Chemical Weapons Convention Regulations
 
JUSTIFICATION AND SUMMARY OF CHANGES TO THE CHEMICAL WEAPONS CONVENTION (CWC) HANDBOOK AND FORMS
OMB FORM NUMBER 0694-0091

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OMB Approval: January 6, 2004
Expiration Dated: May 31, 2006

 

The Chemical Weapons Convention (CWC) Handbook and Forms for Schedule 1, 2 and 3 chemicals and unscheduled discrete organic chemicals (UDOCs) are submitted to the Office of Management and Budget for approval1 under Form OMB 38-C, Paperwork Reduction Act (PRA) Change Worksheet. This is the first revision to this collection since its renewal in May 2003.

The CWC Regulations (CWCR) (15 CFR 710-722) and the associated CWC Handbook and Forms are hereby revised to: (1) remove obsolete provisions and forms (e.g., initial declarations and reports, where appropriate); (2) add a new declaration form, UDOC "No Changes" Certification Form; (3) add a provision for electronic submission of declarations and reports over the Internet via Web-DESI (Web-Data Entry Software for Industry); and (4) clarify other provisions. These revisions do not involve major policy changes.

There are two rules associated with this PRA revision:

• Interim Final Rule - Electronic Submission of Declarations and Reports through Web-Data Entry System for Industry (Web-DESI) - Expected date of publication is January 5, 2004. This rule will allow the Bureau of Industry and Security (BIS) to receive requests from industry for authorization to submit declarations and reports over the Internet. BIS will deploy Web-DESI on February 1, 2004, for use in the next declaration cycle due on February 28, 2004. (Not significant rule.)
• Proposed Rule - CWC Regulations (CWCR) - Expected date of publication is March 15, 2004 . This proposed rule will revise the CWCR to align with the forms changes herein as well as other general clarifications. The proposed rule will have a 30-day public comment period. (Significant rule.)

There are two software tools and two sets of forms associated with this collection:

• Web-DESI - Web-Data Entry Software for Industry (Web-DESI) is BIS's new electronic application for submitting declarations and reports over the Internet. Web-DESI complies with the requirements of the Government Paperwork Elimination Act to provide a means for electronic submission of information. Web-DESI is an optional user system, which will be located on the CWC website at www.cwc.gov on February 1, 2004.
• DESI - Data Entry Software for Industry (DESI) is BIS's current electronic application that industry uses to prepare declarations and reports. Users must download DESI from the Internet to a personal computer where the declarations and reports are completed. The user saves the data to a floppy disk and submits the disk with a signed certification form to BIS via U.S. mail. BIS will phase out the use of DESI after December 31, 2004, at which time Web-DESI will be the only electronic application.
• New Forms - Pending OMB Approval - This revision removes two obsolete forms, removes seven obsolete types of declarations and reports, adds three new types of declarations/reports, and makes other general changes. (See Attachment 1 for a detailed list of deletions, additions, and changes.) This revision also adds a new form, the UDOC "No Changes" Form, which will not be available for industry's use until after the CWCR has been published in final form. This new form will reduce the reporting burden on industry.
• Currently Approved Forms - January 2001 - The current version of the forms are dated January 2001 and are available on the CWC website at www.cwc.gov. BIS will not accept these forms after December 31, 2004. At that time, BIS will return submitted forms without action.

Burden hours:

4,386 hours for declarations and reports + 16,137 for inspections = 20,523 (previous total hours were 20,538). See Attachment 2 for a revised Burden Hours Chart.

The burden hours are reduced by 15 based upon an estimated time savings to "type" a complete annual declaration on past activities (ADPA) versus a new UDOC "No Changes" Certification Form. The bulk of the time for preparing a UDOC declaration - whether a complete UDOC ADPA or a UDOC "No Changes" Certification Form - involves researching and collecting the supporting materials and documentation used to prepare the declaration, not typing the declaration.

 

ATTACHMENT 1

A. Common Changes to Chemical Weapons Convention (CWC) Handbook and Forms for Schedule 1, 2 and 3 and Unscheduled Discrete Organic Chemicals (UDOCs):

• 1) Combined four separate handbooks (Schedules 1, 2 and 3 and Unscheduled Discrete Organic Chemicals) into one handbook, which includes general information, forms, instructions for completing the forms, and supplementary information necessary to complete the forms. This new format reduced the redundancy of information reprinted in each of the four handbooks. There is also a new table of contents for the handbook.
• 2) Added a new paragraph that summarizes the declaration and report requirements under each of the four regimes.
• 3) Added information regarding Web-Data Entry Software for Industry (Web-DESI), the new electronic application for submitting declarations and reports over the internet. Web-DESI complies with the requirements of the Government Paperwork Elimination Act to provide a means for electronic submission of information. Web-DESI is an optional system located on the CWC website at www.cwc.gov effective February 1, 2004. Web-DESI allows a company to perform the following functions: create, copy, amend, view, and submit declarations and reports. It also allows a company to delete declarations or reports that it has not submitted. Web-DESI transmits an acknowledgment of receipt for submissions received.
• The Bureau of Industry and Security (BIS) will maintain the current electronic tool, Data Entry Software for Industry (DESI) as well as the associated DESI forms (version January 2001) until December 31, 2004. DESI will be phased out at that time.
• 4) Certification Forms, Question C.3, changed street address to mailing address.
• 5) Certification Forms Question C.7, combined the Amended Declaration and Amendment Report types into one reporting type - Amendment.
• 6) Forms 1-1, 2-1, 3-1 and UDOC Part A, added e-mail addresses for the Inspection Points of Contact.
• 7) Guide to Submission of Forms was updated for all regimes.
• 8) Based upon the proposed revision to the CWC Regulations (CWCR), updated all references to the CWCR, as appropriate.

B. Schedule 1 General Information and Forms Changes:

• 1) Updated the general information regarding Schedule 1 Initial Declarations to differentiate between those Initial Declarations submitted in February 2000 and any subsequent Initial Declarations for new or existing facilities anticipating to produce more than 100 grams aggregate of Schedule 1 chemicals.
• 2) Certification Form, Question C.7, created a new declaration/report type called Combined Annual Declaration and Report that allows facilities to combine into one submission their reporting obligations for both an annual declaration on past activities and an annual report on exports and imports.
• 3) Form 1-2, Question 1-2.1, added a note stating Schedule 1 chemicals cannot be produced for protective purposes.
• 4) Form 1-4, Declaration on Schedule 1 Anticipated Activities, redesigned to require only one aggregate quantity anticipated to be produced during the next calendar year with multiple starting and ending dates. The previous form collected more information than necessary requiring one aggregate anticipated quantity for each anticipated period of production. Also, removed "protective" as a purpose for which a Schedule 1 chemical can be produced.
• 5) Added a new paragraph on Schedule 1 Advanced Notifications on Exports and Imports that requires a company to notify BIS at least 45 days prior to exporting or importing any amount of a Schedule 1 chemical to a State Party to the Convention, except 5 milligrams or less of saxitoxin for medical/diagnostic reasons may be submitted 3 days in advance of the export or import.

C. Schedule 2 General Information and Form Changes:

• 1) In the general information, the Table on Summary of Schedule 2 Quantity Thresholds, and Form 2-3B, removed information regarding exports or imports of 1% or less of a Schedule 2 chemical to or from a foreign destination. This provision was originally intended for companies that exported/imported a Schedule 2 chemical above the applicable threshold quantity and therefore had a reporting requirement, and were exempt from reporting minute quantities of 1% or less. However, this exemption only caused confusion and resulted in numerous reports being returned without action because the aggregate quantity of all exports/imports did not meet the applicable threshold quantity. Also, added a new column on rounding rules to the Table.
• 2) In the general information and Certification Form, Question C.7, created a new declaration/report type called Combined Annual Declaration and Report that allows plant sites to combine into one submission their reporting obligations for both an annual declaration on past activities and an annual report on exports and imports.
• 3) Certification Form, Question C.7, removed the following types of declarations and reports: Initial Declaration, Initial Report on Export and Import, and Declaration on Chemical Weapons Purposes. Question 3.8, removed Form 2-4 as it related only to the Declaration on Chemical Weapons Purposes.
• 4) In the general information and Certification Form, Question C.7, created a new declaration/report type called Combined Annual Declaration and Report that allows plant sites to combine into one submission their reporting obligations for both an annual declaration on past activities and an annual report on exports and imports.
• 5) Added new information to clarify thresholds for declaring production, processing, consumption, exports and imports for declared plant sites and reporting exports and imports for undeclared plant sites, trading companies, and other persons.
• 6) Removed references to the End Use Certificate requirement for exports of Schedule 2 chemicals to States not Party to the CWC. Exports of Schedule 2 chemicals to States not Party to the CWC are prohibited.
• 7) Form 2-3C, Declaration on Schedule 2 Anticipated Activities, redesigned to require only one aggregate quantity for each activity (production, processing or consumption) anticipated to be performed during the next calendar year with multiple starting and ending dates. The previous form collected more information than necessary requiring one aggregate anticipated quantity for each anticipated period of production.

D. Schedule 3 - General Information and Form Changes:

• 1) In the general information, the Table on Summary of Schedule 3 Quantity Thresholds, and Form 3-3, removed information regarding exports or imports of 1% or less of a Schedule 3 chemical to or from a foreign destination. This provision was originally intended for companies that exported or imported a Schedule 3 chemical above the applicable threshold quantity and therefore had a reporting requirement, and were exempt from reporting minute quantities of 1% or less. However, this exemption only caused confusion and resulted in numerous reports being returned without action because the aggregate quantity of all exports or imports did not meet the applicable threshold quantity. Also, added a new column on rounding rules to the Table.
• 2) In the general information and Certification Form, Question C.7, created a new declaration/report type called Combined Annual Declaration and Report that allows plant sites to combine into one submission their reporting obligations for both an annual declaration on past activities and an annual report on exports and imports.
• 3) Certification Form, Question C.7, removed the following types of declarations and reports: Initial Declaration, Initial Report on Export and Import, and Declaration on Chemical Weapons Purposes. Question 3.8, removed Form 3-4 as it related only to the Declaration on Chemical Weapons Purposes.
• 4) In the general information and on the Certification Form, Question C.7, created a new declaration/report type called Combined Annual Declaration and Report that allows plant sites to combine into one submission their reporting obligations for both an annual declaration on past activities and an annual report on exports and imports.
• 5) Increased the low concentration levels for Schedule 3 chemicals in a mixture from 25% to 30% for most exports and determining EUC requirements for exports to States not Party to the CWC. .

E. Unscheduled Discrete Organic Chemicals (UDOCs) General Information and Forms Changes:

• 1) Certification Form, Question C.7, removed the initial declaration requirement.
• 2) Added new optional form, UDOC "No Changes" Certification Form, that allows facilities to certify that the information submitted in the previous year's declaration has not changed and is therefore the same for the current reporting year. This new optional form should reduce the reporting burden on approximately 15 percent of declared facilities. Note that there are special requirements that must be followed if this type of declaration should need to be amended.
• 3) UDOC Form, Part B, Question 6, clarified that Product Group Codes (PGCs) categories that describe the type of ultimate products that are manufactured at the plant site to which the production of UDOCs contribute. This clarification indirectly limits the scope of PGCs to products manufactured at plants on the plant site that make UDOCs and not unrelated plants.

F. Supplement 1 - Latitude and Longitude Coordinates:

• 1) Minor changes were made to this section.

G. Supplement 2 - Product Group Codes:

• 1) Minor updates were made to the Product Group Code Chart to reflect the same information as in the Organization for the Prohibition of Chemical Weapons's (OPCW) Declaration Handbook.

H. Supplement 3 - Destination Codes:

• 1) Minor updates were made to the list of Destination Codes to reflect the same information as in the OPCW's Declaration Handbook.

I. Supplement 4 - Glossary of Terms:

• 1) Several new definitions were added to align with those published in the proposed CWCR.

 

ATTACHMENT 2

BURDEN HOUR CHART FOR DECLARATIONS AND REPORTS

The information in this chart is based upon actual declarations, reports and notifications submitted by U.S. chemical facilities for Calendar Year (CY) 2001 activities, as required by the Chemical Weapons Convention Regulations (15 CFR Parts 710-722). Certain facilities may have submitted multiple declarations or reports under different chemical regimes. This data includes CY 2001 Declarations on Annual Past Activities (ADPA) and Annual Anticipated Activities as well as Annual Reports on Exports and Imports (excluding those cases returned without action or amendments to cases), which were received by the Department during Calendar Years 2001 and 2002.

Regarding UDOC declarations, a new data field is added to account for the estimated number of facilities that would have been eligible to submit the new "No Changes" Certification Form to meet their CY 2001 ADPA obligation. The number of declarations was derived by identifying those facilities that had no changes to information declared in their CY 2001 ADPA versus their CY 2000 ADPA (i.e., 616 facilities submitted a CY 2001 ADPA and the information submitted by 81 of these facilities was exactly the same as declared in the CY 2000 ADPA; therefore, these 81 facilities were eligible to submit the UDOC No Changes Authorization Form). The burden hours for completing a UDOC No Changes Authorization Form was obtained by comparing the difference in the amount of time to type a complete ADPA (three separate forms) versus the one-page form for the No Changes Authorization (i.e., .3 hours - .1 hour = .2 hours).

 

CHEMICAL REGIME	BURDEN HOURS	NUMBER OF DECLARATIONS & REPORTS RECEIVED	TOTAL BURDEN HOURS
SCHEDULE 1	10.6*	3	32
SCHEDULE 2	11.9*	67	797
SCHEDULE 3	2.5**	123	307
UDOC'S	5.3**	535	2836
UDOC "No Changes"	5.1***	81	413
SCHEDULE 1 EXPORT/IMPORT ADVANCE NOTIFICATIONS	0.17x3****	2	1
TOTAL	30.81	929	4386