DDTC Allows Electronic Submission of Agreements for All U.S. Applicants

On October 7, 2009, the Directorate of Defense Trade Controls (DDTC) announced that beginning October 19, 2009, DDTC will alllow all U.S. applicants to submit agreements electronically via the D-Trade 2 application. DDTC states that this electronic system will employ the D-Trade 2 Production application as the means for submitting, reviewing, and approving agreement proposals. It will incorporate the DSP-5 tool as the primary instrument for transitioning agreements and their respective amendments from one phase of the adjudication process to the next and will negate the need for DDTC to issue a separate authorization letter upon approval of a case.

DDTC states that only new agreements and re-baselined agreements may be submitted initially using the D-Trade 2 production systems. Applicants are not authorized to submit an electronic amendment proposal to an approved paper agreement. Once an electronic agreement is approved, electronic amendments to that approval may be submitted. 

DDTC encourages all applicants to thoroughly review the Guidelines for Preparing Electronic Agreements (as of October 7, 2009). Additionally, DDTC is requesting that any U.S. applicant not previously approved to submit electronic agreements as part of the Test Phase submit only one initial electronic agreement proposal. Once that application has cleared DDTC and has been forwarded for staffing to additional agencies, the applicant can openly submit applications as required. DDTC states that this initial submission "pause" will aloow DDTC analysts to confirm submissions are complete and accurate and minimize the number of potential applications being returned without action.

Both paper and electronic submission of agreement proposals will continue to be accepted. However, DDTC anticipates making the sumbission of electronic agreement applications mandatory for all applicants in Fall 2010.