Chapter 7 of this guide outlines the critical aspects of transportation responsibilities, requirements, and procedures for the secure delivery of security cooperation shipments. This includes materials that may be classified, hazardous, or otherwise controlled. For effective security cooperation, ensuring proof of delivery is paramount, and this chapter details how the U.S. Government and its partners manage this crucial aspect of advanced transportation.
Understanding Transportation Responsibilities for Secure Delivery
Clear delineation of responsibilities is fundamental to successful and verifiable delivery in advanced transportation. Table C7.T1 outlines the roles of various organizations involved in security cooperation transportation, each contributing to the chain of custody and proof of delivery.
Table C7.T1. Transportation Responsibilities
| Organization | Responsibility |
|---|---|
| Under Secretary of Defense for Acquisition and Sustainment, Deputy Assistant Secretary of Defense for Logistics, Transportation Directorate | – Establishes the overarching policy framework for materiel movement, setting the stage for accountable and traceable delivery. |
| Defense Security Cooperation Agency (DSCA) | – Maintains and updates Foreign Military Sales (FMS) transportation policies to ensure they reflect current best practices for proof of delivery. – Interprets policy and provides guidance, ensuring consistent application of delivery verification procedures. – Reviews waivers and coordinates exceptions, maintaining control over deviations from standard delivery protocols. – Chairs the Inter-Service Transportation Working Group to harmonize transportation practices and enhance delivery assurance. – Offers technical assistance to improve delivery processes and documentation. |
| Defense Counterintelligence and Security Agency (DCSA) | – Monitors compliance with Transportation Plans by U.S. commercial entities, crucial for secure and verified delivery when using external providers. – Notifies DSCA and other agencies of security issues affecting delivery integrity, ensuring proactive problem resolution. – Provides security clearances and inspections for FMS freight forwarders handling classified materiel, a key step in maintaining secure proof of delivery. |
| U.S. Transportation Command (TRANSCOM) | – Integrates security cooperation transportation procedures into the Defense Transportation Regulation (DTR), standardizing delivery processes across the DoD. – Manages movement within the Defense Transportation System (DTS), providing a structured framework for proof of delivery. – Coordinates transportation channels and ensures availability of transportation modes, supporting reliable delivery outcomes. |
| Geographical Combatant Commands | – Develops transportation forecasts to anticipate future needs and ensure resources are available for timely and verifiable deliveries. – Coordinates intra-theater distribution, critical for last-mile delivery and confirmation in operational environments. |
| Implementing Agencies | – FMS Case Management teams serve as primary points of contact for purchasers, facilitating clear communication and delivery confirmation. – Oversees security arrangements and coordinates with DCSA for commercial entities, ensuring secure handling and proof of delivery. – Coordinates with purchasers to establish comprehensive Transportation Plans for sensitive materiel, a cornerstone of verified delivery. |
| Defense Logistics Agency | – Operates the Military Assistance Program Address Directory (MAPAD), ensuring accurate address information for reliable delivery and documentation. – Distributes release and shipment documentation, providing essential records for proof of delivery. |
| Defense Contract Management Agency (DCMA) | – Provides vendors with specific shipping instructions to ensure correct handling and documentation for proof of delivery. – Distributes release and shipment documentation, contributing to the paper trail for delivery verification. |
| MARAD | – Monitors compliance with cargo preference requirements, ensuring regulatory adherence in transportation and delivery. – Reviews and approves waivers related to vessel usage, maintaining oversight of delivery methods. |
| Purchaser | – Designates freight forwarders and manages export requirements, taking ownership of key steps in the delivery process. – Provides necessary documentation to freight forwarders, facilitating smooth and verifiable export. – Secures authorizations for hazardous materials transport, ensuring compliance and safe delivery. – Maintains accurate MAPAD addresses, crucial for correct routing and proof of delivery. – Obtains shipment insurance and manages import customs, addressing risk and ensuring legal delivery. – Participates in Transportation Plan development and coordinates with security and customs authorities in their territory, contributing to secure and verified delivery within their borders. – Manages customs for returned materiel, ensuring proper procedures for reverse logistics and proof of return. |
| Freight forwarder (If involved) | – Registers with PM/DDTC and complies with ITAR and U.S. Customs regulations, ensuring legal and documented handling of shipments. – Receives, consolidates, stages, and arranges onward movement of materiel, managing key logistical steps for delivery. – Coordinates export of sensitive items in some cases, ensuring secure and compliant delivery. – Enters electronic export information into the Automated Commercial Environment (ACE), providing digital records for proof of export and delivery. – Maintains PM/DDTC registration, ensuring ongoing compliance and accountability in delivery processes. – Obtains shipment insurance as needed, managing risk and financial aspects of delivery. |
This table underscores that proof of delivery is not a single event, but a process built into the responsibilities of each organization involved.
Title Transfer and its Implications for Proof of Delivery
Understanding when title to Foreign Military Sales (FMS) materiel transfers is crucial for determining responsibility for proof of delivery. Typically, title passes to the purchaser upon release from a Department of Defense (DoD) supply activity, marking the point where the purchaser assumes ownership and responsibility for onward transportation and delivery confirmation. However, U.S. Government (USG) security responsibility continues until the recipient’s Designated Government Representative takes control, highlighting a dual responsibility in ensuring secure delivery and obtaining proof.
Procurement and Stock Items
For procurement items, title transfer occurs at the vendor’s loading facility, emphasizing FOB origin terms. For stock items from DoD depots, title transfers at the depot’s loading facility. These points of title transfer are critical for establishing when the USG’s direct responsibility for proof of delivery shifts, although security oversight remains.
Excess Defense Articles (EDA) and Postal Deliveries
Title to EDA items generally transfers at the point of origin, except for items in Germany, where it shifts at the nearest Port of Debarkation outside Germany, unless Germany is the recipient. For postal service deliveries, title passes on the date of shipment at the postal facility. These specific rules ensure clarity in title transfer and responsibility for delivery confirmation across different types of materiel and delivery methods.
Retention of Title and Special Cases
In specific operational circumstances, the USG may retain title for FMS materiel shipments, necessitating a different approach to proof of delivery until the final destination is reached. This is not standard practice but can be used for transit through countries with restrictive customs. Special cases, such as INFOSEC/COMSEC products and ferrying of aircraft, also have specific title transfer rules that impact how proof of delivery is managed and documented.
Delivery Term Codes (DTCs) and Proof of Delivery Points
Delivery Term Codes (DTCs) define the extent of Department of Defense (DoD) transportation responsibility, directly impacting where proof of delivery must be established by the USG. The DTC specified in the Letter of Offer and Acceptance (LOA) indicates the point of delivery for which the DoD is responsible, and therefore, where official proof of delivery documentation is generated within the DTS.
DTCs and Transportation Costs
The DTC not only determines the physical delivery point but also transportation cost calculations. It is crucial for Implementing Agencies (IAs) to assign the correct DTC during case development to ensure feasible and actionable delivery arrangements, and accurate cost allocation for transportation and proof of delivery processes.
FMS Freight Forwarders and Delivery Confirmation
FMS freight forwarders, acting as agents of the purchaser, play a significant role in coordinating and confirming delivery. While they are contracted by the purchaser, their actions directly impact the overall proof of delivery chain. Their responsibilities include receiving, consolidating, staging materiel, and arranging onward movement to the final destination, all of which are steps that contribute to the final proof of delivery.
Requirements for FMS Freight Forwarders
FMS freight forwarders must maintain valid registrations and security clearances, especially when handling classified materials. This ensures they are authorized and vetted to participate in secure transportation and delivery processes, and are accountable for their role in providing proof of delivery to the purchaser.
Defense Transportation System (DTS) and Documenting Delivery
The Defense Transportation System (DTS) provides a structured framework for moving security cooperation materiel and documenting proof of delivery. Utilizing military and commercial transportation resources, the DTS offers various methods of shipment, each with specific documentation procedures to ensure delivery verification.
Methods of DTS Use and Proof of Delivery
Military (Organic) DTS assets like AMC Channel airlift and SAAM flights, as well as DoD-contracted commercial carriers and ocean liner services, all operate under the DTR, which mandates documentation for each stage of transport. Small parcel shipments and Next Generation Delivery Services (NGDS) also provide tracking and tracing capabilities, essential for proof of delivery. The Defense Courier Service (DCS) is specifically designed for secure delivery of classified and sensitive material, with stringent proof of delivery protocols. Shipments to freight forwarders or embassies (DTC 5) and delivery on board purchaser-controlled vessels (DTC 8) are DTS shipments up to a defined point, after which the purchaser becomes responsible for onward proof of delivery.
DTS Documentation Requirements for Proof of Delivery
Robust documentation is the cornerstone of proof of delivery within the DTS. Issue Release Receipt Documents (DD Form 1348-1A) and IRAPT Receiving Reports serve as initial records of release. Bills of Lading (BLs) are critical contract documents that also function as proof of receipt by the carrier. For shipments where DoD retains custody until the Port of Debarkation (POD) in the destination country, BLs are annotated to meet U.S. Customs requirements, further solidifying the documented chain of custody.
Specific Documentation and Procedures
Statements on shipping documents and BLs, referencing 22 CFR 126.6.(c) and 22 CFR 126.6(a), ensure compliance and provide a clear audit trail. Ocean cargo documentation, including manifests and packing lists (often DD Form 1348-1A or IRAPT reports), provides detailed inventory for delivery verification. Air cargo manifests and Air Waybills serve similar functions for air shipments, ensuring documented delivery.
Reception of DTS Cargo and Purchaser Acknowledgement
Successful transfer of DTS cargo overseas requires purchaser preparedness to receive and acknowledge delivery. This includes checking materiel against manifests, signing receipts, and managing customs clearance. These actions by the purchaser’s Designated Government Representative are the final steps in establishing proof of delivery at the destination.
Military Assistance Programs Address Directory (MAPAD) for Accurate Delivery
The Military Assistance Program Address Directory (MAPAD) is vital for ensuring accurate delivery and proof of delivery by providing correct addresses for shipment and documentation. It contains addresses for freight forwarders, country representatives, and purchasers, ensuring that Notices of Availability and shipping documents reach the correct parties for timely delivery and confirmation.
MAPAD Contents and Usage
MAPAD includes ship-to addresses, NOA addresses, documentation forwarding addresses, status update addresses, and mark-for addresses. Type Address Codes (TACs) within MAPAD specify the purpose of each address, ensuring correct routing of materiel and information. Special instructions within MAPAD for each purchaser further refine delivery procedures and ensure accurate, verifiable delivery.
Maintaining MAPAD Accuracy for Proof of Delivery
Correct MAPAD addresses are essential for accurate routing of cargo and documentation, directly impacting the ability to achieve proof of delivery. Purchasers are responsible for maintaining current MAPAD addresses, and regular reviews are recommended to validate and update address information, ensuring the continued effectiveness of MAPAD in supporting proof of delivery.
Packaging, Marking, and Cargo Preference in Relation to Delivery Assurance
Proper packaging and marking, as per MIL-STD-129, are crucial for protecting materiel during transit and ensuring correct identification upon delivery. This contributes to the overall assurance of delivery by preventing damage and misidentification. Cargo preference regulations, particularly for ocean shipments under the Merchant Marine Act of 1936 and the Cargo Preference Act of 1954, mandate the use of U.S. flag vessels where available. While not directly proof of delivery, compliance with these regulations ensures accountability and oversight in the transportation process.
Wood Packaging Materiel and International Standards
Compliance with ISPM 15 for Wood Packaging Materiel (WPM) is also important for international shipments, preventing delays and complications at customs, which can indirectly affect the timely and verifiable delivery of goods.
FMS Shipment Marking Requirements
Required markings on FMS shipments, including FMS case identifiers, Transportation Control Numbers (TCNs), and consignee details, are essential for tracking and verifying delivery. These markings ensure that each shipment can be correctly identified and traced throughout its journey, contributing to robust proof of delivery.
Insurance, Offer Release Codes, and Transportation Costs Affecting Delivery Processes
Insurance for FMS shipments, while optional for purchasers, is highly recommended, especially for high-value items. While not directly proof of delivery, insurance underscores the importance of secure and accountable transportation. Offer Release Codes (ORCs) in LOAs and Notices of Availability (NOAs) (DD Form 1348-5) coordinate the release and shipment of materiel, ensuring that purchasers and freight forwarders are notified and prepared for delivery, streamlining the proof of delivery process. Transportation costs within the DTS are calculated using standard percentages and the Transportation Cost Look-up Table, or estimated actual costs. Understanding cost structures helps in budgeting and resource allocation for transportation and related proof of delivery activities.
Non-DTS Transportation Costs and Commercial Practices
For non-DTS transportation, Commercial Bills of Lading (CBLs) are used, and pre-paid arrangements are generally avoided for FMS due to lack of in-transit visibility. Understanding these cost and procedural differences is important for choosing the most effective and verifiable transportation methods.
Transportation Plans for Sensitive and Classified Items: Ensuring Documented Security
Transportation Plans are mandatory for LOAs involving classified, sensitive, or Arms, Ammunition, & Explosives (AA&E) materiel (Security Risk Categories I-IV). These plans are critical for ensuring secure and documented transportation, and therefore, robust proof of delivery for these high-risk items. These plans detail every stage of movement, from origin to final receipt by the Designated Government Representative (DGR), and must be approved by security authorities and accepted by the purchaser.
Transportation Plan Preparation and Review
Implementing Agencies (IAs) develop Transportation Plans in coordination with purchasers, and these are living documents that must be continually updated. Reviews by Designated Disclosure Authorities and, when necessary, the Defense Counterintelligence and Security Agency (DCSA), ensure that security protocols are met and documented throughout the delivery process.
Figure C7.F1. Transportation Plan Requirements
Figure C7.F2. Sample Transportation Plan
Figure C7.F3. Sample Transportation Plan for the Transfer of Classified Materiel – Annex
Figure C7.F4. CCI Transportation Plan Requirements
| CCI Transportation Plan Requirements CNSSI No. 4001 (not for public release) requires the Transportation Plan for Controlled Cryptographic Items (CCI) shipments and it becomes an integral part of the delivery and custody of CCI. Shipment of keyed CCI is typically not authorized. See Section C7.13.3.3. If CCI must be ship keyed, then the standard Transportation Plan must be must be utilized, See Figure C7.F3. and in addition include the following CCI Transportation Plan requirements. The CCI shipping activity must provide the intended recipient with advance notification via a Notice of Availability (NOA) for the impending shipment. Report of Shipment (REPSHIP) procedures will be followed; see the DTR Part II Chapter 205. This advance notification will help to readily identify any shipment that may be unduly delayed or lost enroute. The Recipient COMSEC Manager must sign and return the SF-153 to the shipper within 48 hours of receipt of material. At a minimum, the Transportation Plan for CCI will include the following information prior to shipment: 1. All transportation of CCI must provide In-Transit Visibility (ITV) and reasonable protection against theft or loss of the materiel while it is in transit. ITV is the ability to track the status and location of shipments from origin to consignee or destination. Include website and/or phone number for shipment ITV queries. 2. A description of the materiel together with a brief narrative as to where and under what circumstances transfer of custody occurs; 3. Transportation method utilized or overview: 4. Transportation Control Number, Shipper Reference Number, and/or Bill of Lading 5. Shipment origin information (COMSEC Account Number and location) 6. Trans-shipment information (location, city, country, etc.) 7. Destination information (COMSEC Account Number and location) 8. Contact information for individuals aware of shipment. |
|---|
Transportation Plan Usage and Integration
Approved Transportation Plans become integral to the LOA and are available for review by customs and security officials. They ensure that all parties, including FMS freight forwarders, are aware of and adhere to the documented procedures for secure and verifiable delivery.
Transportation of Classified Items: Government-to-Government Transfer and Escorts
Transfer of classified items must occur government-to-government, ensuring a secure chain of custody and proof of delivery through official channels. Implementing Agencies (IAs) consult with transportation and security authorities to ensure secure shipment feasibility from origin to destination and develop Transportation Plans that cover all DTS security procedures.
Secure Transfer Protocols
Classified shipments require escorts with appropriate security clearances, unless shipped via DTS, military transport of the purchasing government, or cleared freight forwarders with approved escorts. These stringent measures are designed to maintain continuous secure custody and verifiable delivery of classified materiel.
Transportation of Arms, Ammunition and Explosives (AA&E) and Sensitive Materiel: Enhanced Security Measures
AA&E and sensitive materiel require heightened security during transportation and specific Transportation Plans. These items cannot be shipped to freight forwarders or purchaser facilities in the U.S. and necessitate strict adherence to security protocols to ensure proof of secure delivery.
Security Risk Categories (SRCs) and Transportation Requirements
SRC I items require DTS movement to at least the overseas Port of Debarkation, with waivers needed for purchaser pick-up, demonstrating equivalent security measures. SRC II-IV items must move through DoD-controlled Ports of Embarkation with DTC 7, 8, or 9 security procedures. CCI also requires Transportation Plans and in-transit visibility, with specific packaging requirements to conceal their sensitive nature and ensure secure delivery to authorized activities.
AA&E and Sensitive Materiel to Canada
Canada is an exception, allowing direct shipments of all categories of AA&E and sensitive items to locations within Canada, reflecting a trusted security partnership and streamlined delivery processes.
Movements of Explosive Materiel by Commercial Conveyance: EX-Numbers and Compliance
Commercial conveyance of explosive materiel (Hazard Class 1) requires compliance with 49 CFR, Subchapter C, U.S. Hazardous Materials Regulations (HMR), and international standards. EX-Numbers, issued by the U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (DOT/PHMSA), are mandatory for commercial transport of Hazard Class 1 explosives within the U.S. and are linked to proof of compliance and safe handling throughout delivery.
Use of EX-Numbers and DoD EX-Numbers
DoD-specific EX-Numbers can be used for initial export of FMS-origin HC1 articles via DTS, but purchasers are generally responsible for obtaining their own EX-Numbers for any commercial movement within the U.S. or return of HC1 materiel.
Figure C7.F5. HC1 EX-Number Documentation
Figure C7.F6. EX-Number Request Letter Information
Securing EX-Numbers and Application Process
Purchasers must apply for DOT/PMHSA-issued EX-Numbers for HC1 articles, especially if return to the U.S. is anticipated. Detailed documentation is required for both unmodified and modified FMS articles, ensuring regulatory compliance and documented safety for explosive materiel delivery.
Export Requirements and ITAR Compliance for Legal Delivery
Export of defense articles must comply with the International Traffic in Arms Regulations (ITAR). FMS shipments are generally exempt from specific licensing but must meet conditions of ITAR Section 126.6(a) or Section 126.6(c). Compliance with ITAR is essential for legal export and provides a framework for documented and verifiable international delivery.
ITAR Exemptions and Transportation Plans
ITAR Section 126.6(a) applies to DTS shipments, while Section 126.6(c) applies to freight forwarder shipments. Exports of classified hardware require detailed Transportation Plans, ensuring documented security and compliance with export regulations.
Table C7.T8. Individual Shipment-Level Requirements for Export
| # | Requirements |
|---|---|
| 1 | Electronic Export Information (EEI) on each shipment of hardware, whether classified or unclassified, must be reported to Customs and Border Protection (CBP) using the Automated Export System (AES). Shipments of technical data or services must comply with ITAR Section 123.22(b)(3) and cite the FMS case identifier. 1. For DTS shipments, the DoD entity that is arranging DTS transportation is the exporter and must file the EEI in AES. 2. For freight forwarder arranged shipments, the freight forwarder is the exporter and responsible for filing the EEI in AES. Foreign purchasers acting as their own freight forwarder are responsible for filing the EEI in AES. |
| 2 | If items from multiple FMS cases are included in the same shipment, the exporter must file a separate AES entry for each individual FMS case being decremented. |
| 3 | Invoices and shipping documentation (see Section C7.6.5. for examples) must be annotated to include the following: |
| 4 | CBP will decrement a shipment only after export information has been filed correctly using AES. As part of the AES filing, the exporter must provide the Internal Transaction Number (ITN) to CBP. The ITN is generated by AES as the system acceptance of the data submitted. The ITN data has successfully passed a series of basic edits and must be included on shipment documentation. |
| 5 | Export information for all shipments must be filed electronically in AES in accordance with the timelines established in 22 CFR 123.22(b). 1. By air and truck, at least 8 hours prior to departure from the United States. 2. By sea and rail, at least 24 hours prior to loading aboard ship at the port of exit. |
| 6 | The exportable value is based on the net value of all hardware and software provided on specific lines in the case. The exportable value of the case does not include accessorials or services. If there are questions about the exportable value on a case, please contact CBP officers at the port prior to shipment. |
| 7 | The EEI submission will decrement the case in CBP’s systems. If the case is not decremented by the EEI, the shipment will be held until the EEI is corrected and the issue is resolved. Shipments in excess of the net case value are in violation of the export authorization and will be stopped and/or seized. |
Electronic Export Information (EEI) and Automated Export System (AES)
Reporting Electronic Export Information (EEI) through the Automated Export System (AES) to Customs and Border Protection (CBP) is mandatory for each hardware shipment. This electronic filing is a critical step in providing verifiable proof of export, and consequently, a key component of the overall proof of delivery process.
Transportation of Controlled Substances and Offshore Procurement Materiel
Transportation of controlled substances requires compliance with the Controlled Substances Import and Export Act (21 U.S.C. 951 et seq).. Obtaining import authorizations and export permits from the Drug Enforcement Administration is necessary to ensure legal and documented delivery. For offshore procurement materiel, clear communication and documentation are essential to manage transportation and delivery responsibilities. Notices of Availability (DD Form 1348-5) are used to coordinate offshore shipments, and purchasers are responsible for costs and customs clearance, impacting the final proof of delivery documentation chain.
Transportation of Returned Items and Handling Discrepancies in Delivery
Returned items for servicing should ideally be moved by purchasers or freight forwarders, with Transportation Plans as needed. Proper documentation is crucial for both U.S. and purchaser customs clearance, ensuring verifiable return and subsequent redelivery. Transportation Discrepancy Reports (TDRs) (DD Form 361) are used to document discrepancies in DTS-routed deliveries, establishing an official record for claims and investigations. While purchasers cannot submit TDRs, Security Cooperation Offices (SCOs) are responsible for this, ensuring that delivery issues are formally recorded and addressed.
Table C7.T9. Transportation Discrepancy Report Contact Information
| Method | Address |
|---|---|
| Location: | Surface Deployment and Distribution Command G9Cost and Billing Section AMSSD-SBI-CB1 Soldier Way, Room 3034Scott AFB, IL 92225 |
| Phone: | 618-220-6798, DSN 770-6798 |
| Telefax: | 618-220-6055, DSN 770-6055 |
| Email: | [email protected] |
Claims and Tracers for Delivery Issues
Claims against carriers for DoD-furnished transportation are managed by the DoD, while purchasers or freight forwarders must file claims for non-DTS shipments. Tracers are initiated to locate missing materiel, with purchasers typically starting with their freight forwarders before involving DoD. Constructive proof of delivery, evidenced by shipping documents like Bills of Lading, is established when materiel is released to a carrier, regardless of transportation terms. This documentation is key to resolving discrepancies and ensuring accountability in the delivery process.
Conclusion: Proof of Delivery as a Cornerstone of Advanced Transportation in Security Cooperation
Proof of delivery in advanced transportation for security cooperation is a multifaceted process woven into every stage of shipment, from initial planning to final reception and discrepancy resolution. It relies on clear responsibilities, robust documentation, adherence to regulations, and proactive communication between all stakeholders. By meticulously following these procedures and maintaining comprehensive records, the U.S. Government and its partners can ensure secure, verifiable, and accountable delivery of critical materiel, strengthening security cooperation efforts worldwide.
