BIS Mandates SNAP-R for Most Export/Reexport License Filings Beginning October 20, 2008

BIS' final rule also sets forth the criteria under which BIS authorizes paper submissions. In addition, the final rule makes conforming changes to a number of Export Administration Regulations (EAR) provisions that currently employ language related to the paper forms.

(SNAP-R enables exporters to submit export license applications, re-export applications, commodity classification requests, agriculture license exception notices, and associated supporting documents to BIS via the Internet.)

SNAP-R Mandatory Unless Paper Filing Authorized

1. CFR 748.1 is amended to set forth the basic requirement that license applications (other than SCL or SIRL applications), encryption review requests, License Exception AGR notifications, and classification requests and any accompanying documents must be submitted via SNAP-R unless BIS authorizes submission via paper.

(Currently, members of the public can submit these applications, requests and notifications to BIS in one of three ways: via SNAP-R, via BIS' Electronic License Application Information Network (ELAIN)¹, or via the paper BIS Multipurpose Application Form BIS 748-P and its two appendices, the BIS 748-P A and BIS 748-P B.)

BIS Outlines Criteria Under Which Paper Submissions Will be Authorized

1. CFR 748.1 is also amended to set forth the criteria under which BIS will authorize

paper submissions. Those criteria are:

1. BIS has received no more than one submission from the party in the twelve months immediately preceding the current submission;
2. the party does not have access to the Internet;
3. BIS has rejected the party's electronic filing registration or revoked its eligibility to file electronically;
4. BIS has requested that the party submit on paper for a particular transaction; or
5. BIS has determined that urgency, a need to implement government policy or a circumstance outside the submitting party's control justifies allowing paper submissions on a particular instance.

Parties who wish to submit on paper must submit the BIS Form 748-P. The submitter must also include, either on the form or as an attachment, a statement explaining which of the criteria justifies a paper submission and provide supporting information.

(BIS estimates that only a small number of submissions will seek authorization to file on paper. In 2008, more than 96% of all submissions affected by this final rule were submitted to BIS via SNAP-R.)

Application RWA if BIS finds criteria are not met. If BIS agrees that at least one of the criteria is met, it will process the submission in accordance with its regular procedures. If BIS finds that none of the criteria asserted by the submitter are met, it will return the form without action (RWA) and inform the submitter of the reason for rejecting the request to file on paper.

A decision by BIS to reject a request to file on paper is subject to appeal under 15 CFR Part 756.

Supporting Documents Must be Submitted via SNAP-R as PDF Files

1. CFR 748.6 is revised to require that any documents submitted in support of any license application submitted via SNAP-R be submitted via the SNAP-R system as PDF (portable document format) files. 15 CFR 748.6 also is revised to remove the statement that application control numbers are preprinted on the paper forms.

Instructions on Submitting Classification Requests Revised

1. CFR 748.3 is revised to replace instructions about where and how to submit classification requests, with a reference to the procedures in 15 CFR 748.1 and to require that documents submitted with the classification request be submitted in PDF format as attachments to the SNAP-R submission unless BIS had authorized a paper submission pursuant to 15 CFR 748.1.

Final Rule Contains No Substantive Changes from Proposed Rule

BIS states that is has made no changes to the substantive points of the proposed rule in response to comments. BIS states that it only made technical and conforming changes.

¹BIS intends to discontinue use of ELAIN and require the use of the SNAP-R system unless one of the reasons for authorizing paper submissions set forth in this rule applies

in particular case.

(See ITT's Online Archives or 10/23/07 news, 07102305, for BP summary of BIS' proposed rule.

See ITT's Online Archives or 08/24/07 news, 07082415, for BP summary of the implementation of Version 1.2 of SNAP-R beginning August 25, 2007.

See ITT's Online Archives or 01/12/07 news, 07011215, for BP summary of the replacement of SNAP with SNAP-R beginning January 16, 2007.)

BIS contact - William Arvin (202) 482-2440

BIS final rule (D/N 0612242559-8545-02, FR Pub 08/21/08) available at http://edocket.access.gpo.gov/2008/pdf/E8-18852.pdf.

BIS' SNAP-R web site (including links to a SNAP-R webinar video, SNAP-R user manual, SNAP benefits and requirements) available at http://www.bis.doc.gov/snap/index.htm.