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[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1244 Introduced in House (IH)]

106th CONGRESS
  1st Session
                                H. R. 1244

    To provide a framework for consideration by the legislative and 
          executive branches of unilateral economic sanctions.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             March 24, 1999

  Mr. Crane (for himself, Mr. Dooley of California, Mr. Manzullo, Mr. 
Archer, Mr. Bereuter, Mr. Royce, Mr. Salmon, Mr. Clement, Mr. Houghton, 
Mr. Campbell, Mr. Brady of Texas, Mr. Rangel, Mr. Shaw, Mrs. Johnson of 
  Connecticut, Mr. Herger, Mr. McCrery, Ms. Dunn, Mr. Jefferson, Mr. 
   Portman, Mr. English, Mr. Watkins, Mr. Stenholm, Mr. Boucher, Mr. 
Dreier, Mr. Price of North Carolina, Mr. Bliley, Mr. Moran of Virginia, 
Mr. Oxley, Mr. Minge, Mr. Kolbe, Mr. Pomeroy, Mr. Callahan, Mr. Luther, 
Mr. Ewing, Mr. Blumenauer, Mr. Boehner, Ms. Lofgren, Mr. McIntosh, Mr. 
Davis of Florida, Mr. Hastings of Washington, Mr. John, Mr. Nethercutt, 
 Mr. Snyder, Mr. Sessions, Mr. Smith of Washington, Mr. Shimkus, Mrs. 
Tauscher, Mr. Reynolds, Mr. Shows, Mr. Kuykendall, Mrs. Napolitano, Mr. 
Baird, Mr. Skelton, Mrs. Biggert, Mr. Ramstad, and Mr. Moran of Kansas) 
 introduced the following bill; which was referred to the Committee on 
International Relations, and in addition to the Committees on Ways and 
     Means, and Banking and Financial Services, 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 provide a framework for consideration by the legislative and 
          executive branches of unilateral economic sanctions.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Enhancement of Trade, Security, and 
Human Rights through Sanctions Reform Act''.

SEC. 2. PURPOSE.

    It is the purpose of this Act to establish an effective framework 
for consideration by the legislative and executive branches of 
unilateral economic sanctions in order to ensure coordination of United 
States policy with respect to trade, security, and human rights.

SEC. 3. STATEMENT OF POLICY.

    It is the policy of the United States--
            (1) to pursue United States interests through vigorous and 
        effective diplomatic, political, commercial, charitable, 
        educational, cultural, and strategic engagement with other 
        countries, while recognizing that the national security 
        interests of the United States may sometimes require the 
        imposition of economic sanctions on other countries;
            (2) to foster multilateral cooperation on vital matters of 
        United States foreign policy, including promoting human rights 
        and democracy, combating international terrorism, proliferation 
        of weapons of mass destruction, and international narcotics 
        trafficking, and ensuring adequate environmental protection;
            (3) to promote United States economic growth and job 
        creation by expanding exports of goods, services, and 
        agricultural commodities, and by encouraging investment that 
        supports the sale abroad of products and services of the United 
        States;
            (4) to maintain the reputation of United States businesses 
        and farmers as reliable suppliers to international customers of 
        quality products and services, including United States 
        manufactures, technology products, financial services, and 
        agricultural commodities;
            (5) to avoid the use of restrictions on exports of 
        agricultural commodities as a foreign policy weapon;
            (6) to oppose policies of other countries designed to 
        discourage economic interaction with countries friendly to the 
        United States or with any United States national, and to avoid 
        use of such measures as instruments of United States foreign 
        policy; and
            (7) when economic sanctions are necessary--
                    (A) to target them as narrowly as possible on those 
                foreign governments, entities, and officials that are 
                responsible for the conduct being targeted, thereby 
                minimizing unnecessary or disproportionate harm to 
                individuals who are not responsible for such conduct; 
                and
                    (B) to the extent feasible, to avoid any adverse 
                impact of economic sanctions on the humanitarian 
                activities of United States and foreign nongovernmental 
                organizations in a country against which sanctions are 
                imposed.

SEC. 4. DEFINITIONS.

    As used in this Act:
            (1) Unilateral economic sanction.--
                    (A) In general.--The term ``unilateral economic 
                sanction'' means any prohibition, restriction, or 
                condition on economic activity, including economic 
                assistance, with respect to a foreign country or 
                foreign entity that is imposed by the United States for 
                reasons of foreign policy or national security, 
                including any of the measures described in subparagraph 
                (B), except in a case in which the United States 
                imposes the measure pursuant to a multilateral regime 
                and the other members of that regime have agreed to 
                impose substantially equivalent measures.
                    (B) Particular measures.--The measures referred to 
                in subparagraph (A) are the following:
                            (i) The suspension, restriction, or 
                        prohibition of exports or imports of any 
                        product, technology, or service to or from a 
                        foreign country or entity.
                            (ii) The suspension of, or any restriction 
                        or prohibition on, financial transactions with 
                        a foreign country or entity.
                            (iii) The suspension of, or any restriction 
                        or prohibition on, direct or indirect 
                        investment in or from a foreign country or 
                        entity.
                            (iv) The imposition of increased tariffs 
                        on, or other restrictions on imports of, 
                        products of a foreign country or entity, 
                        including the denial, revocation, or 
                        conditioning of nondiscriminatory trade 
                        treatment (normal trade relations).
                            (v) The suspension of, or any restriction 
                        or prohibition on--
                                    (I) the authority of the Export-
                                Import Bank of the United States to 
                                give approval to the issuance of any 
                                guarantee, insurance, or extension of 
                                credit in connection with the export of 
                                goods or services to a foreign country 
                                or entity;
                                    (II) the authority of the Trade and 
                                Development Agency to provide 
                                assistance in connection with projects 
                                in a foreign country or in which a 
                                particular foreign entity participates; 
                                or
                                    (III) the authority of the Overseas 
                                Private Investment Corporation to 
                                provide insurance, reinsurance, 
                                financing, or conduct other activities 
                                in connection with projects in a 
                                foreign country or in which a 
                                particular foreign entity participates.
                            (vi) A requirement that the United States 
                        representative to an international financial 
                        institution vote against any loan or other 
                        utilization of funds to, for, or in a foreign 
                        country or particular foreign entity.
                            (vii) A measure imposing any restriction or 
                        condition on economic activity on any foreign 
                        government or entity on the grounds that such 
                        government or entity does business in or with a 
                        foreign country.
                            (viii) A measure imposing any restriction 
                        or condition on economic activity on any person 
                        that is a national of a foreign country, or on 
                        any government or other entity of a foreign 
                        country, on the grounds that the government of 
                        that country has not taken measures in 
                        cooperation with, or similar to, sanctions 
                        imposed by the United States on a third 
                        country.
                            (ix) The suspension of, or any restriction 
                        or prohibition on, travel rights or air 
                        transportation to or from a foreign country.
                            (x) Any restriction on the filing or 
                        maintenance in a foreign country of any 
                        proprietary interest in intellectual property 
                        rights (including patents, copyrights, and 
                        trademarks), including payment of patent 
                        maintenance fees.
                    (C) Multilateral regime.--As used in this 
                paragraph, the term ``multilateral regime'' means an 
                agreement, arrangement, or obligation under which the 
                United States cooperates with other countries in 
                restricting commerce for reasons of foreign policy or 
                national security, including--
                            (i) obligations under resolutions of the 
                        United Nations;
                            (ii) nonproliferation and export control 
                        arrangements, such as the Australia Group, the 
                        Nuclear Supplier's Group, the Missile 
                        Technology Control Regime, and the Wassenaar 
                        Arrangement;
                            (iii) treaty obligations, such as under the 
                        Chemical Weapons Convention, the Treaty on the 
                        Non-Proliferation of Nuclear Weapons, and the 
                        Biological Weapons Convention; and
                            (iv) agreements concerning protection of 
                        the environment, such as the International 
                        Convention for the Conservation of Atlantic 
                        Tunas, the Declaration of Panama referred to in 
                        section 2(a)(1) of the International Dolphin 
                        Conservation Act (16 U.S.C. 1361 note), the 
                        Convention on International Trade in Endangered 
                        Species, the Montreal Protocol on Substances 
                        that Deplete the Ozone Layer, and the Basel 
                        Convention on the Control of Transboundary 
                        Movements of Hazardous Wastes.
                    (D) Economic assistance.--The term ``economic 
                assistance'' means--
                            (i) any assistance under part I or chapter 
                        4 of part II of the Foreign Assistance Act of 
                        1961 (including programs under title IV of 
                        chapter 2, relating to the Overseas Private 
                        Investment Corporation); and
                            (ii) the provision of agricultural 
                        commodities, other than food, under the 
                        Agricultural Trade Development and Assistance 
                        Act of 1954.
                    (E) Financial transaction.--As used in this 
                paragraph, the term ``financial transaction'' has the 
                meaning given that term in section 1956(c)(4) of title 
                18, United States Code.
                    (F) Investment.--As used in this paragraph, the 
                term ``investment'' means any contribution or 
                commitment of funds, commodities, services, patents, or 
                other forms of intellectual property, processes, or 
                techniques, including--
                            (i) a loan or loans;
                            (ii) the purchase of a share of ownership;
                            (iii) participation in royalties, earnings, 
                        or profits; and
                            (iv) the furnishing or commodities or 
                        services pursuant to a lease or other contract.
                    (G) Exclusions.--The term ``unilateral economic 
                sanction'' does not include--
                            (i) any measure imposed to remedy unfair 
                        trade practices or to enforce United States 
                        rights under a trade agreement, including under 
                        section 337 of the Tariff Act of 1930, title 
                        VII of that Act, title III of the Trade Act of 
                        1974, sections 1374 and 1377 of the Omnibus 
                        Trade and Competitiveness Act of 1988 (19 
                        U.S.C. 3103 and 3106), and section 3 of the Act 
                        of March 3, 1933 (41 U.S.C. 10b-1);
                            (ii) any measure imposed to remedy market 
                        disruption or to respond to injury to a 
                        domestic industry for which increased imports 
                        are a substantial cause or threat thereof, 
                        including remedies under sections 201 and 406 
                        of the Trade Act of 1974, and textile import 
                        restrictions (including those imposed under 
                        section 204 of the Agricultural Act of 1956 (7 
                        U.S.C. 1784));
                            (iii) any action taken under title IV of 
                        the Trade Act of 1974, including the enactment 
                        of a joint resolution under section 402(d)(2) 
                        of that Act;
                            (iv) any measure imposed to restrict 
                        imports of agricultural commodities to protect 
                        food safety or to ensure the orderly marketing 
                        of commodities in the United States, including 
                        actions taken under section 22 of the 
                        Agricultural Adjustment Act (7 U.S.C. 624);
                            (v) any measure imposed to restrict imports 
                        of any other products in order to protect 
                        domestic health or safety;
                            (vi) any measure authorized by, or imposed 
                        under, a multilateral or bilateral trade 
                        agreement to which the United States is a 
                        signatory, including the Uruguay Round 
                        Agreements, the North American Free Trade 
                        Agreement, the United States-Israel Free Trade 
                        Agreement, and the United States-Canada Free 
                        Trade Agreement; and
                            (vii) any prohibition or restriction on the 
                        sale, export, lease, or other transfer of any 
                        defense article, defense service, or design and 
                        construction service under the Arms Export 
                        Control Act, or on any financing provided under 
                        that Act.
            (2) National emergency.--The term ``national emergency'' 
        means any unusual or extraordinary threat, which has its source 
        in whole or substantial part outside the United States, to the 
        national security, foreign policy, or economy of the United 
        States.
            (3) Agricultural commodity.--The term ``agricultural 
        commodity'' has the meaning given that term in section 102(1) 
        of the Agricultural Trade Act of 1978 (7 U.S.C. 5602(1)).
            (4) Appropriate committees.--The term ``appropriate 
        committees'' means the Committee on Agriculture, the Committee 
        on International Relations, the Committee on Ways and Means, 
        and the Committee on Banking and Financial Services of the 
        House of Representatives, and the Committee on Agriculture, 
        Nutrition, and Forestry, the Committee on Finance, the 
        Committee on Banking, Housing, and Urban Affairs, and the 
        Committee on Foreign Relations of the Senate.
            (5) Contract sanctity.--The term ``contract sanctity'', 
        with respect to a unilateral economic sanction, refers to the 
        inapplicability of the sanction to--
                    (A) a contract or agreement entered into before the 
                sanction is imposed, or to a valid export license or 
                other authorization to export; and
                    (B) actions taken to enforce the right to maintain 
                intellectual property rights, in the foreign country 
                against which the sanction is imposed, which existed 
                before the imposition of the sanction.

SEC. 5. GUIDELINES FOR UNILATERAL ECONOMIC SANCTIONS LEGISLATION.

    It is the sense of Congress that any bill or joint resolution that 
imposes any unilateral economic sanction, or authorizes the imposition 
of any unilateral economic sanction by the executive branch, and is 
considered by the House of Representatives or the Senate, should--
            (1) state the foreign policy or national security objective 
        or objectives of the United States that the economic sanction 
        is intended to achieve;
            (2) provide that the economic sanction terminate 2 years 
        after it is imposed, unless specifically reauthorized by the 
        Congress;
            (3) provide for contract sanctity;
            (4) provide authority for the President both to adjust the 
        timing and scope of the sanction and to waive the sanction, if 
        the President determines it is in the national interest to do 
        so;
            (5)(A) target the sanction as narrowly as possible on 
        foreign governments, entities, and officials that are 
        responsible for the conduct being targeted;
            (B) not include restrictions on--
                    (i) the provision of medicine, medical equipment, 
                or food;
                    (ii) assistance under chapter 8 of part I of the 
                Foreign Assistance Act of 1961; or
                    (iii) disaster relief assistance, or assistance for 
                refugees, under part I or chapter 4 of part II of the 
                Foreign Assistance Act of 1961; and
            (C) seek to minimize any adverse impact on the humanitarian 
        activities of United States and foreign nongovernmental 
        organizations in any country against which the sanction may be 
        imposed; and
            (6) provide, to the extent that the Secretary of 
        Agriculture or the Congressional Budget Office finds that--
                    (A) the proposed sanction is likely to restrict 
                exports of any agricultural commodity or is likely to 
                result in retaliation against exports of any 
                agricultural commodity from the United States, and
                    (B) the sanction is proposed to be imposed, or is 
                likely to be imposed, on a country or countries that 
                constituted, in the preceding calendar year, the market 
                for more than 3 percent of all export sales from the 
                United States of an agricultural commodity,
        that the Secretary of Agriculture expand agricultural export 
        assistance under United States market development, food 
        assistance, or export promotion programs to offset the likely 
        damage to incomes of producers of the affected agricultural 
        commodity or commodities, to the maximum extent permitted by 
        law and by the obligations of the United States under the 
        Agreement on Agriculture referred to in section 101(d)(2) of 
        the Uruguay Round Agreements Act (19 U.S.C. 3511(d)(2)).

SEC. 6. REQUIREMENTS FOR BILL OR JOINT RESOLUTION.

    (a) Public Comment.--Not later than 15 days prior to the 
consideration by the committee of primary jurisdiction of a bill or 
joint resolution that imposes any unilateral economic sanction, or 
authorizes the imposition of any unilateral economic sanction by the 
executive branch, the chairman of that committee shall publish a notice 
which provides an opportunity for interested members of the public to 
submit comments to the committee on the proposed sanction.
    (b) Committee Reports.--In the case of any bill or joint resolution 
described in subsection (a) that is reported by a committee of the 
House of Representatives or the Senate, the committee report 
accompanying the bill or joint resolution shall contain a statement of 
whether the legislation meets all the guidelines specified in 
paragraphs (1) through (6) of section 5 and, if the bill or joint 
resolution does not, an explanation of why it does not. The report 
shall also include a specific statement of whether the bill or joint 
resolution includes any restrictions described in clauses (i), (ii), or 
(iii) of section 5(5)(B).
    (c) Reports by the President and Secretary of Agriculture.--
            (1) Report required.--Not later than 30 days after a 
        committee of the House of Representatives or the Senate reports 
        any bill or joint resolution described in subsection (a) or the 
        House of Representatives or the Senate receives such bill or 
        joint resolution from the other House of Congress, the 
        President and the Secretary of Agriculture shall submit to the 
        House filing the report or receiving the bill or joint 
        resolution the reports described in paragraphs (2) and (3).
            (2) Content of report by the president.--The President's 
        report to the Congress under paragraph (1) shall contain--
                    (A) an assessment of--
                            (i) the likelihood that the proposed 
                        unilateral economic sanction will achieve its 
                        stated objective within a reasonable period of 
                        time; and
                            (ii) the impact of the proposed unilateral 
                        economic sanction on--
                                    (I) humanitarian conditions, 
                                including the impact on conditions in 
                                any specific countries on which the 
                                sanction is proposed to be or may be 
                                imposed;
                                    (II) humanitarian activities of 
                                United States and foreign 
                                nongovernmental organizations;
                                    (III) relations with United States 
                                allies;
                                    (IV) other United States national 
                                security and foreign policy interests; 
                                and
                                    (V) countries and entities other 
                                than those on which the sanction is 
                                proposed to be or may be imposed;
                    (B) a description and assessment of--
                            (i) diplomatic and other steps the United 
                        States has taken to accomplish the intended 
                        objectives of the unilateral sanction 
                        legislation;
                            (ii) the likelihood of multilateral 
                        adoption of comparable measures;
                            (iii) comparable measures undertaken by 
                        other countries;
                            (iv) alternative measures to promote the 
                        same objectives, and an assessment of their 
                        potential effectiveness;
                            (v) any obligations of the United States 
                        under international treaties or trade 
                        agreements with which the proposed sanction may 
                        conflict;
                            (vi) the likelihood that the proposed 
                        sanction will lead to retaliation against 
                        United States interests, including agricultural 
                        interests; and
                            (vii) whether the achievement of the 
                        objectives of the proposed sanction outweighs 
                        any likely costs to United States foreign 
                        policy, national security, economic, and 
                        humanitarian interests, including any potential 
                        harm to United States business, agriculture, 
                        and consumers, and any potential harm to the 
                        international reputation of the United States 
                        as a reliable supplier of products, technology, 
                        agricultural commodities, and services.
            (3) Content of report by the secretary of agriculture.--The 
        Secretary of Agriculture's report to Congress under paragraph 
        (1) shall contain an assessment of--
                    (A) the extent to which any country or countries 
                proposed to be sanctioned or likely to be sanctioned 
                are markets that accounted for, in the preceding 
                calendar year, more than 3 percent of all export sales 
                from the United States of any agricultural commodity;
                    (B) the likelihood that exports of agricultural 
                commodities from the United States will be affected by 
                the proposed sanction or by retaliation by any country 
                proposed to be sanctioned or likely to be sanctioned, 
                and specific commodities which are most likely to be 
                affected;
                    (C) the likely effect on incomes of producers of 
                the specific commodities identified by the Secretary;
                    (D) the extent to which the proposed sanction would 
                permit foreign suppliers to replace United States 
                suppliers; and
                    (E) the likely effect of the proposed sanction on 
                the reputation of United States farmers as reliable 
                suppliers of agricultural commodities in general, and 
                of the specific commodities identified by the 
                Secretary.
    (d) Federal Private Sector Mandate.--
            (1) In general.--Any bill or joint resolution described in 
        section 5 shall be considered to include a Federal private 
        sector mandate for purposes of part B of title IV of the 
        Congressional Budget Act of 1974.
            (2) Report by the congressional budget office.--The report 
        by the Congressional Budget Office pursuant to paragraph (1) 
        shall include an assessment of the likely short-term and long-
        term costs of the proposed sanction to the United States 
        economy, including the potential impact on United States trade 
        performance, employment, and growth, the international 
        reputation of the United States as a reliable supplier of 
        products, agricultural commodities, technology, and services, 
        and the economic well-being and international competitive 
        position of United States industries, firms, workers, farmers, 
        and communities.

SEC. 7. REQUIREMENTS FOR EXECUTIVE ACTION.

    (a) In General.--
            (1) Advance notice.--
                    (A) Notice of intent to impose sanction.--
                Notwithstanding any other provision of law, the 
                President shall publish notice in the Federal Register 
                at least 45 days in advance of the imposition of any 
                new unilateral economic sanction with respect to a 
                foreign country or foreign entity of the President's 
                intention to implement such sanction. The purpose of 
                such notice shall be to allow the formulation of an 
                effective sanction that advances United States national 
                security and economic interests, and to provide an 
                opportunity for negotiations to achieve the objectives 
                specified in the law authorizing imposition of the 
                unilateral economic sanction.
                    (B) Waiver of advance announcement requirement.--
                The President may waive the provisions of subparagraph 
                (A) in the case of any new unilateral economic sanction 
                that involves freezing the assets of a foreign country 
                or entity if the President determines that the national 
                interest would be jeopardized by the requirements of 
                this section.
            (2) New unilateral economic sanction.--For purposes of this 
        section, the term ``new unilateral economic sanction'' means a 
        unilateral economic sanction imposed pursuant to a law enacted 
        after the date of the enactment of this Act or a sanction 
        imposed after such date of enactment pursuant to the 
        International Emergency Economic Powers Act (50 U.S.C. 1701 et 
        seq.).
    (b) Consultation.--
            (1) Appropriate committees.--The President shall consult 
        with the appropriate committees regarding any proposed new 
        unilateral economic sanction, including consultations regarding 
        efforts to achieve or increase multilateral cooperation on the 
        issues or problems prompting the proposed sanction.
            (2) Classified consultations.--Such consultations may be 
        conducted on a classified basis if disclosure would threaten 
        the national security of the United States.
    (c) Public Hearings; Record.--The President shall publish a notice 
in the Federal Register of the opportunity for interested persons to 
submit comments on any proposed new unilateral economic sanction.
    (d) Requirements for Executive Branch Sanctions.--Any new 
unilateral economic sanction imposed by the President--
            (1) shall--
                    (A) include an assessment of whether the sanction 
                is likely to achieve a specific United States foreign 
                policy or national security objective within a 
                reasonable period of time, which shall be specified, 
                and whether the achievement of the objectives of the 
                sanction outweighs any costs to United States national 
                interests;
                    (B) provide for contract sanctity, except in the 
                case of a contract--
                            (i) the execution of which would be 
                        contrary to law in the absence of the proposed 
                        sanction, such as a contract to deal illicitly 
                        in controlled substances;
                            (ii) that deals in assets that would be 
                        frozen as a consequence of the proposed 
                        sanction; or
                            (iii) that provides for the supply of 
                        articles or services directly to a specific 
                        person, corporation, government, or unit 
                        thereof, or military entity, that is expressly 
                        named as a target in the proposed sanction;
                    (C) terminate not later than 2 years after the 
                sanction is imposed, unless specifically extended by 
                the President in accordance with the procedures of this 
                section;
                    (D)(i) be targeted as narrowly as possible on 
                foreign governments, entities, and officials that are 
                responsible for the conduct being targeted; and
                    (ii) seek to minimize any adverse impact on the 
                humanitarian activities of United States and foreign 
                nongovernmental organizations in a country against 
                which the sanction may be imposed; and
                    (E) not include any restrictions on the export 
                (including commercial or Federal financing or support) 
                of food, other agricultural commodities (including 
                fertilizer), medicine, medical supplies, or medical 
                equipment, other than restrictions imposed in response 
                to national security threats or restrictions involving 
                a country with which the United States is engaged in 
                armed conflict; and
            (2) should provide, to the extent that the Secretary of 
        Agriculture finds that--
                    (A) a unilateral economic sanction is likely to 
                restrict exports of any agricultural commodity from the 
                United States or is likely to risk retaliation against 
                exports of any agricultural commodity from the United 
                States, and
                    (B) the sanction is proposed to be imposed, or is 
                likely to be imposed, on a country or countries that 
                constituted, in the preceding calendar year, the market 
                for more than 3 percent of all export sales from the 
                United States of an agricultural commodity,
        that the Secretary of Agriculture expand agricultural export 
        assistance under United States market development, food 
        assistance, or export promotion programs to offset the likely 
        damage to incomes of producers of the affected agricultural 
        commodity or commodities, to the maximum extent permitted by 
        law and by the obligations of the United States under the 
        Agreement on Agriculture referred to in section 101(d)(2) of 
        the Uruguay Round Agreements Act (19 U.S.C. 3511(d)(2)).
    (e) Report by the President.--
            (1) In general.--Prior to imposing any new unilateral 
        economic sanction, the President shall provide a report to the 
        appropriate committees on the proposed sanction. The report 
        shall include the report of the International Trade Commission 
        under subsection (g) (if timely submitted prior to the filing 
        of the report). The report may be provided on a classified 
        basis if disclosure would threaten the national security of the 
        United States. The President's report shall contain the 
        following:
                    (A) An explanation of the foreign policy or 
                national security objective or objectives intended to 
                be achieved through the proposed sanction.
                    (B) An assessment of--
                            (i) the likelihood that the proposed new 
                        unilateral economic sanction will achieve its 
                        stated objectives within the stated period of 
                        time; and
                            (ii) the impact of the proposed new 
                        unilateral economic sanction on--
                                    (I) humanitarian conditions, 
                                including the impact on conditions in 
                                any specific countries on which the 
                                sanction is proposed to be imposed;
                                    (II) humanitarian activities of 
                                United States and foreign 
                                nongovernmental organizations;
                                    (III) relations with United States 
                                allies;
                                    (IV) other United States national 
                                security and foreign policy interests; 
                                and
                                    (V) countries and entities other 
                                than those on which the sanction is 
                                proposed to be imposed.
                    (C) A description and assessment of--
                            (i) diplomatic and other steps the United 
                        States has taken to accomplish the intended 
                        objectives of the proposed sanction;
                            (ii) the likelihood of multilateral 
                        adoption of comparable measures;
                            (iii) comparable measures undertaken by 
                        other countries;
                            (iv) alternative measures to promote the 
                        same objectives, and an assessment of their 
                        potential effectiveness;
                            (v) any obligations of the United States 
                        under international treaties or trade 
                        agreements with which the proposed sanction may 
                        conflict;
                            (vi) the likelihood that the proposed 
                        sanction will lead to retaliation against 
                        United States interests, including agricultural 
                        interests; and
                            (vii) whether the achievement of the 
                        objectives of the proposed sanction outweighs 
                        any likely costs to United States foreign 
                        policy, national security, economic, and 
                        humanitarian interests, including any potential 
                        harm to United States business, agriculture, 
                        and consumers, and any potential harm to the 
                        international reputation of the United States 
                        as a reliable supplier of products, technology, 
                        agricultural commodities, and services.
            (2) Report on other sanctions.--In the case of any 
        unilateral economic sanction that is imposed after the date of 
        the enactment of this Act, other than a new unilateral economic 
        sanction described in subsection (a)(1) or a sanction that is a 
        continuation of a sanction in effect on the date of the 
        enactment of this Act, the President shall, not later than 30 
        days after imposing such sanction, submit to the appropriate 
        committees a report described in paragraph (1) relating to such 
        sanction. Such report may be provided on a classified basis if 
        disclosure would threaten the national security of the United 
        States.
    (f) Report by the Secretary of Agriculture.--Prior to the 
imposition of a new unilateral economic sanction by the President, the 
Secretary of Agriculture shall submit to the appropriate committees a 
report which shall contain an assessment of--
            (1) the extent to which any country or countries proposed 
        to be sanctioned are markets that accounted for, in the 
        preceding calendar year, more than 3 percent of all export 
        sales from the United States of any agricultural commodity;
            (2) the likelihood that exports of agricultural commodities 
        from the United States will be affected by the proposed 
        sanction or by retaliation by any country proposed to be 
        sanctioned, including specific commodities which are most 
        likely to be affected;
            (3) the likely effect on incomes of producers of the 
        specific commodities identified by the Secretary;
            (4) the extent to which the proposed sanction would permit 
        foreign suppliers to replace United States suppliers; and
            (5) the likely effect of the proposed sanction on the 
        reputation of United States farmers as reliable suppliers of 
        agricultural commodities in general, and of the specific 
        commodities identified by the Secretary.
    (g) Report by the United States International Trade Commission.--
Before imposing a unilateral economic sanction, the President shall 
make a timely request to the United States International Trade 
Commission for a report on the likely short-term and long-term costs of 
the proposed sanction to the United States economy, including the 
potential impact on United States trade performance, employment, and 
growth, the international reputation of the United States as a reliable 
supplier of products, agricultural commodities, technology, and 
services, and the economic well-being and international competitive 
position of United States industries, firms, workers, farmers, and 
communities.
    (h) Waiver in Case of National Emergency.--The President may waive 
any of the requirements of subsections (a), (b), (c), (d)(1)(B), 
(e)(1), (f), and (g), in the event that the President determines that 
there exists a national emergency that requires the exercise of the 
waiver. In the event of such a waiver, the requirements waived shall be 
met during the 60-day period immediately following the imposition of 
the unilateral economic sanction, and the sanction shall terminate 90 
days after being imposed unless such requirements are met. The 
President may also waive any of the requirements of paragraphs (1)(D), 
(1)(E), and (2) of subsection (d) with respect to a new unilateral 
economic sanction in the event that the President determines that the 
new unilateral economic sanction is related to actual or imminent armed 
conflict involving the United States.
    (i) Sanctions Review Committee.--
            (1) Establishment.--There is established within the 
        executive branch of the Government an interagency committee, 
        which shall be known as the ``Sanctions Review Committee'', 
        which shall have the responsibility of coordinating United 
        States policy regarding unilateral economic sanctions and of 
        providing appropriate recommendations to the President prior to 
        any decision regarding the implementation of any unilateral 
        economic sanction. The Committee shall be composed of the 
        following 11 members, and any other member the President deems 
        appropriate:
                    (A) The Secretary of State.
                    (B) The Secretary of the Treasury.
                    (C) The Secretary of Defense.
                    (D) The Secretary of Agriculture.
                    (E) The Secretary of Commerce.
                    (F) The Secretary of Energy.
                    (G) The United States Trade Representative.
                    (H) The Director of the Office of Management and 
                Budget.
                    (I) The Chairman of the Council of Economic 
                Advisers.
                    (J) The Assistant to the President for National 
                Security Affairs.
                    (K) The Assistant to the President for Economic 
                Policy.
            (2) Chair.--The President shall designate one of the 
        members specified in paragraph (1) to serve as chair of the 
        Sanctions Review Committee.
    (j) Inapplicability of Other Provisions.--This section applies 
notwithstanding any other provision of law.

SEC. 8. PRESIDENTIAL WAIVER AUTHORITY FOR CERTAIN SANCTIONS.

    (a) Authority.--Notwithstanding any other provision of this or any 
other Act, the President may waive the application of any sanction or 
prohibition (or portion thereof) contained in section 101 or 102 of the 
Arms Export Control Act, section 620E(e) of the Foreign Assistance Act 
of 1961, or section 2(b)(4) of the Export-Import Bank Act of 1945 for 
periods of 6 months each if he determines that such a waiver would 
advance the purposes of such Acts or the national security interests of 
the United States.
    (b) Consultation.--Prior to exercising the waiver authority under 
subsection (a), the President shall consult with the appropriate 
committees. Such consultations may be conducted on a classified basis 
if disclosure would threaten the national security of the United 
States.
    (c) Reports.--At least once in every 6-month period after 
exercising the waiver authority under subsection (a), the President 
shall report to the appropriate committees with respect to the actions 
taken, during that 6-month period, concerning the acts of the foreign 
country or person concerned prompting the sanctions for which the 
waiver was granted, and the reasons that continuation of such waiver 
remains in the national security interest of the United States.

SEC. 9. ANNUAL REPORTS.

    (a) Annual Report.--Not later than 6 months after the date of the 
enactment of this Act, and annually thereafter, unless otherwise 
required by law, the President shall submit to the appropriate 
committees a report detailing with respect to each country or entity 
against which a unilateral economic sanction has been imposed--
            (1) the extent to which the sanction has achieved foreign 
        policy or national security objectives of the United States 
        with respect to that country or entity;
            (2) the extent to which the sanction has harmed 
        humanitarian interests in that country, the country in which 
        that entity is located, or in other countries; and
            (3) the impact of the sanction on other national security 
        and foreign policy interests of the United States, including 
        relations with countries friendly to the United States, and on 
        the United States economy.
    (b) Report by the United States International Trade Commission.--
Not later than 6 months after the date of the enactment of this Act, 
and annually thereafter, the United States International Trade 
Commission shall report to the appropriate committees on the costs, 
individually and in the aggregate, of all unilateral economic sanctions 
in effect under United States law, regulation, or Executive order. The 
calculation of such costs shall include an assessment of the impact of 
such measures on the international reputation of the United States as a 
reliable supplier of products, agricultural commodities, technology, 
and services.
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