Request for Comments on Simplification of the Export Administration Regulations; Proposed Rule DEPARTMENT OF COMMERCE

SUMMARY: Consistent with the export reform measures announced by the

Administration in the Trade Promotion Coordinating Committee Report,

the Bureau of Export Administration is undertaking a comprehensive

review of the Export Administration Regulations. This review is

intended to simplify, clarify, and to make the export control

regulatory requirements more user-friendly.

This advance notice and request for comments is being issued to

solicit public comments from industry and the interested public before

BXA begins to draft revisions of the regulations.

DATES: Comments should be received by March 28, 1994.

ADDRESSES: Written comments (six copies) should be sent to Patricia

Muldonian, Regulations Branch (Room 4054), Office of Technology and

Policy Analysis, Bureau of Export Administration, Department of

Commerce, P.O. Box 273, Washington, DC 20044.

FOR FURTHER INFORMATION CONTACT: Patricia Muldonian, Office of

Technology and Policy Analysis, Bureau of Export Administration,

telephone: (202) 482-2440.

SUPPLEMENTARY INFORMATION: On September 30, 1993, the Secretary of

Commerce submitted to the Congress a report of the Trade Promotion

Coordinating Committee (TPCC), entitled Toward a National Export

Strategy. This report included the following among its goals:

Undertake a comprehensive review of the Export Administration

Regulations to simplify, clarify, and make the regulations more

user-friendly. Working with industry, the simplification exercise

will be completed in 1994.

The Bureau of Export Administration (BXA) is providing advance

notice that, consistent with the TPCC report, it is initiating a review

of the Export Administration Regulations contained in parts 730 to 799

of title 15 of the Code of Federal Regulations (EAR). In this

connection, and before BXA starts to draft proposed regulations, it is

requesting comments from industry and the interested public.

This review of the EAR will be comprehensive, and it will include a

reexamination of the basic approaches to export controls as they are

currently administered under the EAR. The primary focus of this review

will be on the export-related provisions of the EAR. Consequently, BXA

does not intend to include in this review the antiboycott regulations

set forth in EAR Part 769. BXA is especially interested in comments

that suggest innovative alternative methods for BXA to carry out its

statutory export control responsibilities with minimal interference to

U.S. trade and competitiveness. BXA is also interested in proposals to

improve and simplify the overall structure of the EAR, and in specific

comments relating to the following:

(1) Can some license obligations be replaced with pre-shipment or

post-shipment notifications?

(2) Should the general license provisions of the EAR be revised?

Can certain general licenses be combined? Are there alternatives to the

general license concept?

(3) Should reexport controls be modified? Continued?

(4) How can the structure of the Commerce Control List (CCL) be

improved? Are there alternative approaches to the CCL? Can it be

renumbered/restructured? Can it be harmonized with other systems?

(5) Are there alternatives to the ``Country Group'' approach

currently used in the EAR?

(6) How should the EAR deal with controls on products of technical

data, written assurance requirements, and parts and components

controls? Are there alternative approaches?

(7) How should documentation requirements, such as Import

Certificates and Destination Control Statements, be modified? Should

forms used by BXA, e.g., BXA-622P (Application for Export License),

BXA-685P (Request for Amendment Request), or BXA-699P (Request for

Reexport Authorization), be changed, eliminated, or consolidated (with

other BXA forms or other agency forms)? Should document retention

requirements be modified?

(8) Should the EAR provide for ``License Free'' zones?

(9) What revisions should be made to the special licensing

procedures (Distribution License, Project License, Service Supply

Procedure, etc.)? Are there more effective alternatives?

(10) How should the EAR apply to unique situations such as the

electronic transmittal of technology and software, international

movement of aircraft and vessels, etc.?

(11) Are there new enforcement programs, practices or policies that

could enhance the government's ability to detect and prevent violations

of the EAR, while negatively impacting as little as possible on law-

abiding exporters?

All comments on improving and simplifying the EAR are welcome and

will be reviewed and considered in the course of rewriting the EAR.

Comments on policy issues, however, such as changes in the export

licensing policies to specific countries or regions, are outside the

scope of this regulatory review and should not be submitted.

Upon receipt and review of comments, BXA will draft proposed

regulations and publish them in the Federal Register for comment.

Following consideration of comments on the proposed regulations, BXA

plans to publish final regulations by the end of 1994.

BXA intends that all information obtained from the public in

connection with this notice be a matter of public record. Comments

received will be available for public inspection and copying. BXA will

not accept submissions made on a confidential basis. Communications

between agencies of the United States Government or with foreign

governments will not be made available for public inspection.

In the interest of accuracy and completeness, BXA requires written

comments. Oral comments must be followed by written memoranda, which

will also be a matter of public record and will be available for public

review and copying.

The public record concerning these comments will be maintained in

the Freedom of Information Records Inspection Facility, Room 4525, U.S.

Department of Commerce, 14th Street and Pennsylvania Avenue NW.,

Washington, DC 20230. Records in this facility, including written

public comments and memoranda summarizing the substance of oral

communications, may be inspected and copied in accordance with

regulations published in part 4 of title 15 of the Code of Federal

Regulations. Information about inspection and copying of records at

this facility may be obtained from Margaret Cornejo, BXA Freedom of

Information Officer, at the above address or by calling (202) 482-5653.

Dated: February 7, 1994.

Barry E. Carter,

Acting Under Secretary for Export Administration.

[FR Doc. 94-3125 Filed 2-7-94; 8:45 am]

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