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

9/8/2021

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 LOGISTICS AGENCY
DIRECTOR, DEFENSE THREAT REDUCTION AGENCY
DIRECTOR, DEFENSE TECHNOLOGY SECURITY ADMINISTRATIVE

SUBJECT :

Limitations of Material Delivery, Training or Defense Services of Enhanced End-Use Monitoring (EEUM) Defense Articles Under Title 10 Building Partner Capacity (BPC) Letters of Offer and Acceptance (LOAs). Defense Security Cooperation Agency (DSCA Policy 21-58 [SAMM E-Change 540])

Effective immediately, this memorandum incorporates E-Change 540 into the Security Assistance Management Manual (SAMM) by adding the mandatory note for Title 10 BPC LOAs that contain EEUM defense articles in Appendix 6 of the SAMM. In addition, this E-Change updates the existing Unmanned Aircraft Systems (UAS) "principle of use" BPC note to include instructions to ensure benefitting country provides written agreements prior to transfer. Finally, this memorandum updates the policy contained at SAMM C8.T2. pertaining to the DoD EUM responsibilities for the Security Cooperation Organizations (SCOs) that identifies their additional role of obtaining a signed EEUM control plan or UAS letter of intent from the benefitting country.

The purpose of this policy change is to ensure that the benefitting country under Title 10 BPC cases provides the end-use assurances required by the Foreign Assistance Act, as amended, prior to receipt of defense articles and services. The benefiting country of a Title 10 program does not sign the BPC case and the Section 505 agreement signed by the benefitting country does not include the necessary details and additional provisos required when transferring EEUM defense articles to foreign partners. This note and update to the existing UAS "Principle of Use" BPC note will help ensure we have these assurances in place before transferring EEUM defense articles.

If you have questions regarding this change, please contact Mr. John Oswald, DSCA/IOPS/GE, at (703) 697-9427 or e-mail: John.A.Oswald2.civ@mail.mil. For general questions relating to the SAMM, please contact Ms. Mel Dockstader, at (703) 692-6657 or e-mail: Melissa.M.Dockstader.civ@mail.mil. Implementing Agencies should ensure dissemination to supporting activities. The SAMM is available at https://www.samm.dsca.mil/

Alan Gorowitz
Assistant Director
Strategy, Plans, and Policy

ATTACHMENT :
As stated

CC :

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USSOUTHCOM
USPACOM
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Security Assistance Management Manual (SAMM), E-Change 540
LIMITATIONS OF MATERIEL DELIVERY, TRAINING OR DEFENSE SERVICES OF ENHANCED END USE MONITORING DEFENSE ARTICLES

  1. In Appendix 6, add the following note:

    Limitations of Material Delivery, Training, or Defense Services of Enhanced End-Use Monitoring Defense Articles

    Note Usage

    FMS : No (with exceptions)

    BPC : Yes

    Mandatory for BPC LOAs that transfer Enhanced End Use Monitoring (EEUM) defense articles. This note is not required for transfer of COMSEC or NVDs that require EEUM because guidance for such items is addressed prior to the LOA development process.

    Mandatory for BPC Amendments and Modifications that adds EEUM defense articles or any UAS if the note does not exist on the implemented version of the case. This note is not required for transfer of COMSEC or NVDs that require EEUM because guidance for such items is addressed prior to the LOA development process.

    In addition to mandatory note usage for BPC cases, the Assistance Monitoring Division (AMD) Chief may authorize limited note usage for FMS cases if required. For FMS cases, the LOA is subject to Section 3 of the Arms Export Control Act (AECA) vice Section 505 of the Foreign Assistance Act (FAA).

    References

    C8.T4 - Defense Articles Designated as EEUM

    Note Input Responsibility

    CWD

    Note Text

    "Item(s) transferred pursuant to this LOA are subject to Section 505 of the Foreign Assistance Act (FAA) of 1961, as amended (22 U.S.C. Section 2314) or Section 3 of the Arms Export Control Act (AECA) for FMS cases. In order to implement the requirements of Section 505, the Implementing Agency is not authorized to deliver the defense articles, training, or materiel pertaining to the Enhanced End Use Monitoring (EEUM) item on this LOA to the country/benefitting country/international organization unless a completed Control Plan and/or site certification is uploaded to the SCIP-EUM database, as appropriate. SAMM Chapter 8 provides guidance on required control plan and site certification contents. Upon upload of the applicable documentation to SCIP-EUM, the Implementing Agency must obtain written consent from Defense Security Cooperation Agency (DSCA), Global Execution Division, Assistance and Monitoring (EUM) Directorate to ensure compliance with U.S. law and regulatory requirements prior to shipment/delivery of any defense articles, training, or defense services to the benefitting country/international organization. In the event an item is on contract and ready for shipment/delivery, contract storages charges may apply if necessary documentation or compliance is not obtained and the item is being held until approval is received."

  2. In Appendix 6, update the current "Principles of Use of Military Unmanned Aerial Systems (UASs) - BPC note

    Principles of Use of Military Unmanned Aerial Systems (UASs) - BPC

    Note Usage

    FMS : No

    BPC : Yes

    Mandatory for BPC LOAs that include military UASs.

    Mandatory for Amendments that add military UASs.

    It is the responsibility of the Implementing Agency to identify in the line description note that the UAS in question is a military UAS and controlled under the ITAR whether armed or unarmed.

    References

    N/A

    Note Input Responsibility

    CWD

    Note Text

    "In addition to the assurances provided in the 505 Agreement, which apply to this transfer, the recipient must provide written agreement or Letter of Intent to the following principles before transfer to the recipient country:

    1. not to modify U.S.-origin Unmanned Aerial Systems (UASs) with U.S.- or foreign-origin technologies without USG permission and to obtain prior USG consent for the integration and/or use of U.S.-origin technologies on non-U.S.-origin UASs;

    2. to use these systems in accordance with international law, including international humanitarian law and international human rights law, as applicable;

    3. to use armed UASs in operations involving the use of force only when there is a lawful basis for use of force under international law, such as self-defense;

    4. not to use UASs to conduct unlawful surveillance or use unlawful force against its domestic population; and

    5. as appropriate, to provide UAS operators technical and doctrinal training on the use of these systems to reduce the risk of unintended injury or damage.

    Upon upload of the written agreement or Letter of Intent to the SCIP-EUM database by the SCO, the Implementing Agency must obtain written consent from Defense Security Cooperation Agency (DSCA), Global Execution Division, Assistance and Monitoring (EUM) Directorate to ensure compliance with U.S. law and regulatory requirements prior to shipment/delivery of any defense articles, training, or defense services to the benefitting country/international organization."

  3. Update paragraph C8.T2. (DoD End-Use Monitoring Responsibilities) as follows:

    ORGANIZATION

    RESPONSIBILITY

    Security Cooperation Organizations (SCOs) (including Defense Attaché Offices and U.S. Diplomatic Missions with Security Assistance responsibilities)

    Below:

    1. Functions that must be performed by a USG employee who is also a U.S. citizen:

    Add:

      1. For Title 10 BPC cases that require an EEUM Control Plan or UAS Letter of Intent, work with DSCA to develop an EEUM Control Plan (based on the physical security and Accountability note) or UAS Letter of Intent (based on the Principle of Use note) and coordinate with the Partner Nation to obtain its signature. Upload the signed document to the SCIP-EUM database or send them via e-mail to the dsca.eumhelpdesk@mail.mil for record keeping in the SCIP-EUM database.