DSCA Policy Memo 19-32 Update to Cargo Preference Requirements has been posted.

This memorandum updates the Cargo Preference requirements in Chapter 7 of the Security Assistance Management Manual (SAMM) to reflect the current ocean shipping environment and to ensure the maximum amount of applicable cargoes are carried by U.S. Flag vessels, while remaining responsive to foreign partners’ needs.

Memo revises C7.9.1. Cargo Preference (Ocean) and subsections.

DSCA Policy Memo 19-43 Reduction to the Foreign Military Sales (FMS) Contract Administrative Services Surcharge Rate and Rate Structure has been posted.

In accordance with the SAMM, Chapter 9, paragraph C9.16.3.3, DSCA conducted a comprehensive review of the Contract Administration Services Cost Clearing Account, including a review of the CAS surcharge rate. This review concluded that higher than expected annual sales has led to a healthy account balance sufficient enough to meet anticipated expenditures until the next review cycle in five years and supported a reduction to the CAS surcharge rate. As a result, the Office of the Under Secretary for Defense – Comptroller has approved a 0.20% reduction – from 1.20% to 1.00% -- in the CONUS FMS CAS surcharge rate, effective February 1, 2020.

Memo revises Table C9.T4. Table of Charges.

DSCA Policy Memo 19-53 Update of Security Assistance Management Manual (SAMM) Table C4.T2, Country, International Organization, and Regional Codes and Foreign Military Sales (FMS) Eligibility has been posted.

Effectively immediately, the Kingdom of Saudi Arabia State Security Presidency is eligible to enter into Foreign Military Sales (FMS) for defense articles and services. As a result, SAMM Table C4.T2A Security Cooperation (SC) Customer and Regional Codes and FMS Eligibility is updated with code SA.

Table C4.T2A. - Security Cooperation (SC) Customer and Regional Codes and FMS Eligibility has been updated to include Saudi Arabia State Security Presidency code "SA".

DSCA Policy Memo 19-54 Mandatory Enhanced End-Use Monitoring (EEUM) for Lethal Miniature Aerial Missile System (LMAMS) Switchblade has been posted.

Effective immediately, this memorandum adds the Lethal Miniature Aerial Missile System (LMAMS) to the list of defense articles identified for Enhanced End-Use Monitoring in Table C8.T4. Defense Articles Designated for EEUM for all FMS-eligible Countries. Appendix 6 of the SAMM will be updated to include the "Lethal Miniature Aerial Missile System (LMAMS) Switchblade" physical security and accountability note.