Sreekant Murthy, Ph.D.
Chief Research Compliance Officer
Rowan University
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The Basics: Exports, Deemed Exports, Definitions
The Export Control Regulatory Framework -ITAR, EAR and OFAC
Exclusions
Penalties
Application to University Research and education.
Export Control for Researchers
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Federal laws to protect items, technical data and
information important to the U.S.
U.S. laws and their implementing regulations prohibit the
unauthorized “export” of certain controlled ITEMS,
INFORMATION OR SOFTWARE to foreign persons or
entities in the U.S. and abroad.
These laws have been in place over 20 years. However,
they have become more prominent since 9/11.
Export control laws apply to all activities – not just
sponsored research projects
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EC regulations control the shipment or transfer, by any means of
controlled items, software, technology, or services out of US.
EC regulations also restricts the release of certain information to
foreign nationals here and abroad. This is called “deemed export”.
EC regulations my impose severe restrictions on the way the our
faculty and students conduct research, which may impede
international collaborations in certain research areas and especially
research collaborations with restricted (embargoed) countries.
Noncompliance results in both monetary and criminal penalties
against the individuals as well as the university.
Noncompliance may also results in reputational and financial harms to
the university.
 Export Control Regulations have far-reaching
implications on everyday University activities.
 Many units (administrative, academic, research)
of the University are affected.
 Compliance with regulations requires a
university-wide oversight program.
 Non-compliance with regulations places the
University and its personnel at risk of fines and/or
imprisonment.
 Open access/publication of scientific and technological
results may provide unwitting assistance to nations or
terrorist groups in developing weapons.
 Protecting economic interests of U.S. companies.
 Protecting U.S. national security and foreign policy
interests by:
 Denying our adversaries the means to advance their military potential
 Implementing foreign policy objectives
 Preventing terrorism
 Inhibiting the proliferation of Weapons of Mass Destruction (nuclear,
biological, chemical)
 Fulfilling Multilateral Obligations (i.e. UN Sanctions, Trade Agreements)
 All items/technology in the U.S. except:
 Publicly available technology & software.
 Publications that are artistic or non-technical in nature.
 Items/technology located outside of the U.S.:
 Items of U.S. origin wherever located.
 Foreign made items if it exceeds certain % U.S. content
or direct product of U.S. technology
This is a complicated network of federal agencies and interrelated
regulations that govern exports collectively referred to as “Export
Controls”.
 International Traffic in Arms Regulations (ITAR) are administered by
Department of State
 Controls Defense related items.
 Export Administration Regulations (EAR) are administered by
Department of Commerce.
 Controls most other items.
 Numerous other regulatory agencies control exports such as
Department of Treasury (money), DOE (Nucs), DOJ (drugs), USDA
(seeds), CDC-USDA (Biological agents).
 Office of Foreign Assets Controls – OFAC.
 The Department of the Treasury’s Office of Foreign Assets Controls (OFAC)
administers economic sanctions programs with regard to a number of countries,
using asset blocking and trade restrictions to accomplish US foreign policy and
national security goals. OFAC periodically updates this list.
(http://www.treasury.gov/about/organizational-structure/offices/Pages/Office-of-Foreign-AssetsControl.aspx.)
 Prohibits certain exports, reexports and other conduct without a
license, license exception or determination that no license is
required.
 A license is a pre-approval to export (ITAR & EAR).
 Usually valid for 4 years
 Applies to a specific item to a specific country.
 In the end, few items covered by EAR need a license—however, they
must go through process to make the determination and be able to
defend decision.
 A Technical Assistance Agreement (TAA) (ITAR) is an agreement for
the performance of a defense service or the disclosure of technical
data. Rowan University will most likely use this option to get foreign
researchers approved. A TAA does not authorize unrestricted
publication-only an approval for the listed foreign person to work on
the specific project.
 EAR is not as simple as just looking at the
nationality.
 Very dependent upon the specific technology—some
countries can receive some items.
 Time factor in determining requirements and then
applying for and receiving licenses-could be as long as
90-120 days—depending on outside agency review.
 ITAR is simpler in that it considers all foreign
nationals equally as “dangerous”, however, specific
technology is still a major consideration.
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They include the following:
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Military or Defense Articles and Services
High Performance Computing
Dual Use Technologies (technologies with both a military and commercial application)
Encryption Technology
Missiles & Missile Technology
Chemical/Biological Weapons
Nuclear Technology
Select Agents & Toxins (see Select Agent/Toxin list)
Space Technology & Satellites
Medical Lasers
Travelling
▪ With high tech equipment, confidential, unpublished or proprietary information or data
▪ Laptops, web-enabled mobile devices and other personal equipment
▪ Shipping or takin items overseas
▪ Sponsored classified research with restricted access to the research by foreign nationals
 Export control laws apply whether or not
there is a specific reference in the award
document.
 Applies not only to the PI and assigned
researchers-need to consider where
information is accessible (labs/computers)
& control of information from other foreign
persons.
Technology Control Management Plans (TCP)
 Outlines how the controlled technology will be
handled/secured to prevent access by unapproved foreign
persons. Will be required even if there are no foreign
persons assigned to the project.
 Addresses physical security of labs & other work areas as
well as security of data on computer networks (Information
Security).
 Publication restrictions and impact on Graduate
students/PIs working on project.
 Administrative process/burden
 TAAs and Technology Control Plans are time consuming
to prepare.
 Requires additional interaction between PI and sponsor
to determine what technology is controlled.
 Approval process by Federal Gov’t can take 8-10 weeks.
 Security of labs/work areas/computers &
network
 Develop Rowan’s policy for dealing with export
provisions
 Outline responsibility of Office Research (OR)
Administrators and PIs/Departments.
 Put more burden on PIs and the sponsor to assist
with identification of technology.
 Process will involve several offices such as: OR, PIs,
Departments, Research Deans, Associate Deans and
possibly General Counsel.
 Post policies & training materials on web site.
 Educate OR, Research Deans and Depts. on general
guidelines of EAR/ITAR and Rowan University policy.
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BIS – Bureau of Industry and Security
 BIS Mission: Advance U.S. national security, foreign policy, and economic objectives by ensuring an
effective export control and treaty compliance system and promoting continued U.S. strategic
technology leadership. Maintains denied persons list, boycott list, and technology evaluation (OTE)
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ECCN – Export control Classification Number
 Five digit alpha numeric number for export control classification used in CCL
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CCL – Commerce Control List
 List of items divided into ten broad categories and five product groups under each of the broad
categories.
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ITAR – International Traffic in Arms Regulation
EAR - Export Administration Regulations
OFAC – Office of Foreign Assets Control
TAA -Technical Assistance Agreement (ITAR)
TCP – Technology Control Plan
 A technology control plan (TCP) stipulates how a company will control its technology. The plan
establishes procedures to protect classified, proprietary, and export-controlled information; to
control access by foreign visitors; and to control access by employees who are non-U.S. persons.
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TTCP – Technology Transfer Control Plan
USML- United States Munition List
 The United States Munitions List (USML) is a list of
articles, services, and related technology designated as
defense- and space-related by the United States federal
government. This designation is pursuant to sections 38
and 47(7) of the Arms Export Control Act (22 U.S.C. 2778
and 2794(7)). These articles fall under the export and
temporary import jurisdiction of the Department of State.
 There are 20 categories of articles on the USML.
Categories
I- Firearms, Close Assault Weapons, & Combat Shotguns
II- Guns & Armament
III- Ammunition/Ordnance
IV- Launch Vehicles, Guided Missiles, Ballistic Missiles, Rockets,
Torpedoes, Bombs and Mines
V- Explosives and Energetic Materials, Propellants, Incendiary Agents
and Their Constituents
VI- Vessels of War and Special Naval Equipment
VII- Tanks and Military Vehicles
VIII- Aircraft and Associated Equipment
IX- Military Training Equipment
X. Personnel Protective Equipment
XI. Military Electronics
XII. Fire Control, Range Finder, Optical and Guidance and Control
Equipment
XIII. Auxiliary Military Equipment
XIV. Toxicological Agents, Including Chemical Agents, Biological Agents,
and Associated Equipment
XV. Spacecraft Systems and Associated Equipment
XVI. Nuclear Weapons, Design and Testing Related Items
XVII. Classified Articles, Technical Data and Defense Services Not
Otherwise Enumerated
XVIII. Directed Energy Weapons
XIX . Submersible Vessels, Oceanographic and Associated Equipment
XX- Miscellaneous
1. Nuclear Materials, Facilities & Equipment & Miscellaneous Materials,
Chemicals, Microorganisms and Toxins
2. Materials Processing
3. Electronics Design, Development and Production
4. Computers
5. Telecommunications & Information Security
6. Sensors and Lasers
7. Navigation and Avionics
8. Marine (ships & vessels)
9. Propulsion Systems, Space Vehicles and Related Equipment
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Batteries and Fuel Cells
Cameras and Optics Equipment
Artificial Intelligence Software
Certain Computer Equipment
Items using Laser Technology
Certain Chemicals, Microorganisms and Toxins
 The list depends on interplay of type of item, reason for export control
and destination country
 This list is large and a bit cumbersome to manage
 There is an index that helps you navigate to the right place within the
CCL by identifying the “ECCN” (export control classification number
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Explosives
Rocket Systems
Military Training Equipment
Spacecraft and Satellite Equipment (even if not for military
use)
Toxicological Agents and Equipment
Biological Agents
Radiological Equipment (including nuclear radiation
detection and measurement devices)
Defense Services
U.S. Embargoes
 Cuba – most stringent embargo
 Iran – comprehensive trade and investments
 Sudan – comprehensive
 Syria – general order
 U.N. Embargoes (arms embargoes)
 Iraq
 Rwanda
 Russia
 Arms Embargoes: Cuba, Iran, North Korea, and
Syria
 Belarus, Burma, China, Eritrea, Sudan, Venezuela,
and Vietnam
 Denial Policy with Exceptions:
Afghanistan, Cote d'Ivoire (Ivory Coast),
Cyprus, Fiji, Haiti, Iraq, Lebanon, Liberia,
Libya, Rwanda, Republic of the Congo,
Somalia, Sri Lanka, Yemen and Zimbabwe.
 Includes the following:
 Fundamental Research (ITAR and EAR)
 Educational Exemption (ITAR only)
 Employment Exemption (ITAR Only)
 Public Domain
 A license is not required if one of the above
exclusions applies.
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Fundamental Exclusions include:
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Basic and applied research
May include foreign nationals
There can be no restrictions on access by students or others
No restriction on publication
Research carried out openly
Results are intended to be shared broadly in the scientific community
This Allows unrestricted access to research and free interchange of information, recognizes the open
campus culture and environment and Supports compliance with U.S. export control regulations.
Information in the Public Domain is not controlled.
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Reasons for Loss of Exclusion
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The university accepts any contract clause that:
• Forbids the participation of foreign persons;
• Gives the sponsor a right to approve publications resulting from the research;
or Otherwise operates to restrict participation in research and/or access to and
disclosure of research results.
• There are side deals between the PI and the sponsor
 The ITAR provides that information concerning general scientific,
mathematical or engineering principles commonly taught in schools,
colleges and universities, is not included in the definition of technical
data subject to the ITAR [§120.10(a)(5)].
 Excludes technology or materials.
 EAR excludes education information released by instruction in catalog
courses and associated teaching laboratories
 The EAR education exclusion does not extend to the release of
information in research labs not associated with catalog courses.
 You do not need a license to share information as part of a course.
 You can train foreign nationals on how to use most otherwise controlled equipment that is part of a class or class laboratory.
 No license is required to share controlled
technical information with a foreign person who:
 is a full-time, bona fide university employee
 has a permanent address in the US while employed
provided that person is:
• not a national of certain countries and
• is advised in writing not to share controlled
information with other foreign persons.
 Researchers may be affected by export controls if:
 They teach courses – online courses
 They perform research on campus or elsewhere.
 They plan to travel outside the United States to attend conferences and
make presentations.
 They may be interacting with foreign national.
 They may need to ship items, software or information internationally.
 They need to be careful by not violating a sanction or embargo when
they, or the institution make payments for purchased items, services, or
reimburse expenses.
 They are required to fully comply with institution’s EC policies and all
U.S. export control laws and regulations.
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Researchers are at the “front line” of export control
issues because:
 They have control over the scope of the research project
 They are the ones who make the decision regarding
equipment or technology which will be implemented and
to whom it may need to be transferred
 Because researchers have ultimate control of the
research project, their input is critical to help contract
administrators evaluate technical aspects of export
control issues
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What is the technology?
 Must know the specifics-will require help of PI and/or
sponsor.
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Who is going to be working on project?
 What nationality and status?
 Certain countries are embargoed by both agencies:
Cuba, Libya, Sudan, Iran, Iraq
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Where is the work going to be accomplished?
 On/off Rowan property?
 If in Rowan University offices/labs-who has access?
Rowan has developed a checklist for researchers to verify
whether research is EC-regulated
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International Travel
Shipping
Attending Conferences
Presenting in Conferences
Travel Restrictions
Deemed Export
Embargoed Countries list
Applicable Research
Self Checklist
Faculty Assistance
 When they leave the country, everything you take is an export, including
devices, software, and data.
 They cannot take ITAR-controlled articles, technical data, or software
(which the ITAR considers to be technical data) without a license from the
State Department. Tangible items developed through fundamental research
which was excluded from export controls are still subject to the ITAR.
 To be clear: if they have ITAR-controlled technical data, such as a document
or drawing, on your laptop, you cannot take it out of the US, even if you
have no intent to transfer the items to a non-US person.
 In most cases, US and non-US persons can take EAR-controlled items and
software, including your laptop and PDA, using EAR license exception TMP
(Temporary exports) or BAG (Baggage) can use the exceptions to take EAR
items and software.
 US persons can use the exceptions to take EAR-controlled
technology, but this does not authorize its transfer to someone
not otherwise authorized to receive it.
 To be clear: these exceptions don’t authorize a non-US person
to take EAR-controlled technology out of the US, even if it has
been transferred to them as an acceptable deemed export
 Continue to Using TMP (Temporary Imports, Exports and Reexports) or BAG (Baggage) exceptions.
 Remember that destination countries have their own import
and export controls (see Travel.State. Gov), which may affect
how researchers can use items while there and what you can
take out of the destination country.
 The EAR considers information released at an “open”
conference, meeting, seminar, trade show, or other open
gathering to be published, and so excluded from EAR control. ◦
 “Open” means that all technically qualified members of the
public are eligible to attend and attendees are permitted to
take notes or otherwise make a personal record (not
necessarily a recording) of the proceedings and presentations.
 An “open” conference can charge a registration fee reasonably
related to cost, and can limit actual attendance, as long as
attendees either are the first who have applied or are selected
on the basis of relevant scientific or technical competence,
experience, or responsibility.
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The ITAR considers information released through unlimited distribution at a
conference, meeting, seminar, trade show or exhibition, generally accessible to the
public, in the United States to be in the public domain, and so excluded from ITAR
control.
Researchers can consider information you receive at an open conference to be
publicly available information, excluded from export controls.
Researchers can deliver or present the results of your fundamental research or
other information in the EAR and ITAR scope at open conferences.
Outside the US, researchers can deliver or present the following information in the
ITAR scope:
 General systems description ( such as top-level drawings, top-level narrative descriptions
or summaries of performance requirements, key subsystems, top-level block diagrams,
top-level description of operational modes, top-level equipment layout drawings, and toplevel predictions of power usage or consumption), since this is not considered ITAR
technical data (ITAR §120.10(a)(5)).
 Public domain information, such as published research results or material previously
released in a university course, at conferences or meetings outside the US.
 Check the U S Department of the Treasury, Office of
Foreign Assets Control web site for a list of
Embargoed Countries.
 Check the University Travel Policy.
 If you decide to travel to an embargoed country, you
must sign Rowan’s travel form before departure,
acknowledging the risk and personal responsibility
for the decision to travel.
 There may be other restrictions that may need to be
followed. Please check with Office of Research to
obtain further information on International Travel.
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While US sanctions programs and restrictions on transactions with specific
parties always apply, the likelihood of being affected by them increases when
you’re outside the US.
Cuba, Iran, North Korea, (North Sudan) and Syria are subject to strict controls.
If you will be working with nationals of these countries, you should be familiar
with both.
Working with China entities and nationals can be complicated by US policy
toward China, which includes both enthusiastic support for commercial
transactions and strong aversion to support of the Chinese military. Some
apparently benign China institutions are considered by the US government to be
closely related to the military, resulting in restrictions on transactions with
them.
OFAC’s Specially Designated Nationals and Blocked Persons List and the
Commerce Department’s Entity List are the most relevant, but the government
maintains a total of 35 lists with various restrictions. You can check most of
these using the National Export Initiative’s consolidated list, or consult Rowan’s
Export Control Officer.
 International shipping is also subject to numerous export and
import controls and regulations. Fines, confiscation, or incarceration
can all result from failing to comply.
 Most things, and some software & information, are export-controlled
to some degree.
 Some items are hazardous, and need to be packaged and labeled
appropriately. Contact Rowan’s EHS for further information.
 The shipment (Export and Import) can be delayed or incur
unexpected costs if the paperwork is wrong or incomplete.
 All imported shipments are cleared by U.S. Customs, with varying
levels of scrutiny. Some items that are hazardous may be restricted.
 Deemed Exports
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The obligation to obtain an export license from BIS before releasing controlled
technology to a foreign person is informally referred to as a deemed export.
Release of controlled technology to foreign persons in the U.S. are "deemed" to be
an export to the person’s country or countries of nationality and is found in
734.2(b) of the EAR.
 Scope of Fundamental Research Exclusion
 Foreign National restrictions in contracts
 Government-sponsored research covered by national security contract
controls
 ITAR – “defense articles” and “defense services,” especially in space research
and, increasingly, in life sciences and nanotechnology research
 The application of OFAC sanctions to university-sponsored or related
activities
1. Equipment & material purchase, usage & disposal
2. Research agreements
3. International agreements
4. Material transfer agreements
5. Nondisclosure agreements
6. Software and other intellectual property licenses
7. International travel
8. Select biological agents
9. Contractual services agreements
10. Affiliates programs
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Electrical engineering, integrated circuits, encrypted software, advanced
telecommunications
Applied physics – ex. lasers and other equipment
Nanotechnology and new materials – ex. composites and ceramics
Life Sciences and Chemicals (including academic medical centers and health sciences
centers)
Optics and imaging
Detection of toxic chemical aerosols
Plasma and biomedical research with lasers
Research with controlled chemicals, biological
agents, and toxins
Biological samples
Crop dusting, aerosol dissemination
Tangible products of fundamental research (prototypes, materials, some software)
are not excluded. These items may require authorization for export from the US.
Note: The intellectual product of fundamental research (publishable results) is excluded from
export controls.
Engineering
Medicine
Nursing
Pharmacology
Sciences, et al.
Education and Training
Computing and Information
Technology
 Technology/Material
Transfer
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Grants and Contracts
General Counsel
International Study Programs
Purchasing
Shipping and Receiving
Environmental Health and
Safety
 International Collaborations
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 Does the research involve any of the EAR
categories?
 Does the research involve any item on the ITAR
Munitions List?
 Does the research involve technology or devices
designed for use in military, security and
intelligence applications?
 Does the research involve anything else wit a
substantial or dual-use military application?
 Assistance is available for:
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Preliminary Evaluation
• Review proposals in the scientific areas of the greatest risk for
export control issues
 Red Flags
 Encryption Software
 Technology/Equipment on Commerce Control List (EAR) OR the
Munitions List (ITAR)
 Sanctioned Countries
 Foreign Nationals/Travel
 Proprietary Information
 If your technology is export controlled, assistance
is available to Determine:
The correct classification and reason(s) for control
If a license is required to the intended destination and/or recipient
Checking for an available license exception or exclusion
Checking the lists of restricted/debarred individuals and
institutions denied export privileges; and
 Applying for a license, if necessary
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 Contact Information
Office of Research and Sponsored Programs
James Hall
200 Mullica Hill Road
Glassboro, NJ 08028
Creating processes charged with monitoring export
compliance;
 Appointing an export compliance official to oversee the export
compliance program;
 Implementing a process for screening third-parties (Visual
Compliance);
 Addressing record keeping requirements;
 Establishing a procedure for employees to report suspected
violations; and
 Providing a means for investigating potential violations and
when necessary, reporting them to appropriate government
agencies.
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Failure to comply with U.S. export
control laws can result in severe
penalties to individuals as well as the
university:
 Civil penalties up to $500,000 each violation
 Criminal penalties up to $1,000,000 each
violation
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Imprisonment up to 10 years.