IB 

Union Calendar No. 217 

111TH CONGRESS 

1ST SESSION H. R. 2194 

[Report No. 111–342, Part I] 

To amend the Iran Sanctions Act of 1996 to enhance United States diplomatic efforts with respect to Iran by expanding economic sanctions 

against Iran. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 30, 2009 

Mr. BERMAN (for himself, Ms. ROS-LEHTINEN, Mr. ACKERMAN, Mr. BURTON

of Indiana, Mr. SHERMAN, Mr. ROYCE, Mr. ANDREWS, and Mr. KIRK) 

introduced the following bill; which was referred to the Committee on 

Foreign Affairs, and in addition to the Committees on Financial Services, 

Oversight and Government Reform, and Ways and Means, for a period 

to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee 

concerned 

NOVEMBER 19, 2009 

Reported from the Committee on Foreign Affairs with an amendment 

[Strike out all after the enacting clause and insert the part printed in italic] 

NOVEMBER 19, 2009 

Referral to the Committees on Financial Services, Oversight and Government 

Reform, and Ways and Means extended for a period ending not later 

than December 4, 2009 

DECEMBER 4, 2009 

Committees on Financial Services and Oversight and Government Reform discharged; referral to the Committee on Ways and Means extended for a 

period ending not later than December 11, 2009 


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DECEMBER 11, 2009 

Additional sponsors: Mr. KLEIN of Florida, Ms. HARMAN, Mr. WEXLER, Mr. 

ENGEL, Ms. WASSERMAN SCHULTZ, Mr. HASTINGS of Florida, Mr. 

MCMAHON, Mr. BILIRAKIS, Mr. MCHUGH, Mr. MEEK of Florida, Mr. 

MCCOTTER, Mr. GARY G. MILLER of California, Mr. HODES, Mr. SMITH

of New Jersey, Mr. PLATTS, Mrs. LOWEY, Mr. ROONEY, Mr. GENE

GREEN of Texas, Mr. LATOURETTE, Mr. MARCHANT, Mr. GERLACH, Mr. 

BISHOP of Utah, Mr. SOUDER, Mr. PAULSEN, Mr. SULLIVAN, Mr. GORDON of Tennessee, Mr. TIBERI, Mr. CULBERSON, Mr. KING of New York, 

Mr. QUIGLEY, Mr. BACA, Mrs. MYRICK, Mr. POE of Texas, Mr. FILNER, 

Mr. MORAN of Kansas, Mr. BUCHANAN, Ms. FOXX, Mrs. MILLER of 

Michigan, Mr. LAMBORN, Mrs. SCHMIDT, Mr. LOBIONDO, Ms. FALLIN, 

Mr. SENSENBRENNER, Mr. BACHUS, Mr. DENT, Mr. COOPER, Mr. WAXMAN, Mr. PALLONE, Mr. GARRETT of New Jersey, Mr. SCHIFF, Mr. 

SCALISE, Mr. GRAYSON, Mr. HOLDEN, Ms. SCHWARTZ, Mr. INGLIS, Mr. 

MITCHELL, Mr. BLUNT, Mr. GALLEGLY, Mrs. NAPOLITANO, Mr. BARROW, Mr. JACKSON of Illinois, Mr. REICHERT, Mr. MACK, Mr. KAGEN, 

Mr. NADLER of New York, Mr. ALEXANDER, Mr. HIGGINS, Mr. COLE, 

Ms. BEAN, Mr. SIRES, Mr. ADLER of New Jersey, Mr. UPTON, Mr. 

LANCE, Mr. LATTA, Ms. GIFFORDS, Mr. RUSH, Mr. CONNOLLY of Virginia, Mr. ADERHOLT, Mr. DEFAZIO, Mr. HARE, Mr. SMITH of Nebraska, Mr. LUETKEMEYER, Mr. RYAN of Wisconsin, Mr. SHULER, Mrs. 

BONO MACK, Mr. CROWLEY, Mr. ROSS, Ms. BERKLEY, Mr. BOREN, Mr. 

ROTHMAN of New Jersey, Ms. GINNY BROWN-WAITE of Florida, Mr. 

MAFFEI, Mr. DANIEL E. LUNGREN of California, Mr. ROE of Tennessee, 

Mr. MELANCON, Mr. MCHENRY, Mr. HEINRICH, Mr. OLSON, Mr. 

BOOZMAN, Mr. CANTOR, Mrs. KIRKPATRICK of Arizona, Mr. COHEN, Mr. 

VAN HOLLEN, Mr. SPACE, Mr. GUTHRIE, Mr. LUCAS, Mr. LIPINSKI, Mr. 

MICHAUD, Mr. PATRICK J. MURPHY of Pennsylvania, Mr. ROGERS of 

Alabama, Mr. FLEMING, Mr. NEUGEBAUER, Mr. LEVIN, Mr. BOSWELL, 

Mr. SAM JOHNSON of Texas, Mr. HILL, Mr. TIAHRT, Mrs. MCMORRIS

RODGERS, Mr. CARDOZA, Mr. COSTA, Ms. ESHOO, Mr. CARNEY, Mr. 

PERLMUTTER, Mr. WILSON of South Carolina, Mr. REHBERG, Mr. 

LARSON of Connecticut, Mr. GRIFFITH, Mr. BISHOP of New York, Mr. 

DAVIS of Tennessee, Ms. GRANGER, Mr. CARTER, Mr. ROSKAM, Mr. 

PRICE of Georgia, Mr. WILSON of Ohio, Mr. DAVIS of Alabama, Mr. VISCLOSKY, Mr. BOYD, Mr. CLEAVER, Mr. FRELINGHUYSEN, Mr. HIMES, 

Mr. TIM MURPHY of Pennsylvania, Mr. MCNERNEY, Mr. LATHAM, Mr. 

LINCOLN DIAZ-BALART of Florida, Mr. ROGERS of Michigan, Mr. 

RODRIGUEZ, Mr. ARCURI, Mr. KRATOVIL, Mr. SHUSTER, Mr. CHAFFETZ, 

Mr. AUSTRIA, Mr. THOMPSON of Pennsylvania, Mrs. MCCARTHY of New 

York, Mr. FORBES, Mr. BRADY of Pennsylvania, Mr. COFFMAN of Colorado, Mr. YOUNG of Alaska, Mr. MOORE of Kansas, Mr. BOCCIERI, Mr. 

DEAL of Georgia, Mr. BROWN of South Carolina, Mr. PUTNAM, Mr. FOSTER, Ms. TITUS, Mr. SHADEGG, Mr. SMITH of Washington, Mr. WALDEN, Mr. GRAVES, Mr. PETERS, Mr. PITTS, Mr. BROUN of Georgia, Mr. 

CASSIDY, Mr. FRANKS of Arizona, Mr. SCHAUER, Mr. BONNER, Mr. 

DRIEHAUS, Mr. SESSIONS, Mr. STEARNS, Mrs. BIGGERT, Ms. MATSUI, 

Mr. MARKEY of Massachusetts, Mr. MCKEON, Mr. WITTMAN, Mr. 

PENCE, Mr. KILDEE, Mr. MASSA, Mr. MILLER of Florida, Mr. JOHNSON


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of Illinois, Mr. YARMUTH, Mr. WU, Mr. MCCLINTOCK, Mr. KING of Iowa, 

Ms. SCHAKOWSKY, Mr. MCCAUL, Mr. CAMPBELL, Mr. DONNELLY of Indiana, Mr. FATTAH, Ms. FUDGE, Mr. HOYER, Mr. JOHNSON of Georgia, 

Mr. WELCH, Mr. MCCARTHY of California, Mr. CONAWAY, Mr. 

HENSARLING, Ms. LORETTA SANCHEZ of California, Mr. ISRAEL, Mr. 

SALAZAR, Mr. MARIO DIAZ-BALART of Florida, Mr. WOLF, Mr. SIMPSON, 

Mr. HERGER, Mr. WESTMORELAND, Mr. BILBRAY, Mrs. MALONEY, Mrs. 

HALVORSON, Mr. HASTINGS of Washington, Mr. COBLE, Mr. CARNAHAN, 

Mr. POLIS of Colorado, Mr. NUNES, Mr. MANZULLO, Mr. COURTNEY, 

Mr. POSEY, Mrs. EMERSON, Ms. JENKINS, Mr. BRADY of Texas, Mr. 

SHIMKUS, Mr. LINDER, Mr. BARRETT of South Carolina, Ms. MARKEY

of Colorado, Ms. KOSMAS, Mr. MILLER of North Carolina, Mr. 

GOHMERT, Mr. BISHOP of Georgia, Mr. STUPAK, Mr. CAO, Mr. 

LANGEVIN, Mr. FARR, Mr. ALTMIRE, Mr. CALVERT, Mrs. BLACKBURN, 

Mr. TERRY, Mr. MINNICK, Mr. BARTLETT, Mr. KLINE of Minnesota, Ms. 

CORRINE BROWN of Florida, Ms. SUTTON, Mr. HOEKSTRA, Ms. LINDA

T. SA ́NCHEZ of California, Mr. SARBANES, Mr. SCHOCK, Mr. 

FORTENBERRY, Mr. HUNTER, Mr. WAMP, Mr. HONDA, Mr. ISSA, Mr. 

SMITH of Texas, Mr. JORDAN of Ohio, Mrs. CAPITO, Mr. KENNEDY, Mr. 

SCOTT of Georgia, Mr. ROGERS of Kentucky, Mr. MARSHALL, Mr. AL

GREEN of Texas, Mr. BUYER, Mr. KINGSTON, Mr. YOUNG of Florida, 

Mr. WEINER, Mr. GINGREY of Georgia, Mrs. BACHMANN, Mr. LEE of 

New York, Ms. SLAUGHTER, Mr. MICA, Mr. TURNER, Mr. RYAN of Ohio, 

Mr. SKELTON, Mr. HALL of New York, Mr. LARSEN of Washington, Mr. 

PASCRELL, Ms. DELAURO, Ms. DEGETTE, Mr. ROHRABACHER, Mr. 

CUMMINGS, Mr. CRENSHAW, Mr. BRIGHT, Ms. KILROY, Mr. CHANDLER, 

Mr. WALZ, Mr. CHILDERS, Mr. GOODLATTE, Mr. GONZALEZ, Mr. 

CAPUANO, Mr. ELLSWORTH, Ms. CHU, Mr. COSTELLO, Mr. MURPHY of 

Connecticut, Mr. DOYLE, Mr. CLAY, Mr. THOMPSON of California, Mr. 

TONKO, Mr. DAVIS of Illinois, Mr. MATHESON, Mr. MURPHY of New 

York, Mr. ETHERIDGE, Mr. HELLER, Mr. SCHRADER, Ms. CASTOR of 

Florida, Mr. CASTLE, Mr. PAYNE, Mr. KISSELL, Ms. ROYBAL-ALLARD, 

Mr. GUTIERREZ, Mr. HARPER, Mrs. DAVIS of California, Mr. NYE, Ms. 

TSONGAS, Mr. TEAGUE, Mr. GRIJALVA, Mr. TOWNS, Mr. BOUSTANY, Mr. 

LEWIS of Georgia, Mr. RUPPERSBERGER, Mr. BARTON of Texas, Mr. EDWARDS of Texas, Mr. TANNER, Ms. JACKSON-LEE of Texas, Mr. FRANK

of Massachusetts, Mr. BOEHNER, Mr. RADANOVICH, Mr. LEWIS of California, Ms. HERSETH SANDLIN, Ms. CLARKE, Ms. SPEIER, Ms. RICHARDSON, Mr. SPRATT, and Mr. HOLT


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DECEMBER 11, 2009 

Committee on Ways and Means discharged; committed to the Committee of 

the Whole House on the State of the Union and ordered to be printed 

[For text of introduced bill, see copy of bill as introduced on April 30, 2009] 

A BILL 

To amend the Iran Sanctions Act of 1996 to enhance United 

States diplomatic efforts with respect to Iran by expanding economic sanctions against Iran. 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Iran Refined Petroleum 

3 Sanctions Act of 2009’’. 

4 SEC. 2. FINDINGS; SENSE OF CONGRESS; STATEMENT OF 

5 POLICY. 

6 (a) FINDINGS.—Congress finds the following: 

7 (1) The illicit nuclear activities of the Govern8 ment of Iran—combined with its development of un9 conventional weapons and ballistic missiles, and sup10 port for international terrorism—represent a serious 

11 threat to the security of the United States and U.S. 

12 allies in Europe, the Middle East, and around the 

13 world. 

14 (2) The United States and other responsible na15 tions have a vital interest in working together to pre16 vent the Government of Iran from acquiring a nu17 clear weapons capability. 

18 (3) The International Atomic Energy Agency has 

19 repeatedly called attention to Iran’s unlawful nuclear 

20 activities, and, as a result, the United Nations Secu21 rity Council has adopted a range of sanctions de22 signed to encourage the Government of Iran to sus23 pend those activities and comply with its obligations 

24 under the Treaty on the Non-Proliferation of Nuclear 

25 Weapons (commonly known as the ‘‘Nuclear Non-Pro26 liferation Treaty’’). 


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1 (4) As a presidential candidate, then-Senator 

2 Obama stated that additional sanctions, especially 

3 those targeting Iran’s dependence on imported refined 

4 petroleum, may help to persuade the Government of 

5 Iran to abandon its illicit nuclear activities. 

6 (5) On October 7, 2008, then-Senator Obama 

7 stated, ‘‘Iran right now imports gasoline, even though 

8 it’s an oil producer, because its oil infrastructure has 

9 broken down. If we can prevent them from importing 

10 the gasoline that they need and the refined petroleum 

11 products, that starts changing their cost-benefit anal12 ysis. That starts putting the squeeze on them.’’. 

13 (6) On June 4, 2008, then-Senator Obama stat14 ed, ‘‘We should work with Europe, Japan, and the 

15 Gulf states to find every avenue outside the U.N. to 

16 isolate the Iranian regime—from cutting off loan 

17 guarantees and expanding financial sanctions, to 

18 banning the export of refined petroleum to Iran.’’. 

19 (7) Major European allies, including the United 

20 Kingdom, France, and Germany, have advocated that 

21 sanctions be significantly toughened should inter22 national diplomatic efforts fail to achieve verifiable 

23 suspension of Iran’s uranium enrichment program 

24 and an end to its nuclear weapons program and other 

25 illicit nuclear activities. 


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1 (8) The serious and urgent nature of the threat 

2 from Iran demands that the United States work to3 gether with U.S. allies to do everything possible—dip4 lomatically, politically, and economically—to prevent 

5 Iran from acquiring a nuclear weapons capability. 

6 (9) The human rights situation in Iran has 

7 steadily deteriorated in 2009, as punctuated by the 

8 transparent fraud that occurred on June 12, the bru9 tal repression and murder, arbitrary arrests, and 

10 show trials of peaceful dissidents, and ongoing sup11 pression of freedom of expression. 

12 (b) SENSE OF CONGRESS.—It is the sense of the Con13 gress that— 

14 (1) international diplomatic efforts to address 

15 Iran’s illicit nuclear efforts, unconventional and bal16 listic missile development programs, and support for 

17 international terrorism are more likely to be effective 

18 if the President is empowered with the explicit au19 thority to impose additional sanctions on the Govern20 ment of Iran; 

21 (2) the concerns of the United States regarding 

22 Iran are strictly the result of the actions of the Gov23 ernment of Iran; 

24 (3) the revelation in September 2009 that Iran 

25 is developing a secret uranium enrichment site on an 


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1 Islamic Revolutionary Guard Corps base near Qom, 

2 which appears to have no civilian application, high3 lights the urgency for Iran to fully disclose the full 

4 nature of its nuclear program, including any other 

5 secret locations, and provide the International Atomic 

6 Energy Agency (IAEA) unfettered access to its facili7 ties pursuant to Iran’s legal obligations under the 

8 Treaty on the Non-Proliferation of Nuclear Weapons 

9 and Iran’s Safeguards Agreement with the IAEA; 

10 (4) because of its involvement in Iran’s nuclear 

11 program and other destabilizing activities, the Presi12 dent should impose sanctions, including the full range 

13 of sanctions otherwise applicable to Iran, on any in14 dividual or entity that is an agent, alias, front, in15 strumentality, representative, official, or affiliate of 

16 the Islamic Revolutionary Guard Corps or is an indi17 vidual serving as a representative of the Islamic Rev18 olutionary Guard Corps, or on any person that has 

19 conducted any commercial transaction or financial 

20 transaction with such entities; 

21 (5) Government to Government agreements with 

22 Iran to provide the regime with refined petroleum 

23 products, such as the September 2009 agreement 

24 under which the Government of Venezuela committed 

25 to provide 20,000 barrels of gasoline per day to Iran, 


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1 undermine efforts to pressure Iran to suspend its nu2 clear weapons program and cease all enrichment ac3 tivities; and 

4 (6) the people of the United States— 

5 (A) have feelings of friendship for the people 

6 of Iran; and 

7 (B) hold the people of Iran, their culture, 

8 and their ancient and rich history in the highest 

9 esteem. 

10 (c) STATEMENT OF POLICY.—It shall be the policy of 

11 the United States— 

12 (1) to prevent Iran from achieving the capability 

13 to make nuclear weapons, including by supporting 

14 international diplomatic efforts to halt Iran’s ura15 nium enrichment program; 

16 (2) to fully implement and enforce the Iran 

17 Sanctions Act of 1996 as a means of encouraging for18 eign governments to— 

19 (A) direct state-owned entities to cease all 

20 investment in, and support of, Iran’s energy sec21 tor and all exports of refined petroleum products 

22 to Iran; and 

23 (B) require private entities based in their 

24 territories to cease all investment in, and supVerDate Nov 24 2008 23:52 Dec 11, 2009 Jkt 089200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6203 E:\BILLS\H2194.RH H2194

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1 port of, Iran’s energy sector and all exports of 

2 refined petroleum products to Iran; 

3 (3) to impose sanctions on— 

4 (A) the Central Bank of Iran, and any 

5 other financial institution in Iran that is en6 gaged in proliferation activities or support of 

7 terrorist groups, and 

8 (B) any other financial institution that 

9 conducts financial transactions with the Central 

10 Bank of Iran or with another financial institu11 tion described in subparagraph (A), 

12 including through the use of Executive Orders 13224, 

13 13382, and 13438 and United Nations Security 

14 Council Resolutions 1737, 1747, 1803, and 1835; 

15 (4) to persuade the allies of the United States 

16 and other countries to take appropriate measures to 

17 deny access to the international financial system by 

18 Iranian banks and financial institutions involved in 

19 proliferation activities or support of terrorist groups; 

20 (5) to support all Iranian citizens who embrace 

21 the values of freedom, human rights, civil liberties, 

22 and the rule of law; and 

23 (6) for the Secretary of State to make every effort 

24 to assist United States citizens held hostage in Iran 

25 at any time during the period beginning on November 


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1 4, 1979 and ending on January 20, 1981, and their 

2 survivors in matters of compensation related to such 

3 citizens’ detention. 

4 SEC. 3. AMENDMENTS TO THE IRAN SANCTIONS ACT OF 

5 1996. 

6 (a) EXPANSION OF SANCTIONS.—Section 5(a) of the 

7 Iran Sanctions Act of 1996 (50 U.S.C. 1701 note) is amend8 ed to read as follows: 

9 ‘‘(a) SANCTIONS WITH RESPECT TO THE DEVELOP10 MENT OF PETROLEUM RESOURCES OF IRAN AND EXPOR11 TATION OF REFINED PETROLEUM TO IRAN.— 

12 ‘‘(1) DEVELOPMENT OF PETROLEUM RESOURCES

13 OF IRAN.— 

14 ‘‘(A) INVESTMENT.—Except as provided in 

15 subsection (f), the President shall impose 2 or 

16 more of the sanctions described in paragraphs 

17 (1) through (6) of section 6(a) if the President 

18 determines that a person has knowingly, on or 

19 after the date of the enactment of this Act, made 

20 an investment of $20,000,000 or more (or any 

21 combination of investments of at least $5,000,000 

22 each, which in the aggregate equals or exceeds 

23 $20,000,000 in any 12-month period), that di24 rectly and significantly contributed to the enVerDate Nov 24 2008 23:52 Dec 11, 2009 Jkt 089200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6203 E:\BILLS\H2194.RH H2194

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1 hancement of Iran’s ability to develop petroleum 

2 resources of Iran. 

3 ‘‘(B) PRODUCTION OF REFINED PETROLEUM

4 PRODUCTS.—Except as provided in subsection 

5 (f), the President shall impose the sanctions de6 scribed in section 6(b) if the President deter7 mines that a person knowingly sells, leases, or 

8 provides to Iran any goods, services, technology, 

9 information, or support, or enters into a con10 tract to sell, lease, or provide to Iran any goods, 

11 services, technology, information, or support, 

12 that would allow Iran to maintain or expand its 

13 domestic production of refined petroleum prod14 ucts, including any assistance in the construc15 tion, modernization, or repair of refineries that 

16 make refined petroleum products, if— 

17 ‘‘(i) the value of the goods, services, 

18 technology, information, or support pro19 vided in such sale, lease, or provision, or to 

20 be provided in such contract, exceeds 

21 $200,000; or 

22 ‘‘(ii) the value of the goods, services, 

23 technology, information, or support pro24 vided in any combination of such sales, 

25 leases, or provision in any 12-month period, 


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1 or to be provided under contracts entered 

2 into in any 12-month period, exceeds 

3 $500,000. 

4 ‘‘(2) EXPORTATION OF REFINED PETROLEUM

5 PRODUCTS TO IRAN.— 

6 ‘‘(A) IN GENERAL.—Except as provided in 

7 subsection (f), the President shall impose the 

8 sanctions described in section 6(b) if the Presi9 dent determines that a person knowingly pro10 vides Iran with refined petroleum products or 

11 engages in any of the activities described in sub12 paragraph (B), if— 

13 ‘‘(i) the value of such products or of the 

14 goods, services, technology, information, or 

15 support provided or to be provided in con16 nection with such activity exceeds $200,000; 

17 or 

18 ‘‘(ii) the value of such products, or of 

19 the goods, services, technology, information, 

20 or support, provided or to be provided in 

21 connection with any combination of pro22 viding such products or such activities, in 

23 any 12-month period exceeds $500,000. 


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1 ‘‘(B) ACTIVITIES DESCRIBED.—The activi2 ties referred to in subparagraph (A) are the fol3 lowing: 

4 ‘‘(i) Providing ships, vehicles, or other 

5 means of transportation to deliver refined 

6 petroleum products to Iran, or providing 

7 services relating to the shipping or other 

8 transportation of refined petroleum prod9 ucts to Iran. 

10 ‘‘(ii) Underwriting or otherwise pro11 viding insurance or reinsurance for an ac12 tivity described in clause (i). 

13 ‘‘(iii) Financing or brokering an activ14 ity described in clause (i).’’. 

15 (b) DESCRIPTION OF SANCTIONS.—Section 6 of such 

16 Act is amended— 

17 (1) by striking ‘‘The sanctions to be imposed on 

18 a sanctioned person under section 5 are as follows:’’ 

19 and inserting the following: 

20 ‘‘(a) IN GENERAL.—The sanctions to be imposed on 

21 a sanctioned person under subsections (a)(1)(A) and (b)(1) 

22 of section 5 are as follows:’’; 

23 (2) in paragraph (4), by striking ‘‘section 5’’ 

24 each place it appears and inserting ‘‘subsections 

25 (a)(1)(A) and (b) of section 5’’; and 


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1 (3) by adding at the end the following: 

2 ‘‘(b) ADDITIONAL MANDATORY SANCTIONS.—The sanc3 tions to be imposed on a sanctioned person under para4 graphs (1)(B) and (2) of section 5(a) are as follows: 

5 ‘‘(1) FOREIGN EXCHANGE.—The President shall 

6 prohibit any transactions in foreign exchange by the 

7 sanctioned person. 

8 ‘‘(2) BANKING TRANSACTIONS.—The President 

9 shall prohibit any transfers of credit or payments be10 tween, by, through, or to any financial institution, to 

11 the extent that such transfers or payments involve 

12 any interest of the sanctioned person. 

13 ‘‘(3) PROPERTY TRANSACTIONS.—The President 

14 shall prohibit any acquisition, holding, withholding, 

15 use, transfer, withdrawal, transportation, importa16 tion, or exportation of, dealing in, or exercising any 

17 right, power, or privilege with respect to, or trans18 actions involving, any property in which the sanc19 tioned person has any interest by any person, or with 

20 respect to any property, subject to the jurisdiction of 

21 the United States. 

22 ‘‘(c) ADDITIONAL MEASURE RELATING TO REFINED

23 PETROLEUM PRODUCTS.— 

24 ‘‘(1) IN GENERAL.—The head of each executive 

25 agency shall ensure that each contract with a person 


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1 entered into by such executive agency for the procure2 ment of goods or services, or agreement for the use of 

3 Federal funds as part of a grant, loan, or loan guar4 antee to a person, includes a clause that requires the 

5 person to certify to the contracting officer or other ap6 propriate official of such agency that the person does 

7 not conduct any activity described in paragraph 

8 (1)(B) or (2) of section 5(a). 

9 ‘‘(2) REMEDIES.— 

10 ‘‘(A) IN GENERAL.—If the head of the execu11 tive agency determines that such person has sub12 mitted a false certification under paragraph (1) 

13 after the date on which the Federal Acquisition 

14 Regulation is revised to implement the require15 ments of this subsection, the head of an executive 

16 agency may terminate a contract, or agreement 

17 described in paragraph (1), with such person or 

18 debar or suspend such person from eligibility for 

19 Federal contracts or such agreements for a pe20 riod not to exceed 15 years. 

21 ‘‘(B) INCLUSION ON LIST OF PARTIES EX22 CLUDED FROM FEDERAL PROCUREMENT AND

23 NONPROCUREMENT PROGRAMS.—The Adminis24 trator of General Services shall include on the 

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1 ment and Nonprocurement Programs main2 tained by the Administrator under part 9 of the 

3 Federal Acquisition Regulation issued under sec4 tion 25 of the Office of Federal Procurement Pol5 icy Act (41 U.S.C. 421) each person that is 

6 debarred, suspended, proposed for debarment or 

7 suspension, or declared ineligible by the head of 

8 an executive agency on the basis of a determina9 tion of a false certification under subparagraph 

10 (A). 

11 ‘‘(C) RULE OF CONSTRUCTION.—This sub12 section shall not be construed to limit the use of 

13 other remedies available to the head of an execu14 tive agency or any other official of the Federal 

15 Government on the basis of a determination of a 

16 false certification under paragraph (1). 

17 ‘‘(3) IMPLEMENTATION THROUGH THE FEDERAL

18 ACQUISITION REGULATION.—Not later than 120 days 

19 after the date of the enactment of the Iran Refined Pe20 troleum Sanctions Act of 2009, the Federal Acquisi21 tion Regulation issued pursuant to section 25 of the 

22 Office of Federal Procurement Policy Act (41 U.S.C. 

23 421) shall be revised to provide for the implementa24 tion of the requirements of this subsection.’’. 


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1 (c) ADDITIONAL MANDATORY SANCTIONS RELATING TO

2 TRANSFER OF NUCLEAR TECHNOLOGY.—Section 5(b) of the 

3 Iran Sanctions Act of 1996 is amended— 

4 (1) by redesignating paragraphs (1) and (2) as 

5 subparagraphs (A) and (B), respectively, and moving 

6 such paragraphs 2 ems to the right; 

7 (2) by striking ‘‘The President shall impose’’ and 

8 inserting the following: 

9 ‘‘(1) IN GENERAL.—The President shall impose’’; 

10 (3) by striking ‘‘section 6’’ and inserting ‘‘sec11 tion 6(a)’’; and 

12 (4) by adding at the end the following: 

13 ‘‘(2) ADDITIONAL SANCTION.— 

14 ‘‘(A) RESTRICTION.—In any case in which 

15 a person is subject to sanctions under paragraph 

16 (1) because of an activity described in such 

17 paragraph that relates to the acquisition or de18 velopment of nuclear weapons or related tech19 nology or of missiles or other advanced conven20 tional weapons that are capable of delivering a 

21 nuclear weapon, then notwithstanding any other 

22 provision of law, the following measures shall 

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1 sional committees that the government of such 

2 country has taken, or is taking, effective actions 

3 to penalize such person and to prevent a reoccur4 rence of such activity in the future: 

5 ‘‘(i) No agreement for cooperation be6 tween the United States and the government 

7 of such country may be submitted to the 

8 President or to Congress pursuant to section 

9 123 of the Atomic Energy Act of 1954 (42 

10 U.S.C. 2153), or may enter into force. 

11 ‘‘(ii) No license may be issued for the 

12 export, and no approval may be given for 

13 the transfer or retransfer, directly or indi14 rectly, to such country of any nuclear mate15 rial, facilities, components, or other goods, 

16 services, or technology that would be subject 

17 to an agreement to cooperation. 

18 ‘‘(B) CONSTRUCTION.—The restrictions in 

19 subparagraph (A) shall apply in addition to all 

20 other applicable procedures, requirements, and 

21 restrictions contained in the Atomic Energy Act 

22 of 1954 and other laws. 

23 ‘‘(C) DEFINITION.—In this paragraph, the 

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1 ing given that term in section 11 b. of the Atom2 ic Energy Act of 1954 (42 U.S.C. 2014(b)).’’. 

3 (d) STRENGTHENING OF WAIVER AUTHORITY AND

4 SANCTIONS IMPLEMENTATION.— 

5 (1) INVESTIGATIONS.—Section 4(f) of the Iran 

6 Sanctions Act of 1996 (50 U.S.C. 1701 note) is 

7 amended— 

8 (A) in paragraph (1)— 

9 (i) by striking ‘‘should initiate’’ and 

10 inserting ‘‘shall immediately initiate’’; 

11 (ii) by inserting ‘‘or 5(b)’’ after ‘‘sec12 tion 5(a)’’; and 

13 (iii) by striking ‘‘as described in such 

14 section’’ and inserting ‘‘as described in sec15 tion 5(a)(1) or other activity described in 

16 section 5(a)(2) or 5(b) (as the case may 

17 be)’’; and 

18 (B) in paragraph (2), by striking ‘‘should 

19 determine, pursuant to section 5(a), if a person 

20 has engaged in investment activity in Iran as 

21 described in such section’’ and inserting ‘‘shall 

22 determine, pursuant to section 5(a) or (b) (as the 

23 case may be), if a person has engaged in invest24 ment activity in Iran as described in section 


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1 5(a)(1) or other activity described in section 

2 5(a)(2) or 5(b) (as the case may be)’’. 

3 (2) GENERAL WAIVER AUTHORITY.—Section 9(c) 

4 of the Iran Sanctions Act of 1996 (50 U.S.C. 1701 

5 note) is amended— 

6 (A) in paragraph (1)— 

7 (i) by inserting after ‘‘on a person de8 scribed in section 5(c),’’ the following: ‘‘or 

9 on a country described in section 5(b)(2)(A) 

10 (if the President certifies to the appropriate 

11 congressional committees that the President 

12 is unable to make the determination de13 scribed in such section 5(b)(2)(A) with re14 spect to the government of that country),’’; 

15 and 

16 (ii) by striking ‘‘important to the na17 tional interest of the United States’’ and in18 serting ‘‘vital to the national security inter19 est of the United States’’; and 

20 (B) in paragraph (2)— 

21 (i) in subparagraphs (A), (B), and 

22 (D), by striking ‘‘or (b)’’ each place it ap23 pears and inserting ‘‘or (b)(1)’’; and 

24 (ii) by amending subparagraph (C) to 

25 read as follows: 


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1 ‘‘(C) an estimate of the significance of the 

2 provision of the items described in paragraph (1) 

3 or (2) of section 5(a) or section 5(b)(1) to Iran’s 

4 ability to develop its petroleum resources, to 

5 maintain or expand its domestic production of 

6 refined petroleum products, to import refined pe7 troleum products, or to develop its weapons of 

8 mass destruction or other military capabilities 

9 (as the case may be); and’’. 

10 (e) REPORTS ON UNITED STATES EFFORTS TO CUR11 TAIL CERTAIN BUSINESS AND OTHER TRANSACTIONS RE12 LATING TO IRAN.—Section 10 of such Act is amended— 

13 (1) in subsection (a), by amending paragraph 

14 (4) to read as follows: 

15 ‘‘(4) Iran’s use in the Middle East, the Western 

16 Hemisphere, Africa, and other regions, of Iranian 

17 diplomats and representatives of other government 

18 and military or quasi-governmental institutions or 

19 proxies of Iran, including, but not limited to, 

20 Hezbollah, to promote acts of international terrorism 

21 or to develop or sustain Iran’s nuclear, chemical, bio22 logical, and missile weapons programs.’’; and 

23 (2) by adding at the end the following: 

24 ‘‘(d) REPORTS ON CERTAIN BUSINESS AND OTHER

25 TRANSACTIONS RELATING TO IRAN.— 


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1 ‘‘(1) IN GENERAL.—Not later than 90 days after 

2 the date of the enactment of the Iran Refined Petro3 leum Sanctions Act of 2009, and every 6 months 

4 thereafter, the President shall submit a report to the 

5 appropriate congressional committees regarding any 

6 person who has— 

7 ‘‘(A) provided Iran with refined petroleum 

8 products; 

9 ‘‘(B) sold, leased, or provided to Iran any 

10 goods, services, or technology that would allow 

11 Iran to maintain or expand its domestic produc12 tion of refined petroleum products; or 

13 ‘‘(C) engaged in any activity that could 

14 contribute to the enhancement of Iran’s ability to 

15 import refined petroleum products. 

16 ‘‘(2) DESCRIPTION.—For each activity set forth 

17 in subparagraphs (A) through (C) of paragraph (1), 

18 the President shall provide a complete and detailed 

19 description of such activity, including— 

20 ‘‘(A) the date or dates of such activity; 

21 ‘‘(B) the name of any persons who partici22 pated or invested in or facilitated such activity; 

23 ‘‘(C) the United States domiciliary of the 

24 persons referred to in subparagraph (B); 


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1 ‘‘(D) any Federal Government contracts to 

2 which the persons referred to in subparagraph 

3 (B) are parties; and 

4 ‘‘(E) the steps taken by the United States to 

5 respond to such activity. 

6 ‘‘(3) ADDITIONAL INFORMATION.—The report re7 quired by this subsection shall also include a list of— 

8 ‘‘(A) any person that the President deter9 mines is an agent, alias, front, instrumentality, 

10 representative, official, or affiliate of the Islamic 

11 Revolutionary Guard Corps or is an individual 

12 serving as a representative of the Islamic Revolu13 tionary Guard Corps; 

14 ‘‘(B) any person that the President deter15 mines has knowingly provided material support 

16 to the Islamic Revolutionary Guard Corps or an 

17 agent, alias, front, instrumentality, representa18 tive, official, or affiliate of the Islamic Revolu19 tionary Guard Corps; and 

20 ‘‘(C) any person who has conducted any 

21 commercial transaction or financial transaction 

22 with the Islamic Revolutionary Guards Corps or 

23 an agent, alias, front, instrumentality, represent24 ative, official, or affiliate of the Islamic Revolu25 tionary Guard Corps. 


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1 ‘‘(4) FORM OF REPORTS; PUBLICATION.—The re2 ports required under this subsection shall be— 

3 ‘‘(A) submitted in unclassified form, but 

4 may contain a classified annex; and 

5 ‘‘(B) published in the Federal Register. 

6 ‘‘(e) REPORTS ON GLOBAL TRADE RELATING TO

7 IRAN.—Not later than one year after the date of the enact8 ment of the Iran Refined Petroleum Sanctions Act of 2009 

9 and annually thereafter, the President shall submit to the 

10 appropriate congressional committees a report, with respect 

11 to the immediately preceding 12-month period, on the dollar 

12 value amount of trade, including in the energy sector, be13 tween Iran and each country maintaining membership in 

14 the Group of Twenty Finance Ministers and Central Bank 

15 Governors.’’. 

16 (f) CLARIFICATION AND EXPANSION OF DEFINI17 TIONS.—Section 14 of such Act is amended— 

18 (1) in paragraph (13)(B)— 

19 (A) by inserting ‘‘financial institution, in20 surer, underwriter, guarantor, any other business 

21 organization, including any foreign subsidiary, 

22 parent, or affiliate of such a business organiza23 tion,’’ after ‘‘trust,’’; and 

24 (B) by inserting ‘‘, such as an export credit 

25 agency’’ before the semicolon at the end; 


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1 (2) by redesignating paragraphs (15) and (16) 

2 as paragraphs (17) and (18), respectively; and 

3 (3) by striking paragraph (14) and inserting the 

4 following: 

5 ‘‘(14) KNOWINGLY.—The term ‘knowingly’ 

6 means— 

7 ‘‘(A) having actual knowledge; or 

8 ‘‘(B) having the constructive knowledge 

9 deemed to be possessed by a reasonable indi10 vidual who acts under similar circumstances. 

11 ‘‘(15) PETROLEUM RESOURCES.—The term ‘pe12 troleum resources’ includes petroleum, oil or liquefied 

13 natural gas, oil or liquefied natural gas tankers, and 

14 products used to construct or maintain pipelines used 

15 to transport oil or compressed or liquefied natural 

16 gas. 

17 ‘‘(16) REFINED PETROLEUM PRODUCTS.—The 

18 term ‘refined petroleum products’ means gasoline, ker19 osene, diesel fuel, residual fuel oil, and distillates and 

20 other goods classified in headings 2709 and 2710 of 

21 the Harmonized Tariff Schedule of the United 

22 States.’’. 

23 (g) TERMINATION OF CERTAIN PROVISIONS.—Section 

24 8 of the Iran Sanctions Act of 1996 is amended— 


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1 (1) by striking ‘‘The requirement under section 

2 5(a)’’ and inserting ‘‘(a) SANCTIONS RELATING TO

3 INVESTMENT.—The requirement under section 

4 5(a)(1)(A)’’; 

5 (2) by striking ‘‘with respect to Iran’’; and 

6 (3) by adding at the end the following: 

7 ‘‘(b) REFINED PETROLEUM PRODUCTS.—The require8 ments under paragraphs (1)(B) and (2) of section 5(a) and 

9 section 6(b) to impose sanctions shall no longer have force 

10 or effect if the President determines and certifies to the ap11 propriate congressional committees that Iran— 

12 ‘‘(1) has ceased its efforts to design, develop, 

13 manufacture, or acquire a nuclear explosive device or 

14 related materials and technology; and 

15 ‘‘(2) has ceased nuclear-related activities, includ16 ing uranium enrichment, that would facilitate the ef17 forts described in paragraph (1).’’. 

18 (h) EXTENSION OF ACT.—Section 13(b) of the Iran 

19 Sanctions Act of 1996 is amended by striking ‘‘2011’’ and 

20 inserting ‘‘2016’’. 

21 (i) TECHNICAL AMENDMENTS.— 

22 (1) MULTILATERAL REGIME.—Section 4 of such 

23 Act is amended— 


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1 (A) in subsection (b)(2), by striking ‘‘(in 

2 addition to that provided in subsection (d))’’; 

3 and 

4 (B) by striking subsection (d) and redesig5 nating subsections (e) and (f) as subsections (d) 

6 and (e), respectively. 

7 (2) REFERENCE TO COMMITTEE ON FOREIGN AF8 FAIRS.—Section 14(2) of such Act is amended by 

9 striking ‘‘International Relations’’ and inserting 

10 ‘‘Foreign Affairs’’. 

11 (3) CONFORMING AMENDMENTS.—(A) Section 

12 5(c)(1) of such Act is amended by striking ‘‘or (b)’’ 

13 and inserting ‘‘or (b)(1)’’. 

14 (B) Section 9(a) of such Act is amended by strik15 ing ‘‘or 5(b)’’ each place it appears and inserting ‘‘or 

16 5(b)(1)’’. 

17 SEC. 4. EFFECTIVE DATE; RULE OF CONSTRUCTION. 

18 (a) IN GENERAL.—The amendments made by this Act 

19 shall take effect upon the expiration of the 60-day period 

20 beginning on the date of the enactment of this Act, except 

21 that— 

22 (1) paragraphs (1) and (2) of section 5(a), sec23 tion 5(b)(2), and section 6(b), of the Iran Sanctions 

24 Act of 1996, as amended by this Act, shall apply to 

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1 withstanding section 5(f)(3) of the Iran Sanctions Act 

2 of 1996; and 

3 (2) the amendments made by subsection (d) of 

4 section 3 of this Act shall apply with respect to con5 duct engaged in before, on, or after the date of the en6 actment of this Act. 

7 (b) RULE OF CONSTRUCTION.— 

8 (1) EXISTING SANCTIONS NOT AFFECTED.—The 

9 amendments made by subsections (a) and (b) of sec10 tion 3 of this Act shall not be construed to affect the 

11 requirements of section 5(a) of the Iran Sanctions Act 

12 of 1996 as in effect before the date of the enactment 

13 of this Act, and such requirements continue to apply, 

14 on and after such date of enactment, to conduct en15 gaged in before October 28, 2009. 

16 (2) WAIVER AUTHORITY.—The amendments 

17 made by subsection (d) of section 3 of this Act shall 

18 not be construed to affect any exercise of the authority 

19 under section 4(f) or section 9(c) of the Iran Sanc20 tions Act of 1996 as in effect on the day before the 

21 date of the enactment of this Act. 


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Union Calendar No. 217 

111TH CONGRESS 

1ST SESSION H. R. 2194 

[Report No. 111–342, Part I] 

A BILL 

To amend the Iran Sanctions Act of 1996 to enagainst Iran. spect to Iran by expanding economic sanctions hance United States diplomatic efforts with reDECEMBER 11, 2009 Committee on Ways and Means discharged; committed to 

Union and ordered to be printed the Committee of the Whole House on the State of the 


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