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[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5709 Introduced in House (IH)]

113th CONGRESS
  2d Session
                                H. R. 5709

To terminate the authority to waive certain provisions of law requiring 
  the imposition of sanctions with respect to Iran, to codify certain 
     sanctions imposed by executive order, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                           November 14, 2014

Mr. Franks of Arizona 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, Ways and Means, 
 and the Judiciary, 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 terminate the authority to waive certain provisions of law requiring 
  the imposition of sanctions with respect to Iran, to codify certain 
     sanctions imposed by executive order, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Sanction Iran, Safeguard America Act 
of 2014'' or the ``SISA Act''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) A nuclear-capable Iran poses a direct and existential 
        threat to the United States, Israel, and allies around the 
        world.
            (2) Iran is a leading state sponsor of terrorism, arming 
        and funding terrorist groups around the world, including by 
        providing material support for the terrorist organization Hamas 
        in its relentless attacks on Israel.
            (3) The Government of Iran has violated United Nations 
        Security Council Resolutions 1696 (2006), 1737 (2006), 1747 
        (2007), 1803 (2008), 1835 (2008), and 1929 (2010), relating to 
        Iran's nuclear program.
            (4) The Government of Iran has received significant 
        economic benefits from the relaxation of economic sanctions 
        pursuant the Joint Plan of Action, signed November 24, 2013, by 
        Iran and by France, Germany, the Russian Federation, the 
        People's Republic of China, the United Kingdom, and the United 
        States (in this section referred to as the ``Joint Plan of 
        Action''), including increased economic growth, reduced 
        inflation, and a strengthened currency, while making no 
        substantive reductions in its nuclear program.
            (5) Any deal relating to Iran's nuclear weapons program 
        that does not completely dismantle the entire nuclear weapons 
        program would repeat the same mistakes observed with 
        negotiations with North Korea, a totalitarian country that 
        exported its nuclear technology to Syria and has shared similar 
        nuclear and ballistic missile technology with Iran.
            (6) The Agreed Framework between the United States and the 
        Democratic People's Republic of Korea, signed in Geneva on 
        October 21, 1994, which called for North Korea to freeze and 
        dismantle its nuclear weapons program in exchange for eased 
        sanctions and normalized relations with the United States, 
        should serve as a reminder of previous failed negotiations 
        resulting in billions of dollars made available for the 
        development of nuclear weapons.
            (7) Economic sanctions imposed with respect to Iran are 
        designed for the purpose of ending Iran's pursuit of a nuclear 
        weapons capability, not of initiating negotiations. Therefore, 
        any easing of sanctions in pursuit of negotiations undermines 
        the purpose of the sanctions, as is demonstrated by the case of 
        North Korea.

SEC. 3. MODIFICATION AND ELIMINATION OF WAIVER AUTHORITIES FOR CERTAIN 
              SANCTIONS WITH RESPECT TO IRAN.

    (a) Modification of Waiver of Sanctions Relating to the 
Transportation of Crude Oil From Iran.--
            (1) In general.--Section 9(c)(1)(A) of the Iran Sanctions 
        Act of 1996 (Public Law 104-172; 50 U.S.C. 1701 note) is 
        amended by inserting ``(other than the requirement in paragraph 
        (7) of such section)'' after ``section 5(a)''.
            (2) Termination of waivers.--Any waiver of the requirement 
        in section 5(a)(7) of the Iran Sanctions Act of 1996 (Public 
        Law 104-172; 50 U.S.C. 1701 note) exercised by the President 
        under section 9(c)(1)(A) of such Act shall cease to be in 
        effect on and after the date of the enactment of this Act.
    (b) Elimination of Waiver With Respect to Mandatory Sanctions With 
Respect to Financial Institutions That Engage in Certain 
Transactions.--
            (1) In general.--Section 104 of the Comprehensive Iran 
        Sanctions, Accountability, and Divestment Act of 2010 (22 
        U.S.C. 8513) is amended--
                    (A) by striking subsection (f); and
                    (B) by redesignating subsections (g) through (i) as 
                subsections (f) through (h), respectively.
            (2) Termination of waivers.--Any waiver of the imposition 
        of sanctions exercised by the President under section 104(f) of 
        the Comprehensive Iran Sanctions, Accountability, and 
        Divestment Act of 2010 (22 U.S.C. 8513(f)), as in effect on the 
        day before the date of the enactment of this Act, shall cease 
        to be in effect on and after such date of enactment.
            (3) Conforming amendments.--
                    (A) Sanctions with respect to financial sector of 
                iran.--Section 1245(h) of the National Defense 
                Authorization Act for Fiscal Year 2012 (22 U.S.C. 
                8513a(h)) is amended by striking ``section 104(i) of 
                the Comprehensive Iran Sanctions, Accountability, and 
                Divestment Act of 2010 (22 U.S.C. 8513(i))'' and 
                inserting ``section 104 of the Comprehensive Iran 
                Sanctions, Accountability, and Divestment Act of 2010 
                (22 U.S.C. 8513)''.
                    (B) Expansion of mandatory sanctions with respect 
                to certain financial institutions.--Section 104A(d)(2) 
                of the Comprehensive Iran Sanctions, Accountability, 
                and Divestment Act of 2010 (22 U.S.C. 8513b(d)(2)) is 
                amended by striking ``section 104(i)'' and inserting 
                ``section 104''.
                    (C) Definitions for iran freedom and counter-
                proliferation act of 2012.--Section 1242(a)(5) of the 
                Iran Freedom and Counter-Proliferation Act of 2012 (22 
                U.S.C. 8801(a)(5)) is amended by striking ``section 
                104(i) of the Comprehensive Iran Sanctions, 
                Accountability, and Divestment Act of 2010 (22 U.S.C. 
                8513(i))'' and inserting ``section 104 of the 
                Comprehensive Iran Sanctions, Accountability, and 
                Divestment Act of 2010 (22 U.S.C. 8513)''.
    (c) Elimination of Waiver of Sanctions With Respect to the 
Financial Sector of Iran.--
            (1) In general.--Section 1245(d) of the National Defense 
        Authorization Act for Fiscal Year 2012 (22 U.S.C. 8513a(d)) is 
        amended by striking paragraph (5).
            (2) Termination of waivers.--Any waiver exercised by the 
        President under section 1245(d)(5) of the National Defense 
        Authorization Act for Fiscal Year 2012 (22 U.S.C. 8513a(d)(5)), 
        as in effect on the day before the date of the enactment of 
        this Act, shall cease to be in effect on and after such date of 
        enactment.
    (d) Elimination of Waiver of Sanctions With Respect to Persons That 
Support or Conduct Certain Transactions With Iran's Revolutionary Guard 
Corps or Other Sanctioned Persons.--
            (1) In general.--Section 302 of the Iran Threat Reduction 
        and Syria Human Rights Act of 2012 (22 U.S.C. 8742) is amended 
        by--
                    (A) striking subsections (d) and (e); and
                    (B) redesignating subsection (f) as subsection (d).
            (2) Termination of waivers.--Any waiver exercised by the 
        President under subsection (d) or (e) of section 302 of the 
        Iran Threat Reduction and Syria Human Rights Act of 2012 (22 
        U.S.C. 8742(d)), as in effect on the day before the date of the 
        enactment of this Act, shall cease to be in effect on and after 
        such date of enactment.
    (e) Elimination of Waiver of Sanctions With Respect to the Energy, 
Shipping, and Shipbuilding Sectors of Iran.--
            (1) In general.--Section 1244 of the Iran Freedom and 
        Counter-Proliferation Act of 2012 (22 U.S.C. 8803) is amended 
        by striking subsection (i).
            (2) Termination of waivers.--Any waiver of the imposition 
        of sanctions under section 1244(i) of the Iran Freedom and 
        Counter-Proliferation Act of 2012 (22 U.S.C. 8803(i)), as in 
        effect on the day before the date of the enactment of this Act, 
        shall cease to be in effect on and after such date of 
        enactment.
    (f) Elimination of Waiver of Sanctions With Respect to the Sale, 
Supply, or Transfer of Certain Materials to or From Iran.--
            (1) In general.--Section 1245 of the Iran Freedom and 
        Counter-Proliferation Act of 2012 (22 U.S.C. 8804) is amended--
                    (A) by striking subsection (g); and
                    (B) by redesignating subsection (h) as subsection 
                (g).
            (2) Termination of waivers.--Any waiver of the imposition 
        of sanctions under section 1245(g) of the Iran Freedom and 
        Counter-Proliferation Act of 2012 (22 U.S.C. 8804(g)), as in 
        effect on the day before the date of the enactment of this Act, 
        shall cease to be in effect on and after such date of 
        enactment.
    (g) Elimination of Waiver of Sanctions With Respect to the 
Provision of Underwriting Services or Insurance or Reinsurance for 
Activities or Persons With Respect to Which Sanctions Have Been 
Imposed.--
            (1) In general.--Section 1246 of the Iran Freedom and 
        Counter-Proliferation Act of 2012 (22 U.S.C. 8805) is amended 
        by striking subsection (e).
            (2) Termination of waivers.--Any waiver of the imposition 
        of sanctions under section 1246(e) of the Iran Freedom and 
        Counter-Proliferation Act of 2012 (22 U.S.C. 8805(e)), as in 
        effect on the day before the date of the enactment of this Act, 
        shall cease to be in effect on and after such date of 
        enactment.
    (h) Elimination of Waiver of Sanctions With Respect to Foreign 
Financial Institutions That Facilitate Financial Transactions on Behalf 
of Specially Designated Nationals.--
            (1) In general.--Section 1247 of the Iran Freedom and 
        Counter-Proliferation Act of 2012 (22 U.S.C. 8806) is amended 
        by striking subsection (f).
            (2) Termination of waivers.--Any waiver of the imposition 
        of sanctions under section 1247(f) of the Iran Freedom and 
        Counter-Proliferation Act of 2012 (22 U.S.C. 8806(f)), as in 
        effect on the day before the date of the enactment of this Act, 
        shall cease to be in effect on and after such date of 
        enactment.
    (i) Technical Amendment.--Section 1253(c) of the Iran Freedom and 
Counter-Proliferation Act of 2012 (22 U.S.C. 8809(c)) is amended, in 
the matter preceding paragraph (1), by striking ``, and, as 
appropriate, instead of sections 1244(i), 1245(g), and 1246(e) of this 
Act''.

SEC. 4. SANCTIONS WITH RESPECT TO PURCHASE, ACQUISITION, SALE, 
              TRANSPORT, OR MARKETING OF PETROLEUM, PETROLEUM PRODUCTS, 
              OR PETROCHEMICAL PRODUCTS FROM IRAN.

    (a) In General.--Subtitle B of title II of the Iran Threat 
Reduction and Syria Human Rights Act of 2012 (22 U.S.C. 8721 et seq.) 
is amended--
            (1) by redesignating sections 222, 223, and 224 as sections 
        225, 226, and 227, respectively; and
            (2) by inserting after section 221 the following:

``SEC. 222. IMPOSITION OF SANCTIONS WITH RESPECT TO PURCHASE, 
              ACQUISITION, SALE, TRANSPORT, OR MARKETING OF PETROLEUM, 
              PETROLEUM PRODUCTS, AND PETROCHEMICAL PRODUCTS FROM IRAN.

    ``(a) Limitations on Correspondent and Payable-Through Accounts.--
The President shall prohibit the opening, and prohibit or impose strict 
conditions on the maintaining, in the United States of a correspondent 
account or a payable-through account by a foreign financial institution 
that the President determines has knowingly conducted or facilitated 
any significant financial transaction, on or after July 31, 2012--
            ``(1) for the purchase, acquisition, sale, transport, or 
        marketing of petroleum or petroleum products from Iran; or
            ``(2) for the purchase, acquisition, sale, transport, or 
        marketing of petrochemical products from Iran.
    ``(b) Application of Sanctions From Iran Sanctions Act of 1996.--
The President shall impose on a person one or more of the sanctions 
described in section 6(a) of the Iran Sanctions Act of 1996 (Public Law 
104-172; 50 U.S.C. 1701 note) upon determining that the person 
knowingly, on or after July 31, 2012, engaged in a significant 
transaction for the purchase, acquisition, sale, transport, or 
marketing of--
            ``(1) petroleum or petroleum products from Iran; or
            ``(2) petrochemical products from Iran.
    ``(c) Applicability.--Subsections (a)(1) and (b)(1) shall apply 
with respect to a person only if--
            ``(1) the President determines under subparagraphs (B) and 
        (C) of paragraph (4) of section 1245(d) of the National Defense 
        Authorization Act for Fiscal Year 2012 (22 U.S.C. 8513a(d)) 
        that there is a sufficient supply of petroleum and petroleum 
        products from countries other than Iran to permit a significant 
        reduction in the volume of petroleum and petroleum products 
        purchased from Iran by or through foreign financial 
        institutions; and
            ``(2) an exception under subparagraph (D) of that paragraph 
        from the imposition of sanctions under paragraph (1) of that 
        section does not apply with respect to the country with primary 
        jurisdiction over the person.
    ``(d) Definitions.--In this section:
            ``(1) Account; correspondent account; payable-through 
        account.--The terms `account', `correspondent account', and 
        `payable-through account' have the meanings given those terms 
        in section 5318A of title 31, United States Code.
            ``(2) Financial institution.--The term `financial 
        institution' means a financial institution specified in 
        subparagraph (A), (B), (C), (D), (E), (F), (G), (H), (I), (J), 
        (M), or (Y) of section 5312(a)(2) of title 31, United States 
        Code.
            ``(3) Foreign financial institution.--The term `foreign 
        financial institution' has the meaning of that term as 
        determined by the Secretary of the Treasury pursuant to section 
        104 of the Comprehensive Iran Sanctions, Accountability, and 
        Divestment Act of 2010 (22 U.S.C. 8513).
            ``(4) Petroleum.--The term `petroleum' means a mixture of 
        hydrocarbons that exists in liquid phase in natural underground 
        reservoirs and remains liquid at atmospheric pressure after 
        passing through surface separating facilities.
            ``(5) Petroleum products.--
                    ``(A) In general.--The term `petroleum products' 
                includes unfinished oils, liquefied petroleum gases, 
                pentanes plus, aviation gasoline, motor gasoline, 
                naphtha-type jet fuel, kerosene-type jet fuel, 
                kerosene, distillate fuel oil, residual fuel oil, 
                petrochemical feedstocks, special naphthas, lubricants, 
                waxes, petroleum coke, asphalt, road oil, still gas, 
                and miscellaneous products obtained from the processing 
                of crude oil (including lease condensate), natural gas, 
                and other hydrocarbon compounds.
                    ``(B) Exception.--The term `petroleum products' 
                does not include natural gas, liquefied natural gas, 
                biofuels, methanol, and other non-petroleum fuels.
            ``(6) Petrochemical products.--The term `petrochemical 
        products' includes any aromatic, olefin, and synthesis gas, and 
        any of derivatives of such a gas, including ethylene, 
        propylene, butadiene, benzene, toluene, xylene, ammonia, 
        methanol, and urea.

``SEC. 223. IMPOSITION OF SANCTIONS WITH RESPECT TO SUPPORT FOR THE 
              NATIONAL IRANIAN OIL COMPANY, THE NAFTIRAN INTERTRADE 
              COMPANY, OR THE CENTRAL BANK OF IRAN.

    ``The President shall block and prohibit all transactions in 
property and interests in property of a person the President determines 
has, on or after July 31, 2012, materially assisted, sponsored, or 
provided financial, material, or technological support for, or goods or 
services in support of, the National Iranian Oil Company, the Naftiran 
Intertrade Company, or the Central Bank of Iran if such property and 
interests in property are in the United States, come within the United 
States, or are or come within the possession or control of a United 
States person.

``SEC. 224. IMPOSITION OF SANCTIONS WITH RESPECT TO SUPPORT FOR THE 
              PURCHASE OF UNITED STATES BANK NOTES OR PRECIOUS METALS 
              BY THE GOVERNMENT OF IRAN.

    ``The President shall block and prohibit all transactions in 
property and interests in property of a person the President determines 
has, on or after July 31, 2012, materially assisted, sponsored, or 
provided financial, material, or technological support for, or goods or 
services in support of, the purchase or acquisition of United States 
bank notes or precious metals by the Government of Iran, if such 
property and interests in property are in the United States, come 
within the United States, or are or come within the possession or 
control of a United States person.''.
    (b) Clerical Amendment.--The table of contents for the Iran Threat 
Reduction and Syria Human Rights Act of 2012 is amended by striking the 
items relating to sections 222, 223, and 224 and inserting the 
following:

``Sec. 222. Imposition of sanctions with respect to purchase, 
                            acquisition, sale, transport, or marketing 
                            of petroleum, petroleum products, and 
                            petrochemical products from Iran.
``Sec. 223. Imposition of sanctions with respect to support for the 
                            National Iranian Oil Company, the Naftiran 
                            Intertrade Company, or the Central Bank of 
                            Iran.
``Sec. 224. Imposition of sanctions with respect to support for the 
                            purchase of United States bank notes or 
                            precious metals by the Government of Iran.
``Sec. 225. Sense of Congress and rule of construction relating to 
                            certain authorities of State and local 
                            governments.
``Sec. 226. Government Accountability Office report on foreign entities 
                            that invest in the energy sector of Iran or 
                            export refined petroleum products to Iran.
``Sec. 227. Reporting on the importation to and exportation from Iran 
                            of crude oil and refined petroleum 
                            products.''.

SEC. 5. IMPOSITION OF SANCTIONS WITH RESPECT TO TRANSACTIONS WITH 
              SPECIALLY DESIGNATED NATIONALS AND WITH RESPECT TO THE 
              AUTOMOTIVE SECTOR OF IRAN.

    (a) In General.--The Iran Freedom and Counter-Proliferation Act of 
2012 (22 U.S.C. 1241 et seq.) is amended by inserting after section 
1247 the following:

``SEC. 1247A. IMPOSITION OF SANCTIONS WITH RESPECT TO CERTAIN 
              TRANSACTIONS WITH SPECIALLY DESIGNATED NATIONALS.

    ``(a) Blocking of Property.--The President shall block and prohibit 
all transactions in property and interests in property of a person the 
President determines has, on or after June 1, 2013, materially 
assisted, sponsored, or provided financial, material, or technological 
support for, or goods or services in support of, any person specified 
in subsection (b) if such property and interests in property are in the 
United States, come within the United States, or are or come within the 
possession or control of a United States person.
    ``(b) Persons Specified.--A person specified in this subsection is 
any person as follows:
            ``(1) Any Iranian person included on the list of specially 
        designated nationals and blocked persons maintained by the 
        Office of Foreign Assets Control of the Department of the 
        Treasury (other than an Iranian depository institution whose 
        property and interests in property are blocked solely pursuant 
        to Executive Order 13599 (78 Fed. Reg. 33,951)).
            ``(2) Any person included on such list whose property and 
        interests in property are blocked pursuant to subsection (a) or 
        Executive Order 13599 (other than an Iranian depository 
        institution whose property and interests in property are 
        blocked solely pursuant to Executive Order 13599).

``SEC. 1247B. IMPOSITION OF SANCTIONS WITH RESPECT TO THE AUTOMOTIVE 
              SECTOR OF IRAN.

    ``(a) In General.--The President shall impose sanctions described 
in one or more of paragraphs (1), (2), (4), (5), (10), and (11) of 
section 6(a) of the Iran Sanctions Act of 1996 (Public Law 104-172; 50 
U.S.C. 1701 note) with respect to a person that the President 
determines has, on or after June 1, 2013, knowingly engaged in a 
significant financial transaction for the sale, supply, or transfer to 
Iran of significant goods or services used in connection with the 
automotive sector of Iran.
    ``(b) Facilitation of Certain Transactions.--The President shall 
prohibit the opening, and prohibit or impose strict conditions on the 
maintaining, in the United States of a correspondent account or a 
payable-through account by a foreign financial institution that the 
President determines has, on or after June 1, 2013, knowingly 
facilitated a significant financial transaction for the sale, supply, 
or transfer to Iran of significant goods or services used in connection 
with the automotive sector of Iran.

``SEC. 1247C. CERTIFICATION REQUIRED FOR GOVERNMENT CONTRACTS WITH 
              PERSONS IN AUTOMOTIVE SECTOR OF ANY COUNTRY.

    ``(a) Modification of Federal Acquisition Regulation.--Not later 
than 30 days after the date of the enactment of the Sanction Iran, 
Safeguard America Act of 2014, the Federal Acquisition Regulation shall 
be revised to require a certification from each person described in 
subsection (b) that is a prospective contractor that the person, and 
any person owned or controlled by the person--
            ``(1) has not, in the previous 90 days, conducted any 
        transaction with an Iranian person or any entity owned or 
        controlled by an Iranian person; and
            ``(2) does not have a business relationship with the 
        Government of Iran.
    ``(b) Persons Described.--A person described in this subsection is 
a person that is part of the automotive sector of any foreign country.
    ``(c) Remedies.--
            ``(1) In general.--If the head of an executive agency 
        determines that a person has submitted a false certification 
        under subsection (a) on or after the date on which the revision 
        of the Federal Acquisition Regulation required by this 
        subsection becomes effective, the head of that executive agency 
        shall terminate a contract with such person or debar or suspend 
        such person from eligibility for Federal contracts for a period 
        of not less than 2 years. Any such debarment or suspension 
        shall be subject to the procedures that apply to debarment and 
        suspension under the Federal Acquisition Regulation under 
        subpart 9.4 of part 9 of title 48, Code of Federal Regulations.
            ``(2) 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 each person that is debarred, suspended, or proposed 
        for debarment or suspension by the head of an executive agency 
        on the basis of a determination of a false certification under 
        paragraph (1).
    ``(d) Clarification Regarding Certain Products.--The remedies set 
forth in subsection (c) shall not apply with respect to the procurement 
of eligible products, as defined in section 308(4) of the Trade 
Agreements Act of 1974 (19 U.S.C. 2518(4)), of any foreign country or 
instrumentality designated under section 301(b) of that Act (19 U.S.C. 
2511(b)).
    ``(e) Rule of Construction.--This section 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 subsection (a).
    ``(f) Applicability.--The revisions to the Federal Acquisition 
Regulation required under subsection (a) shall apply with respect to 
contracts for which solicitations are issued on or after the date of 
the enactment of the Sanction Iran, Safeguard America Act of 2014.
    ``(g) Government Accountability Office Report.--Not later than 30 
days after the date of the enactment of the Sanction Iran, Safeguard 
America Act of 2014, and every 30 days thereafter, the Comptroller 
General of the United States shall submit to the appropriate 
congressional committees a list of all persons that are part of the 
automotive sector of any foreign country that--
            ``(1) during the 30-day period preceding the submission of 
        the report, have conducted a transaction with an Iranian person 
        or any entity owned or controlled by an Iranian person; or
            ``(2) have a business relationship with the Government of 
        Iran.
    ``(h) Definitions.--In this section:
            ``(1) Executive agency.--The term `executive agency' has 
        the meaning given that term in section 133 of title 41, United 
        States Code.
            ``(2) Federal acquisition regulation.--The term `Federal 
        Acquisition Regulation' means the regulation issued pursuant to 
        section 1303(a)(1) of title 41, United States Code.''.
    (b) Definitions.--Section 1242 of the Iran Freedom and Counter-
Proliferation Act of 2012 (22 U.S.C. 8801) is amended--
            (1) in subsection (a)--
                    (A) by redesignating paragraphs (7) through (14) as 
                paragraphs (9) through (16), respectively;
                    (B) by redesignating paragraphs (3) through (6) as 
                paragraphs (4) through (7), respectively; and
                    (C) by inserting after paragraph (2) the following:
            ``(3) Automotive sector.--The term `automotive sector' 
        means, with respect to a country, the following:
                    ``(A) The manufacturing or assembling in that 
                country of vehicles, including passenger cars, trucks, 
                buses, minibuses, pick-up trucks, and motorcycles.
                    ``(B) The manufacturing in that country of original 
                equipment relating to such vehicles.
                    ``(C) The manufacturing in that country of after-
                market parts relating to such vehicles.''; and
                    (D) by inserting after paragraph (7), as 
                redesignated by subparagraph (B), the following:
            ``(8) Iranian depository institution.--The term `Iranian 
        depository institution' means an entity that--
                    ``(A) is--
                            ``(i) organized under the laws of Iran or 
                        any jurisdiction within Iran, including a 
                        foreign branch of such an institution;
                            ``(ii) located in Iran;
                            ``(iii) owned or controlled by the 
                        Government of Iran; or
                            ``(iv) owned or controlled by an entity 
                        described in clause (i), (ii), or (iii); and
                    ``(B) is engaged primarily in the business of 
                banking, as determined by the Secretary of the 
                Treasury.''; and
            (2) in subsection (b)--
                    (A) by striking ``financial transactions or 
                financial services'' and inserting ``financial 
                transactions, financial services, goods, or other 
                services''; and
                    (B) by inserting ``, with respect to financial 
                transactions or financial services,'' after 
                ``including''.

SEC. 6. EXPANSION OF SANCTIONS WITH RESPECT TO FOREIGN FINANCIAL 
              INSTITUTIONS THAT FACILITATE FINANCIAL TRANSACTIONS WITH 
              SPECIALLY DESIGNATED NATIONALS.

    Section 1247(a) of the Iran Freedom and Counter-Proliferation Act 
of 2012 (22 U.S.C. 8806(a)) is amended by striking ``the President 
determines has'' and all that follows through the period at the end and 
inserting ``the President determines has--
            ``(1) on or after the date that is 180 days after the date 
        of the enactment of this Act, knowingly facilitated a 
        significant financial transaction on behalf of any Iranian 
        person included on the list of specially designated nationals 
        and blocked persons maintained by the Office of Foreign Assets 
        Control of the Department of the Treasury (other than an 
        Iranian financial institution described in subsection (b)); or
            ``(2) on or after June 1, 2013, knowingly facilitated a 
        significant financial transaction on behalf of any person 
        included on such list whose property and interests in property 
        are blocked pursuant to section 1247A or Executive Order 13599 
        (78 Fed. Reg. 33,951) (other than an Iranian depository 
        institution whose property and interests in property are 
        blocked solely pursuant to Executive Order 13599).''.

SEC. 7. TERMINATION OF LOOPHOLE ALLOWING IMPORTATION OF REFINED 
              PETROLEUM PRODUCTS MADE FROM IRANIAN ORIGIN CRUDE OIL.

    (a) In General.--Section 103(b)(1) of the Comprehensive Iran 
Sanctions, Accountability, and Divestment Act of 2010 (22 U.S.C. 
8512(b)(1)) is amended by adding at the end the following:
                    ``(C) Application to refined petroleum products 
                made from iranian origin crude oil.--The prohibition in 
                subparagraph (A) includes a prohibition on the 
                importation into the United States of refined petroleum 
                products produced using Iranian origin crude oil 
                without regard to whether such crude oil was commingled 
                with crude oil not of Iranian origin during the process 
                of producing the refined petroleum products.''.
    (b) Termination of Regulatory Exceptions.--
            (1) In general.--Section 103(d) of the Comprehensive Iran 
        Sanctions, Accountability, and Divestment Act of 2010 (22 
        U.S.C. 8512(d)) is amended to read as follows:
    ``(d) Regulatory Authority.--
            ``(1) In general.--The President shall prescribe 
        regulations to carry out this section.
            ``(2) Prohibition on regulatory exceptions.--No exception 
        to the prohibition under subsection (b)(1) may be made by 
        regulation.''.
            (2) Termination of exceptions.--Any regulatory exception to 
        the prohibition under section 103(b)(1) of the Comprehensive 
        Iran Sanctions, Accountability, and Divestment Act of 2010 (22 
        U.S.C. 8512(b)(1)) in effect on the day before the date of the 
        enactment of this Act shall cease to be in effect on and after 
        such date of enactment.

SEC. 8. APPLICABILITY OF SANCTIONS WITH RESPECT TO PETROLEUM 
              TRANSACTIONS.

    (a) In General.--Section 1245(d)(4)(D)(i) of the National Defense 
Authorization Act for Fiscal Year 2012 (22 U.S.C. 8513a(d)(4)(D)(i)) is 
amended--
            (1) in subclause (I), by striking ``reduced reduced its 
        volume of crude oil purchases from Iran'' and inserting 
        ``reduced the volume of its purchases of petroleum from Iran or 
        of Iranian origin''; and
            (2) in subclause (II), by striking ``crude oil purchases 
        from Iran'' and inserting ``purchases of petroleum from Iran or 
        of Iranian origin''.
    (b) Definitions.--Section 1245(h) of the National Defense 
Authorization Act for Fiscal Year 2012 (22 U.S.C. 8513a(h)) is 
amended--
            (1) by redesignating paragraphs (3) and (4) as paragraphs 
        (5) and (6), respectively; and
            (2) by inserting after paragraph (2) the following:
            ``(3) Iranian origin.--The term `Iranian origin', with 
        respect to petroleum, means extracted, produced, or refined in 
        Iran.
            ``(4) Petroleum.--The term `petroleum' includes crude oil, 
        lease condensates, fuel oils, and other unfinished oils.''.
    (c) Conforming Amendments.--Section 102(b) of the Iran Threat 
Reduction and Syria Human Rights Act of 2012 (22 U.S.C. 8712(b)) is 
amended--
            (1) in paragraph (3)--
                    (A) by striking ``crude oil purchases from Iran'' 
                and inserting ``purchases of petroleum from Iran or of 
                Iranian origin''; and
                    (B) by striking ``as amended by section 504,''; and
            (2) in paragraph (4), by striking ``crude oil purchases'' 
        and inserting ``purchases of petroleum from Iran or of Iranian 
        origin''.
    (d) Effective Date.--The amendments made by this section shall 
apply with respect to determinations under section 1245(d)(4)(D)(i) of 
the National Defense Authorization Act for Fiscal Year 2012 (22 U.S.C. 
8513a(d)(4)(D)(i)) on or after the date that is 90 days after the date 
of the enactment of this Act.

SEC. 9. SANCTIONS WITH RESPECT TO PROLIFERATORS OF WEAPONS OF MASS 
              DESTRUCTION.

    (a) In General.--The President shall block and prohibit all 
transactions in property and interests in property of a person the 
President determines knowingly, on or after June 29, 2005, provides, or 
attempts to provide, financial, material, technological or other 
support for, or goods or services in support of, any activity or 
transaction described in subsection (b) or any person whose property 
and interests in property are blocked pursuant to Executive Order 13382 
(70 Fed. Reg. 38,567; relating to blocking property of weapons of mass 
destruction proliferators and their supporters), if such property and 
interests in property are in the United States, come within the United 
States, or are or come within the possession or control of a United 
States person.
    (b) Activities and Transactions Described.--An activity or 
transaction described in this subsection is an activity or transaction 
that has materially contributed to, or poses a risk of materially 
contributing to, the proliferation of weapons of mass destruction or 
the means of delivery of such weapons (including missiles capable of 
delivering such weapons), including any efforts to manufacture, 
acquire, possess, develop, transport, transfer or use such weapons or 
means of delivery, by any person or foreign country the President 
determines to be of proliferation concern.
    (c) United States Person Defined.--In this section, the term 
``United States person'' has the meaning given that term in section 101 
of the Comprehensive Iran Sanctions, Accountability, and Divestment Act 
of 2010 (22 U.S.C. 8511).

SEC. 10. PROHIBITION ON FUNDING FOR NEGOTIATIONS WITH IRAN WITHOUT 
              CONSENT OF CONGRESS.

    No funds authorized to be appropriated for fiscal year 2014 or any 
fiscal year thereafter may be obligated or expended to participate in a 
diplomatic negotiation with Iran until the date of the enactment of a 
joint resolution certifying that--
            (1) the Government of Iran has freed all American prisoners 
        of conscience who are being unjustly held in Iranian jails;
            (2) the Government of Iran is complying with all 
        inspections conducted by the International Atomic Energy Agency 
        to fulfill its obligations under the Treaty on the Non-
        Proliferation of Nuclear Weapons, done at Washington, London, 
        and Moscow July 1, 1968, and entered into force March 5, 1970 
        (commonly known as the ``Nuclear Non-Proliferation Treaty''), 
        to which Iran is a party; and
            (3) the United States can verifiably determine, through 
        certification by the International Atomic Energy Agency, that 
        the Government of Iran--
                    (A) has dismantled its nuclear program in its 
                entirety, including all centrifuges, capabilities, and 
                facilities for enrichment and reprocessing of uranium 
                and plutonium;
                    (B) has relinquished all stockpiles of enriched 
                uranium; and
                    (C) does not have any ballistic missiles with a 
                range of 300 kilometers or more and a payload of 500 
                kilograms or more and has dismantled its research and 
                development programs for such weapons;
            (4) the Secretary of the Treasury no longer finds that the 
        Central Bank of Iran is a financial institution of primary 
        money laundering concern pursuant to section 5318A of title 31, 
        United States Code; and
            (5) the Government of Iran has demonstrated its 
        renunciation of state-sponsored terrorism by acknowledging its 
        participation in, assisting the investigation, if any, into, 
        relinquishing any suspects currently harbored by the Government 
        of Iran, and accepting legal responsibility for--
                    (A) the bombing of the Israeli embassy in Buenos 
                Aires, Argentina, on March 17, 1992;
                    (B) the bombing of the World Trade Center in New 
                York on February 26, 1993;
                    (C) the bombing of the Asociacion Mutual Israelita 
                Argentina Jewish Community Center in Buenos Aires, 
                Argentina, on July 18, 1994; and
                    (D) the bombing of the Khobar Towers in Khobar, 
                Saudi Arabia, on June 25, 1996.
                                 <all>
```