Iran Ballistic Missiles and International Sanctions Enforcement Act

I 116TH CONGRESS 1ST SESSION H. R. 2118 To expand sanctions against Iran with respect to the ballistic missile program of Iran, to impose additional sanctions with respect to Iran’s Revolu- tionary Guard Corps, and for other purposes. IN THE HOUSE OF REPRESENTATIVES APRIL 8, 2019 Mr. MCCAUL introduced the following bill; which was referred to the Com- mittee on Foreign Affairs, and in addition to the Committees on Finan- cial Services, the Judiciary, Oversight and Reform, and Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned A BILL To expand sanctions against Iran with respect to the ballistic missile program of Iran, to impose additional sanctions with respect to Iran’s Revolutionary Guard Corps, 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; TABLE OF CONTENTS. 3 (a) SHORT TITLE.—This Act may be cited as the 4 ‘‘Iran Ballistic Missiles and International Sanctions En- 5 forcement Act’’. 6 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 2 •HR 2118 IH (b) TABLE OF CONTENTS.—The table of contents for 1 this Act is as follows: 2 Sec. 1. Short title; table of contents. TITLE I—EXPANSION OF SANCTIONS AGAINST IRAN WITH RESPECT TO THE BALLISTIC MISSILE PROGRAM OF IRAN Sec. 101. Sanctions relating to efforts by the Government of Iran with respect to ballistic missile-related goods, services, and technologies. Sec. 102. Determinations with respect to the imposition of sanctions for the sale or transfer of destabilizing types and amounts of conven- tional weapons to the Government of Iran. Sec. 103. Determination on use by the Government of Iran of commercial pas- senger aircraft and related services for illicit military or other activities. Sec. 104. Regulatory authority. Sec. 105. Definitions. TITLE II—IMPOSITION OF ADDITIONAL SANCTIONS WITH RESPECT TO IRAN’S REVOLUTIONARY GUARD CORPS Sec. 201. Additional sanctions with respect to foreign persons that are officials, agents, or affiliates of, or owned or controlled by, Iran’s Revo- lutionary Guard Corps. Sec. 202. Additional sanctions with respect to foreign persons that support or conduct certain transactions with Iran’s Revolutionary Guard Corps or other sanctioned persons. Sec. 203. Reports on certain Iranian persons. Sec. 204. Statement of policy on prevention of accession of Iran to World Trade Organization. TITLE I—EXPANSION OF SANC- 3 TIONS AGAINST IRAN WITH 4 RESPECT TO THE BALLISTIC 5 MISSILE PROGRAM OF IRAN 6 SEC. 101. SANCTIONS RELATING TO EFFORTS BY THE GOV- 7 ERNMENT OF IRAN WITH RESPECT TO BAL- 8 LISTIC MISSILE-RELATED GOODS, SERVICES, 9 AND TECHNOLOGIES. 10 (a) FINDINGS.—Congress finds the following: 11 (1) United Nations Security Council Resolution 12 2231 (2015)— 13 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 3 •HR 2118 IH (A) calls upon Iran ‘‘not to undertake any 1 activity related to ballistic missiles designed to 2 be capable of delivering nuclear weapons, in- 3 cluding launches using such ballistic missile 4 technology’’; and 5 (B) requires member states to ‘‘take the 6 necessary measures to prevent, except as de- 7 cided otherwise by the UN Security Council in 8 advance on a case-by-case basis, the supply, 9 sale, or transfer of arms or related materiel 10 from Iran’’. 11 (2) The United States maintains bilateral sanc- 12 tions against Iran for its efforts to manufacture, ac- 13 quire, possess, develop, transport, transfer or use 14 ballistic missiles or ballistic missile launch tech- 15 nology, and its acquisition of destabilizing types and 16 amounts of conventional weapons. 17 (3) According to the 2016 Worldwide Threat 18 Assessment, the United States intelligence commu- 19 nity judges ‘‘that Tehran would choose ballistic mis- 20 siles as its preferred method of delivering nuclear 21 weapons, if it builds them. Iran’s ballistic missiles 22 are inherently capable of delivering [weapons of 23 mass destruction], and Tehran already has the larg- 24 est inventory of ballistic missiles in the Middle East. 25 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 4 •HR 2118 IH Iran’s progress on space launch vehicles—along with 1 its desire to deter the United States and its allies— 2 provides Tehran with the means and motivation to 3 develop longer-range missiles, including ICBMs.’’. 4 (4) Since the passage of United Nations Secu- 5 rity Council 2231, Iran has conducted numerous 6 tests of ballistic missiles designed to be capable of 7 delivering nuclear weapons, and has acquired desta- 8 bilizing types of conventional weapons. 9 (5) Iran has pursued the ability to indigenously 10 produce ballistic missile and cruise missile goods, 11 services, and technologies. 12 (b) STATEMENT OF POLICY.—It is the policy of the 13 United States to prevent Iran from undertaking any activ- 14 ity related to ballistic missiles designed to be capable of 15 delivering nuclear weapons, including launches using such 16 ballistic missile technology. 17 (c) REPORT ON SUPPLY CHAIN OF IRAN’S BALLISTIC 18 MISSILE PROGRAM.— 19 (1) IN GENERAL.—Not later than 180 days 20 after the date of the enactment of this Act, the 21 President shall submit to the appropriate congres- 22 sional committees a report that contains the fol- 23 lowing: 24 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 5 •HR 2118 IH (A) An analysis of the foreign supply chain 1 and domestic supply chain in Iran that directly 2 or indirectly significantly facilitates, supports, 3 or otherwise aids the Government of Iran’s bal- 4 listic missile program. 5 (B) A description of the geographic dis- 6 tribution of the foreign and domestic supply 7 chain described in subparagraph (A). 8 (C) An assessment of the Government of 9 Iran’s ability to indigenously manufacture or 10 otherwise produce the goods, services, or tech- 11 nology necessary to support its ballistic missile 12 program. 13 (D) An identification of foreign persons 14 that have, based on credible information, di- 15 rectly or indirectly facilitated or supported the 16 development of the Government of Iran’s bal- 17 listic missile program, including the foreign and 18 domestic supply chain described in subpara- 19 graph (A). 20 (E) A determination with respect to each 21 foreign person identified under subparagraph 22 (D) as to whether the foreign person meets the 23 criteria for designation under— 24 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 6 •HR 2118 IH (i) paragraph (1) of section 5(b) of 1 the Iran Sanctions Act of 1996 (Public 2 Law 104–172; 50 U.S.C. 1701 note), as 3 amended by this section; 4 (ii) section 104 of the Countering 5 America’s Adversaries Through Sanctions 6 Act (Public Law 115–44; 22 U.S.C. 9403); 7 or 8 (iii) Executive Order 13382 (June 28, 9 2005), relating to Blocking Property of 10 Weapons of Mass Destruction Proliferators 11 and Their Supporters. 12 (2) FORM.—The report required under para- 13 graph (1) shall be submitted in unclassified form, 14 but may contain a classified annex. 15 (d) SANCTIONABLE ACTIVITIES WITH RESPECT TO 16 WEAPONS OF MASS DESTRUCTION.—Paragraph (1) of 17 section 5(b) of the Iran Sanctions Act of 1996 (Public 18 Law 104–172; 50 U.S.C. 1701 note) is amended— 19 (1) in the heading, by striking ‘‘EXPORTS, 20 TRANSFERS, AND TRANSSHIPMENTS’’ and inserting 21 ‘‘WEAPONS OF MASS DESTRUCTION; BALLISTIC MIS- 22 SILES; CONVENTIONAL WEAPONS’’; 23 (2) by striking ‘‘Except as’’ and inserting the 24 following: 25 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 7 •HR 2118 IH ‘‘(A) WEAPONS OF MASS DESTRUCTION.— 1 Except as’’; 2 (3) by striking ‘‘(A) on or after the date of the 3 enactment of the Iran Threat Reduction and Syria 4 Human Rights Act of 2012’’ and inserting the fol- 5 lowing: 6 ‘‘(i)(I) on or after the date of the en- 7 actment of the Iran Ballistic Missiles and 8 International Sanctions Enforcement Act’’; 9 (4) by striking ‘‘(B) knew’’ and inserting the 10 following: 11 ‘‘(II) knew’’; 12 (5) by striking ‘‘(i) the export’’ and inserting 13 the following: 14 ‘‘(aa) the export’’; 15 (6) by striking ‘‘would likely’’ and inserting 16 ‘‘may’’; 17 (7) by striking ‘‘(ii) the export’’ and inserting 18 the following: 19 ‘‘(bb) the export’’; 20 (8) by striking ‘‘(I) acquire’’ and inserting the 21 following: 22 ‘‘(AA) acquire’’; 23 (9) by striking ‘‘; or’’ at the end of subpara- 24 graph (A)(ii)(II)(bb)(AA) (as so redesignated); 25 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 8 •HR 2118 IH (10) by inserting after subparagraph 1 (A)(ii)(II)(bb)(AA) (as so redesignated) the fol- 2 lowing: 3 ‘‘(BB) acquire or develop 4 ballistic missiles or ballistic mis- 5 sile launch technologies; or’’; 6 (11) by striking ‘‘(II) acquire’’ and inserting 7 the following: 8 ‘‘(CC) acquire’’; 9 (12) by striking the period at the end of sub- 10 paragraph (A)(ii)(II)(bb)(CC) (as so redesignated) 11 and inserting ‘‘; or’’; and 12 (13) by adding at the end of subparagraph (A) 13 the following: 14 ‘‘(ii) knowingly exports or transfers, 15 or permits or otherwise facilitates the 16 transshipment or re-export of, goods, serv- 17 ices, technology, or other items to Iran 18 that materially supports Iran’s efforts to— 19 ‘‘(I) acquire or develop ballistic 20 missiles or ballistic missile launch 21 technologies; or 22 ‘‘(II) acquire or develop desta- 23 bilizing numbers and types of ad- 24 vanced conventional weapons (as such 25 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 9 •HR 2118 IH term is defined in paragraphs (1) and 1 (2) of section 1608 of the Iran-Iraq 2 Arms Non-Proliferation Act of 3 1992).’’. 4 (e) SANCTIONABLE ACTIVITIES WITH RESPECT TO 5 BALLISTIC MISSILES.—Paragraph (1) of section 5(b) of 6 the Iran Sanctions Act of 1996 (Public Law 104–172; 50 7 U.S.C. 1701 note), as amended by subsection (d), is fur- 8 ther amended by adding at the end the following: 9 ‘‘(B) ADDITIONAL BALLISTIC MISSILE-RE- 10 LATED GOODS, SERVICES, AND TECHNOLOGY.— 11 ‘‘(i) ADDITIONAL AUTHORITY.— 12 ‘‘(I) IN GENERAL.—The Presi- 13 dent shall impose the sanctions de- 14 scribed in paragraph (8), (10), or (12) 15 of section 6(a), as the case may be, 16 with respect to— 17 ‘‘(aa) an agency or instru- 18 mentality of the Government of 19 Iran if the President determines 20 that the agency or instrumen- 21 tality, on or after the date of the 22 enactment of this subparagraph, 23 knowingly seeks to develop, pro- 24 cure, or acquire goods, services, 25 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 10 •HR 2118 IH or technology that materially 1 supports efforts by the Govern- 2 ment of Iran with respect to bal- 3 listic missile-related goods, serv- 4 ices, and technologies as de- 5 scribed in clause (ii); 6 ‘‘(bb) a foreign person or an 7 agency or instrumentality of a 8 foreign state if the President de- 9 termines that the person or agen- 10 cy or instrumentality knowingly, 11 on or after the date of the enact- 12 ment of this paragraph, provides 13 significant material support to 14 the Government of Iran that sup- 15 ports efforts by the Government 16 of Iran with respect to ballistic 17 missile-related goods, services, 18 and technologies as described in 19 clause (ii); and 20 ‘‘(cc) a foreign person that 21 the President determines know- 22 ingly engages in a significant 23 transaction or transactions with, 24 or provides significant financial 25 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 11 •HR 2118 IH services for, a foreign person or 1 an agency or instrumentality of a 2 foreign state described in item 3 (aa) or (bb) with respect to bal- 4 listic missile-related goods, serv- 5 ices, and technologies as de- 6 scribed in clause (ii). 7 ‘‘(II) EXCEPTION RELATING TO 8 IMPORTATION OF GOODS.— 9 ‘‘(aa) IN GENERAL.—The 10 requirement to impose sanctions 11 as described in subclause (I) 12 shall not include the authority to 13 impose sanctions on the importa- 14 tion of goods. 15 ‘‘(bb) GOOD DEFINED.—In 16 this subclause, the term ‘good’ 17 means any article, natural or 18 man-made substance, material, 19 supply or manufactured product, 20 including inspection and test 21 equipment, and excluding tech- 22 nical data. 23 ‘‘(ii) EFFORTS BY THE GOVERNMENT 24 OF IRAN WITH RESPECT TO BALLISTIC 25 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 12 •HR 2118 IH MISSILE-RELATED GOODS, SERVICES, AND 1 TECHNOLOGIES DESCRIBED.— 2 ‘‘(I) IN GENERAL.—For purposes 3 of subclauses (I), (II), and (III) of 4 clause (i), and except as provided in 5 subclause (II) of this clause, efforts 6 by the Government of Iran with re- 7 spect to ballistic missile-related goods, 8 services, and technologies described in 9 this subsection are efforts by the Gov- 10 ernment of Iran to manufacture, ac- 11 quire, possess, develop, transport, 12 transfer, test or use ballistic missiles 13 or associated goods, services, or tech- 14 nology by the Government of Iran, in- 15 cluding efforts by the Government of 16 Iran to manufacture, acquire, possess, 17 develop, transport, transfer, pur- 18 chase— 19 ‘‘(aa) goods, services, or 20 technology listed on the Missile 21 Technology Control Regime 22 Equipment and Technology 23 Annex of October 8, 2015, and 24 subsequent revisions that have 25 VerDate Sep 11 2014 04:19 Apr 17, 2019 Jkt 089200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\H2118.IH H2118 kjohnson on DSK79L0C42 with BILLS 13 •HR 2118 IH been acquired outside of the Pro- 1 curement Working Group or not 2 otherwise approved by the United 3 Nations Security Council; or 4 ‘‘(bb) goods, services, or 5 technology not [Text truncated for display. 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