[Federal Register Volume 67, Number 239 (Thursday, December 12, 2002)]
[Rules and Regulations]
[Pages 76307-76316]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-31367]


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DEPARTMENT OF STATE

22 CFR Part 62

[Public Notice 4214]
RIN 1405-AB45


Exchange Visitor Program: SEVIS Regulations

AGENCY: Department of State.

ACTION: Interim final rule with request for comments.

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SUMMARY: This interim final rule establishes regulations and procedures 
for designated Exchange Visitor Program sponsors to gain access to the 
Student and Exchange Visitor Program (SEVP) database through the 
Student and Exchange Visitor Information System (SEVIS) for the 
reporting of information essential to the administration of their 
exchange visitor program in an electronic environment. It also provides 
a means for organizations interested in being considered for 
designation to apply for authorization. The purpose of this rule is to 
provide immediate access to SEVIS to enable the Attorney General to 
meet the legislative mandate established in section 641 of the Illegal 
Immigration Reform and Immigrant Responsibility Act of 1996 (IIRIRA) 
(Pub. L. 104-208), which requires the Attorney General, in consultation 
with the Secretary of State and the Secretary of Education, to develop 
an electronic system to collect information on aliens who have, or are 
applying for nonimmigrant status under subparagraph (F), (J), or (M) of 
section 101(a)(15) of the Immigration and Nationality Act (Act).
    Although the Attorney General has the primary responsibility for 
implementing SEVIS, the Department is promulgating this rule to set 
forth the SEVIS requirements that specifically pertain to exchange 
visitor program sponsors. INS will specifically address those areas 
over which they have responsibility for exchange visitors (e.g., 
admission, change of status, and duration of status) in a separate 
rule.

DATES: Effective Date: This rule is effective December 12, 2002.
    Comment Dates: Written comments regarding this rule must be 
submitted on or before January 13, 2003.
    Comments on proposed information collections must be submitted on 
or before 60 days from December 12, 2002.

ADDRESSES: Comments regarding this rule must be presented in duplicate 
and addressed as follows: U.S. Department of State, Office of Exchange 
Coordination and Designation, Bureau of Educational and Cultural 
Affairs, 301 4th Street, SW., Room 734, Washington, DC 20547.

FOR FURTHER INFORMATION CONTACT: Stanley S. Colvin, Acting Director, 
Office of Exchange Coordination and Designation, Bureau of Educational 
and Cultural Affairs, 301 4th Street, SW., Room 734, Washington, DC 
20547; 202-401-9810; fax: 202-401-9809.

SUPPLEMENTARY INFORMATION:

I. Introduction

What Is the Student and Exchange Visitor Program (SEVP)?

    The SEVP is a statutorily mandated information system designed to 
electronically track and record the entry and presence in the United 
States of student and exchange visitor non-immigrants. The SEVP is the 
responsibility of the Immigration and Naturalization Service (INS) who 
has developed the enterprise architecture necessary to implement the 
electronic tracking of student and exchange visitors. The Department of 
State (Department) is promulgating this rule in order to advise future 
applicants for Exchange Visitor Program designation of certain 
procedures now necessary for

[[Page 76308]]

the administration and oversight of exchange programs in light of the 
INS implementation of SEVIS. In September 1996, Pub. L. 104-208 
(Illegal Immigration Reform and Immigrant Responsibility Act of 1996 
(IIRIRA)) was enacted. IIRIRA directed the Attorney General to develop, 
in consultation with the Department of Education and the Department of 
State, an electronic information collection system that would track the 
entry and presence in the United States of non-immigrants in F, M and J 
visa status. The INS developed the program known as the Student and 
Exchange Visitor Program (SEVP) to meet this mandate. The electronic 
system that implements SEVP is known as the Student and Exchange 
Visitor Information System (SEVIS). SEVIS creates a means for 
information collection and reporting via the Internet and a reduction 
in data latency, and paper record maintenance.
    On October 26, 2001, Section 416 of the USA PATRIOT Act (Uniting 
and Strengthening America by Providing Appropriate Tools Required to 
Intercept and Obstruct Terrorism), Public Law 107-56 subsequently 
amended IIRIRA. It mandated that SEVIS be fully implemented and 
expanded prior to January 1, 2003 and collect the date and port of 
entry of an exchange visitor or student. It also expanded the data 
collection specified in IIRIRA to include ``other approved educational 
institutions'' and identified these to be any [air] flight school, 
language training school, or vocational schools approved under 
subparagraph (F), (J) of (M) of section 101(a)(15) of the Immigration 
and Nationality Act (INA).
    IIRIRA was once again amended on May 14, 2002. The Enhanced Border 
Security and Visa Reform Act of 2002, Pub. L. 107-173, Title V, 
strengthened requirements for the implementation and monitoring of the 
SEVIS program by requiring schools, sponsors, the INS and the 
Department to share data on foreign students and participants of 
exchange programs (e.g., the issuance of documentation of acceptance; 
the issuance of a visa to a foreign student or exchange visitor; the 
admission of the foreign student or exchange visitor into the United 
States; the registration and enrollment or the participation of an 
exchange visitor in their program; and, any other relevant act by the 
foreign student or exchange visitor, including changing schools or 
sponsors and any termination of studies or participation in an exchange 
program). Sponsors must report to SEVIS the failure of any exchange 
visitor to begin his or her program participation as scheduled. 
Sponsors shall report this failure not later than 30 calendar days 
following the scheduled commencement date.

What Is the Purpose of This Rule?

    The Department of State, in coordination with the INS, has 
established January 30, 2003, as the date on which use of SEVIS for the 
issuance of all future DS-2019 will be mandatory. In order to 
facilitate transition to SEVIS, the Department is issuing this interim 
final rule. This rule creates a new subpart F to specifically address 
the requirements of SEVIS and provides additional instructions to 
existing sponsors on getting immediate access to SEVIS. This rulemaking 
does not change the existing regulations governing the Exchange Visitor 
Program (22 CFR Part 62) even though, in practicality, these 
requirements will be affected. The Department will finalize this rule 
in the near future by incorporating this new Subpart into the rest of 
the regulations. The Department will issue future rulemakings as 
additional SEVIS capabilities become available.

What Impact Will SEVIS Have on the Exchange Visitor Program?

    Under the existing regulations and procedures, in order to sponsor 
a non-immigrant as an exchange visitor, a sponsor must complete and 
send a multi-copy paper, Certificate of Eligibility for Exchange 
Visitor (J-1) Status (the non-SEVIS Form DS-2019, formerly known as 
Form IAP-66) to the potential exchange visitor. The sponsor maintains a 
copy of the non-SEVIS Form DS-2019; a copy is provided to the non-
immigrant; a copy is provided to the INS for their records; and, a copy 
is routed to the Department for data-entry purposes, which is not 
accessible for use by the sponsor. The current process is entirely 
manual and paper-based.
    At this time, SEVIS creates a means for sponsors to comply with 
some of the information collection and reporting requirements of the 
existing Exchange Visitor Program via the Internet, reducing data 
latency and paper record maintenance and routing. SEVIS will provide 
sponsors with the ability to create a one-page Form DS-2019 (with one 
page of instructions for the non-immigrant and a watermarked version of 
the DS-2019 for use by INS at entry points) by entering information 
electronically into the database, thus instantly collecting the data in 
a central database before the Form is ever printed. As the information 
is centrally located and instantly collected, the need for multiple 
copies can be phased out. The sponsor can access the data by logging 
into SEVIS, and the Department will no longer be required to collect 
the information contained on the Form through a data-entry contract. 
Over the next several months the Department will phase-in the use of 
SEVIS to implement other regulatory requirements of the Exchange 
Visitor Program regulations (22 CFR part 62). (See ``IV. Anticipated 
Improvements'', below.)

How Will Sponsors Be Notified of the Arrival of Exchange Visitors in 
the United States?

    Title V of the Enhanced Border Security and Entry Reform Act of 
2002 (Pub. L. 107-173) directs the INS to notify schools and programs 
sponsors when a student or exchange visitor has been admitted to the 
United States. The Department is advised that this notification process 
will be available electronically through SEVIS, on or about January 1, 
2003.
    Prior to the availability of this function in SEVIS, SEVIS will 
generate an original SEVIS Form DS-2019 and a watermarked version of 
the Form when the Form is issued to a potential exchange visitor to 
begin a new program. (The watermarked version of the SEVIS Form DS-2019 
will not contain a barcode and is easily identified by the words, 
``Data Entry Purposes'' printed across the face.) Upon initial 
admission of the exchange visitor at the port-of-entry, the INS 
inspector will properly annotate both the original SEVIS Form DS-2019 
and the watermarked version. The INS inspector will return the original 
SEVIS Form DS-2019 to the exchange visitor and the watermarked version 
will be forwarded by the inspector to the INS' data processing center. 
The watermarked version will be returned to the sponsor within 
approximately 10 days of the exchange visitor's arrival. The sponsor 
will be responsible for notifying the INS and the Department that the 
exchange visitor has failed to commence program participation by 
updating the record in SEVIS. Non-SEVIS generated Forms DS-2019 will 
continue to be processed by INS in the same manner as it has done in 
the past.

What Is the SEVIS Timeline for Exchange Visitor Program?

    Pursuant to statute, the Department of State, in coordination with 
the INS, has established January 30, 2003, as the date after which all 
sponsors must use SEVIS. Accordingly, all designated exchange visitor 
program sponsors are required to be enrolled in SEVIS by this date in 
order to continue sponsoring non-immigrants as exchange visitors.

[[Page 76309]]

After January 30, 2003, only SEVIS-generated Forms DS-2019 can be used 
for change of non-immigrant classification, reinstatement, transfers, 
extensions, change of category or any other immigration benefit. During 
a transition period, previously issued paper Forms DS-2019 will be 
accepted for visa issuance and admission, so long as the exchange 
visitor's Form was issued by a sponsor prior to January 30, 2003.
    In order to ensure that all current sponsors have access to SEVIS 
by January 30, any sponsor that wishes to continue administering an 
exchange visitor program must complete and submit an SEVIS Form DS-3036 
(Exchange Visitor Program Application) through SEVIS to the Department 
no later than December 16, 2002. (See ``How does a current sponsor 
enroll to participate in SEVIS?'' below.) The Department will need this 
time to undertake the administrative actions necessary to authorize 
sponsor access to SEVIS.
    By August 1, 2003, sponsors will also be required to enter 
information on all exchange visitors continuing to participate in their 
program after that date, including those that entered the country on a 
non-SEVIS Form DS-2019, IAP-66 or IAP-66P. Exchange visitors who end 
their participation in the sponsor's exchange visitor program before 
this date need not be entered. Accordingly, sponsors must enter the 
required information for all exchange visitor program participants 
(including accompanying spouse and/or dependent children) who continue 
in exchange visitor status after August 1. It is important to note that 
a separate, SEVIS-generated Form DS-2019 must be prepared for the 
accompanying spouse and each dependent child.
    Sponsors are not required to enter any of their current or 
continuing exchange visitors into SEVIS prior to August 1, 2003, except 
for those current or continuing exchange visitors who need a new Form 
DS-2019 due to a reportable action (i.e., extensions, reinstatements, 
transfers, changes of category, changes of status, replace a lost form, 
amendments, corrections or visa issuance).

What Is the Relationship Between SEVIS and NSEERS?

    SEVIS requires the timely reporting and updating of a change in 
actual and current U.S. address of an exchange visitor. This reporting, 
however, does not satisfy certain address reporting requirements that 
are imposed by other regulations or statutes. Specifically, the 
National Security Entry-Exit Registration System (NSEERS) imposes a 
separate address-reporting requirement. Address reporting through SEVIS 
does not satisfy the NSEERS reporting requirement.

What Is the Relationship Between ISEAS and SEVIS?

    ISEAS (Interim Student and Exchange Authentication System) is a 
web-based system that allows consular officers to verify the acceptance 
of foreign students and exchange visitors who apply to enter the United 
States in student (F or M) and exchange visitors (J) nonimmigrant visa 
categories based on information the schools or exchange visitor program 
sponsors enter directly into the system. ISEAS was intended to be an 
interim mechanism to collect information on foreign students and 
exchange visitors pending SEVIS development and is not a comprehensive 
solution to better track these non-immigrants. Because ISEAS is an 
interim system designed solely to meet the requirement of section 
501(c) of the Enhanced Border Security and Visa Entry Reform Act of 
2002 (Pub. L. 107-173), the data in ISEAS will not be shared with 
SEVIS. This is significant because until SEVIS is fully implemented, 
schools and program sponsors will have to electronically register visa 
applicants into two separate databases (ISEAS and SEVIS). ISEAS will 
sunset when SEVIS is fully implemented.

Must a Sponsor Continue To Use ISEAS Once Enrolled in SEVIS?

    Until SEVIS is fully implemented, sponsors will be required to 
enter exchange visitors into both ISEAS and SEVIS. While the Department 
recognizes that this is a significant duplication of burden on the 
sponsors, it is a necessary transitional measure to ensure that 
consular officials issuing visas have access to the appropriate 
information.

II. Implementation

How Will Sponsors Enter Data Into SEVIS?

    Data can be entered into SEVIS through an interactive mode or 
through batch processing. The interactive mode is the web-based 
interaction between the sponsor (responsible officer/alternate 
responsible officer) and SEVIS. Using a user ID and password to gain 
access to SEVIS, the sponsor will enter data directly into the 
database. A completed SEVIS Form DS-2019 will print through the 
sponsor's computer to the sponsor's printer. The Department anticipates 
virtually no cost to using the interactive mode. This capability only 
requires Internet access and a browser, most of which are commonly 
available at no charge. No other software is necessary, and there are 
no recurring fees for access to SEVIS.
    Batch processing is an electronic data exchange that takes place 
between the sponsor's database system and SEVIS. Technical requirements 
for the development of sponsor specific batch processing software are 
posted on the INS SEVIS website. It is anticipated that SEVIS will be 
able to accept batch submission by December 2002. The use of batch 
processing is a choice to be made voluntarily by each sponsor. Given 
the tremendous variation in the size of programs designated by the 
Department, we anticipate that some sponsors will prefer to develop 
batch-processing capabilities while others will have no need to pursue 
this choice.

How Does a Sponsor Enroll to Participate in SEVIS?

    Currently designated sponsors must complete the SEVIS Form DS-3036 
in order to enroll in SEVIS. A temporary user ID and password is 
required in order to access, create, retrieve and submit an electronic 
SEVIS Form DS-3036 (see ``How to register for a SEVIS temporary user 
ID'' below). Only one application (the SEVIS Form DS-3036) can be 
created using this temporary user ID. The temporary ID remains valid 
for 30 calendar days; if the SEVIS Form DS-3036 is not submitted within 
30 calendar days, the temporary ID is deactivated. No changes can be 
made to the SEVIS Form DS-3036 once it is submitted. However, after the 
SEVIS Form DS-3036 has been submitted, the temporary user ID remains 
active for viewing and printing purposes until the application has 
either been approved or denied. Upon either approval or denial of the 
application, the temporary ID will be deactivated and will no longer 
provide the user with access to SEVIS.
    Sponsors completing the SEVIS Form DS-3036 in order to enroll their 
currently designated program in SEVIS need not submit any documentation 
and/or fee normally associated with the paper Form DS-3036 to the 
Department. Sponsors will complete the SEVIS Form DS-3036 using the 
information contained in their most recent letter of designation or 
redesignation. Enter the name of the sponsor as it is stated in the 
letter of designation/redesignation; select ``currently designated 
sponsor'' as the type of application; and, enter the program number as 
assigned by the Department. Enter only the exchange visitor categories 
authorized by the Department at time of SEVIS enrollment

[[Page 76310]]

(amendments to the categories authorized can take place electronically 
after the program is enrolled in SEVIS). Once the application has been 
submitted, no further changes can be made. The person submitting the 
SEVIS Form DS-3036 will receive an email advising that the application 
was successfully received. The applicant is not required to print out 
the completed SEVIS Form DS-3036.
    The Department will review the electronic submission and compare 
the information entered into SEVIS with the sponsor's program file. 
When the information has been verified, the Department will approve 
access to SEVIS. At that time, SEVIS will generate permanent user IDs 
for the responsible officer and alternate responsible officer(s) 
identified on the SEVIS Form DS-3036 and will email them to each 
person, along with instructions for acquiring passwords to the system.
    When enrollment authorization has been granted, the sponsor must 
return all unused non-SEVIS Forms DS-2019 on hand, with a 
reconciliation of form usage. Once enrolled in SEVIS, a sponsor is 
prohibited from issuing non-SEVIS Forms DS-2019 for any purpose.

How Does a New Organization Apply for Designation to Conduct an 
Exchange Visitor Program?

    An organization wishing to apply for designation to conduct an 
Exchange Visitor Program must submit an Exchange Visitor Program 
Application (DS-3036) to the Department, including the SEVIS Form DS-
3036 and the documentation and fees currently associated with the Form 
DS-3036. In order to access the SEVIS Form DS-3036, a temporary user ID 
and password is required (see ``How to register for a SEVIS temporary 
user ID'' below).
    Only one SEVIS Form DS-3036 can be created using this temporary 
user ID. The temporary ID remains valid for 30 calendar days; if you do 
not submit the application within 30 calendar days, the temporary ID is 
deactivated. No changes can be made to the SEVIS Form DS-3036 once it 
is submitted. Upon either approval or denial of the application, the 
temporary ID will be deactivated and will no longer provide the user 
with access to SEVIS.
    When completing the SEVIS Form DS-3036, be certain to choose 
``new'' as the type of application if this is the first time applying 
for designation as an exchange visitor program; do not choose 
``currently designated sponsor'' as this option is only for sponsors 
who are currently designated to conduct an exchange program.
    Once the SEVIS Form DS-3036 has been completed, the applicant must 
print-out, sign and notarize the SEVIS Form DS-3036 and mail it with 
the non-reimbursable fee and required supporting documentation (see 22 
CFR 62.5(b), (c) and (d)) to the Department within 30 days of the 
electronic submission.
    At the time of receipt, the Department will note in SEVIS that the 
complete application package has been received, and SEVIS will send the 
applicant an email advising that the application and required fee has 
been received and that the application is pending review. If the 
application submitted to the Department does not include the required 
fee or supporting documentation, the Department will make a note in 
SEVIS, and SEVIS will email the applicant. The email will advise that 
either the fee or supporting documentation must be submitted to the 
Department in order for the process to continue. When the Department 
receives the subsequent submission (i.e., required fee or supporting 
documentation), the Department will record it in SEVIS, and SEVIS will 
email the applicant advising of the receipt of the subsequent mailing 
and the process will continue.
    If the Department does not record in SEVIS that the complete 
application (SEVIS Form DS-3036, fee and supporting documentation), or 
any part thereof, has been received prior to the expiration of the 30-
calendar day submission period, SEVIS will automatically cancel the 
application request. If an application request is cancelled by SEVIS, 
all fees submitted will be forfeited. During the review process should 
the Department determine that additional information is required to 
render a decision, the Department will note this fact in SEVIS and send 
the applicant a written letter (outside of SEVIS) outlining the 
information required in order to continue the review. SEVIS will notify 
the applicant by email, advising of the need for additional information 
and the forthcoming written letter. The review process is suspended 
pending receipt of the additional information requested by the 
Department. On receipt of the requested information, the Department 
again records this in SEVIS, the applicant is notified by email, and 
the review process continues.
    Upon approval of the application, the Department will update SEVIS. 
SEVIS will notify the applicant by email, as well as the individuals 
identified in the application as the responsible officer and alternate 
responsible officer(s). In addition, the responsible officer and 
alternate responsible officer(s) will receive emails providing them 
with their own unique user IDs and instructions on how to set up 
passwords. The Department will continue to issue a formal letter of 
designation to the applicant outside of SEVIS. If the request for 
designation is denied, the Department will record it in SEVIS 
accordingly; however, the Department will notify the applicant of the 
decision in writing by letter outside of the SEVIS system.
    Upon implementation of this rule, all new applicants for Exchange 
Visitor Program designation must use SEVIS to generate and submit the 
SEVIS DS-3036 to the Department in addition to the existing 
requirements of the paper Form DS-3036.

How Do I Register for a SEVIS Temporary User ID?

    The SEVIS Log in Page (http://www.ins.usdoj.gov/sevis) includes a 
link used to obtain a temporary user ID and a password for creating and 
submitting the electronic Exchange Visitor Program Application (SEVIS 
Form DS-3036). Once this site is accessed, a user should click the 
``Register for New Account'' link at the bottom of the screen and the 
System will display a ``Register for a New SEVIS Account'' screen. At a 
minimum, a user must complete all fields preceded by a red asterisk 
(*). When authorization is granted by the Department the temporary user 
will receive two e-mail messages, one containing the temporary ID and a 
second e-mail containing instructions on how to access SEVIS for the 
first time.
    To facilitate the initial use of SEVIS, the System has been 
developed to provide the user with features such as user manuals, 
tutorials and a ``Help'' feature. A new user to the System should 
review these tools before attempting to complete the SEVIS Form DS-
3036. If a user should forget his or her password, contact the SEVIS 
Help Desk at 1-800-892-4829. The current temporary account will be 
disabled and a new one will be created.

What Happens If a Sponsor Does Not Provide Information to SEVIS?

    Pursuant to the provisions of section 641(d)(2) of the Illegal 
Immigration Reform and Immigrant Responsibility Act of 1996 (Public Law 
104-208), a designated exchange visitor program failing to provide the 
information specified, is subject to program revocation.

[[Page 76311]]

III. Effect on Existing Exchange Visitor Program Regulations

    Existing Exchange Visitor Program regulations are not amended by 
this rule. SEVIS will, however, be utilized to submit information 
electronically. The Department has identified the following regulations 
for which the information required therein will be submitted or 
transmitted in SEVIS:
Subpart A--General Provisions

Section 62.5 Application Procedure

    This section of the Exchange Visitor Program regulations remains 
unchanged. However, SEVIS provides for the electronic submission of the 
Exchange Visitor Program Application (Form DS-3036) (see ``Submission 
of New Applications for Designation (Form DS-3036)''). The required fee 
and supporting documentation will continue to be submitted in paper 
format. The submission of fees and supporting documentation will be, at 
some point in the future, accomplished electronically as the INS 
further develops the SEVIS enterprise architecture.

Section 62.6 Designation

    In addition to the Department's formal letter of designation, SEVIS 
will provide applicants with an email notifying of a favorable 
determination.

Section 62.7 Redesignation

    Sponsors continue to be required to apply for redesignation. SEVIS, 
however, produces an alert prior to the end of the designation cycle to 
assist sponsors in filing the redesignation request in a timely manner.

Section 62.9 General Obligations of Sponsors

    Requirements of this section remain unchanged. Section 62.9(g)(3) 
permits the Department to limit the number of alternate responsible 
officers appointed by the sponsor. SEVIS limits the sponsor from 
appointing more than ten (10).

Section 62.10 Program Administration

    The regulatory provisions of this section remain unchanged. 
Sponsors shall ensure that only the responsible officer and/or 
alternate responsible officer(s) issue the SEVIS-generated Form DS-
2019. Sponsors shall continue to retain all records relating to their 
exchange program and exchange visitors for a minimum of three years. 
However, SEVIS-generated records will no longer be subject to this 
requirement as they have been provided electronically.
    The sponsors' obligation to monitor the exchange participants in 
their program continues unchanged. However, sponsors will now report 
the actual and current U.S. address of all sponsored participants to 
SEVIS. Sponsors must update the actual and current U.S. address 
information for participants within 21 days of being notified by a 
participant of a change in his or her address. A sponsor's failure to 
update the actual and current U.S. address information within 21 days 
of receipt may be grounds for revocation of their Exchange Visitor 
Program status.
    Sponsors shall report a U.S. mailing address, i.e., P.O. box 
address, in those limited circumstances where mail cannot be delivered 
to the current and actual U.S. address. In those limited circumstances 
where a mailing address is reported, sponsors will continue to be 
required to maintain the actual and current U.S. address, e.g., dorm, 
building and room number, of the participant.

Section 62.11 Duties of Responsible Officers

    These regulatory provisions remain unchanged. However, as SEVIS 
will generate Form DS-2019 by the use of a user ID and password, the 
responsible officer and alternate responsible officer(s) are prohibited 
from dispensing and/or sharing their ID and password with others.

Section 62.12 Control of Forms DS-2019

    While the regulatory provisions of this section remain unchanged, 
access, completion and printing of SEVIS-generated, Forms DS-2019 is 
restricted to facilities that house the responsible officer and/or 
alternate responsible officers located within the United States or its 
U.S. territories. All SEVIS-generated Forms DS-2019 must printed and 
signed in blue ink by the responsible officer or alternate responsible 
officer(s) so that the original Forms DS-2019 can be easily 
distinguished from any photocopies that may be made of the Form. At no 
time is the sponsor permitted to forward, via facsimile or other 
electronic means, unsigned SEVIS Forms DS-2019 to exchange visitors, 
either directly or via an employee, officer or agent of the sponsor, or 
to an individual designated by the exchange visitor. Sponsors are also 
prohibited from scanning the Form DS-2019 to create an electronic image 
of the Form.
    In addition, while sponsors are able to generate and cancel a SEVIS 
Form DS-2019, sponsors are required to destroy damaged and unusable 
Forms on the sponsor's premises (e.g., Forms with errors or Forms 
damaged by the printer); and, are required to continue to request 
exchange visitors and prospective exchange visitors to return any 
unused SEVIS Form DS-2019 to the sponsor for destruction by the 
sponsor.
    Further, sponsors will submit requests for SEVIS Form DS-2019 
allotments electronically. As SEVIS electronically generates the Form 
DS-2019, safeguarding the Forms and information will now be 
accomplished by electronic storage. SEVIS will also automatically 
record the sponsor's allotment of Forms DS-2019, as well as their 
issuance.

Section 62.13 Notification Requirements

    While the requirements of this section remain unchanged, SEVIS 
enables sponsors to electronically report these events. SEVIS enables 
sponsors to update its SEVIS record to indicate a change in address, 
telephone or facsimile number. It also enables sponsors to update the 
program status of exchange visitors who have completed their programs 
or who have otherwise been terminated from his or her program. A 
sponsor who is no longer interested in conducting an exchange program, 
or whose financial circumstances render the sponsor unable to comply 
with its obligations (as set forth in section 62.9), can electronically 
notify the Department through SEVIS of this decision.
    Sponsors will continue to promptly notify the Department directly 
by telephone (confirming in writing) or facsimile of any serious 
problem or controversy that could be expected to bring the Department 
of State or the sponsor's exchange visitor program into notoriety or 
disrepute. Sponsor will also notify the Department, outside of SEVIS, 
of a change in composition of the sponsoring organization affecting its 
U.S. citizenship (as defined in section 62.2); a major change in 
control of the sponsor's organization; loss of licensure or 
accreditation; and/or, litigation related to the sponsor's exchange 
visitor program where the sponsor is a party.
    Sponsors must report within 30 calendar days that an exchange 
visitor has begun his or her program participation as scheduled. 
Sponsors must also report, to SEVIS, not later than 30 calendar days 
after the program start date on the Form DS-2019, the failure of any 
non-immigrant to begin his or her program as scheduled. Section 62.15 
Annual reports.
    Sponsors continue to be required to submit annual reports to the 
Department. SEVIS assists sponsors in the completion of the report by 
electronically producing the report form and automatically identifying 
and

[[Page 76312]]

populating the categories of participants authorized by the Department. 
In order to meet the regulatory certification requirements of section 
62.14, sponsors must complete the narrative sections, print, sign and 
mail the annual report to the Department. SEVIS provides sponsors with 
an alert in advance of the deadline for filing the annual report. 
However, due to the transition period whereby sponsors convert from the 
use of the paper Form DS-2019 to the SEVIS-generated Form DS-2019, 
sponsors will be required to report to the Department their use of both 
the paper Form DS-2019 and the SEVIS-generated Form DS-2019. Sponsors 
will submit the existing, non-SEVIS annual report form currently 
utilized by sponsors to provide a numerical count, by category, of all 
exchange visitors participating in the sponsors program for the 
reporting year. Sponsors will also generate a report in SEVIS that must 
be printed, signed, and sent to the Department, accounting for those 
forms issued through SEVIS to exchange visitor participants. This dual 
reporting will only be required until such time as the sponsor's annual 
report cycle falls completely within the period of time in which SEVIS-
generated Forms DS-2019 are issued.
Subpart B--Specific Program Provisions
    Sponsors must utilize SEVIS to complete the Form DS-2019 issued to 
all non-immigrants (and accompanying spouse and dependent children) 
selected to participate in their programs. Sponsors issuing a Form DS-
2019 to an alien physician to enable them to participate in their 
program for the purposes of observation, consultation, teaching or 
research shall continue to sign and append a certification to the 
SEVIS-generated Form DS-2019 as specified in section 62.27(c)(1)(i) or 
(ii). Placement reports used by the Department for monitoring and 
oversight of the summer work/travel and camp counselor program will 
continue to be submitted as required by existing regulations as will 
the management audit required of au pair program sponsors. The 
requirements for the authorization of student employment and academic 
training will now be documented in SEVIS (see 22 CFR 62.73 and 62.74), 
and thus program sponsors will no longer be required to retain or 
produce paper documents for these two functions.
    Also, SEVIS will now automatically record the matriculation level 
of students (e.g., secondary, associate, bachelors, masters, doctorate 
and non-degree) and whether a trainee is engaged in specialty or non-
specialty training.
Subpart C--Status of Exchange Visitors
    The regulatory requirements of subpart C are not changed. However, 
SEVIS assists sponsors in the administration of their programs by 
electronically capturing and submitting data on requested actions and 
sending the Department an advance notification of an impending request. 
Requests for changes of category, extensions beyond the maximum 
duration of participation and reinstatement to valid program status 
will be filed electronically. Paper documentation requirements remain 
in place until infrastructure software necessary for the submission of 
such documentation electronically is in place. Review of these requests 
may not be completed until supporting documentation and the required 
fee is received. SEVIS will be utilized to transmit approvals.
    As discussed above, mandatory compliance with SEVIS is January 30, 
2003. For the period of time between the promulgation of this rule and 
the mandatory compliance date, some exchange visitor program sponsors 
will be utilizing SEVIS procedures while others are not. The on-line 
SEVIS user manual sets forth the procedures that will facilitate the 
transfer of an exchange participant to or from a non-SEVIS and SEVIS 
participating sponsor. These procedures will become redundant on 
January 30, 2003. Also discussed in the SEVIS user manual are the 
procedures for submitting requests for an extension of program, change 
of category and reinstatement to valid program status of exchange 
participants.
Subpart D--Sanctions
    The regulatory provisions of this Subpart remain unchanged.
Subpart E--Termination and Revocation of Programs
    The regulatory provisions of this Subpart remain unchanged.
Subpart H--Fees
    The regulatory provisions of this Subpart remain unchanged.
Subpart G--Summer Work/Travel
    The regulatory provisions of this Subpart remain unchanged.

How Does SEVIS Affect the J-2?

    SEVIS requires the issuance of a separate SEVIS Form DS-2019 to the 
J-2 accompanying spouse and each dependent child, coming with or 
following to join, an exchange visitor.
    If sought, a request for employment authorization for the J-2 
accompanying spouse and dependent children must be submitted to and 
authorized by the INS outside of SEVIS. INS has determined that 
monitoring of non-immigrants being educated and trained in the United 
States is of vital importance to the national security of the United 
States. Accordingly, any J-2 spouse or dependent child wishing to 
pursue full-time study in the United States (other than avocational or 
recreational) is required to petition the INS for a change of status to 
that of an F-1, J-1 or M-1 non-immigrant.

IV. Anticipated Improvements

    The Department anticipates a series of future expansions and 
improvements of the SEVIS enterprise architecture. These expansions 
will focus on automating the existing Exchange Visitor Program 
processes, including: collecting all data required by statute and 
regulations (e.g., the electronic reporting of academic training, 
student employment and notification of visa issuance and port of entry, 
etc.); accepting electronic signatures and documents in lieu of paper 
signatures and notarizations; and accepting electronic fee transfers. 
As these capabilities become available, the Department will revise the 
Exchange Visitor Program regulations as appropriate.
    In December 2002, SEVIS will enable sponsors to submit multiple 
SEVIS Forms DS-2019 simultaneously through a batch-processing mode. The 
Department anticipates that this will save a sponsor significant time 
by not having to use the interactive mode to enter one record at a time 
and will allow sponsors to update SEVIS directly from their own 
information systems. Information on the batch processing mode is 
available at: http://www.ins.gov/graphics/services/tempbenefits/sevp.htm.
    In the longer term, the Department is working actively to convert 
the Exchange Visitor Program from exchanges of paper to electronic 
submission and review. As part of this conversion, the Department is 
reviewing its entire business process to determine the most productive 
use of SEVIS and other information technology, including opportunities 
to streamline existing processes and improve collaboration. These 
changes may result in future rulemakings.

V. Request for Comments

    This rulemaking, while not changing the majority of the Exchange 
Visitor Program regulations, will have a major effect on the ways in 
which sponsors comply with these regulations. The Department seeks 
comments on the new subpart F, its relationship to SEVIS, and

[[Page 76313]]

its relationship with the existing 22 CFR part 62.
    Looking forward to the eventual acceptance of electronic documents 
in SEVIS, the Department would like comments on the availability of 
required documentation in electronic formats.
    The Department would also like to solicit comments from the 
exchange community and the general public on how the Department can 
streamline and/or strengthen the Exchange Visitor Program and the 
sponsors' exchange visitor programs. The Department particularly 
welcomes ideas on the use of information technology to gain greater 
efficiencies. The most useful comments will address the Department's 
obligations to the exchange community and to Homeland Security, in the 
context of the program's limited resources.

Implementation Schedule

    All requirements set forth in subpart F are effective on December 
12, 2002.

Regulatory Analysis and Notices

Administrative Procedure Act

    The Department is publishing this rule as an interim final rule, 
with a 30-day provision for post-promulgation public comments, based on 
the ``good cause'' exceptions set forth at 5 U.S.C. 553(b)(3)(B) and 
553(d)(3).

Good Cause Exception

    This rule is effective on publication in the Federal Register. The 
Department finds that good cause exists both for adopting this rule 
without prior notice and comment period ordinarily required by 5 U.S.C. 
553, and for making this rule immediately effective, rather than having 
it enter into force 30 days after publication. The USA Patriot Act, 
Public Law 107-56, mandates that SEVIS be fully implemented and 
expanded prior to January 1, 2003. Because of vital national security 
concerns that underpin the USA Patriot Act, and the Border Security 
Act, promulgation of this rule as a proposed rule would be contrary to 
the public interest.

Regulatory Flexibility Act

    The Department of State, in accordance with the Regulatory 
Flexibility Act (5 U.S.C. 605(b)), has reviewed this regulation and, by 
approving it, certifies that this rule is not expected to have a 
significant economic impact on a substantial number of small entities.

Unfunded Mandates Reform Act of 1995

    This rule will not result in the expenditure by State, local and 
tribal governments, in the aggregate, or by the private sector, of $100 
million in any year and it will not significantly or uniquely affect 
small governments. Therefore, no actions were deemed necessary under 
the provisions of the Unfunded Mandates Reform Act of 1995.

Small Business Regulatory Enforcement Fairness Act of 1996

    This rule is not a major rule as defined by section 804 of the 
Small Business Regulatory Enforcement Act of 1996. This rule will not 
result in an annual effect on the economy of $100 million or more; a 
major increase in costs or prices; or significant adverse effects on 
competition, employment, investment, productivity, innovation, or on 
the ability of United States-based companies to compete with foreign-
based companies in domestic and export markets.

Executive Order 12866

    This regulation has been drafted and reviewed in accordance with 
Executive Order 12866, Regulatory Planning and Review, Section 1(b), 
Principles of Regulation. The Department of State has determined that 
this rule is a ``significant regulatory action'' under Executive Order 
12866, Section 3(f), Regulatory Planning and Review and, accordingly, 
this rule has been reviewed by the Office of Management and Budget.

Executive Order 13132

    This regulation will not have substantial direct effect on the 
States, on the relationship between the national government and the 
States, or on the distribution of power and responsibilities among the 
various levels of government. Therefore, in accordance with section 6 
of Executive Order 13132, it is determined that this rule does not have 
sufficient federalism implications to require consultations or warrant 
the preparation of a federalism summary impact statement.

Paperwork Reduction Act

    Under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.), 
an agency may not conduct or sponsor an information collection if it 
does not display a currently approved OMB Control Number. 
Notwithstanding other provisions of law, no person may be penalized for 
failing to comply with an information collection that does not display 
a currently OMB Control Number. Information collections include 
reporting requirements, record keeping requirements, and any 
requirement that provides for the disclosure of information to other 
persons or the public.
    This rulemaking imposes new information collection requirements on 
exchange visitor program sponsors. These include:
    [sbull] Requirement for current sponsors to register for SEVIS 
using the SEVIS Form DS-3036.
    [sbull] Requirement for new applicants to use SEVIS to complete the 
SEVIS Form DS-3036.
    [sbull] Requirement for sponsors to complete the SEVIS DS-2019.
    [sbull] Requirement for some existing written notification 
requirements to be reported through SEVIS.
    [sbull] Requirement for sponsors to gather and report exchange 
visitor change of address information.
    [sbull] Requirement for sponsors to report employment and training 
data for students that is currently maintained as a record.
    These information collections, and all information collections 
conducted through SEVIS, have been approved under OMB Control Number 
1115-0252, expiration date: 12/31/2002. For additional information on 
these information collections or copies of the INS request to OMB, 
contact Director, Regulations and Forms Services Division, Immigration 
and Naturalization Service, 425 I Street, NW., Room 4034, Washington, 
DC 20536.
    The Department has also identified information collection 
provisions of 22 CFR part 62 that require OMB approval. These include 
all record keeping and information collection requirements in part 62 
related to the selection, screening, orientation, placement or 
monitoring of exchange participants or the administrative oversight of 
organizations facilitating these activities. OMB has granted emergency 
approval to these requirements under OMB Control Number 1405-0147, 
expiration date: 5/31/2003.
    The Department is preparing to request a three-year approval for 
these collections. As part of that process, the Department requests 
comments on these information collections for 60 days. Comments are 
encouraged and will be accepted until February 10, 2003. The Department 
requests written comments and suggestions from the public and affected 
agencies concerning this collection of information. Your comments are 
being solicited to permit the agency to:
    [sbull] Evaluate whether the proposed collection of information is 
necessary for the proper performance of the functions of the agency, 
including

[[Page 76314]]

whether the information will have practical utility.
    [sbull] Evaluate the accuracy of the agency's estimate of the 
burden of the proposed collection, including the validity of the 
methodology and assumptions used.
    [sbull] Enhance the quality, utility, and clarity of the 
information to be collected.
    [sbull] Minimize the reporting burden on those who are to respond, 
including through the use of automated collection techniques or other 
forms of technology.
    Copies of the Department request to OMB are available at: http://exchanges.state.gov/education/jexchanges. The Department will, at its 
earliest opportunity, make also available a more complete description 
of all of the information collections included in this request, 
including a burden estimate for each. Public comments, or requests for 
additional information, regarding the collection listed in this notice 
should be directed to Stanley Colvin, Acting Director, SA-44, 301 4th 
Street, SW., Room 734, U.S. Department of State, Washington, DC 20547, 
who may be reached by fax on (202) 401-9809.
    In addition, the following related information collections 
currently approved under the following OMB Control Numbers:
    Certificate of Eligibility for Exchange Visitor (J-1) Status (non-
SEVIS Form DS-2019) is approved under OMB Control Number 1405-0119, 
expiration date: 2/28/2005. Exchange Visitor Program Application (non-
SEVIS Form DS-3036) and Update (non-SEVIS Form DS-3037) are approved 
under OMB Control Number 1405-0120, expiration date: 9/30/2005.

List of Subjects in 22 CFR Part 62

    Cultural Exchange Programs.


    Accordingly, 22 CFR part 62 is amended as follows:

PART 62--EXCHANGE VISITOR PROGRAM

    1. The authority citation for part 62 continues to read as follows:

    Authority: 8 U.S.C. 1101(a)(15)(J), 1182, 1184, 1258; 22 U.S.C. 
1431-1442, 2451-2460; Foreign Affairs Reform and Restructuring Act 
of 1998, Pub. L. 105-277, 112 Stat. 2681 et seq.; Reorganization 
Plan No. 2 of 1977, 3 CFR, 1977 Comp. p. 200; E.O. 12048 of March 
27, 1978; 3 CFR, 1978 Comp. p. 168.

    2. A new Subpart F is added to read as follows:
Subpart F--Student and Exchange Visitor Information System (SEVIS)
Sec.
62.70 SEVIS reporting requirements.
62.71 Control and production of the electronic Form DS-2019.
62.72 Staffing and support services.
62.73 Academic training.
62.74 Student employment.
62.75 Extension of program participation.
62.76 Transfer procedures.
62.77 Reinstatement.
62.78 Termination.
62.79 Sanctions.

Subpart F--Student and Exchange Visitor Information System (SEVIS)


Sec.  62.70  SEVIS reporting requirements.

    (a) Enrollment and initial use of SEVIS. Sponsors shall apply for 
enrollment in SEVIS no later than December 16, 2002. Upon notification 
that they have been successfully enrolled in SEVIS, sponsors shall:
    (1) Create a SEVIS record for any program participant seeking visa 
issuance or for whom an extension, transfer, change of category, or 
reinstatement request is sought;
    (2) Create a SEVIS record to replace a previously issued but lost 
or stolen copy of a participant's Form IAP-66 or Form DS-2019;
    (3) Create a SEVIS record if an amendment or change is made in the 
start or end date of a program participant's program;
    (4) Create a SEVIS record for a program participant's accompanying 
spouse and all accompanying dependent children if a SEVIS record has 
been created for the participant;
    (5) Utilize SEVIS to up-date information on any participant, 
spouse, or dependent child for whom a SEVIS record has been created; 
and
    (6) No later than August 1, 2003, create a separate SEVIS record 
for each participant, accompanying spouse and dependent child that will 
continue to have Exchange Visitor Program participant status after 
August 1, 2003.
    (b) Current U.S. address. Sponsors shall ensure that the actual and 
current U.S. address of all sponsored participants is reported to 
SEVIS. Sponsors shall update the actual and current U.S. address 
information for participants within 21 days of being notified by a 
participant of a change in his or her address. A sponsor's failure to 
update the actual and current U.S. address information within 21 days 
of receipt may be grounds for revocation of their Exchange Visitor 
Program status. Sponsors shall report a U.S. mailing address, i.e., 
P.O. box address, in those limited circumstances where mail cannot be 
delivered to the current and actual U.S. address. If a U.S. mailing 
address is reported to SEVIS, sponsors shall also maintain a record of 
the actual and current U.S. address, e.g., dorm, building and room 
number, for that exchange visitor.
    (c) Notification to program participants. Sponsors shall notify all 
participants in their exchange visitor program and accompanying spouse 
and dependent children that any change in the U.S. address must be 
reported to the sponsor within 10 days of such change. Sponsors may 
direct the participant to provide the notification of change in address 
in a format acceptable to the sponsor.
    (d) Validation of program participation. Sponsors shall within 30 
calendar days of a program participant's start date verify that the 
participant has in fact begun their program participation. Sponsors 
shall update the participant's SEVIS record and current U.S. address.


Sec.  62.71  Control and production of the electronic Form DS-2019.

    (a) SEVIS generated Forms DS-2019 shall only be completed, printed 
and signed by a responsible officer and/or alternate responsible 
officer(s) who are physically present in the United States or a U.S. 
territory at the time of the Form's production.
    (b) Responsible officers and alternate responsible officers shall 
secure their SEVIS logon IDs and passwords at all times.
    (1) At no time and under no circumstances are SEVIS logon IDs and 
passwords to be shared with anyone, either on a transitory or permanent 
basis.
    (2) Sponsors for whom the responsible officer or alternate 
responsible officers have been found to have willfully or negligently 
violated the requirements of this section will be subject to sanctions 
as set forth in Sec.  62.50(a)(2).


Sec.  62.72  Staffing and support services.

    (a) Sponsors shall appoint a responsible officer and may appoint up 
to ten (10) alternate responsible officers to adequately administer 
their exchange visitor program to fulfill the duties set forth in Sec.  
62.11.
    (1) The Department may limit the number of alternate responsible 
officers appointed by the sponsor at its discretion.
    (2) The Department reserves the right to withdraw the appointment 
of a responsible or alternate responsible officer at its discretion.
    (b) [Reserved]


Sec.  62.73  Academic training.

    (a) Students meeting the definition listed in Sec.  62.4(a)(1)(ii) 
and (iii) may, if approved by the academic dean or

[[Page 76315]]

advisor and approved by the responsible officer or alternate 
responsible officer, engage in academic training pursuant to Sec.  
62.23(f).
    (b) The responsible officer or alternate responsible shall update 
the exchange visitor's SEVIS record to reflect the details of any 
academic training pursuant to Sec.  62.23(f)(5)(i). An update of the 
SEVIS record constitutes compliance with Sec.  62.23(f)(5)(ii).


Sec.  62.74  Student employment.

    (a) Students meeting the definition listed in Sec.  62.4(a)(1)(ii) 
and (iii) may engage in student employment pursuant to Sec.  62.23(g).
    (b) The responsible officer or alternate responsible officer shall 
update the exchange visitor's SEVIS record to reflect the details of 
such employment pursuant to Sec.  62.23(g)(1). An update of the SEVIS 
record constitutes compliance with Sec.  62.23(g)(2)(iv).


Sec.  62.75  Extension of program participation.

    (a) A sponsor may extend an exchange visitor's participation in the 
Exchange Visitor Program up to the limit of the permissible period of 
participation authorized for the specified program category by entering 
a new end program date and an optional comment--all other information 
collected on a DS-2019 will be automatically completed by SEVIS.
    (1) A sponsor extending the program of an exchange visitor who is 
not currently listed in the SEVIS database is required to create a 
record for the exchange participant (and the accompanying spouse and 
any dependents as a ``continuing exchange visitor''. In creating the 
exchange visitor's SEVIS record, the sponsor shall issue the exchange 
visitor (and the accompanying spouse and any dependent children) a duly 
executed Form DS-2019 reflecting such extension.
    (2) When creating a SEVIS record for a ``continuing exchange 
visitor,'' the initial program start date and Form number taken from 
the non-SEVIS Form IAP-66 or DS-2019 issued to begin new program must 
be entered in the exchange visitor's SEVIS record.
    (b) A responsible officer or alternate responsible officer seeking 
an extension of program status on behalf of an exchange visitor in 
excess of the duration of program participation authorized for the 
specific category shall:
    (1) Submit an electronic request to the Department through the 
real-time interactive mode in SEVIS.
    (2) Create a record for the exchange participant (and the 
accompanying spouse and any dependent children) as a ``continuing 
exchange visitor'' listing the initial program start date and Form 
number taken from the non-SEVIS Form IAP-66 or DS-2019 issued to begin 
new program.
    (3) Submit written supporting documentation and the required non-
reimbursable fee to the Department within 30 calendar days of the SEVIS 
submission date.


Sec.  62.76  Transfer procedures.

    (a) Program sponsors may, pursuant to the provisions set forth in 
Sec.  62.42, permit an exchange visitor to transfer from one designated 
program to another designated program. Transfers will not extend the 
maximum duration of participation for the category in which the 
exchange visitor is currently participating.
    (b) Current sponsor and transfer sponsor shall communicate 
appropriately to ensure an uninterrupted transfer, continuous status of 
the exchange visitor and proper change of address reporting and shall 
utilize the provisions of this section to effect such transfer.
    (1) SEVIS-to-SEVIS transfer. When both the transfer and current 
sponsors are enrolled in SEVIS, a transfer is enacted as follows:
    (i) The nonimmigrant shall notify the current sponsor of the 
intention to transfer.
    (ii) Upon verification of the current status and eligibility to 
transfer by the transfer sponsor, the current sponsor shall update the 
exchange visitor's record by processing a ``transfer out'' in SEVIS. 
The current sponsor must enter the name and program number of the 
transfer sponsor and the effective date of transfer. The ``transfer 
out'' process gives the transfer sponsor access to the SEVIS record of 
the exchange visitor (and accompanying spouse and any dependent 
children).
    (iii) The transfer sponsor shall initiate a ``transfer in,'' issue 
a Form DS-2019 for the exchange visitor (an accompanying spouse and any 
dependent children), and advise the exchange visitor of the effective 
date of transfer.
    (iv) The exchange visitor shall report to the transfer sponsor in a 
manner and at a time specified by the transfer sponsor, and shall 
provide updated U.S. address information.
    (v) The transfer sponsor shall validate the exchange visitor's 
participation in its program within 30 calendar days of the effective 
date of transfer and update the exchange visitor's current U.S. 
address.
    (2) Non-SEVIS to SEVIS transfer: When the transfer sponsor is 
enrolled in SEVIS but the current sponsor is not, the transfer is 
enacted as follows:
    (i) The nonimmigrant shall notify the current sponsor of the 
intention to transfer.
    (ii) Upon verification of current status and eligibility to 
transfer, the transfer sponsor shall create a Form DS-2019 to enact a 
transfer and will send the Form to the current sponsor to acquire the 
written release of the exchange visitor by obtaining a signature in 
Section 8.
    (iii) Upon receipt of the Form DS-2019 with signature, the transfer 
sponsor shall record the effective date of transfer; the date, name and 
title of person who signed the release; the name and program number of 
the current sponsor. The transfer sponsor shall print a Form DS-2019 
for the exchange visitor, and advise the exchange visitor of the 
effective date of transfer.
    (iv) The exchange visitor shall report to the transfer sponsor in a 
manner and at a time specified by the transfer sponsor and shall 
provide updated U.S. address information.
    (v) The transfer sponsor shall validate the exchange visitor's 
participation in its program within 30 calendar days of the effective 
date of transfer and update the exchange visitor's current U.S. 
address.
    (3) SEVIS to Non-SEVIS transfer. When the transfer sponsor is not 
enrolled in SEVIS and the current sponsor is a SEVIS-enrolled sponsor, 
a transfer is enacted as follows:
    (i) The exchange visitor shall notify the current sponsor of the 
intention to transfer.
    (ii) Upon verification of current status and eligibility to 
transfer, the transfer sponsor shall create a non-SEVIS Form DS-2019 
and submit it to the transfer sponsor for the release of the exchange 
visitor by acquiring a signature in Section 8 of the Form.
    (iii) The transfer is required to update the exchange visitor's 
SEVIS record by recording the effective date of transfer; name and 
program number of the transfer sponsor; and, name of the responsible 
officer/alternate responsible officer of the transfer (non-SEVIS) 
sponsor requesting the transfer as noted on the four-color, four-page 
paper Form DS-2019.
    (4) The transfer sponsor will provide the exchange visitor with the 
pink copy of the Form DS-2019 and submit the yellow copy of the form to 
the Department.


Sec.  62.77  Reinstatement.

    (a) Reinstatements will continue to be handled in accordance with 
the

[[Page 76316]]

procedures established in Sec.  62.45. A SEVIS reinstatement is 
processed as follows:
    (1) The responsible officer must submit an electronic request for 
reinstatement to the Department through SEVIS.
    (2) The responsible officer must print a copy of the reinstatement 
request (draft copy of the Form DS-2019) from the SEVIS system.
    (3) The responsible officer must submit the official request along 
with the required supporting documentation justifying the reinstatement 
and the required, non-reimbursable fee (refer to Sec.  62.90-Fee) to 
the Department within 30 calendar days of the SEVIS submission date.
    (4) The Department will review the request. If approved, the 
Department will enter the approval in SEVIS, thereby opening the file 
so that the responsible officer may print a Form DS-2019. How is the 
sponsor going to know they received an answer to their request? The 
Department's approval is required before a Form DS-2019 can be printed. 
What happens if the request is denied?
    (b) An exchange visitor (and the accompanying spouse and any 
dependent children) who failed to submit a change of current U.S. 
address as required under Sec.  62.63 is in violation of the Exchange 
Visitor Program regulations and is not eligible for reinstatement. The 
Department will deny any such application for reinstatement.
    (c) An exchange visitor (and accompanying spouse and any dependent 
children) who is ineligible for reinstatement or whose request for 
reinstatement has been denied is no longer an Exchange Visitor Program 
participant. He or she cannot remain in the United States unless 
another lawful immigration status is obtained.


Sec.  62.78  Termination.

    An exchange visitor who willfully or negligently fails to comply 
with the requirements established in Public Law 104-208, as amended, 
shall be terminated from the Exchange Visitor Program by the sponsor.


Sec.  62.79  Sanctions.

    (a) The Department of State shall impose sanctions against a 
sponsor that has:
    (1) Willfully or negligently failed to comply with the reporting 
requirements established in Public Law 104-208, as amended; or,
    (2) Produced SEVIS Forms DS-2019 outside the United States or a 
United States territory; or,
    (3) Whose authorized representatives fail to secure their SEVIS 
logon ID and password.
    (b) [Reserved]

    Dated: December 6, 2002.
Patricia S. Harrison,
Assistant Secretary, Bureau of Educational and Cultural Affairs, 
Department of State.
[FR Doc. 02-31367 Filed 12-11-02; 8:45 am]
BILLING CODE 4710-05-P