[Federal Register Volume 82, Number 87 (Monday, May 8, 2017)]
[Notices]
[Pages 21375-21377]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-09233]


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DEPARTMENT OF DEFENSE

Office of the Secretary

[Transmittal No. 16-87]


36(b)(1) Arms Sales Notification

AGENCY: Defense Security Cooperation Agency, Department of Defense.

ACTION: Notice.

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SUMMARY: The Department of Defense is publishing the unclassified text 
of a section 36(b)(1) arms sales notification. This is published to 
fulfill the requirements of section 155 of Public Law 104-164 dated 
July 21, 1996.

FOR FURTHER INFORMATION CONTACT: Kathy Valadez, (703) 697-9217 or 
Pamela Young, (703) 697-9107; DSCA/DSA-RAN.
    The following is a copy of a letter to the Speaker of the House of 
Representatives, Transmittal 16-87 with attached Policy Justification 
and Sensitivity of Technology.

    Dated: May 3, 2017.
Aaron Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
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Transmittal No. 16-87
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: Israel
    (ii) Total Estimated Value:

Major Defense Equipment *...............................    $400 million
Other...................................................    $ 40 million
                                                         ---------------
  Total.................................................    $440 million
 

    (iii) Description and Quantity or Quantities of Articles or 
Services under Consideration for Purchase:
    Major Defense Equipment (MDE):

Thirteen (13) 76mm Naval Guns (includes the Digital Control Console)

    Non-MDE: Shipboard spares to support operation and preventive 
maintenance; spares to support repairs; special tools needed for 
maintenance; holding and transportation fixtures; test equipment; 
technical manuals, other documentation, and publications; U.S. 
Government and the contractor engineering, technical, and logistics 
support services; site surveys of ships and maintenance facilities; 
installation, checkouts and testing of the systems on the boats; 
operations and maintenance training; and other related support 
services.
    (iv) Military Department: Navy (LHN)
    (v) Prior Related Cases, if any: None
    (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: April 26, 2017

    * as defined in Section 47(6) of the Arms Export Control Act.

POLICY JUSTIFICATION

Israel--76mm Naval Gun and Technical Support

    The Government of Israel has requested a possible sale of thirteen 
(13) 76mm naval guns. Also included are shipboard spares to support 
their operation and preventive maintenance; spares to support repairs; 
special tools needed for maintenance; holding and transportation 
fixtures; test equipment; technical manuals, other documentation, and 
publications; U.S. Government and the contractor engineering, 
technical, and logistics support services; site surveys of ships and 
maintenance facilities; installation, checkouts and testing of the 
systems on the boats; operations and maintenance training; and other 
related support services. The estimated cost is $440 million.
    The United States is committed to the security of Israel, and it is 
vital to U.S. national interests to assist Israel to develop and 
maintain a strong and ready self-defense capability. This proposed sale 
is consistent with those objectives. This proposed sale will contribute 
to the foreign policy and national security of the United States by 
helping to improve the security of a strategic regional partner that 
has been, and continues to be, an important force for political 
stability and economic progress in the Middle East.
    The proposed sale will improve Israel's capability to meet current 
and future threats in the defense of its borders and territorial 
waters. The naval guns will be installed on Israeli Navy SA'AR 4.5 and 
SA'AR 6 Missile Patrol Boats. One gun will be located at an Israeli 
Naval Training Center to be used for training maintenance personnel. 
Israel will have no difficulty absorbing this equipment into its armed 
forces.
    The proposed equipment and support will not alter the basic 
military balance in the region.
    The potential principal contractor will be DRS North America (a 
Leonardo company). There are no known offset agreements proposed in 
connection with this potential sale.
    Implementation of this proposed sale will not require the 
assignment of any additional U.S. Government or contractor 
representatives to Israel.
    There is no adverse impact on U.S. defense readiness as a result of 
this proposed sale.
Transmittal No. 16-87
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 naval gun system proposed in response to this request is a 
modern variant of the MK-75 naval gun system. The naval gun system is 
mounted aboard the ship and supports multiple missions while deployed 
at sea and at home port stations. The missions include ship's surface 
to air defense and surface to surface defense or attack modes. It also 
can be used for sea surface to land surface for bombardment or as 
offshore artillery to support troops on the ground. This gun system 
does not include Global Positioning System (GPS) or sensors. The naval 
gun hardware and support equipment, test equipment, and maintenance 
spares are UNCLASSIFIED.
    2. Some of the prospective ammunition types that may be used with 
the gun system are either laser or GPS guided. Ammunition is not part 
of this proposal.
    3. The naval gun system provides an interface (Digital Control 
Console) so that it can be used in conjunction with the ships' Fire 
Control System (FCS) and Combat Management System (CMS). The FCS and 
CMS are not proposed as part of this sale.
    4. A determination has been made that the recipient country can 
provide substantially the same degree of protection for the sensitive 
technology being released as the U.S. Government. This sale is 
necessary in furtherance of the U.S. foreign policy and national 
security objectives outlined in the policy justification.
    5. All defense articles and services listed in this transmittal 
have been authorized for release and export to the Government of 
Israel.

[FR Doc. 2017-09233 Filed 5-5-17; 8:45 am]
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