[Federal Register Volume 76, Number 100 (Tuesday, May 24, 2011)]
[Rules and Regulations]
[Pages 29998-30001]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-12803]
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Part 744
[Docket No. 110502271-1278-01]
RIN 0694-AF24
Removal and Modifications for Persons Listed Under Russia on the
Entity List
AGENCY: Bureau of Industry and Security, Commerce.
ACTION: Final rule.
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SUMMARY: This final rule amends the Export Administration Regulations
(EAR) by removing one and revising two Russian entries on the Entity
List (Supplement No. 4 to Part 744). This final rule removes the
Federal Atomic Power of Russia (Rusatom) (now known as the Russian
State Corporation of Atomic Energy (Rosatom)) entry from the Entity
List and adds language clarifying that both the All-Russian Scientific
Research Institute of Technical Physics (VNIITF) and the All-Russian
Scientific Research Institute of Experimental Physics (VNIIEF), which
are Rosatom components, remain on the Entity List. In addition, this
rule adds additional aliases and revises some of the existing aliases
for the two Russian entries that are being retained on the Entity List.
These changes will better inform exporters, reexporters, and
transferors of the scope of these Entity List-based license
requirements.
The Entity List provides notice to the public that certain exports,
reexports, and transfers (in-country) to parties identified on the
Entity List require a license from the Bureau of Industry and Security
(BIS) and that availability of license exceptions in such transactions
is limited.
DATES: Effective Date: This rule is effective May 24, 2011.
FOR FURTHER INFORMATION CONTACT: Karen Nies-Vogel, Chair, End-User
Review Committee, Office of the Assistant Secretary, Export
Administration, Bureau of Industry and Security, Department of
Commerce, Phone: (202) 482-5991, Fax: (202) 482-3911, E-mail:
[email protected].
SUPPLEMENTARY INFORMATION:
Background
The Entity List provides notice to the public that certain exports,
reexports, and transfers (in-country) to entities identified on the
Entity List require a license from the Bureau of Industry and Security
(BIS) and that the availability of license exceptions in such
transactions is limited. Entities are placed on the Entity List on the
basis of certain sections of part 744 (Control Policy: End-User and
End-Use Based) of the EAR.
The End-User Review Committee (ERC), composed of representatives of
the Departments of Commerce (Chair), State, Defense, Energy and, when
appropriate, the Treasury, makes all decisions to make additions to,
removals from and other changes to the Entity List. The ERC makes all
decisions to add an entry to the Entity List by majority vote and all
decisions to remove or modify an entry by unanimous vote. The
Departments represented on the ERC approved these changes to the Entity
List.
Entity List Decisions
In recognition of the bilateral partnership between the United
States and Russia, a policy decision was made by the Departments
represented on the ERC to clarify the Russian entries on the Entity
List by removing one and revising two Russian entities listed on the
Entity List. The decision implemented by this final rule includes
removing the Federal Atomic Power of Russia (Rusatom) (which is now
known as the Russian State Corporation of Atomic Energy (Rosatom)) as
an individual entry on the Entity List and adding language to clarify
that two specified Russian entries (i.e., the All-Russian Scientific
Research Institute of Technical Physics (VNIITF) and the All-Russian
Scientific Research Institute of Experimental Physics (VNIIEF)) which
are Rosatom components, are both remaining on the Entity List. These
revisions further clarify that VNIITF and VNIIEF are the only Rosatom
components remaining on the Entity List. This language is being added
to clarify that neither Rosatom at locations outside of Snezhinsk and
Sarov nor any of its components or subsidiaries located outside of
Snezhinsk and Sarov are subject to the Entity List's supplemental
licensing requirements and policies.
In addition, this rule adds other aliases and revises some of the
existing aliases for the two Russian entries that are being retained on
the Entity List. These changes will better inform exporters,
reexporters, and transferors of the scope of these Entity List-based
license requirements.
A. Removal From the Entity List
This rule implements a policy decision made by the Departments
represented on the ERC to remove one Russian entity from the Entity
List. Specifically, this rule removes the Federal Atomic Power of
Russia (Rusatom), which is now known as the Russian State Corporation
of Atomic Energy (Rosatom) from the Entity List. However, VNIITF and
VNIIEF will remain on the Entity List. Moreover, this rule adds and
revises particular aliases of VNIITF and VNIIEF to the Entity List to
better assist exporters, reexporters and transferors in identifying
these two entities on the Entity List.
This rule removes the following person located in Russia from the
Entity List:
[[Page 29999]]
Russia
(1) Federal Atomic Power of Russia (Rusatom) (any entities,
institutes, or centers associated with), a.k.a. the following three
aliases:
--Federal Atomic Agency (FAAE);
--MINATOM; and
--Ministry of Atomic Power and Industry (MAPI).
Located in either Snezhinsk or Kremlev (Sarov).
The removal of this entity from the Entity List eliminates the
existing license requirements in Supplement No. 4 to part 744 for
exports, reexports and transfers (in-country) to this entity, although
those licensing requirements remain in place for VNIITF and VNIIEF.
Moreover, the removal of this entity from the Entity List does not
relieve persons of other obligations under part 744 of the EAR or under
other parts of the EAR. Neither the removal of an entity from the
Entity List nor the removal of Entity List-based license requirements
relieves persons of their obligations under General Prohibition 5 in
section 736.2(b)(5) of the EAR which provides that, ``you may not,
without a license, knowingly export or reexport any item subject to the
EAR to an end-user or end-use that is prohibited by part 744 of the
EAR.'' Nor do these removals relieve persons of their obligation to
apply for export, reexport or in-country transfer licenses required by
other provisions of the EAR. BIS strongly urges the use of Supplement
No. 3 to part 732 of the EAR, ``BIS's `Know Your Customer' Guidance and
Red Flags,'' when persons are involved in transactions that are subject
to the EAR.
B. Modifications to the Entity List
As noted above, this rule is removing the Russian entity Rusatom,
which is now known as Rosatom, from the Entity List. However, and also
as noted above, because Rosatom has components (VNIITF and VNIIEF)
located in Snezhinsk and Sarov that will remain on the Entity List,
this final rule specifies that VNIITF and VNIIEF will remain on the
Entity List.
In addition, the changes in the final rule include adding
additional aliases and revising some of the existing aliases for VNIITF
and VNIIEF to better assist exporters, reexporters and transferors in
identifying these two entities on the Entity List. Specifically, this
rule revises the following two persons on the Entity List:
Note: The asterisks below indicate where revisions are being
made to these two Russian entries on the Entity List.
Russia
(1) *All-Russian Scientific Research Institute of Technical Physics
(VNIITF), a.k.a., the following eight aliases:
*--Vserossiyskiy Nauchno-Issledovatelskiy Institut Tekhnicheskoy
Fiziki;
*--Russian Federal Nuclear Center-VNIITF (RFNC-VNIITF);
*--Kasli Nuclear Weapons Development Center;
*--Institute of Technical Physics;
*--Zababakhin Institute;
*--ARITP (All Russian Institute for Technical Physics);
--Federal State Unitary Enterprise Russian Federal Nuclear Center--
Academician E.I. Zababkhin All-Russian Scientific Research Institute of
Technical Physics (FGUPRFYaTs-VNIITF)
--Chelyabinsk--70,
(Address: P.O. Box 245, 456770, Snezhinsk, Chelyabinsk Region Russia);
and
*Any nuclear-related entities, institutes or centers located in
Snezhinsk.
(2) *All-Russian Scientific Research Institute of Experimental
Physics (VNIIEF), a.k.a., the following nine aliases:
*--Vserossiyskiy Nauchno-Issledovatelskiy Institut Eksperimentalnoy
Fiziki;
*--Russian Federal Nuclear Center-VNIIEF (RFNC-VNIIEF);
*--Institute of Experimental Physics;
*--ARIEP (All Russian Institute for Experimental Physics);
--Khariton Institute;
--Sarov Nuclear Weapons Plant;
--Avangard Electromechanical Plant;
--Federal State Unitary Enterprise Russian Federal Nuclear Center--All
Russian Scientific Research Institute of Experimental Physics
(FGUPRFNCs VNIIEF)
--Arzamas--16,
(Address: 37 Mira Ave. Sarov, Nizhny Novgorod Region, 607188 Russia);
and
* Any nuclear-related entities, institutes or centers located in Sarov
(Kremlev).
A BIS license is required for the export, reexport or transfer (in-
country) of any item subject to the EAR to the persons described above,
including any transaction in which this listed entity will act as
purchaser, intermediate consignee, ultimate consignee, or end-user of
the items. This listing of these entities also prohibits the use of
license exceptions (see part 740 of the EAR) for exports, reexports and
transfers (in-country) of items subject to the EAR involving this
entity.
Although the Export Administration Act expired on August 20, 2001,
the President, through Executive Order 13222 of August 17, 2001, 3 CFR,
2001 Comp., p. 783 (2002), as extended by the Notice of August 12,
2010, 75 FR 50681 (August 16, 2010), has continued the Export
Administration Regulations in effect under the International Emergency
Economic Powers Act.
Rulemaking Requirements
1. Executive Orders 13563 and 12866 direct agencies to assess all
costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, distributive impacts, and equity). Executive
Order 13563 emphasizes the importance of quantifying both costs and
benefits, of reducing costs, of harmonizing rules, and of promoting
flexibility. This rule has been designated a ``significant regulatory
action'' although not economically significant, under section 3(f) of
Executive Order 12866. Accordingly, the rule has been reviewed by the
Office of Management and Budget.
2. Notwithstanding any other provision of law, no person is
required to respond to nor be subject to a penalty for failure to
comply with a collection of information, subject to the requirements of
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA),
unless that collection of information displays a currently valid Office
of Management and Budget (OMB) Control Number. This regulation involves
collections previously approved by the OMB under control numbers 0694-
0088, ``Multi-Purpose Application,'' which carries a burden hour
estimate of 58 minutes to prepare and submit form BIS-748.
Miscellaneous and recordkeeping activities account for 12 minutes per
submission. Total burden hours associated with the Paperwork Reduction
Act and Office and Management and Budget control number 0694-0088 are
not expected to increase as a result of this rule. You may send
comments regarding the collection of information associated with this
rule, including suggestions for reducing the burden, to Jasmeet K.
Seehra, Office of Management and Budget (OMB), by e-mail to Jasmeet--
K.--Seehra@omb. eop.gov, or by fax to (202) 395-7285.
3. This rule does not contain policies with Federalism implications
as that term is defined in Executive Order 13132.
4. The provisions of the Administrative Procedure Act (5 U.S.C.
553) requiring notice of proposed
[[Page 30000]]
rulemaking, the opportunity for public comment and a delay in effective
date are inapplicable because this regulation involves a military or
foreign affairs function of the United States. (See 5 U.S.C.
553(a)(1)). The U.S. Government's original basis for adding the
entities affected by this rule to the Entity List was the entities'
involvement in activities contrary to U.S. national security or foreign
policy interests. BIS implements this rule to further protect U.S.
national security and foreign policy interests by preventing items from
being exported, reexported or transferred (in-country) to these persons
listed on the Entity List by making clarifications to the existing
entries to inform exporters, reexporters and persons making transfers
(in-country) of the intended scope of the license requirements for
these listed persons. This action does this by clarifying the listings
of VNIITF and VNIIEF, clarifying the names of existing aliases, and
adding aliases for the listed persons. If this rule were delayed to
allow for notice and comment and a delay in effective date, there is a
chance that certain exporters, reexporters and persons making transfers
(in-country) to these listed persons may inadvertently export, reexport
or transfer (in-country) to a listed person on the Entity List because
the exporter, reexporter or person making the transfer (in-country) did
not realize the listed person was subject to the Entity List-based
license requirement because of perceived ambiguity regarding the listed
person, such as a perceived ambiguity resulting from the use of an
alias by a listed person. There is also a chance an exporter,
reexporter or person making a transfer (in-country) may turn away a
potential export, reexport, or transfer (in-country) because the
customer incorrectly appeared to be within the scope of a listed person
on the Entity List, thereby harming U.S. economic interests. The
clarification of language provided in this rule may make clear that the
person was not subject to an Entity List-based license requirement. For
these reasons there is a public interest that these changes be
implemented as a final action. Further, no other law requires that a
notice of proposed rulemaking and an opportunity for public comment be
given for this rule. Because a notice of proposed rulemaking and an
opportunity for public comment are not required to be given for this
rule by 5 U.S.C. 553, or by any other law, the analytical requirements
of the Regulatory Flexibility Act, 5 U.S.C. 601 et seq., are not
applicable.
List of Subjects in 15 CFR Part 744
Exports, Reporting and recordkeeping requirements, Terrorism.
Accordingly, part 744 of the Export Administration Regulations (15
CFR parts 730-774) is amended as follows:
PART 744--[AMENDED]
0
1. The authority citation for 15 CFR part 744 continues to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
22 U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22
U.S.C. 7210; E.O. 12058, 43 FR 20947, 3 CFR, 1978 Comp., p. 179;
E.O. 12851, 58 FR 33181, 3 CFR, 1993 Comp., p. 608; E.O. 12938, 59
FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 12947, 60 FR 5079, 3 CFR,
1995 Comp., p. 356; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p.
228; E.O. 13099, 63 FR 45167, 3 CFR, 1998 Comp., p. 208; E.O. 13222,
66 FR 44025, 3 CFR, 2001 Comp., p. 783; E.O. 13224, 66 FR 49079, 3
CFR, 2001 Comp., p. 786; Notice of August 12, 2010, 75 FR 50681
(August 16, 2010); Notice of November 4, 2010, 75 FR 68673 (November
8, 2010); Notice of January 13, 2011, 76 FR 3009 (January 18, 2011).
0
2. Supplement No. 4 to part 744 is amended:
0
a. By removing under Russia, the Russian entity, Federal Atomic Power
of Russia (Rusatom); and
0
b. By revising, under Russia, the following two Russian entities: All-
Russian Scientific Research Institute of Technical Physics (VNIITF) and
All-Russian Scientific Research Institute of Experimental Physics
(VNIIEF).
The revisions read as follows:
Supplement No. 4 to Part 744--Entity List
----------------------------------------------------------------------------------------------------------------
Federal Register
Country Entity License requirement License review policy citation
----------------------------------------------------------------------------------------------------------------
* * * * * * *
RUSSIA............. All-Russian Scientific For all items subject Case-by-case basis... 62 FR 35334, 6/30/97
Research Institute of to the EAR. 66 FR 24267, 5/14/01
Technical Physics 75 FR 78883, 12/17/
(VNIITF), a.k.a., the 10.
following eight
aliases:
--Vserossiyskiy ***76 FR [INSERT FR
Nauchno- PAGE NUMBER] 5/24/
Issledovatelskiy 11.
Institut Tekhnicheskoy
Fiziki;
--Russian Federal
Nuclear Center-VNIITF
(RFNC-VNIITF);
--Kasli Nuclear
Weapons Development
Center;
--Institute of
Technical Physics;
--Zababakhin
Institute;
--ARITP (All Russian
Institute for
Technical Physics);
--Federal State
Unitary Enterprise
Russian Federal
Nuclear Center--
Academician E.I.
Zababkhin All-Russian
Scientific Research
Institute of Technical
Physics (FGUPRFYaTs-
VNIITF)
--Chelyabinsk-70,
(Address: P.O. Box
245, 456770,
Snezhinsk, Chelyabinsk
Region Russia); and
any nuclear-related
entities, institutes,
or centers located in
Snezhinsk.
All-Russian Scientific For all items subject Case-by-case basis... 62 FR 35334, 6/30/97
Research Institute of to the EAR. 66 FR 24267, 5/14/01
Experimental Physics 75 FR 78883, 12/17/
(VNIIEF), a.k.a., the 10.
following nine
aliases:
[[Page 30001]]
--Vserossiyskiy ***76 FR [INSERT FR
Nauchno- PAGE NUMBER], 5/24/
Issledovatelskiy 11.
Institut
Eksperimentalnoy
Fiziki;
--Russian Federal
Nuclear Center-VNIIEF
(RFNC-VNIIEF);
--Institute of
Experimental Physics;
--ARIEP (All Russian
Institute for
Experimental Physics);
--Khariton
Institute;
--Sarov Nuclear
Weapons Plant;
--Avangard
Electromechanical
Plant;
--Federal State
Unitary Enterprise
Russian Federal
Nuclear Center--All
Russian Scientific
Research Institute of
Experimental Physics
(FGUPRFNCs VNIIEF)
--Arzamas-16,
(Address: 37 Mira Ave.
Sarov, Nizhny Novgorod
Region, 607188
Russia); and any
nuclear-related
entities, institutes
or centers located in
Sarov (Kremlev)
* * * * * * *
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Dated: May 19, 2011.
Kevin J. Wolf,
Assistant Secretary for Export Administration.
[FR Doc. 2011-12803 Filed 5-23-11; 8:45 am]
BILLING CODE 3510-33-P