2286 Federal Register / Vol. 80, No. 11 / Friday, January 16, 2015 / Rules and Regulations 

long as States maintain existing VHS 

regulations and other practices to 

reduce risk. Therefore, on April 14, 

2014, APHIS announced that the VHS 

Federal Order first issued in October 

2006 would be rescinded on June 2, 

2014. 

Accordingly, we are also withdrawing 

the September 9, 2008, interim rule. 

APHIS will continue to work with our 

stakeholders to provide guidance and 

promote sound biosecurity practices to 

prevent the spread of VHS and other 

aquatic animal diseases of concern. 

Authority: 7 U.S.C. 1622 and 8301–8317; 

21 U.S.C. 136 and 136a; 31 U.S.C. 9701; 7 

CFR 2.22, 2.80, and 371.4. 

Done in Washington, DC, this 12th day of 

January 2015. 

Kevin Shea, 

Administrator, Animal and Plant Health 

Inspection Service. 

[FR Doc. 2015–00594 Filed 1–15–15; 8:45 am] 

BILLING CODE 3410–34–P 

DEPARTMENT OF COMMERCE 

Bureau of Industry and Security 

15 CFR Parts 736, 740, 746 and 748 

[Docket No. 150102002–5002–01] 

RIN 0694–AG42 

Cuba: Providing Support for the Cuban 

People 

AGENCY: Bureau of Industry and 

Security, Commerce. 

ACTION: Final rule. 

SUMMARY: This rule amends the Export 

Administration Regulations to create 

License Exception Support for the 

Cuban People (SCP) to authorize the 

export and reexport of certain items to 

Cuba that are intended to improve the 

living conditions of the Cuban people; 

support independent economic activity 

and strengthen civil society in Cuba; 

and improve the free flow of 

information to, from, and among the 

Cuban people. It also amends existing 

License Exception Consumer 

Communications Devices (CCD) by 

eliminating the donation requirement, 

thereby authorizing sales of certain 

communications items to eligible end 

users in Cuba. Additionally, it amends 

License Exception Gift Parcels and 

Humanitarian Donations (GFT) to 

authorize exports of multiple gift 

parcels in a single shipment. Lastly, this 

rule establishes a general policy of 

approval for exports and reexports to 

Cuba of items for the environmental 

protection of U.S. and international air 

quality, and waters, and coastlines. 

These actions are among those 

announced by the President on 

December 17, 2014, aimed at supporting 

the ability of the Cuban people to gain 

greater control over their own lives and 

determine their country’s future. 

DATES: This rule is effective January 16, 

2015. 

FOR FURTHER INFORMATION CONTACT: 

Foreign Policy Division, Office of 

Nonproliferation and Treaty 

Compliance, Bureau of Industry and 

Security, Phone: (202) 482–4252. 

SUPPLEMENTARY INFORMATION: 

Background 

The United States maintains a 

comprehensive embargo on trade with 

Cuba. Pursuant to that embargo, all 

items that are subject to the Export 

Administration Regulations (EAR) 

require a license for export or reexport 

to Cuba unless authorized by a license 

exception. The Bureau of Industry and 

Security (BIS) administers export and 

reexport restrictions on Cuba consistent 

with the goals of that embargo and with 

relevant law. Accordingly, BIS may 

issue specific or general authorizations 

for specific types of transactions that 

support the goals of United States policy 

while the embargo remains in effect. 

On December 17, 2014, the President 

announced that the United States is 

taking historic steps to chart a new 

course in bilateral relations with Cuba 

and to further engage and empower the 

Cuban people. The President explained 

that these steps build upon actions 

taken since 2009 that have been aimed 

at supporting the ability of the Cuban 

people to gain greater control over their 

own lives and determine their country’s 

future. Today, the Commerce and 

Treasury Departments are taking 

coordinated actions to implement this 

policy. 

The President’s announcement 

necessitates changes to the EAR related 

to exports and reexports to promote 

more effectively positive change in 

Cuba, consistent with U.S. support for 

the Cuban people and in line with U.S. 

national security interests. This rule 

implements those changes by adding 

license exceptions and revising 

licensing policy as appropriate. 

This rule enables the export and 

reexport to Cuba of items intended to 

empower the nascent Cuban private 

sector by supporting private economic 

activity. Items include building 

materials for use by the private sector to 

construct or renovate privately-owned 

buildings including privately-owned 

residences, businesses, places of 

worship and buildings for private sector 

social or recreational use; goods for use 

by private sector entrepreneurs such as 

auto mechanics, barbers and hairstylists 

and restaurateurs; and tools and 

equipment for private sector agricultural 

activity. It is intended to facilitate 

Cuban citizens’ lower-priced access to 

certain goods to improve their living 

standards and gain greater economic 

independence from the state. It also 

enables the export and reexport to Cuba 

of items to further support civil society 

in Cuba. 

Additionally, this rule enables the 

export to Cuba of certain items intended 

to contribute to the ability of the Cuban 

people to communicate with one 

another and with people in the United 

States and the rest of the world. Those 

exports include commercial sales of 

items for the establishment and upgrade 

of communications-related systems as 

well as certain consumer 

communications devices, related 

software, applications, and hardware. 

Such exports are consistent with 

Department of Commerce authorities 

including with Section 1705(e) of the 

Cuban Democracy Act (22 U.S.C. 

6004(e)), which authorizes export of 

‘‘[t]elecommunications facilities . . . in 

such quantity and of such quality as 

may be necessary to provide efficient 

and adequate telecommunications 

services between the United States and 

Cuba.’’ 

This rule also enables more donations 

to the Cuban people by simplifying the 

process to export and reexport gift 

parcels to Cuba. Lastly, this rule 

establishes licensing policy relating to 

environmental protection and makes 

technical and conforming changes to the 

EAR. 

The Department of the Treasury’s 

Office of Foreign Assets Control (OFAC) 

is also making changes to its regulations 

to implement the President’s December 

17, 2014, policy announcement. 

Specific Changes Made by This Rule 

Creation of License Exception Support 

for the Cuban People (SCP) 

This rule creates a new § 740.21 of the 

EAR—License Exception Support for 

the Cuban People (SCP). Prior to 

publication of this rule, the export or 

reexport to Cuba of items now eligible 

under this new license exception 

generally required a license from BIS. 

To support improved living 

conditions and support independent 

economic activity in Cuba, License 

Exception SCP authorizes the export 

and reexport of commercially sold or 

donated: 

• Building materials, equipment, and 

tools for use by the private sector to 

construct or renovate privately-owned 


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Federal Register / Vol. 80, No. 11 / Friday, January 16, 2015 / Rules and Regulations 2287 

buildings, including privately-owned 

residences, businesses, places of 

worship and buildings for private sector 

social or recreational use; 

• Tools and equipment for private 

sector agricultural activity; and 

• Tools, equipment, supplies, and 

instruments for use by private sector 

entrepreneurs. Note that this provision 

will, for example, allow the export of 

such items to private sector 

entrepreneurs, such as auto mechanics, 

barbers and hairstylists and 

restaurateurs. 

Items eligible for export and reexport 

to Cuba pursuant to this portion of 

License Exception SCP are limited to 

those designated as EAR99 (i.e., items 

subject to the EAR but not specified in 

any Export Control Classification 

Number (ECCN)) or controlled on the 

Commerce Control List (CCL) only for 

anti-terrorism reasons. 

To strengthen civil society in Cuba, 

License Exception SCP authorizes the 

export and reexport to Cuba of certain 

donated items for use in scientific, 

archaeological, cultural, ecological, 

educational, historic preservation, or 

sporting activities. The activities may 

not relate to the development, 

production, use, operation, installation, 

maintenance, repair, overhaul or 

refurbishing of any item enumerated or 

otherwise described on the United 

States Munitions List (22 CFR part 121) 

or on the Commerce Control List 

(Supplement No. 1 to part 774 of the 

EAR) unless the only reason for control 

that applies to that item as set forth in 

the ECCN that controls that item is antiterrorism. 

Additionally, License Exception SCP 

authorizes the temporary export of 

certain items by persons departing the 

United States for their use in scientific, 

archeological, cultural, ecological, 

educational, historic preservation, or 

sporting activities or for their use in 

their professional research. The 

activities or research may not relate to 

the development, production, use, 

operation, installation, maintenance, 

repair, overhaul or refurbishing of any 

item enumerated or otherwise described 

on the United States Munitions List (22 

CFR part 121) or on the Commerce 

Control List (Supplement No. 1 to part 

774 of the EAR) unless the only reason 

for control that applies to that item as 

set forth in the ECCN that controls that 

item is anti-terrorism. The research 

must be directly related to the traveler’s 

profession, professional background or 

area of expertise, including area of 

graduate-level full-time study. Items 

authorized for temporary export must be 

returned to the United States within two 

years unless consumed in Cuba, or the 

exporter has applied for and obtained, 

prior to the expiration of the two year 

period, a license from BIS authorizing 

the items to remain in Cuba longer than 

two years. 

License Exception SCP also 

authorizes the export and reexport to 

Cuba of certain items to human rights 

organizations, individuals, or nongovernmental organizations that 

promote independent activity intended 

to strengthen civil society. Items eligible 

for the civil society portion of License 

Exception SCP are limited to those 

designated as EAR99 or items on the 

CCL for which the only reason for 

control is anti-terrorism. 

To improve the free flow of 

information to, from, and among the 

Cuban people, License Exception SCP 

authorizes the export and reexport to 

Cuba of certain items for 

telecommunications, including access to 

the Internet, use of Internet services, 

infrastructure creation and upgrades. 

Lastly, License Exception SCP 

authorizes the export and reexport to 

Cuba of certain items for use by news 

media personnel and U.S. news bureaus 

engaged in the gathering and 

dissemination of news to the general 

public. Items eligible for export and 

reexport to Cuba pursuant to this 

portion of the license exception SCP are 

limited to those designated as EAR99 or 

controlled on the CCL only for antiterrorism reasons. 

Expansion of License Exception 

Consumer Communications Devices 

(CCD) 

This rule revises License Exception 

Consumer Communications Devices 

(CCD) in § 740.19 of the EAR to remove 

the donation requirement and update 

the list of eligible items. License 

Exception CCD was created in 2009 at 

the direction of the President to help 

enhance the free flow of information to 

and from Cuba (74 FR 45985, September 

8, 2009). This license exception 

authorizes export and reexport of 

consumer communications devices 

(commodities such as computers, 

communications equipment and related 

items, including personal computers, 

mobile phones, televisions, radios and 

digital cameras) that are widely 

available for retail purchase and that are 

commonly used to exchange 

information and facilitate interpersonal 

communications, as well as certain 

telecommunications and information 

security-related software. Prior to 

publication of this rule, License 

Exception CCD authorized the export or 

reexport only of donated items, which 

limited the incentive to send these items 

to Cuba. This rule removes the donation 

requirement in License Exception CCD, 

thereby allowing export or reexport of 

eligible items for commercial sale or 

donation to eligible recipients in Cuba. 

This rule makes several minor 

technical revisions to some of those 

paragraphs in order to track more 

precisely current technical 

specifications for certain items and to 

state explicitly that some items must be 

consumer items to be eligible for this 

license exception. 

This rule revises the references to 

ECCN 5A992 in CCD paragraphs (b)(5)— 

monitors, (b)(6)—printers, (b)(7)— 

modems, (b)(10)—mobile phones and 

related items, (b)(11)—memory devices, 

and (b)(12)—information security, to 

read ECCN 5A992.c. Paragraph .c refers 

to ‘‘commodities’’ regarding which ‘‘BIS 

has received an encryption registration 

or that have been classified as mass 

market encryption commodities in 

accordance with § 742.15(b) of the 

EAR.’’ The inclusion of this paragraph 

more precisely describes the devices 

listed in those CCD paragraphs that are 

eligible for this license exception. 

This rule adds a reference to ECCN 

5A992.c to paragraph (b)(1) because 

most modern personal computers 

generally would be classified under that 

ECCN due to their encryption 

capability. This rule also removes the 

reference to 0.02 weighted teraflops 

from paragraph (b)(1) because virtually 

all personal computers manufactured 

currently have a higher adjusted peak 

performance level than 0.02 weighted 

teraflops. 

This rule adds a reference to ECCN 

5A991.b.4 to paragraph (b)(7) because 

certain modems that are widely used in 

consumer communications (e.g., DSL 

and ADSL modems) would be classified 

under ECCN 5A991.b.4. 

This rule revises the reference to 

ECCN 5D992 to read 5D992.c in CCD 

paragraphs (b)(12)—information 

security and (b)(17)—software for items 

in paragraphs (b)(1) through (b)(16). The 

inclusion of paragraph .c, which covers 

‘‘‘[s]oftware’’’ for which ‘‘BIS has 

received an encryption registration or 

that have been classified as mass market 

encryption software in accordance with 

§ 742.15(b) of the EAR,’’ more precisely 

describes the mass market devices listed 

in those CCD paragraphs that are 

eligible for this license exception. 

The other provisions of the license 

exception remain unchanged. 

Expansion of License Exception Gift 

Parcels and Humanitarian Donations 

(GFT) 

This rule revises License Exception 

Gift Parcels and Humanitarian 

Donations (GFT) in § 740.12 of the EAR 


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to remove the note that excludes from 

eligibility consolidated shipments of 

multiple parcels for delivery to 

individuals residing in a foreign 

country. Due to this note, parties 

exporting multiple gift parcels in a 

single shipment have been required to 

obtain individual validated licenses. 

Although the requirement is not limited 

to Cuba, in recent years BIS has received 

gift parcel consolidation license 

applications only for Cuba, which are 

routinely approved. Individuals who 

wish to send gift parcels to Cuba have 

had to search for parties that have 

received consolidation licenses, 

resulting in an unintended disincentive 

to donate eligible items to the Cuban 

people. Removing the note allows 

export and reexport of multiple gift 

parcels in a single shipment pursuant to 

License Exception GFT. All the other 

terms and conditions of the license 

exception remain unchanged. 

New Licensing Policy for Environmental 

Protection 

This rule amends the licensing policy 

for Cuba in § 746.2 of the EAR to add 

a general policy of approval for exports 

and reexports of items necessary for the 

environmental protection of U.S. and 

international air quality, waters, and 

coastlines (including items related to 

renewable energy or energy efficiency). 

Because environmental threats are not 

limited by national borders, 

circumstances may warrant the export 

and reexport of certain items to Cuba to 

protect U.S. national interests or 

international interests. Although the 

existing Cuba licensing policy in the 

EAR includes the flexibility to authorize 

environmental protection-related 

transactions, this revision notifies the 

public of the U.S. policy interest in 

considering applications for such 

authorizations. 

Technical and Conforming Changes 

This rule removes from the EAR 

General Order No. 4 in Supplement No. 

1 to Part 736, § 748.8(d), and paragraph 

(d) of Supplement No. 2 to Part 748. 

Those three provisions addressed 

aspects of licenses or license 

applications for consolidated shipments 

of gift parcels that individually were 

eligible for License Exception GFT. 

Because this rule makes the 

consolidated shipments eligible for the 

same license exception that applies to 

the individual gift parcels, the 

consolidated shipment licenses and the 

information in General Order No. 4, 

§ 748.8(d) and Supplement No. 2 to Part 

748 paragraph (d) are no longer needed. 

Section 746.2(b) addresses licensing 

policy for Cuba. This rule revises text in 

§ 746.2(b)(2) and (b)(4) to account for 

transactions that are now eligible for 

new License Exception SCP. 

This rule adds new License Exception 

SCP to the list of available License 

Exceptions for Cuba in § 746.2 of the 

EAR. 

Export Administration Act 

Although the Export Administration 

Act expired on August 20, 2001, the 

President, through Executive Order 

13222 of August 17, 2001, 3 CFR, 2001 

Comp., p. 783 (2002), as amended by 

Executive Order 13637 of March 8, 

2013, 78 FR 16129 (March 13, 2013), 

and as extended by the Notice of August 

7, 2014, 79 FR 46959 (August 11, 2014), 

has continued the Export 

Administration Regulations in effect 

under the International Emergency 

Economic Powers Act. BIS continues to 

carry out the provisions of the Export 

Administration Act, as appropriate and 

to the extent permitted by law, pursuant 

to Executive Order 13222 as amended 

by Executive Order 13637. 

Rulemaking Requirements 

1. Executive Orders 13563 and 12866 

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). Executive Order 13563 

emphasizes the importance of 

quantifying both costs and benefits, of 

reducing costs, of harmonizing rules, 

and of promoting flexibility. This rule 

has been designated a ‘‘significant 

regulatory action,’’ although not 

economically significant, under section 

3(f) of Executive Order 12866. 

Accordingly, the rule has been reviewed 

by the Office of Management and 

Budget (OMB). 

2. Notwithstanding any other 

provision of law, no person is required 

to respond to, nor shall any person be 

subject to a penalty for failure to comply 

with, a collection of information subject 

to the requirements of the Paperwork 

Reduction Act of 1995 (44 U.S.C. 3501 

et seq.) (PRA), unless that collection of 

information displays a currently valid 

Office of Management and Budget 

(OMB) control number. This rule 

involves a collection of information 

approved under OMB control number 

0694–0088—Simplified Network 

Application Processing+ System 

(SNAP+) and the Multipurpose Export 

License Application, which carries an 

annual estimated burden of 31,833 

hours. BIS believes that this rule will 

have no material impact on that burden. 

To the extent that it has any impact, this 

rule could impact the burden in two 

ways. First, this rule might reduce the 

burden because it makes some 

transactions that would otherwise 

require a license eligible for a license 

exception. Second, although this rule 

does not impose any new license 

requirements, it creates less restrictive 

licensing policies (i.e., the policies 

under which the decision to approve or 

deny a license application is made) for 

exports and reexports for environmental 

protection. These less restrictive 

policies might increase the number of 

license applications submitted to BIS 

because applicants might be more 

optimistic about obtaining approval. BIS 

believes that reduction in the number of 

license applications resulting from 

increased license exception availability 

is likely to more than offset any increase 

in the number of license applications 

resulting from less restrictive licensing 

policy because the former involves a 

large number of small transactions 

whereas the less restrictive license 

policy impacts a smaller number of 

larger value transactions. Moreover, the 

benefit to license applicants in the form 

of greater likelihood of approval justifies 

any additional burden. 

Send comments regarding this burden 

estimate or any other aspect of this 

collection of information, including 

suggestions for reducing the burden, to 

Jasmeet K. Seehra, Office of 

Management and Budget, by email at 

jseehra@omb.eop.gov or by fax to (202) 

395–7285 and to William Arvin at 

william.arvin@bis.doc.gov. 

3. This rule does not contain policies 

with Federalism implications as that 

term is defined under Executive Order 

13132. 

4. The provisions of the 

Administrative Procedure Act (5 U.S.C. 

553) requiring notice of proposed 

rulemaking, the opportunity for public 

participation, and a delay in effective 

date, are inapplicable because this 

regulation involves a military or foreign 

affairs function of the United States (See 

5 U.S.C. 553(a)(1)). This rule is a part of 

a foreign policy initiative to change the 

nature of the relationship between Cuba 

and the United States announced by the 

President on December 17, 2014. Delay 

in implementing of this rule to obtain 

public comment would undermine the 

foreign policy objectives that the rule is 

intended to implement. Further, no 

other law requires that a notice of 

proposed rulemaking and an 

opportunity for public comment be 

given for this rule. Because a notice of 

proposed rulemaking and an 

opportunity for public comment are not 


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Federal Register / Vol. 80, No. 11 / Friday, January 16, 2015 / Rules and Regulations 2289 

required to be given for this rule under 

5 U.S.C. 553, or by any other law, the 

requirements of the Regulatory 

Flexibility Act (5 U.S.C. 601 et seq.) are 

not applicable. 

List of Subjects 

15 CFR Part 736 

Exports. 

15 CFR Parts 740 and 748 

Administrative practice and 

procedure, Exports, Reporting and 

recordkeeping requirements. 

15 CFR Part 746 

Exports, Reporting and recordkeeping 

requirements. 

For the reasons set forth in the 

preamble, 15 CFR Chapter VII, 

Subchapter C is amended as follows: 

PART 736—[AMENDED] 

■ 1. The authority citation for 15 CFR 

part 736 continues to read as follows: 

Authority: 50 U.S.C. app. 2401 et seq.; 50 

U.S.C. 1701 et seq.; 22 U.S.C. 2151 note; E.O. 

12938, 59 FR 59099, 3 CFR, 1994 Comp., p. 

950; E.O. 13020, 61 FR 54079, 3 CFR, 1996 

Comp., p. 219; E.O. 13026, 61 FR 58767, 3 

CFR, 1996 Comp., p. 228; E.O. 13222, 66 FR 

44025, 3 CFR, 2001 Comp., p. 783; E.O. 

13338, 69 FR 26751, 3 CFR, 2004 Comp., p. 

168; Notice of May 7, 2014, 79 FR 26589 

(May 9, 2014); Notice of August 7, 2014, 79 

FR 46959 (August 11, 2014); Notice of 

November 7, 2014, 79 FR 67035 (November 

12, 2014). 

Supplement No. 1 to Part 736— 

[Amended] 

■ 2. In Supplement No. 1 to Part 736, 

paragraph (d) General Order No. 4 is 

removed and reserved. 

PART 740—[AMENDED] 

■ 3. The authority citation for 15 CFR 

part 740 continues to read as follows: 

Authority: 50 U.S.C. app. 2401 et seq.; 50 

U.S.C. 1701 et seq.; 22 U.S.C. 7201 et seq.; 

E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., 

p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 

Comp., p. 783; Notice of August 7, 2014, 79 

FR 46959 (August 11, 2014). 

§ 740.12—[Amended] 

■ 4. Section 740.12 is amended by 

removing the note to paragraph (a). 

■ 5. Section 740.19 is amended by: 

■ a. Revising paragraph (a); 

■ b. Revising paragraph (b); 

■ c. Removing paragraph (c); and 

■ d. Redesignating paragraph (d) as 

paragraph (c). 

The revisions read as follows: 

§ 740.19 Consumer Communications 

Devices (CCD). 

(a) Authorization. This License 

Exception authorizes the export or 

reexport of commodities and software, 

either sold or donated, as described in 

paragraph (b) to Cuba subject to the 

conditions in paragraph (c) of this 

section. This section does not authorize 

U.S.-owned or -controlled entities in 

third countries to engage in reexports of 

foreign-produced commodities to Cuba 

for which no license would be issued by 

the Treasury Department pursuant to 31 

CFR 515.559. Cuba is the only eligible 

destination under this License 

Exception. 

(b) Eligible Commodities and 

Software. Commodities and software 

eligible for export or reexport under this 

section are: 

(1) Consumer computers designated 

EAR99 or classified under Export 

Control Classification Numbers (ECCN) 

5A992.c or 4A994.b; 

(2) Consumer disk drives and solid 

state storage equipment classified under 

ECCN 5A992 or designated EAR99; 

(3) Input/output control units (other 

than industrial controllers designed for 

chemical processing) designated EAR99; 

(4) Graphics accelerators and graphics 

coprocessors designated EAR99; 

(5) Monitors classified under ECCN 

5A992.c or designated EAR99; 

(6) Printers classified under ECCN 

5A992.c or designated EAR99; 

(7) Modems classified under ECCNs 

5A991.b.2, 5A991.b.4., or 5A992.c or 

designated EAR99; 

(8) Network access controllers and 

communications channel controllers 

classified under ECCN 5A991.b.4 or 

designated EAR99; 

(9) Keyboards, mice and similar 

devices designated EAR99; 

(10) Mobile phones, including cellular 

and satellite telephones, personal digital 

assistants, and subscriber information 

module (SIM) cards and similar devices 

classified under ECCNs 5A992.c or 

5A991 or designated EAR99; 

(11) Memory devices classified under 

ECCN 5A992.c or designated EAR99; 

(12) Consumer ‘‘information security’’ 

equipment, ‘‘software’’ (except 

‘‘encryption source code’’) and 

peripherals classified under ECCNs 

5A992.c or 5D992.c or designated 

EAR99; 

(13) Digital cameras and memory 

cards classified under ECCN 5A992 or 

designated EAR99; 

(14) Television and radio receivers 

classified under ECCN 5A992 or 

designated EAR99; 

(15) Recording devices classified 

under ECCN 5A992 or designated 

EAR99; 

(16) Batteries, chargers, carrying cases 

and accessories for the equipment 

described in this paragraph that are 

designated EAR99; and 

(17) Consumer ‘‘software’’ (except 

‘‘encryption source code’’) classified 

under ECCNs 4D994, 5D991 or 5D992.c 

or designated EAR99 to be used for 

equipment described in paragraphs 

(b)(1) through (b)(16) of this section. 

* * * * * 

■ 6. Section 740.21 is added to read as 

follows: 

§ 740.21 Support for the Cuban People 

(SCP). 

(a) Introduction. This License 

Exception authorizes certain exports 

and reexports to Cuba that are intended 

to support the Cuban people by 

improving their living conditions and 

supporting independent economic 

activity; strengthening civil society in 

Cuba; and improving the free flow of 

information to, from, and among the 

Cuban people. 

(b) Improving living conditions and 

supporting independent economic 

activity. This paragraph authorizes the 

export or reexport to Cuba of items 

designated as EAR99, or controlled on 

the Commerce Control List (CCL) 

(Supplement No. 1 to Part 774 of the 

EAR) only for anti-terrorism reasons 

(i.e., anti-terrorism must be the only 

reason for control that applies to the 

item as set forth in the Export Control 

Classification Number (ECCN) that 

controls the item). If any other reason 

for control applies to the item, it is not 

authorized for export or reexport by this 

paragraph. The item may be either for 

commercial sale or donated. The item 

must be within one or more of the 

following categories: 

(1) Building materials, equipment, 

and tools for use by the private sector 

to construct or renovate privately-owned 

buildings, including privately-owned 

residences, businesses, places of 

worship and buildings for private sector 

social or recreational use; 

(2) Tools and equipment for private 

sector agricultural activity; or 

(3) Tools, equipment, supplies, and 

instruments for use by private sector 

entrepreneurs. 

(c) Strengthening civil society. This 

paragraph authorizes the export or 

reexport to Cuba of certain items for use 

in specified activities that can 

strengthen civil society. The items 

authorized pursuant this paragraph are 

limited to those designated as EAR99 or 

controlled only for anti-terrorism 

reasons on the CCL (i.e., anti-terrorism 

must be the only reason for control that 

applies to the item as set forth in the 

ECCN that controls the item). If any 


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2290 Federal Register / Vol. 80, No. 11 / Friday, January 16, 2015 / Rules and Regulations 

other reason for control applies to the 

item, it is not authorized for export or 

reexport by this paragraph. The export 

or reexport must be within one or more 

of the following categories: 

(1) The export or reexport to Cuba of 

donated items for use in scientific, 

archaeological, cultural, ecological, 

educational, historic preservation, or 

sporting activities. The activities may 

not relate to the ‘‘development,’’ 

‘‘production,’’ ‘‘use,’’ operation, 

installation, maintenance, repair, 

overhaul or refurbishing of any item 

enumerated or otherwise described on 

the United States Munitions List (22 

CFR part 121) or of any item 

enumerated or otherwise described on 

the Commerce Control List (Supplement 

No. 1 to Part 774 of the EAR) unless the 

only reason for control that applies to 

that item as set forth in the ECCN that 

controls that item is anti-terrorism. 

(2) The temporary export to Cuba of 

items by persons departing the United 

States for their use in scientific, 

archeological, cultural, ecological, 

educational, historic preservation, or 

sporting activities, or for their use in the 

traveler’s professional research. The 

following limitations shall apply: 

(i) The research must be directly 

related to traveler’s profession, 

professional background or area of 

expertise, including area of graduatelevel full-time study. 

(ii) The activities or research may not 

relate to the ‘‘development,’’ 

‘‘production,’’ ‘‘use,’’ operation, 

installation, maintenance, repair, 

overhaul or refurbishing of any item 

enumerated or otherwise described on 

the United States Munitions List (22 

CFR part 121) or of any item 

enumerated or otherwise described on 

the Commerce Control List (Supplement 

No. 1 to Part 774 of the EAR) unless the 

only reason for control that applies to 

that item as set forth in the ECCN that 

controls that item is anti-terrorism. 

(iii) Items authorized for temporary 

export by this paragraph must be 

returned to the United States within two 

years of the date of export from the 

United States unless: 

(A) The items are consumed in Cuba; 

or 

(B) The exporter applies for and 

receives a license from BIS, prior to the 

expiration of the two year period, 

authorizing the items to remain in Cuba 

for longer than two years. 

(iv) Paragraph (c)(2) of this section 

does not authorize exports if, at the time 

of the export, the exporter has 

‘‘knowledge’’ that the item exported will 

remain in Cuba for more than two years. 

(3) The export or reexport to Cuba of 

items to human rights organizations, 

individuals or non-governmental 

organizations that promote independent 

activity intended to strengthen civil 

society. 

(d) Improving communications. This 

paragraph authorizes the export or 

reexport to Cuba of certain items 

intended to improve the free flow of 

information to, from, and among the 

Cuban people. The items authorized 

pursuant to this paragraph are limited to 

those designated as EAR99 or controlled 

only for anti-terrorism reasons on the 

CCL (i.e., anti-terrorism must be the 

only reason for control that applies to 

the item as set forth in the ECCN that 

controls the item). If any other reason 

for control applies to the item, it is not 

authorized for export or reexport by this 

paragraph. The export or reexport must 

be within one or more of the following 

categories: 

(1) The export or reexport to Cuba of 

items, either sold or donated, for 

telecommunications, including access to 

the Internet, use of Internet services, 

infrastructure creation and upgrades. 

(2) The export or reexport to Cuba of 

items for use by news media personnel 

engaged in the gathering and 

dissemination of news to the general 

public and who are: 

(i) Regularly employed as journalists 

by a news reporting organization; 

(ii) Regularly employed as supporting 

broadcast or technical personnel; 

(iii) Freelance journalists with a 

record of previous journalistic 

experience working on a freelance 

journalistic project; or 

(iv) Broadcast or technical personnel 

with a record of previous broadcast or 

technical experience who are 

supporting a freelance journalist 

working on a freelance journalistic 

project. 

(3) The export or reexport to Cuba of 

items for use by U.S. news bureaus 

engaged in the gathering and 

dissemination of news to the general 

public. 

PART 746—[AMENDED] 

■ 7. The authority citation for 15 CFR 

part 746 continues to read as follows: 

Authority: 50 U.S.C. app. 2401 et seq.; 50 

U.S.C. 1701 et seq.; 22 U.S.C. 287c; Sec 1503, 

Pub. L. 108–11, 117 Stat. 559; 22 U.S.C. 6004; 

22 U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 

12854, 58 FR 36587, 3 CFR, 1993 Comp., p. 

614; E.O. 12918, 59 FR 28205, 3 CFR, 1994 

Comp., p. 899; E.O. 13222, 66 FR 44025, 3 

CFR, 2001 Comp., p. 783; E.O. 13338, 69 FR 

26751, 3 CFR, 2004 Comp., p 168; 

Presidential Determination 2003–23 of May 

7, 2003, 68 FR 26459, May 16, 2003; 

Presidential Determination 2007–7 of 

December 7, 2006, 72 FR 1899 (January 16, 

2007); Notice of May 7, 2014, 79 FR 26589 

(May 9, 2014); Notice of August 7, 2014, 79 

FR 46959 (August 11, 2014). 

■ 8. Section 746.2 is amended by: 

■ a. Adding a paragraph (a)(1)(xiv); 

■ b. Revising paragraph (b)(2); 

■ c. Revising paragraph (b)(4)(i); 

■ d. Revising paragraph (b)(4)(ii); and 

■ e. Adding a paragraph (b)(6) to read as 

follows: 

§ 746.2 Cuba. 

(a) * * * 

(1) * * * 

(xiv) License Exception Support for 

the Cuban People (SCP) (see § 740.21 of 

the EAR). 

* * * * * 

(b) * * * 

(2) Telecommunications items may be 

authorized for export or reexport to 

Cuba on a case-by-case basis. 

* * * * * 

(4) * * * 

(i) Applications for licenses for 

exports of certain commodities and 

software may be approved to human 

rights organizations, or to individuals 

and non-governmental organizations 

that promote independent activity 

intended to strengthen civil society in 

Cuba when such exports do not give rise 

to U.S. national security or counterterrorism concerns. Applicants may 

donate or sell the commodities or 

software to be exported. Reexport to 

other end-users or end-uses is not 

authorized. 

(ii) Commodities and software may be 

approved for export to U.S. news 

bureaus in Cuba whose primary purpose 

is the gathering and dissemination of 

news to the general public. 

* * * * * 

(6) Applications for exports or 

reexports of items necessary for the 

environmental protection of U.S. and 

international air quality, waters, or 

coastlines (including items related to 

renewable energy or energy efficiency) 

will generally be approved. 

* * * * * 

PART 748—[AMENDED] 

■ 7. The authority citation for 15 CFR 

part 748 continues to read as follows: 

Authority: 50 U.S.C. app. 2401 et seq.; 50 

U.S.C. 1701 et seq.; E.O. 13026, 61 FR 58767, 

3 CFR, 1996 Comp., p. 228; E.O. 13222, 66 

FR 44025, 3 CFR, 2001 Comp., p. 783; Notice 

of August 7, 2014, 79 FR 46959 (August 11, 

2014). 

§ 748.8—[Amended] 

■ 8. In § 748.8, remove and reserve 

paragraph (d). 


asabaliauskas on DSK5VPTVN1PROD with FRONTMATTER
Federal Register / Vol. 80, No. 11 / Friday, January 16, 2015 / Rules and Regulations 2291 

Supplement No. 2 to Part 748— 

[Amended] 

■ 9. In Supplement No. 2 to part 748, 

remove and reserve paragraph (d). 

Dated: January 12, 2015. 

Penny Pritzker, 

Secretary of Commerce. 

[FR Doc. 2015–00590 Filed 1–15–15; 8:45 am] 

BILLING CODE 3510–33–P 

DEPARTMENT OF THE TREASURY 

Office of Foreign Assets Control 

31 CFR Part 515 

Cuban Assets Control Regulations 

AGENCY: Office of Foreign Assets 

Control, Treasury. 

ACTION: Final rule. 

SUMMARY: The Department of the 

Treasury’s Office of Foreign Assets 

Control (OFAC) is amending the Cuban 

Assets Control Regulations to 

implement policy changes announced 

by the President on December 17, 2014 

to further engage and empower the 

Cuban people. These amendments 

facilitate travel to Cuba for authorized 

purposes, facilitate the provision by 

travel agents and airlines of authorized 

travel services and the forwarding by 

certain entities of authorized 

remittances, raise the limit on certain 

categories of remittances to Cuba, allow 

U.S. financial institutions to open 

correspondent accounts at Cuban 

financial institutions to facilitate the 

processing of authorized transactions, 

authorize certain transactions with 

Cuban nationals located outside of 

Cuba, and allow a number of other 

activities related to, among other areas, 

telecommunications, financial services, 

trade, and shipping. These amendments 

also implement certain technical and 

conforming changes. 

DATES: Effective: January 16, 2015. 

FOR FURTHER INFORMATION CONTACT: 

Assistant Director for Licensing, tel.: 

202/622–2480, Assistant Director for 

Policy, tel.: 202/622–6746, Assistant 

Director for Regulatory Affairs, tel: 202/ 

622–4855, Assistant Director for 

Sanctions Compliance & Evaluation, 

tel.: 202/622–2490, Office of Foreign 

Assets Control, or Chief Counsel 

(Foreign Assets Control), tel.: 202/622– 

2410, Office of the General Counsel, 

Department of the Treasury (not toll free 

numbers). 

SUPPLEMENTARY INFORMATION: 

Electronic and Facsimile Availability 

This document and additional 

information concerning OFAC are 

available from OFAC’s Web site 

(www.treasury.gov/ofac). Certain general 

information pertaining to OFAC’s 

sanctions programs also is available via 

facsimile through a 24-hour fax-ondemand service, tel.: 202/622–0077. 

Background 

The Department of the Treasury 

issued the Cuban Assets Control 

Regulations, 31 CFR part 515 (the 

‘‘Regulations’’), on July 8, 1963, under 

the Trading With the Enemy Act (50 

U.S.C. App. 5 et seq.). OFAC has 

amended the Regulations on numerous 

occasions. Notably, on September 3, 

2009, OFAC amended the Regulations to 

implement measures announced by the 

President on April 13, 2009 to promote 

democracy and human rights in Cuba by 

easing travel restrictions to facilitate 

greater contact between separated 

family members in the United States 

and Cuba and by increasing the flow of 

remittances and information to the 

Cuban people. On January 28, 2011, 

OFAC further amended the Regulations 

to implement certain policy changes 

announced by the President on January 

14, 2011 designed to increase people-topeople contact, support civil society in 

Cuba, enhance the free flow of 

information to, from, and among the 

Cuban people, and help promote their 

independence from Cuban authorities. 

These amendments allowed for greater 

licensing of travel to Cuba for 

educational, cultural, religious, and 

journalistic activities and expanded 

licensing of remittances to Cuba. These 

amendments also modified regulations 

regarding authorization of transactions 

with Cuban nationals who have taken 

up permanent residence outside of Cuba 

and implemented certain technical and 

conforming changes. 

OFAC is now amending the 

Regulations to implement certain policy 

changes announced by the President on 

December 17, 2014 to further engage 

and empower the Cuban people. These 

amendments facilitate travel to Cuba for 

authorized purposes, facilitate the 

provision by travel agents and airlines 

of authorized travel services and the 

forwarding by certain entities of 

authorized remittances, raise the limit 

on remittances to Cuba, allow U.S. 

financial institutions to open 

correspondent accounts at Cuban 

financial institutions to facilitate the 

processing of authorized transactions, 

authorize certain transactions with 

Cuban nationals outside of Cuba, and 

allow a number of other activities 

related to, among other areas, 

telecommunications, financial services, 

trade, and shipping. These amendments 

also implement certain technical and 

conforming changes. 

Travel to Cuba for authorized 

purposes. OFAC is amending sections 

515.533, 515.545, 515.560 through 

515.567, and 515.574 through 515.576 

to authorize travel-related transactions 

and other transactions incident to 

activities within the 12 existing travel 

categories in OFAC’s regulations—such 

as for educational activities (including 

people-to-people travel), journalistic 

and religious activities, professional 

meetings, and humanitarian projects— 

without the need for case-by-case 

specific licensing, while continuing not 

to authorize travel for tourist activities, 

which is prohibited by statute. The 

authorizations contain certain 

restrictions appropriate to each category 

of activities. 

Travel services. OFAC is amending 

section 515.572 to permit persons 

subject to U.S. jurisdiction, including 

travel agents and airlines, to provide 

authorized travel and carrier services, 

and certain entities to forward 

authorized remittances, under 

conditions set forth below, without the 

need for specific licenses from OFAC. 

Remittances. OFAC is amending 

section 515.570 to raise from $500 to 

$2,000 per quarter the limits on 

remittances that may be sent to Cuban 

nationals, and to generally authorize, as 

is done now, as appropriate, on a caseby-case basis, without limitation, 

remittances for humanitarian projects, 

support for the Cuban people, and 

development of private business in 

Cuba. Section 515.560(c) is amended to 

raise to $10,000 the total amount of 

remittances that a traveler may carry to 

Cuba. 

Credit and debit cards, per diem, and 

importation of certain goods and 

services. OFAC is amending section 

515.560 and adding a new section 

515.584 to authorize the use of U.S. 

credit and debit cards in Cuba for travelrelated and other transactions consistent 

with section 515.560 and to allow U.S. 

financial institutions to enroll 

merchants and to process such 

transactions. OFAC also is amending 

section 515.560 to eliminate the per 

diem limitation on authorized travelers’ 

spending in Cuba, and to permit 

authorized travelers to import no more 

than $400 worth of goods from Cuba 

(including up to $100 in alcohol or 

tobacco products). 

Certain micro-financing, business, 

and commercial import activities. OFAC 

is amending section 515.575 to 

authorize certain micro-financing 


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