AMENDMENTS TO H.R. 695
OFFERED BY MR. WELDON AND MR. DELLUMS

Strike Section 3 and insert the following:

SEC 3. EXPORTS OF ENCRYPTION.
        (a) EXPORT CONTROL OF ENCRYPTION PRODUCTS NOT CONTROLLED ON THE 
UNITED STATES MUNITIONS LIST. - The Secretary of Commerce, with the 
concurrence of the Secretary of Defense, shall have the authority to control 
the export of encryption products not controlled on the United States 
Munitions List. Decisions made by the Secretary of Commerce with the 
concurrence of the Secretary of Defense with respect to exports of 
encryption products under this section shall not be subject to judicial review.

        (b) LICENSE EXCEPTION FOR CERTAIN ENCRYPTION PRODUCTS - Encryption 
products with encryption strength equal to or less than the level identified 
in subsection (d) shall be eligible for export under a license exception 
after a 1-time review, if the encryption product being exported does not 
include features that would otherwise require licensing under applicable 
regulations, is not destined for countries, end-users, or end-uses that the 
Secretary of Commerce has determined by regulation, with the concurrence of 
the Secretary of Defense, are ineligible to receive such products, and is 
otherwise qualified for export.

        (c) ONE-TIME PRODUCT REVIEW - The Secretary of Commerce, with the 
concurrence of the Secretary of Defense, shall specify the information that 
must be submitted for the 1-time review referred to in subsection (b).

        (d) ELIGIBLE ENCRYPTION LEVELS -

                (1) INITIAL ELIGIBILITY LEVEL. - Not later than 30 days 
after the date of the enactment of this Act, the President shall notify the 
Congress of the maximum level of encryption strength that could be exported 
from the United States under license exception pursuant to this section 
without harm to the national security of the United States. Such level shall 
not become effective until 60 days after such notification.

                (2) ANNUAL REVIEW OF ELIGIBILITY LEVEL - Not later than 1 
year after notifying the Congress of the maximum level of encryption 
strength under paragraph (1), and annually thereafter, the President shall 
notify the Congress of the maximum level of encryption strength that could 
be exported from the United States under license exception pursuant to this 
section without harm to the national security of the United States. Such 
level shall not become effective until 60 days after such notification.

                (3) CALCULATION OF 60-DAY PERIOD. - The 60-day period 
referred to in paragraphs (1) and (2) shall be computed by excluding -

                        (A) the days on which either House is not in session 
because of an adjournment of more than 3 days to a day certain or an 
adjournment of the Congress sine die; and

                        (B) each Saturday and Sunday, not excluded under 
subparagraph (A), when either House is not in session.

        (e) EXERCISE OF EXISTING AUTHORITIES. - The Secretary of Commerce 
and the Secretary of Defense may exercise the authorities they have under 
other provisions of law to carry out this section.



Amend the title so as to read "A bill to amend title 18, United States Code, 
to affirm the rights of United States persons to use and sell encryption."

[Note - title 18 is the criminal section of the US Code. SAFE's original 
title was "To amend title 18, United States Code, to affirm the rights of 
United States persons to use and sell encryption and to relax export 
controls on encryption."]