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[Federal Register Volume 80, Number 11 (Friday, January 16, 2015)]
[Rules and Regulations]
[Pages 2286-2291]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-00590]

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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.

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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 Sec.  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

[[Page 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 anti-terrorism.
    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 
non-governmental 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 anti-
terrorism reasons.

Expansion of License Exception Consumer Communications Devices (CCD)

    This rule revises License Exception Consumer Communications Devices 
(CCD) in Sec.  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 Sec.  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 Sec.  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 Sec.  740.12 of the EAR

[[Page 2288]]

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 Sec.  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, Sec.  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, Sec.  
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 Sec.  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 Sec.  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

[[Page 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]

0
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]

0
2. In Supplement No. 1 to Part 736, paragraph (d) General Order No. 4 
is removed and reserved.

PART 740--[AMENDED]

0
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).

Sec.  740.12--[Amended]  

0
4. Section 740.12 is amended by removing the note to paragraph (a).

0
5. Section 740.19 is amended by:
0
a. Revising paragraph (a);
0
b. Revising paragraph (b);
0
c. Removing paragraph (c); and
0
d. Redesignating paragraph (d) as paragraph (c).
    The revisions read as follows:

Sec.  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.
* * * * *

0
6. Section 740.21 is added to read as follows:

Sec.  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

[[Page 2290]]

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 
graduate-level 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]

0
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).

0
8. Section 746.2 is amended by:
0
a. Adding a paragraph (a)(1)(xiv);
0
b. Revising paragraph (b)(2);
0
c. Revising paragraph (b)(4)(i);
0
d. Revising paragraph (b)(4)(ii); and
0
e. Adding a paragraph (b)(6) to read as follows:

Sec.  746.2  Cuba.

    (a) * * *
    (1) * * *
    (xiv) License Exception Support for the Cuban People (SCP) (see 
Sec.  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 counter-terrorism 
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]

0
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).

Sec.  748.8--[Amended]  

0
8. In Sec.  748.8, remove and reserve paragraph (d).

[[Page 2291]]

Supplement No. 2 to Part 748--[Amended]

0
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
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