Revisions to the Export Administration Regulations; Elimination of the Certification Requirements for General License GLR

DEPARTMENT OF COMMERCE

Bureau of Export Administration

15 CFR Parts 771 and 774

[Docket No. 931116-3316]

Revisions to the Export Administration Regulations; Elimination

of the Certification Requirements for General License GLR

AGENCY: Bureau of Export Administration, Commerce.

ACTION: Final rule.

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SUMMARY: The Bureau of Export Administration (BXA) is amending the

Export Administration Regulations (EAR), by eliminating the Shipper's

Export Declaration (SED) certification requirements for exports and

reexports of replacement parts and equipment under General License GLR

to Country Groups Q, T, V, W, and Y. These reporting requirements were

originally imposed as a tracking system to help determine how well the

replacement provisions of General License GLR were working. BXA has

determined that placing the symbol GLR on the SED is in itself a

certification that the conditions of the general license are understood

and that the exporter will comply with the terms of the general

license. However, the removal of the certification requirement does not

relieve the exporter of any recordkeeping obligations or other export

clearance provisions contained in the EAR.

This rule also eliminates the reporting requirement regarding

servicing commodities imported from Country Groups Q, W, or Y and

eliminates the reporting requirements regarding certain reexports of

one-for-one replacements and replacement equipment.

EFFECTIVE DATE: This rule is effective February 28, 1994.

FOR FURTHER INFORMATION CONTACT: Patricia Muldonian, Office of

Technology and Policy Analysis, Bureau of Export Administration, U.S.

Department of Commerce, Telephone: (202) 482-2440.

SUPPLEMENTARY INFORMATION: Exporters are reminded that listing General

License GLR on the Shipper's Export Declaration (SED) and the

presentation of such a SED to the U.S. Government under the clearance

procedures of part 786 constitutes a declaration that the export is

authorized under General License GLR and that the exporter is committed

to the terms and conditions of the one-for-one replacement authority of

General License GLR, including, but not limited to, the duty to destroy

abroad or return the part to be replaced.

Rulemaking Requirements

1. This rule involves a collection of information subject to the

Paperwork Reduction Act of 1980 (44 U.S.C. 3501 et seq.), approved by

the Office of Management and Budget under control numbers 0694-0018 and

0694-0047. This rule will reduce the reporting burden on the public.

2. This rule does not contain policies with Federalism implications

sufficient to warrant preparation of a Federalism assessment under

Executive Order 12612.

3. Because a notice of proposed rulemaking and an opportunity for

public comment are not required to be given for this rule by section

553 of the Administrative Procedure Act (5 U.S.C. 553) or by any other

law, under section 3(a) of the Regulatory Flexibility Act (5 U.S.C.

603(a) and 604(a)) no initial or final Regulatory Flexibility Analysis

has to be or will be prepared.

4. The provisions of the Administrative Procedure Act, 5 U.S.C.

553, requiring notice of proposed rulemaking, the opportunity for

public participation, and a delay in effective date, are inapplicable

because this regulation involves a foreign and military affairs

function of the United States. Section 13(b) of the Export

Administration Act (EAA) does not require that this rule be published

in proposed form because this rule does not impose a new control. No

other law requires that a notice of proposed rulemaking and an

opportunity for public comment be given for this rule.

Accordingly, it is issued in final form. However, comments from the

public are always welcome. Comments should be submitted to Patricia

Muldonian, Office of Technology and Policy Analysis, Bureau of Export

Administration, Department of Commerce, P.O. Box 273, Washington, DC

20044.

List of Subjects in 15 CFR Parts 771 and 774

Exports, Reporting and recordkeeping requirements.

Accordingly, parts 771 and 774 of the Export Administration

Regulations are amended as follows:

1. The authority citations for 15 CFR parts 771 and 774 continue to

read as follows:

Authority: Pub. L. 90-351, 82 Stat. 197 (18 U.S.C. 2510 et

seq.), as amended; sec. 101, Pub. L. 93-153, 87 Stat. 576 (30 U.S.C.

185), as amended; sec. 103, Pub, L. 94-163, 89 Stat. 877 (42 U.S.C.

6212), as amended; secs. 201 and 201(11)(e), Pub. L. 94-258, 90

Stat. 309 (10 U.S.C. 7420 and 7430(e)), as amended; Pub. L. 95-223,

91 Stat. 1626 (50 U.S.C. 1701 et seq.); Pub. L. 95-242, 92 Stat. 120

(22 U.S.C. 3201 et seq. and 42 U.S.C. 2139a); sec. 208, Pub. L. 95-

372, 92 Stat. 668 (43 U.S.C. 1354); Pub. L. 96-72, 93 Stat. 503 (50

U.S.C. app. 2401 et seq.), as amended (extended by Pub. L. 103-10,

107 Stat. 40); sec. 125, Pub. L. 99-64, 99 Stat. 156 (46 U.S.C.

466c); E.O. 11912 of April 13, 1976 (41 FR 15825, April 15, 1976);

E.O. 12002 of July 7, 1977 (42 FR 35623, July 7, 1977), as amended;

E.O. 12058 of May 11, 1978 (43 FR 20947, May 16, 1978); E.O. 12214

of May 2, 1980 (45 FR 29783, May 6, 1980); and E.O. 12735 of

November 16, 1990 (55 FR 48587, November 20, 1990), as continued by

Notice of November 11, 1992 (57 FR 53979, November 13, 1992); E.O.

12867 of September 30, 1993 (58 FR 51743, October 4, 1993); E.O.

12868 of September 30, 1993 (58 FR 51749, October 4, 1993).

PART 771--[AMENDED]

2. Section 771.17 is amended by removing paragraph (a)(4) (the Note

following (a)(4) is unchanged); by redesignating paragraph (a)(5) as

paragraph (a)(4); by revising paragraph (e)(3)(ii) and removing the

certification following that paragraph; by adding a new paragraph

(e)(3)(iii); by amending paragraphs (f)(2)(i) and (f)(2)(ii) to remove

the semicolon at the end of each sentence and replacing the semicolons

with a period; by revising paragraphs (f)(2)(iii) and (f)(3)(iii) and

removing the certification following each paragraph; and by removing

paragraph (f)(3)(iv) as follows:

Sec. 771.17 General license GLR; return or replacement of certain

commodities.

* * * * *

(e) * * *

(3) * * *

(ii) The parts to be replaced shall either be destroyed abroad or

returned to the party who supplied the replacement parts, or to a

foreign firm that is under the effective control of that party prior

to, or promptly after, the shipment of the replacement parts.

(iii) Any export made under paragraph (e)(3) of this section shall

be cleared in accordance with the provisions of part 786 of this

subchapter.

* * * * *

(f) * * *

(2) * * *

(iii) Any export made under paragraph (f)(2) of this section shall

be cleared in accordance with the provisions of part 786 of this

subchapter.

(3) * * *

(iii) Any export made under paragraph (f)(3) of this section shall

be cleared in accordance with the provisions of part 786 of this

subchapter. By making such an export the exporter represents that all

the requirements of paragraph (e)(3) have been met and undertakes to

destroy or return the replaced parts as set forth in paragraph

(f)(3)(ii).

PART 774--[AMENDED]

3. Section 774.2 is amended by revising paragraph (a)(4) to read as

follows:

Sec. 774.2 Permissive reexports.2

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\2\See Sec. 774.9 for effect on foreign laws.

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* * * * *

(a) * * *

(4) May be exported directly from the United States to the country

of destination under paragraphs (e) or (f) of General License GLR

(Sec. 771.17 of this subchapter). A party reexporting U.S. origin one-

for-one replacement parts or replacements for defective or unacceptable

U.S. origin equipment shall ensure that the commodities being repaired

or replaced were shipped to their present location in accordance with

U.S. law and continue to be legally used, and that either before or

promptly after reexport of the replacement parts or equipment, the

replaced parts or equipment are either destroyed or returned to the

United States or to the foreign firm in Country Groups T or V, except

Iran and Syria that shipped the replacement parts or equipment.

* * * * *

Dated: February 22, 1994.

Sue E. Eckert,

Assistant Secretary for Export Administration.

[FR Doc. 94-4357 Filed 2-25-94; 8:45 am]

BILLING CODE 3510-DT-P