Eastern Mediterranean Security and Energy Partnership Act of 2019

II Calendar No. 142 116TH CONGRESS 1ST SESSION S. 1102 To promote security and energy partnerships in the Eastern Mediterranean, and for other purposes. IN THE SENATE OF THE UNITED STATES APRIL 10, 2019 Mr. MENENDEZ (for himself, Mr. RUBIO, Mr. VAN HOLLEN, Mr. PETERS, Mr. COONS, Mr. CRUZ, and Mr. CRAMER) introduced the following bill; which was read twice and referred to the Committee on Foreign Relations JULY 10, 2019 Reported by Mr. RISCH, with an amendment [Strike out all after the enacting clause and insert the part printed in italic] A BILL To promote security and energy partnerships in the Eastern Mediterranean, 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 ‘‘Eastern Mediterranean 4 Security and Energy Partnership Act of 2019’’. 5 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00001 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 2 •S 1102 RS SEC. 2. FINDINGS. 1 Congress makes the following findings: 2 (1) The security of partners and allies in the 3 Eastern Mediterranean region is critical to the secu- 4 rity of the United States and Europe. 5 (2) Greece is a valuable member of the North 6 Atlantic Treaty Organization (NATO) and a key pil- 7 lar of stability in the Eastern Mediterranean. 8 (3) Israel is a steadfast ally of the United 9 States and has been designated a ‘‘major non-NATO 10 ally’’ and ‘‘major strategic partner’’. 11 (4) Cyprus is a key strategic partner and 12 signed a Statement of Intent with the United States 13 on November 6, 2018, to enhance bilateral security 14 cooperation. 15 (5) The countries of Greece, Cyprus, and Israel 16 have participated in critical trilateral summits to im- 17 prove cooperation on energy and security issues. 18 (6) Secretary of State Mike Pompeo partici- 19 pated in the trilateral summit among Israel, Greece, 20 and Cyprus on March 20, 2019. 21 (7) All four countries oppose any action in the 22 Eastern Mediterranean and the Aegean Sea that 23 could challenge stability, violate international law, or 24 undermine good neighborly relations, and in a joint 25 declaration on March 21, 2019, agreed to ‘‘defend 26 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00002 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 3 •S 1102 RS against external malign influences in the Eastern 1 Mediterranean and the broader Middle East’’. 2 (8) The recent discovery of potentially the re- 3 gion’s largest natural gas field off the Egyptian 4 coast and the newest discoveries of natural gas off 5 the Cypriot coast could represent a significant posi- 6 tive development for the Eastern Mediterranean and 7 the Middle East, enhancing the region’s strategic en- 8 ergy significance. 9 (9) Turkish government officials have expressed 10 an intent to purchase the S–400 system from the 11 Russian Federation, which could trigger the imposi- 12 tion of mandatory sanctions under the Countering 13 America’s Adversaries Through Sanctions Act (Pub- 14 lic Law 115–44). 15 (10) It is in the national security interests of 16 the United States to promote, achieve, and maintain 17 energy security among, and through cooperation 18 with, allies. 19 (11) Natural gas developments in the Eastern 20 Mediterranean have the potential to provide eco- 21 nomic gains and contribute to energy security in the 22 region and Europe, as well as support European ef- 23 forts to diversify away from natural gas supplied by 24 the Russian Federation. 25 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00003 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 4 •S 1102 RS (12) The soon to be completed Trans Adriatic 1 Pipeline is a critical component of the Southern Gas 2 Corridor and the European Union’s efforts to diver- 3 sify energy resources. 4 (13) The proposed Eastern Mediterranean pipe- 5 line if commercially viable would provide for energy 6 diversification in accordance with the European 7 Union’s third energy package of reforms. 8 (14) The United States acknowledges the 9 achievements and importance of the Binational In- 10 dustrial Research and Development Foundation 11 (BIRD) and the United States-Israel Binational 12 Science Foundation (BSF) and supports continued 13 multiyear funding to ensure the continuity of the 14 programs of the Foundations. 15 (15) The United States has welcomed Greece’s 16 allocation of 2 percent of its gross domestic product 17 (GDP) to defense in accordance with commitments 18 made at the 2014 NATO Summit in Wales. 19 (16) Energy exploration in the Eastern Medi- 20 terranean region must be safeguarded against 21 threats posed by terrorist and extremist groups, in- 22 cluding Hezbollah and any other actor in the region. 23 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00004 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 5 •S 1102 RS (17) The energy exploration in the Republic of 1 Cyprus’s Exclusive Economic Zone and territorial 2 waters— 3 (A) furthers United States interests by 4 providing a potential alternative to Russian gas 5 for United States allies and partners; and 6 (B) should not be impeded by other sov- 7 ereign states. 8 (18) The United States Government cooperates 9 closely with the Government of the Republic of Cy- 10 prus through information sharing agreements. 11 (19) United States officials have assisted the 12 Government of the Republic of Cyprus with crafting 13 that nation’s national security strategy. 14 (20) The United States Government provides 15 training to Cypriot officials in areas such as cyberse- 16 curity, counterterrorism, and explosive ordnance dis- 17 posal and stockpile management. 18 (21) The Republic of Cyprus is a valued mem- 19 ber of the Proliferation Security Initiative to combat 20 the trafficking of weapons of mass destruction. 21 (22) The Republic of Cyprus continues to work 22 closely with the United Nations and regional part- 23 ners in Europe to combat terrorism and violent ex- 24 tremism. 25 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00005 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 6 •S 1102 RS (23) Despite robust economic and security rela- 1 tions with the United States, the Republic of Cyprus 2 has been subject to a United States prohibition on 3 the export of defense articles and services since 4 1987. 5 (24) The 1987 arms prohibition was designed 6 to restrict United States arms sales and transfer to 7 the Republic of Cyprus and the occupied part of Cy- 8 prus to avoid hindering reunification efforts. 9 (25) At least 40,000 Turkish troops are sta- 10 tioned in the occupied part of Cyprus with some 11 weapons procured from the United States through 12 mainland Turkey. 13 (26) While the United States has, as a matter 14 of policy, avoided the provision of defense articles 15 and services to the Republic of Cyprus, the Govern- 16 ment of Cyprus has, in the past, sought to obtain 17 defense articles from other countries, including coun- 18 tries, such as Russia, that pose challenges to United 19 States interests around the world. 20 SEC. 3. STATEMENT OF POLICY. 21 It is the policy of the United States— 22 (1) to continue to actively participate in the tri- 23 lateral dialogue on energy, maritime security, cyber 24 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00006 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 7 •S 1102 RS security and protection of critical infrastructure con- 1 ducted among Israel, Greece and Cyprus; 2 (2) to support diplomatic efforts with partners 3 and allies to deepen energy security cooperation 4 among Greece, Cyprus, and Israel and to encourage 5 the private sector to make investments in energy in- 6 frastructure in the Eastern Mediterranean region; 7 (3) to strongly support the completion of the 8 Trans Adriatic and Eastern Mediterranean Pipelines 9 and the establishment of liquified natural gas (LNG) 10 terminals across the Eastern Mediterranean as a 11 means of diversifying regional energy needs away 12 from the Russian Federation; 13 (4) to maintain a robust United States naval 14 presence and investments in the naval facility at 15 Souda Bay, Greece and develop deeper security co- 16 operation with the latter to include the recent MQ– 17 9 deployments to the Larissa Air Force Base and 18 United States Army helicopter training in central 19 Greece; 20 (5) to welcome Greece’s commitment to move 21 forward with the Interconnector Greece-Bulgaria 22 (IGB pipeline) and additional LNG terminals that 23 will help facilitate delivery of non-Russian gas to the 24 Balkans and central Europe; 25 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00007 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 8 •S 1102 RS (6) to support deepened security cooperation 1 with the Republic of Cyprus through the removal of 2 the arms embargo on the country; 3 (7) to support robust International Military 4 Education and Training (IMET) programming with 5 Greece and the Republic of Cyprus; 6 (8) to leverage relationships within the Euro- 7 pean Union to encourage investments in Cypriot bor- 8 der and maritime security; 9 (9) to support efforts to counter Russian Fed- 10 eration Government interference and influence in the 11 Eastern Mediterranean through increased security 12 cooperation with Greece, Cyprus, and Israel, to in- 13 clude intelligence sharing, cyber, and maritime do- 14 main awareness; 15 (10) to support the Republic of Cyprus efforts 16 to regulate its banking industry to ensure that it is 17 not used as a source of international money laun- 18 dering and encourages additional measures toward 19 that end; 20 (11) to strongly oppose any actions that would 21 trigger mandatory sanctions pursuant to section 231 22 of the Countering America’s Adversaries Through 23 Sanctions Act (CAATSA) (Public Law 115–44), to 24 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00008 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 9 •S 1102 RS include the purchase by Turkey of an S–400 system 1 from the Russian Federation; 2 (12) to continue robust official strategic en- 3 gagement with Israel, Greece, and Cyprus; 4 (13) to urge countries in the region to deny 5 port services to the Russian Federation vessels de- 6 ployed to support the government of Bashar Al- 7 Assad in Syria; 8 (14) to support joint military exercises among 9 Israel, Greece, and Cyprus; 10 (15) to fully implement relevant CAATSA pro- 11 visions to prevent interference by the Government of 12 the Russian Federation in the region; 13 (16) to support efforts by countries in the re- 14 gion to demobilize military equipment supplied by 15 the Government of the Russian Federation in favor 16 of equipment provided by NATO and NATO-allied 17 member countries; and 18 (17) to strongly support the active and robust 19 participation of Israel, Cyprus, and Greece in the 20 Combating Terrorism Fellowship Program. 21 SEC. 4. UNITED STATES-EASTERN MEDITERRANEAN EN- 22 ERGY COOPERATION. 23 (a) IN GENERAL.—The Secretary of State, in con- 24 sultation with the Secretary of Energy, may enter into co- 25 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00009 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 10 •S 1102 RS operative agreements supporting and enhancing dialogue 1 and planning involving international partnerships between 2 the United States and Israel, Greece, and Cyprus. 3 (b) ANNUAL REPORTS.—If the Secretary of State, in 4 consultation with the Secretary of Energy, enters into 5 agreements authorized under subsection (a), the Secretary 6 shall submit an annual report to the appropriate congres- 7 sional committees that describes— 8 (1) actions taken to implement such agree- 9 ments; and 10 (2) any projects undertaken pursuant to such 11 agreements. 12 (c) UNITED STATES-EASTERN MEDITERRANEAN EN- 13 ERGY CENTER.—The Secretary of Energy, in consultation 14 with the Secretary of State, may establish a joint United 15 States-Eastern Mediterranean Energy Center in the 16 United States leveraging the experience, knowledge, and 17 expertise of institutions of higher education and entities 18 in the private sector, among others, in offshore energy de- 19 velopment to further dialogue and collaboration to develop 20 more robust academic cooperation in energy innovation 21 technology and engineering, water science, technology 22 transfer, and analysis of emerging geopolitical implica- 23 tions, which include opportunities as well as crises and 24 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00010 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 11 •S 1102 RS threats from foreign natural resource and energy acquisi- 1 tions. 2 SEC. 5. REPEAL OF PROHIBITION ON TRANSFER OF ARTI- 3 CLES ON THE UNITED STATES MUNITIONS 4 LIST TO THE REPUBLIC OF CYPRUS. 5 (a) SENSE OF THE SENATE ON CYPRUS.—It is the 6 sense of the Senate that— 7 (1) the direct sale or transfer of arms by the 8 United States to the Republic of Cyprus would ad- 9 vance United States security interests in Europe by 10 helping to reduce the dependence of the Government 11 of Cyprus on other countries for defense-related ma- 12 teriel, including countries that pose challenges to 13 United States interests around the world; and 14 (2) it is in the interest of the United States— 15 (A) to continue to support United Nations- 16 facilitated efforts toward a comprehensive solu- 17 tion to the division of Cyprus; and 18 (B) for the Republic of Cyprus to join 19 NATO’s Partnership for Peace program. 20 (b) MODIFICATION OF PROHIBITION.—Section 21 620C(e) of the Foreign Assistance Act of 1961 (22 U.S.C. 22 2373(e)) is amended by adding at the end the following 23 new paragraph: 24 VerDate Sep 11 2014 22:44 Jul 10, 2019 Jkt 034408 PO 00000 Frm 00011 Fmt 6652 Sfmt 6401 E:\BILLS\S1102.RS S1102 pbinns on DSK79D2C42PROD with BILLS 12 •S 1102 RS ‘‘(3) The requirement under paragraph (1) shall not 1 apply to any sale or other provision of any defense article 2 or service to Cyprus if the end-user of such defense article 3 or service is the Republic of Cyprus.’’. 4 (c) EXCLUSION OF THE GOVERNMENT OF THE RE- 5 PUBLIC OF CYPRUS FROM CERTAIN RELATED REGULA- 6 TIONS.—Beginning on the date of the enactment of this 7 Act, the Secretary of State shall not apply a policy of de- 8 nial for exports, re-exports, or transfe [Text truncated for display. 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