[House Hearing, 111 Congress]
[From the U.S. Government Printing Office]
IRAN REFINED PETROLEUM SANCTIONS ACT
OF 2009
=======================================================================
MARKUP
BEFORE THE
COMMITTEE ON FOREIGN AFFAIRS
HOUSE OF REPRESENTATIVES
ONE HUNDRED ELEVENTH CONGRESS
FIRST SESSION
ON
H.R. 2194
__________
OCTOBER 28, 2009
__________
Serial No. 111-66
__________
Printed for the use of the Committee on Foreign Affairs
Available via the World Wide Web: http://www.foreignaffairs.house.gov/
______
U.S. GOVERNMENT PRINTING OFFICE
53-137 WASHINGTON : 2010
-----------------------------------------------------------------------
For sale by the Superintendent of Documents, U.S. Government Printing
Office, http://bookstore.gpo.gov. For more information, contact the
GPO Customer Contact Center, U.S. Government Printing Office.
Phone 202-512-1800, or 866-512-1800 (toll-free). E-mail, gpo@custhelp.com.
COMMITTEE ON FOREIGN AFFAIRS
HOWARD L. BERMAN, California, Chairman
GARY L. ACKERMAN, New York ILEANA ROS-LEHTINEN, Florida
ENI F.H. FALEOMAVAEGA, American CHRISTOPHER H. SMITH, New Jersey
Samoa DAN BURTON, Indiana
DONALD M. PAYNE, New Jersey ELTON GALLEGLY, California
BRAD SHERMAN, California DANA ROHRABACHER, California
ROBERT WEXLER, Florida DONALD A. MANZULLO, Illinois
ELIOT L. ENGEL, New York EDWARD R. ROYCE, California
BILL DELAHUNT, Massachusetts RON PAUL, Texas
GREGORY W. MEEKS, New York JEFF FLAKE, Arizona
DIANE E. WATSON, California MIKE PENCE, Indiana
RUSS CARNAHAN, Missouri JOE WILSON, South Carolina
ALBIO SIRES, New Jersey JOHN BOOZMAN, Arkansas
GERALD E. CONNOLLY, Virginia J. GRESHAM BARRETT, South Carolina
MICHAEL E. McMAHON, New York CONNIE MACK, Florida
JOHN S. TANNER, Tennessee JEFF FORTENBERRY, Nebraska
GENE GREEN, Texas MICHAEL T. McCAUL, Texas
LYNN WOOLSEY, California TED POE, Texas
SHEILA JACKSON LEE, Texas BOB INGLIS, South Carolina
BARBARA LEE, California GUS BILIRAKIS, Florida
SHELLEY BERKLEY, Nevada
JOSEPH CROWLEY, New York
MIKE ROSS, Arkansas
BRAD MILLER, North Carolina
DAVID SCOTT, Georgia
JIM COSTA, California
KEITH ELLISON, Minnesota
GABRIELLE GIFFORDS, Arizona
RON KLEIN, Florida
Richard J. Kessler, Staff Director
Yleem Poblete, Republican Staff Director
David S. Abramowitz, Chief Counsel
Kristin Wells, Deputy Chief Counsel deg.
Alan Makovsky, Senior Professional Staff Member deg.
David Fite, Senior Professional Staff Member deg.
Pearl Alice Marsh, Senior Professional Staff Member deg.
David Killion, Senior Professional Staff Member deg.
James Ritchotte, Professional Staff Member deg.
Michael Beard, Professional Staff Member deg.
Amanda Sloat, Professional Staff Member deg.
Peter Quilter, Professional Staff Member deg.
Daniel Silverberg, Counsel deg.
Brent Woolfork, Junior Professional Staff Member deg.
Shanna Winters, Senior Policy Advisor and Counsel deg.
Jasmeet Ahuja, Professional Staff Member deg.
Laura Rush, Professional Staff Member/Security Officer
Genell Brown, Senior Staff Associate/Hearing Coordinator
C O N T E N T S
----------
Page
MARKUP OF
H.R. 2194, To amend the Iran Sanctions Act of 1996 to enhance
United States diplomatic efforts with respect to Iran by
expanding economic sanctions against Iran...................... 3
Amendment in the Nature of a Substitute to H.R. 2194 offered by
the Honorable Howard L. Berman, a Representative in Congress
from the State of California, and Chairman, Committee on
Foreign Affairs.............................................. 18
LETTERS, STATEMENTS, ETC., SUBMITTED FOR THE RECORD
The Honorable Keith Ellison, a Representative in Congress from
the State of Minnesota: Letter................................. 66
The Honorable Howard L. Berman: Evidence of Iran's Military
Nuclear Intentions and Iran's Safeguard Violations............. 75
APPENDIX
Markup notice.................................................... 82
Markup minutes................................................... 83
The Honorable Howard L. Berman: Prepared statement............... 85
The Honorable Sheila Jackson Lee, a Representative in Congress
from the State of Texas: Prepared statement.................... 87
The Honorable Keith Ellison, a Representative in Congress from
the State of Minnesota: Prepared statement..................... 90
IRAN REFINED PETROLEUM SANCTIONS ACT OF 2009
----------
WEDNESDAY, OCTOBER 28, 2009
House of Representatives,
Committee on Foreign Affairs,
Washington, DC.
The committee met, pursuant to notice, at 10:05 a.m., in
room 2172, Rayburn House Office Building, Hon. Howard L. Berman
(chairman of the committee) presiding.
Chairman Berman. The hearing, the deg.committee
will come to order.
Before we begin, I wanted to take a couple of moments to
acknowledge the departure of two very key staffers for the
committee, David Abramowitz, our chief counsel, and Kristin
Wells, our deputy chief counsel.
David has been on the committee since 1999, and prior to
that, he served for a decade in the State Department's Office
of the Legal Advisor.
Kristin has been with the committee since 2007, and
previously served with the Committee on the Judiciary beginning
in 2001.
David and Kristin have made major contributions to the
committee's legislative agenda and to our Nation's foreign
policy. Both played key roles in the committee's recent passage
of the State Department authorization bill.
David's role while in the minority, as well as in the
majority, working on such issues as the Trafficking Victims
Protection Act, the Millennium Challenge Assistance Program and
PEPFAR are well-known to many of us. I think it is fair to say
that David has been instrumental in everything this committee
has done. His work has resulted in improving the lives of
millions of recipients of U.S. assistance programs, including
trafficking victims. We will miss him greatly, but not for
long, because he will likely be back in his new capacity
working for Humanity United, an antitrafficking organization.
Kristin, too, has been a major force in the committee,
working on behalf of the innocent and disadvantaged. She too
was instrumental in the Wilberforce Trafficking Reauthorization
Act of 2007, the United States Caribbean Educational Exchange
Act, legislation pertaining to Iraqi refugees, the
International Violence Against Women Act, and she has played a
key role up to today, up until late last night--which
deg.today is her last day--in working with Mr. Smith's staff on
a bipartisan basis to further protections of the innocent. She
put global women's issues front and center for this
committee, deg. and her contributions will be long
remembered.
So I thank you, both of you, for your service and say,
``Good luck.'' As I mentioned, they are going on to new
professional challenges, David to Humanity United, a foundation
which is dedicated to ending modern-day slavery and mass
atrocities. Kristin will be a partner in Patton Boggs, where
she will be a key figure in their widening practice.
The way you sort of can tell the value--w deg.When
you really realize the value of the incredible staff that we
all have working for us is when they come in to tell you they
are leaving and you can gauge how depressed you get when you
hear that news. And in this case, the indicator definitely went
up on that issue.
We thank both of them, and we will miss you.
And now, pursuant to notice, I will call up H.R. 2194, the
Iran Petroleum Refined--the deg.Iran Refined
Petroleum Sanctions Act.
Without objection, the amendment in the nature of a
substitute before the members will be considered as base text
for purposes of amendment, will be considered as read, and will
be open for amendment at any time. A summary of the amendment
in the nature of a substitute is on each member's desk.
[The information referred to follows:]H.R.
2194 deg.
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
Amendment to H.R. 2194 in NOS deg.
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
Chairman Berman. In a moment, I will yield myself 5 minutes
to explain the bill and then 5 minutes to the ranking member to
allow her to provide her views on the legislation.
If a member wishes to make a general statement on the bill,
they may do so by asking to strike the last word once the bill
is being considered for amendment.
Without objection, I may recess the committee from time to
time.
In addition, I may exercise the chair's prerogative under
rule IV of the committee rules to postpone votes for the
convenience of the members. I will give members as much notice
as I can on when such postponed votes will occur.
And without objection, I recognize myself for 5 minutes.
In marking up H.R. 2194, I have one transcendent goal in
mind: To maximize the chances that Iran, the leading state
sponsor of terrorism, will be prevented from acquiring the
capacity to produce nuclear arms. That capacity would pose
perhaps the most serious strategic threat to our Nation.
Why? Four reasons: First, a nuclear-armed Iran would be
able to bully its neighbors and dominate its region and would
be much less susceptible to pressure from the international
community. Second, its terrorist proteges, like Hezbollah and
Hamas, would be emboldened. Third, it would likely spark a
nuclear arms race in the Middle East and the Persian Gulf that
would lead to the collapse of the global nuclear
nonproliferation regime. And finally, and very importantly, we
could never be sure that it wouldn't share its nuclear know-how
with others, including terrorists, or possibly even use nuclear
weapons against Israel or other United States allies in the
region.
This legislation seeks to target Iran's ongoing dependence
on refined petroleum imports. It is not a magic bullet, but it
will--at least--force the Iranians to think twice about
continuing to flout the will of the international community.
Unlike previous Iran sanctions legislation, which has been
ignored by every administration, this bill requires the
administration to report to Congress all activities that would
trigger sanctions. Three hundred and thirty members of the
House, including the overwhelming majority of this committee,
are cosponsors of this bill.
When I introduced H.R. 2194, deg. 6 months ago, I
said that I did not want to mark it up right away because I
wanted to give diplomacy a chance to succeed. And I still do.
In recent weeks, there has been a potential development on
the diplomatic front as the United States, its
partners, deg. and Iran have discussed the prospect
that Iran would ship 75 percent of its existing stockpile of
low-enriched uranium outside the country to be further enriched
for used deg. in making medical isotopes. If this deal
is realized, as agreed to in principle, and not with
significant modifications--and assuming that Iran has no covert
stockpile of low-enriched uranium--we will have pushed back
Iran's nuclear clock perhaps 9 months to 1 year.
In marking up this bill today, we must recognize that
whatever the progress on that recent arrangement, it does not
address the international community's central concern:
Suspension of Iran's uranium enrichment program.
Iran is still refusing to suspend enrichment, as demanded
in four separate United Nations Security Council resolutions,
and has thus far not even committed to engage on that core
issue in the recent round of talks. In fact, as we now know,
Iran has been seeking to covertly expand its uranium enrichment
program.
The Iranian Government should know that the U.S. Congress
remains intently focused on this issue, and that there will be
consequences if it continues to stonewall. That is why, after 6
months of waiting, it is time to begin moving this bill through
the legislative process.
I am not giving up on the possibility that diplomacy will
succeed in bringing about a suspension of
Iranian deg.'s uranium enrichment program. But if
diplomacy does not produce the desired results within a very
short period of time, there should be a robust sanctions regime
imposed by the U.N. Security Council--or, failing that, by a
coalition of economically powerful, like-minded states that,
one hopes, would include the United States, the EU nations,
Japan, and several of the key oil-producing Arab states.
Only when we judge that these other options will not
succeed in a timely manner should we turn to additional
unilateral and extraterritorial sanctions such as those
included in H.R. 2194.
As I said in my statement 2 weeks ago announcing this
markup, by approving the Iran Refined Petroleum Sanctions Act,
this committee will take the first key steps deg. to
ensure that President Obama is empowered with the full range of
tools he needs to address the looming nuclear threat from Iran,
even as he pursues diplomacy and, if necessary, the
multilateral sanctions track. Given the length of time it
ordinarily takes the House and Senate to move a significant
piece of legislation to the President's desk, it is important
that we initiate this process today.
All of us are aware that, deg. if the provisions
of this bill are ever implemented, they would likely have a
significant impact on the Iranian economy, including quite
possibly on average Iranians. While that is a
distasteful, I give myself deg.--I ask for unanimous
consent to have 2 additional minutes.
Mr. Burton. Of course.
Chairman Berman. And I will give myself that.
While that is a distasteful prospect--that is the
significant impact on average Iranians--the urgency of dealing
with the Iranian nuclear project--and the immense danger that a
nuclear-armed Iran would pose to tens, if not hundreds, of
millions of people who will fall within the range of its
missiles--compels us to go forward with this legislation.
Should its implementation prove necessary, it would be our hope
that the Iranian regime would come to its senses and suspend
its enrichment program at the earliest possible time.
Iranians should understand that Americans, while distressed
by the actions of the Iranian regime, have feelings of real
friendship for the Iranian people themselves, and we believe
most Iranians reciprocate those feelings. Many of us regret
that developments in recent decades have created impediments to
our mutual friendship.
We look forward to a day when the United States-Iranian
friendship can blossom anew, when a government in Tehran is
willing to restore Iran to membership in good standing among
the community of nations. For Iran, the first step down that
path is the complete abandonment of its nuclear weapons
program.
We know that sanctions can work. We have seen them succeed,
for example, in the cases of South Africa and Zimbabwe, when it
was known as Rhodesia. But sanctions usually take time. Given
the advanced state, deg. even of the overt Iranian
nuclear program; given Iran's achievements in missile
development; and given persistent reports that Iran has made
considerable progress on nuclear-weapon design, we have very
little time to lose. Should diplomacy fail, we must be
prepared.
I urge all members of the committee to support this bill,
and I turn to the ranking member to express her views on the
legislation.
Ms. Ros-Lehtinen. Thank you so much, Mr. Chairman.
I am extremely pleased that this urgently needed sanctions
legislation is being marked up today. The extent of the Iranian
threat is far greater today than when the Iran-Libya Sanctions
Act, also known as ILSA, was passed in 1996 or even when the
Iran Freedom Support Act, which I authored to strengthen Iran
sanctions, was enacted into law in 2006.
Throughout, Iran has poured massive resources into its
nuclear weapons program and has made great strides in its
development of ballistic missiles and other advanced
conventional weapons. Its support for militant, Islamic
extremists has greatly expanded as well. And it has adopted
increasingly aggressive policies toward other countries in the
region.
By sanctioning foreign companies that invested in Iran's
energy infrastructure, ILSA sought to cut off investment in
Iran's struggling petroleum sector, the regime's economic life
line. As a result, Iran's petroleum sector has been denied
critical foreign investment. Today's legislation, the Iran
Refined Petroleum Sanctions Act, seeks to ratchet up the
pressure on the regime by targeting a new vulnerability, namely
Iran's inability to produce sufficient gasoline and other
refined-petroleum products.
The bipartisan bill, as you have stated, Mr. Chairman, also
has 330 cosponsors. There is no question that it will be
adopted overwhelmingly when it is sent to the floor, which I
hope will be soon.
The amendment in the nature of a substitute which we are
considering today contains a number of important changes to the
introduced bill. I will highlight just a few: A requirement
that investigations into possible violations of the Iran's
Sanctions Act be concluded within 180 days; an expansion of
sanctions beyond the maritime shipment of refined-petroleum
products to Iran to also include truck and rail shipping; a
prohibition on new nuclear cooperation agreements with
governments that do not take effective action against those
under its jurisdiction who provide Iran with materials and
technology used in its nuclear weapons program; additional
reporting requirements regarding the Iranian Revolutionary
Guard Corps, activity by Iranian diplomats, quasi-official
entities and proxies, such as Hezbollah in the Middle East,
Western Hemisphere, Africa and beyond, and trade between Iran
and the G-20 nations; and an additional sense of Congress
regarding newly discovered nuclear facilities, as well as
additional statements of policy, such as calling on the
Secretary of State to make every effort to assist the American
hostages taken when Iranian militants seized our embassy in
1979 and their survivors in achieving full compensation for
their injuries.
These and other additions greatly strengthen the bill's
effectiveness. Major opportunities have been thrown away
because successive administrations refused to use the many
powerful tools that Congress has given to them or did so only
halfheartedly.
It is my expectation that we will work in a bipartisan
manner to ensure that congressional mandates and intents are no
longer ignored by the executive. I further hope that the
current administration, as with its predecessor in the second
term, does not allow itself to be manipulated by Iran into an
indefinite holding pattern to delay and extract greater
concessions while the clock on their break-out capacity
continues to tick.
I used a reference at last week's Burma hearing with
respect to the proposed new approach to that regime that,
unfortunately, also fits perfectly when discussing dealings
with the Iranian regime. And that is a Winston Churchill quote,
when he warned, ``There is no greater mistake than to suppose
that platitudes, smooth words, and timid policies offer a path
to safety.'' I fear that I will have many opportunities to use
that Churchill quote in the future.
After years of failed efforts at engagement and offers of
inducement, it should be clear that unless we impose the
maximum pressure on Iran, and this bill is a major step forward
in that direction, the regime will continue its march toward
acquiring nuclear weapons, dominating the Persian Gulf, and
expanding its network of radical militants around the world. We
still have time to act but we must do so quickly.
And Mr. Chairman, one last note, I join you in wishing much
success to David and Kristin in their new endeavors. And
indeed, it is delight to work with all of your staff members on
your side. I know that that is the feeling on our side of the
aisle.
I enjoy working with you as well, Mr. Chairman, in a
bipartisan manner and will continue to do so as we move this
bill along in other committees and on to the floor action.
Thank you so very much, Mr. Chairman.
Chairman Berman. Thank you very much, and I share that
enjoyment of course. Sometimes at 11 o'clock at night, it is--
for what purpose?
Mr. Ackerman. Move to strike next to the last word.
Chairman Berman. The gentleman is recognized to next of 5
minutes.
Mr. Ackerman. Mr. Chairman, I have been and remain a strong
advocate for sanctions on Iran. For many years, through
Democratic and Republican administrations, I have felt it to be
vital to force Iran to pay a price, some price, any price, for
its general subversion and state sponsorship of terrorism and,
most of all, its nuclear proliferation.
Today we are going to move forward a sanctions bill that I
believe will strengthen the Obama administration's ability to
conduct effective diplomacy. The world, and I mean both our
allies and others, needs to know that the U.S. Congress is dead
serious about sanctions should diplomacy fail to resolve the
real concerns about Iran's nuclear program.
For those who worry that sanctions may lead to conflict, I
would suggest that the opposite is true. With Iranian
proliferation on the horizon, what is feckless is reckless. If
you don't want war, it seems to me that you must back the
toughest possible sanctions.
But sanctions alone almost certainly are not going to be
sufficient to force the Iran regime to change course. The
violence throughout Iran in June following the rigged
Presidential election as well as the subsequent escalation of
political repression have both demonstrated Iran's rulers are
ready to do whatever is takes to preserve their grip on power.
And given the 10 years of sanctions followed by the war against
Saddam's Iraq and what hasn't happened to nuclear North Korea,
I suspect Iranian's thugocracy sees nuclear arms as their
ultimate insurance policy.
So even as we proceed, as we must, on enhancing our
capacity for unilateral sanctions and even as we continue, as
we must, on developing crippling multilateral sanctions that
can be applied if diplomacy proves to be ineffectual, we should
bear in mind that there may not be any level of sanctions
sufficient enough to compel a change in Iran's nuclear program.
I would suggest we need a strategy more comprehensive than just
diplomatic engagement followed by sanctions.
President Obama's support for direct engagement with Iran
has already helped to heal a variety of political woes. But by
itself, diplomatic engagement still leaves too much initiative
in Iranian hands. Likewise with political and economic
sanctions if the Iranians remain recalcitrant and sanctions are
applied, no matter how crippling, and I would want them to be
absolutely suffocating of the regime, the initiative is still
left to the Ayatollahs to decide when they have had enough.
After bemoaning for years the insufficiency of our leverage
over Iran, why have we chosen to ignore Iran's green movement,
which so clearly has the Ayatollahs absolutely terrified. Iran
is sowing chaos and terror throughout the Middle East. Where is
the Truman-like policy of declaring our support for any nation
trying to remain free from Iranian threats?
We do need to pursue engagement, and we do need to have
sanctions ready in case it fails. But we also need a policy
that supports the democratic movement within Iran, that
strengthens our abilities to resist Iranian subversion, that
enhances our political and military coordination within the
Persian Gulf, that makes clear to all nations that political
support for Iran will come at a price in their relations to the
United States.
If we don't come up with a comprehensive policy, one that
applies pressure to Iran across the board, I suspect President
Obama is soon going to have to decide whether an Iranian
nuclear weapons is truly unacceptable in the full meaning of
the word and with full knowledge of what that really means.
Mr. Chairman, I withdraw my motion.
Chairman Berman. The time of the gentleman has expired.
And the gentleman from Indiana that deg., Mr.
Burton, for what purpose do you seek recognition?
Mr. Burton. Strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Burton. First of all, Mr. Chairman, I am very happy we
are finally getting to this legislation. You introduced it 6
months ago, and you and I have discussed this many times about
how quickly we should bring it to the full committee.
I would just like to ask you, Mr. Chairman, if you would
yield to me.
Chairman Berman. You have the time.
Mr. Burton. Well, I will yield to you for an answer, then.
Do we have any assurance that the other committees of
jurisdiction are going to work with us to bring this bill to
the floor expeditiously?
Chairman Berman. If the gentleman will yield.
Mr. Burton. I am yielding.
Chairman Berman. What I--I am not going to let--I will do--
put it this way, I will do everything in my power to make sure
that the timing of this bill is not negatively affected by the
sequential referrals to the three committees that come from
this legislation. And I am not--I am not going to use the
sequential referral process as an excuse to keep from bringing
this bill up at the time I think it achieves its purpose.
Mr. Burton. Mr. Chairman, I do appreciate that, but we have
waited 6 months for this one.
And if the other committees of jurisdiction drag their
heels, we could be messing around with this for another 6
months or longer.
I don't trust Iran. You know, in I think 1939, Lord
Chamberlain went to Munich to talk to Hitler, and he got
assurances that Hitler wasn't going to do anything to expand
his aggressive moves. And yet a short time after that, we were
in the middle of World War II that killed 50 million or 60
million people.
We are in the nuclear age right now. We can't drag our
feet. More currently, the Clinton administration trusted and
worked with and got some concessions out of North Korea which
were thrown right down the receptacle we find in our bathrooms,
and they went right ahead with their nuclear program.
And so let me just say, Mr. Chairman, I think it is
essential that this Congress move and move as rapidly as
possible and try to get our allies to move as rapidly as
possible to put these sanctions on them. I don't believe that
they are going to stop their nuclear program.
We have heard time and again that one of their major goals
is to destroy Israel, to wipe it off the face of the earth.
They likewise call us the Great Satan. I haven't heard anything
in their rhetoric that would change that. And now they are
saying, well, that they are thinking about it. At Geneva, they
said that they would start trying to work out something so they
could send part of their nuclear material back to Russia, 75
percent or whatever it is. They shouldn't have any of that
nuclear material.
And right now, as we speak today, the centrifuges are still
spinning. They are working today to develop a nuclear weapons
capability and their missile capability as well. And the longer
we wait, the more we risk a major conflagration other there.
I know some of the leaders in Israel, and I know that their
number one concern is protecting their country. It is a very
small country and could be almost annihilated with a couple of
nuclear weapons. And I truly believe, the longer we drag our
feet, the more we risk a conflict over there that could kill an
awful lot of innocent people both in Iran and in Israel.
And so I think we need to move as quickly as possible, and
I hope you will use all the power you have, as you just stated,
Mr. Chairman, to get this legislation through the other
committees and get it to the floor so we can vote on it. We get
this thing passed and then start talking to our allies about
working with us and the United Nations. Then, I think, we can
start putting some real pressure on Iran. But right now,
solving this problem with just words is not going to get the
job done.
With that, I yield back the balance of my time.
Chairman Berman. Time of the gentleman has expired.
The gentleman from California, Mr. Sherman. For what
purpose do you seek recognition?
Mr. Sherman. To strike one of the words. You can decide
which one.
Chairman Berman. Okay, the gentleman is recognized for 5
minutes.
Mr. Sherman. Our policy of engagement needs to be
complimented by immediate, harsh and extraterritorial
sanctions. And we need to get the administration to enforce the
bills that have already become law, especially the Iran
Sanctions Act. We need to pass several additional sanctions
through this Congress; then the sanctions can be frozen or
waived when the centrifuges are frozen, and then talks can
continue in a more relaxed atmosphere.
With that being said, this is a good bill. I am proud to
cosponsor it. It is not comprehensive; it is not intended to be
comprehensive. And I am not going to offer amendments that are
outside the objectives of the author. Rather, I hope that those
other objectives already embodied in bills that I have authored
or cosponsored, or that others have put forward, will be taken
up expeditiously so that we will pass every possible useful
sanction through this Congress. That would include making sure
that U.S. subsidiaries don't do business with Iran, that is to
say foreign incorporated subsidiaries of U.S. firms. Also, a
ban on Iranian exports to the United States. It wouldn't even
be exterritorial to say that we are going to stop imports from
Iran. We don't import oil from Iran. We only import the stuff
that we don't need and they couldn't sell anywhere else.
There are a number of other sanctions, including those
designed to prevent Iran from getting mining and milling
equipment. I believe the ranking member and I are working on
that. I look forward to working on these other pieces of
legislation.
Finally, I want to thank the chairman for including in this
bill language that would target the Iran Revolutionary Guard
Corps. That Corps has operated through hundreds of fronts and
affiliates. It is time that we designate these entities under
appropriate statutes and executive orders. The amendment put
forward by the chairman would require that the administration
identify these fronts and affiliates in reports required by the
bill, and calls on the President to sanction these entities as
well as those who do business with them. If you sell to the
IRGC or any of its fronts or affiliates, you should not be
selling to us.
I look forward to the passage of this important
legislation, commend the chairman for drafting it and yield
back.
Chairman Berman. The time of the gentleman has expired.
And the gentleman from Indiana, for what purpose----
Mr. Burton. I will speak again.
Chairman Berman. The other gentleman from Indiana. There
are more than one.
Mr. Pence. Thank you, Mr. Chairman. I move to strike the
last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Pence. I am glad to be here today, and I appreciate the
chairman and the ranking member's leadership in bringing H.R.
2194 before this committee, which has extraordinary bipartisan
support in this committee and before the Congress. The bill
before us today, if enacted, would amend the Iran Sanctions Act
of 1996 to provide additional tools the administration should
use to pressure Iran where words have failed.
Despite the fact that the prevailing diplomatic wins these
days blow in the direction of diplomacy alone, I believe with
all my heart that diplomacy and sanctions are not mutually
exclusive. And the action that this committee will take today.
And I hope that this Congress will take in the very near future
in moving and enacting the Iran Refined Petroleum Sanctions Act
will greatly strengthen the position of the United States at
the negotiation table with our allies relative to Iran.
This past summer, we saw vivid images of violent acts the
Iranian regime was willing to commit against its own citizens
to maintain its illegitimate grip on power. Dissidents took to
the streets, by the millions to express their opposition to the
fraudulent elections. The crackdown began with tragic results.
Mr. Chairman, it was a great privilege for me to partner
with you in bringing a bipartisan resolution to the floor of
the Congress that gave the American people an opportunity to
speak in solidarity with the dissidents in Iran and also to
condemn the violence that took place there.
The reality was at that time Iran effective declared war on
its own people. We ought to ponder that as we think about the
strength of this legislation and U.S. resolve. If this is the
level of violence that a regime in Tehran is willing to use
against its own citizens, what does that tell us about the
level of violence they would be willing to use against other
nations?
Iran's support for terrorism and pursuit of weapons of mass
destruction have long threatened global peace and security. To
the Iranian regime, the United States is the Great Satan and
our cherished ally Israel has no right to exist.
Last week Iran missed the deadline to respond to a proposed
agreement between Iran and six world powers, including the
United States. Under the deal, Russia and France would accept
80 percent of Iran's known low-enriched uranium, process it for
civilian purposes, and then give it back to Iran. Yesterday,
Iran agreed to this general framework we are told, but they
said they would seek important changes. This announcement
should be seen for what it is, little more than a two-step to
keep the negotiation process going while Iran continues in its
headlong rush to obtain usable nuclear weapons.
Iran's failure to meet deadlines in this current ploy to
drag out negotiations further should come as no surprise. Iran
deceived the world community time and time again, and any
assurance that their nuclear program is peaceful should be seen
for what it is.
The revelation last month of Iranian's secret uranium
enrichment facility near Qom has already shown Iran's
propensity--Tehran's propensity for double dealing. The world
is left to wonder what other sites might be hiding thousands
more centrifuges busily churning out highly-enriched uranium
and how long it will be before they have enough for a bomb.
Already the leading state sponsor of terror, it would only be a
matter of time before a nuclear-armed Iran made good on its
threat.
The international community and I would argue this country
has talked long enough about Iran's nuclear ambitions. It is
time for deeds. It is time to take real concrete steps to begin
to economically isolate this discredited regime in Tehran. And
I urge support for the strongest possible measures to be
included in the Iran Refined Petroleum Sanctions Act and,
again, commend the chairman of this committee and the ranking
member of this committee for their strong leadership in
bringing this legislation before the Congress.
I yield back.
Chairman Berman. Thank you.
And the gentleman from New York seeks recognition.
Mr. Engel. Yes, Mr. Chairman, I move to strike the last
word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Engel. Thank you. I want to associate myself with Mr.
Pence's remarks, which I think are quite right and on the
money.
So I thank you for making those remarks, Mr. Pence, and I
certainly agree with everything you have said.
And Mr. Chairman, I strongly support H.R. 2194, the Iran
Refined Petroleum Sanctions Act of 2009. I am a proud cosponsor
of this excellent piece of legislation which seeks to increase
the pressure on Iran for its pursuit of nuclear weapons. And I
would especially would deg.like to commend you, Mr.
Chairman, for sponsoring this thoughtful initiative.
As you know, I was the author of a Syria Accountability Act
some years ago. Ms. Ros-Lehtinen and I introduced that bill. It
slapped sanctions on Syria for the first time ever. We pursued
diplomacy while we pursued sanctions, and I think that is an
important thing to remember.
Only a few short weeks ago, the world learned of a secret
uranium-enrichment facility near the city of Qom. If there was
ever any doubt Iran was trying to build nuclear weapons, I
believe that this revelation dispels any shred of that doubt.
The facility, kept secret from the IAEA, was built deep on a
mountain, on a protected military base. This is how a country
conceals a nuclear weapons program, not how it develops
peaceful energy technologies.
As Iran continues to disregard its legal obligations and
flouts U.N. Security Council resolutions demanding that it halt
its nuclear enrichment program, this committee can play a
critical role in impeding Iran from acquiring a nuclear weapons
capability. By passing this Iran Refined Petroleum Sanctions
Act, Congress will create critical tools to increase the
pressure on Iran. Although Iran is a leading producer of crude
oil, it has limited refining capability. This bill seeks to
increase leverage against Iran by sanctioning entities that
export refined-petroleum products to Iran or support the
development of Iran's domestic refining capabilities.
It is my hope that the administration will apply these
additional sanctions to make absolutely clear to the
Ahmadinejad regime that the world will not accept his nuclear
ambitions.
Mr. Chairman, as chairman of the Subcommittee on the
Western Hemisphere, I would like to raise one additional
concern which arose at my hearing yesterday on Iran's role in
the Western Hemisphere. Last month, Venezuelan leader Hugo
Chavez agreed to provide 20,000 barrels per day of refined
gasoline to Iran. It is anyone's guess as to whether this will
ever be implemented, but the deal may be covered by the bill we
are considering today. While some question whether Venezuela
has the ability to provide gasoline to Iran since it imports
some gasoline to meet its own domestic demand, President Chavez
is clearly approaching a perilous area. I hope he reconsiders
this unwise step. And if he doesn't, I hope these sanctions
will apply in that regard.
The United States, our allies and the United Nations
Security Council have recognized that a nuclear-armed Iran
would be a danger to the Middle East and to the nuclear
nonproliferation regime. A nuclear-armed Iran is simply
unacceptable, and we must not stand for it. And while the rest
of the world twiddles its thumbs, this is obviously a very,
very important issue, not only for us in the United States, but
for the people of Israel. I think the people of Israel will
make decisions on how they act, but I believe that we in the
United States can make decisions to try to block Iran. So I
therefore strongly support the Iran Refined Petroleum Sanction
Act, and I urge the committee to report this bill favorably,
and I yield back the balance of my time.
Chairman Berman. The time of the gentleman has expired.
And the gentleman from New Jersey, Mr. Smith.
Mr. Smith. Mr. Chairman, I move to strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Smith. Thank you very much.
Mr. Chairman, first of all I, want to congratulate you and
the ranking member in pushing this necessary tightening and
enhancement of sanctions against Iran. It is important that
sanctions against the Government of Iran be considered in the
context not only of United States security interests and those
of our allies and friends directly threatened, which includes
especially Israel, but also in pursuit of respect for human
rights and democratic freedom to which the people of Iran are
entitled.
In fact, the two goals cannot be separated, regional and
global security depend on Iran having a stable government and a
society where human rights and the will of the Iranian people
are respected. This bill underscores that point. The bill makes
clear within the department, within the statement of policy
that the United States supports ``all Iranian citizens who
embrace the values of freedom, human rights, civil liberties
and the rule of law.''
Mr. Chairman, I recently joined my friend and colleague Bob
Inglis and other House members in sending a letter to Secretary
of State Hillary Clinton expressing concerns about reports that
the State Department and USAID are being ``extremely cautious
as to whether and how they provide funding to promote
democracy, human rights and the will of law in Iran.''
The how of it is an important issue for deliberation, but
there should be no question whatsoever as to whether United
States actively supports these essential goals of the Iranian
people. There are reports that important initiatives are being
undertaken by highly reputable groups such as Freedom House and
the International Republican Institute, both here in the United
States, in furtherance of these goals have had their U.S.
funding renewal requests denied. And as a result, those
initiatives may be discontinued. This would be
deg.seem to be contrary to the best interest of the Iranian
people and the United States.
The letter to Secretary Clinton asked for information as to
what strategy the U.S. Government is pursuing in support of the
green revolution.
In the meantime, this bill does provide the committee the
opportunity to send the clear, unmistakable message to the
Iranian Government that there are consequences to attempting to
develop nuclear weapons, unconventional weapons and ballistic
missiles and supporting international terrorism. I am very
pleased to be one of the cosponsors of the bill.
And finally, I just want to say, Mr. Chairman, that we will
deeply miss David Abramowitz and Kristin Wells. David and I and
the members of this committee for years worked on human rights
legislation. As a matter of fact, the Trafficking Victims
Protection Act would not have become law without the bipartisan
cooperation and the insights and the wordsmithing that he
provided, as well as members of our own committee and the
members of our own staff. That kind of bipartisan cooperation
is what it is all about. I think this bill is another example
that that tradition continues to live on. I thank you and yield
back.
Chairman Berman. I thank the gentleman.
And does the gentleman from Missouri seek recognition? No.
The gentleman from New Jersey, Mr. Sires, for what purpose
do you seek recognition?
Mr. Sires. Thank you, Mr. Chairman, I move to strike the
last word.
I would like to thank the chairman and the ranking member
for their continued efforts on the complicated issues
surrounding Iran and their dedicated work on this bill. I am a
proud sponsor of this bill and the broad bipartisan support
behind this initiative is commendable.
The Iran Refined Petroleum Sanctions Act will expand our
options under the Iranian Sanctions Act by defining more
sanctionable offenses and by expanding the available types of
sanction. This bill allows sanction on firms that send refined
gasoline to Iran or that send equipment to Iran that could
support domestic oil refineries. These provisions are both
appropriate and necessary as we confront Iran's nuclear threat.
Talks are ongoing, and Iran has allowed U.N. officials to
visit a previously unknown uranium enrichment site. But this
type of engagement is buying Iran more time to stall. As we
have seen before, these developers do not put me at ease about
Iran's nuclear program, and I believe we must pursue tighter
sanctions.
The country's dependence on gasoline import is widely
known, and this bill will weaken Iran by limiting the country's
ability to access the energy it needs to continue its nuclear
ambitions. Our Government has been extremely generous with the
often infuriating Iranian regime. Now it is time to move
forward with these sanctions.
Thank you, Mr. Chairman.
Chairman Berman. The time of the gentleman has expired.
The gentleman from California, Mr. Rohrabacher.
Mr. Rohrabacher. I move to strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Rohrabacher. Mr. Chairman, first and foremost, I
wholeheartedly support this resolution, and I identify myself
with the remarks made by Mr. Pence earlier in this hearing.
With that said, I would hope that this act does not have a
loophole that will permit the administration to turn a blind
eye to China's significant involvement in Iran's oil and gas
industry. It has been reported that China has already surpassed
Germany as Iran's number one trade partner.
Sinopec, China's largest oil refiner, last year finalized a
multibillion dollar deal to develop a giant oil field in Iran.
And in addition to that, they made the deal of the century, a
contract for natural gas from Iran's immense North Pars field.
Chinese contractors are also busy constructing oil
terminals for Iran in the Caspian Sea, and this while China's
arms sales to Iran has included such items as ballistic missile
technology, air defense radars, cruise missiles. I might add,
one of those cruise missiles took out an Israeli warship a
couple of years ago. I would also point out that the Jerusalem
Post reported that many Chinese Grad rockets have been fired
from Gaza into Israel. And one of those grad rockets, by the
way, is a Katyusha rocket, which was fired just yesterday into
the sea, in the area of Galilee.
To conclude that--let me just note this, if we are serious
about countering the threat that Iran poses to the United
States and to its neighbors, we will do everything we can to
stop the Chinese communist party from playing the spoiler role,
not only with regard to oil and gas but also to military
equipment with it provides Iran, which then ships it off to
terrorist organizations.
We have to do this, even if it means upsetting the
communist party leadership in Beijing. And whether it also,
perhaps, upsets the American corporate elite lapdogs that send
off to China all of our jobs and technology.
So while I support this legislation, let's hope that we
don't lose focus on the role that China is playing and hold
them accountable as pardon part of this legislation.
Thank you, Mr. Chairman.
Chairman Berman. The time of the gentleman has expired.
The gentleman from Virginia, Mr. Connolly.
Mr. Connolly. Thank you, Mr. Chairman, and I want to thank
you and----
Chairman Berman. The gentleman moves to strike the last
word?
Mr. Connolly. I am sorry, Mr. Chairman, I move to strike
the last and the penultimate word.
Chairman Berman. The gentleman is not the penultimate
speaker, though.
The gentleman is recognized for 5 minutes.
Mr. Connolly. Thank you, Mr. Chairman.
And again, I want to thank you and the ranking member for
moving forward with this legislation.
The United States and its allies have made several
diplomatic overtures to Iran with the goal of halting Iran's
nuclear enrichment activity. Recent missile tests and the
revelation of a secret enrichment facility in Qom add to the
urgency of the situation.
Now a new deal is on the table. Just last week, the White
House announced its official support for an IAEA proposed
arrangement that would send most of Iran's uranium outside of
the country for enrichment. Time will tell whether Iran
supports the proposal. The clock is ticking.
While Iran may stall in accepting the deal, a common
measure it has employed in the past, it is time to consider
measures that will strengthen the United States and its allies'
negotiating position or up the ante, so to speak.
The real threat of additional sanctions can do just that.
The Iranian Refined Petroleum Sanctions Act, H.R. 2194, will
strengthen the President's authority to impose economic
sanctions on Iran and give the President additional tools to
use when considering the Iran situation.
The message to Iran must be clear: Stop stalling and
negotiate a deal, or there will be severe economic
consequences.
I yield back.
Chairman Berman. For what purpose does the gentleman, Mr.
Royce, seek recognition?
Mr. Royce. Mr. Chairman, I move to strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Royce. Well, thank you, Mr. Chairman.
Mr. Chairman, I think you noted that this issue has long
been under consideration. And I think for those of us who have
wrestled with this issue, as you have, one of the reasons it
has been in abeyance for a while is because of that 2007
National Intelligence Estimate, which concluded that in the
fall, and to use the words of the estimate, in the fall of
2003, Tehran halted its nuclear weapons program.
Now several of us at the time saw this as a poorly produced
document, a poorly presented document, and we were rather vocal
in trying to point out the likelihood that that assessment was
dead wrong. It surely damaged our international efforts to
pressure Iran.
And since that estimate, we have learned a lot about a
North Korean built nuclear facility in Syria which we
apparently were blind to at the time. I believe that that was
likely linked to Iran. And one thing we do know is the Qom
enrichment facility on an Iranian military bare, which has now
come to our attention.
Now the Washington Post on Saturday reported that the Qom
site undermined one of the U.S. intelligence communities' key
assessments of the Iranian's nuclear program. And that
assessment was that Iran had abandoned its plans to enrich
uranium in secret. We now know it is exactly the opposite of
what be were told by the intelligence community. And there is
no doubt, Mr. Chairman, that we have lost valuable time in
responding to this very serious threat. And one of the reasons
is because of that report, and I hope we learn something from
it.
I am also concerned by this administration's apparent
walking away from the democratic movement in Iran. Other
members have commented on this, but I wonder if members realize
that the administration has now cut out grants to respected
groups supporting democracy in Iran. We have had a bipartisan
agreement for many years in this committee. And this is under
our purview, our jurisdiction, for support for those doing work
for human rights in Iran. And the idea that part of our
outreach to the Iran regime should be undermining that support
gives me concern.
I would make the observation that Andre Sakharov many years
ago told us something that we probably should have sensed, and
that is how a regime treats its own people tells you a great
deal about how it is likely to treat its neighbors. And for
those of us in America who watched the results of the Basiji or
the attacks by those armed militia for the regime on those who
were protesting, trying to get an honest and fair outcome of an
election that had been stolen; for those of us who learned
about the bodies that disappeared and later turned up dead, the
current protesters who have been given sentences of death for
participating in protesting a stolen election; for those of us
who know how Iranian families grieve for family members that
are yet to be accounted for, they have no idea what is
currently happening to those individuals; I think for us, there
is a great deal of concern for the cuts to these efforts to
support human rights.
Now there is no guarantee that a democratic Iran would be
nuclear weapons free, but they would be far more likely than in
Iran in the grip of the Supreme Council, it be far more likely
that we would have a regime that we could work with or at least
we didn't have to fear; at least a regime that didn't tell us
what the Soviets once told us. You know, the Soviet threat was
that they were going to bury us. Well, we took action to
contain that threat, and we listened to those dissidents in the
Soviet Union who said, you know, supporting human rights over
here is going to help change the system. And it is equally
important here because smart diplomacy doesn't mean dropping
any criticism of a regime's human rights abuse, and this it is
a critical issue I hope this committee will look at, Mr.
Chairman.
Thank you.
Chairman Berman. The time of the gentleman has expired.
And the gentleman from New York, Mr. McMahon, is recognized
on a motion to strike for 5 minutes.
Mr. McMahon. Thank you, Mr. Chairman, I move to strike the
last word.
And I commend you for your leadership on advancing the Iran
Refined Petroleum Sanctions Act of 2009, a historic bipartisan
piece of legislation which limits investment in Iran's
hydrocarbon sector. H.R. 2194 would sanction companies that
help Iran import or produce refined petroleum, companies that
ultimately endanger the security of the United States, Israel,
and the world as a whole. Already due to the United States
pressure, at least 40 banks, including Deutsche Bank and UBS,
Credit Suisse, and Commerce Bank have all reduced business with
Iran.
Yet despite increased pressure, Iran refuses to suspend its
uranium-enrichment program. In fact, as we have heard this
morning, the revelation this past September that Iran failed to
disclose yet another enrichment facility in Qom points to the
reason why we are all here today. A nuclear-armed Iran is
unacceptable and is not consistent with a secure and safe
United States and Israel.
Since Iran imports 40 percent of its refined petroleum this
legislation will have a significant impact on Iran's economy
and will send a clear message that Iran must stop its nuclear
enrichment program. I am confident that this long-sought
measure will undoubtedly give the administration the leverage
that it needs to negotiate with the Ahmadinejad regime, but the
United States will also need the full support of the
international community to use limits on trade and the energy
to help end Iran's nuclear ambitions.
Mr. Chairman, I urge all members to vote for H.R. 2194, but
I also urge all my colleagues to support the manager's
amendment. Among many other positive changes, the manager's
amendment includes a provision that will require the President
to report to Congress on the dollar value amount of trade,
including the energy sector, between Iran and each country
maintaining membership in the Group of Twenty Finance Ministers
and Central Bank Governors.
I thank you, Chairman Berman, for working with me on this
important provision, this amendment. I have devoted much of my
efforts on the committee to promoting trans-Atlantic relations
and nonproliferation efforts, and there is no better way to
engage with allies and foes alike than to promote a nuclear
nonproliferation regime.
Major European allies, including the United Kingdom,
France, and Germany, have advocated that sanctions be
significantly toughened. This reporting requirement will allow
the United States to compare the efforts taken by the G-20
members in the fight against nuclear proliferation and will
ultimately further secure the United States, Israel, and the
global community. Through my provision, the manager's amendment
will enhance an already comprehensive piece of legislation that
I have proudly cosponsored.
Again, thank you, Mr. Chairman; and I yield the remainder
of my time.
Chairman Berman. I thank the gentleman. The gentleman's
time has expired.
The gentleman from Texas, Mr. Paul, for what purpose do you
seek recognition?
Mr. Paul. I ask unanimous consent to address the committee
for 5 minutes----
Chairman Berman. Without objection.
Mr. Paul [continuing]. And move to strike the last word.
Mr. Chairman, thank you, and I oppose this legislation. I
do not challenge the motivation of those who support this
legislation, but I think it is deeply flawed, and I think it is
going to do a lot more harm than good. It reminds me of all the
talk that preceded us going into Iraq, all the wonderful things
that could come by putting more pressure on a particular
country starting first with sanctions.
Sanctions are an act of war. It was suggested that
Venezuela may be going to send oil over there. That means maybe
intercepts on the high sea. But the best way for others to look
at this to see my point is how would we react if somebody
closed down our oil imports? I mean, we would be pretty unhappy
about that. To think that this is not a serious matter I think
is being rather naive.
First off, the Iranians have a right to enrich for peaceful
purposes. They have never been found in violation of the NPT
treaty, not once. Our NIE report says they haven't been working
on a weapon since 2003, and just because you disagree with it
you can't just dismiss that report out of hand. So there is a
lot of distortion on this information that we get.
When we went into Iraq, there were unintended consequences.
There is still no stability there, but one thing for certain is
Iraq is a much closer ally of Iran right now. We drove the
Iraqis into the hands of the Iranians.
And there has been an expression here that this is a good
bill, but we still should be concerned about China. Well, if
you are concerned about China, this is the best thing in the
world for China. They are motivated. They have already invested
in Iran. The production of petroleum products has gone up
significantly in Iran. So this is a big motivation for the
Iranians to do exactly what you don't want them to do.
Now the theory is that if we really punish the people, take
their gasoline from them, and they are going to get angry. And
they will. They are going to get angry at us. They are not
going to get angry at the Ayatollah.
What you are doing is you are deliberately undermining the
dissidents there. They will lose all credibility. People, when
attacked on the outside, as we were on 9/11, we come together.
So all we do is keep pounding on people like this and we ruin
the dissenting views that are operating in that country. So I
just think this is all going to backfire.
And we need to think in terms of the principle of free
trade. You know, the more you put on sanctions, the more likely
you will be to fight with them.
We put on sanctions, and we knew we were destined--at least
a lot of us thought we were destined to go to war in Iraq. And
this means that we are willing to take on armed conflict. But
do you know what? What I don't understand is your willingness
to sort of disrupt what the President is trying to do. The
President is trying to negotiate and talk. He said he wanted to
do it. He should be allowed to do this. This just I think
disrupts what the President is trying to do.
Recently, the President spoke at the United Nations; and
under his pressure and leadership, he had U.N. Resolution 1887
pass. He has been working multilaterally to try to bring peace
to that area by having a non-nuclear Middle East. So if that is
the administration's position, to have a non-nuclear Middle
East, then why do we do this to disrupt some of the things that
he is trying to do?
I just am disturbed by us not looking through and looking
at the ramifications, looking at the unintended consequences,
and this pretense that we can just do this and everything is
going to come out all right. Because I really believe in the
long run we will suffer, the people will suffer, and there will
not be more stability.
How can we get terrified of a threat from the Iranians?
They are a Third World nation. Up until recently, they couldn't
even make their own gasoline. But because of our pressure so
far they are getting quite capable of doing it. We are driving
them into the hands of the Chinese. They have our money. They
can control us through the dollar. And yet we are driving the
Chinese into taking over, just as we drove the Iraqis to become
close allies of the Iranians.
I think our policies are deeply flawed. I say your
motivations are fine and dandy, but motivations aren't the
answer. We have to think of the consequences.
Chairman Berman. Time of the gentleman is expired.
I didn't want to interrupt the gentleman, but, at the end,
I will make my own motion to strike, and I do want to speak to
one issue the gentleman raised regarding Iran's right to enrich
and the absence of my violations of the nonproliferation
treaty. But I will do that at the end of the debate.
The gentleman from Texas, Mr. Green, for what purpose do
you seek recognition?
Mr. Green. I move to strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Green. Thank you, Mr. Chairman, for holding the hearing
today on a markup of H.R. 2194, which would strengthen the Iran
Sanctions Act of 1996 by placing further and stricter penalties
on Iran's energy sector. I am proud to be a cosponsor of this
bill.
Since the United States first took action on this issue in
1996, Iran has continued to defy the international community by
overtly developing a nuclear program. By doing this, Iran poses
serious problems to the stability of its region as well as the
international community.
While I support the President's effort to reach a
diplomatic agreement with Iran, it is also important we send a
clear signal that there will be negative consequences for
refusing to cooperate. H.R. 2194 accomplishes this goal by
targeting one of the largest sectors of the Iranian economy.
The oil industry comprises 20 percent of Iran's gross domestic
product, and the Iranian Government receives about 80 percent
of its revenues from oil.
I strongly support H.R. 2194 and urge my colleagues to vote
in favor of this legislation. Stability in the Middle East is
of the utmost importance, not only to the Middle Eastern
countries but to the international community; and I also hope
that negotiations with Iran will move forward and we will
continue to do what we can to reinforce the President's effort.
Again, thank you, Mr. Chairman, for bringing up the bill;
and I yield back my time.
Chairman Berman. The time of the gentleman has expired.
The gentleman from Arizona, Mr. Flake, for what purpose do
you seek recognition?
Mr. Flake. I move to strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Flake. I thank the chairman.
Like Dr. Paul, I don't question at all the motivation
behind this measure. I know that I think all of us want the
same in Iran. We don't want to see Iran develop nuclear
weapons. We would like to see them join the community of
nations in a responsible manner and form.
But I do question the efficacy of moving forward in this
way, in this unilateral way. I have long questioned the
purpose--not so much the purpose but the efficacy, as I say, of
these unilateral sanctions. We say that we are not going to tie
the hands of the administration, and perhaps we aren't today
with this, but we will later. That will be the next step. That
tends to be the way we go with unilateral sanctions like this.
Let me just raise the issue of Cuba. That is what we have
done there. And I would argue that years later, years and years
and a couple of decades after the main threat was gone there,
Cuba's ability to export revolution around the world when the
Soviets pulled out, we have tied the administration's hands in
a way that they can't effectively move, our own administration,
to deal more effectively with the problems still there. And
there are problems. And I hoped that we could move Cuba closer
toward democracy. But I would argue that the unilateral
sanctions that we have there have diminished the prospects of
an effective end to that problem, and I fear that we will go
down that road here.
As I mentioned, I know that this package today does not tie
the hands of the administration. But my guess is that is the
next step that we will do, the next step that we will take.
I hope that the administration is successful in their
negotiations and in their talks, and I think that we should
wish them well there. I do believe there is a case for
multilateral sanctions. I simply want that to happen, and I
question whether or not sometimes when we move too far ahead of
our allies it makes it more difficult to pull them in. So I
hope we have a large multilateral front that is more effective
than these unilateral sanctions tends to be.
John Bolton, who we recognize here certainly as Republicans
is no shrinking violet, says this. He is advocating for this
legislation, I should say, but he said this, that no one should
believe that tighter sanctions will in the foreseeable future
have any impact on Iran's nuclear weapons program.
Secretary Clinton said--she described these sanctions on
Iran as ``leaky.''
The New York Times reported earlier this month black market
networks have sprouted up all over the globe to circumvent U.S.
sanctions on Iran.
If we concede, and I think all of us have to, that these
unilateral sanctions aren't going to be an effective means to
deal with Iran's emerging nuclear problem, then why would we
take this measure? Why would we do this and start to tie the
administration's hands on this?
Now some will say we are just giving them another arrow in
their quiver. I understand that. But that quickly moves, as we
have seen in the past, toward tying their hands; and I don't
think that that is what we do deg.ought to do at this
point.
And I yield back the balance of my time.
Chairman Berman. The time of the gentleman is expired.
The gentlelady from California, Ms. Woolsey, for what
purpose do you seek recognition?
Ms. Woolsey. I ask unanimous consent to strike the last
word.
Chairman Berman. The gentlelady is recognized for 5
minutes.
Ms. Woolsey. Thank you.
I will vote ``yes'' with the understanding that this
legislation provides space for the President and for all of us
and for the President's representatives to further a policy of
smart security, security that comes based on diplomacy and
international cooperation.
Like all of my colleagues, I oppose a nuclear-armed Iran,
nuclear proliferation making the Middle East and the world as a
whole much less secure. It is my hope, however, that today's
action will bring all of the international partners to the
negotiating table so that America will not go it alone.
Let me be clear. Our resources and our energy must be
focused on a peaceful resolution based on ``smart'' security.
And I say that word over and over. Smart security does not
start with a gun pointed at you or a bomber flying over your
city.
I see this as one more tool for the President. And I hope
we never have to use it. I stand strongly behind President
Obama and Secretary Clinton in their pursuit of a peaceful and
safe Middle East. And, Mr. Chairman, I am counting on you to
make sure that we go through all of the necessary steps and
hopefully are safe and secure using diplomacy.
I yield back.
Chairman Berman. The time of the gentlelady has expired.
The gentleman from South Carolina, Mr. Wilson, for what
purpose do you seek recognition?
Mr. Wilson. Thank you, Mr. Chairman. I move to strike the
last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Wilson. Mr. Chairman, I want to thank you, Chairman
Berman. I went to thank Ranking Member Ileana Ros-Lehtinen for
offering H.R. 2194. I never cease to be amazed at the
capabilities of Congresswoman Ileana Ros-Lehtinen. On my last
visit to the Middle East, she introduced me to a hero of mine,
Natan Sharansky, who to me, as a Soviet dissident, helped bring
about the collapse of the Soviet Empire. And I didn't know she
had so many friends all over the world, but I am not surprised.
The bill is needed because a great civilization, Persia,
has been hijacked by extremists who I think mean what they say
and that is ``death to America, death to Israel.'' When the
elections were stolen this year in Iran, the administration
failed to encourage the youth of Iran who were demonstrating
for human rights and democracy. We need to act now.
I am very grateful to be on the Armed Services Committee;
and, of course, this month we saw that Iran has been testing
their new missile capability. And the range of their capability
now clearly includes long-time allies of the United States and
new allies, Greece, Bulgaria, Rumania, Ukraine, and then to the
east they can threaten India.
We also know that Iran has been proceeding with nuclear
weapons development. There is absolutely no need to build
nuclear power capability underground, but we have seen the
pictures of the underground capabilities being developed.
I know that with the maddened autocrats who are running
Tehran that they cannot be trusted. We need to act. We need to
follow the wisdom of Ronald Reagan, peace through strength.
And I yield the balance of my time.
Chairman Berman. The time of the gentleman is expired, and
the gentlelady from Texas seeks recognition.
Ms. Jackson Lee. Yes. I would like to strike the last word.
Chairman Berman. The gentlelady is recognized for 5
minutes.
Ms. Jackson Lee. Thank you very much, Mr. Chairman.
I appreciate the dilemma that we are in. It is a dilemma
that we face not made by ourselves but by leadership of Iran
that simply does not want to be part of the world family.
However, I also support and recognize the importance of the
efforts made by the State Department and our President, and I
support these efforts. I believe engagement has validity to it,
but I thank you very much for recognizing that it is the people
of Iran that we must be concerned with.
It is the human rights. It is important that we acknowledge
that, throughout 2009, the Government of Iran has persistently
violated the rights of its citizens. The Government of Iran's
most overt display of disregard for human rights happened in
the Presidential elections on June 12, 2009. At that time, I
said we must condemn Iran for the absence of fair and free
Presidential elections and urge Iran to provide its people with
the opportunity to engage in a democratic election process. The
repression and murder and arbitrary arrests, show trials of
peaceful dissidents in the wake of the elections were a sad
commentary on the desire of the Iranian people to have
democracy.
I am delighted that language that speaks to the need for
improved human rights that I submitted has now been included
into this legislation.
It is important that we are clear that our concerns are
with the Government of Iran and not its people. The State
Department's human rights report on Iran provides a bleak
picture of life in Iran. The Government of Iran, through its
denial of the democratic process and repression of dissent, has
prevented the people from determining their own future.
Moreover, it is the Government of Iran that persecutes its
ethnic minorities and denies the free expression of religion.
Members of the committee should remember that the target is
the government as we proceed in consideration of this
legislation. The Government of Iran has repeatedly showed its
disdain for the international community in repeatedly refusing
cooperation on nonproliferation.
However, we have noted over the last couple of weeks their
doors have been open to those who are now assessing the status
of their nuclear weapons or potential for such. Some of those
who were there giving oversight happened to be Americans.
So my view is this: I want the President and the
administration and the Secretary of State and other supporting
agencies to have the full opportunity to engage. I want this
resolved. I want the people of Iran to have a democratic
government. I want them to be able to choose their democratic
government. If this legislation will provide an additional tool
to move us along, to give the Iranian people what they have
begged for, for years and decades, to free them, to allow
women, young women, young men, families, to live in a
democratic society, to give the Iranian people what they would
like to do, which is to be part of the world family, then I
believe this is one tool.
I would not like this to jump ahead of the engagement
process; and I would hope that we will be able, Mr. Chairman,
in weeks to come to be provided with a report from the
administration on what progress has been made. Otherwise,
however, the idea of eliminating the refined petroleum products
is one that creates at least the sense of both strength of the
world community and the recognition that the American people
are serious about supporting their brothers and sisters in
Iran.
Religious freedom, human rights, democracy, equality, the
right to excel should be, in essence, the right of the Iranian
people. For that reason, I will be supporting this legislation.
I yield back.
Chairman Berman. The time of the gentlelady has expired;
and the gentlelady from California, Ms. Lee.
Ms. Lee. Thank you very much, Mr. Chairman.
I move to strike the last word.
Chairman Berman. The gentlelady is recognized for 5
minutes.
Ms. Lee. I wanted to thank you for your leadership and also
for your previous comments and your position with regard to
this markup, which has stressed the variety of diplomatic and
multilateral tools that we should use in pursuing our work to
prevent Iran from pursuing a destabilized and nuclear weapons
capability.
As one who believes in and has worked for nonproliferation
efforts throughout my life everywhere in the world, I am
equally concerned about the prospect of Iran acquiring nuclear
weapons. And though I believe we should do everything,
everything we can do to support the Obama administration during
this very critical juncture, this includes providing the tools
that the administration deems necessary to prevent Iran from
backsliding in the very important negotiation processes that
are taking place at this point.
At this time, however, we cannot restrict the
administration's flexibility by mandating unilateral sanctions.
The strong bipartisan support on this committee and in Congress
for holding Iran accountable for its actions is, in itself, a
signal to Iran that if they do not live up to their end of the
bargain, Congress will act swiftly.
The prospect of Iran acquiring nuclear weapons is
unacceptable and so is the status quo. However, I am extremely
concerned, extremely concerned that moving this bill out of
committee would undermine President Obama's diplomatic efforts;
and, for those reasons, I cannot support the bill.
Thank you, Mr. Chairman. I yield the balance of my time.
Chairman Berman. The time of the gentlelady has expired.
The gentleman from New York, Mr. Crowley, is recognized
for--moves to strike the last word? The gentleman is recognized
for 5 minutes.
Mr. Crowley. Yes, Mr. Chairman. I move to strike the last
word.
Thank you, Mr. Chairman. I will not use all 5 minutes. But
let me thank you and Ranking Member Ros-Lehtinen for this
markup.
I strongly support this legislation. This move gives the
President the room he needs to negotiate while also offering
tools if these negotiations fail. Most importantly, this bill
makes it clear that there will be a price to pay for the
development of nuclear weapons in Iran.
I hope that the Iranian regime, which to date has been
government of the mullahs, by the mullahs, and for the mullahs,
will change course by ending its nuclear ambitions and
respecting its people.
While the regime is marching toward isolation, the Iranian
people have marched for change; and we stand strongly on the
side of the Iranian people in their quest for a future of Iran
which respects human rights and ends all threats to countries
throughout the Middle East.
And with that, Mr. Chairman, I yield back the balance of my
time.
Chairman Berman. The time of the gentleman has expired.
The gentleman from Florida, Mr. Bilirakis, for what purpose
do you seek recognition?
Mr. Bilirakis. Yes, thank you, Mr. Chairman. I just want
to----
Chairman Berman. The gentleman moves to strike the last
word?
Mr. Bilirakis. Yes, I move to strike the last word.
Chairman Berman. Recognized for 5 minutes.
Mr. Bilirakis. I would just like to thank you and the
ranking member for offering this piece of legislation which I
strongly support and have cosponsored, and I want to submit my
full statement for the record. I appreciate it very much.
I yield back the balance of my time.
Chairman Berman. The time of the gentleman has expired.
The gentleman from Arkansas, Mr. Ross, for what purpose do
you seek recognition?
You don't. Without purpose.
The gentleman from North Carolina?
Passes.
The gentleman from Georgia?
Passes.
The gentleman from Minnesota, for what purpose do you seek
recognition?
Mr. Ellison. Mr. Chairman, I move to strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Ellison. I ask for unanimous consent to insert into the
record the following letters to the committee expressing
concern about the timing of this markup and asking for delay in
consideration of this bill.
Mr. Chairman, you and I share the same goals of a non-
nuclear-armed Iran----
Chairman Berman. The gentleman--without objection, those
lettersPlural but only received one letter deg. will
be included in the record; and make sure that we get copies of
them.
[The information referred to follows:]Letter deg.
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
Chairman Berman. The gentleman is recognized.
Mr. Ellison. You and I share the same goals of a non-
nuclear-armed Iran. I do not agree, however, that increased
sanctions at this time are the right course of action.
Ten months of diplomacy by the Obama administration has
achieved more than 8 years of bellicose posturing and 15 years
of sanctions and 30 years without dialogue. I may be open to a
sanctions bill in the future, but, at this moment, we need to
give diplomacy a chance. And so far President Obama's efforts
have been working. There is finally some progression in dealing
with Iran. President Obama's diplomacy has yielded an agreement
that increases inspections and verification and reduces Iran's
stockpiles of enriched uranium.
When Iran met with the members of the U.N. Security Council
on November 1, few were optimistic. But, right now, the United
Nations inspectors are visiting a uranium enriched site near
Qom, Iran. Previously, the Iranian Government would not
disclose its location. Right now, the Iranian Government is
weighing a proposal by the International Atomic Energy Agency
to send enriched uranium to Russia and France to be turned into
fuel.
Diplomacy is an effective means of addressing our issues
with Iran. We must not rush this process. This is why the Obama
administration has not asked for additional sanctions at this
time.
In fact, sanctions in Iran have not proven to be effective.
First, Iran has bypassed sanctions. Iran has been able to
ward off some consequences of sanctions by boosting trade with
Russia, China, India, and others. The more we take trade
opportunities away from American businesses, the more other
nations step into the vacuum.
Two, Iranian democracy leaders do not support increased
sanctions. Nobel peace laureate Shirin Ebadi and dissident
Akbar Ganji tell us that sanctions will only hurt the people,
especially the working classes in Iran. Even opposition
candidate MirHousein Mousavi has denounced sanctions, saying
that anyone who supports his ``green'' revolution movement--
green movement should also oppose additional sanctions.
According to Mousavi, ``Sanctions would not actively act
against the government. Rather, they would only hurt the
people. We are opposed to any types of sanctions against our
nation. This is what living the green path means.''
Increased sanctions may strengthen Iran's revolutionary
guard. A recent report by the Rand Corporation documented a
growing corollary between the power of Iran's Revolutionary
Guard, a branch of the military associated with much of Iran's
corruption, with sanctions. With inflation in Iran over 20
percent and with manufacturing in serious decline, sanctions
will only lead to higher prices and greater black market trade,
which is already controlled by the Revolutionary Guard.
Increased sanctions, in sum, are likely to result in Iran
going around sanctions, are not supported by democracy leaders,
and may strengthen the Revolutionary Guard.
Let me be clear, Mr. Chairman, I am appalled by Iran's
dismal human rights record. Since the election of President
Mahmoud Ahmadinejad in 2005, the number of executions has
increased fourfold, many of those executed because they spoke
out against Ahmadinejad's government. Gays and lesbians have
been rounded up, in some cases executed. Women's rights
advocates have been arrested, reportedly raped, beaten, and
killed. Religious minorities like the Baha'i live in fear and
intimidation.
I am also shocked and appalled that President Ahmadinejad
would deny the profound suffering of the Holocaust. All of this
is unacceptable.
But, right now, Congress needs to give President Barack
Obama's diplomatic efforts a chance before increasing
sanctions. That is why I am opposed to marking up this bill
right now.
Diplomacy and efforts toward peace are not naive. In fact,
after 30 years of no dialogue, 15 years of economic sanctions,
we cannot expect that doing more of the same will yield a more
democratic, civil Iranian Government. President Barack Obama's
efforts are working, and that is why we need to give sanctions
a chance.
I would like to thank the chairman for his openness in all
of his work and the opportunity to speak here today, and I
yield back the balance of my time.
Chairman Berman. The time of the gentleman has expired.
The gentleman from Texas, Mr. McCaul.
Mr. McCaul. Thank you, Mr. Chairman. I want to thank you
and the ranking member--I move to strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. McCaul. I want to thank you and the ranking member for
this legislation.
The year 1979 certainly transformed the Middle East for
decades to come when the Ayatollah Khamenei took over. We are
still dealing with that issue today, which is why I think this
legislation is necessary. A nuclear Iran, I think everybody in
this committee agrees, is not acceptable.
We are providing a lot of carrots, I think, the
administration, through diplomacy, but this will provide the
necessary sticks, I think, toward moving forward with a
nuclear-free Iran.
My concern, as we demonstrated in the hearing yesterday on
Venezuela, is that the day that this bill passes, countries
like Venezuela and China will be immediately in violation of
this act. And the question before the Congress and the
President of the United States is going to be, what are we
prepared to do about that and are we going to enforce this act?
Are the enforcement provisions in this act strong enough or is
this just going to be a statement that we make in the Congress,
like we do so many times, without any teeth?
So I think that is something, Mr. Chairman, we need to
think long and hard about. Because we know when this passes the
Congress that Venezuela is going to continue to supply its
shipments of refined petroleum products, and we know that China
is going to continue to do that as well. And we know many other
countries will as well.
So I think that is, again, a question we need to ask
ourselves as we deliberate this legislation; and I think the
administration and the President needs deg. to be
prepared for that. Because we know the outcome is certain. And
if we pass this and do nothing, in my judgment, we are nothing
but a paper tiger.
And with that I yield back.
Chairman Berman. The time of the gentleman has expired.
The gentlelady from Arizona, Ms. Giffords.
Ms. Giffords. Thank you, Mr. Chairman.
I move to strike the last word.
Chairman Berman. The gentlelady is recognized for 5
minutes.
Ms. Giffords. Thank you for taking this time to mark up
this important piece of legislation in committee today.
I am a very proud sponsor of the Iran Refined Petroleum
Sanctions Act and have been working with you and other members
of our leadership to move this bill as swiftly as possible in
the Congress.
I think the people of America firmly understand and
certainly are allies that for years the Government of Iran has
repeatedly dismissed international attempts to negotiate the
country's nuclear program. Preventing the country of Iran from
developing nuclear weapons is one of the most pressing
challenges for this Congress and for our allies.
President Obama has rightly pursued diplomacy; and my
colleague, Mr. Ellison, spoke recently very eloquently on that.
However, this legislation also provides the administration with
a full range of tools needed to address the nuclear threat from
Iran, and this comprehensive method includes sanctions.
Furthermore, we cannot allow companies to profit from
investments made in a country that sponsors terrorism, promotes
religious intolerance, has an abysmal human rights record, and
threatens the stability of the Middle East. By targeting these
firms heavily invested in Iran's energy sector, we will send a
clear message to the people of Iran and to their leadership: A
nuclear Iran is simply unacceptable. Iran's petroleum sector
alone generates 20 percent of the country's gross domestic
product. Limiting the significant source of funding is
essential to deterring Iran's pursuit of nuclear weapons.
This Congress must continue to work to address this threat
in a comprehensive way, and I commend this committee for
working swiftly to achieve this goal.
Thank you, Mr. Chairman, and Ranking Member Ros-Lehtinen
for all of your work on this. I yield back.
Chairman Berman. The time of the gentlelady has expired.
The gentleman from Florida, Mr. Klein, for what purpose do
you seek recognition?
Mr. Klein. Thank you, Mr. Chairman. I move to strike the
last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Klein. Mr. Chairman, I want to thank you and the
ranking member for bringing this very important piece of
legislation to the Foreign Affairs Committee today; and I am
proud to be a cosponsor of the Iran Refined Petroleum Sanctions
Act of 2009.
As the administration pursues a diplomatic strategy, I
firmly believe that Congress must act simultaneously so that
new and crippling sanctions are ready if negotiations fail. At
the same time, we must persuade our allies to join us in these
efforts. We are at our most effective when we work
multilaterally, and I was encouraged by reports that the
administration is seeking the support of the Gulf States in
supplying China with oil.
China is a large consumer of energy, getting larger by the
day; and if China ends its reliance on Iranian oil, they may be
more likely to support a new and tougher round of sanctions in
the United Nations.
In my meetings with Arab ambassadors and representatives to
the United States, their sense of urgency is palpable as they
consider the future of the Middle East if Iran were to get a
nuclear weapon. This is a scary prospect, unacceptable, and the
Arab states have everything to lose. Their oil is an important
resource that they can use to prevent an Iranian nuclear
weapons program and an arms race in the region.
This legislation seeks to sanction companies that provide
refined petroleum to Iran. As other members have already
mentioned, Iran imports 40 percent of its oil because they do
not have enough refining capacity. This bill could bring Iran's
economy to a standstill. The business class in Iran, which is
rather sophisticated, wants to be part of the global economy;
and they should take this opportunity to say to their
leadership and their government, enough is enough.
Now is the time to move this legislation and send a strong
message to Iran and our allies around the world that there are
serious and isolating consequences for Iran's actions.
I would also like to thank the chairman for working with me
to include language in the bill under consideration today based
on a bill that I have filed, the resolution H.R. 3922, the
Accountability for Business Choices in Iran Act. This
legislation, which is supported in a bipartisan way in this
Congress, requires companies, including foreign companies that
have U.S. Government contracts, including grants earmarks,
stimulus funds, or bank bailouts, to certify that they do not
conduct business in Iran. This is, again, a way of engaging
multinational businesses outside the United States as well in
making choices.
The Accountability for Business Choice in Iran Act has
achieved broad support, and I believe its inclusion in today's
resolution strengthens our efforts.
Today, we are requiring companies to certify that they are
not providing the last crutch of support to the Iranian economy
by boosting their refined petroleum. It is time for companies
to make a choice: Either do business with the United States
Government or do business with Iran. Iran must not get a
nuclear weapon, not on our watch and certainly not on our dime.
I would like to thank the chairman for his leadership,
along with the ranking member; and I urge my colleagues to
support the Iran Refined Petroleum Sanctions Act.
I yield back the balance of my time.
Chairman Berman. The time of the gentleman has expired.
The chair is unaware of any other--the chair is wrong--
again.
The gentleman from New York, Mr. Meeks, for what purpose do
you seek recognition?
Mr. Meeks. Strike the last word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Meeks. Thank you. Mr. Chairman, I thank you and the
ranking member for your hard work and for your dedication to
this committee.
Mr. Chairman, both carrots and sticks are important when
you sit at the negotiating table. And I am supporting the Iran
Refined Petroleum Sanctions Act not because I believe it is
ideal but rather because I want to send the message that all
options remain on the table if diplomatic negotiations do not
produce results.
As a general rule, I am not a enthusiastic supporter of
unilateral sanctions; and I want to be clear that I fully
support the administration's diplomatic efforts so far as we
try to change the dynamics with regard to Iran and its nuclear
ambitions. For a nuclear Iran is not something that we can
tolerate or have at all.
But we have seen some encouraging signs from recent
engagements by the administration, and I hope that the progress
continues. However, seeing the clearest indication yet of the
administration's thinking on the Iran issue, sanctions issue, I
am extremely convinced that the combination of a more effective
sanctions regime which targets the actual leaders of Iran,
alongside measures that empower the people to build up their
civil society and strive for political representation, seems to
me exactly the type of approach that we should be taking in the
long run. It is smart sanctions, as opposed to some general
sanctions that affect the people, the entire population of
Iran.
I have heard many individuals talk about how we don't want
to hurt the people of Iran. Because someone used the word that
Iran had been ``hijacked'' by a few. We need to find the
sanctions that are going to affect those few who, in effect,
have hijacked the entire country.
I want to call your attention to a hearing on October 6,
2009, before the Senate Banking Committee regarding Iran's
sanctions. Deputy Secretary of State Jim Steinberg and Under
Secretary of the Treasury Stuart Levey discussed at length the
Obama administration's official Iran policy with a special
focus on what types of sanctions the administration believed
would be most effective. From this hearing, it became clear
that the administration is not entirely sold on a comprehensive
petroleum sanctions as the best course of action on Iran.
Mr. Levey was asked if the administration supports a
petroleum embargo; and he said, I think in the long run we have
to. But in terms of which the potential measures of sanctions,
whether they are more targeted on individual entities in Iran
as opposed to a broad-based thing that would affect the Iranian
economic like that, and I think we have not reached a judgment
as to which of those might be the most effective, in part
because not only do we want to have the impact on the economy,
but we want to make sure that it is going to affect the
decision making in Iran and not target the wrong people in Iran
and, similarly, to make sure that we maximize the chance of
getting international support for these things. Because there
is obviously a risk in these things; and if we do not have
international support, then there will be diversions. There
will be workarounds, and the affect of the sanctions will not
nearly be as effective.
The Iran Refined Petroleum Sanctions Act, which imposes a
gasoline embargo on Iran and which has the support of three-
quarters of both Chambers, is apparently not the ideal
legislation in the eyes of the administration. The
administration does not support or oppose this administration.
Rather, the Obama administration is pursuing its own strategy,
taking into account a number of factors that must be
considered. Among these are human rights concerns as well as
the current political dynamic in Iran with the people rising up
against the government.
I close with Mr. Steinberg's statement when he said, ``I do
think we always have to worry about the humanitarian impact and
the political impact of proposed sanctions. Because we want to
take advantage of the dynamic they have and not to undercut the
opposition, not to hurt those who are being courageous in
Iran.''
And, therefore, I yield back the balance of my time.
Chairman Berman. The time of the gentleman has expired.
The gentlelady from Nevada, Ms. Berkley.
Ms. Berkley. Mr. Chairman, I move to strike the last word.
Chairman Berman. The gentlelady is recognized for 5
minutes.
Ms. Berkley. I thank the chairman for your time and for
your skillful, thoughtful and resolute leadership on this
issue.
The chairman knows how important I think this bill is to
the peace and security of the entire world. Therefore, I am a
proud cosponsor of the Iran Refined Petroleum Sanctions Act,
because I believe we must do everything in our power to stop
the Iranian nuclear threat.
A nuclear Iran is a danger not only to Israel but a danger
to the entire Middle East, to our European allies and friends
and, ultimately, to the United States. Iran has repeatedly
shown its willingness to destabilize and threaten other
countries. One need only look to its support for terrorist
groups like Hezbollah and Hamas and yesterday's joint hearing
in our committee to see Iran's evolving and very dangerous
influence in South America.
A nuclear Iran would spark an arms race in the Middle East.
The Saudis and the Egyptians would never stand for a nuclear
Iran. They would likely build up their own defenses, including
nuclear weapons, to counter the Iranian threat and usher in a
new era of a new nuclear arms race the likes of which this
world has never seen before.
And, as we know all too well, Iran has threatened to wipe
Israel off the map. The Iranian President has denied the
Holocaust, while planning one of his own.
Why does he attack Israel? Because it is our ally, and we
are the Iranian regime's ultimate target. So if we are serious
when we say ``never again'' and if we are serious about
protecting ourselves from Iran, then we must stop this threat
now.
As the former Israeli Prime Minister Ariel Sharon told a
group of Congress people during his last visit to the United
States, Iran is as much a threat to the United States and to
Europe and to the Middle East as it is to Israel; and the world
should not leave it to Israel to do its dirty work.
We must use every tool available to us, including this
important legislation. I am a cosponsor of this bill because it
sends a clear message to those who do business with Iran's
petroleum sector: You can trade with Iran and its less than
$300 billion economy or you can trade with the United States
with an economy of more than $13 trillion. I believe the choice
should be clear.
This bill is just a part of a broader picture. We must also
enforce our own previously passed sanctions and sanctions that
have already been approved by the United Nations. It is time to
put our words into action, which, unfortunately, has not been
the case so far. We and our partners on the United Nations
Security Council must enforce laws already passed and stop our
companies from skirting the sanctions we, ourselves, agreed to.
If sanctions are to work, they must be enforced by all parties
before we all face this common threat.
I also want to applaud and thank Stuart Levey, Under
Secretary of Treasury for Terrorism and Financial Intelligence,
who has done a masterful job of targeting Iran's financial
sector. Using a creative mix of diplomacy, economics, and
sanctions, Mr. Levey has made it extremely difficult for the
Iranian regime to get loans and to conduct the simple financial
transactions our Government considers routine.
The assets of countless Iranian officials have been frozen,
and banks the world over are now unwilling to do business with
the Iranian Government officials because they know the United
States, a far more important and lucrative trading partner,
won't do business with them at the same time. This bill also
strengthens those foreign exchange and financial sanctions.
Frankly, I am deeply skeptical Iran will ever agree to
negotiate away their nuclear weapons program, but I do believe
it strengthens our position when we mix negotiations with
sanctions. We do not seek war and do not wish to harm the
Iranian people, and we are not working for regime change in
Iran. We are focused on one goal and one goal only: The end of
Iran's nuclear threat. With this bill today, we send a message
to Iran that we are determined to end their nuclear threat. We
should not take any option off the table.
I urge support for this bill. I urge all nations to join us
in this effort. And I yield back the balance of my time.
Chairman Berman. The time of the gentlelady has expired.
The gentleman from the American Samoa, Mr. Faleomavaega, is
recognized for 5 minutes.
Mr. Faleomavaega. Mr. Chairman, I move to strike the last
word.
Chairman Berman. The gentleman is recognized for 5 minutes.
Mr. Faleomavaega. Mr. Chairman, I thank you and our ranking
member for your leadership and initiative by introducing this
important legislation.
I note with interest that this legislation is aimed at the
Iranian regime and not at the good people of Iran. The recent
Presidential elections in Iran have proven that there is still
a problem in having democratic elections in that country.
I support this legislation, Mr. Chairman. The only concern
I raise is, Mr. Chairman, where does the administration stand
on this proposed bill? Will it help or hinder the
administration's efforts to find a resolution to this difficult
issue, now seriously raised, the security issues in this region
of the world?
It is my understanding that for years the vast majority of
foreign companies doing business in Iran were from countries
that are our own allies. It is quite obvious, Mr. Chairman,
that the issue is not about petroleum, but about nuclear
proliferation. There is no question that much has been said
about the potential of Iran possessing nuclear weapons, raising
the question of where Israel stands on this. And then the next
question is whether or not the Arab countries would also like
to have in their possession nuclear weapons for their own
security and protection.
I do commend President Obama's recent initiative to lessen
the number of nuclear weapons we now have in the world and the
initiative in doing this with the former Soviet Union. It is my
understanding, Mr. Chairman, that we now have, worldwide, well
over 20,000 nuclear weapons capable of blowing this planet 10
times over, if we look at it in those terms.
But these are the concerns that we can fully understand and
appreciate: If Iran chooses to go the way of producing nuclear
weapons, not only does it undermine but it does question the
seriousness and the implications of the nuclear
nonproliferation treaty. It is not about petroleum; it is about
the serious problem of nuclear capabilities in these countries
in this very volatile region, the Middle East.
With that, Mr. Chairman, I yield back.
Chairman Berman. The time of the gentleman has expired.
No other members seeking recognition, the chair,
notwithstanding his comments--Mr. Paul--has concluded that he
will only hurt his cause if he moves to strike and takes 5
minutes to deal with all of Mr. Paul's comments and instead
would hand Mr. Paul and put into the record a 4-page sheet
called ``Evidence of Iran's Military Nuclear Intentions and
Iran's Safeguard Violations.'' I will make sure you get a copy
on that one issue.
[The information referred to follows:]Evidence of
Iran's Military Nuclear Intentions deg.
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
Chairman Berman. And the question occurs on the amendment
in the nature of a substitute without amendment.
All in favor will vote aye.
All opposed, no.
The ayes appear to have it, and the amendment is agreed to.
The chair is prepared to receive a motion.
Mr. Faleomavaega. Mr. Chairman, I move the favorable
recommendation of H.R. 2194, as amended, to the House.
Chairman Berman. The question occurs on the motion by the
gentleman from American Samoa to report H.R. 2194, as amended,
favorably to the House.
All in favor, say aye.
All opposed, no.
The ayes have it. The motion is adopted.
Without objection, the bill will be reported as a single
amendment in the nature of a substitute incorporating the
amendments adopted by the committee; and the staff is directed
to make any technical, conforming changes.
I would like to say one last thing. The staff on both
sides, in terms of putting this together until very late last
night, have done tremendous work. I am not going to mention all
the names, but I do want to point--single out one person in
particular, and that is our legislative counsel, who
personally, even with the discretion to ask someone else to do
this work, made a very complicated bill, complicated for a
number of reasons, in some kind of coherent legal sense; and,
Sandy Strokoff, we are very grateful for your help in this
case.
Ms. Ros-Lehtinen. Mr. Chairman, if I can have 1 minute to
say----
Chairman Berman. Of course.
Ms. Ros-Lehtinen [continuing]. Thank you so much again for
negotiating in good faith with all of us during this whole
ordeal. It really has been a wonderful experience, and I hope
that we can protect this fine legislation that we reported out
of committee while it is being considered in other committees
and as it moves to the House and then in conference with the
Senate. And we hope that we can have it at the President's desk
sooner rather than later and appreciate again your work on this
bill. Thank you.
Chairman Berman. Will the gentlelady yield?
Ms. Ros-Lehtinen. Yes, sir.
Chairman Berman. For me, the transcendent purpose here is
to maximize our chances in Congress of playing a useful role in
stopping Iran's nuclear program. So everything--I can only
speak for myself but, number one, I commit to be transparent
with you in terms of our goals and the timing and the problems
that are coming up and changes that are being sought and,
secondly, to do everything based on that and not on either
undue deference to an executive branch or to political
pressures from around here but to focus on the goal here, which
is to play as useful a role as we can play in stopping Iran's
nuclear program.
Mr. Wilson. Mr. Chairman. Mr. Chairman, I would like to
commend you also for the bipartisanship. This is also probably
the last meeting we will have prior to November 9; and, of
course, this coming Tuesday in a bipartisan effort we will be
welcoming the Chancellor of Germany, Angela Merkel. An
extraordinary achievement, a unified Germany. It was 20 years
ago virtually today that very few people understood that the
Berlin Wall would come down beginning on November 9, 1989; and
so we need to recognize the heroism.
And as I am sitting here I am thinking of our former
chairman, Tom Lantos, and his leadership during the Cold War
and his opposition to totalitarian Communism. We can be
successful. We can have victory.
Thank you, Mr. Chairman.
Chairman Berman. All right, unanimous consent that all
statements that people want to submit for the record will be
included, including mine.
And, with that, the committee is adjourned. Thank you all
very much for your cooperation.
[Whereupon, at 12 o'clock p.m., the committee was
adjourned.]
A P P E N D I X
----------
Material Submitted for the RecordNotice deg.
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
Minutes deg.
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
Berman statement deg.
__________
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
Jackson Lee statement deg.
__________
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
Ellison deg.
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
[GRAPHIC(S)] [NOT AVAILABLE IN TIFF FORMAT]
|
NEWSLETTER
|
|
Join the GlobalSecurity.org mailing list
|
|
|
