83_FR_54539 83 FR 54330 - Arms Sales Notification

83 FR 54330 - Arms Sales Notification

DEPARTMENT OF DEFENSE
Office of the Secretary

Federal Register Volume 83, Issue 209 (October 29, 2018)

Page Range54330-54332
FR Document2018-23601

The Department of Defense is publishing the unclassified text of a section 36(b)(1) arms sales notification.

Federal Register, Volume 83 Issue 209 (Monday, October 29, 2018)
[Federal Register Volume 83, Number 209 (Monday, October 29, 2018)]
[Notices]
[Pages 54330-54332]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-23601]


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DEPARTMENT OF DEFENSE

Office of the Secretary

[Transmittal No. 18-35]


Arms Sales Notification

AGENCY: Defense Security Cooperation Agency, Department of Defense.

ACTION: Arms sales notice.

-----------------------------------------------------------------------

SUMMARY: The Department of Defense is publishing the unclassified text 
of a section 36(b)(1) arms sales notification.

FOR FURTHER INFORMATION CONTACT: DSCA at dsca.ncr.lmo.mbx.info@mail.mil">dsca.ncr.lmo.mbx.info@mail.mil 
or (703) 697-9709.

SUPPLEMENTARY INFORMATION: This 36(b)(1) arms sales notification is 
published to fulfill the requirements of section 155 of Public Law 104-
164 dated July 21, 1996. The following is a copy of a letter to the 
Speaker of the House of Representatives, Transmittal 18-35 with 
attached Policy Justification and Sensitivity of Technology.

    Dated: October 24, 2018.
Aaron T. Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.

[[Page 54331]]

[GRAPHIC] [TIFF OMITTED] TN29OC18.005

Transmittal No. 18-35
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: Republic of Korea
    (ii) Total Estimated Value:

Major Defense Equipment *................  $365 million
Other....................................  $136 million
                                          ------------------------------
  TOTAL..................................  $501 million
 

    (iii) Description and Quantity or Quantities of Articles or 
Services under Consideration for Purchase:
    Major Defense Equipment (MDE): Sixty-four (64) Patriot Advanced 
Capability-3 (PAC-3) Missile Segment Enhancement (MSE) Missiles
    Non-MDE: Also included are two (2) PAC-MSE Test Missiles, range and 
test programs, publications and technical documentations, training 
equipment, spare parts, personnel training, U.S. Government and 
contractor technical, engineering, and logistics support services, and 
other related elements of logistics and program support.
    (iv) Military Department: Army (KS-B-ZGT)
    (v) Prior Related Cases, if any: None
    (vi) Sales Commission, Fee, etc., Paid, Offered, or Agreed to be 
Paid: None
    (vii) Sensitivity of Technology Contained in the Defense Article or

[[Page 54332]]

Defense Services Proposed to be Sold: See Annex Attached
    (viii) Date Report Delivered to Congress: September 13, 2018
    * As defined in Section 47(6) of the Arms Export Control Act.

POLICY JUSTIFICATION

Korea--Patriot Advanced Capabilitv-3 (PAC-3) Missile Segment 
Enhancement (MSE) Missiles

    The Republic of Korea (ROK) has requested to buy sixty four (64) 
Patriot Advanced Capability-3 (PAC-3) Missile Segment Enhancement (MSE) 
Missiles. Also included are two (2) PAC-MSE Test Missiles, range and 
test programs, publications and technical documentations, training 
equipment, spare parts, personnel training, U.S. Government and 
contractor technical, engineering, and logistics support services, and 
other related elements of logistics and program support. The total 
estimated program cost is $501 million.
    The ROK is one of the closest allies in the INDOPACOM Theater. The 
proposed sale will support U.S. foreign policy and national security 
objectives by meeting Korea's legitimate security and defense needs.
    The ROK will use the Patriot missile system to improve its missile 
defense capability, defend its territorial integrity and deter threats 
to regional stability. The proposed sale will increase the defensive 
capabilities of the ROK Military to guard against hostile aggression 
and shield the allies who train and operate within South Korea's 
borders. The ROK should have no difficulty absorbing this system into 
its armed forces.
    The proposed sale of this equipment and support does not alter the 
basic military balance in the region.
    The prime contractor will be Lockheed-Martin, Dallas, Texas. There 
are no known offset agreements expected to be proposed in connection 
with this potential sale.
    Implementation of this proposed sale will not require the 
assignment of any additional U.S. Government or contractor 
representatives to the Republic of Korea.
    There will be no adverse impact on U.S. defense readiness as a 
result of this proposed sale.
Transmittal No. 18-35
Notice of Proposed Issuance of Letter of Offer Pursuant to Section 
36(b)(1) of the Arms Export Control Act
Annex
Item No. vii
    (vii) Sensitivity of Technology:
    1. The Patriot Air Defense System contains classified CONFIDENTIAL 
hardware components, SECRET tactical software and critical/sensitive 
technology. The Patriot Advanced Capability-3 (PAC-3) Missile Segment 
Enhancement (MSE) hardware is classified CONFIDENTIAL and the 
associated launcher hardware is UNCLASSIFIED. With the incorporation of 
the PAC-3 MSE missiles, the Patriot system will continue to hold a 
significant technology lead over other surface-to-air missile systems 
in the world.
    2. The PAC-3 MSE sensitive/critical technology is primarily in the 
area of design and production know-how and primarily inherent in the 
design, development and/or manufacturing data related to certain 
components.
    3. Information on system performance capabilities, effectiveness, 
survivability, missile seeker capabilities, select software/software 
documentation and test data are classified up to and including SECRET.
    4. 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 or 
advanced capabilities.
    5. A determination has been made that the recipient government can 
provide substantially the same degree of protection for the technology 
being released as the U.S. Government. This sale supports the U.S. 
foreign policy and national security objectives as outlined in the 
Policy Justification.
    6. All defense articles and services listed in this transmittal 
have been authorized for release and export to the ROK.

[FR Doc. 2018-23601 Filed 10-26-18; 8:45 am]
 BILLING CODE 5001-06-P



                                              54330                        Federal Register / Vol. 83, No. 209 / Monday, October 29, 2018 / Notices

                                              Register document. The general policy                   debarred/Bidder Experience List firms                   Dated: October 24, 2018.
                                              for comments and other submissions                      or individuals. The EUC informs the                   Aaron T. Siegel,
                                              from members of the public is to make                   recipients that when this property is to              Alternate OSD Federal Register Liaison
                                              these submissions available for public                  be exported, they must comply with the                Officer, Department of Defense.
                                              viewing on the internet at http://                      International Traffic in Arms Regulation              [FR Doc. 2018–23579 Filed 10–26–18; 8:45 am]
                                              www.regulations.gov as they are                         (ITAR), 22 CFR 120 et seq.; Export                    BILLING CODE 5001–06–P
                                              received without change, including any                  Administration Regulations (EAR), 15
                                              personal identifiers or contact                         CFR 730 et seq.; Office of Foreign Asset
                                              information.                                            Controls (OFAC), 31 CFR 500 et seq.;                  DEPARTMENT OF DEFENSE
                                                                                                      and the United States Customs Service
                                              FOR FURTHER INFORMATION CONTACT:       To                                                                     Office of the Secretary
                                                                                                      rules and regulations.
                                              request more information on this
                                                                                                         Affected Public: Individuals or
                                              proposed information collection or to                                                                         [Transmittal No. 18–35]
                                                                                                      households; business or other for-profit;
                                              obtain a copy of the proposal and
                                                                                                      not-for-profit institutions.
                                              associated collection instruments,                                                                            Arms Sales Notification
                                                                                                         Annual Burden Hours: 14,000.
                                              please write to Defense Logistics Agency
                                                                                                         Number of Respondents: 42,000.                     AGENCY: Defense Security Cooperation
                                              Headquarters, ATTN: Mr. Steven Nace,                       Responses per Respondent: 1.
                                              J349, 8725 John J. Kingman Rd., Ft.                                                                           Agency, Department of Defense.
                                                                                                         Annual Responses: 42,000.                          ACTION: Arms sales notice.
                                              Belvoir, VA 22060–6221; or call (571)                      Average Burden per Response: 20
                                              767–6582.                                               minutes.                                              SUMMARY:   The Department of Defense is
                                              SUPPLEMENTARY INFORMATION:                                 Frequency: On occasion.                            publishing the unclassified text of a
                                                 Title; Associated Form; and OMB                         Respondents are individuals/                       section 36(b)(1) arms sales notification.
                                              Number: End-Use Certificate; DLA Form                   businesses/contractors who receive                    FOR FURTHER INFORMATION CONTACT:
                                              1822; OMB Control Number 0704–0382.                     defense property identified as U.S.                   DSCA at dsca.ncr.lmo.mbx.info@
                                                 Needs and Uses: All individuals                      Munitions List Items and Commerce                     mail.mil or (703) 697–9709.
                                              wishing to acquire DOD/Government                       Control List Items through: Purchase,
                                                                                                                                                            SUPPLEMENTARY INFORMATION: This
                                              property identified as U.S. Munitions                   exchange/trade sale, authorized transfer
                                              List Items (MLI) or Commerce Control                    or donation. They are checked to                      36(b)(1) arms sales notification is
                                              List Item (CCLI) must complete this                     determine if they are responsible, not                published to fulfill the requirements of
                                              form each time they enter into a                        debarred bidders, Specially Designated                section 155 of Public Law 104–164
                                              transaction. It is used to clear recipients             Nationals or Blocked Persons, or have                 dated July 21, 1996. The following is a
                                              to ensure their eligibility to conduct                  not violated U.S. export laws. The form               copy of a letter to the Speaker of the
                                              business with the government. That                      is available on the DOD DEMIL/Trade                   House of Representatives, Transmittal
                                              they are not debarred bidders; Specially                Security Controls web page, DLA                       18–35 with attached Policy Justification
                                              Designated Nationals (SDN) or Blocked                   Disposition Services usable property                  and Sensitivity of Technology.
                                              Persons; have not violated U.S. export                  sales web page, General Services                        Dated: October 24, 2018.
                                              laws; will not divert the property to                   Administration (GSA) auction web page,                Aaron T. Siegel,
                                              denied/sanctioned countries,                            and Defense Contract Management                       Alternate OSD Federal Register Liaison
                                              unauthorized destinations or sell to                    Agency offices, FormFlow and ProForm.                 Officer, Department of Defense.
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                                                                                   Federal Register / Vol. 83, No. 209 / Monday, October 29, 2018 / Notices                                           54331




                                              Transmittal No. 18–35                                              (iii) Description and Quantity or                   Government and contractor technical,
                                              Notice of Proposed Issuance of Letter of                         Quantities of Articles or Services under              engineering, and logistics support
                                              Offer Pursuant to Section 36(b)(1) of the                        Consideration for Purchase:                           services, and other related elements of
                                              Arms Export Control Act, as amended                                Major Defense Equipment (MDE):                      logistics and program support.
                                                                                                               Sixty-four (64) Patriot Advanced                        (iv) Military Department: Army (KS–
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                                                (i) Prospective Purchaser: Republic of                         Capability–3 (PAC–3) Missile Segment                  B–ZGT)
                                              Korea                                                            Enhancement (MSE) Missiles
                                                                                                                                                                       (v) Prior Related Cases, if any: None
                                                (ii) Total Estimated Value:                                      Non-MDE: Also included are two (2)
                                                                                                               PAC–MSE Test Missiles, range and test                   (vi) Sales Commission, Fee, etc., Paid,
                                              Major Defense Equipment * ..                   $365 million                                                            Offered, or Agreed to be Paid: None
                                              Other ......................................   $136 million      programs, publications and technical
                                                                                                               documentations, training equipment,                     (vii) Sensitivity of Technology
                                                                                                                                                                                                                 EN29OC18.005</GPH>




                                                 TOTAL ...............................       $501 million      spare parts, personnel training, U.S.                 Contained in the Defense Article or


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                                              54332                        Federal Register / Vol. 83, No. 209 / Monday, October 29, 2018 / Notices

                                              Defense Services Proposed to be Sold:                      1. The Patriot Air Defense System                  information under the provisions of the
                                              See Annex Attached                                      contains classified CONFIDENTIAL                      Paperwork Reduction Act.
                                                (viii) Date Report Delivered to                       hardware components, SECRET tactical                  DATES: Consideration will be given to all
                                              Congress: September 13, 2018                            software and critical/sensitive                       comments received by November 28,
                                                * As defined in Section 47(6) of the                  technology. The Patriot Advanced                      2018.
                                              Arms Export Control Act.                                Capability-3 (PAC–3) Missile Segment                  ADDRESSES: Comments and
                                                                                                      Enhancement (MSE) hardware is                         recommendations on the proposed
                                              POLICY JUSTIFICATION
                                                                                                      classified CONFIDENTIAL and the                       information collection should be
                                              Korea—Patriot Advanced Capabilitv–3                     associated launcher hardware is                       emailed to Ms. Jasmeet Seehra, DoD
                                              (PAC–3) Missile Segment Enhancement                     UNCLASSIFIED. With the incorporation                  Desk Officer, at oira_submission@
                                              (MSE) Missiles                                          of the PAC–3 MSE missiles, the Patriot                omb.eop.gov. Please identify the
                                                 The Republic of Korea (ROK) has                      system will continue to hold a                        proposed information collection by DoD
                                              requested to buy sixty four (64) Patriot                significant technology lead over other                Desk Officer, Docket ID number, and
                                              Advanced Capability-3 (PAC–3) Missile                   surface-to-air missile systems in the                 title of the information collection.
                                              Segment Enhancement (MSE) Missiles.                     world.
                                                                                                                                                            FOR FURTHER INFORMATION CONTACT: Fred
                                              Also included are two (2) PAC–MSE                          2. The PAC–3 MSE sensitive/critical                Licari, 571–372–0493, or whs.mc-
                                              Test Missiles, range and test programs,                 technology is primarily in the area of                alex.esd.mbx.dd-dod-information-
                                              publications and technical                              design and production know-how and                    collections@mail.mil.
                                              documentations, training equipment,                     primarily inherent in the design,
                                                                                                                                                            SUPPLEMENTARY INFORMATION:
                                              spare parts, personnel training, U.S.                   development and/or manufacturing data
                                                                                                                                                               Title; Associated Form; and OMB
                                              Government and contractor technical,                    related to certain components.
                                                                                                                                                            Number: Mandatory Disclosures as Part
                                              engineering, and logistics support                         3. Information on system performance               of Limitations on Terms of Consumer
                                              services, and other related elements of                 capabilities, effectiveness, survivability,           Credit Extended to Service Members
                                              logistics and program support. The total                missile seeker capabilities, select                   and Dependents; OMB Control Number
                                              estimated program cost is $501 million.                 software/software documentation and                   0704–0444.
                                                 The ROK is one of the closest allies                 test data are classified up to and                       Type of Request: Reinstatement
                                              in the INDOPACOM Theater. The                           including SECRET.                                     without Change.
                                              proposed sale will support U.S. foreign                    4. If a technologically advanced                      Number of Respondents: 37,500.
                                              policy and national security objectives                 adversary were to obtain knowledge of                    Responses per Respondent: Varies by
                                              by meeting Korea’s legitimate security                  the specific hardware and software                    type of respondent.
                                              and defense needs.                                      elements, the information could be used                  Annual Responses: 238,000,000.
                                                 The ROK will use the Patriot missile                 to develop countermeasures that might                    Average Burden per Response: 30
                                              system to improve its missile defense                   reduce weapon system effectiveness or                 seconds.
                                              capability, defend its territorial integrity            be used in the development of a system                   Annual Burden Hours: 2,000,000.
                                              and deter threats to regional stability.                with similar or advanced capabilities.                   Needs and Uses: With respect to any
                                              The proposed sale will increase the                        5. A determination has been made                   extension of consumer credit to a
                                              defensive capabilities of the ROK                       that the recipient government can                     covered borrower, a creditor is required
                                              Military to guard against hostile                       provide substantially the same degree of              to provide to the borrower a statement
                                              aggression and shield the allies who                    protection for the technology being                   of Military Annual Percentage Rate
                                              train and operate within South Korea’s                  released as the U.S. Government. This                 (MAPR). The required information
                                              borders. The ROK should have no                         sale supports the U.S. foreign policy and             would be included in standard account
                                              difficulty absorbing this system into its               national security objectives as outlined              agreements. Additionally, a creditor
                                                                                                      in the Policy Justification.                          may, at its discretion, identify the status
                                              armed forces.
                                                 The proposed sale of this equipment                     6. All defense articles and services               of a consumer-applicant, as permitted
                                                                                                      listed in this transmittal have been                  under 32 CFR 232.5(b) of the final rule
                                              and support does not alter the basic
                                                                                                      authorized for release and export to the              and, in the event that the information
                                              military balance in the region.
                                                                                                      ROK.                                                  indicates that consumer-applicant is not
                                                 The prime contractor will be
                                                                                                                                                            a covered borrower, take advantage of a
                                              Lockheed-Martin, Dallas, Texas. There                   [FR Doc. 2018–23601 Filed 10–26–18; 8:45 am]
                                                                                                                                                            safe harbor from liability under 10
                                              are no known offset agreements                          BILLING CODE 5001–06–P
                                                                                                                                                            U.S.C. 987 by retaining a record of the
                                              expected to be proposed in connection
                                                                                                                                                            information so obtained. This includes
                                              with this potential sale.
                                                                                                                                                            Military Annual Percentage Rate
                                                 Implementation of this proposed sale                 DEPARTMENT OF DEFENSE
                                                                                                                                                            (MAPR) applicable to the extension of
                                              will not require the assignment of any
                                                                                                      Office of the Secretary                               consumer credit, and the total dollar
                                              additional U.S. Government or
                                                                                                                                                            amount of all charges included in the
                                              contractor representatives to the
                                                                                                      [Docket ID: DOD–2018–OS–0052]                         MAPR.
                                              Republic of Korea.
                                                                                                                                                               Affected Public: Business or other for-
                                                 There will be no adverse impact on
                                                                                                      Submission for OMB Review;                            profit.
                                              U.S. defense readiness as a result of this                                                                       Frequency: As required.
                                              proposed sale.                                          Comment Request
                                                                                                                                                               Respondent’s Obligation: Mandatory.
                                              Transmittal No. 18–35                                   AGENCY:  Office of the Under Secretary of                OMB Desk Officer: Ms. Jasmeet
                                                                                                      Defense for Personnel and Readiness,                  Seehra.
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                                              Notice of Proposed Issuance of Letter of                DoD.                                                     You may also submit comments and
                                              Offer Pursuant to Section 36(b)(1) of the                                                                     recommendations, identified by Docket
                                                                                                      ACTION: 30-Day information collection
                                              Arms Export Control Act                                                                                       ID number and title, by the following
                                                                                                      notice.
                                              Annex                                                                                                         method:
                                                                                                      SUMMARY:  The Department of Defense                      • Federal eRulemaking Portal: http://
                                              Item No. vii                                            has submitted to OMB for clearance the                www.regulations.gov. Follow the
                                                 (vii) Sensitivity of Technology:                     following proposal for collection of                  instructions for submitting comments.


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Document Created: 2018-10-27 01:11:02
Document Modified: 2018-10-27 01:11:02
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionArms sales notice.
ContactDSCA at [email protected] or (703) 697-9709.
FR Citation83 FR 54330 

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