# PLO and PA Terror Payments Accountability Act of 2025 - Summary

## What This Bill Does

This bill aims to impose financial sanctions against the Palestine Liberation Organization (PLO) and Palestinian Authority (PA) for their system of paying salaries, benefits, and compensation to individuals convicted of terrorism and to the families of those who have committed terrorist acts. The bill argues that these payments incentivize and reward terrorism. It references the 2018 Taylor Force Act, which previously called for the PLO and PA to end these payments, and asserts that despite that law, the practice has continued.

## Who Is Affected

The bill would primarily affect:
- **PLO and PA officials and representatives** who administer or support the compensation system
- **Foreign individuals and entities** that knowingly facilitate these payments
- **Financial institutions** that process transactions related to these payments
- Potentially **U.S. aid to the Palestinian Authority**, which could be restricted or redirected

The bill does not directly affect U.S. citizens but could impact U.S. foreign policy and aid distribution in the Middle East.

## Key Provisions

The bill requires the President to impose sanctions within 90 days and on an ongoing basis against foreign persons involved in administering or supporting the PA/PLO compensation system. It defines "acts of terrorism" broadly and establishes that sanctions can apply to anyone who "knowingly" facilitates these payments. The bill emphasizes the October 7, 2023 Hamas attacks on Israel as context for the urgency of this legislation.

PLO and PA Terror Payments Accountability Act of 2025

Cotton, Tom

PLO and PA Terror Payments Accountability Act of 2025This bill requires the President to impose sanctions on foreign persons (individuals and entities) that are involved with the Palestinian Liberation Organization (PLO) or Palestinian Authority (PA) system of compensation supporting acts of terrorism. The bill defines this system of compensation as payments to an individual who (1) has been imprisoned for terrorist acts against Israeli or U.S. citizens after being fairly tried, (2) died while committing such terrorist acts, or (3) is a family member of such individuals. The definition also includes compensation for individuals imprisoned for terrorism where the level of compensation is based on the length of incarceration.Specifically, the President must impose visa- and property-blocking sanctions on any foreign person that has facilitated this compensation system, including PLO and PA officials as well as entities such as the Institute for the Care of the Families of the Martyrs and the Wounded. The President must also impose visa- and property-blocking sanctions on foreign persons who knowingly provide significant support to, or engage in significant transactions with, any of the aforementioned persons.The President must sanction foreign financial institutions that facilitate payments or benefits related to this compensation system by (1) prohibiting them from opening correspondent or payable-through accounts in the United States, and (2) prohibiting or imposing strict conditions on the maintenance of such accounts.The provisions of this bill shall terminate if the Department of State certifies that such compensation system has ceased.