    [United States Statutes at Large, Volume 128, 113th Congress, 2nd Session]
    [From the U.S. Government Publishing Office, www.gpo.gov]

    Public Law 113-276
    113th Congress

    An Act

    To provide for the transfer of naval vessels to certain foreign
    recipients, and for other purposes. <>

    Be it enacted by the Senate and House of Representatives of the
    United States of America in Congress assembled,
    SECTION 1. APPROPRIATE CONGRESSIONAL COMMITTEES DEFINED.

    In this Act, the term ``appropriate congressional committees''
    means--
    (1) the Committee on Foreign Relations of the Senate; and
    (2) the Committee on Foreign Affairs of the House of
    Representatives.

    TITLE I-- <> TRANSFER OF
    EXCESS UNITED STATES NAVAL VESSELS
    SEC. 101. SHORT TITLE.

    This title may be cited as the ``Naval Vessel Transfer Act of
    2013''.
    SEC. 102. <>  TRANSFER OF NAVAL VESSELS TO
    CERTAIN FOREIGN RECIPIENTS.

    (a) Transfers by Grant to Mexico.--The President is authorized to
    transfer to the Government of Mexico the OLIVER HAZARD PERRY class
    guided missile frigates USS CURTS (FFG-38) and USS MCCLUSKY (FFG-41) on
    a grant basis under section 516 of the Foreign Assistance Act of 1961
    (22 U.S.C. 2321j).
    (b) Transfer by Sale to the Taipei Economic and Cultural
    Representative Office in the United States.--The President is authorized
    to transfer the OLIVER HAZARD PERRY class guided missile frigates USS
    TAYLOR (FFG-50), USS GARY (FFG-51), USS CARR (FFG-52), and USS ELROD
    (FFG-55) to the Taipei Economic and Cultural Representative Office in
    the United States (which is the Taiwan instrumentality designated
    pursuant to section 10(a) of the Taiwan Relations Act (22 U.S.C.
    3309(a))) on a sale basis under section 21 of the Arms Export Control
    Act (22 U.S.C. 2761).
    (c) Alternative Transfer Authority.--Notwithstanding the authority
    provided in subsections (a) and (b) and to transfer specific vessels to
    specific countries, the President is authorized to transfer any vessel
    named in this title to any country named in this section, subject to the
    same conditions that would apply for such country under this section,
    such that the total number of vessels transferred

    [[Page 2990]]

    to such country does not exceed the total number of vessels authorized
    for transfer to such country by this section.
    (d) Grants Not Counted in Annual Total of Transferred Excess Defense
    Articles.--The value of a vessel transferred to another country on a
    grant basis pursuant to authority provided by subsection (a) shall not
    be counted against the aggregate value of excess defense articles
    transferred in any fiscal year under section 516 of the Foreign
    Assistance Act of 1961 (22 U.S.C. 2321j).
    (e) Costs of Transfers.--Any expense incurred by the United States
    in connection with a transfer authorized by this section shall be
    charged to the recipient notwithstanding section 516(e) of the Foreign
    Assistance Act of 1961 (22 U.S.C. 2321j(e)).
    (f) Repair and Refurbishment in United States Shipyards.--To the
    maximum extent practicable, the President shall require, as a condition
    of the transfer of a vessel under this section, that the recipient to
    which the vessel is transferred have such repair or refurbishment of the
    vessel as is needed, before the vessel joins the naval forces of that
    recipient, performed at a shipyard located in the United States.
    (g) <>  Expiration of Authority.--The authority
    to transfer a vessel under this section shall expire at the end of the
    3-year period beginning on the date of the enactment of this Act.

    TITLE II--ADDITIONAL PROVISIONS

    SEC. 201. ENHANCED CONGRESSIONAL OVERSIGHT OF ARMS SALES,
    INCLUDING TO THE MIDDLE EAST.

    Section 36 of the Arms Export Control Act (22 U.S.C. 2776) is
    amended by adding at the end the following new subsection:
    ``(i) Prior Notification of Shipment of
    Arms. <> --At least 30 days prior to a
    shipment of defense articles subject to the requirements of subsection
    (b) at the joint request of the Chairman and Ranking Member of the
    Committee on Foreign Relations of the Senate or the Committee on Foreign
    Affairs of the House of Representatives, the President shall provide
    notification of such pending shipment, in unclassified form, with a
    classified annex as necessary, to the Committee on Foreign Relations of
    the Senate and the Committee on Foreign Affairs of the House of
    Representatives.''.
    SEC. 202. INCREASE IN ANNUAL LIMITATION ON TRANSFER OF EXCESS
    DEFENSE ARTICLES.

    Section 516(g)(1) of the Foreign Assistance Act of 1961 (22 U.S.C.
    2321j(g)(1)) is amended by striking ``$425,000,000'' and inserting
    ``$500,000,000''.
    SEC. 203. INTEGRATED AIR AND MISSILE DEFENSE PROGRAMS AT TRAINING
    LOCATIONS IN SOUTHWEST ASIA.

    Section 544(c) of the Foreign Assistance Act of 1961 (22 U.S.C.
    2347c(c)) is amended by adding at the end the following new paragraph:
    <> ``(4) The President shall
    report to the appropriate congressional committees (as defined in
    section 656(e)) annually on the activities undertaken in the programs
    authorized under this subsection.''.
    SEC. 204. LICENSING OF CERTAIN COMMERCE-CONTROLLED ITEMS.

    Section 38 of the Arms Export Control Act (22 U.S.C. 2778) is
    amended by adding at the end the following new subsection:

    [[Page 2991]]

    ``(k) Licensing of Certain Commerce-Controlled Items.--
    ``(1) In general.--A license or other approval from the
    Department of State granted in accordance with this section may
    also authorize the export of items subject to the Export
    Administration Regulations if such items are to be used in or
    with defense articles controlled on the United States Munitions
    List.
    ``(2) Other requirements.-- <> The
    following requirements shall apply with respect to a license or
    other approval to authorize the export of items subject to the
    Export Administration Regulations under paragraph (1):
    ``(A) Separate approval from the Department of
    Commerce shall not be required for such items if such
    items are approved for export under a Department of
    State license or other approval.
    ``(B) Such items subject to the Export
    Administration Regulations that are exported pursuant to
    a Department of State license or other approval would
    remain under the jurisdiction of the Department of
    Commerce with respect to any subsequent transactions.
    ``(C) The inclusion of the term `subject to the EAR'
    or any similar term on a Department of State license or
    approval shall not affect the jurisdiction with respect
    to such items.
    ``(3) Definition.--In this subsection, the term `Export
    Administration Regulations' means--
    ``(A) the Export Administration Regulations as
    maintained and amended under the authority of the
    International Emergency Economic Powers Act (50 U.S.C.
    1701 et seq.); or
    ``(B) any successor regulations.''.
    SEC. 205. AMENDMENTS RELATING TO REMOVAL OF MAJOR DEFENSE
    EQUIPMENT FROM UNITED STATES MUNITIONS
    LIST.

    <> (a) Requirements for Removal of Major Defense
    Equipment From United States Munitions List.--Section 38(f) of the Arms
    Export Control Act (22 U.S.C. 2778(f)) is amended by adding at the end
    the following:
    ``(5)(A) Except as provided in subparagraph (B), the
    President shall take such actions as may be necessary to require
    that, at the time of export or reexport of any major defense
    equipment listed on the 600 series of the Commerce Control List
    contained in Supplement No. 1 to part 774 of subtitle B of title
    15, Code of Federal Regulations, the major defense equipment
    will not be subsequently modified so as to transform such major
    defense equipment into a defense article.
    ``(B) The President may authorize the transformation of any
    major defense equipment described in subparagraph (A) into a
    defense article if the President--
    ``(i) <>  determines that such
    transformation is appropriate and in the national
    interests of the United States; and
    ``(ii) <>  provides notice of
    such transformation to the chairman of the Committee on
    Foreign Affairs of the House of Representatives and the
    chairman of the Committee on Foreign Relations of the
    Senate consistent with the notification requirements of
    section 36(b)(5)(A) of this Act.

    [[Page 2992]]

    ``(C) <>  In this paragraph, the term
    `defense article' means an item designated by the President
    pursuant to subsection (a)(1).''.

    (b) Notification and Reporting Requirements for Major Defense
    Equipment Removed From United States Munitions List.--Section 38(f) of
    the Arms Export Control Act (22 U.S.C. 2778(f)), as amended by this
    section, is further amended by adding at the end the following:
    ``(6) <>  The President shall ensure that
    any major defense equipment that is listed on the 600 series of
    the Commerce Control List contained in Supplement No. 1 to part
    774 of subtitle B of title 15, Code of Federal Regulations,
    shall continue to be subject to the notification and reporting
    requirements of the following provisions of law:
    ``(A) Section 516(f) of the Foreign Assistance Act
    of 1961 (22 U.S.C. 2321j(f)).
    ``(B) Section 655 of the Foreign Assistance Act of
    1961 (22 U.S.C. 2415).
    ``(C) Section 3(d)(3)(A) of this Act.
    ``(D) Section 25 of this Act.
    ``(E) Section 36(b), (c), and (d) of this Act.''.
    SEC. 206. AMENDMENT TO DEFINITION OF ``SECURITY ASSISTANCE'' UNDER
    THE FOREIGN ASSISTANCE ACT OF 1961.

    Section 502B(d) of the Foreign Assistance Act of 1961 (22 U.S.C.
    2304(d)) is amended--
    (1) in paragraph (1), by striking ``and'' at the end; and
    (2) by amending paragraph (2)(C) to read as follows:
    ``(C) any license in effect with respect to the
    export to or for the armed forces, police, intelligence,
    or other internal security forces of a foreign country
    of--
    ``(i) defense articles or defense services
    under section 38 of the Armed Export Control Act
    (22 U.S.C. 2778); or
    ``(ii) items listed under the 600 series of
    the Commerce Control List contained in Supplement
    No. 1 to part 774 of subtitle B of title 15, Code
    of Federal Regulations;''.
    SEC. 207. AMENDMENTS TO DEFINITIONS OF ``DEFENSE ARTICLE'' AND
    ``DEFENSE SERVICE'' UNDER THE ARMS EXPORT
    CONTROL ACT.

    Section 47 of the Arms Export Control Act (22 U.S.C. 2794) is
    amended--
    (1) in the matter preceding subparagraph (A) of paragraph
    (3), by striking ``includes'' and inserting ``means, with
    respect to a sale or transfer by the United States under the
    authority of this Act or any other foreign assistance or sales
    program of the United States''; and
    (2) in paragraph (4), by striking ``includes'' and inserting
    ``means, with respect to a sale or transfer by the United States
    under the authority of this Act or any other foreign assistance
    or sales program of the United States,''.
    SEC. 208. TECHNICAL AMENDMENTS.

    (a) In General.--The Arms Export Control Act (22 U.S.C. 2751 et
    seq.) is amended--

    [[Page 2993]]

    (1) in sections 3(a), 3(d)(1), 3(d)(3)(A), 3(e), 5(c), 6,
    21(g), 36(a), 36(b)(1), 36(b)(5)(C), 36(c)(1), 36(f), 38(f)(1),
    40(f)(1), 40(g)(2)(B), 101(b), and 102(a)(2), <>  by striking
    ``the Speaker of the House of Representatives and'' each place
    it appears and inserting ``the Speaker of the House of
    Representatives, the Committee on Foreign Affairs of the House
    of Representatives, and'';
    (2) in section 21(i)(1) <>  by inserting
    after ``the Speaker of the House of Representatives'' the
    following ``, the Committees on Foreign Affairs and Armed
    Services of the House of Representatives,'';
    (3) in sections 25(e), 38(f)(2), 38(j)(3), and
    38(j)(4)(B), <>  by striking
    ``International Relations'' each place it appears and inserting
    ``Foreign Affairs'';
    (4) in sections 27(f) and 62(a), <>  by inserting after ``the Speaker of the House of
    Representatives,'' each place it appears the following: ``the
    Committee on Foreign Affairs of the House of Representatives,'';
    and
    (5) in section 73(e)(2), <>  by striking
    ``the Committee on National Security and the Committee on
    International Relations of the House of Representatives'' and
    inserting ``the Committee on Armed Services and the Committee on
    Foreign Affairs of the House of Representatives''.

    (b) Other Technical Amendments.--
    (1) Arms export control act.--The Arms Export Control Act
    (22 U.S.C. 2751 et seq.), as amended by subsection (a), is
    further amended--
    (A) in section 38-- <>
    (i) in subsection (b)(1), by redesignating the
    second subparagraph (B) (as added by section
    1255(b) of the Foreign Relations Authorization
    Act, Fiscal Years 1988 and 1989 (Public Law 100-
    204; 101 Stat. 1431)) as subparagraph (C);
    (ii) in subsection (g)(1)(A)--
    (I) in clause (xi), by striking ``;
    or'' and inserting ``, or''; and
    (II) in clause (xii)--
    (aa) by striking ``section''
    and inserting ``sections''; and
    (bb) by striking ``(18
    U.S.C. 175b)'' and inserting
    ``(18 U.S.C. 175c)''; and
    (iii) in subsection (j)(2), in the matter
    preceding subparagraph (A), by inserting ``in''
    after ``to''; and
    (B) in section 47(2), <>  in the
    matter preceding subparagraph (A), by striking ``sec.
    21(a),,'' and inserting ``section 21(a),''.
    (2) Foreign assistance act of 1961.--Section 502B of the
    Foreign Assistance Act of 1961 (22 U.S.C. 2304) is amended--
    (A) in subsection (b), by striking ``Wherever
    applicable, a description'' and inserting ``Wherever
    applicable, such report shall include a description'';
    and
    (B) in subsection (d)(2)(B), by striking ``credits''
    and inserting ``credits)''.

    [[Page 2994]]

    SEC. 209. <> APPLICATION OF CERTAIN
    PROVISIONS OF EXPORT ADMINISTRATION ACT OF
    1979.

    (a) Protection of Information.--Section 12(c) of the Export
    Administration Act of 1979 (50 U.S.C. App. 2411(c)) has been in effect
    from August 20, 2001, and continues in effect on and after the date of
    the enactment of this Act, pursuant to the International Emergency
    Economic Powers Act (50 U.S.C. 1701 et seq.) and notwithstanding section
    20 of the Export Administration Act of 1979 (50 U.S.C. App. 2419).
    Section 12(c)(1) of the Export Administration Act of 1979 is a statute
    covered by section 552(b)(3) of title 5, United States Code.
    (b) <>  Termination Date.--Subsection (a)
    terminates at the end of the 4-year period beginning on the date of the
    enactment of this Act.

    Approved December 18, 2014.

    LEGISLATIVE HISTORY--S. 1683:
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    CONGRESSIONAL RECORD, Vol. 160 (2014):
    Dec. 4, considered and passed Senate.
    Dec. 10, considered and passed House.