36108 Federal Register / Vol. 78, No. 116 / Monday, June 17, 2013 / Rules and Regulations 

Flooding source(s) Location of referenced elevation 

* Elevation in feet 

(NGVD) 

+ Elevation in feet 

(NAVD) 

# Depth in feet 

above ground 

∧Elevation in 

meters 

(MSL) 

Modified 

Communities 

affected 

Sandlick Creek Tributary 2 

(backwater effects from 

Sandlick Creek).

From the Sandlick Creek confluence to approximately 

1,600 feet upstream of the Sandlick Creek confluence.

+449 Unincorporated Areas of 

Muhlenberg County. 

* National Geodetic Vertical Datum. 

+North American Vertical Datum. 

#Depth in feet above ground. 

∧Mean Sea Level, rounded to the nearest 0.1 meter. 

ADDRESSES 

City of Central City 

Maps are available for inspection at City Hall, 214 North 1st Street, Central City, KY 42330. 

City of Drakesboro 

Maps are available for inspection at City Hall, 212 West Mose Rager Boulevard, Drakesboro, KY 42337. 

City of Greenville 

Maps are available for inspection at City Hall, 118 Court Street, Greenville, KY 42345. 

City of South Carrollton 

Maps are available for inspection at City Hall, 10515 U.S. Route 431, South Carrollton, KY 42374. 

Unincorporated Areas of Muhlenberg County 

Maps are available for inspection at the Muhlenberg County Judicial Building, 136 South Main Street, Greenville, KY 42345. 

(Catalog of Federal Domestic Assistance No. 

97.022, ‘‘Flood Insurance.’’) 

Dated: June 3, 2013. 

Roy E. Wright, 

Deputy Associate Administrator for 

Mitigation, Department of Homeland 

Security, Federal Emergency Management 

Agency. 

[FR Doc. 2013–14292 Filed 6–14–13; 8:45 am] 

BILLING CODE 9110–12–P 

DEPARTMENT OF DEFENSE 

Defense Acquisitions Regulations 

System 

48 CFR Parts 204, 225, 235, and 252 

RIN 0750–AH70 

Defense Federal Acquisition 

Regulation Supplement; Defense Trade 

Cooperation Treaties With Australia 

and the United Kingdom (DFARS 2012– 

D034) 

AGENCY: Defense Acquisition 

Regulations System; Department of 

Defense (DoD). 

ACTION: Final rule. 

SUMMARY: DoD has adopted as final, 

with changes, the interim rule amending 

the Defense Federal Acquisition 

Regulation Supplement (DFARS) to 

implement requirements of the Treaty 

Between the Government of the United 

States of America and the Government 

of the United Kingdom of Great Britain 

and Northern Ireland Concerning 

Defense Trade Cooperation (the U.S.- 

U.K. DTC Treaty) and the Security 

Cooperation Act of 2010 regarding 

export control regulations between the 

United States and the United Kingdom. 

The final rule also implements the 

Treaty Between the Government of the 

United States of America and the 

Government of Australia Concerning 

Defense Trade Cooperation. 

DATES: Effective Date: June 17, 2013. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Amy Williams, Telephone 571–372– 

6106. 

SUPPLEMENTARY INFORMATION: 

I. Background 

DoD published an interim rule in the 

Federal Register at 77 FR 30361 on May 

22, 2012, to implement requirements of 

the Treaty Between the Government of 

the United States of America and the 

Government of the United Kingdom of 

Great Britain and Northern Ireland 

Concerning Defense Trade Cooperation 

(the U.S.-U.K. DTC Treaty) and the 

Security Cooperation Act of 2010 

regarding export control regulations 

between the United States and the 

United Kingdom. The public comment 

period ended on July 23, 2012. Two 

respondents submitted comments. 

The Treaty Between the Government 

of the United States of America and the 

Government of Australia Concerning 

Defense Trade Cooperation (the U.S.- 

Australia DTC Treaty) was approved by 

Congress simultaneously with the U.S.- 

U.K. DTC Treaty in Title I of the 

Security Trade Cooperation Act of 2010. 

The Department of State implementing 

regulation was published in the Federal 

Register on April 11, 2013, at 78 FR 

21523, effective when the U.S.-Australia 

DTC Treaty entered into force on May 

16, 2013. This final rule also 

implements the U.S.-Australia DTC 

Treaty, the associated Implementing 

Arrangement, and the Department of 

State implementing regulations, which 

all have provisions that generally 

parallel the provisions of the U.S.-U.K. 

DTC Treaty and its implementing 

arrangements and regulations. 

This rule streamlines the export 

control regulations between the United 

States and Australia and the United 

States and the United Kingdom under 

specified circumstances. 

The U.S. Government controls exports 

of defense articles, technical data, and 

defense services. The governing law is 

the Arms Export Control Act (22 U.S.C. 

2778 et seq.) and implementing 

regulations in the International Traffic 

in Arms Regulations (ITAR) (22 CFR 

120–130). 

Under the ITAR, the Department of 

State manages an export licensing 

system in which numerous government 

approvals are often necessary for 

companies to hold discussions about 

potential projects, pursue joint 

activities, ship hardware, or transfer 

know-how to one another, and even 

sometimes to transfer engineers and 

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Federal Register / Vol. 78, No. 116 / Monday, June 17, 2013 / Rules and Regulations 36109 

other company employees from one 

country to another. This process can be 

challenging and time consuming for 

U.S. exporters and for foreign firms in 

their supply chains. 

The U.S. concluded the DTC Treaties 

with Australia and the United Kingdom 

to enable their militaries, security 

authorities, and their approved 

industries to exchange defense articles, 

technical information, and defense 

services more freely. The DTC Treaties 

establish certain exemptions from ITAR 

requirements. Other exports and 

transfers remain governed by the Arms 

Export Control Act and the ITAR. 

The DTC Treaties, Implementing 

Arrangements, and other useful 

resources may be accessed at http:// 

pmddtc.state.gov/treaties/index.html. 

The implementing legislation is in 

Title I of Pub. L. 111–266, the Security 

Cooperation Act of 2010. 

The U.S. Department of State 

regulations implementing the Treaties 

with Australia and the United Kingdom 

are at 22 CFR parts 120 and 126. 

II. Discussion and Analysis of the 

Public Comments 

DoD reviewed the public comments in 

the development of the final rule. DoD 

responses are applicable to both treaties. 

A discussion of the comments and the 

changes made to the rule as a result of 

those comments are provided as 

follows: 

A. Summary of Significant Changes 

From the Interim Rule 

The final rule has added 

implementation of the U.S.-Australia 

DTC Treaty, the associated 

Implementing Arrangement, and the 

Department of State implementing 

regulations, comparable to the 

implementation of the U.S.-U.K. DTC 

Treaty. 

B. Analysis of Public Comments 

1. Support the Intent of the Interim Rule 

Comment: Both respondents support 

the Defense Cooperation Treaty with the 

United Kingdom and the intent to 

facilitate trade by streamlining the 

export of defense articles. One 

respondent commended the Defense 

Acquisition Regulations (DAR) Council 

on recognizing the importance of the 

implementation of the U.S.-U.K DTC 

Treaty. The respondent also 

commended the DAR Council on 

designating portions of the solicitations 

that are (or are not) subject to the Treaty. 

This provides offerors with a common 

understanding of the export control 

requirements of a particular acquisition. 

Second, the respondent views the 

interim rule as heightening awareness of 

export controls. 

Response: Noted. 

2. Identification of Line Items That Are 

U.S. DoD Treaty-Eligible Requirements 

Comment: The same respondent, 

however, was of the opinion that DoD 

does not have legal authority to make de 

facto jurisdictional determinations 

regarding whether a particular product 

is a U.S. DoD Treaty-eligible 

requirement. According to the 

respondent, contractors do have the 

right to self-classify, but the only 

Government entity that can make a 

definitive determination is the 

Department of State, Directorate of 

Defense Trade Controls. The respondent 

recommended that the final rule 

establish a process for program 

managers and contracting officers to 

coordinate with the Directorate of 

Defense Trade Controls with respect to 

determinations regarding solicitations 

and contract line items that would be 

suitable for U.S.-U.K. DTC Treaty 

treatment, so that companies can rely on 

the determination. 

Response: DoD and the U.K. Ministry 

of Defence have jointly established a 

Management Board to resolve such 

issues, adopted a detailed management 

plan, and conducted Pathfinder 

Exercises to test the process with 

industry participants. 

DoD slightly revised the wording of 

the final rule at DFARS 225.7902–4 to 

address the concern that the program 

manager and contracting officer do not 

have the authority to determine Treaty 

eligibility. 

3. Representation 

Comment: One respondent questioned 

the need for the representation, because 

a failure to comply with the ITAR 

provides an independent basis for 

regulatory enforcement against an 

offending contractor by the Department 

of State or the Department of Justice, 

and neither the Treaty nor the ITAR 

suggest the need for additional 

representations or certifications. 

Another respondent recommended 

changing the contractor’s representation 

in the provision at 252.225–7046, which 

requires the offeror to check one of two 

boxes (that exports or transfers were 

made and complied with the Treaty, or 

no such exports or transfers were made) 

to a more general statement requiring 

the contractor to acknowledge the 

contractor’s obligation to comply with 

all treaty provisions. The respondent’s 

rationale for this change was that large 

DoD contractors with separate 

departments responsible for 

Government contracting and ITAR 

compliance will need to establish 

complex procedures to gather the 

necessary data to support an affirmative 

or negative representation. 

Response: DoD has retained the 

representation in the final rule without 

change. The clause at DFARS 252.225– 

7047, Exports by Approved Community 

Members in Performance of the 

Contract, applies only to performance 

after contract award. The provision at 

DFARS 252.225–7046, Exports by 

Approved Community Members in 

Response to the Solicitation, including 

the representation, is necessary in order 

to ensure compliance by offerors prior 

to contract award. 

It is not apparent how an offeror 

could accurately respond to the 

representation that it has complied with 

all Treaty provisions, as proposed by the 

respondent, without gathering an equal 

amount of data as that required by the 

representation in the interim rule, to 

know whether any exports or transfers 

of qualifying defense articles were 

made, and that any such exports or 

transfers were made in accordance with 

the Treaty. 

C. Other Changes 

1. The final rule uses the correct full 

title of the Treaty at 225.7900(b) and 

then refers to the Treaty as ‘‘the U.S.- 

U.K. DTC Treaty,’’ in order to more 

specifically identify the Treaty and to 

distinguish it from the U.S.-Australia 

DTC Treaty. 

2. The final rule reflects changes in 

the wording of the clauses 252.225– 

7046 and 252.225–7047 to use the term 

‘‘Treaty-eligible’’ and ‘‘not Treatyeligible’’ consistently in the rule, in 

order to avoid possible confusion that 

introduction of the term ‘‘exemption’’ 

invited. 

3. DFARS 225.79, Export Control, and 

the associated clause at DFARS 

252.204–7008, Export-Controlled Items, 

are moved to DFARS 225.7901 and 

252.225–7048, respectively, to co-locate 

related coverage on export control in 

one subpart. A conforming change was 

made to DFARS 235.071. 

II. Executive Orders 12866 and 13563 

Executive Orders (E.O.s) 12866 and 

13563 direct agencies to assess all costs 

and benefits of available regulatory 

alternatives and, if regulation is 

necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts, and 

equity). E.O. 13563 emphasizes the 

importance of quantifying both costs 

and benefits, of reducing costs, of 

harmonizing rules, and of promoting 

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36110 Federal Register / Vol. 78, No. 116 / Monday, June 17, 2013 / Rules and Regulations 

flexibility. This is not a significant 

regulatory action and, therefore, was not 

subject to review under section 6(b) of 

E.O. 12866, Regulatory Planning and 

Review, dated September 30, 1993. This 

rule is not a major rule under 5 U.S.C. 

804. 

III. Regulatory Flexibility Act 

DoD does not expect this final rule to 

have a significant economic impact on 

a substantial number of small entities 

within the meaning of the Regulatory 

Flexibility Act, 5 U.S.C. 601, et seq., 

because the rule does not impose 

burdens on small businesses. Small 

businesses that are exporters will 

benefit from being able to use the 

streamlined treaty process to make 

exports that are associated with 

responding to DoD solicitations and 

performance of DoD contracts. However, 

a final regulatory flexibility analysis has 

been performed and is summarized as 

follows: 

This rule implements requirements 

of— 

The Treaty Between the Government 

of the United States of America and the 

Government of Australia Concerning 

Defense Trade Cooperation (U.S.- 

Australia DTC Treaty); and 

The Treaty Between the Government 

of the United States of America and the 

Government of the United Kingdom of 

Great Britain and Northern Ireland 

Concerning Defense Trade Cooperation 

(the U.S.-U.K. DTC Treaty). 

The objective of the rule is to 

streamlines the export control 

regulations between the United States 

and Australia and between the United 

States and the United Kingdom under 

specified circumstances. The legal basis 

for the rule is the Security Cooperation 

Act of 2010 (Pub. L. 111–266), enacted 

October 8, 2010. 

There were no significant issues 

raised by the public in response to the 

initial regulatory flexibility analysis. 

The Chief Counsel for Advocacy of the 

Small Business Administration did not 

file any comments in response to the 

rule. 

The great majority of industry 

members of the Approved Community 

are not small businesses due to the 

specialized knowledge of export control 

regulations and the cost involved in 

compliance. Small businesses that are 

exporters will benefit from being able to 

use the streamlined treaty process to 

make exports that are associated with 

responding to DoD solicitations and 

performance of DoD contracts. 

Although the interim rule added a 

representation that required the 

approval of the Office of Management 

and Budget under 44 U.S.C. 3501, et 

seq., the net effect will be to 

significantly streamline and reduce 

paperwork requirements under the 

systems set forth in the DTC Treaties 

and regulated by the ITAR by no longer 

requiring individual export control 

licenses within the Approved 

Community. In short, one representation 

per offeror will replace multiple 

requirements under the present system. 

This rule implements Treaties and 

statute and DoD is not aware of any 

alternative methods of achieving the 

objectives of the rule. Furthermore, the 

net impact of the rule is expected to be 

beneficial to small businesses. 

IV. Paperwork Reduction Act 

The rule contains information 

collection requirements that require the 

approval of the Office of Management 

and Budget under the Paperwork 

Reduction Act (44 U.S.C. chapter 35). 

OMB has cleared this information 

collection requirement under OMB 

Control Number 0704–0488, titled: 

Defense Trade Cooperation Treaty with 

the United Kingdom. 

The annual reporting burden is 

estimated as follows: 

Respondents: 110. 

Responses per respondent: 1. 

Total annual responses: 110. 

Preparation hours per response: 0.1. 

Total response burden hours: 11. 

This rule will result in a significantly 

streamlined process and reduced 

paperwork requirements overall under 

the processes set forth in the DTC 

Treaties as implemented by the ITAR by 

no longer requiring individual export 

licenses within the Approved 

Community. In short, one representation 

per offeror will streamline the current 

process. 

List of Subjects in 48 CFR Parts 204, 

225, 235, and 252 

Government procurement. 

Kortnee Stewart, 

Editor, Defense Acquisition Regulations 

System. 

Therefore, DoD amends 48 CFR parts 

204, 225, 235, and 252 as follows: 

■ 1. The authority citation for parts 204, 

225, 235, and 252 continues to read as 

follows: 

Authority: 41 U.S.C. 1303 and 48 CFR 

Chapter 1. 

PART 204—ADMINISTRATIVE 

MATTERS 

Subpart 204.73—[Removed] 

■ 2. Remove subpart 204.73. 

PART 225—FOREIGN ACQUISITION 

■ 3. Subpart 225.79 is revised to read as 

follows: 

225.7900 Scope of subpart. 

This subpart implements— 

(a) Section 890(a) of the National 

Defense Authorization Act for Fiscal 

Year 2008 (Pub. L. 110–181); and 

(b) The requirements regarding export 

control of Title I of the Security 

Cooperation Act of 2010 (Pub. L. 111– 

266); the Treaty Between the 

Government of the United States of 

America and the Government of 

Australia Concerning Defense Trade 

Cooperation (the U.S.-Australia DTC 

Treaty); and the Treaty Between the 

Government of the United States of 

America and the Government the 

United Kingdom of Great Britain and 

Northern Ireland Concerning Defense 

Trade Cooperation (the U.S.-U.K. DTC 

Treaty). See PGI 225.7902 for additional 

information. 

225.7901 Export-controlled items. 

This section implements section 

890(a) of the National Defense 

Authorization Act for Fiscal Year 2008 

(Pub. L. 110–181). 

225.7901–1 Definitions. 

‘‘Export-controlled items,’’ as used in 

this section, is defined in the clause at 

252.225–7048. 

225.7901–2 General. 

Certain types of items are subject to 

export controls in accordance with the 

Arms Export Control Act (22 U.S.C. 

2751, et seq.), the International Traffic 

in Arms Regulations (22 CFR parts 120– 

130), the Export Administration Act of 

1979, as amended (50 U.S.C. App. 2401 

et seq.), and the Export Administration 

Regulations (15 CFR parts 730–774). See 

PGI 225.7901–2 for additional 

information. 

225.7901–3 Policy. 

(a) It is in the interest of both the 

Government and the contractor to be 

aware of export controls as they apply 

to the performance of DoD contracts. 

(b) It is the contractor’s responsibility 

to comply with all applicable laws and 

regulations regarding export-controlled 

items. This responsibility exists 

independent of, and is not established 

or limited by, this section. 

225.7901–4 Contract clause. 

Use the clause at 252.225–7048, 

Export-Controlled Items, in all 

solicitations and contracts. 

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Federal Register / Vol. 78, No. 116 / Monday, June 17, 2013 / Rules and Regulations 36111 

225.7902 Defense Trade Cooperation 

Treaties. 

This section implements the Defense 

Trade Cooperation (DTC) Treaties with 

Australia and the United Kingdom and 

the associated Implementing 

Arrangements for DoD solicitations and 

contracts that authorize prospective 

contractors and contractors to use the 

DTC Treaties to respond to DoD 

solicitations and in the performance of 

DoD contracts. 

225.7902–1 Definitions. 

‘‘Approved community,’’ ‘‘defense 

articles,’’ ‘‘Defense Trade Cooperation 

(DTC) Treaty’’, ‘‘export,’’ ‘‘Implementing 

Arrangement,’’ ‘‘qualifying defense 

articles,’’ ‘‘transfer,’’ and ‘‘U.S. DoD 

Treaty-eligible requirements’’ are 

defined in contract clause DFARS 

252.225–7047, Exports by Approved 

Community Members in Performance of 

the Contract. 

225.7902–2 Purpose. 

The DTC Treaties permit the export of 

certain U.S. defense articles, technical 

data, and defense services, without U.S. 

export licenses or other written 

authorization under the International 

Traffic in Arms Regulation (ITAR) into 

and within the Approved Community, 

as long as the exports are in support of 

purposes specified in the DTC Treaties. 

All persons must continue to comply 

with statutory and regulatory 

requirements outside of DFARS and 

ITAR concerning the import of defense 

articles and defense services or the 

possession or transfer of defense 

articles, including, but not limited to, 

regulations issued by the Bureau of 

Alcohol, Tobacco, Firearms and 

Explosives found at 27 CFR parts 447, 

478, and 479, which are unaffected by 

the DTC Treaties. The Approved 

Community consists of U.S. entities that 

are registered with the Department of 

State and are eligible exporters, the U.S. 

Government, and certain governmental 

and commercial facilities in Australia 

and the United Kingdom that are 

approved and listed by the U.S. 

Government. See PGI 225.7902–2 for 

additional information. 

225.7902–3 Policy. 

DoD will facilitate maximum use of 

the DTC Treaties by prospective 

contractors responding to DoD 

solicitations and by contractors eligible 

to export qualifying defense articles 

under DoD contracts in accordance with 

22 CFR 126.16(g) and 22 CFR 126.17(g). 

225.7902–4 Procedures. 

(a) For all solicitations and contracts 

that may be eligible for DTC Treaty 

coverage (see PGI 225.7902–4(1)), the 

program manager shall identify in 

writing and submit to the contracting 

officer prior to issuance of a solicitation 

and prior to award of a contract— 

(1) The qualifying DTC Treaty Scope 

paragraph (Article 3(1)(a), 3(1)(b), or 

3(1)(d) of the U.S.-Australia DTC Treaty 

or Article (3)(1)(a), (3(1)(b), or 3(1)(d) of 

the U.S.-U.K. DTC Treaty); and 

(2) The qualifying defense article(s) 

using the categories described in 22 CFR 

126.16(g) and 22 CFR 126.17(g). 

(b) If applicable, the program manager 

shall also identify in writing and submit 

to the contracting officer any specific 

Part C, DTC Treaty-exempted 

technology list items, terms and 

conditions for applicable contract line 

item numbers (See PGI 225.7902–4(2)). 

225.7902–5 Solicitation provision and 

contract clause. 

(a) Use the provision at 252.225–7046, 

Exports by Approved Community 

Members in Response to the 

Solicitation, in solicitations containing 

the clause at 252.225–7047. 

(b)(1) Use the clause at 252.225–7047, 

Exports by Approved Community 

Members in Performance of the 

Contract, in solicitations and contracts 

when— 

(i) Export-controlled items are 

expected to be involved in the 

performance of the contract and the 

clause at 252.204–7008 is used; and 

(ii) At least one contract line item is 

intended to satisfy a U.S. DoD Treatyeligible requirement. 

(2) The contracting officer shall 

complete paragraph (b) of the clause 

using information the program manager 

provided as required by 225.7902–4(a). 

PART 235—RESEARCH AND 

DEVELOPMENT CONTRACTING 

235.071 [Amended] 

■ 4. Section 235.071 is amended by 

removing ‘‘Subpart 204.73’’ and adding 

‘‘225.7901’’ in its place. 

PART 252—SOLICITATION 

PROVISIONS AND CONTRACT 

CLAUSES 

252.204–7008 [Removed and Reserved] 

■ 5. Remove and reserve section 

252.204–7008. 

■ 6. Section 252.225–7046 is revised to 

read as follows: 

252.225–7046 Exports by Approved 

Community Members in Response to the 

Solicitation. 

As prescribed in 225.7902–5(a), use 

the following provision: 

Exports by Approved Community 

Members in Response to the 

Solicitation (June 2013) 

(a) Definitions. The definitions of 

‘‘Approved Community’’, ‘‘defense articles’’, 

‘‘Defense Trade Cooperation (DTC) Treaty’’, 

‘‘export’’, ‘‘Implementing Arrangement’’, 

‘‘qualifying defense articles’’, ‘‘transfer’’, and 

‘‘U.S. DoD Treaty-eligible requirements’’ in 

DFARS clause 252.225–7047 apply to this 

provision. 

(b) All contract line items in the 

contemplated contract, except any identified 

in this paragraph, are intended to satisfy U.S. 

DoD Treaty-eligible requirements. Specific 

defense articles that are not U.S. DoD Treatyeligible will be identified as such in those 

contract line items that are otherwise U.S. 

DoD Treaty-eligible. 

CONTRACT LINE ITEMS NOT INTENDED 

TO SATISFY U.S. DoD TREATY-ELIGIBLE 

REQUIREMENTS: 

lllllllllllllllllllll

[Enter Contract Line Item Number(s) or enter 

‘‘None’’] 

(c) Approved Community members 

responding to the solicitation may only 

export or transfer defense articles that 

specifically respond to the stated 

requirements of the solicitation. 

(d) Subject to the other terms and 

conditions of the solicitation and the 

contemplated contract that affect the 

acceptability of foreign sources or foreign end 

products, components, parts, or materials, 

Approved Community members are 

permitted, but not required, to use the DTC 

Treaties for exports or transfers of qualifying 

defense articles in preparing a response to 

this solicitation. 

(e) Any conduct by an offeror responding 

to this solicitation that falls outside the scope 

of the DTC Treaties, the Implementing 

Arrangements, and the implementing 

regulations of the Department of State in 22 

CFR 126.16 (Australia), 22 CFR 126.17 

(United Kingdom), and 22 CFR 126 

Supplement No. 1 (exempted technologies 

list) is subject to all applicable International 

Traffic in Arms Regulations (ITAR) 

requirements, including any criminal, civil, 

and administrative penalties or sanctions, as 

well as all other United States statutory and 

regulatory requirements outside of ITAR. 

(f) If the offeror uses the procedures 

established pursuant to the DTC Treaties, the 

offeror agrees that, with regard to the export 

or transfer of a qualifying defense article 

associated with responding to the 

solicitation, the offeror shall— 

(1) Comply with the requirements and 

provisions of the applicable DTC Treaties, 

the Implementing Arrangements, and 

corresponding regulations (including the 

ITAR) of the U.S. Government and the 

government of Australia or of the United 

Kingdom, as applicable; and 

(2) Prior to the export or transfer of a 

qualifying defense article— 

(i) Mark, identify, transmit, store, and 

handle any defense articles provided for the 

purpose of responding to such solicitations, 

as well as any defense articles provided with 

or developed pursuant to their responses to 

such solicitations, in accordance with the 

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36112 Federal Register / Vol. 78, No. 116 / Monday, June 17, 2013 / Rules and Regulations 

DTC Treaties, the Implementing 

Arrangements, and corresponding regulations 

of the United States Government and the 

government of Australia or the government of 

the United Kingdom, as applicable, 

including, but not limited to, the marking 

and classification requirements described in 

the applicable regulations; 

(ii) Comply with the re-transfer or re-export 

provisions of the DTC Treaties, the 

Implementing Arrangements, and 

corresponding regulations of the United 

States Government and the government of 

Australia or the government of the United 

Kingdom, as applicable, including, but not 

limited to, the re-transfer and re-export 

requirements described in the applicable 

regulations; and 

(iii) Acknowledge that any conduct that 

falls outside or in violation of the DTC 

Treaties, Implementing Arrangements, and 

implementing regulations of the applicable 

government including, but not limited to, 

unauthorized re-transfer or re-export in 

violation of the procedures established in the 

applicable Implementing Arrangement and 

implementing regulations, remains subject to 

applicable licensing requirements of the 

government of Australia, the government of 

the United Kingdom, and the United States 

Government, as applicable, including any 

criminal, civil, and administrative penalties 

or sanctions contained therein. 

(g) Representation. The offeror shall check 

one of the following boxes and sign the 

representation: 

b The offeror represents that export(s) or 

transfer(s) of qualifying defense articles were 

made in preparing its response to this 

solicitation and that such export(s) or 

transfer(s) complied with the requirements of 

this provision. 

lllllllllllllllllllll

Name/Title of Duly Authorized 

Representative Date 

b The offeror represents that no export(s) 

or transfer(s) of qualifying defense articles 

were made in preparing its response to this 

solicitation. 

lllllllllllllllllllll

Name/Title of Duly Authorized 

Representative Date 

(h) Subcontracts. The offeror shall flow 

down the substance of this provision, 

including this paragraph (h), but excluding 

the representation at paragraph (g), to any 

subcontractor at any tier intending to use the 

DTC Treaties in responding to this 

solicitation. 

(End of provision) 

■ 7. Section 252.225–7047 is revised to 

read as follows: 

252.225–7047 Exports by Approved 

Community Members in Performance of the 

Contract. 

As prescribed in 225.7902–5(b), use 

the following clause: 

Exports by Approved Community 

Members in Performance of the 

Contract (June 2013) 

(a) Definitions. As used in this clause— 

‘‘Approved Community’’ means the U.S. 

Government, U.S. entities that are registered 

and eligible exporters, and certain 

government and industry facilities in 

Australia or the United Kingdom that are 

approved and listed by the U.S. Government. 

‘‘Australia Community member’’ means an 

Australian government authority or 

nongovernmental entity or facility on the 

Australia Community list accessible at 

http://pmddtc.state.gov/treaties/index.html. 

‘‘Defense articles’’ means articles, services, 

and related technical data, including 

software, in tangible or intangible form, listed 

on the United States Munitions List of the 

International Traffic in Arms Regulations 

(ITAR), as modified or amended. 

‘‘Defense Trade Cooperation (DTC) Treaty’’ 

means— 

(1) The Treaty Between the Government of 

the United States of America and the 

government of the United Kingdom of Great 

Britain and Northern Ireland concerning 

Defense Trade Cooperation, signed at 

Washington and London on June 21 and 26, 

2007; or 

(2) The Treaty Between the Government of 

the United States of America and the 

Government of Australia Concerning Defense 

Trade Cooperation, signed at Sydney on 

September 5, 2007]. 

‘‘Export’’ means the initial movement of 

defense articles from the United States 

Community to the United Kingdom 

Community. 

‘‘Implementing Arrangement’’ means— 

(1) The Implementing Arrangement 

Pursuant to the Treaty between the 

Government of the United States of America 

and the Government of the United Kingdom 

of Great Britain and Northern Ireland 

Concerning Defense Trade Cooperation, 

signed on February 14, 2008; or 

(2) The Implementing Arrangement 

Pursuant to the Treaty between the 

Government of the United States of America 

and the Government of Australia Concerning 

Defense Trade Cooperation, signed on March 

14, 2008. 

‘‘Qualifying defense articles’’ means 

defense articles that are not exempt from the 

scope of the DTC Treaties as defined in 22 

CFR 126.16(g) and 22 CFR 126.17(g). 

‘‘Transfer’’ means the movement of 

previously exported defense articles within 

the Approved Community. 

‘‘United Kingdom Community member’’ 

means a United Kingdom government 

authority or nongovernmental entity or 

facility on the United Kingdom Community 

list accessible at http://pmddtc.state.gov. 

‘‘United States Community’’ means— 

(1) Departments and agencies of the U.S. 

Government, including their personnel, with, 

as appropriate, security accreditation and a 

need-to-know; and 

(2) Nongovernmental U.S. entities 

registered with the Department of State and 

eligible to export defense articles under U.S. 

law and regulation, including their 

employees, with, as appropriate, security 

accreditation and a need-to-know. 

‘‘U.S. DoD Treaty-eligible requirements’’ 

means any defense article acquired by the 

DoD for use in a combined military or 

counterterrorism operation, cooperative 

research, development, production or 

support program, or DoD end use, as 

described in Article 3 of the U.S.-U.K. DTC 

Treaty and sections 2 and 3 of the associated 

Implementing Arrangement; and Article 3 of 

the U.S.-Australia DTC Treaty and sections 2 

and 3 of the associated Implementing 

Arrangement. 

(b) All contract line items in this contract, 

except any identified in this paragraph, are 

intended to satisfy U.S. DoD Treaty-eligible 

requirements. Specific defense articles that 

are not U.S. DoD Treaty-eligible will be 

identified as such in those contract line items 

that are otherwise U.S. DoD Treaty-eligible. 

CONTRACT LINE ITEMS NOT INTENDED 

TO SATISFY U.S. DoD TREATY-ELIGIBLE 

REQUIREMENTS: 

lllllllllllllllllllll

[Enter Contract Line Item Number(s) or enter 

‘‘None’’] 

(c) Subject to the other terms and 

conditions of this contract that affect the 

acceptability of foreign sources or foreign end 

products, components, parts, or materials, 

Approved Community members are 

permitted, but not required, to use the DTC 

Treaties for exports or transfers of qualifying 

defense articles in performance of the 

contract. 

(d) Any conduct by the Contractor that falls 

outside the scope of the DTC Treaties, the 

Implementing Arrangements, and 22 CFR 

126.16(g) and 22 CFR 126.17(g) is subject to 

all applicable ITAR requirements, including 

any criminal, civil, and administrative 

penalties or sanctions, as well as all other 

United States statutory and regulatory 

requirements outside of ITAR, including, but 

not limited to, regulations issued by the 

Bureau of Alcohol, Tobacco, Firearms and 

Explosives found at 27 CFR parts 447, 478, 

and 479, which are unaffected by the DTC 

Treaties. 

(e) If the Contractor is an Approved 

Community member, the Contractor agrees 

that— 

(1) The Contractor shall comply with the 

requirements of the DTC Treaties, the 

Implementing Arrangements, the ITAR, and 

corresponding regulations of the U.S. 

Government and the government of Australia 

or the government of the United Kingdom, as 

applicable; and 

(2) Prior to the export or transfer of a 

qualifying defense article the Contractor— 

(i) Shall mark, identify, transmit, store, and 

handle any defense articles provided for the 

purpose of responding to such solicitations, 

as well as any defense articles provided with 

or developed pursuant to their responses to 

such solicitations, in accordance with the 

DTC Treaties, the Implementing 

Arrangements, and corresponding regulations 

of the United States Government and the 

government of Australia or the government of 

the United Kingdom, as applicable, 

including, but not limited to, the marking 

and classification requirements described in 

the applicable regulations; 

(ii) Shall comply with the re-transfer or reexport provisions of the DTC Treaties, the 

Implementing Arrangements, and 

corresponding regulations of the United 

States Government and the government of 

Australia or the government of the United 

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Federal Register / Vol. 78, No. 116 / Monday, June 17, 2013 / Rules and Regulations 36113 

Kingdom, as applicable, including, but not 

limited to, the re-transfer and re-export 

requirements described in the applicable 

regulations; and 

(iii) Shall acknowledge that any conduct 

that falls outside or in violation of the DTC 

Treaties, Implementing Arrangements, and 

implementing regulations of the applicable 

government including, but not limited to, 

unauthorized re-transfer or re-export in 

violation of the procedures established in the 

applicable Implementing Arrangement and 

implementing regulations, remains subject to 

applicable licensing requirements of the 

government of Australia, the government of 

the United Kingdom, and the United States 

Government, including any criminal, civil, 

and administrative penalties or sanctions 

contained therein. 

(f) The contractor shall include the 

substance of this clause, including this 

paragraph (f), in all subcontracts that may 

require exports or transfers of qualifying 

defense articles in connection with deliveries 

under the contract. 

■ 8. Add section 252.225–7048 to read 

as follows: 

252.225–7048 Export-Controlled Items. 

As prescribed in 225.7901–4, use the 

following clause: 

Export-Controlled Items (June 2013) 

(a) Definition. ‘‘Export-controlled items,’’ 

as used in this clause, means items subject 

to the Export Administration Regulations 

(EAR) (15 CFR Parts 730–774) or the 

International Traffic in Arms Regulations 

(ITAR) (22 CFR Parts 120–130). The term 

includes— 

(1) ‘‘Defense items,’’ defined in the Arms 

Export Control Act, 22 U.S.C. 2778(j)(4)(A), 

as defense articles, defense services, and 

related technical data, and further defined in 

the ITAR, 22 CFR Part 120; and 

(2) ‘‘Items,’’ defined in the EAR as 

‘‘commodities’’, ‘‘software’’, and 

‘‘technology,’’ terms that are also defined in 

the EAR, 15 CFR 772.1. 

(b) The Contractor shall comply with all 

applicable laws and regulations regarding 

export-controlled items, including, but not 

limited to, the requirement for contractors to 

register with the Department of State in 

accordance with the ITAR. The Contractor 

shall consult with the Department of State 

regarding any questions relating to 

compliance with the ITAR and shall consult 

with the Department of Commerce regarding 

any questions relating to compliance with the 

EAR. 

(c) The Contractor’s responsibility to 

comply with all applicable laws and 

regulations regarding export-controlled items 

exists independent of, and is not established 

or limited by, the information provided by 

this clause. 

(d) Nothing in the terms of this contract 

adds, changes, supersedes, or waives any of 

the requirements of applicable Federal laws, 

Executive orders, and regulations, including 

but not limited to— 

(1) The Export Administration Act of 1979, 

as amended (50 U.S.C. App. 2401, et seq.); 

(2) The Arms Export Control Act (22 U.S.C. 

2751, et seq.); 

(3) The International Emergency Economic 

Powers Act (50 U.S.C. 1701, et seq.); 

(4) The Export Administration Regulations 

(15 CFR Parts 730–774); 

(5) The International Traffic in Arms 

Regulations (22 CFR Parts 120–130); and 

(6) Executive Order 13222, as extended. 

(e) The Contractor shall include the 

substance of this clause, including this 

paragraph (e), in all subcontracts. 

(End of clause) 

[FR Doc. 2013–14298 Filed 6–14–13; 8:45 am] 

BILLING CODE 5001–06–P 

DEPARTMENT OF DEFENSE 

Defense Acquisition Regulations 

System 

48 CFR Part 222 

Defense Federal Acquisition 

Regulation Supplement; Technical 

Amendments 

AGENCY: Defense Acquisition 

Regulations System, Department of 

Defense (DoD). 

ACTION: Final rule. 

SUMMARY: DoD is making a technical 

amendment to the Defense Federal 

Acquisition Regulation Supplement 

(DFARS) to provide needed editorial 

changes. 

DATES: Effective Date: June 17, 2013. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Kortnee Stewart, Defense Acquisition 

Regulations System, 

OUSD(AT&L)DPAP(DARS), Room 

3B855, 3060 Defense Pentagon, 

Washington, DC 20301–3060. 

Telephone 571–372–6100; facsimile 

571–372–6094. 

SUPPLEMENTARY INFORMATION: This final 

rule amends the DFARS to insert a PGI 

pointer at Subpart 222.7404(c). 

List of Subjects in 48 CFR Part 222 

Government procurement. 

Kortnee Stewart 

Editor, Defense Acquisition Regulations 

System. 

Therefore, 48 CFR part 222 is 

amended as follows: 

PART 222—APPLICATION OF LABOR 

LAWS TO GOVERNMENT 

ACQUISITIONS 

■ 1. The authority citation for 48 CFR 

part 222 continue to read as follows: 

Authority: 41 U.S.C. 1303 and 48 CFR 

chapter 1. 

■ 2. Section 222.7404(c) is amended by 

inserting the words ‘‘and PGI 

222.7404(c)’’ after the word 

‘‘procedures’’. 

[FR Doc. 2013–14295 Filed 6–14–13; 8:45 am] 

BILLING CODE 5001–06–P 

DEPARTMENT OF COMMERCE 

National Oceanic and Atmospheric 

Administration 

50 CFR Part 622 

[Docket No. 120815345–3525–02] 

RIN 0648–BC41 

Snapper-Grouper Fishery Off the 

Southern Atlantic States; Regulatory 

Amendment 13 

AGENCY: National Marine Fisheries 

Service (NMFS), National Oceanic and 

Atmospheric Administration (NOAA), 

Commerce. 

ACTION: Final rule. 

SUMMARY: NMFS implements 

management measures described in a 

regulatory amendment (Regulatory 

Amendment 13) to the Fishery 

Management Plan for the SnapperGrouper Fishery of the South Atlantic 

Region (FMP), as prepared by the South 

Atlantic Fishery Management Council 

(Council). This final rule revises the 

annual catch limits (ACLs), including 

sector ACLs, for 37 snapper-grouper 

species based on updated landings data. 

The purpose of this rule is to ensure that 

the ACLs are based on the best scientific 

information available, and to prevent 

unnecessary negative socio-economic 

impacts to participants in the snappergrouper fishery and fishing community 

that could occur if the ACLs are not 

revised, in accordance with the 

provisions set forth in the MagnusonStevens Fishery Conservation and 

Management Act (Magnuson-Stevens 

Act). 

DATES: This rule is effective July 17, 

2013. 

ADDRESSES: Electronic copies of the 

regulatory amendment, which includes 

an environmental assessment, 

regulatory impact review, Regulatory 

Flexibility Act analysis, and fishery 

impact statement, may be obtained from 

the Southeast Regional Office Web site 

at http://sero.nmfs.noaa.gov/sf/ 

SASnapperGrouperHomepage.htm. 

FOR FURTHER INFORMATION CONTACT: 

Nikhil Mehta, Southeast Regional 

Office, NMFS, telephone: 727–824– 

5305, or email: Nikhil.Mehta@noaa.gov. 

SUPPLEMENTARY INFORMATION: The 

snapper-grouper fishery of the South 

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