OVPREA Office of Research Integrity

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OVPREA - Office of Research Integrity Assurance

• Export Controls
• Refresher for Administrators
• Presented by Sheryl Trexler, Assistant Director
• July 29, 2009

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What we will cover today

• What are export controls and why should we care?
• Applicable laws and regulations
• Key issues for university faculty
• The cost of non-compliance
• What we can do

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What are export controls?

• United States export control regulations govern
• shipment, transmission, or transfer of
• physical items, information or software to
  foreign persons or foreign countries
• Where applicable, they may require an export
  license.
• PLEASE NOTE This presentation is intended as an
  overview and is presented in simplified terms.
  For that reason, we strongly advise that you
  consult with the Office of Research Integrity
  Assurance with respect to any specific issues or
  questions that arise. 727-0870

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Why do we have export controls?

• Objective to protect U.S. national security and
  foreign policy interests by
• Preventing terrorism
• Restricting exports of goods and technologies
  that may contribute to military potential of
  foreign adversaries
• Protect loss of goods and key technologies that
  could affect the U.S. economy

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Sources of Federal Export Control Regulations

• EXPORT ADMINISTRATION REGULATIONS (EAR), U.S.
  DEPARTMENT OF COMMERCE, 15 CFR Parts 730-774
• INTERNATIONAL TRAFFIC IN ARMS REGULATIONS (ITAR),
  U.S. DEPARTMENT OF STATE, 22 CFR Parts 120-130
• OFFICE OF FOREIGN ASSETS CONTROL (OFAC)
  REGULATIONS, U.S. DEPARTMENT OF THE TREASURY, 31
  CFR Parts 500-599

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Key Issues for Universities

• Travel
• Shipping
• Receiving Export Controlled Data
• Fundamental Research
• Deemed Exports
• Screening Against Denied Parties Lists

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Key Issue Travel

• ASU travel that may require a license
• Travel to OFAC embargoed countries for research.
• Giving or attending conferences in OFAC embargoed
  countries.
• Most restrictive embargoed countries Sudan,
  Iran, Syria, North Korea, and Cuba.
• Carrying export controlled (EAR or ITAR)
  technical data such as new vaccine technology,
  nanotechnology, including blueprints, drawings,
  photographs, formulas, or instructions, on
  laptop, flash drive, etc. when traveling to any
  foreign country.
• Taking ITAR or EAR export controlled items such
  as GPS units Biodesign or Engineering prototypes,
  models, or designs with you when you travel out
  of the country.

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Key Issue Shipping

• Shipping physical items such as biological
  materials, engineering designs, prototypes, or
  software to any foreign countries are an export
  and require ORIA review.
• Transmitting export controlled technical data in
  any manner or format to collaborators in foreign
  countries or foreign nationals in the US may
  require a license.
• Shipping prototypes, samples, models, materials,
  biological organisms, chemicals, etc.
• MTAs are screened for export controls by ORIA.
  Most are EAR99/NLR but require documentation

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Receiving Sponsor Data

• Marked export controlled
• ORIA Certification Required
• Safeguarding data
• Technology Control Plan (TCP)
• Personnel screening
• Physical security
• Information security
• Note If information is marked CLASSIFIED contact
  Debra Murphy immediately 965-2179

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Key Issue Fundamental Research

• Fundamental research means basic and applied
  research in science and engineering, the results
  of which are ordinarily 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.

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Key Issue Fundamental Research Exclusion

• Research conducted by faculty and students at ASU
  will normally be considered fundamental research
  90
• University based research is not considered
  fundamental research if the university or its
  researchers accept restrictions on the
  publication or dissemination of the results of
  the project
• Prepublication approval by a sponsor or other
  restrictions on publication invalidates the FRE.
• What does FRE allow? Exchanging research
  information with foreign nationals here and
  abroad. FRE only covers information and not
  physical items.

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Key Issue Deemed Exports

• The EAR defines a deemed export as the release of
  technology or source code subject to the EAR to a
  foreign national (no green card) in the U.S.
• Such release is deemed to be an export to the
  home country of the foreign national.
• Situations that can involve release of U.S.
  technology or software include
• Tours of laboratories
• Foreign students or professors conducting
  research
• Hosting foreign scientists
• Emails, visual inspection, oral exchanges
• Unless the fundamental research exclusion
  applies, a universitys transfer of controlled
  (on the CCL or the USML) technology to a
  non-permanent resident foreign national may
  require a license or be prohibited.
• Students from embargoed countries special
  conditions.

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Key Issue Screening

• The Departments of Commerce, State, OFAC, and
  other government agencies have denied
  entities/persons lists
• No business of any kind can be conducted with
  persons or entities on these lists
• Visual Compliance software
• Particularly used for vendors, subcontractors,
  and foreign nationals
• Pakistan plasmids

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A FEW EXPORT CONTROLLED ITEMS

• Optics, lasers, and sensors
• Energy cells (i.e. solar, hydrogen, etc)
• Semiconductors and technology
• Computers and Encryption Software
• Human animal and plant pathogens and toxins
• Biological samples and genetically-modified
  organisms
• Medical analytical and diagnostics
• Space and aerospace technology
• Prototypes, materials, samples, etc.

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Consequences of Non-compliance

• ITAR
• Criminal and Civil Up to 1 million per violation
  and up to 10 years imprisonment
• Professor Roth (Univ. TN) just convicted of 18
  violations. Sentenced to four years in prison on
  July 1, 2009.
• OFAC
• Criminal and Civil 11k TO 10M per violation
  and up to 10 to 30 years imprisonment
• Augsburg College, fined 36k for trips to Cuba
• Michael Moore filming of Sicko
• EAR
• Criminal and Civil 10K to 1 million or 5 times
  value of export, whichever is greater, per
  violation, up to10 years imprisonment
• Prof. Thomas Butler, Texas Tech 2 years in
  prison for unauthorized exports (plague bacteria)
• ITT fined 100M for exporting night vision
  materials without a license

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What ORIA can do for you

• Review for export restrictions in contract and
  award TCs
• Export reviews for faculty
• Classification of items
• License determination
• Apply for a license
• Screen project participants, collaborators,
  subcontractors, foreign nationals, etc.
• Research applicable exemptions (50pages)
• Provide guidance on export issues
• Help with forms
• Training and consultations

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What information we need for an export review

• What is it?
• What does it do?
• Where will it be going?
• Who will be the end user?
• How will it be used?
• Copy of agreement.

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What Can You Do?

• AWARENESS IS YOUR BEST DEFENSE
• Training faculty and staff is crucial
• Help get the word out!
• ORIA Seminars/workshops
• Departmental/faculty meetings presentations
• One-on-one sessions
• Be aware that export controls can apply to all
  fields of research regardless of sponsor
  (NIH/NSF)
• Contact the Office for Research Integrity and
  Assurance, Sheryl Trexler 727-0870 for questions,
  training, or guidance.

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Prevention

• Contact the Office for Research Integrity and
  Assurance (ORIA) for assistance well in advance
  of an award. 727-0870
• Do not take unpublished technical data on laptops
  when you travel abroad. Keep laptops under your
  effective control at all times.
• Do not have foreign nationals on projects that
  are export controlled without a license.
• Read the contract award for export control
  language. Particularly on defense, energy, and
  private sponsor agreements.
• Do not accept publication restrictions from
  sponsor.
• Watch for dissemination or foreign access
  restrictions from sponsor.
• Be proactive arrange training for PIs and
  staff, work with ORIA at the proposal stage,
  screen project participants, etc.

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Helpful Tools and Guidance
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Questions?

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http//researchintegrity.asu.edu/
Call 727-0870 for assistance.