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DEFENSE SECURITY COOPERATION AGENCY
201 12th STREET SOUTH, STE 203
ARLINGTON, VA 22202-5408

7/6/2020

MEMORANDUM FOR :

DEPUTY UNDER SECRETARY OF THE AIR FORCE FOR INTERNATIONAL AFFAIRS
DEPUTY ASSISTANT SECRETARY OF THE ARMY FOR DEFENSE EXPORTS AND COOPERATION
DEPUTY ASSISTANT SECRETARY OF THE NAVY FOR INTERNATIONAL PROGRAMS
DIRECTOR, DEFENSE CONTRACT MANAGEMENT AGENCY
DIRECTOR FOR SECURITY ASSISTANCE, DEFENSE FINANCE AND ACCOUNTING SERVICE - INDIANAPOLIS OPERATIONS
DIRECTOR, DEFENSE INFORMATION SYSTEMS AGENCY
DIRECTOR, DEFENSE LOGISTICS AGENCY
DIRECTOR, DEFENSE LOGISTICS INFORMATION SERVICE
DIRECTOR, DEFENSE LOGISTICS AGENCY DISPOSITION SERVICES
DIRECTOR, DEFENSE THREAT REDUCTION AGENCY
DIRECTOR, MISSILE DEFENSE AGENCY
DIRECTOR, NATIONAL GEOSPATIAL - INTELLIGENCE AGENCY
DEPUTY DIRECTOR FOR INFORMATION ASSURANCE, NATIONAL SECURITY AGENCY

SUBJECT :

Security Assistance Management Manual (SAMM) Exception to Policy (ETP) Standardization Process, Defense Security Cooperation Agency (DSCA) Policy 20-37 [SAMM E-Change 441]

This memorandum updates chapter 6 of the SAMM to establish new requirements and procedures for the Implementing Agencies (IAs) to request an Exception to Policy (ETP) in order to facilitate more timely case development. Effective immediately, an ETP is required for all policy exceptions including, but not limited to FMS, Building Partner Capacity (BPC), training, and financial policies, except requests associated with prior year adjustment and case closure. IAs must submit ETPs at the earliest possible point in the LOA development process to avoid delays. The DSCA Strategy, Plans, Programs/ Strategic Planning and Integration (SPP/SPI) division is the DSCA office of primary responsibility for this effort.

Implementing Agency (IA) policy offices must send all ETP requests through the following email address: dsca.ncr.dsca-spp.mbx.etp@mail.mil mailbox. Requests for financial policy exception related to prior year adjustment should be sent to dsca.ncr.dbo.mbx.prior-year-requests@mail.mil, and case closure sent to dsca.ncr.dbo.mbx.case-closure-requests@mail.mil.

DSCA SPP/SPI will coordinate ETP requests with the appropriate DSCA stakeholders and reply to ETP requests submitted via email within ten business days of receiving a complete ETP request. DSCA SPP/SPI will provide ETP determinations to the IA by email and enter a DSAMS case remark. General Officer/Flag Officer/SES-level requests or ETP appeals submitted via formal correspondence are staffed with the DSCA Director, who will respond accordingly to the requester. DSCA will consider ETPs on a case-by-case basis, in accordance with legal requirements, when SAMM guidance is not established.

An ETP request must include a justification for the request and a written endorsement (i.e., email) from the IA policy office and may include any of the following documents:

  1. Letter of Request (LOR), meeting minutes, or email from the foreign purchaser requesting the ETP; and,

  2. An official request from the IA Weapon System Program Office (if applicable).

If you have any questions concerning this guidance, please contact DSCA-SPP/SPI, Ms. Michelle Davis, michelle.davis13.civ@mail.mil, (703) 697-9052 or DSCA/DBO/FPA, Mrs. Candace Sampere, candace.j.sampere.civ@mail.mil, (703) 697-8871.

Charles W. Hooper
Lieutenant General, USA
Director

ATTACHMENT :
Security Assistance Management Manual (SAMM) E-Change 441

CC :

STATE/PM-RSAT
AFRICOM
CENTCOM
EUCOM
JFCOM
NORTHCOM
PACOM
SOCOM
SOUTHCOM
TRANSCOM
USASAC
SATFA TRADOC
NAVICP
NETSAFA
AFSAC
AFSAT
MDA
DSCU-West

SECURITY ASSISTANCE MANAGEMENT MANUAL (SAMM), E-CHANGE 441

1) Replace C6.7.4. and renumber subsequent sections as follows:

C6.7.4. Request for Exceptions to Policy (ETPs). Implementing Agency (IA) policy offices must send all ETP requests through the following email address: dsca.ncr.dsca-spp.mbx.etp@mail.mil mailbox. Requests for financial policy exception related to prior year adjustment should be sent to dsca.ncr.dbo.mbx.prior-year-requests@mail.mil, and case closure sent to dsca.ncr.dbo.mbx.case-closure-requests@mail.mil. DSCA SPP/SPI will coordinate ETP requests with the appropriate DSCA stakeholders and reply to ETP requests submitted via email within ten business days of receiving a complete ETP request. DSCA SPP/SPI will provide ETP determinations to the IA by email and enter a DSAMS case remark. General Officer/Flag Officer/SES-level requests or ETP appeals submitted via formal correspondence are staffed with the DSCA Director, who will respond accordingly to the requester. DSCA will consider ETPs on a case-by-case basis, in accordance with legal requirements, when SAMM guidance is not established.

C6.7.4.1. An ETP request must include a justification for the request and a written endorsement (i.e., email) from the IA policy office and may include any of the following documents:

  1. Letter of Request (LOR), meeting minutes, or email from the foreign purchaser requesting the ETP; and,

  2. An official request from the IA Weapon System Program Office (if applicable).

 

C6.7.4.2. IAs must include all ETP approvals in the LOA package submitted to the DSCA Case Writing Division.

C6.7.5. Reduction of Value on Unused FMS and BPC Cases. Amendments or Modifications (to include concurrent modifications) should not be used to reduce an unused case to zero value or any other amount. This prohibition includes deleting all lines on a case using an Amendment or Modification for the purpose of reducing an unused case. For this purpose, "unused" is defined as a $0 net sum of all financial activity, other than the pre-paid FMS Administrative Surcharge.

C6.7.5.1. Closure of Unused FMS and BPC Cases. The Implementing Agency should use the case closure process to return case value or funds on unused cases to the customer. See Section C16.4.7.

C6.7.5.2. Request for Exceptions-BPC. Exceptions will be considered on a case-by-case basis such as the need to make funds available on an unused BPC case where the case closure action cannot be completed in the time necessary to make the residual funds available for another BPC case before the funds obligation period expires. Requests for an exception to policy should be submitted through the ETP mailbox and will be provided to the DSCA (Directorate of Business Operations (DBO) Financial Policy & Analysis (FPA) Division) for decision.