Basic Introduction to U.S. Export Control Regulations

1. Basic Introduction to U.S. Export Control Regulations

2. Why Should I Care? • Civil and Criminal Penalties • Big Fines • Jail Time • Willful Violations - $1 Million Per Violation/10 Years Prison • Accidental Violations - $500,000 Per Violation

3. Why Export Controls? “Unrestricted access by foreign parties to U.S. goods, technology and technical data constitutes an unusual and extraordinary threat to the national security, foreign policy, and the economy of the United States.” President Clinton’s Executive Order #12924 of August 19, 1994 - “Continuation of Export Control Regulations”

4. How Export Controls Work • You plan to send or provide access to a controlled item, or information about the item, to a non-U.S. person • Consult regulations • Type and specifications of controlled item • Destination country • Destination person • Type of use (operate, maintain, develop, produce) • No general prohibition applies and a general license or license exception is available - you proceed, or, • A license application is required and submitted for U.S. government review and approval

5. I Don’t “Export”, Do I? • Actual shipment of covered goods or information outside the U.S. • Electronic or digital transmission of covered goods or information outside the U.S. • Release, including verbal disclosure or visual inspection of covered information to a foreign person: • in the U.S. • or abroad.

7. Terrorist Supporting and Embargoed Countries

8. What is Covered by Export Controls? • Equipment - Oscilloscope, Incubator, Centrifuge, Fermenter, GPS Receiver, Protective Suits • Raw Materials - Chemicals, Metals, Timber • Biological Materials - Viruses, Toxins, Microorganisms • Hardware/Software - Laptops, Servers, Encryption • Technical Information - Manuscripts, Manuals, Patent Applications, Blueprints, In-person Instruction • Military Items – Weapons, Civilian items adapted to military specifications (e.g., equipment, biological materials, hardware) • Civilian Items - Mass Market Electronics • “Dual Use Items” – Military and Civilian Use - High Precision Electronic Switches

9. U.S. Munitions List Defense Articles and Services U.S. Dept. of State ITAR (International Traffic in Arms Regulations) - Covered munitions, technology and things having a primary application that is military.

10. The Commerce Control List (“CCL”) The CCL is divided into 10 categories: 0-Nuclear Materials, Facilities and Equipment and Miscellaneous 1-Materials, Chemicals, "Microorganisms," and Toxins 2-Materials Processing 3-Electronics 4-Computers 5-Telecommunications and Information Security 6-Lasers and Sensors 7-Navigation and Avionics 8-Marine 9-Propulsion Systems, Space Vehicles and Related Equipment Within each category, items are arranged by group. Each category contains the same five groups. Each Group is identified by the letters A through E, as follows: A-Equipment, Assemblies and Components B-Test, Inspection and Production Equipment C-Materials D-Software E-Technology

12. General Technology And Software Note The export of "technology" that is "required" for the "development", "production", or "use" of items on the Commerce Control List is controlled according to the provisions in each Category.

14. Temporary Export - Tool-of-the-Trade (“Laptop”) Exception • No License Required for temporary export of a “tool of the trade”, such as mass market software/laptop, if being used for an employer’s work, remains under the control of the U.S. person at all times and is returned to the U.S. within one year. • Exception does not apply to - information, materials, equipment, software or technology that is a defense article or service. • There are special controls for encryption software. • Presumed illegal to take tools-of-the-trade to embargoed countries

15. Public Domain Exception No Export License Required for information generally accessible to the public through sales at bookstores and newsstands, subscriptions to periodicals and journals, library materials, releases at open conferences and meetings, publicly available patents.

16. Fundamental Research Exception • No License Required to disclose scientific and technical information from basic research in science and engineering where the information is ordinarily published and shared broadly with the scientific community. • The information cannot be subject to any restrictions such as sponsor-imposed restrictions on sharing or using research results, except a brief, temporary delay to review results for patenting.

17. Some Countries that May be Subject to Restrictions on Encryption Software, Chemical and Biological Materials, Related Technology • Qatar • Russia • Saudi Arabia • Taiwan • Tajikstan • Turkmenistan • Ukraine • UAE • Uzbekistan • Vietnam • Yemen • Armenia • Azerbaijan • Bahrain • Belarus • Burma • PR China • Eqypt • Georgia • India • Iraq • Israel • Jordan • Kazakhstan • Kuwait • Kyrgyzstan • Lebanon • Macau • Moldova • Mongolia • Oman • Pakistan

18. Registered Student Exception • No License Required for educational information released by instruction in catalog courses and associated teaching laboratories. • Exception does not apply to instruction or training regarding design, development, engineering, manufacture, assembly, testing and use of a defense article or service, unless the information is commonly taught in schools, colleges or universities.

19. Full-time Employee Exception • No Export License Required for release of unclassified information about a defense article or service to a non-U.S. person who is: • a full-time, bona-fide employee of an institution of higher education • with a permanent abode in the U.S. during employment • provided the institution informs the employee in writing of export control restrictions.

20. All Academic Exceptions Require No Restrictions On Publication • Public Domain Information • Fundamental Research • Freely Disseminated (CCL) or • Ordinarily Freely Disseminated (USML) • Registered Students in “Catalog Courses” and Associated Teaching Laboratories at Academic Institutions

21. IV - 2.20 - POLICY ON CLASSIFIED AND PROPRIETARY WORK (Approved by the Board of Regents, April 25, 1991) POLICY It is the policy of the University of Maryland System that instruction, research, and services will be accomplished openly and without prohibitions on the publication and dissemination of the results of academic and research activities. Find the complete policy at: http://cf.umaryland.edu/hrpolicies/section4/t40220sa.html

22. UMB Export Control Contacts Equipment, Select Agents, Chemicals, Radiation James Jaeger Director, Environmental Health and Safety – X 6-7055 http://www.ehs.umaryland.edu/biosafety/sel_agent.cfm Grants, Contracts, Material Transfer Agreements, Confidentiality Agreements Marjorie Forster Assistant Vice President for Research – X 6-6631 Computers, Software, Electronic Communications Peter Murray Vice President for Computer Information Technology Operations – X 6-2461