Briefing on Export Control Regulations

1. Briefing on Export Control Regulations Wayne State University Office of the Vice President for Research

2. What are Export Controls? Federal regulations that control the conditions under which certain information, technologies, and commodities can be transmitted overseas to anyone, including U.S. citizens, or to a foreign national on U.S. soil.� Export control laws apply to a broad range of University activities and may have a substantial impact WSU�s academic and research programs

3. What are Export Controls?A Brief History 9/1985: National Security Decision Directive 189 established a national policy for controlling the flow of information produced in federally funded fundamental research at colleges, universities and laboratories 11/2001: After the attack on the World Trade Center Secretary of State Condoleeza Rice reaffirmed the enforcement of NSDD 12/2006: Government Accountability Office published study of export control programs at selected universities improved federal guidance is needed for universities

4. Regulatory Agencies Department of Commerce Export Administration Regulations (EAR) Department of State International Traffic in Arms Regulations (ITAR) Department of Treasury Office of Foreign Assets Control (OFAC)

5. What Areas of Universities are Affected by Export Control Regulations? Research Engineering, medicine, nursing, pharmacology, sciences, et al. Education and Training Computing and Information Technology Technology/Material Transfer Grants and contracts General Counsel International Study Programs Purchasing Shipping and Receiving Environmental Health and Safety International collaborations

6. Key Definitions Foreign National Deemed Exports Use Dual Use Fundamental Research Exemption

7. Foreign National Any person who is not a lawful permanent resident of the U.S. (a U.S. citizen, permanent resident [green card] or under asylum protection) Any foreign corporation or other entity or group that is not incorporated or organized to do business in the U.S. Any foreign government

8. Deemed Export The transfer of goods or technology within the United States to a Foreign National Includes oral, visual or written disclosure (i.e. laboratory tours, websites, emails, research collaboration and oral exchanges of information) Applies to disclosures to research assistants, students, visiting foreign researcher, U.S. citizens visiting a foreign country

9. Use Equipment operation, installation, maintenance, repair, overhaul, refurbishing If all 6 activities are present then some foreign nationals may be restricted with regard to �use� of equipment

10. Dual Use Any technology or information that has a both a military and civilian use Examples include: computers, software code, microorganisms and toxins, electronics (design, development and production), sensors, lasers, and telecommunications

11. Fundamental Research �Basic and applied research in science and engineering, the results of which ordinarily are published and shared broadly within the scientific community as distinguished from proprietary research and from industrial development, design, production and product utilization, the results of which ordinarily are restricted for proprietary or national security reasons�. (NSDD-189)

12. Fundamental Research Information that is generally accessible to the interested public: Periodicals, books, print, electronic and other media forms Libraries Open conferences Released by instruction in catalog courses Associated teaching laboratories of academic institutions Public information available on a patent application

13. Fundamental Research The Export Control Regulations do not apply to Fundamental Research Approximately 90% of all research falls under the Fundamental Research exclusion. HOWEVER Export Controls do apply if the University accepts any contract that Requires the exclusion of Foreign Nationals from participation (i.e. a license may be required) Restricts publication or disclosure of research results more than 90 days (e.g. for sponsor review)

14. Employment Exclusion No license is required in order to share controlled technical information with a foreign person who: Is a full-time, bona fide university employee and Has a permanent address in the US while employed, provided that person Is not a national of federally designated countries and Is advised in writing not to share controlled information with other foreign persons.

15. Education Exclusion No license is required to share with foreign persons �information concerning general scientific, mathematical or engineering principles commonly taught in universities or information in the public domain.�

16. Sanctions and Penalties Individual and institutional Criminal Up to $1 million for a university Up to $1 million for individuals per violation Up to 10 years imprisonment Civil Seizure and forfeiture of controlled item(s) Up to $500,000 fine per violation Revocation of exporting privileges

17. Department of Commerce (EAR) Examples of Restrictions* Technology (specific information necessary for development, production or use of a product) Technical Data (i.e. blueprints, diagrams, formulae, manuals and instructions etc.) Use (operation, installation, maintenance, repair, overhaul and refurbishing) advanced materials, telecommunications, microelectronics, encryption, optoelectronics, encryption, biotechnology, computing, optoelectronics

18. Department of Commerce (EAR) Examples of Restrictions cont. Country Control of items based on technical parameters and country of ultimate destination. Denied Persons Persons denied export privileges, in whole or in part. Denied Entity Organizations identified as engaging in activities related to the proliferation of weapons of mass destruction. Depending on the item, a license may be required to export to an organization on the Entity List even if one is not otherwise required.

19. Examples of Restricted Countries Terrorism concerns Cuba, Iran, North Korea, Syria and Sudan Trade sanctions against transactions of value* Cuba, Balkans, Iran, Iraq, Libya, North Korea, Burma, Liberia, Sudan, Syria, Zimbabwe

20. How Restrictions Affectthe University The EAR and/or ITAR may require the University to obtain prior approval from State or Commerce for Foreign nationals to participate in research Collaborating with foreign nationals/entities International travel Sharing research (verbally or in writing) with Foreign Nationals Before allowing material transfer to designated persons or countries

21. Summary Export Control Regulations have far-reaching implications on everyday University activities Many units (administrative, academic, research) of the University are affected Compliance with regulations requires a university-wide oversight program Non-compliance with regulations places the University and its personnel at risk of fines and/or imprisonment