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Robert S. Kovac Acting Deputy Assistant Secretary of State Bureau of Political Military Affairs

Defense Trade. Robert S. Kovac Acting Deputy Assistant Secretary of State Bureau of Political Military Affairs. Topics. Mission NSPD-56 Performance AS and UK DTCTs Issues of Concern. Defense Trade Mission.

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Robert S. Kovac Acting Deputy Assistant Secretary of State Bureau of Political Military Affairs

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  1. Defense Trade Robert S. Kovac Acting Deputy Assistant Secretary of State Bureau of Political Military Affairs

  2. Topics • Mission • NSPD-56 • Performance • AS and UK DTCTs • Issues of Concern

  3. Defense Trade Mission Advance US national security and foreign policy through licensing of direct commercial sales in defense articles and the development and enforcement of defense trade export control laws, regulations and polices.

  4. NSPD-56 Defense Trade Reform • Signed by the President on Jan 22, 2008 • Directed the most far reaching reforms to the defense trade process in 16 years • Mandated specific process and resource requirements to support an export control system that is transparent, predictable, and timely.

  5. Policy and Reg Changes • 60 day license suspense unless specific national security concerns apply • Dual/Third County Nationals (124.16) • New registration fee structure • Cat VIII Update • 123.9(e) change to include NATO organizations • Foreign Person Hire requirements limited to a single license

  6. Process Improvements • Weekly 45 and 60-Day Reviews • Weekly “5%” QA Reviews • Published Operating Procedures • Performance Metrics • Increased Outreach • Updated Guidelines

  7. Improvement Metrics • OEF/OIF: 80% faster • Open Cases: 66% reduction • Overall Case Processing: 55% faster • RWA Rate: 58% reduction • CJs: 33% faster • All occurred while the number of cases received increased

  8. License Processing Times

  9. NSPD-56 Status – Open Tasks • CJ 60 day process • DAS Adjudication mechanism • Fully electronic licensing

  10. Defense Trade Treaties • Defense Trade Cooperation Treaties between the U.S. and the UK and the U.S. and Australia were not ratified by the 110th Congress. • The Department has been discussing resubmission with the Senate. • Although no decision has been made concerning when they will be submitted, they remain a Department priority. • DDTC remains committed to publishing the implementation rules for public comment before going final.

  11. Areas of Concern • Foreign “ITAR free” products • Non-governmental ownership • “All or nothing” jurisdiction • Foreign partner involvement with proscribed destinations

  12. In Closing • Improvements to date have been impressive and work will continue • Improvements will be made in accordance with the law • Once the new team is onboard we will be developing the next/new Defense Trade priorities

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