[Federal Register Volume 85, Number 146 (Wednesday, July 29, 2020)]
[Rules and Regulations]
[Pages 45513-45514]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-15777]


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DEPARTMENT OF STATE

22 CFR Part 120

[Public Notice: 11157]


International Traffic in Arms Regulations: Notification of 
Temporary Suspension, Modification, or Exception to Regulations

AGENCY: Department of State.

ACTION: Extension of temporary suspensions, modifications, and 
exceptions.

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SUMMARY: The Department of State is issuing this document to inform the 
public of an extension to certain temporary suspensions, modifications, 
and exceptions for the durations described herein to certain provisions 
of the International Traffic in Arms Regulations (ITAR) in order to 
provide for continued telework operations during the current SARS-COV2 
public health emergency. These actions are taken in order to ensure 
continuity of operations within the Directorate of Defense Trade 
Controls (DDTC) and among members of the regulated community.

DATES: This document is issued July 29, 2020.

FOR FURTHER INFORMATION CONTACT: Sarah Heidema, Office of Defense Trade 
Controls Policy, U.S. Department of State, telephone (202) 663-1282, or 
email [email protected]. ATTN: Extension of Suspension, 
Modification, and Exception.

SUPPLEMENTARY INFORMATION: On May 1, 2020, the Directorate of Defense 
Trade Controls (DDTC) published in the Federal Register a notification 
of certain temporary suspensions, modifications, and exceptions to the 
ITAR, necessary in order to ensure continuity of operations within DDTC 
and among entities registered with DDTC pursuant to part 122 of the 
ITAR (85 FR 25287). These actions were taken pursuant to ITAR Sec.  
126.2, which allows for the temporary suspension or modification of 
provisions of the ITAR, and ITAR Sec.  126.3, which allows for 
exceptions to provisions of the ITAR. These actions were taken in the 
interest of the security and foreign policy of the United States and 
warranted as a result of the exceptional and undue hardships and risks 
to safety caused by the public health emergency related to the SARS-
COV2 pandemic. The President declared a national emergency on March 13, 
2020, as a result of this public health crisis.\1\
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    \1\ Proclamation 9994 of March 13, 2020, 85 FR 15337 (Mar. 18, 
2020).
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    Subsequently, on June 10, 2020 (85 FR 35376), DDTC published in the 
Federal Register a request for comment from the regulated community 
regarding the efficacy and termination dates of the temporary 
suspensions, modifications, and exceptions provided in 85 FR 25287, and 
requesting comment as to whether additional measures should be 
considered in response to the public health crisis. DDTC received 
comments from several individual entities and from an industry 
association. DDTC appreciates the efforts expended by those commenters 
and took all comments under consideration. In the interest of providing 
this notice as expeditiously as possible, DDTC will not address each of 
the comments in turn, but will provide this abridged response. Of the 
four temporary suspensions, modifications, and exceptions to the ITAR 
announced in the May 1 notice referenced above, DDTC is allowing number 
1 (extension of registrations) and number 2 (duration of ITAR licenses 
and agreements) to terminate in accordance with the timelines provided 
therein. The remaining two temporary suspensions, modifications, and 
exceptions, number 3 (Sec.  120.39(a)(2) allowance for remote work) and 
number 4 (authorization to allow remote work under technical assistance 
agreement, manufacturing agreement, or exemption) are extended and 
shall terminate on December 31, 2020.
    The majority of the commenters requested that the telework 
provisions (numbers 3 and 4) be extended and DDTC agrees. Based upon 
continued public health recommendations and as informed by responses to 
request for public comment, it is apparent to DDTC that regulated 
entities will continue to engage in social distancing measures for the 
foreseeable future. In order to accommodate teleworking and 
decentralized workplaces, several commenters recommended extending 
these temporary modifications through at least the end of October or 
this calendar year. DDTC is extending the temporary modifications 
through the end of the calendar year in order to provide regulated 
entities with staffing flexibilities in the immediate term. DDTC will 
use this period to fully investigate the possibility and ramifications 
of making this modification, or a variation thereof, a permanent 
revision to the ITAR. If necessary, this extension will provide an 
opportunity to utilize notice and comment rulemaking and to address 
potential revisions through the interagency process. An extension of

[[Page 45514]]

this length also will provide an extended operational window for 
regulated entities during the course of the public health crisis. DDTC 
believes that a failure to extend these temporary suspensions, 
modifications, and exceptions will have a negative impact on regulated 
entities' ability to safely engage in continued operations. As persons 
and entities subject to the regulations or operating pursuant to a 
license or other approval are located around the world, it is apparent 
that physical presence may contradict public health guidance or legal 
requirements in many instances. For these reasons, DDTC is extending 
the termination date prescribed in 85 FR 25287, items number 3 and 
number 4.
    The temporary suspension, modification, and exception to the 
requirement in ITAR parts 122 and 129 to renew registration as a 
manufacturer, exporter, and/or broker and pay a fee on an annual basis 
described at number 1 of 85 FR 25287, is not being extended to 
subsequent registrations. DDTC did not receive any request from 
industry for additional extensions to registrations that terminate 
after June 30. To the contrary, several commenters expressed their 
appreciation for the original action, but noted that any extension 
would be unnecessary. DDTC's experience since the original temporary 
suspension, modification, and exception is that registrants are able to 
use DDTC's DECCS online system for the purpose of registration in the 
normal course of business.
    The temporary suspension, modification, and exception to the 
limitations on the duration of ITAR licenses and agreements described 
at number 2 of 85 FR 25287, is not extended. Although several 
commenters expressed appreciation for the original action, one 
commenter indicated a preference that it not be extended. Although 
three commenters did request extension for various reasons, DDTC is not 
accepting those requests. DDTC notes that the majority of commenters 
did not make such a request, and that of those that did, some of the 
reasons related to internal DDTC operations and coordination with other 
areas of the government. DDTC believes that progress is being made on 
those matters and that continued extensions to all existing 
authorizations is an overbroad response to the current situation. DDTC, 
its interagency partners, and the regulated entities have had several 
months to adjust to the current situation and DDTC believes it is 
prepared to handle authorizations in accordance with its statutory 
requirements.
    DDTC further notes that several commenters requested additional 
measures be taken by DDTC. DDTC is not adopting any of those measures 
at this time. Although DDTC is not providing individual responses to 
those requests, DDTC notes generally that several of the requests would 
involve major infrastructure revisions to DDTC automated systems and 
are therefore not feasible as temporary suspensions, modifications, or 
exceptions; others were outside the scope of the request; and others 
involved matters of internal policy and practice and not regulatory 
matters. For all regulatory matters recommended, DDTC will continue to 
consider those that may merit future possibility of action.
    Therefore, pursuant to ITAR Sec. Sec.  126.2 and 126.3, in the 
interest of the security and foreign policy of the United States and as 
warranted by the exceptional and undue hardships and risks to safety 
caused by the public health emergency related to the SARS-COV2 
pandemic, notice is provided that the following temporary suspensions, 
modifications, and exceptions are being extended as follows:
    1. As of March 13, 2020, a temporary suspension, modification, and 
exception to the requirement that a regular employee, for purposes of 
ITAR Sec.  120.39(a)(2), work at the company's facilities, to allow the 
individual to work at a remote work location, so long as the individual 
is not located in Russia or a country listed in ITAR Sec.  126.1. This 
suspension, modification, and exception shall terminate on December 31, 
2020, unless otherwise extended in writing.
    2. As of March 13, 2020, a temporary suspension, modification, and 
exception to authorize regular employees of licensed entities who are 
working remotely in a country not currently authorized by a technical 
assistance agreement, manufacturing license agreement, or exemption to 
send, receive, or access any technical data authorized for export, 
reexport, or retransfer to their employer via a technical assistance 
agreement, manufacturing license agreement, or exemption so long as the 
regular employee is not located in Russia or a country listed in ITAR 
Sec.  126.1. This suspension, modification, and exception shall 
terminate on December 31, 2020, unless otherwise extended in writing.
    This notice makes no other revision to the notice published at 85 
FR 25287, nor does it make any other temporary suspension, 
modification, or exception to the requirements of the ITAR.

    Authority: 22 CFR 126.2 and 126.3.

Zachary A. Parker,
Director, Office of Directives Management, U.S. Department of State.
[FR Doc. 2020-15777 Filed 7-28-20; 8:45 am]
BILLING CODE 4710-25-P