at least 30 days before such waiver is to take effect 
that—
‘‘(A) such waiver is vital to the national se-
curity interests of the United States; and 
‘‘(B) the country of the national has un-
dertaken substantial measures to prevent the 
acquisition and development of weapons of mass 
destruction by the Government of Iran. 
‘‘(2) SUBSEQUENT RENEWAL OF WAIVER.—If 
the President determines that, in accordance with 
paragraph (1), such a waiver is appropriate, the 
President may, at the conclusion of the period of a 
waiver under paragraph (1), renew such waiver for 
subsequent periods of not more than six months 
each.’’. 
(c) INVESTIGATIONS.—Section 4 of such Act (50 
U.S.C. 1701 note) is amended by adding at the end the 
following new subsection: 
‘‘(f) INVESTIGATIONS.—
‘‘(1) IN GENERAL.—The President shall initiate 
an investigation into the possible imposition of sanc-
tions against a person upon receipt by the United 
States of credible information indicating that such 
person is engaged in activity related to investment in 
Iran as described in section 5(a).
‘‘(2) DETERMINATION AND NOTIFICATION.—
‘‘(A) IN
GENERAL.—Not later than 180 
days after an investigation is initiated in ac-
cordance with paragraph (1), the President 
shall determine, pursuant to section 5(a), 
whether or not to impose sanctions against a 
person engaged in activity related to investment 
in Iran as described in such section as a result 
of such activity and shall notify the appropriate 
congressional committees of the basis for such 
determination. 
‘‘(B) EXTENSION.—If the President is un-
able to make a determination under subpara-
graph (A), the President shall notify the appro-
priate congressional committees and shall ex-
tend such investigation for a subsequent period, 
not to exceed 180 days, after which the Presi-
dent shall make the determination required 
under such subparagraph and shall notify the 
appropriate congressional committees of the 
basis for such determination in accordance with 
such subparagraph. 
‘‘(3) DETERMINATIONS
REGARDING
PENDING 
INVESTIGATIONS.—Not later than 90 days after the 
date of the enactment of this Act, the President
shall, with respect to any investigation that was 
pending as of January 1, 2006, concerning a person 
engaged in activity related to investment in Iran as 
described in section 5(a), determine whether or not 
to impose sanctions against such person as a result 
of such activity and shall notify the appropriate con-
gressional committees of the basis for such deter-
mination. 
‘‘(4) PUBLICATION.—Not later than 10 days 
after the President notifies the appropriate congres-
sional committees under paragraphs (2) and (3), the 
President shall ensure publication in the Federal 
Register of the identification of the persons against 
which the President has made a determination that 
the imposition of sanctions is appropriate, together 
with an explanation for such determination.’’. 
SEC. 202. IMPOSITION OF SANCTIONS. 
(a) SANCTIONS WITH RESPECT TO DEVELOPMENT 
OF PETROLEUM RESOURCES.—Section 5(a) of the Iran 
and Libya Sanctions Act of 1996 (50 U.S.C. 1701 note) 
is amended—
(1) in the heading, by striking ‘‘TO IRAN’’ and 
inserting ‘‘TO THE DEVELOPMENT OF PETROLEUM 
RESOURCES OF IRAN’’; 
(2) by striking ‘‘(6)’’ and inserting ‘‘(5)’’; and
(3) by striking ‘‘with actual knowledge,’’. 
(b) SANCTIONS WITH RESPECT TO DEVELOPMENT 
OF WEAPONS OF MASS DESTRUCTION OR OTHER MILI-
TARY CAPABILITIES.—Section 5(b) of such Act (50 U.S.C. 
1701 note) is amended to read as follows: 
‘‘(b) MANDATORY SANCTIONS WITH RESPECT TO 
DEVELOPMENT OF WEAPONS OF MASS DESTRUCTION OR 
OTHER MILITARY CAPABILITIES.—Notwithstanding any 
other provision of law, the President shall impose two or 
more of the sanctions described in paragraphs (1) through 
(5) of section 6 if the President determines that a person 
has, on or after the date of the enactment of this Act, 
exported, transferred, or otherwise provided to Iran any 
goods, services, technology, or other items knowing that 
the provision of such goods, services, technology, or other 
items would contribute to the ability of Iran to—
‘‘(1) acquire or develop chemical, biological, or 
nuclear weapons or related technologies; or 
‘‘(2) acquire or develop destabilizing numbers 
and types of advanced conventional weapons.’’. 
(c) PERSONS AGAINST WHICH THE SANCTIONS ARE 
TO BE IMPOSED.—Section 5(c)(2) of such Act (50 U.S.C. 
1701 note) is amended—
(1) in subparagraph (B), by striking ‘‘, with ac-
tual knowledge,’’ and by striking ‘‘or’’ at the end;
(2) in subparagraph (C), by striking ‘‘, with ac-
tual knowledge,’’ and by striking the period at the 
end and inserting ‘‘; or’’; and 
(3) by adding after subparagraph (C) the fol-
lowing new subparagraph: 
‘‘(D) is a private or government lender, in-
surer, underwriter, or guarantor of the person 
referred to in paragraph (1) if that private or 
government lender, insurer, underwriter, or 
guarantor engaged in the activities referred to 
in paragraph (1).’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply with respect to actions taken on 
or after March 15, 2006. 
SEC. 203. TERMINATION OF SANCTIONS. 
Section 8(a) of the Iran and Libya Sanctions Act of 
1996 (50 U.S.C. 1701 note) is amended—
(1) in paragraph (1)(C), by striking ‘‘and’’ at 
the end; 
(2) in paragraph (2), by striking the period at 
the end and inserting ‘‘; and’’; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(3) poses no significant threat to United 
States national security, interests, or allies.’’.
SEC. 204. SUNSET. 
Section 13 of the Iran and Libya Sanctions Act of 
1996 (50 U.S.C. 1701 note) is amended—
(1) in the section heading, by striking ‘‘; SUN-
SET’’; 
(2) in subsection (a), by striking the subsection 
designation and heading; and 
(3) by striking subsection (b). 
SEC. 205. CLARIFICATION AND EXPANSION OF DEFINI-
TIONS. 
(a) PERSON.—Section 14(14)(B) of the Iran and 
Libya Sanctions Act of 1996 (50 U.S.C. 1701 note) is 
amended—
(1) by inserting after ‘‘trust,’’ the following: ‘‘fi-
nancial institution, insurer, underwriter, guarantor, 
any other business organization, including any for-
eign subsidiaries of the foregoing,’’; and 
(2) by inserting before the semicolon the fol-
lowing: ‘‘, such as an export credit agency’’. 
(b) PETROLEUM RESOURCES.—Section 14(15) of the 
Iran and Libya Sanctions Act of 1996 (50 U.S.C. 1701 
note) is amended by inserting after ‘‘petroleum’’ the sec-
ond place it appears, the following: ‘‘, petroleum by-prod-
ucts,’’. 
SEC. 206. UNITED STATES PENSION PLANS. 
(a) FINDINGS.—Congress finds the following: