---
kind: "diff"
citation: "H.R. 1771"
bill: "113-hr-1771"
heading: "North Korea Sanctions Enforcement Act of 2014"
from: "rh"
from_label: "Reported in House"
to: "eh"
to_label: "Engrossed in House"
sections_amended: 10
sections_added: 1
sections_removed: 0
url: "https://uscodex.org/bills/113/hr/1771/changes/eh"
---

# H.R. 1771 — what changed

H.R. 1771, North Korea Sanctions Enforcement Act of 2014 — 10 sections amended and 1 added between Reported in House and Engrossed in House.

Edits are marked `<del>struck</del>` and `<ins>inserted</ins>`.

## Sec. 2 Findings

- Congress finds the following:
- (1) The Government of North Korea has repeatedly violated its commitments to the complete, verifiable, irreversible dismantlement of its nuclear weapons programs, and has willfully violated multiple United Nations Security Council resolutions calling for it to cease its development, testing, and production of weapons of mass destruction.
- (2) North Korea poses a grave risk for the proliferation of nuclear weapons and other weapons of mass destruction.
- (3) The Government of North Korea has been implicated repeatedly in money laundering and illicit activities, including prohibited arms sales, narcotics trafficking, the counterfeiting of United States currency, and the counterfeiting of intellectual property of United States persons.
- (4) The Government of North Korea has, both historically and recently, repeatedly sponsored acts of international terrorism, including attempts to assassinate defectors and human rights activists, repeated threats of violence against foreign persons, leaders, newspapers, and cities, and the shipment of weapons to terrorists.
- (5) North Korea has unilaterally withdrawn from the 1953 Armistice Agreement that ended the Korean War, and committed provocations against South Korea in 2010 by sinking the warship Cheonan and killing 46 of her crew, and by shelling Yeonpyeong Island, killing four South Koreans.
- (6) North Korea maintains a system of brutal political prison camps that contain as many as <del>200,000 </del><ins>120,000 </ins>men, women, and children, who live in atrocious living conditions with insufficient food, clothing, and medical care, and under constant fear of torture or arbitrary execution.
- (7) The Congress reaffirms the purposes of the North Korean Human Rights Act of 2004 contained in section 4 of such Act (22 U.S.C. 7802).
- (8) North Korea has prioritized weapons programs and the procurement of luxury goods, in defiance of United Nations Security Council resolutions, and in gross disregard of the needs of its people.
- (9) Persons, including financial institutions, who engage in transactions with, or provide financial services to, the Government of North Korea and its financial institutions without establishing sufficient financial safeguards against North Korea’s use of these transactions to promote proliferation, weapons trafficking, human rights violations, illicit activity, and the purchase of luxury goods, aid and abet North Korea’s misuse of the international financial system, and also violate the intent of relevant United Nations Security Council resolutions.
- (10) The Government of North Korea’s conduct poses an imminent threat to the security of the United States and its allies, to the global economy, to the safety of members of the United States armed forces, to the integrity of the global financial system, to the integrity of global nonproliferation programs, and to the people of North Korea.
- (11) The Congress seeks, through this legislation, to use nonmilitary means to address this crisis, to provide diplomatic leverage to negotiate necessary changes in North Korea’s conduct, and to ease the suffering of the people of North Korea.

## Sec. 3 Definitions

- In this Act:
- (1) Applicable Executive order— The term “applicable Executive order” means—
  - (A) Executive Order <ins>No. </ins>13382 (2005), 13466 (2008), 13551 (2010), or 13570 (2011), to the extent that such Executive order authorizes the imposition of sanctions on persons for conduct, or prohibits transactions or activities, involving the Government of North Korea; or
  - (B) any Executive order adopted on or after the date of the enactment of this Act, to the extent that such Executive order authorizes the imposition of sanctions on persons for conduct, or prohibits transactions or activities, involving the Government of North Korea.
- (2) Applicable United Nations Security Council resolution— The term “applicable United Nations Security Council resolution” means—
  - (A) United Nations Security Council Resolution 1695 (2006), 1718 (2006), 1874 (2009), 2087 (2013), or 2094 (2013); or
  - (B) any United Nations Security Council resolution adopted on or after the date of the enactment of this Act, to the extent that such resolution authorizes the imposition of sanctions on persons for conduct, or prohibits transactions or activities, involving the Government of North Korea.
- (3) Appropriate congressional committees— The term appropriate congressional committees means—
  - (A) the Committee on Foreign <del>Affairs </del><ins>Affairs, the Committee on Ways and Means, </ins>and the Committee on Financial Services of the House of Representatives; and
  - (B) the Committee on Foreign Relations and the Committee on Banking, Housing, and Urban Affairs of the Senate.
- (4) Designated person— The term designated person means a person designated under subsection (a) or (b) of section 104 for purposes of applying one or more of the sanctions described in title I or II of this Act with respect to the person.
- (5) Government of North Korea— The term Government of North Korea means—
  - (A) the Government of the Democratic People’s Republic of Korea or any political subdivision, agency, or instrumentality thereof; and
  - (B) any person owned or controlled by, or acting for or on behalf of, the Government of the Democratic People’s Republic of Korea.
- (6) International terrorism— The term international terrorism has the meaning given such term in section 140(d) of the Foreign Relations Authorization Act, Fiscal Years 1988 and 1989 (22 U.S.C. 2656f(d)).
- (7) Luxury goods— The term luxury goods has the meaning given such term in subpart 746.4 of title 15, Code of Federal Regulations, and includes the items listed in Supplement No. 1 to such regulation, and any similar items.
- (8) Monetary instrument— The term monetary instrument has the meaning given such term under section 5312 of title 31, United States Code.
- (9) North <del>korean </del><ins>Korean </ins>financial institution— The term North Korean financial institution means—
  - (A) a financial institution organized under the laws of North Korea or any jurisdiction within North Korea (including a foreign branch of such institution);
  - (B) any financial institution located in North Korea, except as may be excluded from such definition by the President in accordance with section 207(d);
  - (C) any financial institution, wherever located, owned or controlled by the Government of North Korea; and
  - (D) any financial institution, wherever located, owned or controlled by a financial institution described in subparagraph (A), (B), or (C).
- (10) Other stores of value— The term “other stores of value” means—
  - (A) prepaid access devices, tangible or intangible prepaid access devices, or other instruments or devices for the storage or transmission of value, as defined in part 1010 of title 31, Code of Federal Regulations; and
  - (B) any covered goods, as defined in section 1027.100 of title 31, Code of Federal Regulations, and any instrument or tangible or intangible access device used for the storage and transmission of a representation of covered <del>goods.</del><ins>goods, or other device, as defined in section 1027.100 of title 31, Code of Federal Regulations.</ins>
- (11) Person— The term person <del>has the meaning given that term in section 510.306 of title 31, Code of Federal Regulations.</del><ins>means—</ins>
  - (A) <ins>a natural person;</ins>
  - (B) <ins>a corporation, business association, partnership, society, trust, financial institution, insurer, underwriter, guarantor, and any other business organization, any other nongovernmental entity, organization, or group, and any governmental entity operating as a business enterprise; and</ins>
  - (C) <ins>any successor to any entity described in subparagraph (B).</ins>

## Sec. 104 Prohibited conduct and mandatory and discretionary designation and sanctions authorities

- (a) Prohibited conduct and mandatory designation and sanctions authority—
  - (1) Conduct described— Except as provided in section 207, the President shall designate under this subsection any person the President determines to—
    - (A) have knowingly engaged in significant activities or transactions with the Government of North Korea that have materially contributed to the proliferation of weapons of mass destruction or their means of delivery (including missiles capable of delivering such weapons), including any efforts to manufacture, acquire, possess, develop, transport, <del>transfer </del><ins>transfer, </ins>or use such <del>items, by any person or foreign country;</del><ins>items;</ins>
    - (B) have knowingly imported, exported, or reexported to, into, or from North Korea any arms or related materiel, whether directly or indirectly;
    - (C) have knowingly provided significant training, advice, or other services or assistance, or engaged in transactions, related to the manufacture, maintenance, or use of any arms or related materiel to be imported, exported, or reexported to, into, or from North Korea, or following their importation, exportation, or reexportation to, into, or from North Korea, whether directly or indirectly;
    - (D) have knowingly, directly or indirectly, imported, exported, or reexported significant luxury goods to or into North Korea;
    - (E) have knowingly engaged in or been responsible for censorship by the Government of North Korea, including prohibiting, limiting, or penalizing the exercise of freedom of expression or assembly, limiting access to print or broadcast media, or the facilitation or support of intentional frequency manipulation that would jam or restrict an international signal;
    - (F) have knowingly engaged in or been responsible for serious human rights abuses by the Government of North Korea, including torture or cruel, inhuman, or degrading treatment or punishment, prolonged detention without charges and trial, causing the disappearance of persons by the abduction and clandestine detention of those persons, and other denial of the right to life, liberty, or the security of a person;
    - (G) have knowingly, directly or indirectly, engaged in significant acts of money laundering, the counterfeiting of goods or currency, bulk cash smuggling, narcotics trafficking, or other illicit activity that involves or supports the Government of North Korea or any senior official thereof, whether directly or indirectly; or
    - (H) have knowingly attempted to engage in any of the conduct described in subparagraphs (A) through (G) of this paragraph.
  - (2) Effect of designation— With respect to any person designated under this subsection, the President—
    - (A) shall exercise the authorities of the International Emergency Economic Powers Act (50 U.S.C. 1705 et seq.) without regard to section 202 of such Act to block all property and interests in property of any person designated under this subsection that are in the United States, that hereafter come within the United States, or that are or hereafter come within the possession or control of any United States person, including any overseas branch; and
    - (B) may apply any of the sanctions described in <del>section 204.</del><ins>sections 204, 205(c), and 206.</ins>
  - (3) Penalties— The penalties provided for in section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705) shall apply to a person who violates, attempts to violate, conspires to violate, or causes a violation of any prohibition of this subsection, or of an order or regulation prescribed under this Act, to the same extent that such penalties apply to a person that commits an unlawful act described in section 206(a) of that Act (50 U.S.C. 1705(a)).
- (b) Discretionary designation and sanctions authority—
  - (1) Conduct described— Except as provided in section 207, the President may designate under this subsection any person the President determines to—
    - (A) have knowingly engaged in, contributed to, assisted, sponsored, or provided financial, material or technological support for, or goods and services in support of, any violation of, or evasion of, an applicable United Nations Security Council resolution;
    - (B) have knowingly facilitated the transfer of any funds, financial assets, or economic resources of, or property or interests in property of a person designated under an applicable Executive order, or by the United Nations Security Council pursuant to an applicable United Nations Security Council resolution;
    - (C) have knowingly facilitated the transfer of any funds, financial assets, or economic resources, or any property or interests in property derived from, involved in, or that has materially contributed to conduct prohibited by <ins>subsection (a) or </ins>an applicable United Nations Security Council resolution;
    - (D) have knowingly facilitated any transaction that contributes materially to a violation of an applicable United Nations Security Council resolution;
    - (E) have knowingly facilitated any transactions in cash or monetary instruments or other stores of value, including through cash couriers transiting to or from North Korea, used to facilitate any conduct prohibited by an applicable United Nations Security Council resolution;
    - (F) have knowingly contributed to the bribery of an official of the Government of North Korea, the misappropriation, theft, or embezzlement of public funds by, or for the benefit of, an official of the Government of North Korea, or the use of any proceeds of any such conduct; or
    - (G) have knowingly and materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, the conduct described in subparagraphs (A) through (F) of this paragraph or the conduct described in subparagraphs (A) through (G) of subsection (a)(1).
  - (2) Effect of designation— With respect to any person designated under this subsection, the President—
    - (A) may apply the sanctions described in section 204;
    - (B) may apply any of the special measures described in section 5318A of title 31, United States Code;
    - (C) may prohibit any transactions in foreign exchange that are subject to the jurisdiction of the United States and in which such person has any interest;
    - (D) may prohibit any transfers of credit or payments between financial institutions or by, through, or to any financial institution, to the extent that such transfers or payments are subject to the jurisdiction of the United States and involve any interest of the person; and
    - (E) may exercise the authorities of the International Emergency Economic Powers Act (50 U.S.C. 1705 et seq.) without regard to section 202 of such Act to block any property and interests in property of the person that are in the United States, that hereafter come within the United States, or that are or hereafter come within the possession or control of any United States person, including any overseas branch.
- (c) Blocking of all property and interests in property of the Government of North Korea— The President shall exercise the authorities of the International Emergency Economic Powers Act (50 U.S.C. 1705 et seq.) without regard to section 202 of such Act to block all property and interests in property of the Government of North Korea that are in the United States, that hereafter come within the United States, or that are or hereafter come within the possession or control of any United States person, including any overseas branch.
- (d) Application— The designation of a person and the blocking of property <ins>and interests in property </ins>under subsection (a), (b), or (c) shall also apply with respect to a person who is determined to be owned or controlled by, or to have acted or purported to act for or on behalf of, directly or indirectly, any person whose property and interests in property are blocked pursuant to this section.
- (e) Transaction licensing— The President shall deny or revoke any license for any transaction that, in the determination of the President, lacks sufficient financial controls to ensure that such transaction will not facilitate any of the conduct described in subsection (a) or subsection (b).

## Sec. 201 Determinations with respect to North Korea as a jurisdiction of primary money laundering concern

- (a) Findings— Congress makes the following findings:
  - (1) The Undersecretary of the Treasury for Terrorism and Financial Intelligence, who is responsible for safeguarding the financial system against illicit use, money laundering, terrorist financing, and the proliferation of weapons of mass destruction, has repeatedly expressed concern about North Korea’s misuse of the international financial system as follows:
    - (A) In 2006, the Undersecretary stated that, given North Korea’s “counterfeiting of U.S. currency, narcotics trafficking and use of accounts worldwide to conduct proliferation-related transactions, the line between illicit and licit North Korean money is nearly invisible” and urged financial institutions worldwide to “think carefully about the risks of doing any North Korea-related business.”.
    - (B) In 2011, the Undersecretary stated that “North Korea remains intent on engaging in proliferation, selling arms as well as bringing in material,” and was “aggressively pursuing the effort to establish front companies.”.
    - (C) In 2013, the Undersecretary stated, in reference to North Korea’s distribution of high-quality counterfeit United States currency, that “North Korea is continuing to try to pass a supernote into the international financial system,” and that the Department of the Treasury would soon introduce new currency with improved security features to protect against counterfeiting by the Government of North Korea.
  - (2) The Financial Action Task Force, an intergovernmental body whose purpose is to develop and promote national and international policies to combat money laundering and terrorist financing, has repeatedly—
    - (A) expressed concern at deficiencies in North Korea’s regimes to combat money laundering and terrorist financing;
    - (B) urged North Korea to adopt a plan of action to address significant deficiencies in these regimes and the serious threat they pose to the integrity of the international financial system;
    - (C) urged all jurisdictions to apply countermeasures to protect the international financial system from ongoing and substantial money laundering and terrorist financing risks emanating from North Korea;
    - (D) urged all jurisdictions to advise their financial institutions to give special attention to business relationships and transactions with North Korea, including North Korean companies and financial institutions; and
    - (E) called on all jurisdictions to protect against correspondent relationships being used to bypass or evade countermeasures and risk mitigation practices, and take into account money laundering and terrorist financing risks when considering requests by North Korean financial institutions to open branches and subsidiaries in their jurisdiction.
  - (3) On March 7, 2013, the United Nations Security Council unanimously adopted Resolution 2094, which—
    - (A) welcomed the Financial Action Task Force’s recommendation on financial sanctions related to proliferation, and its guidance on the implementation of sanctions;
    - (B) decided that Member States should apply enhanced monitoring and other legal measures to prevent the provision of financial services or the transfer of property that could contribute to activities prohibited by applicable United Nations Security Council resolutions; and
    - (C) called on Member States to prohibit North Korean banks from establishing or maintaining correspondent relationships with banks in their jurisdictions, to prevent the provision of financial services, if they have information that provides reasonable grounds to believe that these activities could contribute to activities prohibited by an applicable United Nations Security Council resolution, or to the evasion of such prohibitions.
- (b) Sense of congress regarding the designation of north korea as a jurisdiction of primary money laundering concern— Congress—
  - (1) acknowledges the efforts of the United Nations Security Council to impose limitations on, and require enhanced monitoring of, transactions involving North Korean financial institutions that could contribute to sanctioned activities;
  - (2) urges the President, in the strongest terms, to consider immediately designating North Korea as a jurisdiction of primary money laundering concern, and to adopt stringent special measures to safeguard the financial system against the risks posed by North Korea’s willful evasion of sanctions and its illicit activities; and
  - (3) urges the President to seek the prompt implementation by other states of enhanced monitoring and due diligence to prevent North Korea’s misuse of the international financial system, including by sharing information about activities, transactions, and property that could contribute to activities sanctioned by applicable United Nations Security Council resolutions, or to the evasion of sanctions.
- (c) Determinations regarding north korea—
  - (1) In general— The Secretary of the Treasury shall, not later than 180 days after the date of the enactment of this Act, determine, in consultation with the Secretary of State and Attorney General, and in accordance with section 5318A of title 31, United States Code, whether reasonable grounds exist for concluding that North Korea is a jurisdiction of primary money laundering concern.
  - (2) Enhanced due diligence and reporting requirements— Except as provided in section 207, if the Secretary of the Treasury determines under this subsection that reasonable grounds exist for finding that North Korea is a jurisdiction of primary money laundering concern, the Secretary of the Treasury, in consultation with the Federal functional regulators, shall impose one or more of the special measures described in paragraphs (1) through (5) of section 5318A(b) of title 31, United States Code, with respect to the jurisdiction of North Korea.
  - (3) Report required—
    - (A) In general— <del>The </del><ins>If the </ins>Secretary of the Treasury <ins>determines that North Korea is a jurisdiction of primary money laundering concern, the Secretary of the Treasury </ins>shall, not later than <del>180 </del><ins>90 </ins>days after the <del>enactment of this Act, and for each of </del><ins>date on which </ins>the <del>3 calendar years thereafter, </del><ins>Secretary makes such determination, </ins>submit to the appropriate congressional committees a report on the determination made under paragraph (1) together with the reasons for that determination.
    - (B) Form— A report or copy of any report submitted under this paragraph shall be submitted in unclassified form but may contain a classified annex.

## Sec. 204 Procurement sanctions

- (a) In general— Except as provided in this section, the United States Government may not procure, or enter into any contract for the procurement of, any goods or services from any designated person.
- (b) FAR— The Federal Acquisition Regulation issued pursuant to section 1303 of title 41, United States Code, shall be revised to require a certification from each person that is a prospective contractor that such person does not engage in any of the conduct described in section 104(a). Such revision shall apply with respect to contracts in an amount greater than the <del>simple </del><ins>simplified </ins>acquisition threshold (as defined in section 134 of title 41, United States Code) for which solicitations are issued on or after the date that is 90 days after the date of the enactment of this Act.
- (c) Termination of contracts and initiation of suspension and debarment proceeding—
  - (1) Termination of contracts— Except as provided in paragraph (2), the head of an executive agency shall terminate a contract with a person who has provided a false certification under subsection (b).
  - (2) Waiver— The head of an executive agency may waive the requirement under paragraph (1) with respect to a person based upon a written finding of urgent and compelling circumstances significantly affecting the interests of the United States. If the head of an executive agency waives the requirement under paragraph (1) for a person, the head of the agency shall submit to the appropriate congressional committees, within 30 days after the waiver is made, a report containing the rationale for the waiver and relevant information supporting the waiver decision.
  - (3) Initiation of suspension and debarment proceeding— The head of an executive agency shall initiate a suspension and debarment proceeding against a person who has provided a false certification under subsection (b). Upon determination of suspension, debarment, or proposed debarment, the agency shall ensure that such person is entered into the Government-wide database containing the list of all excluded parties ineligible for Federal programs pursuant to Executive Order <ins>No. </ins>12549 (31 U.S.C. 6101 note; relating to debarment and suspension) and Executive Order <ins>No. </ins>12689 (31 U.S.C. 6101 note; relating to debarment and suspension).
- (d) Clarification regarding certain products— The remedies specified in subsections (a) through (c) shall not apply with respect to the procurement of eligible products, as defined in section 308(4) of the Trade Agreements Act of 1979 (19 U.S.C. 2518(4)), of any foreign country or instrumentality designated under section 301(b) of such Act (19 U.S.C. 2511(b)).
- (e) Rule of construction— Nothing in this subsection may be construed to limit the use of other remedies available to the head of an executive agency or any other official of the Federal Government on the basis of a determination of a false certification under subsection (b).
- (f) Executive agency defined— In this section, the term executive agency has the meaning given such term in section 133 of title 41, United States Code.

## Sec. 205 Enhanced inspections authorities

- (a) <del>Briefing </del><ins>Report </ins>required— Not later than 180 days after the date of the enactment of this Act, and every 180 days thereafter, the President, acting through the Secretary of Homeland Security, shall <del>provide </del><ins>submit </ins>to the appropriate congressional committees, the Committee on Homeland Security of the House of Representatives, and the Committee on Homeland Security and Governmental Affairs of the Senate, a <del>briefing </del><ins>report </ins>identifying foreign sea ports and airports whose inspections of ships, aircraft, and conveyances originating in North Korea, carrying North Korean property, or operated by the Government of North Korea are deficient to effectively prevent the facilitation of any of the activities described in section 104(a).
- (b) Enhanced security targeting requirements— Not later than 180 days after the identification of any sea port or airport pursuant to subsection (a), the Secretary of Homeland Security <del>shall promulgate regulations imposing enhanced physical inspection requirements, as identified by </del><ins>shall, utilizing </ins>the Automated Targeting System operated by the National Targeting Center in U.S. Customs and Border Protection, <del>on </del><ins>require enhanced screening procedures to determine if physical inspections are warranted of </ins>any cargo <ins>bound for or </ins>landed in the United States that has been transported through such sea port or <del>airport.</del><ins>airport if there are reasonable grounds to believe that such cargo contains goods prohibited under this Act.</ins>
- (c) Seizure and forfeiture— A vessel, aircraft, or conveyance used to facilitate any of the activities described in section 104(a) that comes within the jurisdiction of the United States may be seized and forfeited under chapter 46 of title 18, United States Code, or under the Tariff Act of 1930.

## Sec. 206 Travel sanctions

- (a) Aliens ineligible for visas, admission, or parole—
  - (1) Visas, admission, or parole— An alien <ins>(or an alien who is a corporate officer of a person (as defined in subparagraph (B) or (C) of section 3(11)) </ins>who the Secretary of State or the Secretary of Homeland Security (or a designee of one of such Secretaries) knows, or has reasonable grounds to believe, is described in subsection (a)(1) or (b)(1) of section 104 is—
    - (A) inadmissible to the United States;
    - (B) ineligible to receive a visa or other documentation to enter the United States; and
    - (C) otherwise ineligible to be admitted or paroled into the United States or to receive any other benefit under the Immigration and Nationality Act (8 U.S.C. 1101 et seq.).
  - (2) Current visas revoked—
    - (A) In general— The issuing consular officer, the Secretary of State, or the Secretary of Homeland Security (or a designee of one of such Secretaries) shall revoke any visa or other entry documentation issued to an alien who is described in subsection (a)(1) or (b)(1) of section 104 regardless of when issued.
    - (B) Effect of revocation— A revocation under subparagraph (A)—
      - (i) shall take effect immediately; and
      - (ii) shall automatically cancel any other valid visa or entry documentation that is in the alien’s possession.
- (b) Exception <del>to </del><ins>To </ins>comply with united nations headquarters agreement— Sanctions under subsection (a)(1)(B) shall not apply to an alien if admitting the alien into the United States is necessary to permit the United States to comply with the Agreement regarding the Headquarters of the United Nations, signed at Lake Success June 26, 1947, and entered into force November 21, 1947, between the United Nations and the United States, or other applicable international obligations.

## Sec. 303 Report on persons who are responsible for serious human rights abuses or censorship in North Korea

- (a) In general— The Secretary of State shall submit to the appropriate congressional committees a report that contains an identification of each person the Secretary determines to be responsible for serious human rights abuses or censorship in North Korea and a description of such abuses or censorship engaged in by such person.
- (b) Consideration— In preparing the report required under subsection (a), the Secretary of State shall give due consideration to the findings of the United Nations Commission of Inquiry on Human Rights in North Korea, and shall make specific findings with respect to the responsibility of Kim Jong Un, and of each natural person who is a member of the National Defense Commission of North Korea, <ins>or the Organization and Guidance Department of the Workers’ Party of Korea, </ins>for serious human rights abuses and censorship.
- (c) Designation of Persons— The President shall designate under section 104(a) any person listed in the report required under subsection (a) as responsible for serious human rights abuses or censorship in North Korea.
- (d) Submission and form—
  - (1) Submission— The report required under subsection (a) shall be submitted not later than 90 days after the date of the enactment of this Act, and every 180 days thereafter for a period not to exceed 3 years, shall be included in each report required under sections 116(d) and 502B(b) of the Foreign Assistance Act of 1961 (22 U.S.C. 2151n(d) and 2304(b)) (relating to the annual human rights report).
  - (2) Form— The report required under subsection (a) shall be submitted in unclassified form, but may include a classified annex. The Secretary of State shall also publish the unclassified part of the report on the Department of State’s website.

## Sec. 401 Suspension of sanctions and other measures

- (a) In general— Any sanction or other measure required by title I, II, or III of this Act (or any amendment made by title I, II, or III of this Act) may be suspended for up to 365 days upon certification by the President to the appropriate congressional committees that the Government of North Korea has—
  - (1) verifiably ceased its counterfeiting of United States currency, including the surrender or destruction of specialized materials and equipment used for or particularly suitable for counterfeiting;
  - (2) taken significant steps toward financial transparency to comply with generally accepted protocols to cease and prevent the laundering of monetary instruments;
  - (3) taken significant steps toward verification of its compliance with United Nations Security Council Resolutions 1695, 1718, 1874, 2087, and 2094;
  - (4) taken significant steps toward accounting for and repatriating the citizens of other countries abducted or unlawfully held captive by the Government of North Korea or detained in violation of the 1953 Armistice Agreement;
  - (5) accepted and begun to abide by internationally recognized standards for the distribution and monitoring of humanitarian aid;
  - (6) provided credible assurances that it will not support further acts of international terrorism;
  - (7) taken significant and verified steps to improve living conditions in its political prison camps; and
  - (8) made significant progress in planning for unrestricted family reunification meetings, including for those individuals among the two million strong Korean-American community who maintain family ties with relatives in North Korea.
- (b) Renewal of suspension— The suspension described in subsection (a) may be renewed for additional consecutive periods of <del>365 </del><ins>180 </ins>days upon certification by the President to the appropriate congressional committees that the Government of North Korea has continued to comply with the conditions described in subsection (a) during the previous year.

## Sec. 403 Regulations

- (a) In general— The President is authorized to promulgate such rules and regulations as may be necessary to carry out the provisions of this Act (which may include regulatory exceptions), including under section 205 of the International Emergency Economic Powers Act (50 U.S.C. 1704).
- (b) Rule of construction— Nothing in this Act or any amendment made by this Act shall be construed to limit the authority of the President <del>to designate or sanction persons </del>pursuant to an applicable Executive order or otherwise pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.).

## Sec. 405 Offset — added

- <ins>Section 102(a) of the Enhanced Partnership with Pakistan Act of 2009 (Public Law 111–73; 22 U.S.C. 8412(a)) is amended by striking “$1,500,000,000” and inserting “$1,490,000,000”.</ins>