I 

112TH CONGRESS 

1ST SESSION H. R. 2047 

To amend the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act 

of 1996 to exclude from the United States aliens who contribute to 

the ability of Cuba to develop petroleum resources located off Cuba’s 

coast and to provide for the imposition of sanctions and prohibition 

on facilitation of development of Cuba’s petroleum resources, and for 

other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 26, 2011 

Ms. ROS-LEHTINEN (for herself, Mr. SIRES, Mr. MACK, Mr. RIVERA, Mr. 

WEST, Mr. CONNOLLY of Virginia, Mr. BUCHANAN, and Mr. DIAZBALART) introduced the following bill; which was referred to the Committee on the Judiciary, and in addition to the Committees on Foreign 

Affairs, Financial Services, and Oversight and Government Reform, 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 

A BILL 

To amend the Cuban Liberty and Democratic Solidarity 

(LIBERTAD) Act of 1996 to exclude from the United 

States aliens who contribute to the ability of Cuba to 

develop petroleum resources located off Cuba’s coast and 

to provide for the imposition of sanctions and prohibition 

on facilitation of development of Cuba’s petroleum resources, and for other purposes. 


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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Caribbean Coral Reef 

5 Protection Act of 2011’’. 

6 SEC. 2. FINDINGS. 

7 Congress finds the following: 

8 (1) In July 2008, a Presidential Directive ban9 ning United States offshore drilling and gas develop10 ment in the Outer Continental Shelf was lifted. 

11 (2) In October 2008, Brazilian President Luiz 

12 Inacio Lula da Silva visited Cuba to sign agreements 

13 allowing state-run Petroleo Brasileiro SA to invest 

14 $8 million initially for a seven-year, deep-water ex15 ploration project north of Cuba. 

16 (3) In July 2009, the Russian oil company 

17 Zarubezhneft signed four oil exploration contracts, 

18 all for terms of 25 years, with Cuba Petroleo to 

19 search for oil in Cuba’s deep offshore fields. 

20 (4) As of June 2010, eight foreign oil compa21 nies had signed agreements with the Cuban regime 

22 for the exploration of oil and gas off the shores of 

23 Cuba. Repsol of Spain, StatOil of Norway, and 

24 ONGC of India are partners in a joint project, while 

25 Petrobras of Brazil, PdVSA of Venezuela, ONGC of 


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1 India, Petronas of Malaysia, and PetroVietnam also 

2 have additional concessions, and Sonangol of Angola 

3 and CNPC of China were in negotiations for conces4 sions. 

5 (5) As of June 2010, five foreign companies 

6 had secured land and marine block concessions from 

7 the Cuban regime, including PdVSA of Venezuela, 

8 Sinopec of China, Sherritt of Canada, Zarubezhneft 

9 of Russia, and PetroVietnam. 

10 (6) A Chinese-built drilling rig, known as the 

11 Scarabeo 9, which belongs to Saipem, a unit of 

12 Italian oil company ENI SpA, is expected to arrive 

13 to Cuba in mid-2011. 

14 (7) A Repsol-led consortium that includes Nor15 way’s Statoil and ONGC Videsh, a unit of India’s 

16 Oil and Natural Gas Corp, has reportedly contracted 

17 the rig first to drill off of Cuba’s northwestern coast, 

18 then will pass it on to other companies with leases 

19 for offshore blocks. 

20 (8) In addition to exploration and development 

21 investments, Venezuela’s state oil firm PDVSA has 

22 helped the Cuban regime reactivate and retrofit its 

23 Cienfuegos facility, a refinery owned by United 

24 States company, Texaco, before it was confiscated by 

25 the regime. 


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1 (9) On April 20, 2010, the Deepwater Horizon 

2 oil rig, exploded in the Gulf of Mexico, killing eleven 

3 crewmen. Two days later, the Deepwater Horizon 

4 sank 48 miles from United States shores, leaving its 

5 oil well gushing an estimated 2 million gallons of oil 

6 per day. 

7 (10) The explosion on Deepwater Horizon and 

8 ensuing oil spill resulted in the largest environmental 

9 disaster in United States history, causing irreparable 

10 damage to the fragile marine ecosystem in the Gulf 

11 of Mexico as well as numerous species of wildlife. 

12 (11) Drilling by or under the authorization of 

13 the current Cuban regime in Cuban waters, a mere 

14 45 miles from the Florida Keys, poses a serious eco15 nomic and environmental threat to the United 

16 States. 

17 SEC. 3. STATEMENT OF POLICY. 

18 It shall be the policy of the United States to— 

19 (1) undertake the necessary measures to deny 

20 the Government of Cuba, the Cuban Communist 

21 Party, or any agent or instrumentality of either, the 

22 financial resources to engage in activities that 

23 threaten— 

24 (A) United States national security, its in25 terests, and its allies; 


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1 (B) Florida’s marine environment, includ2 ing the most extensive living coral reef system 

3 in North American waters and the third largest 

4 in the world; 

5 (C) the environment and natural resources 

6 of the submerged lands located off Cuba’s 

7 coast; and 

8 (D) to prolong the dictatorship that op9 presses the Cuban people; and 

10 (2) deter foreign investments that would en11 hance the ability of the Government of Cuba, or any 

12 agent or instrumentality thereof, to develop its pe13 troleum resources. 

14 SEC. 4. EXCLUSION OF CERTAIN ALIENS. 

15 (a) IN GENERAL.—The Cuban Liberty and Demo16 cratic Solidarity (LIBERTAD) Act of 1996 (22 U.S.C. 

17 6021 et seq.) is amended by inserting after section 401 

18 the following new section: 

19 ‘‘SEC. 402. EXCLUSION FROM THE UNITED STATES OF 

20 ALIENS WHO CONTRIBUTE TO THE ABILITY 

21 OF CUBA TO DEVELOP PETROLEUM RE22 SOURCES LOCATED OFF CUBA’S COAST. 

23 ‘‘(a) IN GENERAL.—The Secretary of State shall 

24 deny a visa to, and the Secretary of Homeland Security 


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1 shall exclude from the United States, any alien who the 

2 Secretary of State determines is a person who— 

3 ‘‘(1) is an officer or principal of an entity, or 

4 a shareholder who owns a controlling interest in an 

5 entity, that, on or after January 10, 2005, has made 

6 or makes an investment that equals or exceeds 

7 $1,000,000 (or any combination of investments that 

8 in the aggregate equals or exceeds $1,000,000 in 

9 any 12-month period), that contributes to the en10 hancement of the ability of the Government of Cuba, 

11 or any agent or instrumentality thereof, to develop 

12 petroleum resources of the submerged lands located 

13 off Cuba’s coast; or 

14 ‘‘(2) is a spouse, minor child, or agent of a per15 son described in paragraph (1). 

16 ‘‘(b) WAIVER.—The Secretary of State may waive the 

17 application of subsection (a) if the Secretary certifies and 

18 reports to the appropriate congressional committees, on a 

19 case-by-case basis, that the admission to the United States 

20 of a person described in subsection (a)— 

21 ‘‘(1) is necessary for critical medical reasons or 

22 for purposes of litigation of an action under title III 

23 of this Act; or 


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1 ‘‘(2) is appropriate if the requirements of sec2 tions 204, 205, and 206 of this Act have been satis3 fied. 

4 ‘‘(c) DEFINITIONS.—In this section: 

5 ‘‘(1) AGENT AND INSTRUMENTALITY.—The 

6 terms ‘agent’ and ‘instrumentality’ shall include the 

7 Cuban Communist Party. 

8 ‘‘(2) DEVELOP.—The term ‘develop’, with re9 spect to petroleum resources, means the exploration 

10 for, or the extraction, refining, or transportation by 

11 pipeline or other means of, petroleum resources. 

12 ‘‘(3) INVESTMENT.—The term ‘investment’ 

13 means any of the following activities if such activity 

14 is undertaken pursuant to an agreement, or pursu15 ant to the exercise of rights under such an agree16 ment, that was or is entered into with the Govern17 ment of Cuba (or any agency or instrumentality 

18 thereof) or a nongovernmental entity in Cuba, on or 

19 after January 10, 2005: 

20 ‘‘(A) The entry into a contract that in21 cludes responsibility for the development of pe22 troleum resources of the submerged lands lo23 cated off Cuba’s coast, or the entry into a con24 tract providing for the general supervision and 


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1 guarantee of another person’s performance of 

2 such a contract. 

3 ‘‘(B) The purchase of a share of owner4 ship, including an equity interest, in such devel5 opment. 

6 ‘‘(C) The entry into a contract providing 

7 for the participation in royalties, earnings, or 

8 profits in such development, without regard to 

9 the form of the participation. 

10 ‘‘(D) The entry into, performance, or fi11 nancing of a contract to sell or purchase goods, 

12 services, or technology related to such develop13 ment. 

14 ‘‘(4) PETROLEUM RESOURCES.—The term ‘pe15 troleum resources’ includes petroleum and natural 

16 gas resources, petroleum by products, and liquified 

17 natural gas.’’. 

18 (b) EFFECTIVE DATE.—The amendment made by 

19 this section shall apply to aliens seeking admission to the 

20 United States on or after the date of the enactment of 

21 this Act. 


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1 SEC. 5. IMPOSITION OF SANCTIONS AND PROHIBITION ON 

2 FACILITATION OF DEVELOPMENT OF CUBA’S 

3 PETROLEUM RESOURCES. 

4 (a) IN GENERAL.—If the President determines that 

5 a person has, on or after January 10, 2005, made an in6 vestment that equals or exceeds $1,000,000 (or any com7 bination of investments that in the aggregate equals or 

8 exceeds $1,000,000 in any 12-month period) that contrib9 utes to the enhancement of the ability of the Government 

10 of Cuba, or any agent or instrumentality thereof, to de11 velop petroleum resources of the submerged lands located 

12 off Cuba’s coast, or has made an investment of any 

13 amount of money that contributes to such an enhancement 

14 and has trafficked in confiscated United States property, 

15 the President shall impose two or more of the following 

16 sanctions: 

17 (1) PROHIBITION ON LOANS AND GUARAN18 TEES.—Prohibit the issuance by the Overseas Pri19 vate Investment Corporation, the Export-Import 

20 Bank, or any other United States instrument of any 

21 loan, guarantee, insurance, extension of credit, or 

22 participation in the extension of credit in connection 

23 with the export of any goods or services to any sanc24 tioned person. 

25 (2) EXPORT SANCTION.—Prohibit the issuance 

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1 cense and or other specific permission or authority 

2 to export any goods or technology to a sanctioned 

3 person under— 

4 (A) the Export Administration Act of 

5 1979; 

6 (B) the Arms Export Control Act; 

7 (C) the Atomic Energy Act of 1954; or 

8 (D) any other statute that requires the 

9 prior review and approval of the United States 

10 Government as a condition for the export or re11 export of goods or services. 

12 (3) PROHIBITIONS ON FINANCIAL INSTITU13 TIONS.—The following prohibitions may be imposed 

14 against a sanctioned person that is a financial insti15 tution: 

16 (A) PROHIBITION ON DESIGNATION AS

17 PRIMARY DEALER.—Prohibit the Board of Gov18 ernors of the Federal Reserve System and the 

19 Federal Reserve Bank of New York from desig20 nating, or permitting the continuation of any 

21 prior designation of, such financial institution 

22 as a primary dealer in United States Govern23 ment debt instruments. 

24 (B) PROHIBITION ON SERVICE AS A RE25 POSITORY OF GOVERNMENT FUNDS.—Prohibit 


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1 such financial institution from serving as agent 

2 of the United States Government or serving as 

3 repository for United States Government funds. 

4 The imposition of either sanction under subpara5 graph (A) or (B) shall be treated as one sanction for 

6 purposes of this section, and the imposition of both 

7 such sanctions shall be treated as two sanctions for 

8 purposes of this section. 

9 (4) PROCUREMENT SANCTION.—Prohibit the 

10 United States Government from procuring, or enter11 ing into any contract for the procurement of, any 

12 goods or services from a sanctioned person. 

13 (b) TERMINATION OF SANCTIONS.—Sanctions im14 posed pursuant to subsection (a) shall terminate if the 

15 President determines and certifies to the appropriate con16 gressional committees that the requirements of sections 

17 204, 205, and 206 of the Cuban Liberty and Democratic 

18 Solidarity (LIBERTAD) Act of 1996 (22 U.S.C. 6064, 

19 6065, and 6066) have been satisfied. 

20 (c) PROHIBITION ON FACILITATION BY UNITED

21 STATES PERSONS OF CUBA’S ABILITY TO DEVELOP PE22 TROLEUM RESOURCES.—It shall be unlawful for any 

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1 ment of Cuba’s ability to develop petroleum resources of 

2 the submerged lands located off Cuba’s coast. 

3 (d) REPORTS BY SECRETARY OF STATE.—Not later 

4 than 180 days after the date of the enactment of this Act 

5 and every 180 days thereafter, the Secretary of State shall 

6 submit to the Committee on Foreign Affairs and the Com7 mittee on Appropriations of the House of Representatives 

8 and the Committee on Foreign Relations and the Com9 mittee on Appropriations of the Senate a report relating 

10 to— 

11 (1) investments that equal or exceed 

12 $1,000,000 (or any combination of investments that 

13 in the aggregate equals or exceeds $1,000,000 in 

14 any 12-month period) that contribute to the en15 hancement of the ability of the Government of Cuba, 

16 or any agent or instrumentality thereof, to develop 

17 petroleum resources of the submerged lands located 

18 off Cuba’s coast, including information relating to 

19 the values of such investments, the identity of the 

20 persons making such investments, and proposed in21 vestments that would satisfy such criteria, and infor22 mation relating to any sanctions that have been im23 posed pursuant to subsection (a) as a result of such 

24 investments; and 


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1 (2) investments of any amount of money, in 

2 conjunction with trafficking in confiscated United 

3 States property, that contribute to such an enhance4 ment, including information relating to the values of 

5 such investments, the identity of the persons making 

6 such investments, and the identity of such con7 fiscated property, and information relating to any 

8 sanctions that have been imposed pursuant to sub9 section (a) as a result of such investments. 

10 (e) ASSESSMENTS OF ENVIRONMENTAL IMPACTS OF

11 DEVELOPMENT OF CUBA’S PETROLEUM RESOURCES.— 

12 (1) IN GENERAL.—Not later than one year 

13 after the date of the enactment of this Act and an14 nually thereafter, the Secretary of State, in consulta15 tion with the Secretary of the Interior and the Ad16 ministrator of the Environmental Protection Agency, 

17 shall submit to the Committee on Foreign Affairs 

18 and the Committee on Natural Resources of the 

19 House of Representatives and the Committee on 

20 Foreign Relations and the Committee on Energy 

21 and Natural Resources of the Senate a report con22 taining an assessment of the impact that the devel23 opment of Cuba’s petroleum resources has had on 

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1 merged lands located off Cuba’s coast and Florida’s 

2 marine environment. 

3 (2) USE OF ENVIRONMENTAL IMPACT STATE4 MENTS.—In preparing the assessment, the Secretary 

5 of State shall use as a model environmental impact 

6 statements prepared pursuant to the National Envi7 ronmental Policy Act of 1969 (42 U.S.C. 4321 et 

8 seq.). 

9 SEC. 6. DEFINITIONS. 

10 In this Act— 

11 (1) the terms ‘‘appropriate congressional com12 mittees’’, ‘‘confiscated’’, ‘‘person’’, ‘‘property’’, and 

13 ‘‘traffics’’ have the meaning given such terms in sec14 tion 4 of the Cuban Liberty and Democratic Soli15 darity (LIBERTAD) Act of 1996 (22 U.S.C. 6023), 

16 except that the term ‘‘person’’ shall also include, for 

17 purposes of this section, a foreign subsidiary of a 

18 person and United States subsidiary of a foreign 

19 person; 

20 (2) the terms ‘‘develop’’, ‘‘investment’’, and 

21 ‘‘petroleum resources’’ have the meaning given such 

22 terms in section 402(c) of such Act, as added by sec23 tion 4 of this Act; and 


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1 (3) the terms ‘‘agent’’ and ‘‘instrumentality’’ 

2 shall include the Cuban Communist Party. 

Æ 


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