`[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2194 Reported in House (RH)]

                                                 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





                           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 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. Sanchez 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





                           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.


 


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Iran Refined Petroleum Sanctions Act 
of 2009''.

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

    (a) Findings.--Congress finds the following:
            (1) The illicit nuclear activities of the Government of 
        Iran--combined with its development of unconventional weapons 
        and ballistic missiles, and support for international 
        terrorism--represent a serious threat to the security of the 
        United States and U.S. allies in Europe, the Middle East, and 
        around the world.
            (2) The United States and other responsible nations have a 
        vital interest in working together to prevent the Government of 
        Iran from acquiring a nuclear weapons capability.
            (3) The International Atomic Energy Agency has repeatedly 
        called attention to Iran's unlawful nuclear activities, and, as 
        a result, the United Nations Security Council has adopted a 
        range of sanctions designed to encourage the Government of Iran 
        to suspend those activities and comply with its obligations 
        under the Treaty on the Non-Proliferation of Nuclear Weapons 
        (commonly known as the ``Nuclear Non-Proliferation Treaty'').
            (4) As a presidential candidate, then-Senator Obama stated 
        that additional sanctions, especially those targeting Iran's 
        dependence on imported refined petroleum, may help to persuade 
        the Government of Iran to abandon its illicit nuclear 
        activities.
            (5) On October 7, 2008, then-Senator Obama stated, ``Iran 
        right now imports gasoline, even though it's an oil producer, 
        because its oil infrastructure has broken down. If we can 
        prevent them from importing the gasoline that they need and the 
        refined petroleum products, that starts changing their cost-
        benefit analysis. That starts putting the squeeze on them.''.
            (6) On June 4, 2008, then-Senator Obama stated, ``We should 
        work with Europe, Japan, and the Gulf states to find every 
        avenue outside the U.N. to isolate the Iranian regime--from 
        cutting off loan guarantees and expanding financial sanctions, 
        to banning the export of refined petroleum to Iran.''.
            (7) Major European allies, including the United Kingdom, 
        France, and Germany, have advocated that sanctions be 
        significantly toughened should international diplomatic efforts 
        fail to achieve verifiable suspension of Iran's uranium 
        enrichment program and an end to its nuclear weapons program 
        and other illicit nuclear activities.
            (8) The serious and urgent nature of the threat from Iran 
        demands that the United States work together with U.S. allies 
        to do everything possible--diplomatically, politically, and 
        economically--to prevent Iran from acquiring a nuclear weapons 
        capability.
            (9) The human rights situation in Iran has steadily 
        deteriorated in 2009, as punctuated by the transparent fraud 
        that occurred on June 12, the brutal repression and murder, 
        arbitrary arrests, and show trials of peaceful dissidents, and 
        ongoing suppression of freedom of expression.
    (b) Sense of Congress.--It is the sense of the Congress that--
            (1) international diplomatic efforts to address Iran's 
        illicit nuclear efforts, unconventional and ballistic missile 
        development programs, and support for international terrorism 
        are more likely to be effective if the President is empowered 
        with the explicit authority to impose additional sanctions on 
        the Government of Iran;
            (2) the concerns of the United States regarding Iran are 
        strictly the result of the actions of the Government of Iran;
            (3) the revelation in September 2009 that Iran is 
        developing a secret uranium enrichment site on an Islamic 
        Revolutionary Guard Corps base near Qom, which appears to have 
        no civilian application, highlights the urgency for Iran to 
        fully disclose the full nature of its nuclear program, 
        including any other secret locations, and provide the 
        International Atomic Energy Agency (IAEA) unfettered access to 
        its facilities pursuant to Iran's legal obligations under the 
        Treaty on the Non-Proliferation of Nuclear Weapons and Iran's 
        Safeguards Agreement with the IAEA;
            (4) because of its involvement in Iran's nuclear program 
        and other destabilizing activities, the President should impose 
        sanctions, including the full range of sanctions otherwise 
        applicable to Iran, on any individual or entity that is an 
        agent, alias, front, instrumentality, representative, official, 
        or affiliate of the Islamic Revolutionary Guard Corps or is an 
        individual serving as a representative of the Islamic 
        Revolutionary Guard Corps, or on any person that has conducted 
        any commercial transaction or financial transaction with such 
        entities;
            (5) Government to Government agreements with Iran to 
        provide the regime with refined petroleum products, such as the 
        September 2009 agreement under which the Government of 
        Venezuela committed to provide 20,000 barrels of gasoline per 
        day to Iran, undermine efforts to pressure Iran to suspend its 
        nuclear weapons program and cease all enrichment activities; 
        and
            (6) the people of the United States--
                    (A) have feelings of friendship for the people of 
                Iran; and
                    (B) hold the people of Iran, their culture, and 
                their ancient and rich history in the highest esteem.
    (c) Statement of Policy.--It shall be the policy of the United 
States--
            (1) to prevent Iran from achieving the capability to make 
        nuclear weapons, including by supporting international 
        diplomatic efforts to halt Iran's uranium enrichment program;
            (2) to fully implement and enforce the Iran Sanctions Act 
        of 1996 as a means of encouraging foreign governments to--
                    (A) direct state-owned entities to cease all 
                investment in, and support of, Iran's energy sector and 
                all exports of refined petroleum products to Iran; and
                    (B) require private entities based in their 
                territories to cease all investment in, and support of, 
                Iran's energy sector and all exports of refined 
                petroleum products to Iran;
            (3) to impose sanctions on--
                    (A) the Central Bank of Iran, and any other 
                financial institution in Iran that is engaged in 
                proliferation activities or support of terrorist 
                groups, and
                    (B) any other financial institution that conducts 
                financial transactions with the Central Bank of Iran or 
                with another financial institution described in 
                subparagraph (A),
        including through the use of Executive Orders 13224, 13382, and 
        13438 and United Nations Security Council Resolutions 1737, 
        1747, 1803, and 1835;
            (4) to persuade the allies of the United States and other 
        countries to take appropriate measures to deny access to the 
        international financial system by Iranian banks and financial 
        institutions involved in proliferation activities or support of 
        terrorist groups;
            (5) to support all Iranian citizens who embrace the values 
        of freedom, human rights, civil liberties, and the rule of law; 
        and
            (6) for the Secretary of State to make every effort to 
        assist United States citizens held hostage in Iran at any time 
        during the period beginning on November 4, 1979 and ending on 
        January 20, 1981, and their survivors in matters of 
        compensation related to such citizens' detention.

SEC. 3. AMENDMENTS TO THE IRAN SANCTIONS ACT OF 1996.

    (a) Expansion of Sanctions.--Section 5(a) of the Iran Sanctions Act 
of 1996 (50 U.S.C. 1701 note) is amended to read as follows:
    ``(a) Sanctions With Respect to the Development of Petroleum 
Resources of Iran and Exportation of Refined Petroleum to Iran.--
            ``(1) Development of petroleum resources of iran.--
                    ``(A) Investment.--Except as provided in subsection 
                (f), the President shall impose 2 or more of the 
                sanctions described in paragraphs (1) through (6) of 
                section 6(a) if the President determines that a person 
                has knowingly, on or after the date of the enactment of 
                this Act, made an investment of $20,000,000 or more (or 
                any combination of investments of at least $5,000,000 
                each, which in the aggregate equals or exceeds 
                $20,000,000 in any 12-month period), that directly and 
                significantly contributed to the enhancement of Iran's 
                ability to develop petroleum resources of Iran.
                    ``(B) Production of refined petroleum products.--
                Except as provided in subsection (f), the President 
                shall impose the sanctions described in section 6(b) if 
                the President determines that a person knowingly sells, 
                leases, or provides to Iran any goods, services, 
                technology, information, or support, or enters into a 
                contract to sell, lease, or provide to Iran any goods, 
                services, technology, information, or support, that 
                would allow Iran to maintain or expand its domestic 
                production of refined petroleum products, including any 
                assistance in the construction, modernization, or 
                repair of refineries that make refined petroleum 
                products, if--
                            ``(i) the value of the goods, services, 
                        technology, information, or support provided in 
                        such sale, lease, or provision, or to be 
                        provided in such contract, exceeds $200,000; or
                            ``(ii) the value of the goods, services, 
                        technology, information, or support provided in 
                        any combination of such sales, leases, or 
                        provision in any 12-month period, or to be 
                        provided under contracts entered into in any 
                        12-month period, exceeds $500,000.
            ``(2) Exportation of refined petroleum products to iran.--
                    ``(A) In general.--Except as provided in subsection 
                (f), the President shall impose the sanctions described 
                in section 6(b) if the President determines that a 
                person knowingly provides Iran with refined petroleum 
                products or engages in any of the activities described 
                in subparagraph (B), if--
                            ``(i) the value of such products or of the 
                        goods, services, technology, information, or 
                        support provided or to be provided in 
                        connection with such activity exceeds $200,000; 
                        or
                            ``(ii) the value of such products, or of 
                        the goods, services, technology, information, 
                        or support, provided or to be provided in 
                        connection with any combination of providing 
                        such products or such activities, in any 12-
                        month period exceeds $500,000.
                    ``(B) Activities described.--The activities 
                referred to in subparagraph (A) are the following:
                            ``(i) Providing ships, vehicles, or other 
                        means of transportation to deliver refined 
                        petroleum products to Iran, or providing 
                        services relating to the shipping or other 
                        transportation of refined petroleum products to 
                        Iran.
                            ``(ii) Underwriting or otherwise providing 
                        insurance or reinsurance for an activity 
                        described in clause (i).
                            ``(iii) Financing or brokering an activity 
                        described in clause (i).''.
    (b) Description of Sanctions.--Section 6 of such Act is amended--
            (1) by striking ``The sanctions to be imposed on a 
        sanctioned person under section 5 are as follows:'' and 
        inserting the following:
    ``(a) In General.--The sanctions to be imposed on a sanctioned 
person under subsections (a)(1)(A) and (b)(1) of section 5 are as 
follows:'';
            (2) in paragraph (4), by striking ``section 5'' each place 
        it appears and inserting ``subsections (a)(1)(A) and (b) of 
        section 5''; and
            (3) by adding at the end the following:
    ``(b) Additional Mandatory Sanctions.--The sanctions to be imposed 
on a sanctioned person under paragraphs (1)(B) and (2) of section 5(a) 
are as follows:
            ``(1) Foreign exchange.--The President shall prohibit any 
        transactions in foreign exchange by the sanctioned person.
            ``(2) Banking transactions.--The President shall prohibit 
        any transfers of credit or payments between, by, through, or to 
        any financial institution, to the extent that such transfers or 
        payments involve any interest of the sanctioned person.
            ``(3) Property transactions.--The President shall prohibit 
        any acquisition, holding, withholding, use, transfer, 
        withdrawal, transportation, importation, or exportation of, 
        dealing in, or exercising any right, power, or privilege with 
        respect to, or transactions involving, any property in which 
        the sanctioned person has any interest by any person, or with 
        respect to any property, subject to the jurisdiction of the 
        United States.
    ``(c) Additional Measure Relating to Refined Petroleum Products.--
            ``(1) In general.--The head of each executive agency shall 
        ensure that each contract with a person entered into by such 
        executive agency for the procurement of goods or services, or 
        agreement for the use of Federal funds as part of a grant, 
        loan, or loan guarantee to a person, includes a clause that 
        requires the person to certify to the contracting officer or 
        other appropriate official of such agency that the person does 
        not conduct any activity described in paragraph (1)(B) or (2) 
        of section 5(a).
            ``(2) Remedies.--
                    ``(A) In general.--If the head of the executive 
                agency determines that such person has submitted a 
                false certification under paragraph (1) after the date 
                on which the Federal Acquisition Regulation is revised 
                to implement the requirements of this subsection, the 
                head of an executive agency may terminate a contract, 
                or agreement described in paragraph (1), with such 
                person or debar or suspend such person from eligibility 
                for Federal contracts or such agreements for a period 
                not to exceed 15 years.
                    ``(B) Inclusion on list of parties excluded from 
                federal procurement and nonprocurement programs.--The 
                Administrator of General Services shall include on the 
                List of Parties Excluded from Federal Procurement and 
                Nonprocurement Programs maintained by the Administrator 
                under part 9 of the Federal Acquisition Regulation 
                issued under section 25 of the Office of Federal 
                Procurement Policy Act (41 U.S.C. 421) each person that 
                is debarred, suspended, proposed for debarment or 
                suspension, or declared ineligible by the head of an 
                executive agency on the basis of a determination of a 
                false certification under subparagraph (A).
                    ``(C) Rule of construction.--This subsection shall 
                not be construed to limit the use of other remedies 
                available to the head of an executive agency or any 
                other official of the Federal Government on the basis 
                of a determination of a false certification under 
                paragraph (1).
            ``(3) Implementation through the federal acquisition 
        regulation.--Not later than 120 days after the date of the 
        enactment of the Iran Refined Petroleum Sanctions Act of 2009, 
        the Federal Acquisition Regulation issued pursuant to section 
        25 of the Office of Federal Procurement Policy Act (41 U.S.C. 
        421) shall be revised to provide for the implementation of the 
        requirements of this subsection.''.
    (c) Additional Mandatory Sanctions Relating to Transfer of Nuclear 
Technology.--Section 5(b) of the Iran Sanctions Act of 1996 is 
amended--
            (1) by redesignating paragraphs (1) and (2) as 
        subparagraphs (A) and (B), respectively, and moving such 
        paragraphs 2 ems to the right;
            (2) by striking ``The President shall impose'' and 
        inserting the following:
            ``(1) In general.--The President shall impose'';
            (3) by striking ``section 6'' and inserting ``section 
        6(a)''; and
            (4) by adding at the end the following:
            ``(2) Additional sanction.--
                    ``(A) Restriction.--In any case in which a person 
                is subject to sanctions under paragraph (1) because of 
                an activity described in such paragraph that relates to 
                the acquisition or development of nuclear weapons or 
                related technology or of missiles or other advanced 
                conventional weapons that are capable of delivering a 
                nuclear weapon, then notwithstanding any other 
                provision of law, the following measures shall apply 
                with respect to the country that has jurisdiction over 
                such person, unless the President determines and 
                notifies the appropriate congressional committees that 
                the government of such country has taken, or is taking, 
                effective actions to penalize such person and to 
                prevent a reoccurrence of such activity in the future:
                            ``(i) No agreement for cooperation between 
                        the United States and the government of such 
                        country may be submitted to the President or to 
                        Congress pursuant to section 123 of the Atomic 
                        Energy Act of 1954 (42 U.S.C. 2153), or may 
                        enter into force.
                            ``(ii) No license may be issued for the 
                        export, and no approval may be given for the 
                        transfer or retransfer, directly or indirectly, 
                        to such country of any nuclear material, 
                        facilities, components, or other goods, 
                        services, or technology that would be subject 
                        to an agreement to cooperation.
                    ``(B) Construction.--The restrictions in 
                subparagraph (A) shall apply in addition to all other 
                applicable procedures, requirements, and restrictions 
                contained in the Atomic Energy Act of 1954 and other 
                laws.
                    ``(C) Definition.--In this paragraph, the term 
                `agreement for cooperation' has the meaning given that 
                term in section 11 b. of the Atomic Energy Act of 1954 
                (42 U.S.C. 2014(b)).''.
    (d) Strengthening of Waiver Authority and Sanctions 
Implementation.--
            (1) Investigations.--Section 4(f) of the Iran Sanctions Act 
        of 1996 (50 U.S.C. 1701 note) is amended--
                    (A) in paragraph (1)--
                            (i) by striking ``should initiate'' and 
                        inserting ``shall immediately initiate'';
                            (ii) by inserting ``or 5(b)'' after 
                        ``section 5(a)''; and
                            (iii) by striking ``as described in such 
                        section'' and inserting ``as described in 
                        section 5(a)(1) or other activity described in 
                        section 5(a)(2) or 5(b) (as the case may be)''; 
                        and
                    (B) in paragraph (2), by striking ``should 
                determine, pursuant to section 5(a), if a person has 
                engaged in investment activity in Iran as described in 
                such section'' and inserting ``shall determine, 
                pursuant to section 5(a) or (b) (as the case may be), 
                if a person has engaged in investment activity in Iran 
                as described in section 5(a)(1) or other activity 
                described in section 5(a)(2) or 5(b) (as the case may 
                be)''.
            (2) General waiver authority.--Section 9(c) of the Iran 
        Sanctions Act of 1996 (50 U.S.C. 1701 note) is amended--
                    (A) in paragraph (1)--
                            (i) by inserting after ``on a person 
                        described in section 5(c),'' the following: 
                        ``or on a country described in section 
                        5(b)(2)(A) (if the President certifies to the 
                        appropriate congressional committees that the 
                        President is unable to make the determination 
                        described in such section 5(b)(2)(A) with 
                        respect to the government of that country),''; 
                        and
                            (ii) by striking ``important to the 
                        national interest of the United States'' and 
                        inserting ``vital to the national security 
                        interest of the United States''; and
                    (B) in paragraph (2)--
                            (i) in subparagraphs (A), (B), and (D), by 
                        striking ``or (b)'' each place it appears and 
                        inserting ``or (b)(1)''; and
                            (ii) by amending subparagraph (C) to read 
                        as follows:
                    ``(C) an estimate of the significance of the 
                provision of the items described in paragraph (1) or 
                (2) of section 5(a) or section 5(b)(1) to Iran's 
                ability to develop its petroleum resources, to maintain 
                or expand its domestic production of refined petroleum 
                products, to import refined petroleum products, or to 
                develop its weapons of mass destruction or other 
                military capabilities (as the case may be); and''.
    (e) Reports on United States Efforts To Curtail Certain Business 
and Other Transactions Relating to Iran.--Section 10 of such Act is 
amended--
            (1) in subsection (a), by amending paragraph (4) to read as 
        follows:
            ``(4) Iran's use in the Middle East, the Western 
        Hemisphere, Africa, and other regions, of Iranian diplomats and 
        representatives of other government and military or quasi-
        governmental institutions or proxies of Iran, including, but 
        not limited to, Hezbollah, to promote acts of international 
        terrorism or to develop or sustain Iran's nuclear, chemical, 
        biological, and missile weapons programs.''; and
            (2) by adding at the end the following:
    ``(d) Reports on Certain Business and Other Transactions Relating 
to Iran.--
            ``(1) In general.--Not later than 90 days after the date of 
        the enactment of the Iran Refined Petroleum Sanctions Act of 
        2009, and every 6 months thereafter, the President shall submit 
        a report to the appropriate congressional committees regarding 
        any person who has--
                    ``(A) provided Iran with refined petroleum 
                products;
                    ``(B) sold, leased, or provided to Iran any goods, 
                services, or technology that would allow Iran to 
                maintain or expand its domestic production of refined 
                petroleum products; or
                    ``(C) engaged in any activity that could contribute 
                to the enhancement of Iran's ability to import refined 
                petroleum products.
            ``(2) Description.--For each activity set forth in 
        subparagraphs (A) through (C) of paragraph (1), the President 
        shall provide a complete and detailed description of such 
        activity, including--
                    ``(A) the date or dates of such activity;
                    ``(B) the name of any persons who participated or 
                invested in or facilitated such activity;
                    ``(C) the United States domiciliary of the persons 
                referred to in subparagraph (B);
                    ``(D) any Federal Government contracts to which the 
                persons referred to in subparagraph (B) are parties; 
                and
                    ``(E) the steps taken by the United States to 
                respond to such activity.
            ``(3) Additional information.--The report required by this 
        subsection shall also include a list of--
                    ``(A) any person that the President determines is 
                an agent, alias, front, instrumentality, 
                representative, official, or affiliate of the Islamic 
                Revolutionary Guard Corps or is an individual serving 
                as a representative of the Islamic Revolutionary Guard 
                Corps;
                    ``(B) any person that the President determines has 
                knowingly provided material support to the Islamic 
                Revolutionary Guard Corps or an agent, alias, front, 
                instrumentality, representative, official, or affiliate 
                of the Islamic Revolutionary Guard Corps; and
                    ``(C) any person who has conducted any commercial 
                transaction or financial transaction with the Islamic 
                Revolutionary Guards Corps or an agent, alias, front, 
                instrumentality, representative, official, or affiliate 
                of the Islamic Revolutionary Guard Corps.
            ``(4) Form of reports; publication.--The reports required 
        under this subsection shall be--
                    ``(A) submitted in unclassified form, but may 
                contain a classified annex; and
                    ``(B) published in the Federal Register.
    ``(e) Reports on Global Trade Relating to Iran.--Not later than one 
year after the date of the enactment of the Iran Refined Petroleum 
Sanctions Act of 2009 and annually thereafter, the President shall 
submit to the appropriate congressional committees a report, with 
respect to the immediately preceding 12-month period, on the dollar 
value amount of trade, including in the energy sector, between Iran and 
each country maintaining membership in the Group of Twenty Finance 
Ministers and Central Bank Governors.''.
    (f) Clarification and Expansion of Definitions.--Section 14 of such 
Act is amended--
            (1) in paragraph (13)(B)--
                    (A) by inserting ``financial institution, insurer, 
                underwriter, guarantor, any other business 
                organization, including any foreign subsidiary, parent, 
                or affiliate of such a business organization,'' after 
                ``trust,''; and
                    (B) by inserting ``, such as an export credit 
                agency'' before the semicolon at the end;
            (2) by redesignating paragraphs (15) and (16) as paragraphs 
        (17) and (18), respectively; and
            (3) by striking paragraph (14) and inserting the following:
            ``(14) Knowingly.--The term `knowingly' means--
                    ``(A) having actual knowledge; or
                    ``(B) having the constructive knowledge deemed to 
                be possessed by a reasonable individual who acts under 
                similar circumstances.
            ``(15) Petroleum resources.--The term `petroleum resources' 
        includes petroleum, oil or liquefied natural gas, oil or 
        liquefied natural gas tankers, and products used to construct 
        or maintain pipelines used to transport oil or compressed or 
        liquefied natural gas.
            ``(16) Refined petroleum products.--The term `refined 
        petroleum products' means gasoline, kerosene, diesel fuel, 
        residual fuel oil, and distillates and other goods classified 
        in headings 2709 and 2710 of the Harmonized Tariff Schedule of 
        the United States.''.
    (g) Termination of Certain Provisions.--Section 8 of the Iran 
Sanctions Act of 1996 is amended--
            (1) by striking ``The requirement under section 5(a)'' and 
        inserting ``(a) Sanctions Relating to Investment.--The 
        requirement under section 5(a)(1)(A)'';
            (2) by striking ``with respect to Iran''; and
            (3) by adding at the end the following:
    ``(b) Refined Petroleum Products.--The requirements under 
paragraphs (1)(B) and (2) of section 5(a) and section 6(b) to impose 
sanctions shall no longer have force or effect if the President 
determines and certifies to the appropriate congressional committees 
that Iran--
            ``(1) has ceased its efforts to design, develop, 
        manufacture, or acquire a nuclear explosive device or related 
        materials and technology; and
            ``(2) has ceased nuclear-related activities, including 
        uranium enrichment, that would facilitate the efforts described 
        in paragraph (1).''.
    (h) Extension of Act.--Section 13(b) of the Iran Sanctions Act of 
1996 is amended by striking ``2011'' and inserting ``2016''.
    (i) Technical Amendments.--
            (1) Multilateral regime.--Section 4 of such Act is 
        amended--
                    (A) in subsection (b)(2), by striking ``(in 
                addition to that provided in subsection (d))''; and
                    (B) by striking subsection (d) and redesignating 
                subsections (e) and (f) as subsections (d) and (e), 
                respectively.
            (2) Reference to committee on foreign affairs.--Section 
        14(2) of such Act is amended by striking ``International 
        Relations'' and inserting ``Foreign Affairs''.
            (3) Conforming amendments.--(A) Section 5(c)(1) of such Act 
        is amended by striking ``or (b)'' and inserting ``or (b)(1)''.
            (B) Section 9(a) of such Act is amended by striking ``or 
        5(b)'' each place it appears and inserting ``or 5(b)(1)''.

SEC. 4. EFFECTIVE DATE; RULE OF CONSTRUCTION.

    (a) In General.--The amendments made by this Act shall take effect 
upon the expiration of the 60-day period beginning on the date of the 
enactment of this Act, except that--
            (1) paragraphs (1) and (2) of section 5(a), section 
        5(b)(2), and section 6(b), of the Iran Sanctions Act of 1996, 
        as amended by this Act, shall apply to conduct engaged in on or 
        after October 28, 2009, notwithstanding section 5(f)(3) of the 
        Iran Sanctions Act of 1996; and
            (2) the amendments made by subsection (d) of section 3 of 
        this Act shall apply with respect to conduct engaged in before, 
        on, or after the date of the enactment of this Act.
    (b) Rule of Construction.--
            (1) Existing sanctions not affected.--The amendments made 
        by subsections (a) and (b) of section 3 of this Act shall not 
        be construed to affect the requirements of section 5(a) of the 
        Iran Sanctions Act of 1996 as in effect before the date of the 
        enactment of this Act, and such requirements continue to apply, 
        on and after such date of enactment, to conduct engaged in 
        before October 28, 2009.
            (2) Waiver authority.--The amendments made by subsection 
        (d) of section 3 of this Act shall not be construed to affect 
        any exercise of the authority under section 4(f) or section 
        9(c) of the Iran Sanctions Act of 1996 as in effect on the day 
        before the date of the enactment of this Act.
                                                 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 enhance United States 
diplomatic efforts with respect to Iran by expanding economic sanctions 
                             against Iran.

_______________________________________________________________________

                           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`