Wednesday, August 7, 2013

ITAR Free? ITAR light? Export Reform

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Export Reform Update,
Panel Remarks to the U.S. Department of Commerce Bureau of Industry and Security Update Conference, were given on July 24, 2013.

These remarks hi-lighted the export compliance communities concerns with present day policies.
In the remarks current polices were addressed as "onerous" and "confusing" reflecting consumer and customer expression and experience. To address the communities, a task force was convened to focus on four areas:
* Licensing policies and procedures
* Control lists
* Information technology
* Export enforcement

In an effort to clarify licensing policies and procedures and to work the 80k license requests per year, the task force focused on reform in three phases. The first phase is complete as the task force addressed the munitions lists, recalibrated and harmonized definitions and regulations, updated licensing procedures, created an Export Enforcement Coordination Center, and built a consolidated licensing database.

Now the task force is working on phase II which involves implementing work identified in Phase I. So far, the ITAR will reflect changes beginning in January 2014. The United States Munitions List (USML) will undoubtedly reflect new definitions and requirement to meet new technology advances. This will include moving items with less military application to the Department of Commerce's Commerce Control List (CCL). Both USML and the CCL will maintain equal export controls, but will be handled by different jurisdictions (Department of State for USML and Department of Commerce for CCL).

The intent in Phase II is to also neck down what qualifies as export controls. Instead of an across the board technology, the license application process with help the requester identify items that truly meet protection requirements by keeping certain technologies from foreign exploitation and releasing technologies that should remain in the public domain.

Phase III involves creating a single export control entity and consolidating enforcement.

While the federal government works on streamlining export requirements, the task of industry is to ensure compliance. While the legal representation works to understand new policy, the task of the workforce remains constant.

Regardless of USML or CCL jurisdiction, regardless of streamlined processes, the fundamentals must be addressed; to identify and protect proprietary information, intellectual property, government information, processes, services and anything else that meets the definition of a USML or CCL item.

Subject matter experts consisting of engineers, program employees, security and others should convene enterprise task forces to identify qualifying items. Once identified they should be documented in a program information guide for use to prevent export violations. The enterprise should also develop a specific policy to review sales, speeches, presentations, contractual language, web pages and any media that could possibly present export controlled items, information and services.

The government is working to provide the left and right limits of export in an increasingly global world. Though the limits may move, the fundamentals remain consistent; industry must identify and protect sensitive technologies and keep them out of the public domain.

Jeffrey W. Bennett, ISP is the owner of Red Bike Publishing Red Bike Publishing . He regularly consults, presents security training, and recommends export compliance and intellectual property protection countermeasures. He is an accomplished writer of non-fiction books, novels and periodicals. Jeff is an expert in security and has written many security books including: "Insider's Guide to Security Clearances" and "DoD Security Clearances and Contracts Guidebook", "ISP Certification-The Industrial Security Professional Exam Manual", and NISPOM/FSO Training".

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