each of the fiscal years 2007 
                and 2008 to ensure, among other things, compliance with 
                this subsection.
                    (B) Audits by inspector general of usaid.--Of the 
                amounts available for each of the fiscal years 2007 and 
                2008 for assistance to nongovernmental organizations 
                for the West Bank or Gaza under the Foreign Assistance 
                Act of 1961, up to $1,000,000 for each such fiscal year 
                may be used by the Office of the Inspector General of 
                the United States Agency for International Development 
                for audits, inspections, and other activities in 
                furtherance of the requirements of subparagraph (A). 
                Such amounts are in addition to amounts otherwise 
                available for such purposes.

SEC. 4. DESIGNATION OF TERRITORY CONTROLLED BY THE PALESTINIAN 
              AUTHORITY AS TERRORIST SANCTUARY.

    It is the sense of Congress that, during any period for which a 
certification described in section 620K(b) of the Foreign Assistance 
Act of 1961 (as added by section 2(b)(2) of this Act) is not in effect 
with respect to the Palestinian Authority, the territory controlled by 
the Palestinian Authority should be deemed to be in use as a sanctuary 
for terrorists or terrorist organizations for purposes of section 
6(j)(5) of the Export Administration Act of 1979 (50 U.S.C. App. 
2405(j)(5)) and section 140 of the Foreign Relations Authorization Act, 
Fiscal Years 1988 and 1989 (22 U.S.C. 2656f).

SEC. 5. DENIAL OF VISAS FOR OFFICIALS OF THE PALESTINIAN AUTHORITY.

    (a) In General.--Except as provided in subsection (b), a visa 
should not be issued to any alien who is an official of, under the 
control of, or serving as a representative of the Hamas-led Palestinian 
Authority during any period for which a certification described in 
section 620K(b) of the Foreign Assistance Act of 1961 (as added by 
section 2(b)(2) of this Act) is not in effect with respect to the 
Palestinian Authority.
    (b) Exception.--The restriction under subsection (a) should not 
apply to--
            (1) the President of the Palestinian Authority and his or 
        her personal representatives, provided that the President and 
        his or her personal representatives are not affiliated with 
        Hamas or any other foreign terrorist organization; and
            (2) members of the Palestinian Legislative Council who are 
        not members of Hamas or any other foreign terrorist 
        organization.

SEC. 6. TRAVEL RESTRICTIONS ON OFFICIALS AND REPRESENTATIVES OF THE 
              PALESTINIAN AUTHORITY AND THE PALESTINE LIBERATION 
              ORGANIZATION STATIONED AT THE UNITED NATIONS IN NEW YORK 
              CITY.

    (a) In General.--Notwithstanding any other provision of law, and 
except as provided in subsection (b), the President should restrict the 
travel of officials and representatives of the Palestinian Authority 
and of the Palestine Liberation Organization, who are stationed at the 
United Nations in New York City to a 25-mile radius of the United 
Nations headquarters building during any period for which a 
certification described in section 620K(b) of the Foreign Assistance 
Act of 1961 (as added by section 2(b)(2) of this Act) is not in effect 
with respect to the Palestinian Authority.
    (b) Exception.--The travel restrictions described in subsection (a) 
should not apply to the President of the Palestinian Authority and his 
or her personal representatives, provided that the President and his or 
her personal representatives are not affiliated with Hamas or any other 
foreign terrorist organization.

SEC. 7. PROHIBITION ON PALESTINIAN AUTHORITY REPRESENTATION IN THE 
              UNITED STATES.

    (a) Prohibition.--Notwithstanding any other provision of law, it 
shall be unlawful to establish or maintain an office, headquarters, 
premises, or other facilities or establishments within the jurisdiction 
of the United States at the behest or direction of, or with funds 
provided by, the Palestinian Authority during any period for which a 
certification described in section 620K(b) of the Foreign Assistance 
Act of 1961 (as added by section 2(b)(2) of this Act) is not in effect 
with respect to the Palestinian Authority.
    (b) Enforcement.--
            (1) Attorney general.--The Attorney General shall take the 
        necessary steps and institute the necessary legal action to 
        effectuate the policies and provisions of subsection (a).
            (2) Relief.--Any district court of the United States for a 
        district in which a violation of subsection (a) occurs shall 
        have authority, upon petition of relief by the Attorney 
        General, to grant injunctive and such other equitable relief as 
        it shall deem necessary to enforce the provisions of subsection 
        (a).
    (c) Waiver.--Subsection (a) shall not apply if the President 
determines and certifies to the appropriate congressional committees 
that the establishment or maintenance of an office, headquarters, 
premises, or other facilities is vital to the national security 
interests of the United States.

SEC. 8. INTERNATIONAL FINANCIAL INSTITUTIONS.

    (a) Requirement.--The President should direct the United States 
Executive Director at each international financial institution to use 
the voice, vote, and influence of the United States to prohibit 
assistance to the Palestinian Authority (other than assistance 
described under subsection (b)) during any period for which a 
certification described in section 620K(b) of the Foreign Assistance of 
1961 (as added by section 2(b)(2) of this Act) is not in effect with 
respect to the Palestinian Authority.
    (b) Exceptions.--The prohibition on assistance described in 
subsection (a) should not apply with respect to the following types of 
assistance:
            (1) Assistance to meet food, water, medicine, or sanitation 
        needs, or other assistance to meet basic human needs.
            (2) Assistance to promote democracy, human rights, freedom 
        of the press, non-violence, reconciliation, and peaceful co-
        existence, provided that such assistance does not directly 
        benefit Hamas or other foreign terrorist organizations.
    (c) Definition.--In this section, the term ``international 
financial institution'' has the meaning given the term in section 
1701(c)(2) of the International Financial Institutions Act (22 U.S.C. 
262r(c)(2)).

SEC. 9. DIPLOMATIC CONTACTS WITH PALESTINIAN TERROR ORGANIZATIONS.

    No funds authorized or available to the Department of State may be 
used for or by any officer or employee of the United States Government 
to negotiate with members or official representatives of Hamas, 
Palestinian Islamic Jihad, the Popular Front for the Liberation of 
Palestine, al-Aqsa Martyrs Brigade, or any other Palestinian terrorist 
organization (except in emergency or humanitarian situations), unless 
and until such organization--
            (1) recognizes Israel's right to exist;
            (2) renounces the use of terrorism;
            (3) dismantles the infrastructure in areas within its 
        jurisdiction necessary to carry out terrorist acts, including 
        the disarming of militias and the elimination of all 
        instruments of terror; and
            (4) recognizes and accepts all previous agreements and 
        understandings between the State of Israel and the Palestinian 
        Authority.

SEC. 10. ISRAELI-PALESTINIAN PEACE, RECONCILIATION AND DEMOCRACY FUND.

    (a) Establishment of Fund.--Not later than 60 days after the date 
of the enactment of this Act, the Secretary of State shall establish a 
fund to be known as the ``Israeli-Palestinian Peace, Reconciliation and 
Democracy Fund'' (in this section referred to as the ``Fund''). The 
purpose of the Fund shall be to support, primarily, through Palestinian 
and Israeli organizations, the promotion of democracy, human rights, 
freedom of the press, and non-violence among Palestinians, and peaceful 
coexistence and reconciliation between Israelis and Palestinians.
    (b) Annual Report.--Not later than 60 days after the date of the 
enactment of this Act, and annually thereafter for so long as the Fund 
remains in existence, the Secretary of State shall submit to the 
appropriate congressional committees a report on programs sponsored and 
proposed to be sponsored by the Fund.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary of State $20,000,000 for fiscal year 2007 
for purposes of the Fund.

SEC. 11. REPORTING REQUIREMENT.

    Not later than 90 days after the date of the enactment of this Act, 
and annually thereafter, the Secretary of State shall submit to the 
appropriate congressional committees a report that--
            (1) describes the steps that have been taken by the United 
        States Government to ensure that other countries and 
        international organizations, including multilateral development 
        banks, do not provide direct assistance to the Palestinian 
        Authority for any period for which a certification described in 
        section 620K(b) of the Foreign Assistance Act of 1961 (as added 
        by section 2(b)(2) of this Act) is not in effect with respect 
        to the Palestinian Authority; and
            (2) identifies any countries and international 
        organizations, including multilateral development banks, that 
        are providing direct assistance to the Palestinian Authority 
        during such a period, and describes the nature and amount of 
        such assistance.

SEC. 12. DEFINITIONS.

    In this Act:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on International Relations and 
                the Committee on Appropriations of the House of 
                Representatives; and
                    (B) the Committee on Foreign Relations and the 
                Committee on Appropriations of the Senate.
            (2) Palestinian authority.--The term ``Palestinian 
        Authority'' has the meaning given the term in section 
        620K(e)(2) of the Foreign Assistance Act of 1961 (as added by 
        section 2(b)(2) of this Act).

            Passed the Senate June 23, 2006.

            Attest:

                                                             Secretary.
109th CONGRESS

  2d Session

                                S. 2370

_______________________________________________________________________

                                 AN ACT

 To promote the development of democratic institutions in areas under 
the administrative control of the Palestinian Authority, and for other 
                               purposes.
```