Sponsors (7)
The bill strengthens U.S. national-security tools to cut off financial and travel support for terrorism and speeds enforcement, but does so at the risk of humanitarian harm to civilians, diplomatic and economic strain, higher compliance costs, and expanded legal exposure for immigrants and third parties.
U.S. taxpayers and the U.S. financial system gain stronger ability to stop money and travel that support terrorism: the bill authorizes targeted sanctions, blocks access to U.S. assets and correspondent banking, and bars entry for non‑U.S. persons tied to the PLO/PA compensation-for-terrorism system.
Federal authorities and U.S. banks get clearer enforcement tools and faster timelines: the bill creates specific penalties, reporting requirements, and a 90‑day requirement to begin imposing sanctions, improving deterrence and responsiveness to prohibited conduct.
U.S. persons and enforcement agencies benefit from clearer legal definitions and oversight: the bill defines 'United States person,' standardizes 'knowingly,' defines 'act of terrorism' consistent with existing statutes, and specifies congressional oversight committees, reducing ambiguity in application and review.
Civilians and local communities that rely on PA-administered services could lose critical aid or services if assistance is cut or conditioned, creating humanitarian impacts beyond targeted actors.
Sanctions and financial restrictions risk reducing U.S. diplomatic leverage and straining relations with countries whose banks or nationals are targeted, potentially complicating broader peace efforts and international cooperation.
U.S. and foreign banks — and by extension U.S. consumers and businesses — may face higher costs, disrupted cross‑border payments, or loss of lawful access to assets if banks are designated or cut off from U.S. correspondent services.
Based on analysis of 6 sections of legislative text.
Directs the President to sanction PLO/PA officials, foreign persons, and banks linked to payments that reward or support terrorism, and to impose visa and financial restrictions.
Introduced February 27, 2025 by Michael Lawler · Last progress February 27, 2025
Requires the President to impose targeted sanctions on officials, entities, and anyone who knowingly provides significant support or conducts significant transactions tied to the Palestine Liberation Organization (PLO) and Palestinian Authority (PA) compensation system for terrorists and their families. It also requires sanctions on foreign banks that process or facilitate such payments by restricting their access to U.S. correspondent and payable-through accounts, adds visa and inadmissibility penalties, sets short implementation deadlines, and becomes inactive unless the Secretary of State certifies that the compensation system has ceased.