Bill Text: AZ SB1265 | 2010 | Forty-ninth Legislature 2nd Regular | Introduced
Bill Title: Business with Iran; companies prohibited
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2010-02-01 - Referred to Senate GOV Committee [SB1265 Detail]
Download: Arizona-2010-SB1265-Introduced.html
|
REFERENCE TITLE: business with Iran; companies prohibited |
|
State of Arizona Senate Forty-ninth Legislature Second Regular Session 2010
|
|
SB 1265 |
|
|
|
Introduced by Senator Paton
|
AN ACT
amending title 44, Arizona Revised Statutes, by adding chapter 35; relating to companies with business operations with iran.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 44, Arizona Revised Statutes, is amended by adding chapter 35, to read:
CHAPTER 35
COMPANIES WITH BUSINESS OPERATIONS WITH IRAN
ARTICLE 1. GENERAL PROVISIONS
44-7801. Definitions
In this chapter, unless the context otherwise requires:
1. "Active business operations" means all business operations that are not inactive business operations.
2. "Business operations" means investing, with actual knowledge on or after August 5, 1996, in Iran's petroleum sector, which directly and significantly contributes to the enhancement of Iran's ability to develop the petroleum resources of Iran. The retail sale of gasoline and related consumer products is not considered to directly or significantly contribute to the enhancement of Iran's ability to develop petroleum resources.
3. "Company" means any sole proprietorship, organization, association, corporation, partnership, joint venture, limited partnership, limited liability partnership, limited liability company or other entity or business association, including all wholly owned subsidiaries, majority-owned subsidiaries or parent companies or affiliates of such entities or business associations, that exists for the purpose of making a profit.
4. "Inactive business operations" means the continued holding or renewal of rights to property previously operated for the purpose of generating revenues but not presently deployed for such a purpose.
5. "Iran" means the Islamic Republic of Iran.
6. "List" means the scrutinized companies with activities in the Iran petroleum energy sector list that is prescribed by this article.
7. "Petroleum resources" means petroleum or natural gas.
8. "Scrutinized" means any active business operations, if those business operations are subject to sanctions under Public Law 104-172, the Iran sanctions act of 1996, and involve investments of a material portion of the company's revenues or assets and the company has failed to take substantial action specific to Iran. The attorney general has sole discretion to determine what is a material portion of revenues or assets.
9. "Substantial action specific to Iran" means adopting, publicizing and implementing a formal plan to cease scrutinized business operations within one year and to refrain from any such new business operations.
44-7802. Identification of scrutinized companies
A. Within one hundred eighty days after the effective date of this chapter, the attorney general shall make reasonable efforts to identify all scrutinized companies that are conducting business in this state. Such efforts shall include reviewing and relying, as appropriate in the attorney general's judgment, on publicly available information regarding companies conducting business operations in Iran, including information provided by nonprofit organizations, research firms, international organizations and government entities.
B. The attorney general shall assemble all identified scrutinized companies into a scrutinized companies with activities in the Iran petroleum energy sector list.
C. The attorney general shall update the list on an annual basis based on information from those entities listed in subsection A.
44-7803. Required actions
The attorney general shall adhere to the following procedures for companies on the scrutinized companies with activities in the Iran petroleum energy sector list on an annual basis:
1. For each company with only inactive business operations, the attorney general shall send a written notice informing the company of this chapter and encouraging it to continue to refrain from initiating active business operations in Iran until it is able to avoid scrutinized business operations. The attorney general shall continue such correspondence on an annual basis.
2. For each company newly identified with active business operations, the attorney general shall send a written notice informing the company of its scrutinized company status and that it may become prohibited from conducting business in this state. the notice shall offer the company the opportunity to clarify its Iran-related activities and shall encourage the company, within one hundred eighty days, to either cease its scrutinized business operations or convert such operations to inactive business operations in order to avoid qualifying for the prohibition pursuant to this chapter.
3. If, within one hundred eighty days following the attorney general's first engagement with a company pursuant to paragraph 2, that company ceases scrutinized business operations, the company shall be removed from the list and this section shall cease to apply to it unless it resumes scrutinized business operations. If, within one hundred eighty days after the attorney general's first engagement, the company converts its scrutinized active business operations to inactive business operations, the company shall be subject to paragraph 1.
4. If, after one hundred eighty days following the attorney general's first engagement with a company pursuant to paragraph 2, the company continues to have scrutinized active business operations, and only while such company continues to have scrutinized active business operations, the attorney general shall notify the company that the company is prohibited from conducting business in this state. If a company that ceased scrutinized active business operations following engagement pursuant to paragraph 2 resumes such operations, the attorney general shall notify the company that the company is prohibited from conducting business in this state. The company shall also be immediately reintroduced onto the list.
5. A company for whom the United States president exercises his waiver authority or the United States government affirmatively declares to be excluded from its present or any future federal sanctions regime relating to Iran shall not be subject to prohibition pursuant to paragraph 4.END_STATUTE
44-7804. Reporting
A. The attorney general shall submit a publicly available report to the United States attorney general, the senate and the house of representatives committees that are responsible for commerce issues and the governor that includes the scrutinized companies with activities in the Iran petroleum energy sector list within thirty days after the list is first created.
B. On or before January 31 of each year, the attorney general shall submit a publicly available report to the United States attorney general, the senate and the house of representatives committees that are responsible for commerce issues and the governor that includes all of the following:
1. A summary of correspondence with companies engaged by the attorney general pursuant to section 44‑7803, subsection A, paragraphs 1 and 2.
2. All companies prohibited from conducting business in this state investments pursuant to section 44‑7803.
3. All costs associated with compliance with section 44‑7803.END_STATUTE
44-7805. Other legal obligations; immunity
A. With respect to actions taken in compliance with this chapter, including all good faith determinations regarding companies as required by this chapter, the attorney general is exempt from any conflicting statutory or common law obligations.
B. With respect to all actions taken in good faith compliance with this chapter, the attorney general is immune from any liability.
C. The attorney general is indemnified from the state general fund and held harmless by this state from all claims, demands, suits, actions, damages, judgments, costs, charges and expenses, including costs and attorney fees, and against all liability, losses and damages of any nature that the attorney general may at any time sustain by reason of any decision made in good faith compliance with this chapter.
