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Export Controls and Research: A University Challenge. Kay Ellis Oklahoma State University (405) 744-9995 kay.ellis@okstate.edu http://www.research.okstate.edu. Kay Ellis Oklahoma State University (405) 744-9995 kay.ellis@okstate.edu http://www.research.okstate.edu.

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export controls and research a university challenge

Export Controls and Research: A University Challenge

Kay Ellis

Oklahoma State University

(405) 744-9995

kay.ellis@okstate.edu

http://www.research.okstate.edu

Kay Ellis

Oklahoma State University

(405) 744-9995

kay.ellis@okstate.edu

http://www.research.okstate.edu

topics to be covered
TOPICS TO BE COVERED
  • Overview of the basic regulations
  • Differences between EAR and ITAR
  • Key issues for universities
  • Application to research
  • Government audits
  • Licensing the technology
  • The EAR process
  • University/PI responsibilities
  • Sanctions for noncompliance
  • Export Control Management Plan
why regulations were imposed
WHY REGULATIONS WERE IMPOSED
  • Prevent terrorism
  • Restrict exports of goods and technology that could contribute to the military potential of adversaries
  • Restrict exports of goods and technology that could hamper U.S. economic vitality
  • Prevent proliferation of weapons of mass destruction
overview
OVERVIEW
  • Export controls cover
    • Any item in U.S. trade (goods, technology, information)
    • U.S. items wherever located, even internationally
    • “Deemed exports” (access to controlled technology or defense service by a foreign national in the U.S.)
  • Excludes
    • Items in the public domain
    • Artistic or non-technical publications (maps, children’s books, sheet music, calendars, film)
basic regulations itar
BASIC REGULATIONS - ITAR
  • International Traffic in Arms Regulations (ITAR) – 22 CFR Parts 120 – 130)
    • U.S. Munitions List (USML) enumerates the defense articles and services (furnishing technical assistance - includes design, engineering and use of defense articles) which are controlled
    • Based primarily on whether an article or service is deemed to be inherently military in character
    • Licensing handled by the Directorate of Defense Trade Controls (DDTC)
basic regulations itar cont
BASIC REGULATIONS - ITAR (cont.)

U.S. Munitions List (USML): 22 CFR 121.1

  • Firearms, Close Assault Weapons/Combat Shotguns
  • Artillery Projectors
  • Ammunition
  • Launch Vehicles, Guided Missiles, Ballistic Missiles, Rockets, Torpedoes, Bombs and Mines
  • Explosives, Propellants, Incendiary Agents
  • Vessels of War and Special Naval Equipment
  • Tanks and Military Vehicles
  • Aircraft and Associated Equipment
basic regulations itar cont1
BASIC REGULATIONS - ITAR (cont.)
  • Military Training Equipment
  • Protective Personnel Equipment
  • Military Electronics
  • Fire Control, Range Finder, Optical and Guidance and Control Equipment
  • Auxiliary Military Equipment
  • Toxicological Agents and Equipment and Radiological Equipment
  • Space Systems and Associated Equipment
basic regulations itar cont2
BASIC REGULATIONS - ITAR (cont.)
  • Nuclear Weapons Design and Test Equipment
  • Classified Articles, Technical Data and Defense Service Not Otherwise Enumerated
  • Directed Energy Weapons -lasers, pulsed power, etc.
  • Reserved
  • Submersible Vessels, Oceanographic & Associated Equipment
  • Miscellaneous Articles
basic regulations ear
BASIC REGULATIONS - EAR
  • Export Administration Regulations (EAR)

(15 CFR Parts 730-774)

-The Commerce Control List (CCL) contains commodities, technology, and software subject to the EAR; identified by an Export Classification Control Number (ECCN)

- Licensing handled by Bureau of Industry and Security (BIS), formerly BXA

- The inherent capabilities and design, not the end use, determines whether the item falls under the ITAR or the EAR

basic regulations ear cont
BASIC REGULATIONS – EAR (cont.)

Commerce Control List (CCL) Categories:

0. Nuclear Materials, Facilities & Equipment, and Miscellaneous

  • Materials, Chemicals, Microorganisms & Toxins
  • Materials Processing (i.e., making plastics, metals)
  • Electronics Development
  • Computer (development and programs)
  • Telecommunications and Information Security
  • Sensors and Lasers
  • Navigation and Avionics
  • Marine
  • Propulsion Systems, Space Vehicles and Related Equipment
basic regulations ofac
BASIC REGULATIONS – OFAC

Department of Treasury Office of Foreign Asset Control

(OFAC) – Economic sanctions focus on end-user or country and may limit transfer of technologies/assistance to OFAC’s list of embargoed countries

  • In certain cases, OFAC regulations “trump” other government agencies such as the BIS (for example, shipping items to Iran)
  • OFAC has a “Specially Designated Nationals and Blocked Persons List”
  • Prohibits payments or providing “value” to nationals of sanctioned countries and certain entities
differences between itar ear
DIFFERENCES BETWEEN ITAR/EAR

ITAR:

  • Covers military items (munitions and defense articles)
  • Includes most space related technologies because of application to missile technology
  • Includes technical data related to defense articles and services (furnishing assistance including design and use of defense articles)
  • Not much latitude, few exemptions
differences between itar ear1
DIFFERENCES BETWEEN ITAR/EAR

ITAR:

  • ITAR will deny a license for exports/sales of defense service or articles to certain countries such as Belarus, Iran, Libya, North Korea, Syria, China, Sudan,etc.
  • Research must already be published
  • ITAR has stricter proprietary review concerns
  • Has exemption for foreign nationals if full-time regular employee of a university
differences between itar ear2
DIFFERENCES BETWEEN ITAR/EAR

EAR:

  • Covers dual use items (found on the CCL)
  • Regulates items designed for commercial purposes but that can have military applications (computers, pathogens, civilian aircraft, etc.)
  • Covers goods, test equipment, materials and the technology and software
differences between itar ear3
DIFFERENCES BETWEEN ITAR/EAR

EAR:

  • Differs on “ordinarily publishable” (EAR) vs. “published” (ITAR)
  • Not as many license restrictions to certain countries
  • DOC easier to work with—more exemptions available
key issues for universities
KEY ISSUES FOR UNIVERSITIES
  • Public Domain
  • “Deemed” Exports
  • Fundamental Research Exemption
  • Troublesome Clauses
key issue public domain
KEY ISSUE: PUBLIC DOMAIN
  • Includes information that is published and generally available to the public:
    • Through sales at bookstands and stores
    • Through subscriptions available without restrictions
    • At libraries open or available to the public
    • Through patents
    • Through unlimited distribution at a conference, meeting seminar, trade show, generally accessible to the public in the U.S.
    • Includes technology and software that are educational and released by instruction in catalog courses and associated labs and Universities
key issue deemed exports
KEY ISSUE: DEEMED EXPORTS
  • The EAR defines a deemed export as the release of technology or source code subject to the EAR to a foreign national (no green card) in the U.S.
  • Such release is “deemed” to be an export to the home country of the foreign national.
  • Situations that can involve release of U.S. technology or software include:
    • Tours of laboratories
    • Foreign students or professors conducting research
    • Hosting foreign scientists
    • Emails, visual inspection, oral exchanges
  • Unless the fundamental research exemption applies, a university’s transfer of controlled technology to a non-permanent resident foreign national may be controlled and/or prohibited
fundamental research nsdd 189
FUNDAMENTAL RESEARCH: NSDD-189
  • Fundamental research means basic and applied research in science and engineering, the results of which ordinarily are published and shared broadly within the scientific community, as distinguished from proprietary research and from industrial development, design, production and product utilization, the results of which ordinarily are restricted for proprietary or national security reasons.
fundamental research nsdd 1891
FUNDAMENTAL RESEARCH: NSDD-189
  • To the maximum extent possible, the products of fundamental research should remain unrestricted. Where national security requires control, the mechanism for control of information generated during federally-funded research in science, technology and engineering at colleges, universities and laboratories is classification.
key issue fundamental research exemption
KEY ISSUE: FUNDAMENTAL RESEARCH EXEMPTION
  • Research conducted by faculty and students at a university will normally be considered fundamental research
  • University based research is not considered “fundamental research” if the university or its researchers accept restrictions on the publication of the results of the project
itar and the fundamental research exemption
ITAR AND THE FUNDAMENTAL RESEARCH EXEMPTION
  • Covers information which “is published and which is generally accessible or available to the public” through a number of mechanisms including:
    • Unrestricted publications
    • Pending patent applications
    • At an accredited institution of higher learning in the U.S. where the information is ordinarily published and shared broadly in the scientific community
itar and the fundamental research exemption1
ITAR AND THE FUNDAMENTAL RESEARCH EXEMPTION
  • Excludes information restricted for proprietary reasons or by specific government access and dissemination controls
  • Prepublication review and approval for anything other than pending patent applications invalidates the fundamental research exemption under ITAR
ear and the fundamental research exemption
EAR AND THE FUNDAMENTAL RESEARCH EXEMPTION
  • Exemptions significantly broader than ITAR
    • Prepublication review for inadvertent proprietary material does not trigger license
    • Short delay of publication for pending patent applications okay
    • Prepublication approval by a corporate sponsor or other restrictions on the publication of scientific and technical information generally invalidates the exemption
    • Access and dissemination controls normally do not trigger license as long as university follows national security controls imposed in the award
  • Some technologies (advanced encryption) ineligible for fundamental research exemption and require licenses
key issue troublesome clauses
KEY ISSUE: TROUBLESOME CLAUSES
  • Major issue for research awards—can invalidate the Fundamental Research Exemption
  • COGR/AAU reported to the White House Office of Science and Technology Policy (OSTP) that “troublesome clauses restricting publication and participation by foreign nationals in research awards continued to be a significant problem for universities.”

http://www.aau.edu/research/Rpt4.8.04.pdf

application to research
APPLICATION TO RESEARCH
  • Corporate contract may limit access by foreign nationals
    • Proprietary restrictions or restrictions on publication by corporate contract may invalidate fundamental research
    • Includes MTAs, Non-disclosure agreements
    • Try to remove restrictive clauses from agreements!!!!
  • Conferences
    • Potential restrictions on participants
    • Inability to co-sponsor with certain countries or groups (e.g., restrictions on co-sponsoring conference with Iranian government)
  • Transfer of defense services
    • Potential license requirements for work with foreign nationals
application to research1
APPLICATION TO RESEARCH
  • Government grants/contracts may limit access by foreign nationals
    • for any foreign nationals working on the project
    • determining whether a restriction is a “specific access and dissemination control” under the ITAR (which would invalidate the fundamental research exemption) particularly problematic
  • Restrictions on certain foreign nationals - Agencies may preclude or limit access by foreign nationals to research based on the export control laws
    • May require prior approval
    • Under ITAR, no license available if a foreign national is from an embargoed country
application to research shipping
APPLICATION TO RESEARCH: SHIPPING
  • Shipping equipment, technology, software, computers, etc.,outside the U.S. may require a license
  • How do we handle this at the various levels within the university?
    • Awareness of regulations at the time of purchase
    • OSU requires notification on Quotes and/or Requisitions
application to research travel
APPLICATION TO RESEARCH: TRAVEL
  • Taking equipment, computers, etc., out of the country may require a license
  • The Office of Foreign Asset Controls (OFAC) has restrictions
  • The Departments of Commerce, State and OFAC have denied entities/persons lists
application to research equipment use
APPLICATION TO RESEARCH: EQUIPMENT USE
  • “Use” of controlled equipment by a FN may require a license even if Fundamental Research Exemption is applicable.
    • The transfer of controlled technology or source code of a controlled item to a FN may require a license, NOT the normal operation or use of the item or piece of equipment
application to research software
APPLICATION TO RESEARCH:SOFTWARE
  • Software development
    • Software that is provided to the public for free may not require licenses, but proprietary software of controlled technology could require licensing
    • Encryption technology could require licenses or could be prohibited for transfers to certain foreign nationals/countries
review
REVIEW

The University of Chicago wants to export its findings from research and development performed at the university on new techniques relating to gas turbine engines for aircraft applications. The findings will be presented next month at a symposium that will be open to the public.

Is the technology subject to the EAR?

case study
CASE STUDY

The University received a subcontract from a private company (federal flow-through from DoD) with a restrictive publication clause. The PI is from the PRC (he applied for a green-card and received approval but has not actually received it). The SOW involves making a protective coating for missile domes that will enable the laser to “lock on” to the missile.

case study continued
CASE STUDY, Continued
  • Does the research fall under EAR or ITAR?
  • If yes, does the Fundamental Research Exemption apply?
  • Why or why not?
  • If a license is required, can the University apply for a license in this case?
government export audits
GOVERNMENT EXPORT AUDITS
  • Major research universities audited on export control policies
  • DoD Inspector Generals released initial audit report: http://www.dodig.osd.mil/audit/reports/04report.htm
  • Key findings
    • University policies regarding unclassified export-controlled technology are inadequate
    • Foreign nationals are working with critical technology and information without authorization/export licenses
    • Universities apply exemptions too broadly – report questions public domain/publication exemption (already published or will be published)
government export audits1
GOVERNMENT EXPORT AUDITS
  • Report questions universities use of the fundamental research exemption and the educational exemption
  • Report concludes that the use of research equipment and the technology related to it requires a license by the FN even if all the research based around it qualifies for the fundamental research exemption
government export audits if commerce acts as indicated
GOVERNMENT EXPORT AUDITS:IF COMMERCE ACTS AS INDICATED
  • A License will be required for foreign nationals to use controlled equipment
  • The Education Exemption would not be allowed (affecting what is taught in class)
  • The EAR exemption would change to what has actually been published
  • Substantial investment of staff/resources
government export audits if dod acts as indicated
GOVERNMENT EXPORT AUDITS: IF DoD ACTS AS INDICATED
  • Bottom line: Export control compliance for DoD-funded research will increase considerably
  • A required DFAR export control clause will be in all DoD grants and contracts, requiring the university to:
    • Incorporate an export control compliance clause in all subcontracts that may involve any export-controlled technology
    • Have an export control management plan that will include:
      • initial and periodic training re: export control compliance for all employees with access to export-controlled technology
      • Foreign nationals required to wear badges
      • Performing periodic self-assessments to ensure compliance with all export control laws and regulations
determining the need for a license
DETERMINING THE NEED FOR A LICENSE

QUESTIONS TO ASK:

1. What is the nationality of researchers INCLUDING both Professors and Research Assistants (grad students/post-docs)?

2. Will the results be publicly available?

3. Will there be restrictions?

a) on publications

b) on access

c) on dissemination

d) on proprietary information

determining the need for a license1
DETERMINING THE NEED FOR A LICENSE

QUESTIONS TO ASK:

5. Will I be receiving any restricted information?

6. Destination: Is the research going overseas to a foreign company, government or individual?

7. What do the end-users intend to do with the research results?

determining the need for a license2
DETERMINING THE NEED FOR A LICENSE

STEPS TO TAKE:

  • Classify the technology or goods involved (ITAR, EAR, OFAC, other?)
  • Determine if license is needed for the technology/end user/end use
  • Determine if license exemption is available (public domain, fundamental research, EAR exemption from CCL, etc.)
determining the need for a license3
DETERMINING THE NEED FOR A LICENSE
  • Determine whether embargoes, prohibited parties, or destinations are involved
  • If no exemptions, determine what kind of license is needed
    • Technical Assistance Agreement (ITAR)
    • DSP-5 (ITAR)
    • Deemed Export License (EAR)
    • License
licensing the technology
LICENSING THE TECHNOLOGY
  • EAR – not too complicated, no fee
    • Foreign nationals will require a “Deemed Export License”
    • In certain instances can apply for a license electronically
  • ITAR – very complicated and expensive
    • Must register before applying for a license
    • DSP-5/TAA required for foreign nationals working with ITAR export controlled technology
    • Technology Control Plan required
    • Recommend hiring export control attorney or consultant
licensing the tecnology
LICENSING THE TECNOLOGY
  • Apply promptly, licensing can take months!!
    • OURS website export control links: http://www.research.okstate.edu
    • ITAR (State) requirements available at

http://www.pmdtc.org

    • EAR (Commerce) requirements available at http://www.bis.doc.gov
    • OFAC (Treasury) requirements available http://www.treas.gov/offices/eotffc/ofac/
the ear process if ear applies what next
THE EAR PROCESS – IF EAR APPLIES, WHAT NEXT?
  • STEP 1: PI must classify the type of technology or science being developed on the “Commerce Control List” by determining the ECCN – Export Control Classification Number
  • http://w3.access.gpo.gov/bis/ear/ear_data.html
commerce control list
COMMERCE CONTROL LIST
  • Contains lists of items subject to licensing authority of BIS
  • Each entry is called Export Control Classification Number (ECCN)

(Five alpha-numeric characters)

Items listed in terms of technical parameters

eccn breakdown example 3d101
ECCN BREAKDOWNEXAMPLE: 3D101
  • 3– Category
  • D – Product Group
  • 1 – Reason for Control
  • 0 – Relates to Reasons for Control
  • 1 – Used for Numerical Ordering
ten categories in the ccl 0 4
TEN CATEGORIES IN THE CCL (0 - 4)
  • 0. Nuclear Materials, Facilities & Equipment & Miscellaneous
  • 1. Materials, Chemicals, Microorganisms & Toxins
  • 2. Materials Processing
  • 3. Electronics Design, Development and Production
  • 4. Computers
ten categories in the ccl 5 9
TEN CATEGORIES IN THE CCL(5 – 9)
  • 5. Telecommunications & Information Security
  • 6. Sensors and Lasers
  • 7. Navigation and Avionics
  • 8. Marine (ships & vessels)
  • 9. Propulsion Systems, Space Vehicles and Related Equipment
product groups
PRODUCT GROUPS
  • A = Equipment, Assemblies & Components
  • B =Production, Test & Inspection Equipment
  • C = Materials (raw)
  • D = Software
  • E = Technology
finding the eccn
FINDING THE ECCN
  • Review general characteristics (technical parameters) of items to arrive at Category and Product Group
  • Match characteristics of item with ECCN and subparagraph
  • HINT: Check the CCL alphabetical index
general prohibitions part 736
GENERAL PROHIBITIONS, PART 736
  • STEP 2:Check General Prohibitions
  • Prohibit certain exports, re-exports, and other conduct, without a license, license exception or determination that no license is required
  • General Prohibitions 1-10 apply to items having a specific ECCN
  • General Prohibitions 4-10 apply to items that are EAR99 (not found on the CCL)
general prohibitions 1 3
GENERAL PROHIBITIONS 1-3

Apply only if your item is classified under an ECCN:

  • Export and re-export of controlled items to listed countries
  • Re-export and export from abroad of foreign-made items incorporating more than a de minimis amount of controlled U.S. Content
  • Re-export and export from abroad of the foreign produced direct product of U.S. technology and software
general prohibitions 4 10
GENERAL PROHIBITIONS 4-10

Apply if your item is classified under a specific ECCN or is “EAR 99” (items not found on the CCL- usually no license required)

  • Engaging in actions prohibited by a denial order (check denied persons/entities lists)
  • Export or re-export to prohibited end-uses or end users (e.g., chemical and biological warfare)
  • Export or re-export to embargoed or special destinations
  • Support of proliferation activities
general prohibitions continued
GENERAL PROHIBITIONS, Continued
  • Intransit shipments and items to be unladen from vessels or aircraft
  • Violation of any order, terms, and conditions
  • Proceeding with transactions with knowledge that a violationhas occurred or is about to occur

If Prohibitions don’t apply, look for Exceptions

license or exception under ear
LICENSE OR EXCEPTION UNDER EAR?
  • STEP 3: Try to find the exception!
  • Using the CCL check reasons for control: Look at the “Reason for Control” section directly under the category heading and License Requirements.-- E.g.: Reason for control: NS, MT, AT
  • Match specific controls to Country Chart column
  • Look for an “X” in Commerce Country Chart
license or exception under ear continued
LICENSE OR EXCEPTION UNDER EAR, Continued
  • If an “X” is present, look under the “License Exceptions” category below the “Control(s)” section
  • If no license exception available, license must be obtained (4-6 weeks to process)
reason for control
REASON FOR CONTROL
  • AT= Anti-Terrorism
  • CB= Chemical & Biological weapons
  • CC= Crime Control
  • CW=Chemical Weapons Convention
  • EI = Encryption Item
  • FC=Firearms Control
  • MT=Missile Technology
  • NP=Nuclear Proliferation
  • NS=National Security
  • RS=Regional Stability
  • SI=Significant Item
  • SS=Short Supply
  • UN=United Nations
  • XP=Computers
common license exceptions
COMMON LICENSE EXCEPTIONS
  • LVS – Limited Value Shipments
    • Pertains to Country Group B
    • Identified by “LVS: $(value)” on the CCL (e.g.: LVS: $5000)
  • GBS – Group B Shipments
    • Pertains to Country Group B
    • Identified by “GBS: Yes” on the CCL
  • CIV – Civil End-Users
    • Pertains to Country Group D-1
    • Identified by “CIV: Yes” on the CCL
    • National Security controlled itemsonly
common license exceptions continued
COMMON LICENSE EXCEPTIONS,Continued
  • TSR – Restricted Technology and Software
    • Pertains to Country Group B
    • Identified by “TSR: Yes” on the CCL
    • National Security Controlled Items only
    • Written Assurance – Letter can be written stating software will not be released to nationals of certain country groups (e.g. D:1 and E:2)
common license exceptions continued1
COMMON LICENSE EXCEPTIONS,Continued
  • TMP -Temporary Exports and Re-exports
    • Tools of trade
    • Replacement parts
    • Exhibition and demo
    • Inspection and calibration
    • Assembly in Mexico
    • To US subsidiary, affiliate or facility in Country Group B
    • Beta test software
    • Return to US within 1 year
deemed export exceptions
DEEMED EXPORT EXCEPTIONS
  • CIV: Civil End Use
    • Applies to deemed exports for 3E001/3E002 technology
    • Requires Foreign National Review (FNR)
  • TSR: Technology/Software Under Restriction
    • Applies to technology/software under national security only for country group “B” nationals
    • Requires Letter of Assurance
  • APP – Computers
    • Applies to deemed exports for 4D001/4E001 software and technology. (FNR required)
classification exercise
CLASSIFICATION EXERCISE

Find the ECCN and Reasons for Control for the following items - Start at beginning of Category and Product Group and move forward. Match technical parameters/descriptive text.

  • Integrated circuits radiation hardened to withstand a total dose of 5x103 Gy (Si) or higher.
  • Field programmable logic devices with a toggle frequency of 150 Mhz.
classification exercise1
CLASSIFICATION EXERCISE

You have a PI who is working on a project with a colleague who lives in the Peoples Republic of China. As part of the research, the PI must send his colleague 20 microprocessors manufactured from a compound semiconductor and operating at a clock frequency of 50 Mhz. Is a license necessary? If yes, is there an exception available?

  • First: Find ECCN
  • Second: Check Reasons for Control (license requirements)
  • Third: Check Country Chart-look for “X”
  • Fourth: If “X”, then a license is required unless----
  • Fifth: Look for exception; if none available, license IS REQUIRED
exercise part 1
EXERCISE – Part 1

OSU is subcontractor on a non-military project that is funded by USAID. The project will take place in Iraq and involves geographic mapping. Computers, software, and GPS units must be shipped to Iraq for the project and will not be returned to the U.S. Iraqi civilians as well as the PIs will be operating the equipment. The following items will be shipped:

Dell computers: ECCN 4A994

Windows Servers 2003 Standard Edition:

ECCN 5D992.b.1

Trimble GPS units: ECCN 7A994

exercise part 2
EXERCISE – Part 2
  • What are some of the issues?
  • What are the license requirements for each piece of equipment?
  • Are there any license exceptions?
  • Is a license required to ship?
  • If an Iraqi researcher (in the U.S.) was working with the development, production, or use of the technology associated with 7E994, would a deemed export license be required?
university pi responsiblities
UNIVERSITY/PI RESPONSIBLITIES
  • Review your research for potential EAR/ITAR issues don’t wait until the contract arrives!
  • Check to see if equipment/supplies to be purchased is controlled under EAR/ITAR – find the ECCN
  • If you are planning to hire a foreign national, check the regulations to see if a license may be required
  • At the contract stage, check for restrictive clauses that would eliminate the Fundamental Research exemption
university pi responsibilities
UNIVERSITY/PI RESPONSIBILITIES
  • Document exemptions
  • Records must be kept 5 years (license valid 2 years)
  • Apply for a license BEFORE project begins--process can take 2-6 months or longer!
  • Honest errors are acceptable but gross negligence is punishable
  • Violations are civil and criminal---Fines and jail time!!!
sanctions for noncompliance
SANCTIONS FOR NONCOMPLIANCE
  • ITAR
    • Criminal: Up to $1 million per violation and 10 years imprisonment
    • Civil: seizure and forfeiture of article, revocation of exporting privilege, up to $500,000 fine per violation
sanctions for noncompliance1
SANCTIONS FOR NONCOMPLIANCE
  • EAR
    • Criminal: $50K to $1 million or 5 times value of export, whichever is greater, per violation, 10 years imprisonment
    • Civil: revocation of exporting privilege, fines $10K-$120K per violation
  • OFAC
    • Criminal: up to $1 million per violation and 10 years imprisonment
    • Civil: $12 K to $55 K per violation
slide80

Where do

we go

from here?

export management plan
EXPORT MANAGEMENT PLAN

WHO’S IN CHARGE?

  • Need to have a “go-to" person (empowered official)
  • Essential to have back-up from President, VPR, Director of Sponsored Programs, Legal Office
  • Need buy-in from college administrators, Tech Transfer Office, Purchasing, and of course, the PIs!
export management plan1
EXPORT MANAGEMENT PLAN

TRAINING

Training faculty and staff is crucial –

Get the word out!

  • Seminars
  • Departmental/faculty meetings
  • One-on-one sessions
  • On-line presentation
  • training certification (coming soon!)
export management plan2
EXPORT MANAGEMENT PLAN

RECORD-KEEPING

  • Training attendees
  • Classification process/exemptions
  • Check records and follow-up with projects; i.e., have an audit plan
    • Change in personnel (might trigger a license)
export management plan3
EXPORT MANAGEMENT PLAN

EXPORT CONTROL WEBSITE

Keep export control information and forms on one location that is easily accessible

  • Definitions
  • Policy, procedures and forms
  • Links to regulations
  • Training opportunities
  • Other resources
export management plan4
EXPORT MANAGEMENT PLAN

STAY UP-TO-DATE

  • Check the ITAR/EAR/OFAC websites for updates
  • Read the regulations
  • Attend meetings
  • Network with other universities
  • Get outside legal help if necessary
  • Questions? Call the experts!
slide86

Kay Ellis

Oklahoma State University

(405) 744-9995

kay.ellis@okstate.edu

http://www.research.okstate.edu