13210 Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 

Availability and Summary of 

Documents for Incorporation by 

Reference 

This document amends FAA Order 

7400.9Y, Airspace Designations and 

Reporting Points, dated August 6, 2014, 

and effective September 15, 2014. FAA 

Order 7400.9Y is publicly available as 

listed in the ADDRESSES section of this 

final rule. FAA Order 7400.9Y lists 

Class A, B, C, D, and E airspace areas, 

air traffic service routes, and reporting 

points. 

The Rule 

This amendment to Title 14, Code of 

Federal Regulations (14 CFR) part 71 

establishes Class E en route domestic 

airspace extending upward from 1,200 

feet above the surface at Bend, OR. By 

this action, aircraft are contained while 

in IFR conditions under control of 

Seattle ARTCC by vectoring aircraft 

from en route airspace to terminal areas. 

This action enhances the safety and 

management of controlled airspace 

within the NAS. 

The FAA has determined that this 

regulation only involves an established 

body of technical regulations for which 

frequent and routine amendments are 

necessary to keep them operationally 

current, is non-controversial and 

unlikely to result in adverse or negative 

comments. It, therefore, (1) is not a 

‘‘significant regulatory action’’ under 

Executive Order 12866; (2) is not a 

‘‘significant rule’’ under DOT 

Regulatory Policies and Procedures (44 

FR 11034; February 26, 1979); and (3) 

does not warrant preparation of a 

Regulatory Evaluation as the anticipated 

impact is so minimal. Since this is a 

routine matter that only affects air traffic 

procedures and air navigation, it is 

certified that this rule, when 

promulgated, does not have a significant 

economic impact on a substantial 

number of small entities under the 

criteria of the Regulatory Flexibility Act. 

The FAA’s authority to issue rules 

regarding aviation safety is found in 

Title 49 of the United States Code. 

Subtitle I, Section 106 describes the 

authority of the FAA Administrator. 

Subtitle VII, Aviation Programs, 

describes in more detail the scope of the 

agency’s authority. This rulemaking is 

promulgated under the authority 

described in Subtitle VII, Part A, 

Subpart I, Section 40103. Under that 

section, the FAA is charged with 

prescribing regulations to assign the use 

of airspace necessary to ensure the 

safety of aircraft and the efficient use of 

airspace. This regulation is within the 

scope of that authority as it establishes 

controlled airspace at Bend, OR. 

Environmental Review 

The FAA has determined that this 

action qualifies for categorical exclusion 

under the National Environmental 

Policy Act in accordance with FAA 

Order 1050.1E, ‘‘Environmental 

Impacts: Policies and Procedures,’’ 

paragraph 311a. This airspace action is 

not expected to cause any potentially 

significant environmental impacts, and 

no extraordinary circumstances exist 

that warrant preparation of an 

environmental assessment. 

Lists of Subjects in 14 CFR Part 71 

Airspace, Incorporation by reference, 

Navigation (air). 

Adoption of the Amendment 

In consideration of the foregoing, the 

Federal Aviation Administration 

amends 14 CFR part 71 as follows: 

PART 71—DESIGNATION OF CLASS A, 

B, C, D, AND E AIRSPACE AREAS; AIR 

TRAFFIC SERVICE ROUTES; AND 

REPORTING POINTS 

■ 1. The authority citation for Part 71 

continues to read as follows: 

Authority: 49 U.S.C. 106(g); 40103, 40113, 

40120; E.O. 10854, 24 FR 9565, 3 CFR, 1959– 

1963 Comp., p. 389. 

§ 71.1 [Amended] 

■ 2. The incorporation by reference in 

14 CFR 71.1 of FAA Order 7400.9Y, 

Airspace Designations and Reporting 

Points, dated August 6, 2014, and 

effective September 15, 2014, is 

amended as follows: 

Paragraph 6006 En route domestic airspace 

areas. 

* * * * * 

ANM WA E6 Bend, OR [New] 

Bend, OR 

That airspace extending upward from 

1,200 feet above the surface within an area 

bounded by a line beginning at lat. 45°09′13′′ 

N., long. 119°01′43′′ W.; to lat. 43°41′51′′ N., 

long. 120°00′19′′ W.; to lat. 43°27′19′′ N., 

long. 119°56′31′′ W.; to lat. 42°50′00′′ N., 

long. 124°50′00′′ W.; to lat. 46°15′00′′ N., 

long. 124°30′00′′ W.; to lat. 46°23′19′′ N., 

long. 121°07′50′′ W.; thence to the point of 

beginning, excluding that airspace beyond 

12-miles of the shoreline. 

Issued in Seattle, Washington, on February 

27, 2015. 

Johanna Forkner, 

Acting Manager, Operations Support Group, 

Western Service Center, AJV–W2. 

[FR Doc. 2015–05704 Filed 3–12–15; 8:45 am] 

BILLING CODE 4910–13–P 

DEPARTMENT OF COMMERCE 

Bureau of Industry and Security 

15 CFR Parts 742, 748 and 762 

[Docket No. 131018874–5199–02] 

RIN 0694–AG00 

Revisions To Support Document 

Requirements for License Applications 

Under the Export Administration 

Regulations 

AGENCY: Bureau of Industry and 

Security, Department of Commerce. 

ACTION: Final rule. 

SUMMARY: This rule finalizes changes to 

the support document requirements for 

license applications submitted to the 

Bureau of Industry and Security (BIS) 

and is part of BIS’s retrospective 

regulatory review under Executive 

Order 13563. In addition to clarifying 

and streamlining the support document 

requirements for license applications in 

part 748 of the Export Administration 

Regulations (EAR), this final rule 

removes the requirement to obtain an 

International Import Certificate or 

Delivery Verification in connection with 

a license application and limits the 

requirement to obtain a Statement by 

Ultimate Consignee and Purchaser to 

exports, reexports, and transfers (incountry) of 600 Series Major Defense 

Equipment. Revisions to the EAR 

affecting BIS’s participation in issuing 

documents for the Import Certificate 

and Delivery Verification system for 

imports into the United States will be 

addressed in a future final rule, as will 

potential substantive changes to 

information collections under the 

Paperwork Reduction Act. 

DATES: This rule is effective March 13, 

2015. 

FOR FURTHER INFORMATION CONTACT: 

Patricia Muldonian, Office of National 

Security and Technology Transfer 

Controls, 202–482–4479, 

patricia.muldonian@bis.doc.gov, or 

Steven Emme, Office of the Assistant 

Secretary for Export Administration, 

202–482–5491, steven.emme@

bis.doc.gov. 

SUPPLEMENTARY INFORMATION: 

Background 

On April 9, 2014, the Bureau of 

Industry and Security (BIS) published a 

proposed rule (79 FR 19552) 

(hereinafter, the ‘‘April 9 rule’’) to revise 

the support document requirements of 

the Export Administration Regulations 

(EAR). This proposed rule was part of 

BIS’s retrospective regulatory review 

being undertaken under Executive 


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Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 13211 

Order 13563, which requires each 

agency to ‘‘periodically review its 

existing significant regulations to 

determine whether any such regulations 

should be modified, streamlined, 

expanded, or repealed so as to make the 

agency’s regulatory program more 

effective or less burdensome in 

achieving the regulatory objectives.’’ 

The EAR’s support document 

requirements are largely premised on 

the Import Certificate/Delivery 

Verification (IC/DV) system. As 

described in the proposed rule, the IC/ 

DV system, while intended to prevent 

diversion and increase awareness 

among participating countries of 

potential enforcement concerns, has 

limited utility today and imposes 

unnecessary burdens on license 

applicants and BIS. 

To further the aims of Executive 

Order 13563, BIS proposed to 

streamline and clarify the support 

document requirements as well as 

reduce unnecessary burdens for license 

applicants by removing the requirement 

to obtain International Import 

Certificates (ICs) for applications and by 

increasing the value threshold for 

requiring a Statement by Ultimate 

Consignee and Purchaser for an 

application. In addition, BIS proposed 

to eliminate the agency’s participation 

in issuing United States ICs, ICs with 

triangular transaction stamp, and DV 

certificates. The proposals to change 

BIS’s participation in issuing U.S. ICs 

and DVs will be addressed in a 

subsequent final rule. In addition, any 

other changes that substantively affect 

information collection burden hour 

estimates under the Paperwork 

Reduction Act will also be addressed in 

the subsequent, final rule. 

In response to the proposed rule, BIS 

received eight public comments. 

Generally, commenters believed that the 

proposed rule provided greater clarity 

and flexibility, streamlined 

requirements, and ended outdated and 

ineffective requirements under the IC/

DV system. However, to address public 

comments and to further the aims of 

Executive Order 13563, BIS is making 

additional changes to the proposed rule, 

as described herein. This final rule 

changes the implementation of the IC/

DV system. That system is not 

addressed in the Wassenaar 

Arrangement Initial Elements nor is 

there an applicable U.S. statutory 

requirement for the system. A summary 

of the public comments and changes 

made to the proposed rule are addressed 

below. 

Support Document Requirements for 

License Applications Submitted to BIS 

Elimination of Import Certificate 

Requirement and Changes to 

Requirement to Obtain Statement by 

Ultimate Consignee and Purchaser 

The April 9 rule would have 

eliminated the requirement to obtain an 

IC in conjunction with a BIS license 

application, and instead proposed the 

imposition of a requirement to obtain a 

Statement by Ultimate Consignee and 

Purchaser for certain license 

applications for commodities destined 

for countries (other than the People’s 

Republic of China (PRC)) or territories 

not in the ‘‘Americas’’ (as proposed to 

be defined in § 772.1). This final rule 

maintains the elimination of Import 

Certificates but also limits the scope of 

applications requiring a Statement by 

Ultimate Consignee and Purchaser. 

Commenters largely supported the 

proposal to eliminate the requirement to 

obtain ICs. They stated that the proposal 

would eliminate an outdated, 

burdensome requirement that creates 

red tape and obstacles for U.S. exporters 

that are not faced by exporters in other 

countries. One commenter, however, 

disagreed and stated that some U.S. 

exporters and their foreign affiliates 

have established timely procedures for 

obtaining ICs. Further, the commenter 

stated that the IC notifies the 

government that items controlled for 

national security reasons are being 

imported and that the government 

commits to take responsibility for any 

subsequent exports of the items. While 

some U.S. exporters may have 

developed efficient procedures for 

handling the IC requirement, such 

procedures do not justify the imposition 

of a burdensome requirement that 

provides little utility. In addition, BIS 

believes that the commenter overstates 

the purpose of the IC requirement. The 

IC only notifies the government of the 

importing country that the national 

security controlled items are planned to 

be imported into the country. Also, it is 

not the role of the government to take 

responsibility for subsequent exports; 

under U.S. law, the exporter must 

comply with any applicable 

requirements for the subsequent export 

of items subject to the EAR or other 

applicable regulations. 

While commenters largely supported 

the elimination of the IC requirement, 

some commenters expressed concerns 

about requiring a Statement by Ultimate 

Consignee and Purchaser for 

commodities controlled for national 

security reasons valued over $50,000 

and destined for a location not in the 

PRC or the ‘‘Americas.’’ Three 

commenters stated that the proposed 

requirement would still be more 

restrictive than the International Traffic 

in Arms Regulations (ITAR), 22 CFR 

parts 120–130. The commenters stated 

that under the ITAR, the DSP–83 

Nontransfer and Use Certificate is the 

equivalent support document for license 

applications to the Department of State’s 

Directorate of Defense Trade Controls 

(DDTC), and the DSP–83 is only 

required for significant military 

equipment (SME), as defined in § 120.7 

of the ITAR. Thus, for 600 series items 

and 9x515 spacecraft items transitioning 

from the USML to the CCL, the 

proposed support document 

requirements would actually be more 

burdensome under the EAR than the 

ITAR. Further, one commenter also 

stated that requiring a Statement by 

Ultimate Consignee and Purchaser 

would prevent industry in allied 

countries from optimizing procurement 

of U.S. equipment for ‘‘long lead items 

or bulk procurement’’ in advance of 

identifying a customer. The commenter 

stated that such capability is necessary 

for affordability and timeliness of space 

and military assets for U.S. allies and 

that imposing a more strict support 

document requirement than the ITAR is 

inconsistent for items that have been 

deemed to not require the strictest 

controls of the ITAR. 

In order to address these concerns, 

commenters provided different 

suggestions. Two commenters suggested 

requiring a Statement by Ultimate 

Consignee and Purchaser for items on 

the Wassenaar Very Sensitive List. One 

commenter suggested the requirement 

be tied to countries in Country Group 

D:5 and that the value threshold be 

raised to $1 million. Also, one 

commenter suggested amending the 

scope of locations subject to the 

requirement by pointing out that many 

allied countries, such as those in NATO, 

would be subject to the requirement as 

they are not part of the exclusion for the 

‘‘Americas.’’ 

BIS agrees that the EAR should not 

impose additional or more burdensome 

requirements than the ITAR, and has 

repeated this assertion in many Federal 

Register publications pertaining to 

Export Control Reform (see e.g., 

Proposed Revisions to the Export 

Administration Regulations: 

Implementation of Export Control 

Reform; Revisions to License Exceptions 

After Retrospective Regulatory Review, 

77 FR 37524 (June 21, 2012); Revisions 

to the Export Administration 

Regulations: Initial Implementation of 

Export Control Reform, 78 FR 22660 

(Apr. 16, 2013)). 


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The support document requirements 

should not hinder the benefits 

articulated under ECR by imposing 

more strict requirements for items 

moving to the EAR that do not warrant 

the controls of the ITAR. In addition, 

non-munitions items subject to the EAR 

should not have more onerous support 

document requirements than those 

items providing a critical military or 

intelligence capability that are listed on 

the USML. Consequently, in addition to 

removing the IC requirement, BIS is 

amending § 748.11(a)(1) to limit the 

requirement to obtain a Statement by 

Ultimate Consignee and Purchaser to 

commodities that are ‘‘600 Series Major 

Defense Equipment.’’ BIS agrees with 

the approach stated by one commenter 

that the requirement should match the 

ITAR in focusing on the type of item 

rather than situational parameters, such 

as value. BIS believes that using ‘‘600 

Series Major Defense Equipment’’ best 

follows this approach and avoids 

requiring greater support document 

requirements for items subject to the 

EAR than items subject to the ITAR. 

With this change to the requirement 

for providing a Statement by Ultimate 

Consignee and Purchaser, BIS is also 

eliminating the proposed $50,000 value 

threshold and the exclusion for 

locations in the ‘‘Americas.’’ All 

commodities that are ‘‘600 Series Major 

Defense Equipment,’’ as defined in 

§ 772.1, will require a Statement by 

Ultimate Consignee and Purchaser to 

any destination other than the PRC, 

regardless of value. However, BIS will 

maintain discretion to require 

applicants to obtain a Statement by 

Ultimate Consignee and Purchaser for a 

license application that would not 

otherwise require one. Also, BIS may 

add, as a condition on a license, a 

requirement to obtain a Statement by 

Ultimate Consignee and Purchaser or a 

purchase order prior to shipment. Such 

requests may be common for license 

applications involving items controlled 

for Nuclear Nonproliferation, Chemical 

and Biological Weapons, or Missile 

Technology reasons to countries in 

Country Group D:2, D:3, or D:4, 

respectively. Additional changes to the 

proposed rule on the requirement to 

obtain a Statement by Ultimate 

Consignee and Purchaser are reflected 

below under changes to § 748.11. 

Because this final rule removes the 

requirement to obtain an IC in 

conjunction with a license application 

submitted to BIS, this final rule also 

removes the requirement to obtain a DV 

in conjunction with a license 

application. This is reflected in the 

removal of text in prior § 748.13 and 

Supplement No. 4 to part 748. BIS did 

not receive any public comments on this 

topic. 

Section 748.6—General Instructions for 

License Applications 

The April 9 rule proposed to revise 

§ 748.6(a) to provide greater clarity on 

general instructions for license 

applications and support documents, 

reference the specific requirements for 

support documents in proposed 

§§ 748.9 through 748.13, and refer to a 

new chart in Supplement No. 4 to part 

748. BIS did not receive any public 

comments on § 748.6, and this final rule 

adopts that language with one 

exception. Because this final rule 

removes the proposed chart in 

Supplement No. 4 (as further explained 

herein), the sentence referencing the 

chart has been deleted. 

Section 748.9—General Instructions for 

Support Documents 

In the proposed rule, § 748.9 

described the scope of support 

document requirements for license 

applications; the type of applications 

requiring a support document (i.e., PRC 

End-User Statement, Statement by 

Ultimate Consignee and Purchaser, or 

Firearms Convention (FC) Import 

Certificate); exceptions to such 

requirements; content requirements; 

recordkeeping requirements; and other 

general requirements. This final rule 

largely adopts the description set forth 

in § 748.9 with additional modifications 

based on public comments and other 

changes, as described below. 

Two commenters requested that BIS 

insert a clarifying note that applicants 

are not required to obtain support 

documents from end users. BIS did not 

accept this recommendation because the 

proposed rule did not include a 

requirement that applicants must obtain 

a support document from end users. 

However, if an end user is also an 

ultimate consignee on the license 

application, then that end user would be 

subject to applicable support document 

requirements. In addition, BIS notes that 

the agency may request additional 

information from any party listed on the 

license application, including end users. 

Two commenters recommended that 

BIS delete the phrase, ‘‘for certain 

transactions’’ from proposed 

§ 748.9(b)(1), which described the 

support document requirements for 

license applications involving the PRC. 

BIS does not accept this 

recommendation as not all license 

applications involving the PRC require 

a PRC End-User Statement. Thus, the 

qualifying phrase is needed. With 

respect to the scope of the requirements 

for a Statement by Ultimate Consignee 

and Purchaser and for an FC Import 

Certificate, two commenters 

recommended that the Organization of 

American States (OAS) be made new 

Country Group A:7 and that ‘‘Americas’’ 

be replaced with ‘‘destinations not 

identified in Country Group A:7.’’ BIS 

rejects these recommendations as the 

term ‘‘Americas’’ is removed under this 

final rule due to the changes to 

requirements for the Statement by 

Ultimate Consignee and Purchaser, as 

described above. Further, since the OAS 

is only used in conjunction with one 

requirement under the EAR, BIS 

believes it is inappropriate to make it a 

Country Group so this final rule 

continues to list the countries in 

§ 748.12. 

One commenter pointed out that 

proposed § 748.9(b)(1)–(b)(3) used the 

term ‘‘ultimately destined’’ with respect 

to the PRC End-User Statement and 

Statement by Ultimate Consignee and 

Purchaser, but only used ‘‘destined’’ for 

the FC Import Certificate. Under this 

final rule, this wording no longer 

appears in new § 748.9(b) because the 

description for the requirements to 

obtain a support document has been 

further streamlined. However, this final 

rule only uses ‘‘destined’’ in 

§§ 748.10(a), 748.11(a), and 748.12(a) 

when describing the requirements for 

the three support documents. 

One commenter stated that the final 

rule should remove any ambiguity over 

whether support documents must be 

submitted as part of the license 

application, and the commenter cited to 

differing requirements in § 748.9(f), (g), 

and (i). Additionally, with respect to 

PRC End-User Statements, two 

commenters recommended that 

proposed § 748.10(d)(1) be revised to 

allow for applications requiring a PRC 

End-User Statement to be submitted to 

BIS prior to the PRC’s issuance of the 

statement, and condition the license 

such that no items may be shipped 

under the license until the statement is 

obtained by the applicant. 

BIS agrees that the final rule should 

remove ambiguity on this topic, but BIS 

only partially accepts the 

recommendation regarding the PRC 

End-User Statement. This final rule 

adds new § 748.9(e)(1), which applies to 

all support documents required under 

the EAR. Unless BIS informs an 

applicant that a support document must 

be submitted with a specific 

application, the applicant may submit 

an application prior to receipt of a copy 

of the support document. However, 

rather than conditioning the license, 

new § 748.9(e)(1) provides that the 

license holder may not ship items 

authorized on the license until 


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Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 13213 

obtaining a copy of the support 

document. Thus, for those applications 

BIS believes require support 

documentation in addition to that 

specified in part 748, BIS will have 

discretion to consider a support 

document contemporaneous with the 

license application. For all other 

applications, applicants may obtain the 

support document after submitting the 

application. However, applicants may 

not ship prior to receipt of a copy of the 

support document, and they must retain 

the original or a copy of the document 

in conformance with the recordkeeping 

requirements of the EAR (see further 

below for a discussion on allowing 

retention of copies). 

One commenter noted that there was 

no exception to the support document 

requirements when the U.S. 

Government is an end user in a foreign 

country in proposed § 748.9(d)(1). BIS 

agrees that for transactions for which 

License Exception GOV is not available, 

the U.S. Government should not have to 

supply a support document. Therefore, 

this final rule adds a new exception in 

new § 748.9(c)(1) for when the 

purchaser or ultimate consignee is an 

‘‘Agency of the United States 

Government,’’ as defined in 

§ 740.11(b)(1). If another party listed on 

the license application is an ultimate 

consignee or purchaser and does not 

qualify for an exception listed under 

new § 748.9(c)(1), then such party is still 

subject to any applicable support 

document requirements. 

One commenter requested guidance 

on a situation where a support 

document may be required under 

proposed § 748.9(d)(1)(i), which 

described the exception to support 

document requirements for foreign 

governments excluding the PRC. Under 

this final rule, if a license application 

involving the export of 600 series MDE 

lists a non-governmental entity as a 

purchaser and a foreign government 

agency (excluding an agency of the PRC) 

as an ultimate consignee and end user, 

then a Statement by Ultimate Consignee 

and Purchaser would be required from 

the purchaser but not the ultimate 

consignee. One commenter questioned 

whether the English translation 

requirement for proposed § 748.9(e)(1), 

should be included in that section. BIS 

confirms that the English translation 

requirement should be in § 748.9 as the 

requirement applies to all support 

documents. 

For proposed § 748.9(f)(1), two 

commenters stated that obtaining an 

electronic copy of a support document 

should suffice and thus the requirement 

to obtain an original support document 

should be removed. BIS agrees and has 

removed references to obtaining an 

original version of the support 

document throughout this final rule. 

Two commenters recommended striking 

the reference to ‘‘import certificate’’ in 

proposed § 748.9(h). Proposed § 748.9(h) 

applied to the grace period for 

complying with the support document 

requirements following a regulatory 

change. Given that this final rule 

removes the requirement to obtain an IC 

for any license application, BIS is 

changing the reference from ‘‘import 

certificate’’ to ‘‘FC Import Certificate’’ 

since future regulatory changes may 

affect the requirements for that support 

document. 

To further streamline and clarify the 

support document requirements, BIS is 

making additional changes to this 

section. First, since the final rule further 

simplifies the support document 

requirements, BIS eliminated much of 

the text in new § 748.9(b) to eliminate 

redundancy. The specific requirements 

triggering a support document 

requirement are now fully described in 

the applicable section applying to the 

specific support document. Also, this 

final rule adds a new note to § 748.9(b) 

to make more clear that BIS may request 

that an applicant obtain a support 

document for any application. 

This final rule also removes the 

distinction for support document 

requirements applying to reexport and 

in-country transfer license applications. 

This change simplifies the 

requirements, and given the changes for 

ICs and Statements by Ultimate 

Consignee and Purchaser described 

above, the only impact would be to 

require a Statement by Ultimate 

Consignee and Purchaser for 600 series 

MDE destined for a country not in 

Country Group D:1 or E:1. New 

§ 748.9(d)(2)(i), which addresses 

responsibility for full disclosure, has 

been revised from the proposed rule. As 

proposed, that provision indicated that 

support documents do not have to be 

submitted to BIS as part of the 

application unless the applicant is 

informed by BIS to do so. In addition to 

the revisions described above, that 

section has also been updated to 

provide that information contained in a 

support document obtained after 

submission of a license application and 

not submitted to BIS as part of the 

application cannot be construed as 

modifying the specific information 

supplied in a license application or a 

license. This change is made in 

accordance with BIS’s policy on license 

conditions, which began on December 8, 

2014. New § 748.9(h)(2) has been 

revised to indicate BIS retains discretion 

to require additional information for 

applications filed during the 45-day 

grace period for complying with the 

support document requirements. 

As part of the simplification effort, 

this final rule also harmonizes certain 

support document requirements that 

varied slightly among the documents. 

New § 748.9(e)(2) describes the 

requirements to follow in SNAP–R for 

license applications requiring a support 

document, regardless of whether BIS 

has informed the applicant that the 

document must be submitted as part of 

the application. Further, new § 748.9(f) 

describes the recordkeeping 

requirements for all support documents, 

and this final rule removes references to 

original document requirements, 

random sampling of documents (which 

is redundant of other sections of the 

EAR that apply to BIS’s ability to 

request documents), and returning 

support documents to foreign importers 

(which is now obsolete due to the 

ability to retain copies). 

Section 748.10—PRC End-User 

Statement 

The proposed rule described the 

requirements for obtaining a PRC EndUser Statement under § 748.10. This 

final rule largely adopts the 

requirements under the proposed rule, 

with the following changes described 

below. 

Two commenters stated that it was 

unclear whether the value threshold 

requirement for any commodity 

requiring a license for any reason on the 

Commerce Control List (CCL) applies to 

one unit, line item value, or total license 

value in proposed § 748.10(a)(3). That 

value threshold requirement applies to 

the aggregate value for all commodities 

listed in the application that require a 

license to the PRC based on any reason 

on the CCL. To make this requirement 

clearer, BIS is revising that description, 

under new § 748.10(a)(3), to indicate 

that the license application includes 

‘‘any commodity(ies) requiring a license 

to the PRC for any reason on the 

Commerce Control List, and the total 

value of such commodity(ies) requiring 

a license exceeds $50,000.’’ 

One commenter recommended 

removing the last sentence in proposed 

§ 748.10(b)(1) that required obtaining an 

original PRC End-User Statement. As 

described above, BIS accepts this 

comment throughout this final rule and 

has revised the text accordingly. Two 

commenters suggested putting the 

contact information for the PRC’s 

Ministry of Commerce (MOFCOM) on 

the BIS Web site, which would be 

referred to by the EAR. BIS has added 

a reference to the BIS Web site in new 


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13214 Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 

§ 748.10(b)(2) to obtain the current 

contact information for MOFCOM. 

Two commenters stated that proposed 

§ 748.10(d)(5), which required that the 

first application used in conjunction 

with a PRC End-User Statement be 

submitted within six months from the 

date the statement was signed does not 

take into account the impact of multiyear programs and MOFCOM’s 

reluctance to issue new statements until 

all items identified in the original 

statement have been shipped. In place 

of the six-month validity period, the 

commenters requested that BIS use a 

validity period based on whether the 

quantities identified on the statement 

have been shipped. BIS accepts this 

recommendation, which is addressed in 

new § 748.10(d)(3). To reflect this 

change, BIS has also amended new 

§ 748.10(d)(1), which describes the 

requirements for using a PRC End-User 

Statement for multiple applications. 

One commenter recommended 

removing the requirement under 

proposed § 748.10(e)(1) to obtain an 

original support document, and two 

commenters suggested eliminating the 

requirement under proposed 

§ 748.10(e)(2), which described the 

requirements for returning a PRC EndUser Statement to the foreign importer. 

As previously addressed, BIS is 

removing the requirement to obtain an 

original support document, which 

makes the text in proposed 

§§ 748.10(e)(1)–(e)(2) and 748.9(f)(2) 

obsolete. Thus, this final rule removes 

those paragraphs. All recordkeeping 

requirements for PRC End-User 

Statements, as well as the other support 

documents, are now reflected in new 

§ 748.9(f). 

To further streamline and clarify the 

support document requirements, BIS is 

making additional changes to this 

section. First, all information regarding 

corrections, additions, or alterations has 

been moved to new § 748.10(d)(2), 

including a revised requirement that if 

the PRC End-User Statement contains 

any inaccuracies, then the applicant 

should note any necessary corrections 

in a statement on file with the applicant 

rather than submitting such a statement 

with the application. In addition, the 

requirement to provide a certification on 

quantities of items in Block 24 of the 

application when using a PRC End-User 

Statement with multiple applications 

has been removed. This requirement is 

redundant and unnecessary. Also, this 

rule revises the wording in new 

§ 748.10(a)(1) and (a)(2) to clarify that 

the requirement for a PRC End-User 

Statement applies to 6A003 cameras and 

computers if there are any license 

requirements under the EAR for those 

commodities to the PRC, not just for 

reasons on the Commerce Control List. 

This revised text conforms to the prior 

requirements for PRC End-User 

Statements. Other changes to new 

§ 748.10, including to recordkeeping 

and retention of original documents, are 

addressed above under new § 748.9. 

Section 748.11—Statement by Ultimate 

Consignee and Purchaser 

The proposed rule put forward new 

requirements for obtaining a Statement 

by Ultimate Consignee and Purchaser. 

The proposed rule increased the value 

threshold for requiring a Statement by 

Ultimate Consignee and Purchaser from 

$5,000 to $50,000, and it proposed to 

require the statement in place of an IC 

for most license applications that 

currently require an IC. As addressed 

above, commenters expressed concerns 

that these changes would make the 

support document requirements of the 

EAR more burdensome than the ITAR. 

Consequently, this final rule limits the 

requirement to obtain a Statement by 

Ultimate Consignee and Purchaser to 

exports, reexports, or in-country 

transfers of ‘‘600 Series Major Defense 

Equipment,’’ regardless of value and 

destination (excluding the PRC). In 

addition to the comparison to the 

ITAR’s support document requirements, 

commenters also raised additional 

concerns. 

One commenter suggested that the 

permissive use of a Statement by 

Ultimate Consignee and Purchaser for 

the PRC, as described in proposed 

§ 748.11(a)(2), be moved to § 748.10 so 

that all support document requirements 

pertaining to the PRC reside in one 

section. While BIS understands the 

concern, the agency did not accept this 

recommendation because the support 

document requirements are organized 

by document rather than by destination. 

However, this final rule adds a new note 

to new § 748.10(a) to provide a crossreference to new § 748.11(a)(2). 

Two commenters requested 

clarification or examples on proposed 

Note 2 to § 748.11(a). That proposed 

note, which is retained in this final rule, 

states that BIS has discretion to require 

a Statement by Ultimate Consignee and 

Purchaser for an application even 

though the EAR would not normally 

require one. For example, under this 

final rule, BIS may require a statement 

for an application not involving the PRC 

for items that are not ‘‘600 Series Major 

Defense Equipment.’’ BIS may make this 

request when additional information is 

needed to help verify the bona fides of 

a party involved in the transaction. 

One commenter expressed concerns 

regarding proposed § 748.11(b)(5)(iii), 

which, inter alia, requires that the 

consignee and/or purchaser ‘‘promptly 

send a new statement to the applicant 

if changes in the facts or intentions 

contained in the statement(s) occur after 

the statement(s) have been forwarded to 

the applicant.’’ The commenter stated it 

was unclear which party is responsible 

for reporting changes to the license 

applicant, especially if the changes are 

a result of the actions of a different party 

involved in the transaction. BIS notes 

that an individual party is responsible 

for ensuring that its representations are 

true and correct to the best of the party’s 

knowledge. Further, all parties 

participating in a transaction subject to 

the EAR must comply with the EAR, 

including the requirement that a party 

not proceed with a transaction with 

knowledge that a violation has occurred 

or is about to occur as a result of actions 

by another party. 

Two commenters recommended 

moving proposed § 748.11(c), which 

describes the content requirements of 

the statement, to a new supplement to 

make § 748.11 easier to read. BIS 

accepts this recommendation and 

moved the information that was in 

proposed § 748.11(c) to newly revised 

Supplement No. 3 to part 748. 

One commenter stated that the Form 

BIS–711 and the information required 

for a letter on company letterhead vary 

in the following ways: The letter allows 

for naming any country while the BIS– 

711 limits action to a single country (the 

country of residence of the ultimate 

consignee); the letter requires indicating 

whether the Statement by Ultimate 

Consignee and Purchaser is for a single 

transaction or multiple transactions 

while the BIS–711 does not require this; 

the letter requires identifying the name 

of the license applicant while the BIS– 

711 does not; and the letter does not 

require naming a party that assisted in 

preparing the letter while the BIS–711 

does so in block 5. With respect to the 

country scope of the letter versus the 

BIS–711, BIS notes that the BIS–711 is 

not limited to a single country in that 

boxes B and D under block 2 allow for 

the identification of other countries, so 

BIS believes no changes are necessary to 

either the letter or BIS–711 

requirements. The additional issues 

identified by the commenter will be 

addressed in a different rule. BIS will 

evaluate these concerns as part of the 

agency’s separate review of Information 

Collection 0694–0021 under the 

Paperwork Reduction Act, which 

authorizes BIS to collect the information 

described in § 748.11. Any substantive 

changes to Information Collection 0694– 

0021 will be finalized under an 

additional rule. 


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Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 13215 

Two commenters stated that the 

validity period for a Statement by 

Ultimate Consignee and Purchaser to be 

used for multiple license applications 

should be increased from two years to 

four years, which would correlate with 

the new license validity period in the 

EAR. BIS accepts this recommendation, 

which is reflected in new 

§ 748.11(d)(1)(ii) and Supplement No. 3 

to part 748. One commenter also 

suggested that the name ‘‘Statement by 

Ultimate Consignee and Purchaser’’ be 

changed to ‘‘Recipient Statement’’ to 

better identify the appropriate parties to 

make the relevant representations on the 

document. BIS does not accept this 

recommendation as part of this final 

rule. While using the term ‘‘recipient’’ 

would provide greater flexibility, it may 

also increase ambiguity since 

‘‘recipient’’ is not a defined term, unlike 

both ‘‘ultimate consignee’’ and 

‘‘purchaser.’’ BIS will, however, monitor 

the effects this final rule will have on 

support document requirements and 

will re-evaluate if further clarifications 

or changes are warranted. 

To further streamline and clarify the 

support document requirements, BIS is 

making additional changes to this 

section. First, the term ‘‘sub-assemblies’’ 

has been replaced with ‘‘components’’ 

under new § 748.11(a)(2) since 

‘‘components’’ is a defined term in part 

772 and reflects the intent of the scope 

of ‘‘sub-assemblies.’’ Also, new 

§ 748.11(d) has been revised to extend 

the validity period by allowing an 

applicant to submit the first license 

application within one year from the 

date the statement was signed rather 

than the prior six months. This change 

reflects the increased license validity 

period for BIS licenses and DDTC’s 

practice of allowing purchase orders for 

DSP–5 licenses to be used within one 

year. 

Section 748.12—Firearms Convention 

Import Certificate 

The proposed rule made no 

substantive changes to the scope of the 

support document requirements for 

firearms and related commodities, but it 

did propose changing certain 

submission requirements to 

recordkeeping requirements and 

clarifying the name of the support 

document as a Firearms Convention 

(FC) Import Certificate. BIS did not 

receive any public comments specific to 

the FC Import Certificate requirements, 

and this final rule largely adopts the 

proposed requirements in § 748.12, as 

well as references to the revised name 

in § 742.17. However, to further clarify 

and streamline the proposed rule, BIS is 

making additional changes in this final 

rule. 

This final rule revises new 

§ 748.12(b)(1) to reflect that obtaining a 

copy of the FC Import Certificate or 

equivalent official document is 

permissible and that the application 

may be submitted prior to receipt of the 

original or copy. New § 748.12(b)(2) has 

been revised to incorporate text on the 

procedure to follow if the government of 

the importing country will not issue a 

document; this information was 

previously in proposed 

§ 748.12(d)(1)(ii). New § 748.12(d)(2) has 

been revised to incorporate similar 

wording in prior sections addressing 

alterations, and new § 748.12(d)(3) has 

been revised to more closely harmonize, 

to the extent possible, the validity 

period on an FC Import Certificate (or 

equivalent official document) to that of 

a Statement by Ultimate Consignee and 

Purchaser. Unless the Certificate or 

equivalent official document has an 

expiration date, the new validity period 

will be four years rather than the prior 

limit of one year. Multiple license 

applications may be submitted using the 

same Certificate or equivalent official 

document so long as the document is 

still valid. 

Section 748.13—Granting of Exceptions 

to the Support Document Requirements 

The proposed rule suggested moving 

the information on granting exceptions 

to the support document requirements 

into § 748.13 and made no substantive 

changes to the existing text, which was 

previously in § 748.12(c) and (d). One 

commenter believed that the EAR’s 

requirements for granting an exception 

are too onerous, and two commenters 

suggested replacing the process with a 

requirement for the applicant to keep a 

letter on file or provide such letter with 

the application describing why a 

required support document could not be 

obtained. BIS believes that a 

recordkeeping requirement would not 

be sufficient for utilizing an exception. 

However, this final rule revises new 

§ 748.13 to streamline the process by 

requiring that information supporting 

the request be in or referred to in Block 

24 of the application. Thus, a separate 

letter is not required. Additionally, this 

final rule revises new § 748.13 to give 

the agency greater discretion on 

adjudicating such requests. 

Additional Public Comments on 

Support Document Requirements for 

License Applications and Additional 

Conforming Changes 

Two commenters believed that the 

table in proposed Supplement No. 4 to 

part 744, which provided informal 

guidance on support document 

requirements, was confusing; one 

commenter believed that the proposed 

table was helpful. Because of changes 

described above to the requirements for 

obtaining a Statement by Ultimate 

Consignee and Purchaser, BIS believes 

that the support document requirements 

are sufficiently clear without the need 

for the table. Thus, this final rule 

removes the proposed table. 

One commenter requested that BIS 

clarify the definition of ‘‘ultimate 

consignee’’ since it affects which party 

must fill out the Statement by Ultimate 

Consignee and Purchaser. The 

commenter further proposed a new 

definition for the term. BIS does not 

accept this comment as it is outside the 

scope of the proposed rule. The 

proposed changes to the support 

document requirements were premised 

on the existing definition of ‘‘ultimate 

consignee.’’ Moreover, any changes to 

the definition of that term should go 

through the proposed rulemaking 

process. Accordingly, at this time, BIS 

does not believe that such a proposal is 

warranted. 

One commenter recommended that 

BIS add and define the term ‘‘support 

document’’ in part 772 to avoid 

inconsistency with the existing 

definition of ‘‘export control 

document.’’ BIS does not accept this 

recommendation. Support documents 

already fall under the definition of 

‘‘export control document,’’ and BIS 

believes that new §§ 748.6(a)(3) and 

748.9(a) provide sufficient guidance to 

applicants on the use of the term 

‘‘support documents.’’ 

Finally, due to the removal of Import 

Certificate and Delivery Verification 

requirements, as well as the revised 

name for FC Import Certificates, this 

rule finalizes the references to support 

document names in § 762.2. 

Export Administration Act 

Since August 21, 2001, the Export 

Administration Act of 1979, as 

amended, has been in lapse. However, 

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 EAR 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. 


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13216 Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 

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, distribute 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 final rule is part of BIS’s 

retrospective regulatory review being 

undertaken under Executive Order 

13563. This rule has been determined to 

be not significant for purposes of 

Executive Order 12866. 

2. Notwithstanding any other 

provision of law, no person is required 

to respond to, nor is 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 

OMB control number. This final rule 

affects two collection numbers: 

Statement by Ultimate Consignee and 

Purchaser (0694–0021) and Import 

Certificates And End-User Certificates 

(0694–0093). 

This final rule amends the 

requirements for support documents 

required in conjunction with a license 

application. Collection number 0694– 

0093 addresses Import Certificates and 

End-User Certificates, changes to Import 

Certificates and End-User Certificates, 

exception requests to Import Certificates 

and End-User Certificates, Delivery 

Verifications, exception requests to 

Delivery Verifications, and related 

recordkeeping. This final rule 

eliminates the requirement for obtaining 

a Delivery Verification in conjunction 

with a license application submitted to 

BIS. This results in an annual reduction 

in burden of 361 hours for Delivery 

Verifications and 0.5 hours for Delivery 

Verification exception requests. Also, 

this rule eliminates the requirement to 

obtain an Import Certificate in 

conjunction with a license application. 

This change results in the reduction of 

the following annual burden hour 

estimates: 354.5 hours for preparing the 

Import Certificate, 23.6 hours for 

recordkeeping related to the Import 

Certificate, 99 hours for changes to 

Import Certificates, and 7 hours for 

Import Certificate exception requests. 

The changes to support documents 

required in conjunction with a license 

application also impact collection 

number 0694–0021, which addresses 

the Statement by Ultimate Consignee 

and Purchaser. This final rule limits the 

requirement to obtain a Statement by 

Ultimate Consignee and Purchaser to 

license applications involving ‘‘600 

Series Major Defense Equipment,’’ as 

defined in part 772 of the EAR. Since 

Export Control Reform was initially 

implemented in October 2013, BIS has 

not received an application to export, 

reexport, or transfer (in-country) ‘‘600 

Series Major Defense Equipment.’’ 

Therefore, BIS estimates this final rule 

will result in one application per year 

requiring a Statement by Ultimate 

Consignee and Purchaser. Based on the 

aggregate number of license applications 

in SNAP–R that have the entry for 

‘‘Statement by Ultimate Consignee and 

Purchaser/BIS 711’’ checked, and those 

applications BIS believes were 

mistakenly checked as ‘‘Import 

Certificate or End User Certificate’’ but 

in fact were also Statements by Ultimate 

Consignee and Purchaser due to the 

destination of the application, BIS 

believes the changes in this final rule 

will decrease the burden hours 

measured under collection number 

0694–0021 by approximately 1160.5 

hours. 

3. This rule does not contain policies 

with Federalism implications as that 

term is defined under E.O. 13132. 

4. The Regulatory Flexibility Act 

(RFA), as amended by the Small 

Business Regulatory Enforcement 

Fairness Act of 1996 (SBREFA), 5 U.S.C. 

601 et seq., generally requires an agency 

to prepare an initial regulatory 

flexibility analysis (IRFA) for any rule 

subject to the notice and comment 

rulemaking requirements under the 

Administrative Procedure Act (5 U.S.C. 

553) or any other statute. However, 

under section 605(b) of the RFA, if the 

head of an agency certifies that a rule 

will not have a significant impact on a 

substantial number of small entities, the 

RFA does not require the agency to 

prepare a regulatory flexibility analysis. 

BIS does not collect data on the size of 

entities that apply for and are issued 

export licenses. Although BIS is unable 

to estimate the exact number of small 

entities that would be affected by this 

rule, it acknowledges that this rule 

would affect some unknown number by 

reducing the burden of having to obtain 

certain support documents for certain 

license applications. Therefore, the 

impact on any affected small entities 

will be wholly positive. Pursuant to 

section 605(b), the Chief Counsel for 

Regulation, Department of Commerce, 

submitted a memorandum to the Chief 

Counsel for Advocacy, Small Business 

Administration, certifying that this final 

rule, will not have a significant impact 

on a substantial number of small 

entities. No comments were received on 

the certification and therefore no 

regulatory flexibility analysis is 

required. Pursuant to 5 U.S.C. 553(d)(1) 

good cause exists to waive the otherwise 

applicable 30 day delay in effectiveness. 

Because the information obtained 

through the pertinent support 

documents is collected elsewhere, there 

is no need for regulated entities to come 

into compliance with any regulatory 

requirements. Furthermore, there is a 

strong public interest in making these 

changes. The information contained in 

the support documents is collected in 

the license applications themselves, so 

there is no government or public 

interest in a duplicative collection. In 

addition, this rule decreases the burden 

on the regulated parties. A primary goal 

of the President’s Export Control Reform 

Initiative is that the transition to 

jurisdiction under BIS should be no 

more burdensome under the EAR than 

the ITAR. However, under the existing 

regulations, the EAR’s support 

document requirements are more 

restrictive than the ITAR, which control 

articles that provide the United States 

with a critical military or intelligence 

advantage or otherwise warrant more 

restrictive controls. There is no need for 

items subject to the EAR to have more 

restrictive requirements than defense 

articles under the ITAR. Indeed, any 

ongoing requirement that these 

documents be collected would 

undermine public policy goals. 

There is also a public interest in 

moving this process along to ensure that 

entities that are transitioning from being 

regulated by the ITAR to being regulated 

by the EAR are not temporarily 

burdened by having to comply with a 

requirement that they did not 

previously have to comply with under 

the ITAR. For all these reasons, BIS 

finds good cause to waive the 30 day 

delay in effective date and implement 

this rule upon publication in the 

Federal Register. 

List of Subjects 

15 CFR Part 742 

Exports, Terrorism. 

15 CFR Part 748 

Administrative practice and 

procedure, Exports, Reporting and 

recordkeeping requirements. 

15 CFR Part 762 

Administrative practice and 

procedure, Business and industry, 

Confidential business information, 


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Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 13217 

Exports, Reporting and recordkeeping 

requirements. 

For the reasons stated in the 

preamble, the Export Administration 

Regulations (15 CFR parts 730–774) are 

amended as follows: 

PART 742—[AMENDED] 

■ 1. The authority citation for part 742 

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. 3201 et seq.; 

42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22 

U.S.C. 7210; Sec. 1503, Pub. L. 108–11, 117 

Stat. 559; E.O. 12058, 43 FR 20947, 3 CFR, 

1978 Comp., p. 179; E.O. 12851, 58 FR 33181, 

3 CFR, 1993 Comp., p. 608; E.O. 12938, 59 

FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 

13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 

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

Comp., p. 783; Presidential Determination 

2003–23 of May 7, 2003, 68 FR 26459, May 

16, 2003; Notice of August 7, 2014, 79 FR 

46959 (August 11, 2014); Notice of November 

7, 2014, 79 FR 67035 (November 12, 2014). 

■ 2. Section 742.17 is amended by: 

■ a. Revising the last sentence of 

paragraph (a); 

■ b. Removing ‘‘Import Certificate’’ and 

adding in its place ‘‘FC Import 

Certificate’’ in paragraph (b); and 

■ c. Revising paragraph (g), to read as 

follows: 

§ 742.17 Exports of firearms to OAS 

member countries. 

* * * * * 

(a) * * * Licenses will generally be 

issued on a Firearms Convention (FC) 

Import Certificate or equivalent official 

document, satisfactory to BIS, issued by 

the government of the importing OAS 

member country. 

* * * * * 

(g) Validity period for licenses. 

Although licenses generally will be 

valid for a period of four years, your 

ability to ship items that require an FC 

Import Certificate or equivalent official 

document under this section may be 

affected by the validity of the FC Import 

Certificate or equivalent official 

document (see § 748.12(d)(4) of the 

EAR). 

PART 748—[AMENDED] 

■ 3. The authority citation for 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). 

■ 4. Section 748.6 is amended by 

revising paragraph (a) to read as follows: 

§ 748.6 General instructions for license 

applications. 

(a) Instructions. (1) General 

instructions for filling out license 

applications are in Supplement No. 1 to 

this part. 

(2) License applications may require 

additional information due to the type 

of items requested in the application or 

the characteristics of the transaction. 

Special instructions for applications 

requiring such additional information 

are listed in § 748.8 and described fully 

in Supplement No. 2 to this part. 

(3) License applications may also 

require additional information for 

evaluation of the parties in the 

transaction. Special instructions for 

applications requiring such additional 

information are listed in §§ 748.9 

through 748.13. 

* * * * * 

■ 5. Section 748.9 is revised to read as 

follows: 

§ 748.9 Support documents for evaluation 

of foreign parties in license applications. 

(a) Scope. License applicants may be 

required to obtain support documents 

concerning the foreign parties and the 

disposition of the items intended for 

export, reexport, or transfer (in-country). 

Some support documents are issued by 

foreign governments, while other 

support documents are signed and 

issued by the purchaser and/or ultimate 

consignee. For support documents 

issued by foreign governments, any 

foreign legal restrictions or obligations 

exercised by the government issuing the 

support document are in addition to the 

conditions and restrictions placed on 

the transaction by BIS. However, the 

laws and regulations of the United 

States are in no way modified, changed, 

or superseded by the issuance of a 

support document by a foreign 

government. 

(b) Requirements to obtain support 

documents for license applications. 

Unless an exception in paragraph (c) of 

this section applies, a support document 

is required for certain license 

applications for the People’s Republic of 

China (PRC) (see §§ 748.10 and 

748.11(a)(2)), ‘‘600 Series Major Defense 

Equipment’’ (see § 748.11), and firearms 

and related commodities to member 

countries of the Organization of 

American States (see § 748.12). 

Note 1 to paragraph (b): On a case-by-case 

basis, BIS may require license applicants to 

obtain a support document for any license 

application. 

Note 2 to paragraph (b): For End-Use 

Certificate requirements under the Chemical 

Weapons Convention, see § 745.2 of the EAR. 

(c) Exceptions to requirements to 

obtain support documents. (1) Even if a 

support document requirement is 

imposed by paragraph (b) of this 

section, no support document is 

required for any of the following 

situations: 

(i) The ultimate consignee or 

purchaser is an ‘‘Agency of the United 

States Government’’ (see § 740.11(b)(1) 

for definition). If either the ultimate 

consignee or purchaser is not an agency 

of the United States government, 

however, a support document may still 

be required from the non-U.S. 

governmental party; 

(ii) The ultimate consignee or 

purchaser is a foreign government(s) or 

foreign government agency(ies), other 

than the government of the People’s 

Republic of China. To determine 

whether the parties in a transaction 

meet the definition of ‘‘foreign 

government agency,’’ refer to the 

definition contained in part 772 of the 

EAR. If either the ultimate consignee or 

purchaser is not a foreign government or 

foreign government agency, however, a 

support document may still be required 

from the nongovernmental party; 

(iii) The license application is filed 

by, or on behalf of, a relief agency 

registered with the Advisory Committee 

on Voluntary Foreign Aid, U.S. Agency 

for International Development, for 

export to a member agency in the 

foreign country; 

(iv) The license application is 

submitted for commodities for 

temporary exhibit, demonstration, or 

testing purposes; 

(v) The license application is 

submitted for commodities controlled 

for short supply reasons (see part 754 of 

the EAR); 

(vi) The license application is 

submitted under the Special 

Comprehensive License procedure 

described in part 752 of the EAR; 

(vii) The license application is 

submitted for software or technology; or 

(viii) The license application is 

submitted for encryption commodities 

controlled under ECCN 5A002 or 5B002. 

(2) BIS will consider granting an 

exception to the requirement for 

obtaining a support document where the 

requirements cannot be met due to 

circumstances beyond the applicant’s 

control. An exception will not be 

granted contrary to the objectives of the 

U.S. export control laws and 

regulations. Refer to § 748.13 of this part 

for specific instructions on procedures 

for requesting an exception. 

(d) Content of support documents. In 

addition to specific requirements 

described for each support document in 

§§ 748.10, 748.11, and 748.12, the use 


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13218 Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 

and submission of support documents 

must comply with the following 

requirements. 

(1) English translation. All 

abbreviations, coded terms, or other 

expressions on support documents 

having special significance in the trade 

or to the parties to the transaction must 

be explained on an attachment to the 

document. Documents in a language 

other than English must be 

accompanied by an attachment giving 

an accurate English translation, either 

made by a translating service or certified 

by the applicant to be correct. 

Explanations or translations should be 

provided on a separate piece of paper, 

and not entered on the support 

documents themselves. 

(2) Responsibility for full disclosure. 

(i) The license application covering the 

transaction discloses all facts pertaining 

to the transaction. Information 

contained in a support document 

obtained after submission of a license 

application and not submitted to BIS as 

part of the application cannot be 

construed as extending or expanding or 

otherwise modifying the specific 

information supplied in a license 

application or license issued by BIS. 

The authorizations contained in the 

resulting license are not extended by 

information contained in the support 

document regarding reexport from the 

country of destination, transfer (incountry), or any other facts relative to 

the transaction that are not reported on 

the license application. 

(ii) Misrepresentations, either through 

failure to disclose facts, concealing a 

material fact, or furnishing false 

information, may subject responsible 

parties to administrative or criminal 

action by BIS. 

(iii) In obtaining the required support 

document, the applicant is not relieved 

of the responsibility for full disclosure 

of any other information concerning the 

ultimate destination, end use, or end 

user of which the applicant knows, even 

if inconsistent with the representations 

made in the applicable support 

document. The applicant is responsible 

for promptly notifying BIS of any 

change in the facts contained in the 

support document that comes to the 

applicant’s attention. 

(e) Procedures for using support 

document with license application.—(1) 

Timing for obtaining support document. 

When a support document is required 

for a license application in §§ 748.10, 

748.11, and 748.12, license applicants 

may submit the application prior to 

receipt of a copy of the support 

document, unless BIS informs the 

applicant that the support document 

must be submitted with the application. 

However, if the license is granted, items 

authorized on the license may not be 

exported, reexported, or transferred (incountry) until the license holder obtains 

a copy of the support document. 

(2) Information necessary for license 

application. When a support document 

is required for a license application, 

applicants should mark the appropriate 

box in Block 7, regardless of whether a 

copy of the support document is on file 

with the applicant at the time of 

submission. 

(f) Recordkeeping provisions. License 

applicants must retain on file the 

original or a copy of any support 

document issued in support of a license 

application submitted to BIS. All 

recordkeeping provisions in part 762 of 

the EAR apply to this requirement. 

(g) Effect on license application 

review. BIS reserves the right in all 

respects to determine to what extent any 

license will be issued covering items for 

which a support document has been 

issued. If a support document was 

issued by a foreign government, BIS will 

not seek or undertake to give 

consideration to recommendations from 

the foreign government as to the action 

to be taken on a license application. A 

support document will be only one of 

the factors upon which BIS will base its 

licensing action, since end uses and 

other considerations are important 

factors in the decision making process. 

(h) Grace period for complying with 

requirements following regulatory 

change. (1) Whenever the requirement 

for a PRC End-User Statement, 

Statement by Ultimate Consignee or 

Purchaser, or Firearms Convention 

Import Certificate is imposed or 

extended by a change in the regulations, 

the license application need not 

conform to the new support 

documentation requirements for a 

period of 45 days after the effective date 

of the regulatory change published in 

the Federal Register. 

(2) License applications filed during 

the 45-day grace period may require the 

submission of evidence available to the 

applicant that will support 

representations concerning the ultimate 

consignee, ultimate destination, and end 

use, such as copies of the order, letters 

of credit, correspondence between the 

applicant and ultimate consignee, or 

other documents received from the 

ultimate consignee. If such evidence is 

required, applicants must also identify 

the regulatory change (including its 

effective date) that justifies exercise of 

the 45-day grace period. 

■ 6. Section 748.10 is revised to read as 

follows: 

§ 748.10 People’s Republic of China (PRC) 

End-User Statement. 

(a) Requirement to obtain document. 

Unless the provisions of §§ 748.9(c) or 

748.11(a)(2) apply, a PRC End-User 

Statement is required for license 

applications including any of the 

following commodities destined for the 

PRC: 

(1) Cameras classified under ECCN 

6A003 requiring a license to the PRC for 

any reason, and the value of such 

cameras exceeds $5,000; 

(2) Computers requiring a license to 

the PRC for any reason, regardless of the 

value of the computers; or 

(3) Any commodity(ies) requiring a 

license to the PRC for any reason on the 

Commerce Control List, and the total 

value of such commodity(ies) requiring 

a license exceeds $50,000. 

Note 1 to paragraph (a): If an order meets 

the commodity(ies) and value requirements 

listed above, then a PRC End-User Statement 

is required. An order may not be split into 

multiple license applications solely to avoid 

a requirement to obtain a PRC End-User 

Statement. 

Note 2 to paragraph (a): If an order 

includes both items that do require a license 

to the PRC and items that do not require a 

license to the PRC, the value of the latter 

items should not be factored into the value 

thresholds described above. Also, if a license 

application includes 6A003 cameras and 

other items requiring a license to the PRC, 

then the value of the 6A003 cameras should 

be factored into the value threshold 

described in paragraph (a)(3). 

Note 3 to paragraph (a): See § 748.11(a)(2) 

for permissive use of a Statement by Ultimate 

Consignee and Purchaser in place of a PRC 

End-User Statement. 

Note 4 to paragraph (a): On a case-by-case 

basis, BIS may require license applicants to 

obtain a PRC End-User Statement for a 

license application that would not otherwise 

require a PRC End-User Statement under the 

requirements of paragraph (a) of this section. 

(b) Obtaining the document. (1) If a 

PRC End-User Statement is required for 

any reason under paragraph (a) of this 

section, then applicants must request 

that the importer obtain a PRC End-User 

Statement for all items on a license 

application that require a license to the 

PRC for any reason listed on the CCL. 

(2) PRC End-User Statements are 

issued and administered by the Ministry 

of Commerce; Department of Mechanic, 

Electronic and High Technology 

Industries; Export Control Division I; 

Chang An Jie No. 2; Beijing 100731 

China; Phone: (86)(10) 6519 7366 or 

6519 7390; Fax: (86)(10) 6519 7543; 

http://zzyhzm.mofcom.gov.cn/. See the 

BIS Web site (www.bis.doc.gov) for the 

current contact information. 


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Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 13219 

(c) Content of the document. (1) The 

license applicant’s name must appear 

on the PRC End-User Statement 

submitted to BIS as the applicant, 

supplier, or order party. 

(2) License applicants must ensure 

that the following information is 

included on the PRC End-User 

Statement signed by an official of the 

Department of Mechanic, Electronic and 

High Technology Industries, Export 

Control Division I, of the PRC Ministry 

of Commerce (MOFCOM), with 

MOFCOM’s seal affixed to it: 

(i) Title of contract and contract 

number (optional); 

(ii) Names of importer and exporter; 

(iii) End user and end use; 

(iv) Description of the commodity, 

quantity and dollar value; and 

(v) Signature of the importer and date. 

Note to paragraph (c): The license 

applicant should furnish the consignee with 

the commodity description contained in the 

CCL to be used in applying for the PRC EndUser Statement. It is also advisable to furnish 

a manufacturer’s catalog, brochure, or 

technical specifications if the commodity is 

new. 

(d) Procedures for using document 

with license application. (1) Using a 

PRC End-User Statement for multiple 

applications. A PRC End-User 

Statement may cover more than one 

purchase order and more than one item. 

Where the Statement includes items for 

which more than one license 

application will be submitted, the 

applicant should ensure that the total 

quantities on the license application(s) 

do not exceed the total quantities shown 

on the PRC End-User Statement. 

(2) Alterations. After a PRC End-User 

Statement is issued by the Government 

of the People’s Republic of China, no 

corrections, additions, or alterations 

may be made on the certificate by any 

person. Any necessary corrections, 

additions, or alterations should be noted 

by the applicant in a separate statement 

on file with the applicant. 

(3) Validity period. A PRC End-User 

Statement is valid until the quantities of 

items identified on the Statement have 

been shipped. 

■ 7. Section 748.11 is revised to read as 

follows: 

§ 748.11 Statement by Ultimate Consignee 

and Purchaser. 

(a) Requirement to obtain document. 

(1) General requirement for all countries 

excluding the People’s Republic of 

China (PRC). Unless an exception in 

§ 748.9(c) or paragraph (a)(3) of this 

section applies, a Statement by Ultimate 

Consignee and Purchaser is required if 

the license application includes ‘‘600 

Series Major Defense Equipment’’ (600 

series MDE) requiring a license for any 

reason on the Commerce Control List 

and such items are destined for a 

country other than the PRC. 

(2) Permissive substitute of Statement 

by Ultimate Consignee and Purchaser in 

place of PRC End-User Statement. The 

requirement to obtain a support 

document for license applications 

involving the PRC is generally 

determined by § 748.10(a) of the EAR. 

However, a Statement by Ultimate 

Consignee and Purchaser may be 

substituted in place of a PRC End-User 

Statement when the commodities to be 

exported (i.e., replacement parts and 

components) are valued at $75,000 or 

less and are for servicing previously 

exported commodities. 

(3) Exception to general requirement. 

The general requirement described in 

paragraph (a)(1) of this section does not 

apply if the applicant is the same person 

as the ultimate consignee, provided the 

required statements are contained in 

Block 24 on the license application. 

This exemption does not apply, 

however, where the applicant and 

consignee are separate entities, such as 

parent and subsidiary, or affiliated or 

associated firms. 

Note 1 to paragraph (a): An order may not 

be split into multiple license applications 

solely to avoid a requirement to obtain a 

Statement by Ultimate Consignee and 

Purchaser. 

Note 2 to paragraph (a): On a case-by-case 

basis, BIS may require license applicants to 

obtain a Statement by Ultimate Consignee 

and Purchaser for a license application that 

would not otherwise require a Statement by 

Ultimate Consignee and Purchaser under the 

requirements of paragraph (a) of this section. 

(b) Obtaining the document. (1) The 

ultimate consignee and purchaser must 

complete either a statement on company 

letterhead, or Form BIS–711, Statement 

by Ultimate Consignee and Purchaser, 

as described in paragraph (c) of this 

section. Unless otherwise specified, any 

reference in this section to ‘‘Statement 

by Ultimate Consignee and Purchaser’’ 

applies to both the statement on 

company letterhead and to Form BIS– 

711. 

(2) If the consignee and purchaser 

elect to complete the statement on 

letterhead and both the ultimate 

consignee and purchaser are the same 

entity, only one statement is necessary. 

(3) If the ultimate consignee and 

purchaser are separate entities, separate 

statements must be prepared and 

signed. 

(4) If the ultimate consignee and 

purchaser elect to complete Form BIS– 

711, only one Form BIS–711 (containing 

the signatures of the ultimate consignee 

and purchaser) need be completed. 

(5) Whether the ultimate consignee 

and purchaser sign a written statement 

or complete Form BIS–711, the 

following constraints apply: 

(i) Responsible officials representing 

the ultimate consignee or purchaser 

must sign the statement. ‘‘Responsible 

official’’ is defined as someone with 

personal knowledge of the information 

included in the statement, and authority 

to bind the ultimate consignee or 

purchaser for whom they sign, and who 

has the power and authority to control 

the use and disposition of the licensed 

items. 

(ii) The authority to sign the statement 

may not be delegated to any person 

(agent, employee, or other) whose 

authority to sign is not inherent in his 

or her official position with the ultimate 

consignee or purchaser for whom he or 

she signs. The signing official may be 

located in the United States or in a 

foreign country. The official title of the 

person signing the statement must also 

be included. 

(iii) The consignee and/or purchaser 

must submit information that is true and 

correct to the best of their knowledge 

and must promptly send a new 

statement to the applicant if changes in 

the facts or intentions contained in their 

statement(s) occur after the statement(s) 

have been forwarded to the applicant. 

Once a statement has been signed, no 

corrections, additions, or alterations 

may be made. If a signed statement is 

incomplete or incorrect in any respect, 

a new statement must be prepared, 

signed and forwarded to the applicant. 

(c) Content of the document. See 

Supplement No. 3 to this part for the 

information necessary to complete a 

statement on company letterhead or on 

Form BIS–711. 

(d) Procedures for using document 

with license application.—(1) Validity 

period. (i) If a Statement by Ultimate 

Consignee and Purchaser is obtained 

prior to submission of the license 

application and the Statement is 

required to support one or more license 

applications, an applicant must submit 

the first license application within one 

year from the date the statement was 

signed. 

(ii) All subsequent license 

applications supported by the same 

Statement by Ultimate Consignee and 

Purchaser must be submitted within 

four years of signature by the consignee 

or purchaser, whichever was last. 

(2) [Reserved] 

■ 8. Section 748.12 is revised to read as 

follows: 


tkelley on DSK3SPTVN1PROD with RULES
13220 Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 

§ 748.12 Firearms Convention (FC) Import 

Certificate. 

(a) Requirement to obtain document. 

Unless an exception in § 748.9(c) 

applies, an FC Import Certificate is 

required for license applications for 

firearms and related commodities, 

regardless of value, that are destined for 

member countries of the Organization of 

American States (OAS). This 

requirement is consistent with the OAS 

Model Regulations described in § 742.17 

of the EAR. 

(1) Items subject to requirement. 

Firearms and related commodities are 

those commodities controlled for ‘‘FC 

Column 1’’ reasons under ECCNs 

0A984, 0A986, or 0A987. 

(2) Countries subject to requirement. 

(i) OAS member countries include: 

Antigua and Barbuda, Argentina, 

Bahamas, Barbados, Belize, Bolivia, 

Brazil, Canada, Chile, Colombia, Costa 

Rica, Dominica, Dominican Republic, 

Ecuador, El Salvador, Grenada, 

Guatemala, Guyana, Haiti, Honduras, 

Jamaica, Mexico, Nicaragua, Panama, 

Paraguay, Peru, Saint Kitts and Nevis, 

Saint Lucia, Saint Vincent and the 

Grenadines, Suriname, Trinidad and 

Tobago, Uruguay, and Venezuela. 

(ii) [Reserved] 

(3) Equivalent official document in 

place of FC Import Certificate. For those 

OAS member countries that have not yet 

established or implemented an FC 

Import Certificate procedure, BIS will 

accept an equivalent official document 

(e.g., import license or letter of 

authorization) issued by the government 

of the importing country as supporting 

documentation for the export of 

firearms. 

(b) Obtaining the document. (1) 

Applicants must request that the 

importer (e.g., ultimate consignee or 

purchaser) obtain the FC Import 

Certificate or an equivalent official 

document from the government of the 

importing country, and that it be issued 

covering the quantities and types of 

firearms and related items that the 

applicant intends to export. (See 

Supplement No. 6 to this part for a list 

of the OAS member countries’ 

authorities administering the FC Import 

Certificate System.) Upon receipt of the 

FC Import Certificate, its official 

equivalent, or a copy, the importer must 

provide the original or a certified copy 

of the FC Import Certificate or the 

original or a certified copy of the 

equivalent official document to the 

license applicant. 

(2) If the government of the importing 

country will not issue an FC Import 

Certificate or its official equivalent, the 

applicant must supply the information 

described in paragraphs (c)(1) and (c)(6) 

through (c)(8) of this section on 

company letterhead. 

(c) Content of the document. The FC 

Import Certificate or its official 

equivalent must contain the following 

information: 

(1) Applicant’s name and address. 

The applicant may be either the 

exporter, supplier, or order party. 

(2) FC Import Certificate Identifier/

Number. 

(3) Name of the country issuing the 

certificate or unique country code. 

(4) Date the FC Import Certificate was 

issued, in international date format (e.g., 

24/12/12 for 24 December 2012, or 3/1/ 

99 for 3 January 1999). 

(5) Name of the agency issuing the 

certificate, address, telephone and 

facsimile numbers, signing officer name, 

and signature. 

(6) Name of the importer, address, 

telephone and facsimile numbers, 

country of residence, representative’s 

name if commercial or government 

body, citizenship, and signature. 

(7) Name of the end user(s), if known 

and different from the importer, 

address, telephone and facsimile 

numbers, country of residence, 

representative’s name if commercial 

(authorized distributor or reseller) or 

government body, citizenship, and 

signature. Note that BIS does not require 

the identification of each end user when 

the firearms and related commodities 

will be resold by a distributor or reseller 

if unknown at the time of export. 

(8) Description of the commodities 

approved for import including a 

technical description and total quantity 

of firearms, parts and components, 

ammunition and parts. 

Note to paragraph (c)(8): You must furnish 

the consignee with a detailed technical 

description of each commodity to be given to 

the government for its use in issuing the FC 

Import Certificate. For example, for shotguns, 

provide the type, barrel length, overall 

length, number of shots, the manufacturer’s 

name, the country of manufacture, and the 

serial number for each shotgun. For 

ammunition, provide the caliber, velocity 

and force, type of bullet, manufacturer’s 

name and country of manufacture. 

(9) Expiration date of the FC Import 

Certificate in international date format 

(e.g., 24/12/12) or the date the items 

must be imported, whichever is earlier. 

(10) Name of the country of export 

(i.e., United States). 

(11) Additional information. Certain 

countries may require the tariff 

classification number, by class, under 

the Brussels Convention (Harmonized 

Tariff Code) or the specific technical 

description of a commodity. For 

example, shotguns may need to be 

described in barrel length, overall 

length, number of shots, manufacturer’s 

name and country of manufacture. The 

technical description is not the Export 

Control Classification Number (ECCN). 

(d) Procedures for using document 

with license application.—(1) 

Information necessary for license 

application. The license application 

must include the same commodities as 

those listed on the FC Import Certificate 

or the equivalent official document. 

(2) Alterations. After an FC Import 

Certificate or equivalent official 

document is used to support the 

issuance of a license, no corrections, 

additions, or alterations may be made 

on the FC Import Certificate by any 

person. Any necessary corrections, 

additions, or alterations should be noted 

by the applicant in a separate statement 

on file with the applicant. 

(3) Validity period. FC Import 

Certificates or equivalent official 

documents issued by an OAS member 

country will be valid until the 

expiration date on the Certificate or for 

a period of four years, whichever is 

shorter. 

■ 9. Section 748.13 is revised to read as 

follows: 

§ 748.13 Granting of exceptions to the 

support documentation requirements. 

(a) Overview. A request for an 

exception to obtaining the required 

support documentation will be 

considered by BIS; however, an 

exception will not be granted contrary 

to the objectives of the U.S. export 

control program. A request for exception 

may involve either a single transaction 

or, where the reason necessitating the 

request is continuing in nature, multiple 

transactions. If satisfied by the evidence 

presented, BIS may waive the support 

document requirement and accept the 

license application for processing. 

(b) Procedure for requesting an 

exception. The request for an exception 

must be submitted with the license 

application to which the request relates, 

and the reason(s) for requesting the 

exception must be described in Block 24 

or referred to in Block 24. Where the 

request relates to more than one license 

application, it should be submitted with 

the first license application and referred 

to in Block 24 on any subsequent 

license application. 

(c) Action by BIS.—(1) Single 

transaction request. Where a single 

transaction is involved, BIS will act on 

the request for exception at the same 

time as the license application with 

which the request is submitted. In those 

instances where the related license 

application is approved, the issuance of 

the license will serve as an automatic 

notice to the applicant that the 


tkelley on DSK3SPTVN1PROD with RULES
Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 13221 

exception was approved. If any 

restrictions are placed on granting of the 

exception, these will appear on the 

approval. If the request for exception is 

not approved, BIS will advise the 

applicant. 

(2) Multiple transactions request. 

Where multiple transactions are 

involved, BIS will advise the applicant 

of the action taken on the exception 

request. The response from BIS will 

contain any conditions or restrictions 

that BIS finds necessary to impose 

(including an exception termination 

date if appropriate). In addition, a 

written acceptance of these conditions 

or restrictions may be required from the 

parties to the transaction. 

§ 748.14 [Removed and reserved] 

■ 10. Section 748.14 is removed and 

reserved. 

■ 11. Supplement No. 3 to part 748 is 

revised to read as follows: 

SUPPLEMENT NO. 3 TO PART 748— 

STATEMENT BY ULTIMATE 

CONSIGNEE AND PURCHASER 

CONTENT REQUIREMENTS 

If a statement on company letterhead will 

be used to meet the requirement to obtain a 

Statement by Ultimate Consignee and 

Purchaser, as described in § 748.11(a), follow 

the requirements described in paragraph (a) 

of this appendix. If Form BIS–711 will be 

used to meet the requirement, follow the 

requirements described in paragraph (b) of 

this appendix. 

(a) Statement on company letterhead. 

Information in response to each of the 

following criteria must be included in the 

statement. If any information is unknown, 

that fact should be disclosed in the 

statement. Preprinted information supplied 

on the statement, including the name, 

address, or nature of business of the ultimate 

consignee or purchaser appearing on the 

letterhead or order form is acceptable but 

will not constitute evidence of either the 

signer’s identity, the country of ultimate 

destination, or end use of the items described 

in the license application. 

(1) Paragraph 1. One of the following 

certifications must be included depending on 

whether the statement is proffered in support 

of a single license application or multiple 

license applications: 

(i) Single. This statement is to be 

considered part of a license application 

submitted by [name and address of 

applicant]. 

(ii) Multiple. This statement is to be 

considered a part of every license application 

submitted by [name and address of applicant] 

until four years from the date this statement 

is signed. 

(2) Paragraph 2. One or more of the 

following certifications must be included. 

Note that if any of the facts related to the 

following statements are unknown, this must 

be clearly stated. 

(i) The items for which a license 

application will be filed by [name of 

applicant] will be used by us as capital 

equipment in the form in which received in 

a manufacturing process in [name of country] 

and will not be reexported or incorporated 

into an end product. 

(ii) The items for which a license 

application will be filed by [name of 

applicant] will be processed or incorporated 

by us into the following product(s) [list 

products] to be manufactured in [name of 

country] for distribution in [list name of 

country or countries]. 

(iii) The items for which a license 

application will be filed by [name of 

applicant] will be resold by us in the form 

in which received for use or consumption in 

[name of country]. 

(iv) The items for which a license 

application will be filed by [name of 

applicant] will be reexported by us in the 

form in which received to [name of country 

or countries]. 

(v) The items received from [name of 

applicant] will be [describe use of the items 

fully]. 

(3) Paragraph 3. The following two 

certifications must be included: 

(i) The nature of our business is [possible 

choices include: broker, distributor, 

fabricator, manufacturer, wholesaler, retailer, 

value added reseller, original equipment 

manufacturer, etc.]. 

(ii) Our business relationship with [name 

of applicant] is [possible choices include; 

contractual, franchise, distributor, 

wholesaler, continuing and regular 

individual business, etc.] and we have had 

this business relationship for [number of 

years]. 

(4) Paragraph 4. The final paragraph must 

include all of the following certifications: 

(i) We certify that all of the facts contained 

in this statement are true and correct to the 

best of our knowledge and we do not know 

of any additional facts that are inconsistent 

with the above statements. We shall 

promptly send a replacement statement to 

[name of the applicant] disclosing any 

material change of facts or intentions 

described in this statement that occur after 

this statement has been prepared and 

forwarded to [name of applicant]. We 

acknowledge that the making of any false 

statement or concealment of any material fact 

in connection with this statement may result 

in imprisonment or fine, or both, and denial, 

in whole or in part, of participation in U.S. 

exports or reexports. 

(ii) Except as specifically authorized by the 

U.S. Export Administration Regulations, or 

by written approval from the Bureau of 

Industry and Security, we will not reexport, 

resell, or otherwise dispose of any items 

approved on a license supported by this 

statement: 

(A) To any country not approved for export 

as brought to our attention by the exporter; 

or 

(B) To any person if there is reason to 

believe that it will result directly or 

indirectly in disposition of the items contrary 

to the representations made in this statement 

or contrary to the U.S. Export Administration 

Regulations. 

(iii) We understand that acceptance of this 

statement as a support document cannot be 

construed as an authorization by BIS to 

reexport or transfer (in country) the items in 

the form in which received even though we 

may have indicated the intention to reexport 

or transfer (in country), and that 

authorization to reexport (or transfer in 

country) is not granted in an export license 

on the basis of information provided in the 

statement, but as a result of a specific request 

in a license application. 

(b) Form BIS–711. Form BIS–711 is 

available at http://www.bis.doc.gov/

index.php/component/rsform/form/21- 

request-bis-forms?task=forms.edit. 

Instructions on completing Form BIS–711 are 

described below. The ultimate consignee and 

purchaser may sign a legible copy of Form 

BIS–711. It is not necessary to require the 

ultimate consignee and purchaser to sign an 

original Form BIS–711, provided all 

information contained on the copy is legible. 

All information must be typed or legibly 

printed in each appropriate Block or Box. 

(1) Block 1: Ultimate Consignee. The 

Ultimate Consignee must be the person 

abroad who is actually to receive the material 

for the disposition stated in Block 2. A bank, 

freight forwarder, forwarding agent, or other 

intermediary is not acceptable as the 

Ultimate Consignee. 

(2) Block 2: Disposition or Use of Items by 

Ultimate Consignee named in Block 1. Place 

an (X) in ‘‘A.,’’ ‘‘B.,’’ ‘‘C.,’’ ‘‘D.,’’ and ‘‘E.,’’ as 

appropriate, and fill in the required 

information. 

(3) Block 3: Nature of Business of Ultimate 

Consignee named in Block 1. Complete both 

‘‘A’’ and ‘‘B’’. Possible choices for ‘‘A’’ 

include: broker, distributor, fabricator, 

manufacturer, wholesaler, retailer, value 

added reseller, original equipment 

manufacturer, etc. Possible choices for ‘‘B’’ 

include: contractual, franchise, distributor, 

wholesaler, continuing and regular 

individual business, etc. 

(4) Block 4: Additional Information. 

Provide any other information not appearing 

elsewhere on the form such as other parties 

to the transaction, and any other material 

facts that may be of value in considering 

license applications supported by this 

statement. 

(5) Block 5: Assistance in Preparing 

Statement. Name all persons, other than 

employees of the ultimate consignee or 

purchaser, who assisted in the preparation of 

this form. 

(6) Block 6: Ultimate Consignee. Enter the 

requested information and sign the statement 

in ink. (For a definition of ultimate 

consignee, see § 748.5(e) of this part.) 

(7) Block 7: Purchaser. This form must be 

signed in ink by the Purchaser, if the 

Purchaser is not the same as the Ultimate 

Consignee identified in Block 1. (For a 

definition of purchaser, see § 748.5(c) of this 

part.) 

(8) Block 8: Certification for Exporter. This 

Block must be completed to certify that no 

correction, addition, or alteration on this 

form was made subsequent to the signing by 

the Ultimate Consignee in Block 6 and 

Purchaser in Block 7. 


tkelley on DSK3SPTVN1PROD with RULES
13222 Federal Register / Vol. 80, No. 49 / Friday, March 13, 2015 / Rules and Regulations 

Supplement No. 4 to part 748 [Removed 

and reserved] 

■ 12. Supplement No. 4 to part 748 is 

removed and reserved. 

PART 762—[AMENDED] 

■ 13. The authority citation for part 762 

continues to read as follows: 

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

U.S.C. 1701 et seq.; E.O. 13222, 66 FR 44025, 

3 CFR, 2001 Comp., p. 783; Notice of August 

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

■ 14. Section 762.2 is amended by: 

■ a. Revising paragraphs (b)(22) and 

(b)(24); and 

■ b. Removing and reserving paragraph 

(b)(25), to read as follows: 

§ 762.2 Records to be retained. 

* * * * * 

(b) * * * 

(22) § 748.10, PRC End-User 

Statement; 

* * * * * 

(24) § 748.12, Firearms Convention 

(FC) Import Certificate; 

(25) [Reserved] 

* * * * * 

Dated: March 5, 2015. 

Kevin J. Wolf, 

Assistant Secretary of Commerce for Export 

Administration. 

[FR Doc. 2015–05784 Filed 3–12–15; 8:45 am] 

BILLING CODE 3510–33– P 

DEPARTMENT OF ENERGY 

Federal Energy Regulatory 

Commission 

18 CFR Part 381 

[Docket No. RM15–6–000] 

Annual Update of Filing Fees 

AGENCY: Federal Energy Regulatory 

Commission, DOE. 

ACTION: Final rule; annual update of 

Commission filing fees. 

SUMMARY: In accordance with 

Commission regulations, the 

Commission issues this update of its 

filing fees. This notice provides the 

yearly update using data in the 

Commission’s Financial System to 

calculate the new fees. The purpose of 

updating is to adjust the fees on the 

basis of the Commission’s costs for 

Fiscal Year 2014. 

DATES: Effective Date: April 13, 2015. 

FOR FURTHER INFORMATION CONTACT: 

Raymond D. Johnson Jr., Office of the 

Executive Director, Federal Energy 

Regulatory Commission, 888 First Street 

NE., Room 42–66, Washington, DC 

20426, 202–502–8402. 

SUPPLEMENTARY INFORMATION: Document 

Availability: In addition to publishing 

the full text of this document in the 

Federal Register, the Commission 

provides all interested persons an 

opportunity to view and/or print the 

contents of this document via the 

Internet through FERC’s Home Page 

(http://www.ferc.gov) and in FERC’s 

Public Reference Room during normal 

business hours (8:30 a.m. to 5:00 p.m. 

Eastern time) at 888 First Street NE., 

Room 2A, Washington DC 20426. 

From FERC’s Web site on the Internet, 

this information is available in the 

eLibrary. The full text of this document 

is available on eLibrary in PDF and 

Microsoft Word format for viewing, 

printing, and/or downloading. To access 

this document in eLibrary, type the 

docket number excluding the last three 

digits of this document in the docket 

number field and follow other 

directions on the search page. 

User assistance is available for 

eLibrary and other aspects of FERC’s 

Web site during normal business hours. 

For assistance, contact FERC Online 

Support at FERCOnlineSupport@

ferc.gov or toll free at (866) 208–3676, or 

for TTY, contact (202) 502–8659. 

Annual Update of Filing Fees 

(Issued March 4, 2015) 

The Federal Energy Regulatory 

Commission (Commission) is issuing 

this notice to update filing fees that the 

Commission assesses for specific 

services and benefits provided to 

identifiable beneficiaries. Pursuant to 18 

CFR 381.104, the Commission is 

establishing updated fees on the basis of 

the Commission’s Fiscal Year 2014 

costs. The adjusted fees announced in 

this notice are effective April 13, 2015. 

The Commission has determined, with 

the concurrence of the Administrator of 

the Office of Information and Regulatory 

Affairs of the Office of Management and 

Budget, that this final rule is not a major 

rule within the meaning of section 251 

of Subtitle E of Small Business 

Regulatory Enforcement Fairness Act, 5 

U.S.C. 804(2). The Commission is 

submitting this final rule to both houses 

of the United States Congress and to the 

Comptroller General of the United 

States. 

The new fee schedule is as follows: 

FEES APPLICABLE TO THE NATURAL GAS POLICY ACT

1. Petitions for rate approval pursuant to 18 CFR 284.123(b)(2). (18 CFR 381.403) ...................................................................... $12,310 

FEES APPLICABLE TO GENERAL ACTIVITIES

1. Petition for issuance of a declaratory order (except under Part I of the Federal Power Act). (18 CFR 381.302(a)) ................ $24,730 

2. Review of a Department of Energy remedial order:.

Amount in controversy 

$0–9,999. (18 CFR 381.303(b)) ............................................................................................................................................ $100 

$10,000–29,999. (18 CFR 381.303(b)) ................................................................................................................................. $600 

$ 30,000 or more. (18 CFR 381.303(a)) ............................................................................................................................... $36,100 

3. Review of a Department of Energy denial of adjustment:.

Amount in controversy 

$0–9,999. (18 CFR 381.304(b)) ............................................................................................................................................ $100 

$10,000–29,999. (18 CFR 381.304(b)) ................................................................................................................................. $600 

$30,000 or more. (18 CFR 381.304(a)) ................................................................................................................................ $18,920 

4. Written legal interpretations by the Office of General Counsel. (18 CFR 381.305(a)) ............................................................... $7,090 

FEES APPLICABLE TO NATURAL GAS PIPELINES

1. Pipeline certificate applications pursuant to 18 CFR 284.224. (18 CFR 381.207(b)) ................................................................. * $1,000 

FEES APPLICABLE TO COGENERATORS AND SMALL POWER PRODUCERS

1. Certification of qualifying status as a small power production facility. (18 CFR 381.505(a)) .................................................. $21,260 

2. Certification of qualifying status as a cogeneration facility. (18 CFR 381.505(a)) ..................................................................... $24,070 

*This fee has not been changed. 


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