KREMLIN Act
Bill: H.R.7991 | Sponsor: Rep. Waltz, Michael (R-FL)
Policy area: Government Operations and Politics

Summary:
Keeping Russia's Energy and Military Liable for Invading its Neighbors Act or the KREMLIN Act
This bill temporarily prohibits federal agencies from contracting with persons that have business operations with the government of Russia or with fossil fuel companies that operate there, with exceptions where necessary to provide humanitarian assistance or disaster relief or where vital to U.S. national security interests.
The bill terminates the prohibition when the President submits to specified congressional committees a written certification determining that Russia

To prohibit contracting with persons that have business operations with 
the Government of the Russian Federation or the Russian energy sector, 
                        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 ``Keeping Russia's Energy and Military 
Liable for Invading its Neighbors Act'' or the ``KREMLIN Act''.

SEC. 2. PROHIBITION ON CONTRACTING WITH PERSONS THAT HAVE BUSINESS 
              OPERATIONS WITH THE GOVERNMENT OF THE RUSSIAN FEDERATION 
              OR THE RUSSIAN ENERGY SECTOR.

    (a) Prohibition.--Except as provided under subsections (b), (c), 
and (d), the head of an executive agency may not enter into a contract 
for the procurement of goods or services with any person that has 
business operations with--
            (1) an authority of the Government of the Russian 
        Federation; or
            (2) a fossil fuel company that operates in the Russian 
        Federation, except if the fossil fuel company transports oil or 
        gas--
                    (A) through the Russian Federation for sale outside 
                of the Russian Federation; and
                    (B) that was extracted from a country other than 
                the Russian Federation with respect to the energy 
                sector of which the President has not imposed sanctions 
                as of the date on which the contract is awarded.
    (b) Exceptions.--
            (1) In general.--The prohibition under subsection (a) does 
        not apply to a contract that the head of an executive agency 
        and the Secretary of State jointly determine--
                    (A) is necessary--
                            (i) for purposes of providing humanitarian 
                        assistance to the people of Russia; or
                            (ii) for purposes of providing disaster 
                        relief and other urgent life-saving measures; 
                        or
                    (B) is vital to the national security interests of 
                the United States.
            (2) Notification requirement.--The head of an executive 
        agency shall notify the appropriate congressional committees of 
        any contract entered into on the basis of an exception provided 
        for under paragraph (1).
            (3) Office of foreign assets control licenses.--The 
        prohibition in subsection (a) shall not apply to a person or 
        entity that has a valid license to operate in Russia issued by 
        the Office of Foreign Assets Control of the Department of the 
        Treasury or is otherwise authorized to operate notwithstanding 
        the imposition of sanctions.
            (4) American diplomatic mission in russia.--The prohibition 
        in subsection (a) shall not apply to contracts related to the 
        operation and maintenance of the United States Government's 
        consular offices and diplomatic posts in Russia.
    (c) Applicability.--This section shall take effect on the date of 
the enactment of this Act and apply with respect to any contract 
entered into on or after such effective date.
    (d) Sunset.--This section shall terminate on the date on which the 
President submits to the appropriate congressional committees a 
certification in writing that contains a determination of the President 
that the Russian Federation--
            (1) has reached an agreement relating to the withdrawal of 
        Russian forces and cessation of military hostilities that is 
        accepted by the free and independent Government of Ukraine;
            (2) poses no immediate military threat of aggression to any 
        North Atlantic Treaty Organization member; and
            (3) recognizes the right of the people of Ukraine to 
        independently and freely choose their own government.
    (e) Definitions.--In this section:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Oversight and Reform, the 
                Committee on Armed Services, and the Committee on 
                Foreign Affairs of the House of Representatives; and
                    (B) the Committee on Homeland Security and 
                Governmental Affairs, the Committee on Armed Services, 
                and the Committee on Foreign Relations of the Senate.
            (2) Business operations.--The term ``business operations'' 
        means engaging in commerce in any form, including acquiring, 
        developing, maintaining, owning, selling, possessing, leasing, 
        or operating equipment, facilities, personnel, products, 
        services, personal property, real property, or any other 
        apparatus of business or commerce.
            (3) Executive agency.--The term ``executive agency'' has 
        the meaning given the term in section 133 of title 41, United 
        States Code.
            (4) Fossil fuel company.--The term ``fossil fuel company'' 
        means a person that--
                    (A) carries out oil, gas, or coal exploration, 
                development, or production activities;
                    (B) processes or refines oil, gas, or coal; or
                    (C) transports, or constructs facilities for the 
                transportation of, Russian oil, gas, or coal.
            (5) Government of the russian federation.--The term 
        ``Government of the Russian Federation'' includes the 
        government of any political subdivision of Russia, and any 
        agency or instrumentality of the Government of the Russian 
        Federation. For purposes of this paragraph, the term ``agency 
        or instrumentality of the Government of the Russian 
        Federation'' means an agency or instrumentality of a foreign 
        state as defined in section 1603(b) of title 28, United States 
        Code, with each reference in such section to ``a foreign 
        state'' deemed to be a reference to ``Russia''.
            (6) Person.--The term ``person'' means--
                    (A) a natural person, corporation, company, 
                business association, partnership, society, trust, or 
                any other nongovernmental entity, organization, or 
                group;
                    (B) any governmental entity or instrumentality of a 
                government, including a multilateral development 
                institution (as defined in section 1701(c)(3) of the 
                International Financial Institutions Act (22 U.S.C. 
                262r(c)(3))); and
                    (C) any successor, subunit, parent entity, or 
                subsidiary of, or any entity under common ownership or 
                control with, any entity described in subparagraph (A) 
                or (B).
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