If you thought it was taking longer to get export licenses from the Bureau of Industry and Security (“BIS”) and from the Directorate of Defense Trade Controls (“DDTC”), you’re right. And the reason? Furloughs at the Defense Technology Security Administration (“DTSA”) are the culprit.
Speaking at the BIS Update Conference last week, Tim Hoffman, Deputy Director of DTSA, pointed his finger at the furloughs at DTSA caused by the budget sequester. Hoffman said that DTSA has taken some steps with BIS and DDTC to give them some “slippage” in their required response times on BIS and DDTC applications. And even when the sequester is theoretically over in October (and assuming that there are no more budget shenanigans on the Hill), Hoffman predicted that processing delays would persist for a while as ripple effects from the current furloughs.
Get more information from this in the July 29 issue (subscription required) of the Washington Trade and Tariff Letter.