Currently the U.S. government has three different agencies
that have been given the authority to issue export licenses. Those three
agencies are: the Departments
of Commerce, State, and the Treasury. In 2009, President Obama ordered an
interagency review of the current export control system. The review found that
the current system was “overly
complicated, contained too many redundancies, and, in trying to protect too
much, diminished the ability to focus their efforts on the most critical
national security priorities”. The review also found that many companies
had to apply for multiple export licenses with each of the departments. Due to
the findings of the review, the Administration created the Export Control
Reform initiative to help establish a single export licensing system.
“The goal of the (ECR)
initiative is to create a Single Licensing Agency (SLA), which would act as a
‘one stop shop’ for businesses seeking export license and for the US government
to coordinate review of license applications.” The ultimate goal of this new
licensing process would be to make the process predictable, timely, and
transparent.
According to the
Census Bureau, “an interagency working group was formed in March 2016 to
begin working on the Single Trade Application and Reporting system (STARS)
requirements”. As of June 2016, the interagency working group completed the STARS website, which
“directs users whose export requires a license to the export licensing systems
of the Department of
Commerce, Bureau of Industry and Security; the Department of State,
Directorate Defense Trade Controls; and the Department of Treasury,
Office of Foreign Assets Control.” Also in June, the working group started
“identifying the list of data elements to be required within STARS”, which is
still currently in process. After the working group completes the list, then
the group will start “providing information on the data elements” before the
group starts discussing the system design and requirements. The Census Bureau
plans to create “external working groups” to help with creating the system
design and requirements. As of right now there will be two external working
groups, the first group “will include service providers, software vendors, and
information technology specialists” and the second group will “be composed of
industry representatives” who have experience in the current licensing systems.
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Once the new single export licensing system, STARS, is
officially in place and you are a company that is looking to register with the
new system, contact info@diaztradelaw.com
to make sure your company registers properly.
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