EMERGING IMMIGRATION AND POLICY ISSUES FOR ACADEMIC HEALTHCARE INSTITUTIONS AND BEYOND 2016 TOPIC/SECTION 2 Kimberly connelly holland senior international officer

Kumc OFFICE OF INTERNATIONAL PROGRAMS what are export controls and why do we care? On January 18, 2012, John Reece Roth, a former professor of electrical engineering at the University of Tennessee (UT) in Knoxville, began serving a four-year prison sentence for his September 2008 convictions. Roth was convicted after a jury trial in U.S. District Court in Knoxville, of conspiracy, wire fraud, and 15 counts of exporting “defense articles and services” without a license. As a UT professor, Roth obtained an U.S. Air Force (USAF) contract to develop plasma actuators to control the flight of small, subsonic, unmanned, military drone aircraft. During the course of that contract, he allowed two foreign national students to access export controlled data and equipment, and export some of the data from the contract on a trip to China. U.S. Attorney Bill Killian said, “This sentence communicates the importance of export compliance to academia and industry, especially in the research and development communities. It underscores the criminal consequences of non-compliance and what happens to those who knowingly and willfully violate export control laws. https://www.fbi.gov/knoxville/press-releases/2012/former-university-of-tennessee-professor-john-reece-roth-begins-serving-four-year-prison-sentence-on-convictions-of-illegally-exporting-military-research-data

Kumc OFFICE OF INTERNATIONAL PROGRAMS what are export controls and why do we care?

Kumc OFFICE OF INTERNATIONAL PROGRAMS what are export controls and why do we care? Export Controls are the law. US laws that regulate the distribution to foreign persons and foreign countries of strategically important technology, services and information for reasons of foreign policy and national security. Export Control Laws apply to all activities Why must we be concerned with Export Control Laws? Failure to comply may result in serious criminal and civil penalties for both your university and individuals. The Federal government has increased enforcement and investigations of universities since 9/11/2001

Kumc OFFICE OF INTERNATIONAL PROGRAMS what Agencies govern export controls? There are three principal agencies: U.S. Department of State U.S. Department of Commerce U.S. Department of the Treasury

Kumc OFFICE OF INTERNATIONAL PROGRAMS from larry dodson, director of export compliance “Export Control is a high risk complex compliance component for research Universities and the analysis requires a standard/consistent process that allows all appropriate stake holders and subject matter experts to evaluate risk and comply with federal laws.” - Larry Dodson, director of export compliance

Our process was neither STANDARD NOR CONSISTENT. An evolution: Kumc OFFICE OF INTERNATIONAL PROGRAMS EXPORT CONTROL COMPLIANCE HISTORY at kumc Our process was neither STANDARD NOR CONSISTENT. An evolution: New to the niche of Academic Health Care Institutions – I came to know about Export Controls, Deemed Export Questionnaire and review by our Export Control Officer, as a cog in the wheel for H1B’s processing only. Discovered inconsistencies: J’s, F1’s, etc. in labs for up to 5 years – no export questionnaire and no review.

Kumc OFFICE OF INTERNATIONAL PROGRAMS note from larry dodson, director of export compliance “As important as the review process, is the training needed when activity involves foreign nationals so that all participants involved are aware of the information (technology) that cannot be discussed within their areas of responsibility (the process and checklists help with this awareness)….always a challenge for Universities with a mission to share and mentor a new generation.” Larry Dodson, director of export compliance

What are you doing on your campuses? Kumc OFFICE OF INTERNATIONAL PROGRAMS EXPORT CONTROL COMPLIANCE -- EDUCATION AND PROCESS What are you doing on your campuses? What are your processes? How are you educating?

Kumc OFFICE OF INTERNATIONAL PROGRAMS EXPORT CONTROL COMPLIANCE -- EDUCATION AND PROCESS WE EMBARKED ON CREATING PROCESS AND PROVIDING EDUCATION: Include Export and IT security information in our OIP monthly Visa update meetings Present at departmental meetings, Administrator’s monthly meetings, Dean’s meetings, Senior Leadership meetings, etc. Include Deemed Export Questionnaires in every inbound international registration and every outbound international educational experience or professional experience registration. Recently included IT signature on the Deemed Export Questionnaire Share monthly lists to the Export Compliance Office and Information Security of all inbound internationals to the university as well as all outbound KUMC faculty, staff and students Use information from the questionnaires to perform Visual Compliance Send to the Export Compliance Officer for a review If “Deemed Export” is a concern

Kumc OFFICE OF INTERNATIONAL PROGRAMS EXPORT CONTROL COMPLIANCE -- EDUCATION AND PROCESS The University of Massachusetts at Lowell was charged by the Bureau of Industry and Security (“BIS”) for violating export control laws in connection with the export of an atmospheric testing device and related equipment. Specifically, the University was charged with violations of Sec. 764.2(a) of the Export Administration Regulations (“EAR”) for exporting items classified as EAR99 to a party on the BIS Entity List[1]. This case reinforces the important point that even universities engaged in fundamental research are required to comply with export control laws. It also reinforces the importance of prohibited party list screening as a mandatory part of export compliance efforts. http://www.williamsmullen.com/print/42959

Kumc OFFICE OF INTERNATIONAL PROGRAMS EXPORT CONTROL COMPLIANCE -- EDUCATION AND PROCESS This case is significant for two reasons. First, the University of Massachusetts was the target of the enforcement action and charged with committing the violation. The second major significance of the case is the increased importance of checking prohibited party lists as an integral part of the export compliance process. In this case, the products exported by the University were classified as EAR99. This denotes the lowest level of export control and normally does not require a license for any destination except the embargoed or prohibited countries. Yet, even when selling EAR99 items, exporting to parties on one of the Government’s prohibited parties lists is a violation unless the requisite license is obtained (and often these are subject to a policy of denial). The U.S. Government has been placing an increasing emphasis on controls and sanctions programs targeting specific individuals and entities rather than country-based or product-based controls, and, hence, list checking has become of particular importance. As a result, it is imperative for exporters to conduct prohibited party screening for each export transaction as a routine part of their export compliance function. http://www.williamsmullen.com/print/42959

Kumc OFFICE OF INTERNATIONAL PROGRAMS EXPORT CONTROL INFORMATION – PRESENTATIONS, QUESTIONNAIRES ETC. Export Control Information and Deemed Export Control Questionnaires available: http://www.kumc.edu/x27019.xml

Questions?