Incorporated

Policy changes from this SAMM E-Change memo have been incorporated into the SAMM.

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DEFENSE SECURITY COOPERATION AGENCY 
2800 DEFENSE PENTAGON 
WASHINGTON, D.C. 20301-2800

 

11/6/2023

 

MEMORANDUM FOR :

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

SUBJECT :

Authorizing Designated and Appointed U.S. Personnel to Conduct Initial U.S. Defense Article Inventories on Behalf of Security Cooperation Offices, DSCA Policy 23-63 [SAMM E-Change 657]

REFERENCE :

  1. Department of Defense Management Advisory: Report Number DODIG-2023-090, June 28, 2023, "Sufficiency of Staffing at Logistics Hubs in Poland for Conducting Inventories of Items Requiring Enhanced End-Use Monitoring."

This memorandum updates the Security Assistance Management Manual (SAMM) to authorize designated and appointed U.S. personnel to conduct initial inventories of U.S. defense articles requiring End Use Monitoring (EUM) and report material transfers on behalf of Security Cooperation Organizations (SCOs).

Department of Defense policy requires the SCO to perform initial inventories of U.S. defense articles requiring EEUM accountability procedures and to retain title and custody of certain categories of U.S.-designated defense articles prior to title transfer to the benefitting country. The current policy is designed to be executed under peacetime conditions. This procedural update allows designated and appointed U.S. personnel other than the in-country SCO to conduct EEUM responsibilities when a hostile environment requires the in-country SCO to relocate to an adjacent and/or non-hostile area and therefore impedes the in-country SCO from executing EEUM responsibilities. This is a further enhancement to SAMM procedures for conducting end-use monitoring in a hostile environment, per DSCA Policy 22-87.

If you have questions regarding this change, please contact Mr. John Oswald, DSCA/IOPS/GEX, at (703) 697-9427 or john.a.oswald2.civ@mail.mil, or Ms. Gunda Seng, DSCA/IOPS/REX, at (703) 697-9707 or gundega.a.seng.civ@mail.mil. For general questions relating to the SAMM, please contact Ms. Mel Dockstader, DSCA/SPP/EPA, at (703) 692-6657 or melissa.m.dockstader.civ@mail.mil, or Ms. Caroline Chin, DSCA/SPP/EPA, at (703) 697-9073 or caroline.s.chin.civ@mail.mil. The SAMM is available at https://samm.dsca.mil.

James A. Hursch 
Director

ATTACHMENT : 
Security Assistance Management Manual E-Change 657

Security Assistance Management Manual (SAMM), E-Change 657 
EEUM Designation Process Flow

1) Update the SAMM Chapter 8 and Chapter 15 as follows:

Update

Current Wording

Revised Wording

C8.5.5.1.

Accountability of U.S. defense articles deployed to restricted areas that cannot be inventoried due to heightened security risk. When conditions allow, the SCO shall conduct an initial 100% inventory, by serial number, of all EEUM designated articles prior to shipment/delivery into hostile areas. The SCO shall also assist locally employed staff and the partner nation to improve inventory management and accountability procedures of EEUM designated articles currently in restricted areas.

Accountability of U.S. Defense Articles Deployed to Restricted Areas that Cannot be Inventoried due to Heightened Security risk. When conditions allow, the SCO or appointed U.S. designated officials who have received EUM training or, at a minimum, participated in a training session for non-EUM personnel, shall conduct an initial 100% inventory, by serial number, of all EEUM designated articles prior to shipment/movement/delivery into hostile areas. Designated U.S. officials shall be appointed or endorsed, in writing, by the Combatant Command (endorsed at the SES/07 General Officer/Flag Officer level) with the concurrence of the Ambassador when conditions exist that impede the SCO from executing their inventory responsibilities. The SCO shall upload written and endorsed designations within the SCIP-EUM database. Designated U.S. officials may be contractors or U.S. personnel serving in locally employed embassy staff positions. The SCO shall assist designated U.S. and partner nation officials in developing and implementing improved inventory management and accountability procedures of EEUM-designated defense articles currently in restricted areas.

C15.1.2.4.

Case Execution. During case execution, the IA must often work quickly to obligate funds before they expire. The IA procures the defense articles and services according to DoD regulations. Materiel is transported using the Defense Transportation System (DTS) or other government-procured transportation, while the IA retains oversight of the transportation process and assists with resolution of transportation issues that may arise. After materiel has arrived in country and has been inventoried, the Security Cooperation Organization (SCO) transfers custody and responsibility of the materiel and services to the Benefitting Country and begins end use monitoring (EUM), as applicable.

Case Execution. During case execution, the IA must often work quickly to obligate funds before they expire. The IA procures the defense articles and services according to DoD regulations. Materiel is transported using the Defense Transportation System (DTS) or other government-procured transportation, while the IA retains oversight of the transportation process and assists with resolution of transportation issues that may arise. After materiel has arrived in country and has been inventoried, the Security Cooperation Organization (SCO) or appointed U.S.-designated officials will transfer custody and responsibility of U.S. defense articles to the Benefitting Country and begin end use monitoring (EUM), as applicable. Designated U.S. official shall be appointed or endorsed, in writing, by the Combatant Command with the concurrence of the Ambassador and DSCA. The designated U.S. officials can be contractors or U.S. personnel serving in locally employed embassy staff positions.

C15.5.4.7.

Joint Inventory. The SCO and the Benefitting Country representative will conduct a joint materiel inventory using the shipper's manifest while the materiel remains in the custody of the SCO. The SCO will inform the IA of any materiel suspected to be missing, to verify that it has not been included in a subsequent delivery.

Joint Inventory. The SCO and the Benefitting Country representative will conduct a joint materiel inventory using the shipper's manifest while the materiel remains in the custody of the SCO. The SCO will inform the IA of any materiel suspected to be missing, to verify that it has not been included in a subsequent delivery. Designated U.S. officials may also perform this task (See Section C15.1.2.4.).

C15.5.5.3.

Presentation. When title transfer is appropriate, or when defense services are ready to begin, the SCO and the Benefitting Country representative will sign the Transfer and Receipt document, acknowledging that the Benefitting Country is assuming title, custody, and responsibility for the items or services being transferred.

Presentation. When title transfer is appropriate, or when defense services are ready to begin, the SCO and the Benefitting Country representative will sign the Transfer and Receipt document, acknowledging that the Benefitting Country is assuming title, custody, and responsibility for the items or services being transferred. Designated U.S. officials may also perform this task (See Section C15.1.2.4.).

C15.5.5. Transfer and Receipt of Materiel and Services.

The SCO will retain title and custody of the BPC equipment until the Benefitting Country is ready to receive the equipment. A Transfer and Receipt document (or a comparable form established for this purpose) is used to record the title transfer and serves as a reminder to the Benefitting Country of their obligations regarding the use, disposition, and security of the defense articles and services in accordance with the Foreign Assistance Act (FAA) Section 505 Agreement.

The SCO retain title and custody of the BPC equipment until the Benefitting Country is ready to receive A Transfer and Receipt document (or a comparable form established for this purpose) is used to record the title transfer and serves as a reminder to the Benefitting Country of their obligations regarding the use, disposition, and security of the defense articles and services in accordance with the Foreign Assistance Act (FAA) Section 505 Agreement. Designated U.S. officials may also perform this task (See Section C15.1.2.4.).

C15.T1. Entry 6

Coordinate with the IA and the Benefitting Country on the preparation and arrangement for receipt of BPC program defense articles and services. Provide advance notification of delivery to the Benefitting Country to coordinate receipt and security of case materiel. See Section C15.5.4.

Coordinate with the IA and the Benefitting Country on the preparation and arrangement for receipt of BPC program defense articles and services. Provide advance notification of delivery to the Benefitting Country to coordinate receipt and security of case materiel. See Section C15.5.4. Designated U.S. officials may also perform this task (See Section C15.1.2.4.).