S.198 - PLO and PA Terror Payments Accountability Act of 2025 (119th Congress)
Summary
The "PLO and PA Terror Payments Accountability Act of 2025" aims to impose sanctions on the Palestine Liberation Organization (PLO) and the Palestinian Authority (PA) for providing financial support to individuals and their families involved in acts of terrorism. The bill targets foreign persons and financial institutions that facilitate these payments. It also includes findings that highlight the continued payments despite the Taylor Force Act and condemns the October 7, 2023, attacks on Israel.
The Act mandates the President to impose sanctions, including blocking property and restricting visas, on those found supporting the PLO/PA's system of compensation. It also targets foreign financial institutions that knowingly facilitate transactions related to these payments by prohibiting or strictly conditioning their ability to maintain accounts in the United States.
The legislation would terminate if the Secretary of State certifies that the PLO and PA have ceased their system of compensation for acts of terrorism.
Expected Effects
If enacted, this act would likely lead to increased financial pressure on the PLO and PA, potentially reducing their ability to fund activities that support terrorism. Foreign persons and financial institutions may be deterred from engaging with the PLO/PA due to the risk of sanctions.
This could strain relations between the U.S. and entities that continue to support the PLO/PA's compensation system. It may also impact humanitarian aid and other forms of assistance to the Palestinian territories, depending on how strictly the sanctions are implemented.
Potential Benefits
- Reduced Support for Terrorism: By cutting off financial support, the act aims to diminish the PLO/PA's capacity to incentivize and reward acts of terrorism.
- Increased Accountability: The act holds the PLO and PA accountable for their system of compensation, potentially deterring future support for terrorism.
- Enhanced National Security: By targeting financial networks that support terrorism, the act contributes to U.S. national security interests.
- Support for Victims of Terrorism: The act sends a message of solidarity with victims of terrorism and their families.
- Discourages Financial Institutions from Supporting Terrorism: The act disincentives financial institutions from facilitating transactions that support terrorism.
Most Benefited Areas:
Potential Disadvantages
- Humanitarian Impact: Sanctions could negatively impact the Palestinian economy and humanitarian situation, potentially harming innocent civilians.
- Strained Diplomatic Relations: The act could further strain relations between the U.S., the PLO/PA, and other countries that provide assistance to the Palestinian territories.
- Potential for Unintended Consequences: Broad sanctions could inadvertently harm legitimate economic activity and hinder efforts to promote peace and stability.
- Implementation Challenges: Determining which entities are knowingly supporting terrorism-related payments can be complex and may lead to errors.
- Risk of Escalation: The act could escalate tensions in the region and undermine efforts to resolve the Israeli-Palestinian conflict.
Constitutional Alignment
The bill's alignment with the U.S. Constitution is primarily related to the powers granted to Congress and the President in foreign affairs. Article I, Section 8, grants Congress the power to regulate commerce with foreign nations and to declare war, while the President, under Article II, is the Commander-in-Chief and conducts foreign policy.
The imposition of sanctions falls under the purview of these powers, as it involves regulating financial interactions with foreign entities and implementing foreign policy objectives. The bill does not appear to infringe on individual liberties or rights protected by the Bill of Rights, as it primarily targets foreign entities and individuals involved in supporting terrorism.
However, the implementation of the act must adhere to due process requirements, ensuring that individuals and entities are not unfairly targeted or sanctioned without sufficient evidence.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).