[Federal Register Volume 81, Number 29 (Friday, February 12, 2016)]
[Notices]
[Pages 7528-7530]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-02918]


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DEPARTMENT OF DEFENSE

Office of the Secretary

[Transmittal No. 15-45]


36(b)(1) Arms Sales Notification

AGENCY: Department of Defense, Defense Security Cooperation Agency.

ACTION: Notice.

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SUMMARY: The Department of Defense is publishing the unclassified text 
of a section 36(b)(1) arms sales notification. This is published to 
fulfill the requirements of section 155 of Public Law 104-164 dated 
July 21, 1996.

FOR FURTHER INFORMATION CONTACT: Sarah A. Ragan or Heather N. Harwell, 
DSCA/LMO, (703) 604-1546/(703) 607-5339.
    The following is a copy of a letter to the Speaker of the House of 
Representatives, Transmittal 15-45 with attached Policy Justification 
and Sensitivity of Technology.

    Dated: February 9, 2016.
Aaron Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
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[GRAPHIC] [TIFF OMITTED] TN12FE16.006

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Transmittal No. 15-45

Notice of Proposed Issuance of Letter of Offer Pursuant to Section 
36(b)(1) of the Arms Export Control Act, as amended

    (i) Prospective Purchaser: Taipei Economic and Cultural 
Representative Office in the United States
    (ii) Total Estimated Value:

Major Defense Equipment*................................     $10 million
Other...................................................     $65 million
                                                         ---------------
Total...................................................     $75 million
 

    (iii) Description and Quantity or Quantities of Articles or 
Services under Consideration for Purchase:
    Major Defense Equipment (MDE) includes:
    Four (4) Multifunctional Information Distribution Systems (MIDS) On 
Ship Low Volume Terminals (LVTs)
    Four (4) Command and Control Processor (C2P) units
    Non-MDE items included are the installation and integration of 
Taiwan Advanced Tactical Data Link System (TATDLS) beyond line-of-sight 
datalink capability on six (6) Perry Class Frigates (PFG-2) and four 
(4) Lafayette Class (PFG-3) ships, up to ten (10) High Frequency 
Radios, and ten (10) Data Terminal Sets (DTSs). Also included are spare 
and repair parts; support equipment; communications equipment; 
maintenance support; personnel training and training equipment; 
publications and technical documentation; U.S. Government and 
contractor engineering and technical support services; and other 
related elements of logistics and program support.
    (iv) Military Department: Navy (GOX)

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    (v) Prior Related Cases, if any:

FMS Case GNU-$290M-13JUL10
FMS Case GMK-$277M-10JAN03

    (vi) Sales Commission, Fee. etc., Paid, Offered, or Agreed to be 
Paid: None
    (vii) Sensitivity of Technology Contained in the Defense Article or 
Defense Services Proposed to be Sold: See Attached Annex
    (viii) Date Report Delivered to Congress: 16 December 2015
    *as defined in Section 47(6) of the Arms Export Control Act.

POLICY JUSTIFICATION

Taipei Economic and Cultural Representative Office in the United 
States-Taiwan Advanced Tactical Data Link System (TATDLS) and Link-11 
Integration

    The Taipei Economic and Cultural Representative Office in the 
United States has requested a possible sale of four (4) Multifunctional 
Information Distribution Systems (MIDS) On Ship Low Volume Terminals 
(LVTs), and four (4) Command and Control Processor (C2P) units. Also 
included will be the installation and integration of Taiwan Advanced 
Tactical Data Link System (TATDLS) beyond line-of-sight datalink 
capability on six (6) Perry Class (PFG-2) and four (4) Lafayette Class 
(PFG-3) ships, up to ten (10) High Frequency Radios, ten (10) Data 
Terminal Sets (DTSs), spare and repair parts, support equipment, 
communications equipment, maintenance support, personnel training and 
training equipment, publications and technical documentation, U.S. 
Government and contractor engineering and technical support services, 
and other related elements of logistics and program support. The 
estimated value is $75 million.
    This sale is consistent with United States law and policy as 
expressed in Public Law 96-8.
    This proposed sale serves U.S. national, economic, and security 
interests by supporting the recipient's continuing efforts to modernize 
its armed forces and enhance its defensive capability. The proposed 
sale will help improve the security of the recipient and assist in 
maintaining political stability, military balance, and economic 
progress in the region.
    The proposed sale will improve the recipient's capability in 
current and future defensive efforts. Under this case the recipient 
will update the existing Perry Class (PFG-2) (six ships) and Lafayette 
Class (PFG-3) (four ships) ships to match the configuration of ships 
updated under the Po Sheng and Syun An programs. Configuring the 
remaining ships to include TATDLS beyond line-of-sight datalink 
capability will allow data sharing capability with other platforms and 
improve the recipient's operational readiness for the systems provided 
under the previous Foreign Military Sales (FMS) cases. The recipient 
will have no difficulty absorbing this equipment into its armed forces.
    The proposed sale of this equipment and support will not 
significantly alter the basic military balance in the region.
    The principal contractor is unknown at this time and will be 
determined during contract negotiations. The purchaser normally 
requests industrial cooperation at forty percent, but at this time 
there are no known offset agreements proposed in connection with this 
potential sale.
    It is estimated that during implementation of this proposed sale a 
number of U.S. Government and contractor representatives will be 
assigned to the recipient or travel there intermittently during the 
program.
    There will be no adverse impact on U.S. defense readiness as a 
result of this proposed sale.
Transmittal No. 15-45

Notice of Proposed Issuance of Letter of Offer Pursuant to Section 
36(b)(l) of the Arms Export Control Act

Annex

Item No. vii

    (vii) Sensitivity of Technology:
    1. The equipment to be delivered under this case has been provided 
previously under Po Sheng TW-P-GMK and Syun An TW-P-GNU and is 
currently used by the customer. The efforts under this case will lead 
to the remaining Perry Class (PFG-2) (six ships) and Lafayette Class 
(PFG-3) (four ships) ships having the same configuration as ships 
previously integrated under Po Sheng, TW-P-GMK and Syun An, TW-P-GNU 
cases. The ships will have Taiwan Advanced Tactical Data Link System 
(TATDLS) beyond line-of-sight datalink capability, which provides data 
sharing capability with other platforms. The equipment being provided 
under this case is considered legacy technology within the U.S. Navy.
    2. The Multifunctional Information Distribution System (MIDS) On 
Ship Low Volume Terminal (LVT) hardware, publications, performance 
specifications, operational capability, parameters, vulnerabilities to 
countermeasures, and software documentation are classified 
CONFIDENTIAL. The classified information to be provided is necessary 
for the operation, maintenance, and repair (through intermediate level) 
of the data link terminal, installed systems, and related software. The 
recipient has previously received terminals under TW-P-GNU. Commercial 
Signal Message Processors (CSMPs) will be integrated into terminals 
provided. The operating system has CONFIDENTIAL software and operating 
elements; operating manuals are UNCLASSIFIED.
    3. The Command and Control Processor (C2P) provided will be Model 4 
or equivalent, which is considered legacy technology within the U.S. 
Navy. The operating system has CONFIDENTIAL software and operating 
elements; operating manuals are CONFIDENTIAL.
    4. The technical and operational elements of these systems, and any 
related data, are classified to protect vulnerabilities, design and 
performance parameters, and similar critical information. Uncontrolled 
release of sensitive technological information on these systems could 
reveal capabilities and possible vulnerabilities, which could be 
detrimental to the U.S. Navy.
    5. If a technologically advanced adversary were to obtain knowledge 
of the specific hardware and software elements, the information could 
be used to develop countermeasures that might reduce weapon system 
effectiveness or be used in the development of a system with similar 
advanced capabilities.
    6. All defense articles and services listed in this transmittal 
have been authorized for release and export to the recipient.

[FR Doc. 2016-02918 Filed 2-11-16; 8:45 am]
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