Warren, Coons, Wyden, Gallego Introduce Bill to Impose Sanctions on Israeli Settlement Construction in the E1 Area of the West Bank

National -

September 30, 2026

Washington, D.C. – RealEstateRama – U.S. Senators Elizabeth Warren (D-Mass.), Chris Coons (D-Del.), Ron Wyden (D-Ore.), and Ruben Gallego (D-Ariz.) introduced new legislation to impose targeted sanctions on companies, individuals, and other entities that facilitate the development of Israeli settlements in the E1 area of the West Bank.

Last year, Israel approved construction of more than 3,000 housing units in the E1 area of the West Bank. In recent weeks, Israel announced tenders to allow companies to bid for construction of these settlements. If completed, these units could sever the West Bank in two, gravely threatening the viability of a future Palestinian state.

Israeli officials have publicly acknowledged the impact E1 settlement expansion could have on a two-state solution. Speaking at a ceremony shortly after his approval of the E1 plan, Prime Minister Benjamin Netanyahu reportedly stated, “We said a Palestinian state will not be established – and indeed, a Palestinian state will not be established.” Following the initial announcement of the E1 settlements in August 2025, Israeli Finance Minister Bezalel Smotrich reportedly stated, “The Palestinian state is being erased from the table not by slogans but by deeds. Every settlement, every neighborhood, every housing unit is another nail in the coffin of this dangerous idea.”

“The E1 settlement project is a move towards de facto annexation of the West Bank, and those who choose to facilitate settlement construction should understand that they risk losing access to the U.S. financial system,” said Senator Warren. “The United States must use all diplomatic and economic tools available to counter rapid settlement expansion and extremist settler violence in the West Bank, spiraling trends that will only undermine the prospect of lasting peace for Israelis and Palestinians.”

“For decades, American presidents from both parties have warned successive Israeli governments that construction in E1 threatened the viability of a Palestinian state and was unacceptable to the United States,” said Senator Coons. “As Palestinian civilians face a campaign of devastation and fear from violent extremist settlers, the United States must send a strong message that this behavior is unacceptable and that it remains committed to freedom, security, prosperity, and self-determination for all Israelis and Palestinians.”

“Benjamin Netanyahu’s disgraceful policy of expanding West Bank settlements crosses a clear red line and makes Palestinian statehood and lasting peace even more difficult,” said Senator Wyden. “The United States must stand up against Netanyahu’s campaign of violence and aggression against Palestinian civilians and sanction individuals and companies that are complicit in this unlawful action.”

“For decades, Democrats and Republicans alike have pushed for a two-state solution. Proposed Israeli construction of new settlement homes in the E1 area would cut off East Jerusalem from the West Bank and threaten a viable Palestinian state. It’s a step in the wrong direction,” said Senator Gallego. “This legislation sends a clear message to Prime Minister Netanyahu: the United States stands firmly behind a two-state solution as the only path to real peace and security for all.”

The bill would impose sanctions on any foreign person that the Secretary of the Treasury determines to have been responsible for or complicit in the construction of any Israeli settlements or related structures in the E1 area of the West Bank, including by submitting a bid for E1 tenders. It would also impose sanctions on those who attempt to organize, direct, finance, or facilitate the transfer of Israeli civilians into E1 settlements.

The bill is also cosponsored by U.S. Senators Michael Bennet (D-Colo.), Tammy Duckworth (D-Ill.), Martin Heinrich (D-N.M.), Tim Kaine (D-Va.), Mark Kelly (D-Ariz.), Andy Kim (D-N.J.), Jeff Merkley (D-Ore.), Chris Murphy (D-Conn.), Patty Murray (D-Wash.), Jack Reed (D-R.I.), Brian Schatz (D-Hawaii), Adam Schiff (D-Calif.), Elissa Slotkin (D-Mich.), Chris Van Hollen (D-Md.), and Peter Welch (D-Vt.).

Senator Warren has been a strong advocate for humanitarian assistance, opposing the Netanyahu government’s expansion of settlements, and is a long-time champion of civilian harm prevention reforms for the U.S. military:

In August 2026, Senator Elizabeth Warren (D-Mass.) and Senator Chris Van Hollen, along with 19 of their colleagues, urged Secretary of State Marco Rubio, Treasury Secretary Scott Bessent, and Acting Attorney General Todd Blanche to use all diplomatic and economic tools at their disposal to end settler violence and expansion of settlements in the West Bank. The lawmakers also called for independent investigations of the nine Americans killed since January 2022.
In April 2026, Senators Warren (D-Mass.) and Van Hollen (D-Md.) led nine senators in opening a new investigation into Secretary of Defense Pete Hegseth’s role in weakening civilian harm prevention programs and the catastrophic civilian impacts of President Trump’s war in Iran.
In March 2026, at a hearing of the Senate Armed Services Committee, Senator Warren (D-Mass.) raised her concerns to the commanders of United States Northern Command (NORTHCOM) and United States Southern Command (SOUTHCOM) about the Trump administration’s sidelining of the military’s Judge Advocate General Corps (JAGs), who are responsible for providing independent legal advice to commanders. This sidelining risks increasing the chances of civilian harm as the war against Iran continues.
In March 2026, Senator Warren (D-Mass.), a member of the Armed Services Committee, along with Senators Van Hollen (D-Md.), Kaine (D-Va.), Schatz (D-Hawaii), Senate Democratic Leader Schumer (D-N.Y.), and 41 colleagues, pressed Defense Secretary Pete Hegseth for a full investigation on the airstrikes on a school in Minab, Iran, and other civilian casualties in the Trump administration’s war on Iran. The senators are also calling for accountability for those responsible.
In March 2026, Senator Elizabeth Warren joined Chris Van Hollen (D-Md.) and30 of their colleagues in pressing the Trump Administration for accountability and an investigation into the death of Nasrallah Abu Siyam, an American citizen who was shot and killed in the West Bank by violent Israeli settlers.
In March 2026, Senator Warren (D-Mass.), a member of the Senate Armed Services Committee (SASC), spoke on the floor of the Senate, calling on Congress to end President Donald Trump’s reckless war in Iran and investigate civilian harm in Iran.
In December 2025, Senator Elizabeth Warren launched an investigation into the role of the U.S. military in distributing humanitarian assistance to Gaza following the October ceasefire.
On November 24, 2025, Senator Elizabeth Warren, Senator Ed Markey, and 98 members of Congress urged the Trump administration to work with both Israeli authorities and international partners to push toward rebuilding accessible hospitals and medical infrastructure in Gaza.
On November 4, 2025, Senator Elizabeth Warren pressed Austin Dahmer, nominee to be Assistant Secretary of Defense for Strategy, Plans, and Capabilities, on her concerns about the ongoing humanitarian crisis in Gaza and the need to ensure Palestinians get desperately needed aid without interference.
On October 9, 2025, Senators Elizabeth Warren, Tammy Duckworth (D-Ill.), Chris Van Hollen (D-Md.), Ed Markey (D-Mass.), and Jeff Merkley (D-Ore.) wrote to the Department of State (State Department) requesting an explanation for the department’s failure to provide timely consular services to American citizens who were detained while on the Global Sumud Flotilla.
On September 25, 2025, Senators Elizabeth Warren, Ed Markey (D-Mass.), Chris Van Hollen (D-Md.), and Jeff Merkley (D-Ore.) urged Secretary of State Marco Rubio to intervene with the Netanyahu government to protect the safety of peaceful civilian members of the Global Sumud Flotilla, a group of vessels carrying humanitarian aid to Gaza, which has reportedly been facing multiple attacks.
On September 17, 2025, Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing, and Urban Affairs Committee, sent a letter to Secretary of State Marco Rubio and Treasury Secretary Scott Bessent calling for changes in Trump Administration policies that are presently exacerbating the risk of collapse in the West Bank.
On September 3, 2025, Senator Warren, Chris Van Hollen (D-Md.), and Peter Welch (D-Vt.) demanded clarity from the Department of State (State) and U.S. Agency for International Development (USAID) on its decision to award $30 million to the Gaza Humanitarian Foundation (GHF).
On June 20, 2025, Senator Warren sent a new letter to the Secretary of State and the United States Agency for International Development (USAID) raising her concerns about the Department of State’s reported plan to give $500 million to the Gaza Humanitarian Foundation (GHF).
On May 22, 2025, Senators Elizabeth Warren and Peter Welch (D-Vt.) led 28 senators in introducing a resolution calling on the Trump Administration to use all diplomatic tools at its disposal to bring an end to the blockade of food and lifesaving humanitarian aid to address the needs of civilians in Gaza.
On May 9, 2025, Senator Warren and colleagues urged President Trump to take an active role in pressing for humanitarian aid and a return to ceasefire negotiations between Israel and Hamas in order to ensure Israel’s security and end more than 15 months of devastating conflict in Gaza.
On May 6, 2025, Senators Warren, Chris Van Hollen (D-Md.), Dick Durbin (D-Ill.), Jeff Merkley (D-Ore.), Bernie Sanders (I-Vt.), and Peter Welch (D-Vt.) called on U.S. Comptroller General Gene Dodaro to launch a Government Accountability Office (GAO) investigation into the federal government’s compliance with laws that require the U.S. to ensure recipients of U.S. assistance respect human rights and facilitate the delivery of humanitarian aid.
On April 23, 2024, Senator Warren released a statement on the passage of the national security supplemental package supporting life-saving humanitarian aid for Palestinians in Gaza and criticizing the provision of more aid for Israel without additional conditions and the prohibition of funds to UNRWA.
On March 22, 2024, Senator Warren and colleagues pressed the Biden administration to find that the Netanyahu Government’s assurances regarding the delivery of humanitarian aid in Gaza do not meet the “credible and reliable” test required by National Security Memorandum (NSM)-20.
On March 11, 2024, Senator Warren and colleagues urged the Biden administration to follow the law by halting arms shipments to Israel while humanitarian aid was prevented from entering the Gaza Strip.
On February 2, 2024, Senator Warren and colleagues pressured the Biden administration to encourage Israeli officials to take five specific steps to significantly increase urgently needed humanitarian aid for civilians in Gaza.
On December 7, 2023, Senator Warren and lawmakers announced that they are working on an amendment to require that the weapons received by any country under the proposed national security supplemental be used in accordance with U.S. law, international humanitarian law, and the law of armed conflict.