Policy Update Overview

Learning Objectives Recognize new IA&E related laws, policies, and guidance that affect planning and executing acquisition programs Recognize recent changes to IA&E laws and policies Identify applicable DAU job aids

Pre-Course Material IA&E Law, Policy, and Guidance Update PPT Presentation If you have not reviewed this presentation - please do so!

Major Changes National Security Strategy (NSS) & National Defense Strategy (NDS) Acquisition Strategy – International Considerations White House Conventional Arms Transfer Policy Security Cooperation Reform AT&L Reorganization Program Protection & Exportability Defense Acquisition Guidebook (DAG) and DAU Job Support Tools (JSTs)

National Defense Strategy Themes Rebuild readiness and build a more lethal force Faster delivery of capabilities to the warfighter (innovation & rapid acquisition) Faster Strengthen alliances and attract new partners Reform the Department for greater performance and affordability Are you seeing any effects in your organization?

Conventional Arms Transfer Policy White House published revised CAT Policy in April 2018 Gov’t “advocacy” of US defense industry sales USG policy/process “streamlining” to facilitate industry sales activities USG Unmanned Aerial Systems policy changes Support Industry Implementation plan includes many line of effort (LOEs) USD(A&S) issued 13 Sep 2018 implementation memo on improving exportability planning Details available on DAU.mil Int’l Community of Practice (ICOP)

Acq Strategy – Int’l Considerations 2016 NDAA (10 USC 2431a (subparagraph (c)(2)(G)) Acquisition Strategy required for “major systems” Where appropriate Acquisition Strategies to consider International involvement, including FMS and cooperative opportunities DoDI 5000.02 (2015 revision) Consider opportunities in the domestic and international markets, foreign disclosure, exportability, technology transfer, and security requirements Discuss opportunities for cooperative R&D and consideration of FMS First Mention of FMS in DoD 5000 Will discuss in IA&E Assessment and Acquisition Strategy lessons

AT&L Reorganization 2017 NDAA requires reorganization of AT&L USD(R&E) Elevate mission of advancing technology & innovation Foster distinct technology and acquisition cultures Assign greater responsibility/accountability to Services Implemented on 1 Feb 2018 Under Secretary (Acquisition and Sustainment) USD(A&S) (Research and Engineering) USD(R&E) Director International Cooperation (DIR IC) DIR IC assigned to USD(A&S) Also supports USD(R&E)

Program Protection & Exportability DoDI 5000.02 (Enclosure 3 – Systems Engineering) Program Protection Planning should include planning for exportability and potential foreign involvement Countermeasures should include anti-tamper, exportability features, security (including cyber, operations, information, personnel, and physical), secure system design, supply chain risk management, software assurance, anti-counterfeit practices, procurement strategies, and other mitigations Anti-Tamper Technical Implementation Guide (TIG) – Nov 2016 Development programs containing Critical Program Information (CPI) will develop and implement an AT architecture to protect the system if it is ever exported – deviations require AT Service OPR and/or ATEA coordination Will discuss in Defense Exportability Integration lesson

Security Cooperation Reforms 2017 and 2018 NDAAs include a number of Security Cooperation reforms Codifies new Title 10 Security Cooperation chapter including consolidation of train and equip authorities Security Cooperation Workforce Development Program (SCWDP) FMS contracting “reforms” (some of these remain controversial …) Will discuss SCWDP in DAU Brief and FMS reforms in FMS Sys Acq Lesson

No Changes to FY17/18 FMS P&A and FFP Contracting Provisions FY19 NDAA Changes Permanent Defense Exportability Features (DEF) legislative authority in 10 U.S.C. 2358 (Sec 223) – Defense Exportability Integration Impact FYDP Munitions Assessments for future FMS & FMF (Sec 1067) – FMS Impact Prohibition on Acquisition of Sensitive Materials from Non-Allied Foreign Nations (Sec 871) – Int’l Contracting Impact Process to Limit Foreign Access to Technology (Sec 885) – Int’l Contracting Impact Critical Technologies List for Maintaining National Security Technological Advantage (Sec 1049) – TSFD Impact Report on USG/DOD Use of Security Cooperation Authorities to counter Malign Influence Campaigns directed at Allies/Friendly Nations (Sec 1206) – Security Cooperation Impact Technical Amendments Related to NATO Support and Procurement Organization and Related NATO Agreements (Sec 1279) – FMS and ICP Impact Security Vetting Requirements for Foreign Nationals (Sec 1622) – Int’l Security Impact Committee on Foreign Investment in the US (CFIUS) (Title XVII, Sec 1701 – 1728) – TSFD & Int’l Contracting Impact Export Control Reform (Title XVII, Sec 1741 – 1774) – Overall IA&E Impact No Changes to FY17/18 FMS P&A and FFP Contracting Provisions

Defense Acquisition Guidebook (DAG) AT&L published a comprehensive DAG update in Feb 2017; hosted on new www.DAU.mil website Includes more comprehensive guidance on IA&E activities Program Management (Chapter 1) International Acquisition and Exportability Considerations (DAG Chapter 1 (paragraph 4.2.8) Substantial IA&E Supplement provides detailed guidance Links to IA&E Job Support Tools (JSTs) introduced in ACQ 380 course Program Protection (Chapter 9) Exportability Features (DAG Chapter 9 (paragraph 3.2.3) Check out the new ACQ 160 Program Protection Planning Awareness Course

DAU IA&E Job Aids DAG contains links to new DAU-developed Job Support Tools (JSTs) International Acquisition & Exportability (IA&E) Assessment Acquisition Strategy - International Considerations Defense Exportability Integration International Cooperative Programs (ICPs) Foreign Military Sales (FMS) Systems Acquisition International Business Planning JSTs contain information on relevant policies, best practice procedures, and key areas for analysis and evaluation JSTs can be found on the DAU International Acquisition Management Community of Practice (ICoP)

Will discuss throughout the week in appropriate lessons Breaking News JROC Memo (JROCM 025-19, 15 Apr 2019) requires early consideration of defense exportability in the JCIDS process by the DoD requirements management community https://www.dau.mil/training/career-development/intl-acq-mgmt/blog/Big-News-in-Defense-Exportability Revision to ITAR Section 126.4 (19 Apr 2019) Clarifies and expands use of this ITAR exemption for International Cooperative Programs (ICPs) and non-FMS Security Cooperation efforts (e.g., ACSA & Building Partner Capacity) Details on 126.4 “how to” implementation aspects are being developed by A&S/IC, DSCA, DTSA, and the DoD Component IPOs Will discuss throughout the week in appropriate lessons

Will discuss these changes throughout the course Summary Emphasis on faster delivery of capabilities to the DoD warfighter, allies, and partners Emphasis on using foreign sales to improve U.S. economic security Changes in Law and DoD policy call for greater consideration of IA&E (including FMS) in developing Acquisition Strategies AT&L reorganization implemented in February 2018 Increased emphasis on program protection planning and exportable Anti- Tamper design SC workforce development/certification program being defined Congressional interest in “improving” the FMS contracting process DAG update and new JSTs provide enhanced IA&E guidance Will discuss these changes throughout the course