Presidential Documents

16651 

Federal Register 

Vol. 77, No. 56 

Thursday, March 22, 2012 

Title 3— 

The President 

Executive Order 13603 of March 16, 2012 

National Defense Resources Preparedness 

By the authority vested in me as President by the Constitution and the 

laws of the United States of America, including the Defense Production 

Act of 1950, as amended (50 U.S.C. App. 2061 et seq.), and section 301 

of title 3, United States Code, and as Commander in Chief of the Armed 

Forces of the United States, it is hereby ordered as follows: 

PART I—PURPOSE, POLICY, AND IMPLEMENTATION 

Section 101. Purpose. This order delegates authorities and addresses national 

defense resource policies and programs under the Defense Production Act 

of 1950, as amended (the ‘‘Act’’). 

Sec. 102. Policy. The United States must have an industrial and technological 

base capable of meeting national defense requirements and capable of contributing to the technological superiority of its national defense equipment 

in peacetime and in times of national emergency. The domestic industrial 

and technological base is the foundation for national defense preparedness. 

The authorities provided in the Act shall be used to strengthen this base 

and to ensure it is capable of responding to the national defense needs 

of the United States. 

Sec. 103. General Functions. Executive departments and agencies (agencies) 

responsible for plans and programs relating to national defense (as defined 

in section 801(j) of this order), or for resources and services needed to 

support such plans and programs, shall: 

(a) identify requirements for the full spectrum of emergencies, including 

essential military and civilian demand; 

(b) assess on an ongoing basis the capability of the domestic industrial 

and technological base to satisfy requirements in peacetime and times of 

national emergency, specifically evaluating the availability of the most critical 

resource and production sources, including subcontractors and suppliers, 

materials, skilled labor, and professional and technical personnel; 

(c) be prepared, in the event of a potential threat to the security of 

the United States, to take actions necessary to ensure the availability of 

adequate resources and production capability, including services and critical 

technology, for national defense requirements; 

(d) improve the efficiency and responsiveness of the domestic industrial 

base to support national defense requirements; and 

(e) foster cooperation between the defense and commercial sectors for 

research and development and for acquisition of materials, services, components, and equipment to enhance industrial base efficiency and responsiveness. 

Sec. 104. Implementation. (a) The National Security Council and Homeland 

Security Council, in conjunction with the National Economic Council, shall 

serve as the integrated policymaking forum for consideration and formulation 

of national defense resource preparedness policy and shall make recommendations to the President on the use of authorities under the Act. 

(b) The Secretary of Homeland Security shall: 

(1) advise the President on issues of national defense resource preparedness 

and on the use of the authorities and functions delegated by this order; 

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(2) provide for the central coordination of the plans and programs incident 

to authorities and functions delegated under this order, and provide guidance to agencies assigned functions under this order, developed in consultation with such agencies; and 

(3) report to the President periodically concerning all program activities 

conducted pursuant to this order. 

(c) The Defense Production Act Committee, described in section 701 of 

this order, shall: 

(1) in a manner consistent with section 2(b) of the Act, 50 U.S.C. App. 

2062(b), advise the President through the Assistant to the President and 

National Security Advisor, the Assistant to the President for Homeland 

Security and Counterterrorism, and the Assistant to the President for Economic Policy on the effective use of the authorities under the Act; and 

(2) prepare and coordinate an annual report to the Congress pursuant 

to section 722(d) of the Act, 50 U.S.C. App. 2171(d). 

(d) The Secretary of Commerce, in cooperation with the Secretary of 

Defense, the Secretary of Homeland Security, and other agencies, shall: 

(1) analyze potential effects of national emergencies on actual production 

capability, taking into account the entire production system, including 

shortages of resources, and develop recommended preparedness measures 

to strengthen capabilities for production increases in national emergencies; 

and 

(2) perform industry analyses to assess capabilities of the industrial base 

to support the national defense, and develop policy recommendations 

to improve the international competitiveness of specific domestic industries 

and their abilities to meet national defense program needs. 

PART II—PRIORITIES AND ALLOCATIONS 

Sec. 201. Priorities and Allocations Authorities. (a) The authority of the 

President conferred by section 101 of the Act, 50 U.S.C. App. 2071, to 

require acceptance and priority performance of contracts or orders (other 

than contracts of employment) to promote the national defense over performance of any other contracts or orders, and to allocate materials, services, 

and facilities as deemed necessary or appropriate to promote the national 

defense, is delegated to the following agency heads: 

(1) the Secretary of Agriculture with respect to food resources, food resource facilities, livestock resources, veterinary resources, plant health 

resources, and the domestic distribution of farm equipment and commercial 

fertilizer; 

(2) the Secretary of Energy with respect to all forms of energy; 

(3) the Secretary of Health and Human Services with respect to health 

resources; 

(4) the Secretary of Transportation with respect to all forms of civil transportation; 

(5) the Secretary of Defense with respect to water resources; and 

(6) the Secretary of Commerce with respect to all other materials, services, 

and facilities, including construction materials. 

(b) The Secretary of each agency delegated authority under subsection 

(a) of this section (resource departments) shall plan for and issue regulations 

to prioritize and allocate resources and establish standards and procedures 

by which the authority shall be used to promote the national defense, 

under both emergency and non-emergency conditions. Each Secretary shall 

authorize the heads of other agencies, as appropriate, to place priority ratings 

on contracts and orders for materials, services, and facilities needed in 

support of programs approved under section 202 of this order. 

(c) Each resource department shall act, as necessary and appropriate, 

upon requests for special priorities assistance, as defined by section 801(l) 

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of this order, in a time frame consistent with the urgency of the need 

at hand. In situations where there are competing program requirements 

for limited resources, the resource department shall consult with the Secretary who made the required determination under section 202 of this order. 

Such Secretary shall coordinate with and identify for the resource department 

which program requirements to prioritize on the basis of operational urgency. 

In situations involving more than one Secretary making such a required 

determination under section 202 of this order, the Secretaries shall coordinate 

with and identify for the resource department which program requirements 

should receive priority on the basis of operational urgency. 

(d) If agreement cannot be reached between two such Secretaries, then 

the issue shall be referred to the President through the Assistant to the 

President and National Security Advisor and the Assistant to the President 

for Homeland Security and Counterterrorism. 

(e) The Secretary of each resource department, when necessary, shall 

make the finding required under section 101(b) of the Act, 50 U.S.C. App. 

2071(b). This finding shall be submitted for the President’s approval through 

the Assistant to the President and National Security Advisor and the Assistant 

to the President for Homeland Security and Counterterrorism. Upon such 

approval, the Secretary of the resource department that made the finding 

may use the authority of section 101(a) of the Act, 50 U.S.C. App. 2071(a), 

to control the general distribution of any material (including applicable 

services) in the civilian market. 

Sec. 202. Determinations. Except as provided in section 201(e) of this order, 

the authority delegated by section 201 of this order may be used only 

to support programs that have been determined in writing as necessary 

or appropriate to promote the national defense: 

(a) by the Secretary of Defense with respect to military production and 

construction, military assistance to foreign nations, military use of civil 

transportation, stockpiles managed by the Department of Defense, space, 

and directly related activities; 

(b) by the Secretary of Energy with respect to energy production and 

construction, distribution and use, and directly related activities; and 

(c) by the Secretary of Homeland Security with respect to all other national 

defense programs, including civil defense and continuity of Government. 

Sec. 203. Maximizing Domestic Energy Supplies. The authorities of the President under section 101(c)(1)–(2) of the Act, 50 U.S.C. App. 2071(c)(1)– 

(2), are delegated to the Secretary of Commerce, with the exception that 

the authority to make findings that materials (including equipment), services, 

and facilities are critical and essential, as described in section 101(c)(2)(A) 

of the Act, 50 U.S.C. App. 2071(c)(2)(A), is delegated to the Secretary of 

Energy. 

Sec. 204. Chemical and Biological Warfare. The authority of the President 

conferred by section 104(b) of the Act, 50 U.S.C. App. 2074(b), is delegated 

to the Secretary of Defense. This authority may not be further delegated 

by the Secretary. 

PART III—EXPANSION OF PRODUCTIVE CAPACITY AND SUPPLY 

Sec. 301. Loan Guarantees. (a) To reduce current or projected shortfalls 

of resources, critical technology items, or materials essential for the national 

defense, the head of each agency engaged in procurement for the national 

defense, as defined in section 801(h) of this order, is authorized pursuant 

to section 301 of the Act, 50 U.S.C. App. 2091, to guarantee loans by 

private institutions. 

(b) Each guaranteeing agency is designated and authorized to: (1) act 

as fiscal agent in the making of its own guarantee contracts and in otherwise 

carrying out the purposes of section 301 of the Act; and (2) contract with 

any Federal Reserve Bank to assist the agency in serving as fiscal agent. 

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(c) Terms and conditions of guarantees under this authority shall be determined in consultation with the Secretary of the Treasury and the Director 

of the Office of Management and Budget (OMB). The guaranteeing agency 

is authorized, following such consultation, to prescribe: (1) either specifically 

or by maximum limits or otherwise, rates of interest, guarantee and commitment fees, and other charges which may be made in connection with such 

guarantee contracts; and (2) regulations governing the forms and procedures 

(which shall be uniform to the extent practicable) to be utilized in connection 

therewith. 

Sec. 302. Loans. To reduce current or projected shortfalls of resources, 

critical technology items, or materials essential for the national defense, 

the head of each agency engaged in procurement for the national defense 

is delegated the authority of the President under section 302 of the Act, 

50 U.S.C. App. 2092, to make loans thereunder. Terms and conditions of 

loans under this authority shall be determined in consultation with the 

Secretary of the Treasury and the Director of OMB. 

Sec. 303. Additional Authorities. (a) To create, maintain, protect, expand, 

or restore domestic industrial base capabilities essential for the national 

defense, the head of each agency engaged in procurement for the national 

defense is delegated the authority of the President under section 303 of 

the Act, 50 U.S.C. App. 2093, to make provision for purchases of, or commitments to purchase, an industrial resource or a critical technology item for 

Government use or resale, and to make provision for the development of 

production capabilities, and for the increased use of emerging technologies 

in security program applications, and to enable rapid transition of emerging 

technologies. 

(b) Materials acquired under section 303 of the Act, 50 U.S.C. App. 2093, 

that exceed the needs of the programs under the Act may be transferred 

to the National Defense Stockpile, if, in the judgment of the Secretary 

of Defense as the National Defense Stockpile Manager, such transfers are 

in the public interest. 

Sec. 304. Subsidy Payments. To ensure the supply of raw or nonprocessed 

materials from high-cost sources, or to ensure maximum production or supply 

in any area at stable prices of any materials in light of a temporary increase 

in transportation cost, the head of each agency engaged in procurement 

for the national defense is delegated the authority of the President under 

section 303(c) of the Act, 50 U.S.C. App. 2093(c), to make subsidy payments, 

after consultation with the Secretary of the Treasury and the Director of 

OMB. 

Sec. 305. Determinations and Findings. (a) Pursuant to budget authority 

provided by an appropriations act in advance for credit assistance under 

section 301 or 302 of the Act, 50 U.S.C. App. 2091, 2092, and consistent 

with the Federal Credit Reform Act of 1990, as amended (FCRA), 2 U.S.C. 

661 et seq., the head of each agency engaged in procurement for the national 

defense is delegated the authority to make the determinations set forth 

in sections 301(a)(2) and 302(b)(2) of the Act, in consultation with the 

Secretary making the required determination under section 202 of this order; 

provided, that such determinations shall be made after due consideration 

of the provisions of OMB Circular A–129 and the credit subsidy score 

for the relevant loan or loan guarantee as approved by OMB pursuant to 

FCRA. 

(b) Other than any determination by the President under section 303(a)(7)(b) 

of the Act, the head of each agency engaged in procurement for the national 

defense is delegated the authority to make the required determinations, 

judgments, certifications, findings, and notifications defined under section 

303 of the Act, 50 U.S.C. App. 2093, in consultation with the Secretary 

making the required determination under section 202 of this order. 

Sec. 306. Strategic and Critical Materials. The Secretary of Defense, and 

the Secretary of the Interior in consultation with the Secretary of Defense 

as the National Defense Stockpile Manager, are each delegated the authority 

of the President under section 303(a)(1)(B) of the Act, 50 U.S.C. App. 

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2093(a)(1)(B), to encourage the exploration, development, and mining of 

strategic and critical materials and other materials. 

Sec. 307. Substitutes. The head of each agency engaged in procurement 

for the national defense is delegated the authority of the President under 

section 303(g) of the Act, 50 U.S.C. App. 2093(g), to make provision for 

the development of substitutes for strategic and critical materials, critical 

components, critical technology items, and other resources to aid the national 

defense. 

Sec. 308. Government-Owned Equipment. The head of each agency engaged 

in procurement for the national defense is delegated the authority of the 

President under section 303(e) of the Act, 50 U.S.C. App. 2093(e), to: 

(a) procure and install additional equipment, facilities, processes, or improvements to plants, factories, and other industrial facilities owned by 

the Federal Government and to procure and install Government-owned equipment in plants, factories, or other industrial facilities owned by private 

persons; 

(b) provide for the modification or expansion of privately owned facilities, 

including the modification or improvement of production processes, when 

taking actions under sections 301, 302, or 303 of the Act, 50 U.S.C. App. 

2091, 2092, 2093; and 

(c) sell or otherwise transfer equipment owned by the Federal Government 

and installed under section 303(e) of the Act, 50 U.S.C. App. 2093(e), to 

the owners of such plants, factories, or other industrial facilities. 

Sec. 309. Defense Production Act Fund. The Secretary of Defense is designated the Defense Production Act Fund Manager, in accordance with section 304(f) of the Act, 50 U.S.C. App. 2094(f), and shall carry out the 

duties specified in section 304 of the Act, in consultation with the agency 

heads having approved, and appropriated funds for, projects under title 

III of the Act. 

Sec. 310. Critical Items. The head of each agency engaged in procurement 

for the national defense is delegated the authority of the President under 

section 107(b)(1) of the Act, 50 U.S.C. App. 2077(b)(1), to take appropriate 

action to ensure that critical components, critical technology items, essential 

materials, and industrial resources are available from reliable sources when 

needed to meet defense requirements during peacetime, graduated mobilization, and national emergency. Appropriate action may include restricting 

contract solicitations to reliable sources, restricting contract solicitations to 

domestic sources (pursuant to statutory authority), stockpiling critical components, and developing substitutes for critical components or critical technology items. 

Sec. 311. Strengthening Domestic Capability. The head of each agency engaged in procurement for the national defense is delegated the authority 

of the President under section 107(a) of the Act, 50 U.S.C. App. 2077(a), 

to utilize the authority of title III of the Act or any other provision of 

law to provide appropriate incentives to develop, maintain, modernize, restore, and expand the productive capacities of domestic sources for critical 

components, critical technology items, materials, and industrial resources 

essential for the execution of the national security strategy of the United 

States. 

Sec. 312. Modernization of Equipment. The head of each agency engaged 

in procurement for the national defense, in accordance with section 108(b) 

of the Act, 50 U.S.C. App. 2078(b), may utilize the authority of title III 

of the Act to guarantee the purchase or lease of advance manufacturing 

equipment, and any related services with respect to any such equipment 

for purposes of the Act. In considering title III projects, the head of each 

agency engaged in procurement for the national defense shall provide a 

strong preference for proposals submitted by a small business supplier or 

subcontractor in accordance with section 108(b)(2) of the Act, 50 U.S.C. 

App. 2078(b)(2). 

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PART IV—VOLUNTARY AGREEMENTS AND ADVISORY COMMITTEES 

Sec. 401. Delegations. The authority of the President under sections 708(c) 

and (d) of the Act, 50 U.S.C. App. 2158(c), (d), is delegated to the heads 

of agencies otherwise delegated authority under this order. The status of 

the use of such delegations shall be furnished to the Secretary of Homeland 

Security. 

Sec. 402. Advisory Committees. The authority of the President under section 

708(d) of the Act, 50 U.S.C. App. 2158(d), and delegated in section 401 

of this order (relating to establishment of advisory committees) shall be 

exercised only after consultation with, and in accordance with, guidelines 

and procedures established by the Administrator of General Services. 

Sec. 403. Regulations. The Secretary of Homeland Security, after approval 

of the Attorney General, and after consultation by the Attorney General 

with the Chairman of the Federal Trade Commission, shall promulgate rules 

pursuant to section 708(e) of the Act, 50 U.S.C. App. 2158(e), incorporating 

standards and procedures by which voluntary agreements and plans of action 

may be developed and carried out. Such rules may be adopted by other 

agencies to fulfill the rulemaking requirement of section 708(e) of the Act, 

50 U.S.C. App. 2158(e). 

PART V—EMPLOYMENT OF PERSONNEL 

Sec. 501. National Defense Executive Reserve. (a) In accordance with section 

710(e) of the Act, 50 U.S.C. App. 2160(e), there is established in the executive 

branch a National Defense Executive Reserve (NDER) composed of persons 

of recognized expertise from various segments of the private sector and 

from Government (except full-time Federal employees) for training for employment in executive positions in the Federal Government in the event 

of a national defense emergency. 

(b) The Secretary of Homeland Security shall issue necessary guidance 

for the NDER program, including appropriate guidance for establishment, 

recruitment, training, monitoring, and activation of NDER units and shall 

be responsible for the overall coordination of the NDER program. The authority of the President under section 710(e) of the Act, 50 U.S.C. App. 2160(e), 

to determine periods of national defense emergency is delegated to the 

Secretary of Homeland Security. 

(c) The head of any agency may implement section 501(a) of this order 

with respect to NDER operations in such agency. 

(d) The head of each agency with an NDER unit may exercise the authority 

under section 703 of the Act, 50 U.S.C. App. 2153, to employ civilian 

personnel when activating all or a part of its NDER unit. The exercise 

of this authority shall be subject to the provisions of sections 501(e) and 

(f) of this order and shall not be redelegated. 

(e) The head of an agency may activate an NDER unit, in whole or 

in part, upon the written determination of the Secretary of Homeland Security 

that an emergency affecting the national defense exists and that the activation 

of the unit is necessary to carry out the emergency program functions of 

the agency. 

(f) Prior to activating the NDER unit, the head of the agency shall notify, 

in writing, the Assistant to the President for Homeland Security and Counterterrorism of the impending activation. 

Sec. 502. Consultants. The head of each agency otherwise delegated functions 

under this order is delegated the authority of the President under sections 

710(b) and (c) of the Act, 50 U.S.C. App. 2160(b), (c), to employ persons 

of outstanding experience and ability without compensation and to employ 

experts, consultants, or organizations. The authority delegated by this section 

may not be redelegated. 

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PART VI—LABOR REQUIREMENTS 

Sec. 601. Secretary of Labor. (a) The Secretary of Labor, in coordination 

with the Secretary of Defense and the heads of other agencies, as deemed 

appropriate by the Secretary of Labor, shall: 

(1) collect and maintain data necessary to make a continuing appraisal 

of the Nation’s workforce needs for purposes of national defense; 

(2) upon request by the Director of Selective Service, and in coordination 

with the Secretary of Defense, assist the Director of Selective Service 

in development of policies regulating the induction and deferment of 

persons for duty in the armed services; 

(3) upon request from the head of an agency with authority under this 

order, consult with that agency with respect to: (i) the effect of contemplated actions on labor demand and utilization; (ii) the relation of 

labor demand to materials and facilities requirements; and (iii) such other 

matters as will assist in making the exercise of priority and allocations 

functions consistent with effective utilization and distribution of labor; 

(4) upon request from the head of an agency with authority under this 

order: (i) formulate plans, programs, and policies for meeting the labor 

requirements of actions to be taken for national defense purposes; and 

(ii) estimate training needs to help address national defense requirements 

and promote necessary and appropriate training programs; and 

(5) develop and implement an effective labor-management relations policy 

to support the activities and programs under this order, with the cooperation of other agencies as deemed appropriate by the Secretary of Labor, 

including the National Labor Relations Board, the Federal Labor Relations 

Authority, the National Mediation Board, and the Federal Mediation and 

Conciliation Service. 

(b) All agencies shall cooperate with the Secretary of Labor, upon request, 

for the purposes of this section, to the extent permitted by law. 

PART VII—DEFENSE PRODUCTION ACT COMMITTEE 

Sec. 701. The Defense Production Act Committee. (a) The Defense Production 

Act Committee (Committee) shall be composed of the following members, 

in accordance with section 722(b) of the Act, 50 U.S.C. App. 2171(b): 

(1) The Secretary of State; 

(2) The Secretary of the Treasury; 

(3) The Secretary of Defense; 

(4) The Attorney General; 

(5) The Secretary of the Interior; 

(6) The Secretary of Agriculture; 

(7) The Secretary of Commerce; 

(8) The Secretary of Labor; 

(9) The Secretary of Health and Human Services; 

(10) The Secretary of Transportation; 

(11) The Secretary of Energy; 

(12) The Secretary of Homeland Security; 

(13) The Director of National Intelligence; 

(14) The Director of the Central Intelligence Agency; 

(15) The Chair of the Council of Economic Advisers; 

(16) The Administrator of the National Aeronautics and Space Administration; and 

(17) The Administrator of General Services. 

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(b) The Director of OMB and the Director of the Office of Science and 

Technology Policy shall be invited to participate in all Committee meetings 

and activities in an advisory role. The Chairperson, as designated by the 

President pursuant to section 722 of the Act, 50 U.S.C. App. 2171, may 

invite the heads of other agencies or offices to participate in Committee 

meetings and activities in an advisory role, as appropriate. 

Sec. 702. Offsets. The Secretary of Commerce shall prepare and submit 

to the Congress the annual report required by section 723 of the Act, 50 

U.S.C. App. 2172, in consultation with the Secretaries of State, the Treasury, 

Defense, and Labor, the United States Trade Representative, the Director 

of National Intelligence, and the heads of other agencies as appropriate. 

The heads of agencies shall provide the Secretary of Commerce with such 

information as may be necessary for the effective performance of this function. 

PART VIII—GENERAL PROVISIONS 

Sec. 801. Definitions. In addition to the definitions in section 702 of the 

Act, 50 U.S.C. App. 2152, the following definitions apply throughout this 

order: 

(a) ‘‘Civil transportation’’ includes movement of persons and property 

by all modes of transportation in interstate, intrastate, or foreign commerce 

within the United States, its territories and possessions, and the District 

of Columbia, and related public storage and warehousing, ports, services, 

equipment and facilities, such as transportation carrier shop and repair 

facilities. ‘‘Civil transportation’’ also shall include direction, control, and 

coordination of civil transportation capacity regardless of ownership. ‘‘Civil 

transportation’’ shall not include transportation owned or controlled by the 

Department of Defense, use of petroleum and gas pipelines, and coal slurry 

pipelines used only to supply energy production facilities directly. 

(b) ‘‘Energy’’ means all forms of energy including petroleum, gas (both 

natural and manufactured), electricity, solid fuels (including all forms of 

coal, coke, coal chemicals, coal liquification, and coal gasification), solar, 

wind, other types of renewable energy, atomic energy, and the production, 

conservation, use, control, and distribution (including pipelines) of all of 

these forms of energy. 

(c) ‘‘Farm equipment’’ means equipment, machinery, and repair parts manufactured for use on farms in connection with the production or preparation 

for market use of food resources. 

(d) ‘‘Fertilizer’’ means any product or combination of products that contain 

one or more of the elements nitrogen, phosphorus, and potassium for use 

as a plant nutrient. 

(e) ‘‘Food resources’’ means all commodities and products, (simple, mixed, 

or compound), or complements to such commodities or products, that are 

capable of being ingested by either human beings or animals, irrespective 

of other uses to which such commodities or products may be put, at all 

stages of processing from the raw commodity to the products thereof in 

vendible form for human or animal consumption. ‘‘Food resources’’ also 

means potable water packaged in commercially marketable containers, all 

starches, sugars, vegetable and animal or marine fats and oils, seed, cotton, 

hemp, and flax fiber, but does not mean any such material after it loses 

its identity as an agricultural commodity or agricultural product. 

(f) ‘‘Food resource facilities’’ means plants, machinery, vehicles (including 

on farm), and other facilities required for the production, processing, distribution, and storage (including cold storage) of food resources, and for the 

domestic distribution of farm equipment and fertilizer (excluding transportation thereof). 

(g) ‘‘Functions’’ include powers, duties, authority, responsibilities, and 

discretion. 

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(h) ‘‘Head of each agency engaged in procurement for the national defense’’ 

means the heads of the Departments of State, Justice, the Interior, and 

Homeland Security, the Office of the Director of National Intelligence, the 

Central Intelligence Agency, the National Aeronautics and Space Administration, the General Services Administration, and all other agencies with authority delegated under section 201 of this order. 

(i) ‘‘Health resources’’ means drugs, biological products, medical devices, 

materials, facilities, health supplies, services and equipment required to 

diagnose, mitigate or prevent the impairment of, improve, treat, cure, or 

restore the physical or mental health conditions of the population. 

(j) ‘‘National defense’’ means programs for military and energy production 

or construction, military or critical infrastructure assistance to any foreign 

nation, homeland security, stockpiling, space, and any directly related activity. Such term includes emergency preparedness activities conducted pursuant to title VI of the Robert T. Stafford Disaster Relief and Emergency 

Assistance Act, 42 U.S.C. 5195 et seq., and critical infrastructure protection 

and restoration. 

(k) ‘‘Offsets’’ means compensation practices required as a condition of 

purchase in either government-to-government or commercial sales of defense 

articles and/or defense services as defined by the Arms Export Control 

Act, 22 U.S.C. 2751 et seq., and the International Traffic in Arms Regulations, 

22 C.F.R. 120.1–130.17. 

(l) ‘‘Special priorities assistance’’ means action by resource departments 

to assist with expediting deliveries, placing rated orders, locating suppliers, 

resolving production or delivery conflicts between various rated orders, addressing problems that arise in the fulfillment of a rated order or other 

action authorized by a delegated agency, and determining the validity of 

rated orders. 

(m) ‘‘Strategic and critical materials’’ means materials (including energy) 

that (1) would be needed to supply the military, industrial, and essential 

civilian needs of the United States during a national emergency, and (2) 

are not found or produced in the United States in sufficient quantities 

to meet such need and are vulnerable to the termination or reduction of 

the availability of the material. 

(n) ‘‘Water resources’’ means all usable water, from all sources, within 

the jurisdiction of the United States, that can be managed, controlled, and 

allocated to meet emergency requirements, except ‘‘water resources’’ does 

not include usable water that qualifies as ‘‘food resources.’’ 

Sec. 802. General. (a) Except as otherwise provided in section 802(c) of 

this order, the authorities vested in the President by title VII of the Act, 

50 U.S.C. App. 2151 et seq., are delegated to the head of each agency 

in carrying out the delegated authorities under the Act and this order, 

by the Secretary of Labor in carrying out part VI of this order, and by 

the Secretary of the Treasury in exercising the functions assigned in Executive 

Order 11858, as amended. 

(b) The authorities that may be exercised and performed pursuant to 

section 802(a) of this order shall include: 

(1) the power to redelegate authorities, and to authorize the successive 

redelegation of authorities to agencies, officers, and employees of the 

Government; and 

(2) the power of subpoena under section 705 of the Act, 50 U.S.C. App. 

2155, with respect to (i) authorities delegated in parts II, III, and section 

702 of this order, and (ii) the functions assigned to the Secretary of 

the Treasury in Executive Order 11858, as amended, provided that the 

subpoena power referenced in subsections (i) and (ii) shall be utilized 

only after the scope and purpose of the investigation, inspection, or inquiry 

to which the subpoena relates have been defined either by the appropriate 

officer identified in section 802(a) of this order or by such other person 

or persons as the officer shall designate. 

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16660 Federal Register / Vol. 77, No. 56 / Thursday, March 22, 2012 / Presidential Documents 

(c) Excluded from the authorities delegated by section 802(a) of this order 

are authorities delegated by parts IV and V of this order, authorities in 

section 721 and 722 of the Act, 50 U.S.C. App. 2170–2171, and the authority 

with respect to fixing compensation under section 703 of the Act, 50 U.S.C. 

App. 2153. 

Sec. 803. Authority. (a) Executive Order 12919 of June 3, 1994, and sections 

401(3)–(4) of Executive Order 12656 of November 18, 1988, are revoked. 

All other previously issued orders, regulations, rulings, certificates, directives, 

and other actions relating to any function affected by this order shall remain 

in effect except as they are inconsistent with this order or are subsequently 

amended or revoked under proper authority. Nothing in this order shall 

affect the validity or force of anything done under previous delegations 

or other assignment of authority under the Act. 

(b) Nothing in this order shall affect the authorities assigned under Executive Order 11858 of May 7, 1975, as amended, except as provided in section 

802 of this order. 

(c) Nothing in this order shall affect the authorities assigned under Executive Order 12472 of April 3, 1984, as amended. 

Sec. 804. General Provisions. (a) Nothing in this order shall be construed 

to impair or otherwise affect functions of the Director of OMB relating 

to budgetary, administrative, or legislative proposals. 

(b) This order shall be implemented consistent with applicable law and 

subject to the availability of appropriations. 

(c) This order is not intended to, and does not, create any right or benefit, 

substantive or procedural, enforceable at law or in equity by any party 

against the United States, its departments, agencies, or entities, its officers, 

employees, or agents, or any other person. 

THE WHITE HOUSE, 

March 16, 2012. 

[FR Doc. 2012–7019 

Filed 3–21–12; 8:45 am] 

Billing code 3295–F2–P 


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