#aacth ,,congress  #b;d ,session  ,s4   
#afhc  ,,an ,,act  ,to provide for the  
transfer of naval vessels to certain    
foreign recipients1 and for other       
purposes4  #a4 ,appropriate             
congressional committees defined ,in    
this ,act1 the term appropriate         
congressional committees means-- 7#a7   
the ,committee on ,foreign ,relations of
 the ,senate2 and  7#b7 the ,committee  
on ,foreign ,affairs of the ,house of   
,representatives4  ,i ,transfer of      
excess ,united ,states naval vessels    
#aja4 ,short title ,this title may be   
cited as the ,naval ,vessel ,transfer   
,act of #bjac4  #ajb4 ,transfer of naval
 vessels to certain foreign recipients  
7a7 ,transfers by grant to ,mexico ,the 
,president is authorized to transfer to 
the ,government of ,mexico the ,,oliver 
,,hazard ,,perry class guided missile   
frigates ,,uss ,,curts 7,,ffg-#ch7 and  
,,uss ,,mcclusky 7,,ffg-#da7 on a grant 
basis under section #eaf of the ,foreign
 ,assistance ,act of #aifa 7#bb         

,u4,s4,c4 #bcba;j74  7b7 ,transfer by   
sale to the ,taipei ,economic and       
,cultural ,representative ,office in the
 ,united ,states ,the ,president is     
authorized to transfer the ,,oliver     
,,hazard ,,perry class guided missile   
frigates ,,uss ,,taylor 7,,ffg-#ej71    
,,uss ,,gary 7,,ffg-#ea71 ,,uss ,,carr  
7,,ffg-#eb71 and ,,uss ,,elrod          
7,,ffg-#ee7 to the ,taipei ,economic and
 ,cultural ,representative ,office in   
the ,united ,states 7which is the       
,taiwan instrumentality designated      
pursuant to section #aj7;a7 of the      
,taiwan ,relations ,act 7#bb ,u4,s4,c4  
#ccji7;a777 on a sale basis under       
section #ba of the ,arms ,export        
,control ,act 7#bb ,u4,s4,c4 #bgfa74    
7c7 ,alternative transfer authority     
,notwithstanding the authority provided 
in subsections 7a7 and 7b7 and to       
transfer specific vessels to specific   
countries1 the ,president is authorized 
to transfer any vessel named in this    
title to any country named in this      

section1 subject to the same conditions 
that would apply for such country under 
this section1 such that the total number
 of vessels transferred to such country 
does not exceed the total number of     
vessels authorized for transfer to such 
country by this section4  7d7 ,grants   
not counted in annual total of          
transferred excess defense articles ,the
 value of a vessel transferred to       
another country on a grant basis        
pursuant to authority provided by       
subsection 7a7 shall not be counted     
against the aggregate value of excess   
defense articles transferred in any     
fiscal year under section #eaf of the   
,foreign ,assistance ,act of #aifa 7#bb 
,u4,s4,c4 #bcba;j74  7e7 ,costs of      
transfers ,any expense incurred by the  
,united ,states in connection with a    
transfer authorized by this section     
shall be charged to the recipient       
notwithstanding section #eaf7;e7 of the 
,foreign ,assistance ,act of #aifa 7#bb 
,u4,s4,c4 #bcba;j7e774  7f7 ,repair and 

refurbishment in united states shipyards
 ,to the maximum extent practicable1 the
 ,president shall require1 as a         
condition of the transfer of a vessel   
under this section1 that the recipient  
to which the vessel is transferred have 
such repair or refurbishment of the     
vessel as is needed1 before the vessel  
joins the naval forces of that          
recipient1 performed at a shipyard      
located in the ,united ,states4  7g7    
,expiration of authority ,the authority 
to transfer a vessel under this section 
shall expire at the end of the #c-year  
period beginning on the date of the     
enactment of this ,act4  ,,ii           
,additional provisions  #bja4 ,enhanced 
congressional oversight of arms sales1  
including to the ,middle ,east ,section 
#cf of the ,arms ,export ,control ,act  
7#bb ,u4,s4,c4 #bggf7 is amended by     
adding at the end the following new     
subsection3  7i7 ,prior notification of 
shipment of arms ,at least #cj days     
prior to a shipment of defense articles 

subject to the requirements of          
subsection 7b7 at the joint request of  
the ,chairman and ,ranking ,member of   
the ,committee on ,foreign ,relations of
 the ,senate or the ,committee on       
,foreign ,affairs of the ,house of      
,representatives1 the ,president shall  
provide notification of such pending    
shipment1 in unclassified form1 with a  
classified annex as necessary1 to the   
,committee on ,foreign ,relations of the
 ,senate and the ,committee on ,foreign 
,affairs of the ,house of               
,representatives4  4  #bjb4 ,increase in
 annual limitation on transfer of excess
 defense articles ,section #eaf7;g77#a7 
of the ,foreign ,assistance ,act of     
#aifa 7#bb ,u4,s4,c4 #bcba;j7g77#a77 is 
amended by striking #dbe1jjj1jjj and    
inserting #ejj1jjj1jjj4  #bjc4          
,integrated air and missile defense     
programs at training locations in       
,southwest ,asia ,section #edd7;c7 of   
the ,foreign ,assistance ,act of #aifa  
7#bb ,u4,s4,c4 #bcdg;c7c77 is amended by

 adding at the end the following new    
paragraph3  7#d7 ,the ,president shall  
report to the appropriate congressional 
committees 7as defined in section       
#fef7;e77 annually on the activities    
undertaken in the programs authorized   
under this subsection4  4  #bjd4        
,licensing of certain                   
commerce-controlled items ,section #ch  
of the ,arms ,export ,control ,act 7#bb 
,u4,s4,c4 #bggh7 is amended by adding at
 the end the following new subsection3  
7k7 ,licensing of certain               
commerce-,controlled items  7#a7 ,in    
general ,a license or other approval    
from the ,department of ,state granted  
in accordance with this section may also
 authorize the export of items subject  
to the ,export ,administration          
,regulations if such items are to be    
used in or with defense articles        
controlled on the ,united ,states       
,munitions ,list4  7#b7 ,other          
requirements ,the following requirements
 shall apply with respect to a license  

or other approval to authorize the      
export of items subject to the ,export  
,administration ,regulations under      
paragraph 7#a73 7,a7 ,separate approval 
from the ,department of ,commerce shall 
not be required for such items if such  
items are approved for export under a   
,department of ,state license or other  
approval4  7,b7 ,such items subject to  
the ,export ,administration ,regulations
 that are exported pursuant to a        
,department of ,state license or other  
approval would remain under the         
jurisdiction of the ,department of      
,commerce with respect to any subsequent
 transactions4  7,c7 ,the inclusion of  
the term subject to the ,,ear or any    
similar term on a ,department of ,state 
license or approval shall not affect the
 jurisdiction with respect to such      
items4  7#c7 ,definition ,in this       
subsection1 the term ,export            
,administration ,regulations means--    
7,a7 the ,export ,administration        
,regulations as maintained and amended  

under the authority of the              
,international ,emergency ,economic     
,powers ,act 7#ej ,u4,s4,c4 #agja et    
seq472 or  7,b7 any successor           
regulations4  4  #bje4 ,amendments      
relating to removal of major defense    
equipment from ,united ,states          
,munitions ,list  7a7 ,requirements for 
removal of major defense equipment from 
united states munitions list ,section   
#ch7;f7 of the ,arms ,export ,control   
,act 7#bb ,u4,s4,c4 #bggh7;f77 is       
amended by adding at the end the        
following3  7#e7 7,a7 ,except as        
provided in subparagraph 7,b71 the      
,president shall take such actions as   
may be necessary to require that1 at the
 time of export or reexport of any major
 defense equipment listed on the #fjj   
series of the ,commerce ,control ,list  
contained in ,supplement ,no4 #a to part
 #ggd of subtitle ,b of title #ae1 ,code
 of ,federal ,regulations1 the major    
defense equipment will not be           
subsequently modified so as to transform

 such major defense equipment into a    
defense article4  7,b7 ,the ,president  
may authorize the transformation of any 
major defense equipment described in    
subparagraph 7,a7 into a defense article
 if the ,president-- 7i7 determines that
 such transformation is appropriate and 
in the national interests of the ,united
 ,states2 and  7ii7 provides notice of  
such transformation to the chairman of  
the ,committee on ,foreign ,affairs of  
the ,house of ,representatives and the  
chairman of the ,committee on ,foreign  
,relations of the ,senate consistent    
with the notification requirements of   
section #cf7;b77#e77;,a7 of this ,act4  
7,c7 ,in this paragraph1 the term       
defense article means an item designated
 by the ,president pursuant to          
subsection 7a77#a74  4  7b7             
,notification and reporting requirements
 for major defense equipment removed    
from united states munitions list       
,section #ch7;f7 of the ,arms ,export   
,control ,act 7#bb ,u4,s4,c4 #bggh7;f771

 as amended by this section1 is further 
amended by adding at the end the        
following3  7#f7 ,the ,president shall  
ensure that any major defense equipment 
that is listed on the #fjj series of the
 ,commerce ,control ,list contained in  
,supplement ,no4 #a to part #ggd of     
subtitle ,b of title #ae1 ,code of      
,federal ,regulations1 shall continue to
 be subject to the notification and     
reporting requirements of the following 
provisions of law3 7,a7 ,section        
#eaf7;f7 of the ,foreign ,assistance    
,act of #aifa 7#bb ,u4,s4,c4            
#bcba;j7f774  7,b7 ,section #fee of the 
,foreign ,assistance ,act of #aifa 7#bb 
,u4,s4,c4 #bdae74  7,c7 ,section        
#c7;d77#c77;,a7 of this ,act4  7,d7     
,section #be of this ,act4  7,e7        
,section #cf7;b71 7c71 and 7d7 of this  
,act4  4  #bjf4 ,amendment to definition
 of security assistance under the       
,foreign ,assistance ,act of #aifa      
,section #ejb;,b7d7 of the ,foreign     
,assistance ,act of #aifa 7#bb ,u4,s4,c4

 #bcjd7;d77 is amended-- 7#a7 in        
paragraph 7#a71 by striking and at the  
end2 and  7#b7 by amending paragraph    
7#b77;,c7 to read as follows3  7,c7 any 
license in effect with respect to the   
export to or for the armed forces1      
police1 intelligence1 or other internal 
security forces of a foreign country    
of-- 7i7 defense articles or defense    
services under section #ch of the ,armed
 ,export ,control ,act 7#bb ,u4,s4,c4   
#bggh72 or  7ii7 items listed under the 
#fjj series of the ,commerce ,control   
,list contained in ,supplement ,no4 #a  
to part #ggd of subtitle ,b of title    
#ae1 ,code of ,federal ,regulations2  4 
#bjg4 ,amendments to definitions of     
defense article and defense service     
under the ,arms ,export ,control ,act   
,section #dg of the ,arms ,export       
,control ,act 7#bb ,u4,s4,c4 #bgid7 is  
amended-- 7#a7 in the matter preceding  
subparagraph 7,a7 of paragraph 7#c71 by 
striking includes and inserting means1  
with respect to a sale or transfer by   

the ,united ,states under the authority 
of this ,act or any other foreign       
assistance or sales program of the      
,united ,states2 and  7#b7 in paragraph 
7#d71 by striking includes and inserting
 means1 with respect to a sale or       
transfer by the ,united ,states under   
the authority of this ,act or any other 
foreign assistance or sales program of  
the ,united ,states14  #bjh4 ,technical 
amendments  7a7 ,in general ,the ,arms  
,export ,control ,act 7#bb ,u4,s4,c4    
#bgea et seq47 is amended-- 7#a7 in     
sections #c7;a71 #c7;d77#a71            
#c7;d77#c77;,a71 #c7;e71 #e7;c71 #f1    
#ba7;g71 #cf7;a71 #cf7;b77#a71          
#cf7;b77#e77;,c71 #cf7;c77#a71 #cf7;f71 
#ch7;f77#a71 #dj7;f77#a71               
#dj7;g77#b77;,b71 #aja7;b71 and         
#ajb7;a77#b71 by striking the ,speaker  
of the ,house of ,representatives and   
each place it appears and inserting the 
,speaker of the ,house of               
,representatives1 the ,committee on     
,foreign ,affairs of the ,house of      

,representatives1 and2  7#b7 in section 
#ba7;i77#a7 by inserting after the      
,speaker of the ,house of               
,representatives the following 1 the    
,committees on ,foreign ,affairs and    
,armed ,services of the ,house of       
,representatives12  7#c7 in sections    
#be7;e71 #ch7;f77#b71 #ch7;j77#c71 and  
#ch7;j77#d77;,b71 by striking           
,international ,relations each place it 
appears and inserting ,foreign ,affairs2
  7#d7 in sections #bg7;f7 and #fb7;a71 
by inserting after the ,speaker of the  
,house of ,representatives1 each place  
it appears the following3 the ,committee
 on ,foreign ,affairs of the ,house of  
,representatives12 and  7#e7 in section 
#gc7;e77#b71 by striking the ,committee 
on ,national ,security and the          
,committee on ,international ,relations 
of the ,house of ,representatives and   
inserting the ,committee on ,armed      
,services and the ,committee on ,foreign
 ,affairs of the ,house of              
,representatives4  7b7 ,other technical 

amendments  7#a7 ,arms ,export ,control 
,act ,the ,arms ,export ,control ,act   
7#bb ,u4,s4,c4 #bgea et seq471 as       
amended by subsection 7a71 is further   
amended-- 7,a7 in section #ch-- 7i7 in  
subsection 7b77#a71 by redesignating the
 second subparagraph 7,b7 7as added by  
section #abee7;b7 of the ,foreign       
,relations ,authorization ,act1 ,fiscal 
,years #aihh and #aihi 7,public ,law    
#ajj-bjd2 #aja ,stat4 #adca77 as        
subparagraph 7,c72  7ii7 in subsection  
7g77#a77;,a7-- 7,i7 in clause 7xi71 by  
striking 2 or and inserting 1 or2 and   
7,,ii7 in clause 7xii7-- 7aa7 by        
striking section and inserting sections2
 and  7bb7 by striking 7#ah ,u4,s4,c4   
#age;b7 and inserting 7#ah ,u4,s4,c4    
#age;c72 and  7iii7 in subsection       
7j77#b71 in the matter preceding        
subparagraph 7,a71 by inserting in after
 to2 and  7,b7 in section #dg7b71 in the
 matter preceding subparagraph 7,a71 by 
striking sec4 #ba7;a711 and inserting   
section #ba7;a714  7#b7 ,foreign        

,assistance ,act of #aifa ,section      
#ejb;,b of the ,foreign ,assistance ,act
 of #aifa 7#bb ,u4,s4,c4 #bcjd7 is      
amended-- 7,a7 in subsection 7b71 by    
striking ,wherever applicable1 a        
description and inserting ,wherever     
applicable1 such report shall include a 
description2 and  7,b7 in subsection    
7d77#b77;,b71 by striking credits and   
inserting credits74  #bji4 ,application 
of certain provisions of ,export        
,administration ,act of #aigi  7a7      
,protection of information ,section     
#ab7;c7 of the ,export ,administration  
,act of #aigi 7#ej ,u4,s4,c4 ,app4      
#bdaa7;c77 has been in effect from      
,august #bj1 #bjja1 and continues in    
effect on and after the date of the     
enactment of this ,act1 pursuant to the 
,international ,emergency ,economic     
,powers ,act 7#ej ,u4,s4,c4 #agja et    
seq47 and notwithstanding section #bj of
 the ,export ,administration ,act of    
#aigi 7#ej ,u4,s4,c4 ,app4 #bdai74      
,section #ab7;c77#a7 of the ,export     

,administration ,act of #aigi is a      
statute covered by section #eeb7;b77#c7 
of title #e1 ,united ,states ,code4  7b7
 ,termination date ,subsection 7a7      
terminates at the end of the #d-year    
period beginning on the date of the     
enactment of this ,act4  ,passed the    
,senate ,december #d1 #bjad4,secretary