[Congressional Record Volume 166, Number 169 (Tuesday, September 29, 2020)]
[Senate]
[Pages S5937-S5938]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                        ARMS SALES NOTIFICATION

  Mr. RISCH. Mr. President, section 36(b) of the Arms Export Control 
Act requires that Congress receive prior notification of certain 
proposed arms sales as defined by that statute. Upon such notification, 
the Congress has 30 calendar days during which the sale may be 
reviewed. The provision stipulates that, in the Senate, the 
notification of proposed sales shall be sent to the chairman of the 
Senate Foreign Relations Committee.
  In keeping with the committee's intention to see that relevant 
information is available to the full Senate, I ask unanimous consent to 
have printed in the Record the notifications which have been received. 
If the cover letter references a classified annex, then such annex is 
available to all Senators in the office of the Foreign Relations 
Committee, room SD-423.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                                  Defense Security


                                           Cooperation Agency,

                                                    Arlington, VA.
     Hon. James E. Risch,
     Chairman, Committee on Foreign Relations,
     U.S. Senate, Washington, DC.
       Dear Mr. Chairman: Pursuant to the reporting requirements 
     of Section 36(b)(1) of the Arms Export Control Act, as 
     amended, we are forwarding herewith Transmittal No. 20-59 
     concerning the Army's proposed Letter(s) of Offer and 
     Acceptance to the Government of the Netherlands for defense 
     articles and services estimated to cost $241 million. After 
     this letter is delivered to your office, we plan to issue a 
     news release to notify the public of this proposed sale.
           Sincerely,
                                                   Heidi H. Grant,
                                                         Director.
       Enclosures.


                         Transmittal No. 20-59

     Notice of Proposed Issuance of Letter of Offer Pursuant to 
         Section 36(b)(1) of the Arms Export Control Act, as 
         amended
       (i) Prospective Purchaser: Government-of the Netherlands.
       (ii) Total Estimated Value:
       Major Defense Equipment* $194 million.
       Other $47 million.
       Total $241 million.
       (iii) Description and Quantity or Quantities of Articles or 
     Services under Consideration for Purchase:
       Major Defense Equipment (MDE):
       Thirty-four (34) Patriot Advanced Capability-3 (PAC-3) 
     Missile Segment Enhancement (MSE) Missiles.
       Non-MDE: Also included are eight (8) kitted 2-pack PAC-3 
     MSE Missile Round Trainers (MRT), six (6) kitted 2-pack PAC-3 
     MSE Empty Round Trainers (ERT), four (4) PAC-3 MSE Skid Kits, 
     one (1) Lot of Classified PAC-3 MSE Concurrent Spare Parts 
     (CSPs), one (1) Lot of Unclassified PAC-3 MSE CSPs, and PAC-3 
     MSE repair and return processing support services, and other 
     related elements of logistics and program support.
       (iv) Military Department: Army (NE-B-Y AF).
       (v) Prior Related Cases, if any: NE-B-WBV.
       (vi) Sales Commission, Fee, etc., Paid, Offered, or Agreed 
     to be Paid: None.
       (vii) Sensitivity of Technology Contained in the Defense 
     Article or Defense Services Proposed to be Sold: See Attached 
     Annex.
       (viii) Date Report Delivered to Congress: September 24, 
     2020.
       *As defined in Section 47(6) of the Arms Export Control 
     Act.


                          POLICY JUSTIFICATION

The Netherlands--Patriot Advanced Capability-3 (PAC-3) Missile Segment 
                       Enhancement (MSE) Missiles

       The Government of the Netherlands has requested to buy 
     thirty-four (34) Patriot Advanced Capability-3 (PAC-3) 
     Missile Segment Enhancement (MSE) missiles. Also included are 
     eight (8) kitted 2-pack PAC-3 MSE Missile Round Trainers 
     (MRT), six ( 6) kitted 2-pack PAC-3 MSE Empty Round Trainers 
     (ERT), four (4) PAC-3 MSE Skid Kits, one (1) Lot of 
     Classified PAC-3 MSE Concurrent Spare Parts (CSPs), one (I) 
     Lot of Unclassified PAC-3 MSE CSPs, and PAC-3 MSE repair and 
     return processing support services, and other related 
     elements of logistics and program support. The total 
     estimated program cost is $241 million.
       This proposed sale will support the foreign policy and 
     national security of the United States by helping to improve 
     security of a NATO ally which is an important force for 
     political stability and economic progress in Northern Europe.
       This proposed sale will improve the Netherlands' missile 
     defense capability to meet current and future enemy threats. 
     The Netherlands will use the enhanced capability to 
     strengthen its homeland defense and deter regional threats, 
     and provide direct support to coalition and security 
     cooperation efforts. The Netherlands will have no difficulty 
     absorbing this equipment into its armed forces.
       The proposed sale of this equipment and support will not 
     alter the basic military balance in the region.
       The prime contractor will be Lockheed-Martin, Dallas, TX. 
     The purchaser typically requests offsets. Any offset 
     agreement will be defined in negotiations between the 
     purchaser and the contractor(s).
       Implementation of this proposed sale will not require the 
     assignment of any additional U.S. Government or contractor 
     representatives to the Netherlands.
       There will be no adverse impact on U.S. defense readiness 
     as a result of this proposed sale.


                         Transmittal No. 20-59

     Notice of Proposed Issuance of Letter of Offer Pursuant to 
         Section 36(b)(1) of the Arms Export Control Act

                           Annex Item No. vii

       (vii) Sensitivity of Technology:
       1. The Patriot Advanced Capability (PAC-3) Missile Segment 
     Enhancements (MSE) is a small, highly agile, kinetic kill 
     interceptor for defense against tactical ballistic missiles, 
     cruise missiles and air-breathing threats. The MSE variant of 
     the PAC-3 missile represents the next generation in hit-to-
     kill interceptors and provides expanded battlespace against 
     evolving threats. The PAC-3 MSE improves upon the original 
     PAC-3 capability with a higher performance solid rocket 
     motor, modified lethality enhancer, more responsible control 
     surfaces, upgraded guidance software and insensitive 
     munitions improvements.
       2. The highest level of classification of defense articles, 
     components, and services included in this potential sale is 
     SECRET.
       3. If a technologically advanced adversary were to obtain 
     knowledge of the hardware and software elements, the 
     information could be used to develop countermeasures or 
     equivalent systems which might reduce system effectiveness or 
     be used in the development of a system with similar or 
     advanced capabilities.
       4. A determination has been made that the Netherlands can 
     provide substantially the same degree of protection for the 
     technology being released as the U.S. Government. This 
     potential sale is necessary in furtherance of

[[Page S5938]]

     the U.S. foreign policy and national security objectives as 
     outlined in the Policy Justification.
       5. All defense articles and services listed in this 
     transmittal have been authorized for release and export to 
     the Netherlands.

                          ____________________