135 STAT. 413 PUBLIC LAW 117–54—NOV. 10, 2021 Public Law 117–54 117th Congress An Act To advance the strategic alignment of United States diplomatic tools toward the realization of free, fair, and transparent elections in Nicaragua and to reaffirm the commitment of the United States to protect the fundamental freedoms and human rights of the people of Nicaragua, 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; TABLE OF CONTENTS. (a) SHORT TITLE.—This Act may be cited as the ‘‘Reinforcing Nicaragua’s Adherence to Conditions for Electoral Reform Act of 2021’’ or the ‘‘RENACER Act’’. (b) TABLE OF CONTENTS.—The table of contents for this Act is as follows: Sec. 1. Short title; table of contents. Sec. 2. Sense of Congress. Sec. 3. Review of participation of Nicaragua in Dominican Republic-Central Amer- ica-United States Free Trade Agreement. Sec. 4. Restrictions on international financial institutions relating to Nicaragua. Sec. 5. Targeted sanctions to advance democratic elections. Sec. 6. Developing and implementing a coordinated sanctions strategy with diplo- matic partners. Sec. 7. Inclusion of Nicaragua in list of countries subject to certain sanctions relat- ing to corruption. Sec. 8. Classified report on the involvement of Ortega family members and Nica- raguan government officials in corruption. Sec. 9. Classified report on the activities of the Russian Federation in Nicaragua. Sec. 10. Report on certain purchases by and agreements entered into by Govern- ment of Nicaragua relating to military or intelligence sector of Nica- ragua. Sec. 11. Report on human rights abuses in Nicaragua. Sec. 12. Supporting independent news media and freedom of information in Nica- ragua. Sec. 13. Amendment to short title of Public Law 115–335. Sec. 14. Definition. SEC. 2. SENSE OF CONGRESS. It is the sense of Congress that— (1) ongoing efforts by the government of President Daniel Ortega in Nicaragua to suppress the voice and actions of polit- ical opponents through intimidation and unlawful detainment, civil society, and independent news media violate the funda- mental freedoms and basic human rights of the people of Nica- ragua; (2) Congress unequivocally condemns the politically moti- vated and unlawful detention of presidential candidates Cristiana Chamorro, Arturo Cruz, Felix Maradiaga, and Juan Sebastian Chamorro; (3) Congress unequivocally condemns the passage of the Foreign Agents Regulation Law, the Special Cybercrimes Law, Cristiana Chamorro. Arturo Cruz. Felix Maradiaga. Juan Sebastian Chamorro. 50 USC 1701 note. Reinforcing Nicaragua’s Adherence to Conditions for Electoral Reform Act of 2021. Nov. 10, 2021 [S. 1064] VerDate Sep 11 2014 14:45 Nov 15, 2021 Jkt 029139 PO 00054 Frm 00001 Fmt 6580 Sfmt 6581 E:\PUBLAW\PUBL054.117 PUBL054 dkrause on LAP5T8D0R2PROD with PUBLAWS 135 STAT. 414 PUBLIC LAW 117–54—NOV. 10, 2021 the Self-Determination Law, and the Consumer Protection Law by the National Assembly of Nicaragua, which represent clear attempts by the Ortega government to curtail the fundamental freedoms and basic human rights of the people of Nicaragua; (4) Congress recognizes that free, fair, and transparent elections predicated on robust reform measures and the pres- ence of domestic and international observers represent the best opportunity for the people of Nicaragua to restore democracy and reach a peaceful solution to the political and social crisis in Nicaragua; (5) the United States recognizes the right of the people of Nicaragua to freely determine their own political future as vital to ensuring the sustainable restoration of democracy in their country; (6) the United States should align the use of diplomatic engagement and all other foreign policy tools, including the use of targeted sanctions, in support of efforts by democratic political actors and civil society in Nicaragua to advance the necessary conditions for free, fair, and transparent elections in Nicaragua; (7) the United States, in order to maximize the effectiveness of efforts described in paragraph (6), should— (A) coordinate with diplomatic partners, including the Government of Canada, the European Union, and partners in Latin America and the Caribbean; (B) advance diplomatic initiatives in consultation with the Organization of American States and the United Nations; and (C) thoroughly investigate the assets and holdings of the Nicaraguan Armed Forces in the United States and consider appropriate actions to hold such forces accountable for gross violations of human rights; and (8) pursuant to section 6(b) of the Nicaragua Investment Conditionality Act of 2018, the President should waive the application of restrictions under section 4 of that Act and the sanctions under section 5 of that Act if the Secretary of State certifies that the Government of Nicaragua is taking the steps identified in section 6(a) of that Act, including taking steps to ‘‘to hold free and fair elections overseen by credible domestic and international observers’’. SEC. 3. REVIEW OF PARTICIPATION OF NICARAGUA IN DOMINICAN REPUBLIC-CENTRAL AMERICA-UNITED STATES FREE TRADE AGREEMENT. (a) FINDINGS.—Congress makes the following findings: (1) On November 27, 2018, the President signed Executive Order 13851 (50 U.S.C. 1701 note; relating to blocking property of certain persons contributing to the situation in Nicaragua), which stated that ‘‘the situation in Nicaragua, including the violent response by the Government of Nicaragua to the pro- tests that began on April 18, 2018, and the Ortega regime’s systematic dismantling and undermining of democratic institu- tions and the rule of law, its use of indiscriminate violence and repressive tactics against civilians, as well as its corruption leading to the destabilization of Nicaragua’s economy, con- stitutes an unusual and extraordinary threat to the national security and foreign policy of the United States’’. VerDate Sep 11 2014 14:45 Nov 15, 2021 Jkt 029139 PO 00054 Frm 00002 Fmt 6580 Sfmt 6581 E:\PUBLAW\PUBL054.117 PUBL054 dkrause on LAP5T8D0R2PROD with PUBLAWS 135 STAT. 415 PUBLIC LAW 117–54—NOV. 10, 2021 (2) Article 21.2 of the Dominican Republic-Central America- United States Free Trade Agreement approved by Congress under section 101(a)(1) of the Dominican Republic-Central America-United States Free Trade Agreement Implementation Act (19 U.S.C. 4011(a)(1)) states, ‘‘Nothing in this Agreement shall be construed . . . to preclude a Party from applying measures that it considers necessary for the fulfillment of its obligations with respect to the maintenance or restoration of international peace or security, or the protection of its own essential security interests.’’. (b) SENSE OF CONGRESS.—It is the sense of Congress that the President should review the continued participation of Nica- ragua in the Dominican Republic-Central America-United States Free Trade Agreement if the Government of Nicaragua continues to tighten its authoritarian rule in an attempt to subvert democratic elections in November 2021 and undermine democracy and human rights in Nicaragua. SEC. 4. RESTRICTIONS ON INTERNATIONAL FINANCIAL INSTITUTIONS RELATING TO NICARAGUA. Section 4 of the Nicaragua Investment Conditionality Act of 2018 is amended— (1) by redesignating subsections (a), (b), and (c) as sub- sections (b), (c), and (d), respectively; (2) by inserting before subsection (b), as redesignated by paragraph (1), the following: ‘‘(a) SENSE OF CONGRESS.—It is the sense of Congress that the Secretary of the Treasury should take all possible steps, including through the full implementation of the exceptions set forth in subsection (c), to ensure that the restrictions required under subsection (b) do not negatively impact the basic human needs of the people of Nicaragua.’’; (3) in subsection (c), as so redesignated, by striking ‘‘sub- section (a)’’ and inserting ‘‘subsection (b)’’; and (4) by striking subsection (d), as so redesignated, and inserting the following: ‘‘(d) INCREASED OVERSIGHT.— ‘‘(1) IN GENERAL.—The United States Executive Director at each international financial institution of the World Bank Group, the United States Executive Director at the Inter-Amer- ican Development Bank, and the United States Executive Director at each other international financial institution, including the International Monetary Fund, shall take all prac- ticable steps— ‘‘(A) to increase scrutiny of any loan or financial or technical assistance provided for a project in Nicaragua; and ‘‘(B) to ensure that the loan or assistance is adminis- tered through an entity with full technical, administrative, and financial independence from the Government of Nica- ragua. ‘‘(2) MECHANISMS FOR INCREASED SCRUTINY.—The United States Executive Director at each international financial institution described in paragraph (1) shall use the voice, vote, and influence of the United States to encourage that institution to increase oversight mechanisms for new and existing loans 50 USC 1701 note. VerDate Sep 11 2014 14:45 Nov 15, 2021 Jkt 029139 PO 00054 Frm 00003 Fmt 6580 Sfmt 6581 E:\PUBLAW\PUBL054.117 PUBL054 dkrause on LAP5T8D0R2PROD with PUBLAWS 135 STAT. 416 PUBLIC LAW 117–54—NOV. 10, 2021 or financial or technical assistance provided for a project in Nicaragua. ‘‘(e) INTERAGENCY CONSULTATION.—Before implementing the restrictions described in subsection (b), or before exercising an exception under subsection (c), the Secretary of the Treasury shall consult with the Secretary of State and with the Administrator of the United States Agency for International Development to ensure that all loans and financial or technical assistance to Nica- ragua are consistent with United States foreign policy objectives as defined in section 3. ‘‘(f) REPORT.—Not later than 180 days after the date of the enactment of the RENACER Act, and annually thereafter until the termination date specified in section 10, the Secretary of the Treasury, in coordination with the Secretary of State and the Administrator of the United States Agency for International Development, shall submit to the appropriate congressional commit- tees a report on the implementation of this section, which shall include— ‘‘(1) summary of any loans and financial and technical assistance provided by international financial institutions for projects in Nicaragua; ‘‘(2) a description of the implementation of the restrictions described in subsection (b); ‘‘(3) an identification of the occasions in which the excep- tions under subsection (c) are exercised and an assessment of how the loan or assistance provided with each such exception may address basic human needs or promote democracy in Nica- ragua; ‘‘(4) a description of the results of the increased oversight conducted under subsection (d); and ‘‘(5) a description of international efforts to address the humanitarian needs of the people of Nicaragua.’’. SEC. 5. TARGETED SANCTIONS TO ADVANCE DEMOCRATIC ELECTIONS. (a) COORDINATED STRATEGY.— (1) IN GENERAL.—The Secretary of State and the Secretary of the Treasury, in consultation with the intelligence community (as defined in section 3 of the National Security Act of 1947 (50 U.S.C. 3003)), shall develop and implement a coordinated strategy to align diplomatic engagement efforts with the implementation of targeted sanctions in order to support efforts to facilitate the necessary conditions for free, fair, and trans- parent elections in Nicaragua. (2) BRIEFING REQUIRED.—Not later than 90 days after the date of the enactment of this Act, and every 90 days thereafter until December 31, 2022, the Secretary of State and the Sec- retary of the Treasury shall brief the Committee on Foreign Relations of the Senate and the Committee on Foreign Affairs of the House of Representatives on steps to be taken by the United States Government to develop and implement the coordi- nated strategy required by paragraph (1). (b) TARGETED SANCTIONS PRIORITIZATION.— (1) IN GENERAL.—Pursuant to the coordinated strategy required by subsection (a), the President shall prioritize the implementation of the targeted sanctions required under section 5 of the Nicaragua Investment Conditionality Act of 2018. President. Deadline. Time period. Consultation. 50 USC 1701 note. Assessment. Summary. Coordination. VerDate Sep 11 2014 14:45 Nov 15, 2021 Jkt 029139 PO 00054 Frm 00004 Fmt 6580 Sfmt 6581 E:\PUBLAW\PUBL054.117 PUBL054 dkrause on LAP5T8D0R2PROD with PUBLAWS 135 STAT. 417 PUBLIC LAW 117–54—NOV. 10, 2021 (2) TARGETS.—In carrying out paragraph (1), the Presi- dent— (A) shall examine whether foreign persons involved in directly or indirectly obstructing the establishment of conditions necessary for the realization of free, fair, and transparent elections in Nicaragua are subject to sanctions under section 5 of the Nicaragua Investment Conditionality Act of 2018; and (B) should, in particular, examine whether the fol- lowing persons have engaged in conduct subject to such sanctions: (i) Officials in the government of President Daniel Ortega. (ii) Family members of President Daniel Ortega. (iii) High-ranking members of the National Nica- raguan Police. (iv) High-ranking members of the Nicaraguan Armed Forces. (v) Members of the Supreme Electoral Council of Nicaragua. (vi) Officials of the Central Bank of Nicaragua. (vii) Party members and elected officials from the Sandinista National Liberation Front and their family members. (viii) Individuals or entities affiliated with businesses engaged in corrupt financial transactions with officials in the government of President Daniel Ortega, his party, or his family. (ix) Individuals identified in the report required by section 8 as involved in significant acts of public corruption in Nicaragua. SEC. 6. DEVELOPING AND IMPLEMENTING A COORDINATED SANC- TIONS STRATEGY WITH DIPLOMATIC PARTNERS. (a) FINDINGS.—Congress makes the following findings: (1) On June 21, 2019, the Government of Canada, pursuant to its Special Economic Measures Act, designated 9 officials of the Government of Nicaragua for the imposition of sanctions in response to gross and systematic human rights violations in Nicaragua. (2) On May 4, 2020, the European Union imposed sanctions with respect to 6 officials of the Government of Nicaragua identified as responsible for serious human rights violations and for the repression of civil society and democratic opposition in Nicaragua. (3) On October 12, 2020, the European Union extended its authority to impose restrictive measures on ‘‘persons and entities responsible for serious human rights violations or abuses or for the repression of civil s [Text truncated for display. Full text available on Congress.gov.]