This bill, titled the "Dismantle Iran's Proxy Act of 2025," requires the President to designate Ansarallah as a foreign terrorist organization (FTO) within 30 days of enactment. Concurrently, the President must impose sanctions on Ansarallah and any foreign persons determined to be officials, agents, or affiliates of the group, pursuant to Executive Order 13224. The legislation specifically mandates a determination regarding the affiliation of key individuals such as Abdul Malik al-Houthi, Abd al-Khaliq Badr al-Din al-Houthi, and Abdullah Yahya al-Hakim. Furthermore, the bill directs the President to submit a strategy within 180 days to restore freedom of navigation in the Bab al Mandeb Strait, Red Sea, and adjacent waterways, and to degrade Ansarallah's offensive capabilities, including command and control and lethal aid. The Secretary of State, in consultation with USAID, must also report on obstacles to humanitarian aid in Ansarallah-controlled areas of Yemen, detailing challenges, interference, and violence against aid workers, along with steps the U.S. is taking to ensure unhindered aid delivery.