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[Page S5188]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
ARMS SALES NOTIFICATION
Mr. RISCH. Madam President, section 36(b) of the Arms Export Control
Act requires that Congress receive prior notification of certain
proposed arms sales as defined by that statute. Upon such notification,
the Congress has 30 calendar days during which the sale may be
reviewed. The provision stipulates that, in the Senate, the
notification of proposed sales shall be sent to the chairman of the
Senate Foreign Relations Committee.
In keeping with the committee's intention to see that relevant
information is available to the full Senate, I ask unanimous consent to
have printed in the Record the notifications which have been received.
If the cover letter references a classified annex, then such annex is
available to all Senators in the office of the Foreign Relations
Committee, room SD-423.
There being no objection, the material was ordered to be printed in
the Record, as follows:
Defense Security
Cooperation Agency,
Arlington, VA.
Hon. James E. Risch,
Chairman, Committee on Foreign Relations,
U.S. Senate, Washington, DC.
Dear Mr. Chairman: Pursuant to the reporting requirements
of Section 36(b)(1) of the Arms Export Control Act, as
amended, we are forwarding herewith Transmittal No. 19-40
concerning the Navy's proposed Letter(s) of Offer and
Acceptance to the Government of Egypt for defense articles
and services estimated to cost $554 million. After this
letter is delivered to your office, we plan to issue a news
release to notify the public of this proposed sale.
Sincerely,
Charles W. Hooper,
Lieutenant General, USA, Director.
Enclosures.
Transmittal N0. 19-40
Notice of Proposed Issuance of Letter of Offer Pursuant to
Section 36(b)(1) of the Arms Export Control Act, as
amended
(i) Prospective Purchaser: Government of Egypt.
(ii) Total Estimated Value:
Major Defense Equipment * $0 million.
Other $554 million.
Total $554 million.
(iii) Description and Quantity or Quantities of Articles or
Services under Consideration for Purchase: Foreign Military
Sales (FMS) case EG-P-GKB, implemented in September 2018, was
below congressional notification threshold at $45 million ($0
in MDE) and provided for material and labor services in
support of Oliver Hazard Perry Class Frigates (FFG-7), Fast
Missile Craft (FMC), Mine Hunter Coastal (MHC) ships, Coastal
Mine Hunter (CMH) ships, and 25 Meter and 28 Meter Fast
Patrol Craft (FPC). Egypt has requested the case be amended
to continue providing the same support on the basic case.
This amendment will push the current case above the non-MDE
or services congressional notification threshold and thus
requires notification of the entire case.
Major Defense Equipment (MDE): None.
Non-MDE: Provides for material and labor services in
support of Oliver Hazard Perry Class Frigates (FFG-7 class
ships), Fast Missile Craft (FMC), Mine Hunter Coastal (MHC)
ships, Coastal Mine Hunter (CMH) ships, and 25 Meter and 28
Meter Fast Patrol Craft (FPC).
(iv) Military Department: Navy (EG-P-GKB).
(v) Prior Related Cases, if any: None.
(vi) Sales Commission, Fee, etc., Paid, Offered, or Agreed
to be Paid: None.
(vii) Sensitivity of Technology Contained in the Defense
Article or Defense Services Proposed to be Sold: None.
(viii) Date Report Delivered to Congress: July 29, 2019.
* As defined in Section 47(6) of the Arms Export Control
Act.
Policy Justification
Egypt--Follow on Technical Support (FOTS)
The Government of Egypt has requested a possible sale of
Follow on Technical Support (FOTS) that provides for material
and labor services in support of Oliver Hazard Perry Class
Frigates (FFG-7) class ships), Fast Missile Craft (FMC), Mine
Hunter Coastal (MHC) ships, Coastal Mine Hunter (CMH) ships,
and 25 Meter and 28 Meter Fast Patrol Craft (FPC). The
estimated cost is $554 million.
This proposed sale will support the foreign policy and
national security of the United States by helping to provide
a strategic partner with critical support for multiple type
ships responsible for Egypt's maritime security. The proposed
sale is essential to maintain Egypt's national security,
regional stability, and the free flow of worldwide commerce
via the Suez Canal.
Egypt intends to use this technical maintenance and service
support to ensure the Egyptian Navy is operationally capable
of providing coastal defense and security. The proposed sale
will increase the Egyptian Navy's material and operational
readiness. Egypt will have no difficulties absorbing this
support into its armed forces.
The proposed sale will not alter the basic military balance
in the region.
The prime contractor for Engineering Services Support will
be VSE Corporation and U.S. Government activities will
provide FOTS for Egypt. There are no known offset agreements
proposed in connection with this potential sale.
Implementation of this proposed sale will require periodic
trips to Egypt involving U.S. Government and contractor
representatives for technical reviews, support, and oversight
for approximately five years.
There will be no adverse impact on U.S. defense readiness
as a result of this proposal sale.
____________________