DEPARTMENT OF COMMERCE DRAFT BILL 'TO PROVIDE FOR CONTINUATION OF AUTHORITY FOR REGULATION OF EXPORTS.'

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP72-00337R000500060005-3
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 4
• Document Creation Date: December 19, 2016
• Document Release Date: October 25, 2005
• Sequence Number: 5
• Publication Date: December 14, 1970
• Content Type: MEMO

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EXECU ~` , . . .
OFFICE O.F MANAGEMENT AND ELDGET
WASHINGTON, D.C. 20503 GGG 7O 1 /
Decem'per 14, 1970
LEGIST-JI IVE E R L L EI O u Z~DV:.
To: Legislative Liaison Officer
Department of Agriculture Department of the Interior
Atomic Energy Commission Department of Justice
Council of Economic Advisers Small Business Admin.
Central Intelligency Agency Department of State
Department of Defense Department of the Treasury
Subject: Department of Commerce draft bill "To provide for
continuation of authority for regulation of
exports."
The Office of Management and Budget would appreciate
receiving the views of your agency on the above subject
before advising on its relationship to the program of the
President, in accordance with Budget Circular A-19.
(X To permit expeditious handling, it is requested
.
that your reply be made within 30 days. ,, ,r
Special circumstances require priority treatment
and accordingly your views are requested by
Questions should be referred to - Woody Small
(103 X 3875 ) or to Jay Paul Brennpman (103 X 4874),
the legislative analyst in this office.
C. William Fischer, for
Assistant Director, for
Legislative Reference
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DEC 8 1170
I no:a'~lC CCO: 3 P. Shultz
n ...,'tor
Of:i:10 f ASx... .,
,~ .. O:. i.1~.rr~~...ama
.,.n%
end Ul?d~;at
UashinC~I-on, D. C. 20503
` e Dat-pa;:t_,cntt of Co:: erce has included in its le islative
p; oCrr~1 for the lst Sess! on, 92nd Con- ess a proposal
(Item No. 4)
"To provide for continuation of authority for
ro3ulation1 of e: pOrts y to
ISnclosad are four copies of the draft bill, to-ether with
a statement of pur 0se zm d Iced in s ppori thereof.
You advice is requested as to `;nether t ere would be any
objection to the sub-mission of our draft bill to the ConCress.
Sincerely,
A I L'S; io '.YNN
General Counsel
Enclosuzas
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To provide for continuation of authority for regulation
of exports.
Be it enacted by the Senate and House of .Representatives
of the United States of America in Congress assembled, that
section 14 of the Export Administration Act of 1969 (83
Stat. 847; 50 U.S.C. App. 2413) is amended by striking out
"1971" and inserting in lieu thereof "1975".
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STATEi OF PURPOSE AND NEED
The proposed legislation would extend until June 30, 1975, the Export
Administration Act of 1969 (50 U.S.C. App. 22401-2413) which is now
scheduled to expire by its terms on June 30, 1971.
The Export Administration Act of 1969 authorizes the President to regul,-,ta
of U. S. goods and technology to the extent necessary (a) to
protect the domestic economy from the excessive drain of scarce materials
and to reduce the serious inflationary impact of abnormal foreign demand,
(b) to further significantly the foreign policy of the United States
and to fulfill its international responsibilities, and (c) to exercise
the necessary vigilance over export's from the standpoint of their sign'-
ficance to the national security of the United States. One of tl~e policy
declarations in the Act encourages trade with all couniLes- with which the
United States has diplomatic or trading relations, except those with
which such trade has-been determined by the President to be against the
national interest. Another policy declaration provides that U. S.
economic resources and trade potential should be used to promote the
sound growth and stability of the economy, as well as to further national
security and foreign policy objectives.
The Department maintains a list of certain commodities and technical
data which are under export control to the UgS.S.R.,and other Co::i-
munist destinations in Eastern Europe. Export to such destinations
are approved, denied or limited, as required by U.S. national security.
In addition, U. S. exports are generally prohibited to Cuba, Comrilunls::
China North Korea, and North Vietnam, to prevent detriment to U.S.
national security, and on foreign policy grounds. Validated export
licenses (issued on the basis of applications submitted by exporters)
are required for exports of a limited number of strategic commodities
and technical data to free world countries, except Canada, principally
to prevent their diversion to destinations to which direct U.S.
exports are generally denied or restricted.
The tensions and uncertainties of world political affairs will probably
make it vital for some time in the future to continue the President s
authority to control exports in conformity with U.. S. foreign policy
and security objectives. The United States should not be left without
authority to exercise flexibly such control when and to the extent
necessary.
We urge consideration of the enclosed draft bill by the Congress as
early in this session as possible in view of the Act's scheduled
expiration on June 30, 1971. Prompt extension of the legislation is
needed to prevent any doubt here or abroad concerning the continuance
of this important facet of our national security program, as well as
for budgetary,planning, and personnel reasons.
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