erty required to be blocked under applicable United 
Nations Security Council resolutions; 
(4) the blocking of any property derived from il-
licit activity, from significant activities undermining 
cyber security, from the misappropriation, theft, or 
embezzlement of public funds by, or for the benefit of, 
officials of the Government of North Korea; 
(5) the blocking of any property involved in sig-
nificant activities undermining cyber security by the 
Government of North Korea, directly or indirectly, 
against United States persons, or the theft of intellec-
tual property by the Government of North Korea, di-
rectly or indirectly from United States persons; and 
(6) the blocking of any property of persons di-
rectly or indirectly involved in censorship or human 
rights abuses by the Government of North Korea. 
SEC. 203. PROLIFERATION PREVENTION SANCTIONS. 
(a) EXPORT OF CERTAIN GOODS OR TECHNOLOGY.— 
(1) 
IN
GENERAL.—Subject 
to 
section 
207(a)(2)(C) of this Act, a license shall be required 
for the export to North Korea of any goods or tech-
nology subject to the Export Administration Regula-
tions (part 730 of title 15, Code of Federal Regula-
tions) without regard to whether the Secretary of 
State has designated North Korea as a country the 
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government of which has provided support for acts of 
international terrorism, as determined by the Sec-
retary of State under section 6(j) of the Export Ad-
ministration Act of 1979 (50 U.S.C. App. 2045), as 
continued in effect under the International Emer-
gency Economic Powers Act. 
(2) PRESUMPTION OF DENIAL.—A license for the 
export to North Korea of any goods or technology as 
described in paragraph (1) shall be subject to a pre-
sumption of denial. 
(b) TRANSACTIONS WITH COUNTRIES SUPPORTING 
ACTS OF INTERNATIONAL TERRORISM.— 
(1) ARMS
EXPORT
CONTROL
ACT
PROHIBI-
TIONS.—The prohibitions and restrictions described 
in section 40 of the Arms Export Control Act (22 
U.S.C. 2780), and other provisions provided for in 
that Act, shall also apply to exporting or otherwise 
providing (by sale, lease or loan, grant, or other 
means), directly or indirectly, any munitions item to 
the Government of North Korea without regard to 
whether or not North Korea is a country with respect 
to which subsection (d) of such section (relating to 
designation of state sponsors of terrorism) applies. 
(2) FINANCIAL TRANSACTIONS.—Except as pro-
vided in section 207 of this Act and the North Korean 
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Human Rights Act of 2004 (22 U.S.C. 7801 et seq.), 
the penalties provided for in section 2332d of title 18, 
United States Code, shall apply to a United States 
person that engages in a financial transaction with 
the Government of North Korea on or after the date 
of the enactment of this Act to the same extent that 
such penalties apply to a United States citizen that 
commits an unlawful act described in section 2332d 
of title 18, United States Code. 
(c) TRANSACTIONS
IN LETHAL MILITARY EQUIP-
MENT.— 
(1) IN GENERAL.—The President shall withhold 
assistance under the Foreign Assistance Act of 1961 
(22 U.S.C. 2151 et seq.) to any country that provides 
lethal military equipment to, or receives lethal mili-
tary equipment from, the Government of North Korea. 
(2) APPLICABILITY.—The prohibition under this 
subsection with respect to a country shall terminate 
on the date that is 1 year after the date on which 
such country ceases to provide lethal military equip-
ment to the Government of North Korea. 
(3) WAIVER.—The President may, on a case-by- 
case basis, waive the prohibition under this subsection 
with respect to a country for a period of not more 
than 180 days, and may renew the waiver for addi-
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tional periods of not more than 180 days, if the Presi-
dent determines and so reports to the appropriate 
congressional committees that it is vital to the na-
tional security interests of the United States to exer-
cise such waiver authority. 
SEC. 204. PROCUREMENT SANCTIONS. 
(a) IN GENERAL.—Except as provided in this section, 
the United States Government may not procure, or enter 
into any contract for the procurement of, any goods or serv-
ices from any designated person. 
(b) FAR.—The Federal Acquisition Regulation issued 
pursuant to section 1303 of title 41, United States Code, 
shall be revised to require a certification from each person 
that is a prospective contractor that such person does not 
engage in any of the conduct described in subsection (a) 
or (b) of section 104. Such revision shall apply with respect 
to contracts in an amount greater than the simplified ac-
quisition threshold (as defined in section 134 of title 41, 
United States Code) for which solicitations are issued on 
or after the date that is 90 days after the date of the enact-
ment of this Act. 
(c) TERMINATION OF CONTRACTS AND INITIATION OF 
SUSPENSION AND DEBARMENT PROCEEDING.— 
(1) TERMINATION
OF
CONTRACTS.—Except as 
provided in paragraph (2), the head of an executive 
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agency shall terminate a contract with a person who 
has provided a false certification under subsection (b). 
(2) WAIVER.—The head of an executive agency 
may waive the requirement under paragraph (1) with 
respect to a person based upon a written finding of 
urgent and compelling circumstances significantly af-
fecting the interests of the United States. If the head 
of an executive agency waives the requirement under 
paragraph (1) for a person, the head of the agency 
shall submit to the appropriate congressional commit-
tees, within 30 days after the waiver is made, a re-
port containing the rationale for the waiver and rel-
evant information supporting the waiver decision. 
(3) INITIATION OF SUSPENSION AND DEBARMENT 
PROCEEDING.—The head of an executive agency shall 
initiate a suspension and debarment proceeding 
against a person who has provided a false certifi-
cation under subsection (b). Upon determination of 
suspension, debarment, or proposed debarment, the 
agency shall ensure that such person is entered into 
the Governmentwide database containing the list of 
all excluded parties ineligible for Federal programs 
pursuant to Executive Order No. 12549 (31 U.S.C. 
6101 note; relating to debarment and suspension) and 
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