Sanctions Lists Harmonization Act

Mr. Speaker, I rise today to urge passage of my bill, H.R. 5613, the Sanctions Lists Harmonization Act.

Mr. Speaker, sanctions are a critical tool in America's foreign policy toolkit, and that has been the case really since the end of World War II.

Unfortunately, the U.S. faces significant challenges in coordinating its sanction policy to support our national security objectives. For example, entities that we sanction in the U.S. are not similarly sanctioned by our allies in Europe, even when our policies are aligned. We spend a significant amount of time and effort coordinating these actions to target actors like Iran and other malign actors, even when we are all rowing in the same direction.

Mr. Speaker, it is often even worse than that. We don't even coordinate within our own government. Under current law, our Federal agencies are not required to communicate with each other when foreign entities are added to their sanctions lists.

For example, if the Department of Defense has concerns and they communicate those concerns, an entity may be denied an export license by the Department of Commerce but then still allowed to conduct banking transactions regulated by Treasury.

Mr. Speaker, there are many other examples, but at the very least, our agencies should proactively notify and coordinate with one another to maximize the penalties to these bad actors when it makes sense.

My bill simply requires the Department of Treasury, the Department of Commerce, and the Department of Defense to notify each other and communicate with each other within 30 days

when placing a foreign entity on certain sanctions lists, whether it is with the Office of Foreign Asset Control, OFAC, BIS, or somewhere else.

From there, these other agencies would then have to determine whether that entity that is sanctioned should be added to their own sanctions list.

It is required, Mr. Speaker. It is not optional. It is not when the agency gets around to it, if ever. It is required.

Subsequently, each agency will be required to submit a report to Congress specifying which entities they chose to include on their list and explaining their process.

Let me be clear: This bill does not mandate inclusion of any entity on any list. It doesn't tie the hand of the executive branch, but it does require the executive branch agencies to communicate with each other.

I view this as a simple way for the interagency to coordinate, maximize penalties on foreign bad actors, close loopholes they may take advantage of, and it also creates the bureaucratic incentive to better coordinate our sanctions process.

Mr. Speaker, I thank Chairman McCaul for his leadership and Ranking Member Meeks for working with us to get this language to a bipartisan agreement in the Foreign Affairs Committee. I urge its swift passage on the floor.

Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 5613) to require a review of whether individuals or entities subject to the imposition of certain sanctions through inclusion on certain sanctions lists should also be subject to the imposition of other sanctions and included on other sanctions lists, as amended.

Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days to revise and extend their remarks and include extraneous material on this measure.

Mr. Speaker, I yield 5 minutes to the gentleman from Florida (Mr. Waltz), the author of this bill.

Mr. Speaker, I reserve the right to close, and I reserve the balance of my time.

Mr. Speaker, I yield myself the balance of my time.

Well done, my friend, from New York for opening and closing.

Mr. Speaker, I thank my friend and colleague, Congressman Waltz, for his leadership on this. This is a good bill. This is something we need to do. We need to force harmonization, coordination on the interagency. We have a lot of different lists. We have got the Treasury's Chinese Military-Industrial Complex List. We have the entity list at Commerce BIS. We have the Military End User List at Commerce. We have the 1260H list at DOD. We need this bill. We need better coordination.

I thank Chairman McCaul and Armed Services Committee Chairman Rogers for their leadership in moving this bill to the floor today. I hope that all of our colleagues will join us in ensuring that U.S. sanctions remain a powerful tool for defending our interests and values against those who seek to undermine democracy, security, and human rights around the world. Until we get outbound sanctions legislation, this is a good placeholder.

Mr. Speaker, I urge unanimous support for H.R. 5613, and I yield back the balance of my time.

Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, I rise in support of H.R. 5613, as amended.

The U.S. Government operates many lists of foreign companies run by different departments with different departments. This is entirely appropriate. A North Korean nuclear proliferation agency is not the same as an unverified South Korean company.

While we may want to place restrictions on both, at least temporarily, the penalties and consequences should differ accordingly. The purpose of this bill is straightforward.

When one agency, like the Department of Commerce, lists a foreign entity, it ensures that other agencies, such as the Department of Defense, are formally notified. The right hand simply needs to know what the left hand is doing.

We need smart and effective policies, not a one-size-fits-all approach, particularly when it comes to economic statecraft and especially in our competition with China.

Mr. Speaker, I encourage my colleagues to support this bill. Also, since the gentleman said that he was prepared to close, that is my closing. It is my opening and my closing.

Mr. Speaker, I yield back the balance of my time.

Mr. President, I understand there is a bill at the desk, and I ask for its first reading.

I now ask for a second reading, and in order to place the bill on the calendar under the provisions of rule XIV, I object to my own request.

Mr. President, I understand that there is a bill at the desk that is due for a second reading.

In order to place the bill on the calendar under the provisions of rule XIV, I would object to further proceeding.