This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents.

Rules and Regulations Federal Register

13627 

Vol. 87, No. 47 

Thursday, March 10, 2022 

1 Imposition of Sanctions Against Belarus Under 

the Export Administration Regulations (EAR), FR 

2022–04819, scheduled to publish March 8, 2022. 

DEPARTMENT OF COMMERCE 

Bureau of Industry and Security 

15 CFR Part 746 

[Docket No. 220304–0069] 

RIN 0694–AI77 

Addition to the List of Countries 

Excluded From Certain License 

Requirements Under the Export 

Administration Regulations (EAR) 

AGENCY: Bureau of Industry and 

Security, Department of Commerce. 

ACTION: Final rule. 

SUMMARY: In response to the Russian 

Federation’s (Russia’s) further invasion 

of Ukraine, and to protect U.S. national 

security and foreign policy interests, the 

Department of Commerce has added 

new and highly restrictive license 

requirements and policies for certain 

transactions involving Russia and 

Belarus under the Export 

Administration Regulations (EAR). In 

order to recognize partner countries that 

have committed to implementing 

substantially similar new export 

controls on Russia and Belarus in their 

domestic laws, the Department of 

Commerce has published a list of 

countries excluded from portions of 

these new U.S. export controls. These 

exclusions apply specifically to certain 

requirements under the EAR related to 

foreign-produced items. In this rule, the 

Department of Commerce adds the 

Republic of Korea (South Korea) to the 

list of excluded countries. 

DATES: This rule is effective March 4, 

2022. 

FOR FURTHER INFORMATION CONTACT: For 

questions on this final rule, contact 

Eileen Albanese, Director, Office of 

National Security and Technology 

Transfer Controls, Bureau of Industry 

and Security, Department of Commerce, 

Phone: (202) 482–0092, Fax: (202) 482– 

482–3355, Email: rpd2@bis.doc.gov. For 

emails, include ‘‘Russia’’ in the subject 

line. 

SUPPLEMENTARY INFORMATION: 

Background 

Effective February 24, 2022, in 

response to Russia’s further invasion of 

Ukraine, the Department of Commerce’s 

Bureau of Industry and Security (BIS) 

added new Russia license requirements 

and policies to the Export 

Administration Regulations (EAR) to 

protect U.S. national security and 

foreign policy interests. See 87 FR 

12226 (March 3, 2022) (Russia Sanctions 

rule). These new Russia license 

requirements included new Commerce 

Control List (CCL)-based license 

requirements involving exports, 

reexports, and transfer (in-country) 

transactions and two new foreign 

‘‘direct product’’ rules (FDP rules) 

specific to Russia and to Russian 

‘military end users.’ A subsequent rule, 

effective March 2, 2022, extended these 

license requirements to export, reexport, 

and transfer (in-country) transactions 

involving Belarus, as a result of 

Belarus’s substantial enabling of 

Russia’s invasion of Ukraine (Belarus 

Sanctions rule).1 Both of these rules 

included a savings clause specific to 

items controlled by the two FDP rules, 

stating that such items en route aboard 

a carrier to a port of export, reexport, or 

transfer (in-country), on or before March 

26, 2022, pursuant to actual orders for 

reexport, or transfer (in-country) to or 

within a foreign destination, may 

proceed to such foreign destination 

under an applicable authorization that 

was available prior to the new license 

requirements, or with no license 

required, if no license requirements had 

previously applied to such transactions. 

The new Belarus and Russia 

restrictions set forth in § 746.8 of the 

EAR refer to a list of countries that have 

committed to implementing 

substantially similar export controls on 

Belarus and Russia under their domestic 

laws. Pursuant to § 746.8(a)(5), countries 

that have made such a commitment 

receive full or partial exclusions, as 

appropriate, from the FDP rules’ license 

requirements set forth under 

§ 746.8(a)(2) and (3) of the EAR. 

Similarly, the license requirements in 

§ 746.8(a)(1) are not used to determine 

controlled U.S.-content under the EAR’s 

de minimis rules, as set forth in 

supplement no. 2 to part 734 of the 

EAR, provided the criteria in 

§ 746.8(a)(5)(i) and (ii) are met. 

Countries excluded from these 

requirements are listed in supplement 

no. 3 to part 746 (Russia and Belarus 

Exclusions List). As a result of South 

Korea’s commitment to implement 

substantially similar export controls on 

Russia and Belarus under its domestic 

laws, the Department of Commerce adds 

South Korea to supplement no. 3 to part 

746 in this rule with the designation of 

‘‘full.’’ 

Export Control Reform Act of 2018 

On August 13, 2018, the President 

signed into law the John S. McCain 

National Defense Authorization Act for 

Fiscal Year 2019, which included the 

Export Control Reform Act of 2018 

(ECRA) (codified, as amended, at 50 

U.S.C. 4801–4852). ECRA provides the 

legal basis for BIS’s principal authorities 

and serves as the authority under which 

BIS issues this rule. 

Rulemaking Requirements 

1. This final rule is not a ‘‘significant 

regulatory action’’ because it 

‘‘pertain[s]’’ to a ‘‘military or foreign 

affairs function of the United States’’ 

under sec. 3(d)(2) of Executive Order 

12866. 

2. Notwithstanding any other 

provision of law, no person is required 

to respond to, nor shall any person be 

subject to a penalty for failure to comply 

with, a collection of information subject 

to the requirements of the Paperwork 

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

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

information displays a currently valid 

Office of Management and Budget 

(OMB) Control Number. This rule 

involves the following OMB-approved 

collections of information subject to the 

PRA: 0694–0088, ‘‘Multi-Purpose 

Application,’’ which carries a burden 

hour estimate of 29.6 minutes for a 

manual or electronic submission; 0694– 

0096 ‘‘Five Year Records Retention 

Period,’’ which carries a burden hour 

estimate of less than 1 minute; and 

0607–0152 ‘‘Automated Export System 

(AES) Program,’’ which carries a burden 

hour estimate of 3 minutes per 

electronic submission. BIS anticipates 

this rule will result in a slight decrease 

in the number of estimated license 

applications because this rule provides 


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13628 Federal Register / Vol. 87, No. 47 / Thursday, March 10, 2022 / Rules and Regulations 

1ARPA, Public Law 117–2, sec. 3301, codified at 

12 U.S.C. 5701 et seq. SSBCI was originally 

established in Title III of the Small Business Jobs 

Act of 2010. 

relief from the burden of the new Russia 

Sanctions rule and Belarus Sanctions 

rule requirements that would otherwise 

pertain to items produced in, exported 

or reexported from South Korea, or 

transferred (in-country). Thus, this rule 

does not create a substantive change to 

OMB Control Numbers 0694–0088, 

0694–0096, or 0607–0152. 

3. This rule does not contain policies 

with federalism implications as that 

term is defined in Executive Order 

13132. 

4. Pursuant to section 1762 of the 

Export Control Reform Act of 2018 (50 

U.S.C. 4821) (ECRA), this action is 

exempt from the Administrative 

Procedure Act (APA) (5 U.S.C. 553) 

requirements for notice of proposed 

rulemaking, opportunity for public 

participation, and delay in effective 

date. While section 1762 of ECRA 

provides sufficient authority for such an 

exemption, this action is also 

independently exempt from these APA 

requirements because it involves a 

military or foreign affairs function of the 

United States (5 U.S.C. 553(a)(1)). 

5. Because a notice of proposed 

rulemaking and an opportunity for 

public comment are not required to be 

given for this rule by 5 U.S.C. 553, or 

by any other law, the analytical 

requirements of the Regulatory 

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

not applicable. Accordingly, no 

regulatory flexibility analysis is 

required, and none has been prepared. 

List of Subjects in 15 CFR Part 746 

Exports, Reporting and recordkeeping 

requirements. 

For the reasons stated in the 

preamble, part 746 of the Export 

Administration Regulations (15 CFR 

parts 730 through 774) is amended as 

follows: 

PART 746—EMBARGOES AND OTHER 

SPECIAL CONTROLS 

■ 1. The authority citation for 15 CFR 

part 746 continues to read as follows: 

Authority: 50 U.S.C. 4801–4852; 50 U.S.C. 

4601 et seq.; 50 U.S.C. 1701 et seq.; 22 U.S.C. 

287c; Sec. 1503, Pub. L. 108–11, 117 Stat. 

559; 22 U.S.C. 2151 note; 22 U.S.C. 6004; 22 

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

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

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

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

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

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

Presidential Determination 2003–23, 68 FR 

26459, 3 CFR, 2004 Comp., p. 320; 

Presidential Determination 2007–7, 72 FR 

1899, 3 CFR, 2006 Comp., p. 325; Notice of 

May 6, 2021, 86 FR 26793 (May 10, 2021). 

■ 2. Supplement no. 3 to part 746 is 

amended by adding an entry for ‘‘South 

Korea’’ in alphabetical order to read as 

follows: 

Supplement No. 3 to Part 746— 

Countries Excluded From Certain 

License Requirements of § 746.8 

* * * * * 

Country Scope Federal Register citation 

*******

South Korea .................................................. Full ............................................................... 87 FR [INSERT FR PAGE NUMBER] 3/10/2022. 

*******

Thea D. Rozman Kendler, 

Assistant Secretary for Export 

Administration. 

[FR Doc. 2022–05025 Filed 3–4–22; 4:15 pm] 

BILLING CODE 3510–33–P 

DEPARTMENT OF THE TREASURY 

31 CFR Part 35 

RIN 1505–AC79 

State Small Business Credit Initiative; 

Demographics-Related Reporting 

Requirements 

AGENCY: Department of the Treasury. 

ACTION: Interim final rule. 

SUMMARY: The Secretary of the Treasury 

is issuing this interim final rule to 

institute the reporting requirements 

related to demographics of those who 

own or control small businesses that 

receive a loan, investment, other credit 

or equity support, or technical 

assistance under the State Small 

Business Credit Initiative under the 

American Rescue Plan Act of 2021. 

DATES: 

Effective date: This interim final rule 

is effective March 9, 2022. 

Comment date: Comments must be 

received on or before April 11, 2022. 

ADDRESSES: Please submit comments 

electronically through the Federal 

eRulemaking Portal: https://

www.regulations.gov. Comments can be 

mailed to the Office of Recovery 

Programs, Department of the Treasury, 

1500 Pennsylvania Avenue NW, 

Washington, DC 20220. Because postal 

mail may be subject to processing delay, 

it is recommended that comments be 

submitted electronically. All comments 

should be captioned with ‘‘SSBCI 

Interim Final Rule Comments.’’ Please 

include your name, organization 

affiliation, address, email address and 

telephone number in your comment. 

Where appropriate, a comment should 

include a short executive summary. In 

general, comments received will be 

posted on https://www.regulations.gov 

without change, including any business 

or personal information provided. 

Comments received, including 

attachments and other supporting 

materials, will be part of the public 

record and subject to public disclosure. 

Do not enclose any information in your 

comment or supporting materials that 

you consider confidential or 

inappropriate for public disclosure. 

FOR FURTHER INFORMATION CONTACT: Jeff 

Stout, Director, Office of Federal 

Program Finance, at (202) 622–2059 or 

ssbci_information@treasury.gov. 

SUPPLEMENTARY INFORMATION: 

I. Background 

The American Rescue Plan Act of 

2021 (ARPA) reauthorized and amended 

the Small Business Jobs Act of 2010 

(SBJA) to provide $10 billion to fund the 

State Small Business Credit Initiative 

(SSBCI) as a response to the economic 

effects of the COVID–19 pandemic.1

SSBCI is a federal program administered 

by the U.S. Department of the Treasury 

(Treasury) that was created to 

strengthen the programs of eligible 

jurisdictions that support private 

financing for small businesses. Eligible 

jurisdictions include states, territories, 

Tribal governments, and eligible 

municipalities. SSBCI is expected to, in 

conjunction with new small business 

financing, create billions of dollars in 

lending to, and investments in, small 

businesses. 


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