24 December 1997
Source: http://www.access.gpo.gov/su_docs/aces/aces140.html

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[Federal Register: December 24, 1997 (Volume 62, Number 247)]
[Presidential Documents]               
[Page 67545-67547]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr24de97-148]


[[Page 67545]]

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Part X





The President





_______________________________________________________________________



Memorandum of December 19, 1997--Delegation of Authority Under Section 
1212 of the National Defense Authorization Act for Fiscal Year 1998 
(Public Law 105-85)


                        Presidential Documents 




___________________________________________________________________

Title 3--
The President

[[Page 67547]]

                Memorandum of December 19, 1997

 
                Delegation of Authority Under Section 1212 of the 
                National Defense Authorization Act for Fiscal Year 1998 
                (Public Law 105-85)

                Memorandum for the Secretary of Commerce

                By virtue of the authority vested in me by the 
                Constitution and laws of the United States of America, 
                including section 301 of title 3 of the United States 
                Code, I hereby delegate the functions and authorities 
                conferred upon the President by section 1212 of the 
                National Defense Authorization Act for Fiscal Year 1998 
                (Public Law 105-85) to the Secretary of Commerce, who 
                is authorized to redelegate these functions and 
                authorities consistent with applicable law.

                Any reference in this memorandum to the provision of 
                any Act shall be deemed to include references to any 
                hereafter-enacted provision of law that is the same or 
                substantially the same as such provision.

                You are authorized and directed to published this 
                memorandum in the Federal Register.

                    (Presidential Sig.)<Clinton1><Clinton2>

                THE WHITE HOUSE,

                    Washington, December 19, 1997.

[FR Doc. 97-33838
Filed 12-23-97; 8:45 am]
Billing code 3510-BP-M

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[Excerpted from H.R. 1119:]

SEC. 1211. EXPORT APPROVALS FOR HIGH PERFORMANCE COMPUTERS.

    (a) Prior Approval of Exports and Reexports.--The President shall 
require that no digital computer with a composite theoretical 
performance level of more than 2,000 millions of theoretical operations 
per second (MTOPS) or with such other composite theoretical performance 
level as may be established subsequently by the President under 
subsection (d), may be exported or reexported without a license to a 
country specified in subsection (b) if the Secretary of Commerce, the 
Secretary of Defense, the Secretary of Energy, the Secretary of State, 
or the Director of the Arms Control and Disarmament Agency objects, in 
writing, to such export or reexport. Any person proposing to export or 
reexport such a digital computer shall so notify the Secretary of 
Commerce, who, within 24 hours after receiving the notification, shall 
transmit the notification to the Secretary of Defense, the Secretary of 
Energy, the Secretary of State, and the Director of the Arms Control 
and Disarmament Agency.
    (b) Covered Countries.--For purposes of subsection (a), the 
countries specified in this subsection are the countries listed as 
``Computer Tier 3'' eligible countries in section 740.7(d) of title 15 
of the Code of Federal Regulations, as in effect on June 10, 1997, 
subject to modification by the President under subsection (e).
    (c) Time Limit.--Written objections under subsection (a) to an 
export or reexport shall be raised within 10 days after the 
notification is received under subsection (a). If such a written 
objection to the export or reexport of a computer is raised, the 
computer may be exported or reexported only pursuant to a license 
issued by the Secretary of Commerce under the Export Administration 
Regulations of the Department of Commerce, without regard to the 
licensing exceptions otherwise authorized under section 740.7 of title 
15 of the Code of Federal Regulations, as in effect on June 10, 1997. 
If no objection is raised within the 10-day period, the export or 
reexport is authorized.
    (d) Adjustment of Composite Theoretical Performance.--The 
President, in consultation with the Secretary of Commerce, the 
Secretary of Defense, the Secretary of Energy, the Secretary of State, 
and the Director of the Arms Control and Disarmament Agency, may 
establish a new composite theoretical performance level for purposes of 
subsection (a). Such new level shall not take effect until 180 days 
after the President submits to the congressional committees designated 
in section 1215 a report setting forth the new composite theoretical 
performance level and the justification for such new level. Each report 
shall, at a minimum--
        (1) address the extent to which high performance computers of a 
    composite theoretical level between the level established in 
    subsection (a) or such level as has been previously adjusted 
    pursuant to this section and the new level, are available from 
    other countries;
        (2) address all potential uses of military significance to 
    which high performance computers at the new level could be applied; 
    and
        (3) assess the impact of such uses on the national security 
    interests of the United States.
    (e) Adjustment of Covered Countries.--
        (1) In general.--The President, in consultation with the 
    Secretary of Commerce, the Secretary of Defense, the Secretary of 
    Energy, the Secretary of State, and the Director of the Arms 
    Control and Disarmament Agency, may add a country to or remove a 
    country from the list of covered countries in subsection (b), 
    except that a country may be removed from the list only in 
    accordance with paragraph (2).
        (2) Deletions from list of covered countries.--The removal of a 
    country from the list of covered countries under subsection (b) 
    shall not take effect until 120 days after the President submits to 
    the congressional committees designated in section 1215 a report 
    setting forth the justification for the deletion.
        (3) Excluded countries.--A country may not be removed from the 
    list of covered countries under subsection (b) if--
            (A) the country is a ``nuclear-weapon state'' (as defined 
        by Article IX of the Treaty on the Non-Proliferation of Nuclear 
        Weapons) and the country is not a member of the North Atlantic 
        Treaty Organization; or
            (B) the country is not a signatory of the Treaty on the 
        Non-Proliferation of Nuclear Weapons and the country is listed 
        on Annex 2 to the Comprehensive Nuclear Test-Ban Treaty.
    (f) Classification.--Each report under subsections (d) and (e) 
shall be submitted in an unclassified form and may, if necessary, have 
a classified supplement.

SEC. 1212. REPORT ON EXPORTS OF HIGH PERFORMANCE COMPUTERS.

    (a) Report.--Not later than 60 days after the date of the enactment 
of this Act, the President shall provide to the congressional 
committees specified in section 1215 a report identifying all exports 
of digital computers with a composite theoretical performance of more 
than 2,000 millions of theoretical operations per second (MTOPS) to all 
countries since January 25, 1996. For each export, the report shall 
identify--
        (1) whether an export license was applied for and whether one 
    was granted;
        (2) the date of the transfer of the computer;
        (3) the United States manufacturer and exporter of the 
    computer;
        (4) the MTOPS level of the computer; and
        (5) the recipient country and end user.
    (b) Additional Information on Exports to Certain Countries.--In the 
case of exports to countries specified in subsection (c), the report 
under subsection (a) shall identify the intended end use for the 
exported computer and the assessment by the executive branch of whether 
the end user is a military end user or an end user involved in 
activities relating to nuclear, chemical, or biological weapons or 
missile technology. Information provided under this subsection may be 
submitted in classified form if necessary.
    (c) Covered Countries.--For purposes of subsection (b), the 
countries specified in this subsection are--
        (1) the countries listed as ``Computer Tier 3'' eligible 
    countries in section 740.7(d) of title 15 of the Code of Federal 
    Regulations, as in effect on June 10, 1997; and
        (2) the countries listed in section 740.7(e) of title 15 of the 
    Code of Federal Regulations, as in effect on June 10, 1997.

SEC. 1213. POST-SHIPMENT VERIFICATION OF EXPORT OF HIGH PERFORMANCE 
              COMPUTERS.

    (a) Required Post-Shipment Verification.--The Secretary of Commerce 
shall conduct post-shipment verification of each digital computer with 
a composite theoretical performance of more than 2,000 millions of 
theoretical operations per second (MTOPS) that is exported from the 
United States, on or after the date of the enactment of this Act, to a 
country specified in subsection (b).
    (b) Covered Countries.--For purposes of subsection (a), the 
countries specified in this subsection are the countries listed as 
``Computer Tier 3'' eligible countries in section 740.7 of title 15 of 
the Code of Federal Regulations, as in effect on June 10, 1997, subject 
to modification by the President under section 1211(e).
    (c) Annual Report.--The Secretary of Commerce shall submit to the 
congressional committees specified in section 1215 an annual report on 
the results of post-shipment verifications conducted under this section 
during the preceding year. Each such report shall include a list of all 
such items exported from the United States to such countries during the 
previous year and, with respect to each such export, the following:
        (1) The destination country.
        (2) The date of export.
        (3) The intended end use and intended end user.
        (4) The results of the post-shipment verification.
    (d) Explanation When Verification Not Conducted.--If a post-
shipment verification has not been conducted in accordance with 
subsection (a) with respect to any such export during the period 
covered by a report, the Secretary shall include in the report for that 
period a detailed explanation of the reasons why such a post-shipment 
verification was not conducted.

SEC. 1214. GAO STUDY ON CERTAIN COMPUTERS; END USER INFORMATION 
              ASSISTANCE.

    (a) In General.--The Comptroller General of the United States shall 
submit to the congressional committees specified in section 1215 a 
study of the national security risks relating to the sale of computers 
with a composite theoretical performance of between 2,000 and 7,000 
millions of theoretical operations per second (MTOPS) to end users in 
countries specified in subsection (c). The study shall also analyze any 
foreign availability of computers described in the preceding sentence 
and the impact of such sales on United States exporters.
    (b) End User Information Assistance to Exporters.--The Secretary of 
Commerce shall establish a procedure by which exporters may seek 
information on questionable end users in countries specified in 
subsection (c) who are seeking to obtain computers described in 
subsection (a).
    (c) Covered Countries.--For purposes of subsections (a) and (b), 
the countries specified in this subsection are the countries listed as 
``Computer Tier 3'' eligible countries in section 740.7(d) of title 15 
of the Code of Federal Regulations, as in effect on June 10, 1997.


