What This Bill Does
This bill stops the U.S. government from signing contracts with companies or people that do significant business with the Venezuelan government that the U.S. does not recognize as legitimate. The law is called the "BOLIVAR Act" and applies for three years after it becomes law.
Who It Affects
Federal government agencies that buy goods and services, companies and individuals doing business with unrecognized Venezuelan government officials, and the Secretary of State who enforces these rules.
Key Provisions
• Federal agencies cannot contract with any person that knowingly does significant business with an unrecognized Venezuelan government authority, with the Secretary of State's agreement (Sec. 2(a))
• The Secretary of State can allow contracts if they provide humanitarian aid, disaster relief, life-saving measures, noncombatant evacuations, or serve U.S. national security interests (Sec. 2(b)(1))
• Contracts supporting U.S. government activities in Venezuela, including maintaining U.S. government facilities and offices there, are allowed (Sec. 2(b)(2) and (d))
• The Secretary of State must notify Congress about any contracts approved under the exceptions (Sec. 2(b)(3))
• The Secretary of State can waive these rules if it serves the national interest of the United States (Sec. 2(e))
What Changes
Starting when this law takes effect, U.S. government agencies must check whether companies they want to hire do business with the unrecognized Venezuelan government. If they do, the agency cannot sign a contract with them unless an exception applies.
Important Definitions
• Business operations means doing any kind of commerce including buying, developing, owning, selling, leasing or operating equipment, facilities, property, products or services (Sec. 2(f)(2))
• Person includes individuals, corporations, companies, partnerships, trusts and other organizations, plus any parent company, subsidiary or related entity (Sec. 2(f)(5))
• Executive agency means the agencies defined in section 133 of title 41, United States Code (Sec. 2(f)(3))
II
Calendar No. 73
118TH CONGRESS
1ST SESSION
S. 257
[Report No. 118–29]
To prohibit contracting with persons that have business operations with the
Maduro regime, and for other purposes.
IN THE SENATE OF THE UNITED STATES
FEBRUARY 2, 2023
Mr. SCOTT of Florida (for himself, Ms. ROSEN, Mr. RUBIO, and Mr. TILLIS)
introduced the following bill; which was read twice and referred to the
Committee on Homeland Security and Governmental Affairs
MAY 16, 2023
Reported by Mr. PETERS, without amendment
A BILL
To prohibit contracting with persons that have business
operations with the Maduro regime, and for other purposes.
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled,
2
SECTION 1. SHORT TITLE.
3
This Act may be cited as the ‘‘Banning Operations
4
and Leases with the Illegitimate Venezuelan Authoritarian
5
Regime Act’’ or the ‘‘BOLIVAR Act’’.
6
VerDate Sep 11 2014
00:05 May 17, 2023
Jkt 039200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\S257.RS
S257
kjohnson on DSK79L0C42PROD with BILLS
2
•S 257 RS
SEC. 2. PROHIBITION ON CONTRACTING WITH PERSONS
1
THAT HAVE BUSINESS OPERATIONS WITH
2
THE MADURO REGIME.
3
(a) PROHIBITION.—Except as provided in subsections
4
(b), (c), and (d), the head of an executive agency may not
5
enter into a contract for the procurement of goods or serv-
6
ices with any person that the head of an executive agency
7
determines, with the concurrence of the Secretary of
8
State, knowingly engages in significant business oper-
9
ations with an authority of the Government of Venezuela
10
that is not recognized as the legitimate Government of
11
Venezuela by the United States.
12
(b) EXCEPTIONS.—
13
(1) IN GENERAL.—The prohibition under sub-
14
section (a) does not apply to a contract that the Sec-
15
retary of State determines—
16
(A) is necessary—
17
(i) for purposes of providing humani-
18
tarian assistance to the people of Ven-
19
ezuela;
20
(ii) for purposes of providing disaster
21
relief and other urgent life-saving meas-
22
ures; or
23
(iii) to carry out noncombatant evacu-
24
ations; or
25
VerDate Sep 11 2014
00:05 May 17, 2023
Jkt 039200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\S257.RS
S257
kjohnson on DSK79L0C42PROD with BILLS
3
•S 257 RS
(B) is in the national security interests of
1
the United States.
2
(2) SUPPORT
FOR
UNITED
STATES
GOVERN-
3
MENT
ACTIVITIES.—The prohibition in subsection
4
(a) shall not apply to contracts that support United
5
States Government activities in Venezuela, including
6
those necessary for the maintenance of United
7
States Government facilities in Venezuela, or to con-
8
tracts with international organizations.
9
(3) NOTIFICATION
REQUIREMENT.—The Sec-
10
retary of State shall notify the appropriate congres-
11
sional committees of any contract entered into on
12
the basis of an exception provided for under para-
13
graph (1).
14
(c) OFFICE
OF FOREIGN ASSETS CONTROL LI-
15
CENSES.—The prohibition in subsection (a) does not apply
16
to a person that has a valid license to operate in Venezuela
17
issued by the Office of Foreign Assets Control.
18
(d) AMERICAN
DIPLOMATIC
MISSION
IN
VEN-
19
EZUELA.—The prohibition in subsection (a) does not
20
apply to contracts related to the operation and mainte-
21
nance of the United States Government’s consular offices
22
and diplomatic posts in Venezuela.
23
(e) WAIVER.—The Secretary of State may waive the
24
requirements of subsection (a) if the Secretary of State
25
VerDate Sep 11 2014
00:05 May 17, 2023
Jkt 039200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\S257.RS
S257
kjohnson on DSK79L0C42PROD with BILLS
4
•S 257 RS
determines that to do so is in the national interest of the
1
United States.
2
(f) DEFINITIONS.—In this section:
3
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
4
TEES.—The term ‘‘appropriate congressional com-
5
mittees’’ means the Committee on Homeland Secu-
6
rity and Governmental Affairs and the Committee
7
on Foreign Relations of the Senate and the Com-
8
mittee on Homeland Security and the Committee on
9
Foreign Affairs of the House of Representatives.
10
(2) BUSINESS OPERATIONS.—The term ‘‘busi-
11
ness operations’’ means engaging in commerce in
12
any form, including acquiring, developing, maintain-
13
ing, owning, selling, possessing, leasing, or operating
14
equipment, facilities, personnel, products, services,
15
personal property, real property, or any other appa-
16
ratus of business or commerce.
17
(3) EXECUTIVE AGENCY.—The term ‘‘executive
18
agency’’ has the meaning given the term in section
19
133 of title 41, United States Code.
20
(4) GOVERNMENT
OF
VENEZUELA.—(A) The
21
term ‘‘Government of Venezuela’’ includes the gov-
22
ernment of any political subdivision of Venezuela,
23
and any agency or instrumentality of the Govern-
24
ment of Venezuela.
25
VerDate Sep 11 2014
00:05 May 17, 2023
Jkt 039200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\S257.RS
S257
kjohnson on DSK79L0C42PROD with BILLS
5
•S 257 RS
(B) For purposes of subparagraph (A), the
1
term ‘‘agency or instrumentality of the Government
2
of Venezuela’’ means an agency or instrumentality
3
of a foreign state as defined in section 1603(b) of
4
title 28, United States Code, with each reference in
5
such section to ‘‘a foreign state’’ deemed to be a ref-
6
erence to ‘‘Venezuela’’.
7
(5) PERSON.—The term ‘‘person’’ means—
8
(A) a natural person, corporation, com-
9
pany, business association, partnership, society,
10
trust, or any other nongovernmental entity, or-
11
ganization, or group;
12
(B) any governmental entity or instrumen-
13
tality of a government; and
14
(C) any successor, subunit, parent entity,
15
or subsidiary of, or any entity under common
16
ownership or control with, any entity described
17
in subparagraph (A) or (B).
18
(g) TERM
OF APPLICABILITY.—This section shall
19
apply with respect to any contract entered into during the
20
three-year period beginning on the date of the enactment
21
of this Act.
22
VerDate Sep 11 2014
00:05 May 17, 2023
Jkt 039200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\S257.RS
S257
kjohnson on DSK79L0C42PROD with BILLS
Calendar No. 73
118TH CONGRESS
1ST SESSION
S. 257
[Report No. 118–29]
A BILL
To prohibit contracting with persons that have
business operations with the Maduro regime, and
for other purposes.
MAY 16, 2023
Reported without amendment
VerDate Sep 11 2014
00:05 May 17, 2023
Jkt 039200
PO 00000
Frm 00006
Fmt 6651
Sfmt 6651
E:\BILLS\S257.RS
S257
kjohnson on DSK79L0C42PROD with BILLS