Export Controls and OFAC Regulations (I.A.2)

Volume ­­I: Academic and Research Affairs
Chapter A: Education and Research
Responsible Executive: Executive Vice President for Research and Partnerships
Responsible Office: Office of the Executive Vice President for Research and Partnerships
Date Issued: February 15, 2010
Date Last Revised: April 19, 2021

TABLE OF CONTENTS

Contacts
Statement of Policy
Reason for This Policy
Individuals and Entities Affected by This Policy
Exclusions
Responsibilities
Definitions (defined terms are capitalized throughout the document)
Related Documents, Forms and Tools
Website Address for This Policy
History and Updates
Appendix

CONTACTS

STATEMENT OF POLICY

It is the policy of Purdue University (i) to comply with all Export Controls and OFAC (U.S. Office of Foreign Assets Control) Regulations applicable to university activities, and (ii) to develop and maintain an EC Compliance Program to enable Purdue Associates to understand and comply with these laws and regulations. No Purdue Associate may engage in any activity, or commit the University to engage in any activity, (i) that is prohibited by Export Controls or OFAC Regulations, or (ii) that requires a license or other agency approval under Export Controls or OFAC Regulations, unless such license or approval has been obtained.

REASON FOR THIS POLICY

The regulatory framework created by Export Controls and OFAC Regulations has evolved over many years in different contexts to address a wide variety of national security and economic policy goals. The laws and regulations are extraordinarily complex, applying to university activities in ways that may not always be obvious.

The reach and complexity of Export Controls and OFAC Regulations have been steadily increasing in response to threats such as global terrorism, the proliferation of dangerous weapons, and other complex geopolitical developments. The global scope of Purdue activity has also been steadily growing. The University welcomes students and scholarly visitors, and employs researchers, scientists, and other Purdue Associates from countries throughout the world. Purdue engages in an enormous range of basic and applied research, often involving participation by foreign persons. Purdue Associates are engaged in activities and collaborations across the globe in furtherance of the University's mission and strategic plan. Purdue purchases items from, and ships or delivers items to, many different countries.

These activities can intersect with Export Controls and OFAC Regulations in many different ways. The primary focus of the EAR (Export Administration Regulations) is to control the export and re-export of commercial items—including commodities, software, and technology—that have both military and non-military uses. The Bureau of Industry and Security in the United States Department of Commerce oversees these regulations.

The ITAR (International Traffic in Arms Regulations), which are administered by the Directorate of Defense Trade Controls in the U.S. Department of State, are designed to control the export and re-export of defense articles, defense services, and technical data.

The Office of Foreign Assets Control administers the OFAC Regulations, which have been developed over the years to promote specific foreign policy and economic goals of the United States, primarily by blocking or restricting certain kinds of transactions (i) with designated individuals and entities, and/or (ii) with respect to dealings with individuals, entities, and governments in a number of different countries.

Prohibited or restricted exports may occur under each of these regulatory regimes through the release of technology or software to foreign persons, even if the release takes place within the United States, as well as by shipping or delivering items, technology, or software to other countries. For example, it is possible for technology to be exported under these regulations by allowing a foreign person to participate in research in a lab in Indiana. While most university research is considered to be fundamental and therefore not subject to Export Controls, the possible applicability of these laws must be considered in various situations in which a sponsor imposes restrictions on publication or use of research results if export controlled technology or software is involved.

Various parts of the OFAC Regulations may be violated simply by purchasing from or selling to, or hiring or entering into collaborative relationships with, individuals or entities (i) from certain countries, or (ii) who are engaged in a variety of activities deemed to be contrary to defined national interests. Violations can occur in connection with transactions taking place entirely within the United States.

Penalties for violations can be quite severe, potentially including large fines and imprisonment. This policy recognizes the need to enable Purdue Associates to understand and comply with these laws and regulations. In addition, creating and implementing an EC Compliance Program meeting federal guidelines can also mitigate the severity of any fines or penalties that might be imposed.

INDIVIDUALS AND ENTITIES AFFECTED BY THIS POLICY

All Purdue Associates are potentially affected by this policy, depending upon the nature of their university duties and activities.

EXCLUSIONS

There are no exclusions to this policy.

RESPONSIBILITIES

CFO, Provost, and EVPRP

• Jointly appoint the ECO and the remainder of the EC Working Group.

ECO

• Chair the EC Working Group.
• With advice and assistance from the EC Working Group, develop an EC Compliance Program and oversee communication to Purdue Associates about the program components.

EC Working Group

• Advise and assist the ECO in developing and implementing an EC Compliance Program.
• Develop procedures as part of the EC Compliance Program to enable Purdue Associates to understand and comply with Export Controls and OFAC Regulations and to otherwise administer this policy to achieve its purposes.

Purdue Associates

• Follow procedures promulgated under the EC Compliance Program.

DEFINITIONS

All defined terms are capitalized throughout the document. Refer to the central Policy Glossary for additional defined terms.

EAR
The Export Administration Regulations, 15 C.F.R. Parts 730-774, as amended from time to time.

EC Compliance Program
The program developed by the ECO and the EC Working Group to do the following:

1. Identify Purdue activities that are or may be subject to Export Controls and OFAC Regulations.
2. Provide periodic education and training to Purdue Associates regarding the controls and regulations applicable to their university duties.
3. Establish procedures to detect and prevent violations.
4. Assign responsibility for effective implementation of the program to appropriate officers and senior managers.
5. Include reasonable measures to avoid allowing anyone with a history of illegal conduct to have responsibility for compliance with Export Controls and OFAC Regulations.
6. Establish procedures for Purdue Associates to seek guidance regarding possible violations without fear of retaliation.
7. Include any other provisions or procedures determined to be appropriate by the EC Working Group.

ECO
The Export Control Officer appointed jointly by the CFO, Provost, and EVPRP.

EC Working Group
The group appointed jointly by the CFO, Provost, and EVPRP to assist the ECO in developing and implementing an EC Compliance Program tailored to Purdue's activities and needs. Representatives will be drawn from units most affected by Export Controls and OFAC Regulations as follows:

• Provost or designee
• CFO or designee
• Chancellor of each Regional Campus or designee
• Executive Vice President for Research and Partnerships or designee
• Senior Vice President for Administrative Operations or designee
• Vice President for Ethics and Compliance or designee
• Vice President for Human Resources or designee
• Vice President for Information Technology or designee
• Vice Provost for Student Life or designee
• Associate Provost for Engagement or designee
• Controller
• Dean of International Programs
• Senior Director of Sponsored Programs
• Director of Purchasing
• Director of Treasury Operations
• Director of Audits
• Faculty members with knowledge and experience in the area

Export Controls
The EAR, the ITAR, their enabling statutes, and other federal regulations and enabling statutes controlling the export and re-export of goods, services, and technology, including in some circumstances releasing technology, technical data, or software or providing services, to foreign persons wherever located. Other United States agencies, including but not limited to the Nuclear Regulatory Commission, the Department of Energy, and the Patent and Trademark Office, also administer regulations controlling the export and re-export of commodities and technology within their jurisdictions.

ITAR
The International Traffic in Arms Regulations, 22 C.F.R. Parts 120-130, as amended from time to time.

OFAC Regulations
The blocking and sanctions regulations administered by the Office of Foreign Assets Control in the U.S. Department of the Treasury, 31 C.F.R. Parts 500-598, as amended from time to time.

Purdue Associate
An individual who is employed by, an agent of, or is affiliated with Purdue University. Examples of Purdue Associates include, but are not limited to, officers, faculty, postdoctoral research associates or research scientists, fellows and visiting scholars, undergraduate and graduate students, any person helping to conduct research at Purdue, and all other Purdue employees, wherever located and whether full-time, part-time, or temporary.

RELATED DOCUMENTS, FORMS AND TOOLS

Purdue Export Controls and Research Information Assurance, includes FAQs; training; and information on topics such as international travel, working with controlled software, working with international staff and students, international shipments, and more.

Shipment and Transport of Hazardous or Dangerous Goods (S-22)

Electronic Code of Federal Regulations

WEBSITE ADDRESS FOR THIS POLICY

www.purdue.edu/policies/academic-research-affairs/ia2.html

HISTORY AND UPDATES

April 19, 2021: Administrative changes made to titles and offices and to remove procedures from the policy.

November 18, 2011: Policy number changed to I.A.2 (formerly VIII.6.1) and website address updated.

November 1, 2010: This policy supersedes the interim version dated February, 15, 2010.

February 15, 2010: This is a new interim policy.

APPENDIX

There are no appendices to this policy.