[Federal Register Volume 83, Number 18 (Friday, January 26, 2018)]
[Notices]
[Pages 3688-3690]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-01426]


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DEPARTMENT OF DEFENSE

Office of the Secretary

[Transmittal No. 17-61]


Arms Sales Notification

AGENCY: Defense Security Cooperation Agency, Department of Defense.

ACTION: Arms sales notice.

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SUMMARY: The Department of Defense is publishing the unclassified text 
of an arms sales notification.

FOR FURTHER INFORMATION CONTACT: Pamela Young, (703) 697-9107, 
[email protected] or Kathy Valadez, (703) 697-9217, 
[email protected]; DSCA/DSA-RAN.

SUPPLEMENTARY INFORMATION: This 36(b)(1) arms sales notification is 
published to fulfill the requirements of section 155 of Public Law 104-
164 dated July 21, 1996. The following is a copy of a letter to the 
Speaker of the House of Representatives, Transmittal 17-61 with 
attached Policy Justification and Sensitivity of Technology.

    Dated: January 23, 2018.
Aaron Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
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Transmittal No. 17-61
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: Kingdom of Saudi Arabia
    (ii) Total Estimated Value:

Major Defense Equipment *...............................     $ 0 million
Other...................................................    $500 million
                                                         ---------------
  Total.................................................    $500 million
 

    (iii) Description and Quantity or Quantities of Articles or 
Services under Consideration for Purchase:
    Major Defense Equipment (MDE): None
    Non-MDE:
    Continued participation, technical assistance, and support in the 
Patriot Legacy Field Surveillance Program (FSP); the Patriot Advanced 
Capability 3 (PAC-3) FSP; and the Patriot Engineering Services Program 
(ESP). Also included are Patriot and HAWK Missile System spare parts 
and repair and return management services and component repairs, and 
other related elements of logistics and program support.
    (iv) Military Department: Army (SR-B-ZAT, ZAS, BDN A2, WAK A5, and 
subsequent cases)
    (v) Prior Related Cases, if any: SR-B-UAJ A1
    (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: January 17, 2018

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

POLICY JUSTIFICATION

Saudi Arabia--Continuation of Missile System Support Services

    The Government of the Kingdom of Saudi Arabia has requested a 
possible purchase for continued participation, technical assistance, 
and support in the Patriot Legacy Field Surveillance Program (FSP); the 
Patriot Advanced Capability 3 (PAC-3) FSP; and the Patriot Engineering 
Services Program (ESP). Also included are Patriot and HAWK Missile 
System spare parts and repair and return management services and 
component repairs, and other related elements of logistics and program 
support. The total estimated program cost is $500 million.
    This proposed sale will support U.S. foreign policy and national 
security objectives by helping to improve the security of a friendly 
country which has been, and continues to be, an important force for 
political stability and economic growth in the Middle East. This 
potential sale is a continuation of current support. Saudi Arabia will 
have no difficulty absorbing this equipment and support into its armed 
forces.
    The proposed sale of this equipment and support will not alter the 
basic military balance in the region.
    The principal contractors are Lockheed Martin, Bethesda, MD for the 
FSP and Raytheon Company, Andover, MA for the ESP. There are no known 
offset agreements proposed in connection with this potential sale.
    Implementation of this proposed sale will not require the permanent 
assignment of any U.S. Government or contractor representatives to 
Saudi Arabia. Support teams of 4-10 people will travel to the country 
on a temporary basis for 1-3 weeks at a time.
    There will be no adverse impact on U.S. defense readiness as a 
result of this proposed sale.
Transmittal No. 17-61
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 Legacy and PAC-3 FSP programs assist international 
customers to maintain the readiness of their systems. These programs 
include the shared programs and country unique costs such as the 
Stockpile Reliability Test (SRT) and Missile Recertification programs. 
Services include the storage and aging program, surveillance firing 
program, the Patriot PAC-3 Missile Support Center (P3MSC), program 
support and a parts library.
    2. As a participating international partner in the Patriot 
Engineering Services Program (ESP), Saudi Arabia is granted access to 
information such as engineering changes in development and under 
consideration, schedules for important events such as procurement and 
fielding of Patriot system improvements, development of Post Deployment 
Build (PDB) software, and a comprehensive program to address the issue 
of loss of sources of supply and advanced technology and their impact 
on availability of components. The program provides funding for the 
publication effort to incorporate country specific changes to Technical 
Manuals (TM). Preparation of all necessary Country specific TM change 
pages based on the latest version of the USG Department of Army 
Technical Manuals (DATMs) that support PDB requirements and the 
existing Repair Parts and Special Tools Lists (RPSTLs). Tasks include 
technical writing, illustrating, editing and quality review of all 
changes in accordance with Technical Information Operating Procedures 
(TIOPS). Organizational Maintenance, Intermediate maintenance and 
repair parts are covered. Preparation of change pages documenting any 
upgrades to the existing manuals. These manuals shall include and 
document any configuration changes as identified resulting in a new 
manual. Examples of country specific tasks include country unique 
communication studies and analysis, specialized training for operations 
and maintenance personnel for new versions (builds) of system software, 
power generation trade studies, country unique publications, and in 
country technical and logistical support for system modifications.
    3. Increasing Patriot and Hawk spares support provides Saudi Arabia 
the capability to sustain and bolster missile system operations through 
the purchase of spares, consumable repair parts, support equipment, 
supplies, and maintenance. Included is support for the procurement and 
transportation of classified parts that are part of Saudi Arabia's 
current Patriot and Hawk Missile System configurations, with a highest 
classification of CONFIDENTIAL.
    4. If a technologically advanced adversary obtains knowledge of the 
specific hardware and software source code in this proposed sale, the 
information could be used to develop countermeasures or equivalent 
systems that might reduce weapon system effectiveness or be used in the 
development of a system with similar or advanced capabilities.
    5. A determination has been made that Saudi Arabia 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.
    6. All defense articles and services listed in this transmittal are 
authorized for release and export to the Kingdom of Saudi Arabia.

[FR Doc. 2018-01426 Filed 1-25-18; 8:45 am]
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