To authorize the Secretary of Homeland Security to regulate the production, storage, sale, and distribution of ammonium nitrate on account of the prior use of ammonium nitrate to create explosives used in acts of terrorism and to prevent terrorists from acquiring ammonium nitrate to create explosives.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Secure Handling of Ammonium Nitrate 
Act of 2005''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Although ammonium nitrate is an important fertilizer 
        used in agricultural production, in the wrong hands, ammonium 
        nitrate can be used to create explosives and was so used in 
        terrorist attacks conducted in Oklahoma City, Bali, and 
        Istanbul.
            (2) The production, importation, storage, sale, and 
        distribution of ammonium nitrate affects interstate and 
        intrastate commerce.
            (3) It is necessary for the Secretary of Homeland Security 
        to regulate the production, storage, sale, and distribution of 
        ammonium nitrate on account of the prior use of ammonium 
        nitrate to create explosives used in acts of terrorism and to 
        prevent terrorists from acquiring ammonium nitrate to create 
        explosives.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Act.--The term ``this Act'' includes regulations issued 
        under this Act.
            (2) Ammonium nitrate.--The term ``ammonium nitrate'' means 
        solid ammonium nitrate that is chiefly the ammonium salt of 
        nitric acid and contains not less than 33 percent nitrogen, of 
        which--
                    (A) 50 percent is in ammonium form; and
                    (B) 50 percent is in nitrate form.
            (3) Facility.--The term ``facility'' means any site where 
        ammonium nitrate is produced, stored, or held for distribution, 
        sale, or use. The term includes--
                    (A) all buildings or structures used to produce, 
                store, or hold ammonium nitrate for distribution, sale, 
                or use at a single site; and
                    (B) multiple sites described in subparagraph (A), 
                if the sites are--
                            (i) contiguous or adjacent; and
                            (ii) owned or operated by the same person.
            (4) Handle.--The term ``handle'' means to produce, store, 
        sell, or distribute ammonium nitrate.
            (5) Handler.--The term ``handler'' means any person that 
        produces, stores, sells, or distributes ammonium nitrate.
            (6) Purchaser.--The term ``purchaser'' means any person 
        that purchases ammonium nitrate.
            (7) Terrorism.--The term ``terrorism'' has the meaning 
        given that term in section 2(15) of the Homeland Security Act 
        of 2002 (6 U.S.C. 101(15)).
            (8) Secretary.--The term ``Secretary'' means the Secretary 
        of Homeland Security.

SEC. 4. REGULATION OF HANDLING AND PURCHASE OF AMMONIUM NITRATE.

    (a) In General.--The Secretary may regulate the handling and 
purchase of ammonium nitrate to prevent the misappropriation or use of 
ammonium nitrate in an act of terrorism.
    (b) Regulations.--The Secretary may promulgate regulations that 
require--
            (1) handlers--
                    (A) to register facilities;
                    (B) to sell or distribute ammonium nitrate only to 
                handlers and purchasers registered under this Act; and
                    (C) to maintain records of sale or distribution 
                that include the name, address, telephone number, and 
                registration number of the immediate subsequent 
                purchaser of ammonium nitrate; and
            (2) purchasers to be registered.
    (c) Use of Previously Submitted Information.--Prior to requiring a 
facility or handler to submit new information for registration under 
this section, the Secretary shall--
            (1) request from the Attorney General, and the Attorney 
        General shall provide, any information previously submitted to 
        the Attorney General by the facility or handler under section 
        843 of title 18, United States Code; and
            (2) at the election of the facility or handler--
                    (A) use the license issued under that section in 
                lieu of requiring new information for registration 
                under this section; and
                    (B) consider the license to fully comply with the 
                requirement for registration under this section.
    (d) Consultation.--In promulgating regulations under this section, 
the Secretary shall consult with the Secretary of Agriculture to ensure 
that the access of agricultural producers to ammonium nitrate is not 
unduly burdened.
    (e) Data Confidentiality.--Notwithstanding section 552 of title 5, 
United States Code, or the USA PATRIOT ACT (Public Law 107-56; 115 
Stat. 272) or an amendment made by that Act, the Secretary may not 
disclose to any person any information obtained from any facility, 
handler, or purchaser--
            (1) regarding any action taken, or to be taken, at the 
        facility or by the handler or purchaser to ensure the secure 
        handling of ammonium nitrate; or
            (2) that would disclose--
                    (A) the identity or address of any purchase of 
                ammonium nitrate;
                    (B) the quantity of ammonium nitrate purchased; or
                    (C) the details of the purchase transaction.
    (f) Exceptions to Data Confidentiality.--The Secretary may disclose 
any information described in subsection (e)--
            (1) to an officer or employee of the United States, or a 
        person that has entered into a contract with the United States, 
        who needs to know the information to perform the duties of the 
        officer, employee, or person, or to a State agency pursuant to 
        an arrangement under section 6, under appropriate arrangements 
        to ensure the protection of the information;
            (2) to the public, to the extent the Secretary specifically 
        finds that disclosure of particular information is required in 
        the public interest; or
            (3) to the extent required by order of a Federal court in a 
        proceeding in which the Secretary is a party, under such 
        protective measures as the court may prescribe.

SEC. 5. ENFORCEMENT.

    (a) Inspections.--The Secretary, without a warrant, may enter any 
place during business hours that the Secretary believes may handle 
ammonium nitrate to determine whether the handling is being conducted 
in accordance with this Act.
    (b) Prevention of Sale or Distribution Order.--In any case in which 
the Secretary has reason to believe that ammonium nitrate has been 
handled other than in accordance with this Act, the Secretary may issue 
a written order preventing any person that owns, controls, or has 
custody of the ammonium nitrate from selling or distributing the 
ammonium nitrate.
    (c) Appeal Procedures.--
            (1) In general.--A person subject to an order under 
        subsection (b) may request a hearing to contest the order, 
        under such administrative adjudication procedures as the 
        Secretary may establish.
            (2) Rescission.--If an appeal under paragraph (1) is 
        successful, the Secretary shall rescind the order.
    (d) In Rem Proceedings.--The Secretary may institute in rem 
proceedings in the United States district court for the district in 
which the ammonium nitrate is located to seize and confiscate ammonium 
nitrate that has been handled in violation of this Act.

SEC. 6. ADMINISTRATIVE PROVISIONS.

    (a) Cooperative Agreements.--The Secretary may enter into a 
cooperative agreement with the Secretary of Agriculture, or the head of 
any State department of agriculture or other State agency that 
regulates plant nutrients, to carry out this Act, including cooperating 
in the enforcement of this Act through the use of personnel or 
facilities.
    (b) Delegation.--
            (1) In general.--The Secretary may delegate to a State the 
        authority to assist the Secretary in the administration and 
        enforcement of this Act.
            (2) Delegation required.--On the request of a Governor of a 
        State, the Secretary shall delegate to the State the authority 
        to carry out section 4 or 5, on a determination by the 
        Secretary that the State is capable of satisfactorily carrying 
        out that section.
            (3) Funding.--If the Secretary enters into an agreement 
        with a State under this subsection to delegate functions to the 
        State, the Secretary shall provide to the State adequate funds 
        to enable the State to carry out the functions.
            (4) Inapplicability.--Notwithstanding any other provision 
        of this subsection, this subsection does not authorize a State 
        to carry out a function under section 4 or 5 relating to a 
        facility or handler in the State that makes the election 
        described in section 4(c)(2).

SEC. 7. CIVIL LIABILITY.

    (a) Unlawful Acts.--It is unlawful for any person--
            (1) to fail to perform any duty required by this Act;
            (2) to violate the terms of registration under this Act;
            (3) to fail to keep any record, make any report, or allow 
        any inspection required by this Act; or
            (4) to violate any sale or distribution order issued under 
        this Act.
    (b) Penalties.--
            (1) In general.--A person that violates this Act may only 
        be assessed a civil penalty by the Secretary of not more than 
        $50,000 per violation.
            (2) Notice and opportunity for a hearing.--No civil penalty 
        shall be assessed under this Act unless the person charged has 
        been given notice and opportunity for a hearing on the charge 
        in the county, parish, or incorporated city of residence of the 
        person charged.
    (c) Jurisdiction Over Actions for Civil Damages.--The district 
courts of the United States shall have exclusive jurisdiction over any 
action for civil damages against a handler for any harm or damage that 
is alleged to have resulted from the use of ammonium nitrate in 
violation of law that occurred on or after the date of enactment of 
this Act.

SEC. 8. STATE LAW PREEMPTION.

    This Act preempts any State law that regulates the handling of 
ammonium nitrate to prevent the misappropriation or use of ammonium 
nitrate in an act of terrorism.

Summary: Secure Handling of Ammonium Nitrate Act of 2005 - Authorizes the Secretary of Homeland Security to regulate the handling and purchase of ammonium nitrate to prevent its misappropriation or use in an act of terrorism.

Authorizes the Secretary to promulgate regulations that require: (1) handlers to register facilities, to sell or distribute ammonium nitrate only to registered handlers and purchasers, and maintain records of sale or distribution that include the name, address, telephone number, and registration number of the immediate subsequent purchaser of ammonium nitrate; and (2) registration of purchasers.

Authorizes the Secretary to make warrantless inspections during business hours of any place that may handle ammonium nitrate to determine whether such handling accords with this Act.

Makes it unlawful for any person to: (1) fail to perform any duty required by this Act and related regulations; (2) violate the terms of registration under this Act; (3) fail to keep any record, make any report, or allow any inspection required by this Act; or (4) violate any sale or distribution order issued under this Act. Establishes civil penalties for violations.