Navy International Programs Office

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Answer: How can I improve an export license application submittal

License Preparation

• Consider including a cover letter with the submission to clearly describe the "who", "what"/ "how", "where", and "why" you are submitting an export license to the State Department, Directorate of Defense Trade Controls (DDTC). The cover letter is the Licensing Officer's (LO's) best tool to review an applicant's request and decide what actions need to be taken. Vague applications or a "blank check" approach may result in a "Return Without Action" (RMA). 
• Should the proposed export be in support of a MILDEP's "sponsored" initiative (i.e. cooperative arrangement, pre-FMS negotiations, FMS case execution, domestic procurement), ensure that it is clearly stated to include reference to any critical deadlines/milestones that may warrant expediting the processing of the request, if applicable.  
• Accurately identify USG POCs (with correct phone numbers) who are familiar with the proposed request. When including a cover letter with the license submission, that information should be supplemented by referencing any meeting(s), discussion and/or pre-coordination effort that may have preceded the submission. Any condition for transfer agreed-upon in the course of those discussions may also be referenced. This level of documentation can substantially reduce staffing coordination by the LO resulting in reduced processing timelines. 
• Accurately reference existing export authorizations, related (i.e. addressing same technology and/or same effort) to the current submission, and/or related (i.e. involving similar technology/system/effort) export requests that may have been submitted in parallel and/or are undergoing review. When referencing prior approvals, also include the provisos that were placed on that license rather than just referring to the license. 
• When submitting amendments to (electronic) agreements, include both the DSP-5 number and the assigned agreement number of the original agreement as well as for any subsequent amendment.
• Provide a comprehensive Statement of Work (SOW) and/or contract document when available, including but not limited to the type of training and documents to be transferred (along with their origin and classification).
• When the possibility of misunderstanding exists, in addition to addressing what will be exported, also define the scope further by clarifying what will not be exported (i.e. "transfer of design drawings to facilitate integration will not result in the export of design know-how because...").
• Provide system characteristics or specifications for all hardware transfers (a Purchase Order generally does not provide sufficient technical details to support review). System comparison matrices facilitate review, especially when trying to differentiate an applicant's line of products with respect to precedent export approvals for similar capability/system. 

Pre-Coordination of License Submission

• For transactions that present specific complexities, or relate to high-visibility programs, or are associated with pressing timelines, consider providing an advanced copy of the application to the respective LO at the time of submittal to DDTC. 
• Coordinate controversial or potentially problematic license requests with the respective Navy Program Office (via Navy IPO if necessary) prior to submittal to DDTC, to address concerns that may delay the review process. Coordination will enable the assessment of any applicable policy requirement and whether such policy (i.e. either Navy, or national, or both) are either in place or will need to be put in place to permit favorable review of the request and avoid a RWA. For export in support of Department of the Navy's initiatives (i.e. MOUs, FMS, 1206 programs, domestic procurements involving an international team), staff in the Navy IPO Export License Division should be contacted to ensure some level of pre-coordination and awareness.
• For particularly complex and/or unprecedented efforts, consider the expediency of seeking a meeting through DTSA directly to establish awareness and broad consensus. The staff in the Navy IPO Export License Division may be available to support to provide a Department of the Navy (DoN) perspective and/or to coordinate with cognizant DoN Program office to do same. 

Post-Coordination

• For Potential "show-stopping" and/or unclear proviso language: Navy IPO is available to provide informal proviso interpretation for limitations originated by the DoN. However, formal interpretation must be sought through an Advisory Opinion (General Correspondence (GC)) to validate compliance with the terms of the proviso and/or to seek relief from selected conditions.
• Provisos are imposed (especially on marketing requests) as a means to inform/assist applicants with planning future steps involving a program or final sale. These provisos provide Navy and the applicant foresight about what may or may not be accomplished in follow-up license requests. 

EXEMPTION REQUEST PROCEDURES (Click on link)

Within the Department of the Navy, Navy IPO is the office responsible for certifying use of exemptions. Specifically, Navy IPO, Director, Technology Security & Cooperative Programs Directorate (IPO-01) is designated at the Authorized Exemption Official, and Navy IPO, Director, Export License Division (IPO-01A) is the Exemption Certifying Official. In order for Navy IPO to determine eligibility for certification, an exemption request will require endorsement by the USN Program Sponsor - in the form of an official letter; endorsement by the appropriate Security office, and a completed checklist. Please refer to the attached checklist for further guidance. Exemption procedures 2008. Given the complexity associated with these transactions, Navy IPO highly recommends that informal discussions be generated early on in the process to enable an assessment of the requirement prior to the submission of any formal request.