[Federal Register Volume 71, Number 134 (Thursday, July 13, 2006)]
[Proposed Rules]
[Page 39603]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-11056]
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Parts 740, 742, 748, 754, and 772
[Docket No. 030425102-6179-03]
RIN 0694-AC20
Mandatory Use of Simplified Network Application Processing System
AGENCY: Bureau of Industry and Security, Commerce.
ACTION: Proposed rule--withdrawal.
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SUMMARY: The Bureau of Industry and Security (BIS) is withdrawing a
proposed rule that would have made use of the Simplified Network
Application Process (SNAP) mandatory and that would have
comprehensively revised the provisions of the Export Administration
Regulations (EAR) that govern electronic filing. BIS is continuing to
work on improvements to its on-line application system and will issue
new rules as needed to implement those improvements.
DATES: The proposed rule is withdrawn as of July 13, 2006.
FOR FURTHER INFORMATION CONTACT: William Arvin, Office of Exporter
Services, Regulatory Policy Division: e-mail [email protected],
telephone (202) 482-2440.
SUPPLEMENTARY INFORMATION:
Background
On November 12, 2003 (68 FR 64009), the Bureau of Industry and
Security published a proposed rule that would have required that all
applications for export licenses, reexport licenses, license exception
AGR submissions, classification requests and encryption review requests
be submitted via a to-be-instituted revised Simplified Network
Application Process unless certain enumerated exceptions applied, and
that would have extensively revised the requirements for electronic
filing of certain applications (the November 2003 proposed rule). The
November 2003 proposed rule would also have allowed organizations that
use the system, once registered, to add, remove and adjust the
authority level of individual users authorized to file applications and
notices on behalf of that organization. The November 2003 proposed rule
would have permitted the electronic filing of attachments, and required
that all attachments to applications and notices be in text searchable
pdf format.
The original comment period expired on January 12, 2004, but was
extended to February 12, 2004 (69 FR 1685, January 12, 2004). BIS
received 16 comments on the proposed rule. Although a number of
commenters generally favored expanded electronic filing in principle,
many were opposed to the requirement that attachments be in text
searchable pdf format, generally citing the cost of producing such
documents, particularly if the source documents had to be scanned from
poor quality, oversized or bound originals. Other commenters opposed
making electronic filing mandatory, and still others, although not
opposed to mandatory electronic filing in principle, stated that no
mandatory filing rule should be imposed until after the improved system
had been deployed and was operating reliably.
Since the publication of the November 2003 proposed rule, BIS has
reassessed its efforts to improve electronic filing of license
applications and as a result of that reassessment, determined to
release improvements and modifications to its electronic filing system
in small installments rather than in the single complete restructuring
that the November 2003 proposed rule contemplated. BIS may at times
find it necessary to amend the Export Administration Regulations to
conform with some of those installments. However, BIS has concluded
that a single rule comprehensively rewriting the EAR provisions
relating to electronic filing as it proposed in the November 2003
proposed rule no longer is consistent with the manner in which it plans
to modernize its electronic filling process. In addition, BIS agrees
with the commenters to the November 2003 proposed rule who stated that
any revised electronic system should be put into place and be operating
reliably before any rule making its use mandatory is published.
Accordingly, BIS is withdrawing the November 2003 proposed rule.
BIS is continuing to work on improvements to its on-line application
system and will issue new rules as needed to implement those
improvements.
Dated: June 30, 2006.
Matthew S. Borman,
Deputy Assistant Secretary for Export Administration.
[FR Doc. E6-11056 Filed 7-12-06; 8:45 am]
BILLING CODE 3510-33-P