22 U.S.C. § 9224 — Procurement sanctions

Page 2205 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 9224 2017, 131 Stat. 945; Pub. L. 116–92, div. F, title LXXI, § 7123, Dec. 20, 2019, 133 Stat. 2248.) Editorial Notes REFERENCES IN TEXT Section 4605(j) of title 50, referred to in subsec. (a), was repealed by Pub. L. 115–232, div. A, title XVII, § 1766(a), Aug. 13, 2018, 132 Stat. 2232. The Foreign Assistance Act of 1961, referred to in sub- sec. (b)(1), is Pub. L. 87–195, Sept. 4, 1961, 75 Stat. 424, which is classified principally to chapter 32 (§ 2151 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under sec- tion 2151 of this title and Tables. AMENDMENTS 2019—Subsec. (b)(2). Pub. L. 116–92 substituted ‘‘5 years’’ for ‘‘2 years’’. 2017—Subsec. (b). Pub. L. 115–44, § 313(1)(A), sub- stituted ‘‘Transactions in defense articles or defense services’’ for ‘‘Transactions in lethal military equip- ment’’ in heading. Subsec. (b)(1). Pub. L. 115–44, § 313(1)(B), substituted ‘‘that provides to or receives from the Government of North Korea a defense article or defense service, as such terms are defined in section 2794 of this title, if the President determines that a significant type or amount of such article or service has been so provided or received’’ for ‘‘that provides lethal military equip- ment to the Government of North Korea’’. Subsec. (b)(2). Pub. L. 115–44, § 313(1)(C), substituted ‘‘2 years’’ for ‘‘1 year’’. Subsec. (d). Pub. L. 115–44, § 313(2), substituted ‘‘ma- ternal and child health, disease prevention and re- sponse, or’’ for ‘‘or emergency’’. Subsec. (e). Pub. L. 115–44, § 313(3), added subsec. (e). § 9224. Procurement sanctions (a) In general Except as provided in this section, the head of an executive agency may not procure, or enter into any contract for the procurement of, any goods or services from any person designated under section 9214(a) or (g) of this title. (b) Federal Acquisition Regulation (1) In general The Federal Acquisition Regulation issued pursuant to section 1303(a)(1) of title 41 shall be revised to require that each person that is a prospective contractor submit a certifi- cation that such person does not engage in any activity described in section 9214(a) or (g) of this title. (2) Applicability The revision required under paragraph (1) shall apply with respect to contracts for which solicitations are issued on or after the date that is 90 days after February 18, 2016. (c) Remedies (1) Inclusion on list The Administrator of General Services shall include, on the List of Parties Excluded from Federal Procurement and Nonprocurement Programs maintained by the Administrator under part 9 of the Federal Acquisition Regu- lation, each person that is debarred, sus- pended, or proposed for debarment or suspen- sion by the head of an executive agency on the basis of a determination of a false certifi- cation under subsection (b). (2) Contract termination; suspension If the head of an executive agency deter- mines that a person has submitted a false cer- tification under subsection (b) after the date on which the Federal Acquisition Regulation is revised to implement the requirements of this section, the head of such executive agency shall— (A) terminate any contract with such per- son; and (B) debar or suspend such person from eli- gibility for Federal contracts for a period of not longer than 2 years. (3) Applicable procedures Any debarment or suspension under para- graph (2)(B) shall be subject to the procedures that apply to debarment and suspension under subpart 9.4 of the Federal Acquisition Regula- tion. (d) Clarification regarding certain products The remedies specified in subsection (c) shall not apply with respect to the procurement of any eligible product (as defined in section 2518(4) of title 19 of any foreign country or instrumen- tality designated under section 2511(b) of title 19. (e) Rule of construction Nothing in this subsection may be construed to limit the use of other remedies available to the head of an executive agency or any other of- ficial of the Federal Government on the basis of a determination of a false certification under subsection (b). (f) Executive agency defined In this section, the term ‘‘executive agency’’ has the meaning given such term in section 133 of title 41. (Pub. L. 114–122, title II, § 204, Feb. 18, 2016, 130 Stat. 107; Pub. L. 116–92, div. F, title LXXI, § 7122(b)(3), Dec. 20, 2019, 133 Stat. 2248.) Editorial Notes AMENDMENTS 2019—Subsecs. (a), (b)(1). Pub. L. 116–92 inserted ‘‘or (g)’’ after ‘‘section 9214(a)’’. Statutory Notes and Related Subsidiaries ASSESSMENT AND AUTHORITY TO TERMINATE OR PRO- HIBIT CONTRACTS FOR PROCUREMENT FROM CHINESE COMPANIES PROVIDING SUPPORT TO THE DEMOCRATIC PEOPLE’S REPUBLIC OF KOREA Pub. L. 115–91, div. A, title VIII, § 888, Dec. 12, 2017, 131 Stat. 1507, provided that: ‘‘(a) ASSESSMENT REQUIRED.— ‘‘(1) IN GENERAL.—The Secretary of Defense, in con- sultation with the Secretary of State, the Secretary of the Treasury, and the Director of National Intel- ligence, shall conduct an assessment of trade between the People’s Republic of China and the Democratic People’s Republic of Korea, including elements deemed to be important to United States national se- curity and defense. ‘‘(2) ELEMENTS.—The assessment required by para- graph (1) shall— ‘‘(A) assess the composition of all trade between China and the Democratic People’s Republic of Korea, including trade in goods and services; ‘‘(B) identify whether any Chinese commercial entities that are engaged in such trade materially support illicit activities on the part of North Korea; Page 2206 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 9225 ‘‘(C) evaluate the extent to which the United States Government procures goods or services from any commercial entity identified under subpara- graph (B); ‘‘(D) provide a list of commercial entities identi- fied under subparagraph (B) that provide defense goods or services for the Department of Defense; and ‘‘(E) evaluate the ramifications to United States national security, including any impacts to the de- fense industrial base, Department of Defense acqui- sition programs, and Department of Defense logis- tics or supply chains, of prohibiting procurements from commercial entities listed under subpara- graph (D). ‘‘(3) REPORT.—Not later than 180 days after the date of the enactment of this Act [Dec. 12, 2017], the Sec- retary of Defense shall submit to Congress a report on the assessment required by paragraph (1). The re- port shall be submitted in unclassified form, but may contain a classified annex. ‘‘(b) AUTHORITY.—The Secretary of Defense may ter- minate existing contracts or prohibit the award of con- tracts for the procurement of goods or services for the Department of Defense from a Chinese commercial en- tity included on the list described under subsection (a)(2)(D) based on a determination informed by the as- sessment required under subsection (a)(1). ‘‘(c) NOTIFICATION.—The Secretary of Defense shall submit to the appropriate committees of Congress a no- tification of, and detailed justification for, any exercise of the authority in subsection (b) not less than 30 days before the date on which the authority is exercised. ‘‘(d) APPROPRIATE COMMITTEES OF CONGRESS DE- FINED.—In this section, the term ‘appropriate commit- tees of Congress’ means— ‘‘(1) the Committee on Armed Services and the Committee on Foreign Relations of the Senate; and ‘‘(2) the Committee on Armed Services and the Committee on Foreign Affairs of the House of Rep- resentatives.’’ § 9225. Enhanced inspection authorities (a) Report required (1) In general Not later than 180 days after August 2, 2017, and annually thereafter for 5 years, the Presi- dent shall submit to the appropriate congres- sional committees a report— (A) identifying the operators of foreign sea ports and airports that knowingly— (i) significantly fail to implement or en- force regulations to inspect ships, aircraft, cargo, or conveyances in transit to or from North Korea, as required by applicable United Nations Security Council resolu- tions; (ii) facilitate the transfer, trans- shipment, or conveyance of significant types or quantities of cargo, vessels, or aircraft owned or controlled by persons designated under applicable United Na- tions Security Council resolutions; or (iii) facilitate any of the activities de- scribed in section 9214(a) of this title; (B) describing the extent to which the re- quirements of applicable United Nations Se- curity Council resolutions to de-register any vessel owned, controlled, or operated by or on behalf of the Government of North Korea have been implemented by other foreign countries; (C) describing the compliance of the Is- lamic Republic of Iran with the sanctions mandated in applicable United Nations Se- curity Council resolutions; (D) identifying vessels, aircraft, and con- veyances owned or controlled by the Recon- naissance General Bureau of the Workers’ Party of Korea; and (E) describing the diplomatic and enforce- ment efforts by the President to secure the full implementation of the applicable United Nations Security Council resolutions, as de- scribed in subparagraphs (A) through (C). (2) Form The report required under paragraph (1) shall be submitted in unclassified form but may contain a classified annex. (b) Specific findings Each report required under subsection (a) shall include specific findings with respect to the following ports and airports: (1) The ports of Dandong, Dalian, and any other port in the People’s Republic of China that the President deems appropriate. (2) The ports of Abadan, Bandar-e-Abbas, Chabahar, Bandar-e-Khomeini, Bushehr Port, Asaluyeh Port, Kish, Kharg Island, Bandar-e- Lenge, and Khorramshahr, and Tehran Imam Khomeini International Airport, in the Is- lamic Republic of Iran. (3) The ports of Nakhodka, Vanino, and Vladivostok, in the Russian Federation. (4) The ports of Latakia, Banias, and Tartous, and Damascus International Airport, in the Syrian Arab Republic. (c) Enhanced security targeting requirements (1) In general Except as provided in paragraph (2), the Sec- retary of Homeland Security may, using a lay- ered approach, require enhanced screening procedures to determine whether physical in- spections are warranted of any cargo bound for or landed in the United States that— (A) has been transported through a sea port or airport the operator of which has been identified by the President in accord- ance with subsection (a)(1) as having repeat- edly failed to comply with applicable United Nations Security Council resolutions; (B) is aboard a vessel or aircraft, or within a conveyance that has, within the last 365 days, entered the territory or waters of North Korea, or landed in any of the sea ports or airports of North Korea; or (C) is registered by a country or jurisdic- tion whose compliance has been identified by the President as deficient pursuant to subsection (a)(2). (2) Exception for food, medicine, and humani- tarian shipments Paragraph (1) shall not apply to any vessel, aircraft, or conveyance that has entered the territory or waters of North Korea, or landed in any of the sea ports or airports of North Korea, exclusively for the purposes described in section 9228(b)(3)(B) of this title, or to im- port food, medicine, or supplies into North Korea to meet the humanitarian needs of the North Korean people. (d) Seizure and forfeiture A vessel, aircraft, or conveyance used to facili- tate any of the activities described in section