Federal Register, Volume 80 Issue 11 (Friday, January 16, 2015)

[Federal Register Volume 80, Number 11 (Friday, January 16, 2015)]
[Rules and Regulations]
[Pages 2291-2302]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-00632]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF THE TREASURY

Office of Foreign Assets Control

31 CFR Part 515


Cuban Assets Control Regulations

AGENCY: Office of Foreign Assets Control, Treasury.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Department of the Treasury's Office of Foreign Assets
Control (OFAC) is amending the Cuban Assets Control Regulations to
implement policy changes announced by the President on December 17,
2014 to further engage and empower the Cuban people. These amendments
facilitate travel to Cuba for authorized purposes, facilitate the
provision by travel agents and airlines of authorized travel services
and the forwarding by certain entities of authorized remittances, raise
the limit on certain categories of remittances to Cuba, allow U.S.
financial institutions to open correspondent accounts at Cuban
financial institutions to facilitate the processing of authorized
transactions, authorize certain transactions with Cuban nationals
located outside of Cuba, and allow a number of other activities related
to, among other areas, telecommunications, financial services, trade,
and shipping. These amendments also implement certain technical and
conforming changes.

DATES: Effective: January 16, 2015.

FOR FURTHER INFORMATION CONTACT: Assistant Director for Licensing,
tel.: 202/622-2480, Assistant Director for Policy, tel.: 202/622-6746,
Assistant Director for Regulatory Affairs, tel: 202/622-4855, Assistant
Director for Sanctions Compliance & Evaluation, tel.: 202/622-2490,
Office of Foreign Assets Control, or Chief Counsel (Foreign Assets
Control), tel.: 202/622-2410, Office of the General Counsel, Department
of the Treasury (not toll free numbers).

SUPPLEMENTARY INFORMATION:

Electronic and Facsimile Availability

This document and additional information concerning OFAC are
available from OFAC's Web site (www.treasury.gov/ofac). Certain general
information pertaining to OFAC's sanctions programs also is available
via facsimile through a 24-hour fax-on-demand service, tel.: 202/622-
0077.

Background

The Department of the Treasury issued the Cuban Assets Control
Regulations, 31 CFR part 515 (the ``Regulations''), on July 8, 1963,
under the Trading With the Enemy Act (50 U.S.C. App. 5 et seq.). OFAC
has amended the Regulations on numerous occasions. Notably, on
September 3, 2009, OFAC amended the Regulations to implement measures
announced by the President on April 13, 2009 to promote democracy and
human rights in Cuba by easing travel restrictions to facilitate
greater contact between separated family members in the United States
and Cuba and by increasing the flow of remittances and information to
the Cuban people. On January 28, 2011, OFAC further amended the
Regulations to implement certain policy changes announced by the
President on January 14, 2011 designed to increase people-to-people
contact, support civil society in Cuba, enhance the free flow of
information to, from, and among the Cuban people, and help promote
their independence from Cuban authorities. These amendments allowed for
greater licensing of travel to Cuba for educational, cultural,
religious, and journalistic activities and expanded licensing of
remittances to Cuba. These amendments also modified regulations
regarding authorization of transactions with Cuban nationals who have
taken up permanent residence outside of Cuba and implemented certain
technical and conforming changes.
OFAC is now amending the Regulations to implement certain policy
changes announced by the President on December 17, 2014 to further
engage and empower the Cuban people. These amendments facilitate travel
to Cuba for authorized purposes, facilitate the provision by travel
agents and airlines of authorized travel services and the forwarding by
certain entities of authorized remittances, raise the limit on
remittances to Cuba, allow U.S. financial institutions to open
correspondent accounts at Cuban financial institutions to facilitate
the processing of authorized transactions, authorize certain
transactions with Cuban nationals outside of Cuba, and allow a number
of other activities related to, among other areas, telecommunications,
financial services, trade, and shipping. These amendments also
implement certain technical and conforming changes.
Travel to Cuba for authorized purposes. OFAC is amending sections
515.533, 515.545, 515.560 through 515.567, and 515.574 through 515.576
to authorize travel-related transactions and other transactions
incident to activities within the 12 existing travel categories in
OFAC's regulations--such as for educational activities (including
people-to-people travel), journalistic and religious activities,
professional meetings, and humanitarian projects--without the need for
case-by-case specific licensing, while continuing not to authorize
travel for tourist activities, which is prohibited by statute. The
authorizations contain certain restrictions appropriate to each
category of activities.
Travel services. OFAC is amending section 515.572 to permit persons
subject to U.S. jurisdiction, including travel agents and airlines, to
provide authorized travel and carrier services, and certain entities to
forward authorized remittances, under conditions set forth below,
without the need for specific licenses from OFAC.
Remittances. OFAC is amending section 515.570 to raise from $500 to
$2,000 per quarter the limits on remittances that may be sent to Cuban
nationals, and to generally authorize, as is done now, as appropriate,
on a case-by-case basis, without limitation, remittances for
humanitarian projects, support for the Cuban people, and development of
private business in Cuba. Section 515.560(c) is amended to raise to
$10,000 the total amount of remittances that a traveler may carry to
Cuba.
Credit and debit cards, per diem, and importation of certain goods
and services. OFAC is amending section 515.560 and adding a new section
515.584 to authorize the use of U.S. credit and debit cards in Cuba for
travel-related and other transactions consistent with section 515.560
and to allow U.S. financial institutions to enroll merchants and to
process such transactions. OFAC also is amending section 515.560 to
eliminate the per diem limitation on authorized travelers' spending in
Cuba, and to permit authorized travelers to import no more than $400
worth of goods from Cuba (including up to $100 in alcohol or tobacco
products).
Certain micro-financing, business, and commercial import
activities. OFAC is amending section 515.575 to authorize certain
micro-financing

[[Page 2292]]

activities and entrepreneurial and business training, such as for
private businesses and agricultural operations. OFAC is adding new
section 515.582 to authorize commercial imports of certain specified
goods and services produced by independent Cuban entrepreneurs.
Certain financial transactions. OFAC is adding a general license in
new section 515.584 to authorize depository institutions to open
correspondent accounts at Cuban financial institutions to facilitate
the processing of authorized transactions and to permit U.S. financial
institutions to reject and process certain funds transfer transactions.
Regulatory interpretation of ``cash in advance.'' OFAC is amending
section 515.533 to revise the regulatory interpretation of ``cash in
advance'' from ``cash before shipment'' to ``cash before transfer of
title and control'' to allow expanded financing options for authorized
exports to Cuba.
Telecommunications. In order to better provide efficient and
adequate telecommunications services between the United States and
Cuba, OFAC is amending section 515.542 to generally authorize
transactions that establish mechanisms to provide commercial
telecommunications services linking third countries and Cuba and in
Cuba. OFAC is amending section 515.578 to authorize persons subject to
U.S. jurisdiction to provide additional services incident to internet-
based communications and related to certain exportations and
reexportations of communications items.
Certain transactions with Cuban nationals located outside of Cuba.
OFAC is adding new section 515.585 to authorize U.S.-owned or -
controlled entities in third countries to provide, with some
limitations, goods and services to Cuban nationals in third countries.
OFAC is amending section 515.505 to unblock accounts of Cuban nationals
who have permanently relocated outside of Cuba. OFAC is amending
section 515.579 to authorize funds transfers through the United States
for the personal expenditures of employees, grantees, and contractors,
and persons who share a common dwelling as a family member of such
employees, grantees, and contractors, of third-country official
missions in Cuba or any intergovernmental organization in which the
United States is a member or holds observer status in Cuba. OFAC is
adding new section 515.581 to authorize persons subject to U.S.
jurisdiction to sponsor and participate in third-country professional
meetings and conferences that are attended by Cuban nationals, and new
section 515.583 to permit the provision of certain goods and services
to Cuban national sailors sequestered aboard ships in U.S. ports.
Official government business. OFAC is amending section 515.562 to
expand an existing authorization to cover all Cuba-related transactions
by employees, grantees, and contractors of the U.S. Government, foreign
governments, and certain international organizations in their official
capacities.
Cuban official missions. To facilitate the reestablishment of
diplomatic relations with Cuba, OFAC is adding new section 515.586 to
authorize transactions with Cuban official missions and their employees
in the United States.
Other transactions. OFAC is adding new section 515.580 to authorize
insurance companies to offer global insurance policies that cover
third-country nationals traveling to Cuba. OFAC is amending section
515.550 to authorize foreign vessels to enter the United States after
engaging in certain trade with Cuba.

Public Participation

Because the amendments of the Regulations involve a foreign affairs
function, Executive Order 12866 and the provisions of the
Administrative Procedure Act (5 U.S.C. 553) requiring notice of
proposed rulemaking, opportunity for public participation, and delay in
effective date are inapplicable. Because no notice of proposed
rulemaking is required for this rule, the Regulatory Flexibility Act (5
U.S.C. 601-612) does not apply.

Paperwork Reduction Act

The collections of information related to the Regulations are
contained in 31 CFR part 501 (the ``Reporting, Procedures and Penalties
Regulations''). Pursuant to the Paperwork Reduction Act of 1995 (44
U.S.C. 3507), those collections of information have been approved by
the Office of Management and Budget under control number 1505-0164. An
agency may not conduct or sponsor, and a person is not required to
respond to, a collection of information unless the collection of
information displays a valid control number.

List of Subjects in 31 CFR Part 515

Administrative practice and procedure, Banking, Blocking of assets,
Cuba, Remittances, Reporting and recordkeeping requirements, Travel
restrictions.

For the reasons set forth in the preamble, the Department of the
Treasury's Office of Foreign Assets Control amends 31 CFR part 515 as
set forth below:

PART 515--CUBAN ASSETS CONTROL REGULATIONS

0
1. The authority citation for part 515 continues to read as follows:

Authority: 18 U.S.C. 2332d; 22 U.S.C. 2370(a), 6001-6010, 7201-
7211; 31 U.S.C. 321(b); 50 U.S.C. App 1-44; Pub. L. 101-410, 104
Stat. 890 (28 U.S.C. 2461 note); Pub. L. 104-114, 110 Stat. 785 (22
U.S.C. 6021-6091); Pub. L. 105-277, 112 Stat. 2681; Pub. L. 111-8,
123 Stat. 524; Pub. L. 111-117, 123 Stat. 3034; E.O. 9193, 7 FR
5205, 3 CFR, 1938-1943 Comp., p. 1174; E.O. 9989, 13 FR 4891, 3 CFR,
1943-1948 Comp., p. 748; Proc. 3447, 27 FR 1085, 3 CFR, 1959-1963
Comp., p. 157; E.O. 12854, 58 FR 36587, 3 CFR, 1993 Comp., p. 614.

Subpart B--Prohibitions


Sec. 515.207 [Amended]

0
2. In Sec. 515.207, revise the Note to the section to read as follows:
* * * * *

Note to Sec. 515.207: For the waiver of the prohibitions
contained in this section for vessels engaged in certain trade with
Cuba, see Sec. 515.550.

Subpart C--General Definitions

0
3. Revise Sec. 515.307 to read as follows:


Sec. 515.307 Unblocked national.

Any person licensed pursuant to Sec. 515.505 as an unblocked
national shall, while so licensed, be regarded as a person who is not a
national of any designated foreign country.


0
4. In Sec. 515.329, revise the section heading and introductory text
to read as follows:


Sec. 515.329 Person subject to the jurisdiction of the United States;
person subject to U.S. jurisdiction.

The terms person subject to the jurisdiction of the United States
and person subject to U.S. jurisdiction include:
* * * * *

Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy

0
5. Revise Sec. 515.505 to read as follows:


Sec. 515.505 Certain Cuban nationals unblocked.

(a) General license unblocking certain persons. The following
persons are licensed as unblocked nationals, as that term is defined in
Sec. 515.307 of this part:
(1) Any individual national of Cuba who:
(i) Has taken up residence in the United States; and
(ii) Is a United States citizen; is a lawful permanent resident
alien of the

[[Page 2293]]

United States; has applied to become a lawful permanent resident alien
of the United States and has an adjustment of status application
pending; or is lawfully present and intending to lawfully remain in the
United States on a permanent basis; and
(iii) Is not a prohibited official of the Government of Cuba, as
defined in Sec. 515.337 of this part, or a prohibited member of the
Cuban Communist Party, as defined in Sec. 515.338 of this part.
(2) Any individual national of Cuba who has taken up permanent
residence outside of Cuba, provided that the required documentation
specified in paragraph (c) of this section is obtained and the
individual is not a prohibited official of the Government of Cuba, as
defined in Sec. 515.337 of this part, or a prohibited member of the
Cuban Communist Party, as defined in Sec. 515.338 of this part; and
(3) Any entity that otherwise would be a national of Cuba solely
because of the interest therein of one or more persons licensed in this
paragraph (a) as an unblocked national.

Note to Sec. 515.505(a): An individual unblocked pursuant to
this paragraph does not become blocked again merely by leaving the
United States or the country in which he or she has taken up
permanent residence. An individual unblocked national remains
unblocked unless and until the individual thereafter becomes
domiciled in or a permanent resident of Cuba.

(b) General license unblocking blocked accounts. Banking
institutions, as defined in Sec. 515.314, including U.S. registered
brokers or dealers in securities and U.S. registered money
transmitters, are authorized to unblock any blocked account, as defined
in Sec. 515.319, that had been previously blocked solely because of
the interest therein of one or more persons licensed in paragraph (a)
of this section as unblocked nationals.
(c) Required documentation. In determining whether an individual
national of Cuba qualifies as an unblocked national under paragraph
(a)(2) of this section, persons subject to U.S. jurisdiction must
obtain evidence demonstrating that the individual satisfies the
requirements of that paragraph. Such evidence may include copies of
documents issued by government authorities demonstrating citizenship or
lawful permanent residence in a third country. These could include,
depending on the information provided in the document in question, a
passport, voter registration card, permanent resident alien card,
national identity card, or other similar documents. Where such
documents are unavailable, persons subject to U.S. jurisdiction may
also rely on evidence that the individual has been resident for the
past two years without interruption in a single country outside of
Cuba, or a sworn statement or other evidence that the individual does
not intend to, or would not be welcome to, return to Cuba.
(d) For the purposes of paragraph (a)(1) of this section, the term
``lawfully present and intending to lawfully remain in the United
States on a permanent basis'' includes an individual with a pending
application for asylum or who has been paroled into the United States
under Cuban Parole or Cuban Medical designations. It does not include
anyone present in the United States in a non-immigrant status.

Note to Sec. 515.505: See Sec. 515.571 for the authorization
of certain limited transactions incident to travel to, from, and
within the United States by Cuban nationals who are present in the
United States in a non-immigrant status or pursuant to other non-
immigrant travel authorization issued by the U.S. government.


0
6. Amend Sec. 515.533 by revising the the section heading and
paragraph (a)(2), redesignating the Note to paragraph (b) as the Note
to Sec. 515.533(b) and revising it, revising paragraphs (d) and (e),
and removing paragraphs (f) and (g) to read as follows:


Sec. 515.533 Exportations from the United States to Cuba;
reexportations of 100% U.S.-origin items to Cuba; negotiation of
executory contracts.

(a) * * *
(2) Only the following payment and financing terms may be used:
(i) Payment of cash in advance. For the purposes of this section,
the term ``payment of cash in advance'' shall mean payment before the
transfer of title to, and control of, the exported items to the Cuban
purchaser; or
(ii) Financing by a banking institution located in a third country
provided the banking institution is not a designated national, a U.S.
citizen, a U.S. permanent resident alien, or an entity organized under
the laws of the United States or any jurisdiction within the United
States (including any foreign branch of such an entity). Such financing
may be confirmed or advised by a U.S. banking institution.
* * * * *

Note to Sec. 515.533(b): This paragraph does not authorize
transactions related to travel to, from, or within Cuba. See
paragraph (d) for a general license addressing such transactions,
and paragraph (e) with respect to specific licenses.

* * * * *
(d) General license for travel-related transactions incident to
sales of certain items. The travel-related transactions set forth in
Sec. 515.560(c) and such additional transactions as are directly
incident to the conduct of market research, commercial marketing, sales
negotiation, accompanied delivery, or servicing in Cuba of items
consistent with the export or reexport licensing policy of the
Department of Commerce are authorized, provided that the traveler's
schedule of activities does not include free time or recreation in
excess of that consistent with a full-time schedule.
(e) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to the
exportation and reexportation of items to Cuba when such transactions
do not qualify for the general license under paragraph (d) of this
section.

0
7. Revise Sec. 515.542 to read as follows:


Sec. 515.542 Mail and telecommunications-related transactions.

(a) All transactions, including payments, incident to the receipt
or transmission of mail between the United States and Cuba by persons
subject to U.S. jurisdiction are authorized.
(b) All transactions, including payments, incident to the provision
of telecommunications services related to the transmission or the
receipt of telecommunications involving Cuba, including the entry into
and performance under roaming service agreements with
telecommunications services providers in Cuba, by persons subject to
U.S. jurisdiction are authorized. This paragraph does not authorize any
transactions addressed in paragraphs (c) or (d) of this section, nor
does it authorize the entry into or performance of a contract with or
for the benefit of any particular individual in Cuba.
(c) All persons subject to U.S. jurisdiction are authorized to
enter into, and make payments under, contracts with telecommunications
service providers, or particular individuals in Cuba, for
telecommunications services provided to particular individuals in Cuba,
provided that such individuals in Cuba are not prohibited officials of
the Government of Cuba, as defined in Sec. 515.337 of this part, or
prohibited members of the Cuban Communist Party, as defined in Sec.
515.338 of this part. The authorization in this paragraph includes
payment for activation, installation, usage (monthly, pre-paid,
intermittent, or other), roaming, maintenance, and termination fees.

[[Page 2294]]

(d) General license for telecommunications facilities.
Transactions, including payments, incident to the establishment of
facilities, including fiber-optic cable and satellite facilities, to
provide telecommunications services linking the United States or third
countries and Cuba, including facilities to provide telecommunications
services in Cuba, are authorized.
(e) Any entity subject to U.S. jurisdiction relying on paragraph
(b), (c), or (d) of this section shall notify OFAC in writing within 30
days after commencing or ceasing to offer such services, as applicable,
and shall furnish by January 15 and July 15 of each year semiannual
reports providing the total amount of all payments made to Cuba or a
third country related to any of the services authorized by this section
during the prior six months. These notifications and reports must be
captioned ``Section 515.542 Notification'' or ``Section 515.542
Report'' and faxed to 202/622-6931 or mailed to the Office of Foreign
Assets Control, Attn: Regulatory Affairs Division, 1500 Pennsylvania
Avenue NW., Annex, Washington, DC 20220.
(f) For purposes of this section, the term ``telecommunications
services'' includes data, telephone, telegraph, internet connectivity,
radio, television, news wire feeds, and similar services, regardless of
the medium of transmission, including transmissions by satellite.
(g) Nothing in this section authorizes the exportation or
reexportation of any items to Cuba. For the rules related to
authorization of exports and reexports to Cuba, see Sec. Sec. 515.533
and 515.559.
(h) Nothing in this section authorizes transactions related to
travel to, from, or within Cuba.

Note 1 to Sec. 515.542: For an authorization of travel-related
transactions that are directly incident to the conduct of market
research, commercial marketing, sales negotiation, accompanied
delivery, or servicing in Cuba of items consistent with the export
or reexport policy of the Department of Commerce, see Sec.
515.533(d). For an authorization of travel-related transactions that
are directly incident to participation in professional meetings,
including where such meetings are for the market research for,
commercial marketing of, sales negotiation for, accompanied delivery
of, servicing of, or performance under contracts for the provision
of telecommunications services, or the establishment of facilities
to provide telecommunications services, authorized by paragraphs
(b), (c), or (d) of this section, see Sec. 515.564(a).


Note 2 to Sec. 515.542: For an authorization of certain
internet-related services, see Sec. 515.578.


0
8. Amend Sec. 515.545 by revising paragraph (b) and adding new
paragraph (c) to read as follows:


Sec. 515.545 Transactions related to information and informational
materials.

* * * * *
(b) General license. The travel-related transactions set forth in
Sec. 515.560(c) and such additional transactions as are directly
incident to the exportation, importation, or transmission of
information or informational materials as defined in Sec. 515.332 are
authorized, provided that the traveler's schedule of activities does
not include free time or recreation in excess of that consistent with a
full-time schedule.
(c) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to
information and informational materials that do not qualify for the
general license under paragraph (b) of this section.
* * * * *

0
9. Revise Sec. 515.548 to read as follows:


Sec. 515.548 Services rendered by Cuba to United States aircraft.

The receipt of services from Cuba and payment to Cuba of charges
for services rendered by Cuba in connection with overflights of Cuba or
emergency landings in Cuba by aircraft registered in the United States
or owned or controlled by, or chartered to, persons subject to U.S.
jurisdiction are authorized.

0
10. Revise Sec. 515.549 to read as follows:


Sec. 515.549 Bank accounts and other property of non-Cuban decedents
in Cuba on or after July 8, 1963.

Specific licenses may be issued authorizing the administration of
the estates of non-Cuban decedents who died in Cuba on or after July 8,
1963, provided that any distribution to a blocked national of Cuba is
made by deposit in a blocked account in a domestic bank in the name of
the blocked national.

0
11. Revise Sec. 515.550 to read as follows:


Sec. 515.550 Certain vessel transactions authorized.

Unless a vessel is otherwise engaging or has otherwise engaged in
transactions that would prohibit entry pursuant to Sec. 515.207, Sec.
515.207 shall not apply to a vessel that is:
(a) Engaging or has engaged in trade with Cuba authorized pursuant
to Sec. 515.533 or Sec. 515.559;
(b) Engaging or has engaged in trade with Cuba that is exempt from
the prohibitions of this part (see Sec. 515.206);
(c) Engaging or has engaged in the exportation or re-exportation to
Cuba from a third country of agricultural commodities, medicine, or
medical devices that would be designated as EAR99 under the Export
Administration Regulations (15 CFR part 730 et seq.), if they were
located in the United States; or
(d) A foreign vessel that has entered a port or place in Cuba while
carrying students, faculty, and staff that are authorized to travel to
Cuba pursuant to Sec. 515.565(a).

Note to Sec. 515.550(d): This general license does not
authorize vessels to transport persons between the United States and
Cuba. See Sec. 515.572(c).


0
12. Amend Sec. 515.559 by revising the section heading, removing and
reserving paragraph (b)(2), adding new paragraphs (d) and (e),
redesignating the Note to Sec. 515.559 as Note 1 to Sec. 515.559, and
by revising it, and by adding new Note 2 to Sec. 515.559 to read as
follows:


Sec. 515.559 Certain export and import transactions by U.S.-owned or
-controlled foreign firms.

* * * * *
(b) * * *
(2) [Reserved]
* * * * *
(d) General license. Travel-related transactions set forth in Sec.
515.560(c) and such other transactions as are directly incident to
market research, commercial marketing, sales negotiation, accompanied
delivery, or servicing of exports that are consistent with the
licensing policy under paragraph (a) of this section are authorized,
provided that the traveler's schedule of activities does not include
free time or recreation in excess of that consistent with a full-time
schedule.
(e) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to certain
transactions by U.S.-owned or -controlled foreign firms with Cuba that
do not qualify for the general license under paragraph (d) of this
section.

Note 1 to Sec. 515.559: For authorization of the reexportation
of U.S.-origin items, see Sec. 515.533. Transactions by U.S.-owned
or -controlled foreign firms directly incident to the exportation of
information or informational materials or the donation of food to
nongovernmental entities or individuals in Cuba are exempt from the
prohibitions of this part. See Sec. 515.206. For the waiver of the
prohibitions contained in Sec. 515.207 with respect to vessels
transporting

[[Page 2295]]

shipments of items pursuant to this section, see Sec. 515.550.


Note 2 to Sec. 515.559: See Sec. 515.585 for provisions
related to certain transactions by U.S.-owned or -controlled firms
in third countries with certain Cuban nationals.


0
13. Amend Sec. 515.560 by revising paragraph (a), (c)(2), (c)(3),
(c)(4)(i), (c)(5), (d) introductory text, removing and reserving
paragraph (e), and adding Notes 1, 2, and 3 to Sec. 515.560 to read as
follows:


Sec. 515.560 Travel-related transactions to, from, and within Cuba by
persons subject to U.S. jurisdiction.

(a) The travel-related transactions listed in paragraph (c) of this
section may be authorized either by a general license or on a case-by-
case basis by a specific license for travel related to the following
activities (see the referenced sections for the applicable general and
specific licensing criteria):
(1) Family visits (see Sec. 515.561);
(2) Official business of the U.S. government, foreign governments,
and certain intergovernmental organizations (see Sec. 515.562);
(3) Journalistic activity (see Sec. 515.563);
(4) Professional research and professional meetings (see Sec.
515.564);
(5) Educational activities (see Sec. 515.565);
(6) Religious activities (see Sec. 515.566);
(7) Public performances, clinics, workshops, athletic and other
competitions, and exhibitions (see Sec. 515.567);
(8) Support for the Cuban people (see Sec. 515.574);
(9) Humanitarian projects (see Sec. 515.575);
(10) Activities of private foundations or research or educational
institutes (see Sec. 515.576);
(11) Exportation, importation, or transmission of information or
informational materials (see Sec. 515.545); and
(12) Certain export transactions that may be considered for
authorization under existing Department of Commerce regulations and
guidelines with respect to Cuba or engaged in by U.S.-owned or -
controlled foreign firms (see Sec. Sec. 515.533 and 515.559).
* * * * *
(c) * * *
(2) Living expenses in Cuba. All transactions ordinarily incident
to travel within Cuba, including payment of living expenses and the
acquisition in Cuba of goods for personal consumption there, are
authorized.
(3) Importation of Cuban merchandise. The purchase or other
acquisition in Cuba and importation as accompanied baggage into the
United States of merchandise with a value not to exceed $400 per person
are authorized, provided that no more than $100 of the merchandise
consists of alcohol or tobacco products and the merchandise is imported
for personal use only. The importation of Cuban-origin information and
informational materials is exempt from the prohibitions of this part,
as described in Sec. 515.206. The importation of certain other
specified goods and services is authorized in Sec. 515.582.
(4) * * *
(i) The total of all remittances authorized by Sec. 515.570(a)
through (d) does not exceed $10,000; and
* * * * *
(5) Processing certain financial instruments. All transactions
incident to the processing and payment of credit cards, debit cards,
stored value cards, checks, drafts, travelers' checks, and similar
instruments used or negotiated in Cuba by any person authorized
pursuant to this part to engage in financial transactions in Cuba are
authorized. Persons subject to U.S. jurisdiction may rely on the
traveler with regard to compliance with this paragraph, provided that
such persons do not know or have reason to know that a transaction is
not authorized by this section.

Note to Sec. 515.560(c)(5): Please see Sec. 515.584 for
additional provisions related to the processing and payment of
credit and debit card transactions.

(d) A blocked Cuban national permanently resident in Cuba who is
departing the United States may carry currency as follows:
* * * * *
(e) [Reserved]
* * * * *

Note 1 to Sec. 515.560: Each person relying on the general
authorization in this section must retain specific records related
to the authorized travel transactions. See Sec. Sec. 501.601 and
501.602 of this chapter for applicable recordkeeping and reporting
requirements.


Note 2 to Sec. 515.560: This section authorizes the provision
of health insurance-, life insurance-, and travel insurance-related
services to authorized travelers, as well as the receipt of
emergency medical services and the making of payments related
thereto.


Note 3 to Sec. 515.560: The export or reexport to Cuba of
items subject to the Export Administration Regulations (15 CFR et
seq.) may require separate authorization from the Department of
Commerce.


0
14. Revise Sec. 515.561 to read as follows:


Sec. 515.561 Family visits.

(a) General license. Persons subject to the jurisdiction of the
United States and persons traveling with them who share a common
dwelling as a family with them are authorized to engage in the travel-
related transactions set forth in Sec. 515.560(c) and such additional
transactions as are directly incident to visiting a close relative, as
defined in Sec. 515.339, who is a national of Cuba; a person
ordinarily resident in Cuba; a person located in Cuba pursuant to the
authorizations in Sec. 515.565(a)(1) through (4) (educational
activities), provided that the authorized traveler will be in Cuba for
more than 60 days; or a person located in Cuba pursuant to the
authorization in Sec. 515.562 (official government business).

Note to Sec. 515.561(a): Each person relying on the general
authorization in this paragraph must retain specific records related
to the authorized travel transactions. See Sec. Sec. 501.601 and
501.602 of this chapter for applicable recordkeeping and reporting
requirements.

(b) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to family
visits that do not qualify for the general license under paragraph (a)
of this section.
(c) An entire group does not qualify for the general license in
paragraph (a) of this section merely because some members of the group
qualify individually.

0
15. Revise Sec. 515.562 to read as follows:


Sec. 515.562 Official business of the U.S. government, foreign
governments, and certain intergovernmental organizations.

(a) The travel-related transactions set forth in Sec. 515.560(c)
and such additional transactions as are directly incident to activities
in their official capacities by persons who are employees, contractors,
or grantees of the United States Government, any foreign government, or
any intergovernmental organization of which the United States is a
member or holds observer status, and who are traveling on the official
business of their government or intergovernmental organization, are
authorized.
(b) All transactions otherwise prohibited by this part that are for
the conduct of the official business of the United States Government or
of any intergovernmental organization of which the United States is a
member, or holds observer status, by employees, grantees, or
contractors thereof, are authorized.


[[Page 2296]]


Note to Sec. 515.562(a) and (b): Each person relying on the
general authorization in this paragraph must retain specific records
related to the authorized travel transactions. For example, grantees
or contractors relying on the authorization in this section must
retain a copy of their grant or contract with the United States
Government, foreign government, or intergovernmental organization.
See Sec. Sec. 501.601 and 501.602 of this chapter for applicable
recordkeeping and reporting requirements.

(c) An entire group does not qualify for the general license in
paragraph (a) of this section merely because some members of the group
qualify individually.
(d) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to official
government business that do not qualify for the general licenses under
paragraph (a) or (b) of this section.

0
16. Revise Sec. 515.563 to read as follows:


Sec. 515.563 Journalistic activities in Cuba.

(a) General license. The travel-related transactions set forth in
Sec. 515.560(c) and such additional transactions as are directly
incident to journalistic activities in Cuba are authorized, provided
that:
(1) The traveler is at least one of the following:
(i) Regularly employed as a journalist by a news reporting
organization;
(ii) Regularly employed as supporting broadcast or technical
personnel;
(iii) A freelance journalist with a record of previous journalistic
experience working on a freelance journalistic project; or
(iv) Broadcast or technical personnel with a record of previous
broadcast or technical experience, who are supporting a freelance
journalist working on a freelance journalistic project; and
(2) The traveler's schedule of activities does not include free
time or recreation in excess of that consistent with a full-time
schedule.

Note to Sec. 515.563(a): Each person relying on the general
authorization in this paragraph must retain specific records related
to the authorized travel transactions. See Sec. Sec. 501.601 and
501.602 of this chapter for applicable recordkeeping and reporting
requirements.

(b) An entire group does not qualify for the general license in
paragraph (a) of this section merely because some members of the group
qualify individually.
(c) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to
journalistic activity in Cuba that do not qualify for the general
license under paragraph (a) of this section.

0
17. Revise Sec. 515.564 to read as follows:


Sec. 515.564 Professional research and professional meetings in Cuba.

(a) General license
(1) Professional research. The travel-related transactions set
forth in Sec. 515.560(c) and such additional transactions as are
directly incident to professional research are authorized, provided
that:
(i) The purpose of the research directly relates to the traveler's
profession, professional background, or area of expertise, including
area of graduate-level full-time study;
(ii) The traveler does not engage in recreational travel, tourist
travel, travel in pursuit of a hobby, or research for personal
satisfaction only; and
(iii) The traveler's schedule of activities does not include free
time or recreation in excess of that consistent with a full-time
schedule of professional research.
Example to Sec. 515.564(a)(1): The making of a documentary film in
Cuba would qualify for the general license in this section if it is a
vehicle for presentation of the research conducted pursuant to this
section.

Note to Sec. 515.564(a)(1): A person does not qualify as
engaging in professional research merely because that person is a
professional who plans to travel to Cuba.

(2) Professional meetings. The travel-related transactions set
forth in Sec. 515.560(c) and such additional transactions as are
directly incident to travel to Cuba to attend professional meetings or
conferences in Cuba are authorized, provided that:
(i) The purpose of the meeting or conference is not the promotion
of tourism in Cuba;
(ii) The purpose of the meeting directly relates to the traveler's
profession, professional background, or area of expertise, including
area of graduate-level full-time study;
(iii) The traveler does not engage in recreational travel, tourist
travel, or travel in pursuit of a hobby; and
(iv) The traveler's schedule of activities does not include free
time or recreation in excess of that consistent with a full-time
schedule of attendance at professional meetings or conferences.

Note to Sec. 515.564(a): Each person relying on the general
authorization in this paragraph must retain specific records related
to the authorized travel transactions. See Sec. Sec. 501.601 and
501.602 of this chapter for applicable recordkeeping and reporting
requirements.

(b) An entire group does not qualify for the general license in
paragraph (a) of this section of this section merely because some
members of the group qualify individually.

Example to Sec. 515.564(b): A musicologist travels to Cuba to
research Cuban music pursuant to the general license for
professional research set forth in paragraph (a) of this section.
Others who are simply interested in music may not engage in travel-
related transactions with the musicologist in reliance on this
general license. For example, an art historian who plays in the same
band with the musicologist would not qualify for the general
license.

(c) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to
professional research or professional meetings in Cuba that do not
qualify for the general license under paragraph (a) of this section.

0
18. Revise Sec. 515.565 to read as follows:


Sec. 515.565 Educational activities.

(a) General license for educational activities. Persons subject to
U.S. jurisdiction, including U.S. academic institutions and their
faculty, staff, and students, are authorized to engage in the travel-
related transactions set forth in Sec. 515.560(c) and such additional
transactions as are directly incident to:
(1) Participation in a structured educational program in Cuba as
part of a course offered for credit by a U.S. graduate or undergraduate
degree-granting academic institution that is sponsoring the program;
(2) Noncommercial academic research in Cuba specifically related to
Cuba and for the purpose of obtaining an undergraduate or graduate
degree;
(3) Participation in a formal course of study at a Cuban academic
institution, provided the formal course of study in Cuba will be
accepted for credit toward the student's graduate or undergraduate
degree;
(4) Teaching at a Cuban academic institution related to an academic
program at the Cuban institution, provided that the individual is
regularly employed by a U.S. or other non-Cuban academic institution;
(5) Sponsorship, including the payment of a stipend or salary, of a
Cuban scholar to teach or engage in other scholarly activity at the
sponsoring U.S. academic institution (in

[[Page 2297]]

addition to those transactions authorized by the general license
contained in Sec. 515.571). Such earnings may be remitted to Cuba as
provided in Sec. 515.570 or carried on the person of the Cuban scholar
returning to Cuba as provided in Sec. 515.560(d)(3);

Note to Sec. 515.565(a)(5): See Sec. 515.571(a) for
authorizations related to certain banking transactions by Cuban
nationals.

(6) Educational exchanges sponsored by Cuban or U.S. secondary
schools involving secondary school students' participation in a formal
course of study or in a structured educational program offered by a
secondary school or other academic institution and led by a teacher or
other secondary school official. This includes participation by a
reasonable number of adult chaperones to accompany the secondary school
students to Cuba.
(7) Sponsorship or co-sponsorship of noncommercial academic
seminars, conferences, and workshops related to Cuba or global issues
involving Cuba and attendance at such events by faculty, staff, and
students of a participating U.S. academic institution;
(8) The organization of, and preparation for, activities described
in paragraphs (a)(1) through (a)(7) of this section by members of the
faculty and staff of the sponsoring U.S. academic institution or
secondary school; or
(9) Facilitation by an organization that is a person subject to
U.S. jurisdiction, or a member of the staff of such an organization, of
licensed educational activities in Cuba on behalf of U.S. academic
institutions or secondary schools, provided that:
(i) The organization is directly affiliated with one or more U.S.
academic institutions or secondary schools;
(ii) The organization facilitates educational activities that meet
the requirements of one or more of the general licenses set forth in
Sec. 515.565(a)(1), (a)(2), (a)(3), and (a)(6); and
(iii) The educational activities the organization facilitates in
Cuba must, by prior agreement, be accepted for credit by the affiliated
U.S. academic institution or approved by the affiliated secondary
school.

Note 1 to Sec. 515.565(a): U.S. academic institutions or
secondary schools engaging in activities authorized pursuant to this
section are permitted to open and maintain accounts at Cuban
financial institutions for the purpose of accessing funds in Cuba
for transactions authorized pursuant to this section.


Note 2 to Sec. 515.565(a): This paragraph authorizes all
members of the faculty and staff (including adjunct faculty and
part-time staff) of the sponsoring U.S. academic institution to
participate in the activities described in this paragraph. A student
currently enrolled in a U.S. academic institution is authorized
pursuant to this paragraph to participate in the academic activities
in Cuba described above through any sponsoring U.S. academic
institution.

(b) General license for people-to-people travel. The travel-related
transactions set forth in Sec. 515.560(c) and such additional
transactions as are directly incident to educational exchanges not
involving academic study pursuant to a degree program are authorized,
provided that:
(1) The exchanges take place under the auspices of an organization
that is a person subject to U.S. jurisdiction and that sponsors such
exchanges to promote people-to-people contact;
(2) Travel-related transactions pursuant to this authorization must
be for the purpose of engaging, while in Cuba, in a full-time schedule
of activities intended to enhance contact with the Cuban people,
support civil society in Cuba, or promote the Cuban people's
independence from Cuban authorities;
(3) Each traveler has a full-time schedule of educational exchange
activities that will result in meaningful interaction between the
traveler and individuals in Cuba;
(4) An employee, paid consultant, or agent of the sponsoring
organization accompanies each group traveling to Cuba to ensure that
each traveler has a full-time schedule of educational exchange
activities; and
(5) The predominant portion of the activities engaged in by
individual travelers is not with individuals or entities acting for or
on behalf of a prohibited official of the Government of Cuba, as
defined in 31 CFR 515.337 of this part, or a prohibited member of the
Cuban Communist Party, as defined in 31 CFR 515.338 of this part.
Example to Sec. 515.565(b): An organization wishes to sponsor and
organize educational exchanges not involving academic study pursuant to
a degree program for individuals to learn side-by-side with Cuban
individuals in areas such as environmental protection or the arts. The
travelers will have a full-time schedule of educational exchange
activities that will result in meaningful interaction between the
travelers and individuals in Cuba. The organization's activities
qualify for the general license.

Note to Sec. 515.565(b): An organization that sponsors and
organizes trips to Cuba in which travelers engage in individually
selected and/or self-directed activities would not qualify for the
general license. Authorized trips are expected to be led by the
organization and to have a full-time schedule of activities in which
the travelers will participate.


Note to Sec. 515.565(a) and (b): Each person relying on the
general authorizations in these paragraphs, including entities
sponsoring travel pursuant to the authorization in Sec. 515.565(b),
must retain specific records related to the authorized travel
transactions. See Sec. Sec. 501.601 and 501.602 of this chapter for
applicable recordkeeping and reporting requirements.

(c) Transactions related to activities that are primarily tourist-
oriented, including self-directed educational activities that are
intended only for personal enrichment, are not authorized pursuant to
this section.
(d) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to
educational activities that do not qualify for the general licenses
under paragraph (a) or (b) of this section.

0
19. Revise Sec. 515.566 to read as follows:


Sec. 515.566 Religious activities in Cuba.

(a) General license. Persons subject to U.S. jurisdiction,
including religious organizations located in the United States and
members and staff of such organizations, are authorized to engage in
the travel-related transactions set forth in Sec. 515.560(c) and such
additional transactions as are directly incident to engaging in
religious activities in Cuba, provided that the travel-related
transactions pursuant to this authorization must be for the purpose of
engaging, while in Cuba, in a full-time schedule of religious
activities.

Note to Sec. 515.566(a): Each person relying on the general
authorization in this paragraph must retain specific records related
to the authorized travel transactions. See Sec. Sec. 501.601 and
501.602 of this chapter for applicable recordkeeping and reporting
requirements.

(b) Financial and material donations to Cuba or Cuban nationals are
not authorized by this section.

Note to Sec. 515.566(b): See Sec. 515.570 regarding
authorized remittances to religious organizations in Cuba and for
other purposes. See Sec. 515.533 regarding the exportation of items
from the United States to Cuba.

(c) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to
religious activities that do not qualify for the general license under
paragraph (a) of this section.


[[Page 2298]]


Note to Sec. 515.566: Religious organizations engaging in
activities authorized pursuant to this section are permitted to open
and maintain accounts at Cuban financial institutions for the
purpose of accessing funds in Cuba for transactions authorized
pursuant to this section.


0
20. Revise Sec. 515.567 to read as follows:


Sec. 515.567 Public performances, clinics, workshops, athletic and
other competitions, and exhibitions.

(a) General license for amateur and semi-professional international
sports federation competitions. The travel-related transactions set
forth in Sec. 515.560(c) and such other transactions as are directly
incident to athletic competition by amateur or semi-professional
athletes or athletic teams traveling to participate in athletic
competition in Cuba are authorized, provided that:
(1) The athletic competition in Cuba is held under the auspices of
the international sports federation for the relevant sport;
(2) The U.S. participants in the athletic competition are selected
by the U.S. federation for the relevant sport; and
(3) The competition is open for attendance, and in relevant
situations, participation, by the Cuban public.
(b) General license for public performances, clinics, workshops,
other athletic or non-athletic competitions, and exhibitions. The
travel-related transactions set forth in Sec. 515.560(c) and such
other transactions as are directly incident to participation in a
public performance, clinic, workshop, athletic competition not covered
by paragraph (a) of this section, non-athletic competition, or
exhibition in Cuba by participants in such activities are authorized,
provided that:
(1) The event is open for attendance, and in relevant situations
participation, by the Cuban public;
(2) All U.S. profits from the event after costs are donated to an
independent nongovernmental organization in Cuba or a U.S.-based
charity, with the objective, to the extent possible, of promoting
people-to-people contacts or otherwise benefiting the Cuban people; and
(3) Any clinics or workshops in Cuba must be organized and run, at
least in part, by the authorized traveler.

Example to Sec. 515.567(a) and (b): An amateur baseball team
wishes to travel to Cuba to compete against a Cuban team in a
baseball game in Cuba. The game will not be held under the auspices
of the international sports federation for baseball. The baseball
team's activities therefore would not qualify for the general
license in paragraph (a). The game will, however, be open to the
Cuban public and any profits after costs from the game will be
donated to an independent non-governmental organization in Cuba. The
baseball team's activities would qualify for the general license in
paragraph (b).

Note to Sec. 515.567(a) and (b): Each person relying on the
general authorizations in these paragraphs must retain specific
records related to the authorized travel transactions. See
Sec. Sec. 501.601 and 501.602 of this chapter for applicable
recordkeeping and reporting requirements.

(c) An entire group does not qualify for the general license in
paragraph (a) or (b) of this section merely because some members of the
group qualify individually.
(d) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to public
performances, clinics, workshops, athletic and other competitions, and
exhibitions that do not qualify for the general licenses under
paragraphs (a) or (b) of this section.

0
21. Amend Sec. 515.569 by adding a Note to Sec. 515.569 to read as
follows:


Sec. 515.569 Foreign passengers' baggage.

* * * * *

Note to Sec. 515.569: Pursuant to Sec. 515.560(c)(3), a
person other than a citizen or resident of the United States
arriving in the United States on a trip that included Cuba is
authorized to import as accompanied baggage alcohol or tobacco
products purchased or otherwise acquired in Cuba with a value not to
exceed $100 for personal use only. See Sec. 515.560(c)(3).


0
22. Amend Sec. 515.570 by revising paragraphs (b), (d), and (g),
adding new paragraph (h), redesignating the Note to Sec. 515.570 as
Note 1 to Sec. 515.570 and revising it, and adding new Note 2 to Sec.
515.570 to read as follows:


Sec. 515.570 Remittances.

* * * * *
(b) Periodic remittances authorized. Persons subject to the
jurisdiction of the United States are authorized to make periodic
remittances to Cuban nationals, provided that:
(1) The remitter's total remittances pursuant to paragraph (b) of
this section to any one Cuban national do not exceed $2,000 in any
consecutive three-month period;
(2) The remittances are not made from a blocked source;
(3) The recipient is not a prohibited official of the Government of
Cuba, as defined in Sec. 515.337 of this part, or a prohibited member
of the Cuban Communist Party, as defined in Sec. 515.338 of this part;
(4) The remittances are not made for emigration-related purposes.
Remittances for emigration-related purposes are addressed by paragraph
(e) of this section; and
(5) The remitter, if an individual, is 18 years of age or older.
* * * * *
(d) Remittances to students in Cuba pursuant to an educational
license authorized. Persons subject to the jurisdiction of the United
States who are 18 years of age or older are authorized to make
remittances to close relatives, as defined in Sec. 515.339 of this
part, who are students in Cuba pursuant to the general license
authorizing certain educational activities in Sec. 515.565(a) or a
specific license issued pursuant to Sec. 515.565(d), provided that the
remittances are not made from a blocked source and are for the purpose
of funding transactions authorized by the general licenses in Sec.
515.565(a) or the specific license issued pursuant to Sec. 515.565(d)
under which the student is traveling.
* * * * *
(g) Remittances to certain individuals and independent non-
governmental organizations in Cuba. Remittances by persons subject to
U.S. jurisdiction to individuals and independent non-governmental
entities in Cuba, including pro-democracy groups and civil society
groups, and to members of such groups or organizations, are authorized
for the following purposes, provided that the remittances are not made
from a blocked source:
(1) To support humanitarian projects in or related to Cuba that are
designed to directly benefit the Cuban people, as set forth in Sec.
515.575(b);
(2) To support the Cuban people through activities of recognized
human rights organizations, independent organizations designed to
promote a rapid, peaceful transition to democracy, and activities of
individuals and non-governmental organizations that promote independent
activity intended to strengthen civil society in Cuba; and
(3) To support the development of private businesses, including
small farms.
(h) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the following:
(1) Remittances by persons subject to U.S. jurisdiction to a person
in Cuba, directly or indirectly, for transactions to facilitate non-
immigrant travel by an individual in Cuba to the United States under
circumstances where humanitarian need is demonstrated,

[[Page 2299]]

including illness or other medical emergency.
(2) Remittances from a blocked account to a Cuban national in
excess of the amount specified in paragraph (f)(2) of this section.

Note 1 to Sec. 515.570: This section does not authorize
investment with respect to Cuba.


Note 2 to Sec. 515.570: For the rules relating to the carrying
of remittances to Cuba, see Sec. 515.560(c)(4). See Sec. 515.572
for an authorization related to the collection or forwarding of
certain remittances to Cuba.


0
23. Amend Sec. 515.571 by revising the introductory text to paragraph
(a), revising paragraph (a)(3) and the introductory text to paragraph
(a)(5), adding a new Note to Sec. 515.571(a)(5), adding a new Note to
Sec. 515.571(a), revising the introductory text to paragraph (b), and
revising the Note to Sec. 515.571 to read as follows:


Sec. 515.571 Certain transactions incident to travel to, from, and
within the United States by Cuban nationals.

(a) Except as provided in paragraph (c) of this section, the
following transactions by or on behalf of a Cuban national who is
present in the United States in a non-immigrant status or pursuant to
other non-immigrant travel authorization issued by the U.S. government
are authorized:
* * * * *
(3) All transactions on behalf of aircraft or vessels incident to
flights or voyages between the United States and Cuba, provided that
the carrier services are authorized pursuant to Sec. 515.572. This
paragraph does not authorize the carriage of any merchandise into the
United States except accompanied baggage; and
* * * * *
(5) All transactions ordinarily incident to the Cuban national's
presence in the United States in a non-immigrant status or other non-
immigrant travel authorization issued by the U.S. government.
* * * * *

Note to Sec. 515.571(a)(5): This paragraph authorizes
depository institutions to open and maintain accounts for a Cuban
national who is present in the United States in a non-immigrant
status or pursuant to other non-immigrant travel authorization for
the duration of the Cuban national's stay in the United States in
such status, and to close such accounts prior to the departure of
the Cuban national from the United States. Accounts that are not
closed prior to the departure of such a Cuban national from the
United States must be blocked and reported as such.


Note to Sec. 515.571(a): This paragraph authorizes the
provision or receipt of emergency medical services and making or
receipt of payment related thereto.

(b) Payments and transfers of credit in the United States from
blocked accounts in domestic banking institutions held in the name of a
Cuban national who is present in the United States in a non-immigrant
status or pursuant to other non-immigrant travel authorization issued
by the U.S. government to or upon the order of such Cuban national are
authorized provided that:
* * * * *

Note to Sec. 515.571: For the authorization of certain
transactions by Cuban nationals who become U.S. citizens; are lawful
permanent resident aliens of the United States; have applied to
become a lawful permanent resident alien of the United States and
have an adjustment of status application pending; or are lawfully
present and intending to lawfully remain in the United States on a
permanent basis, see Sec. 515.505 of this part.


0
24. Revise Sec. 515.572 to read as follows:


Sec. 515.572 Authorization to provide travel services, carrier
services, and remittance forwarding services.

(a) General licenses--(1) Authorization to provide travel services.
Persons subject to U.S. jurisdiction are authorized to provide travel
services in connection with travel-related transactions involving Cuba
authorized pursuant to this part.
(2) Authorization to provide carrier services. Persons subject to
U.S. jurisdiction are authorized to provide carrier services by
aircraft to, from, or within Cuba in connection with travel or
transportation to Cuba of persons, baggage, or cargo authorized
pursuant to this part.

Note to Sec. 515.572(a)(2): Carriage to or from Cuba of any
item subject to the Export Administration Regulations (15 CFR part
730 et seq.) may also require separate authorization from the
Department of Commerce. See Sec. 515.533.

(3) Authorization to provide remittance forwarding services.
Banking institutions, as defined in Sec. 515.314, including U.S.-
registered brokers or dealers in securities and U.S.-registered money
transmitters, are authorized to provide services in connection with the
collection or forwarding of remittances authorized pursuant to this
part.

Note to Sec. 515.572(a): Section 515.564 authorizes employees,
officials, consultants, or agents of persons subject to U.S.
jurisdiction providing travel or carrier services or remittance
forwarding services authorized pursuant to this part to engage in
the travel-related transactions set forth in Sec. 515.560(c) and
such additional transactions as are directly incident to travel to
Cuba for professional meetings in Cuba, such as those related to
safety and security of flights to and from Cuba, or necessary to
arrange for travel or carrier services or remittance forwarding to
Cuba.

(b) Required reports and recordkeeping. (1) Persons subject to U.S.
jurisdiction providing services authorized pursuant to this section
must retain for at least five years from the date of the transaction a
certification from each customer indicating the section of this part
that authorizes the person to travel or send remittances to Cuba. In
the case of a customer traveling under a specific license, a copy of
the license must be maintained on file with the person subject to U.S.
jurisdiction providing services authorized pursuant to this section.
(2) The names and addresses of individual travelers or remitters,
the number and amount of each remittance, and the name and address of
each recipient, as applicable, must be retained on file with all other
information required by Sec. 501.601 of this chapter. These records
must be furnished to the Office of Foreign Assets Control on demand
pursuant to Sec. 501.602 of this chapter.
(c) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the provision of travel-, carrier-, or
remittance forwarding-services other than those authorized by paragraph
(a) of this section, including the transportation of authorized
travelers by vessels.

0
25. Amend Sec. 515.573 by revising the introductory text to paragraph
(a), revising paragraph (c), removing paragraph (d), and adding new
Note to Sec. 515.573 to read as follows:


Sec. 515.573 Transactions by news organizations.

(a) All transactions necessary for the establishment and operation
of news bureaus in Cuba whose primary purpose is the gathering and
dissemination of news to the general public are authorized, including
such other transactions as are incident to the following:
* * * * *
(c) The hiring and employment of Cuban nationals in Cuba to provide
reporting services or other services related to the gathering and
dissemination of news is authorized.

Note to Sec. 515.573: The export or reexport to Cuba of items
subject to the Export Administration Regulations (15 CFR part 730 et
seq.) may require separate authorization from the Department of
Commerce.


0
26. Revise Sec. 515.574 to read as follows:

[[Page 2300]]

Sec. 515.574 Support for the Cuban People.

(a) General license. The travel-related transactions set forth in
Sec. 515.560(c) and other transactions that are intended to provide
support for the Cuban people are authorized, provided that:
(1) The activities are of:
(i) Recognized human rights organizations;
(ii) Independent organizations designed to promote a rapid,
peaceful transition to democracy; or
(iii) Individuals and non-governmental organizations that promote
independent activity intended to strengthen civil society in Cuba; and
(2) The traveler's schedule of activities does not include free
time or recreation in excess of that consistent with a full-time
schedule.

Note to Sec. 515.574(a): Each person relying on the general
authorization in this paragraph must retain specific records related
to the authorized travel transactions. See Sec. Sec. 501.601 and
501.602 of this chapter for applicable recordkeeping and reporting
requirements.

(b) An entire group does not qualify for the general license in
paragraph (a) of this section merely because some members of the group
qualify individually.
(c) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to support
for the Cuban people that do not qualify for the general license under
paragraph (a) of this section.

0
27. Revise Sec. 515.575 to read as follows:


Sec. 515.575 Humanitarian projects.

(a) General license. Transactions, including the travel-related
transactions set forth in Sec. 515.560(c), that are related to the
humanitarian projects in or related to Cuba that are designed to
directly benefit the Cuban people as set forth in paragraph (b) are
authorized, provided that the traveler's schedule of activities does
not include free time or recreation in excess of that consistent with a
full-time schedule.

Note to Sec. 515.575(a): Each person relying on the general
authorization in this paragraph must retain specific records related
to the authorized travel transactions. See Sec. Sec. 501.601 and
501.602 of this chapter for applicable recordkeeping and reporting
requirements.

(b) Authorized humanitarian projects. The following projects are
authorized by paragraph (a) of this section: medical and health-related
projects; construction projects intended to benefit legitimately
independent civil society groups; environmental projects; projects
involving formal or non-formal educational training, within Cuba or
off-island, on the following topics: entrepreneurship and business,
civil education, journalism, advocacy and organizing, adult literacy,
or vocational skills; community-based grassroots projects; projects
suitable to the development of small-scale private enterprise; projects
that are related to agricultural and rural development that promote
independent activity; microfinancing projects, except for loans,
extensions of credit, or other financing prohibited by Sec. 515.208;
and projects to meet basic human needs.

Example to Sec. 515.575(b): A U.S. group of medical
professionals that specializes in disease treatment wishes to
support a community in Cuba by providing the latest techniques and
literature in disease education and prevention directly to the Cuban
people. Provided that the medical professionals in the group
maintain a full-time schedule related to disease education and
prevention, these activities qualify for the general license.

(c) An entire group does not qualify for the general license in
paragraph (a) of this section merely because some members of the group
qualify individually.
(d) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to
humanitarian projects that do not qualify for the general license under
paragraph (a) of this section.

0
28. Revise Sec. 515.576 to read as follows:


Sec. 515.576 Activities of private foundations or research or
educational institutes.

(a) General license. The travel-related transactions set forth in
Sec. 515.560(c) and such additional transactions as are directly
incident to activities by private foundations or research or
educational institutes with an established interest in international
relations to collect information related to Cuba for noncommercial
purposes are authorized, provided that the traveler's schedule of
activities does not include free time or recreation in excess of that
consistent with a full-time schedule.

Example to Sec. 515.576(a): A private research foundation that
produces essays on international relations issues wishes to send a
team made up of its employees and consultants to Cuba to collect
information for a current study of the relationship that countries
in the Western Hemisphere have with European countries. Provided
that all of the employees and consultants on the team maintain a
full-time schedule of activities relating to the collection of
information for the study, these activities qualify for the general
license.

Note to Sec. 515.576(a): Each person relying on the general
authorization in this paragraph must retain specific records related
to the authorized travel transactions. See Sec. Sec. 501.601 and
501.602 of this chapter for applicable recordkeeping and reporting
requirements.

(b) An entire group does not qualify for the general license in
paragraph (a) of this section merely because some members of the group
qualify individually.
(c) Specific licenses. Specific licenses may be issued on a case-
by-case basis authorizing the travel-related transactions set forth in
Sec. 515.560(c) and such other transactions as are related to
activities of private foundations or research or educational institutes
that do not qualify for the general license under paragraph (a) of this
section.

0
29. Revise Sec. 515.578 to read as follows:


Sec. 515.578 Exportation and reexportation of certain internet-based
services.

(a) Except as provided in paragraph (b) of this section, the
following transactions are authorized:
(1) Certain internet-based services. The exportation or
reexportation, directly or indirectly, from the United States or by a
person subject to U.S. jurisdiction to Cuba of services incident to the
exchange of communications over the internet, such as instant
messaging, chat and email, social networking, sharing of photos and
movies, web browsing, blogging, web hosting provided that it is not for
the promotion of tourism, and domain name registration services.
(2) Services related to certain exportations and reexportations. To
the extent not authorized by paragraph (a)(1) of this section or by
Sec. 515.533, the exportation or reexportation of services, including
software design, business consulting, and information technology
management services (including cloud storage), that are related to the
following items, or of services to install, repair (including repair
training), or replace such items:
(i) Items subject to the EAR. In the case of items subject to the
Export Administration Regulations (EAR) (15 CFR part 730 et seq.),
items exported or reexported to Cuba pursuant to 15 CFR 740.19 (License
Exception Consumer Communication Devices (CCD));
(ii) Items not subject to the EAR because they are of foreign
origin and are located outside the United States. In the case of items
not subject to the EAR because they are of foreign origin and are
located outside the United States

[[Page 2301]]

that are exported, reexported, or provided, directly or indirectly, by
a person subject to U.S. jurisdiction to Cuba pursuant to a specific
license issued under Sec. 515.559, items that are of a type described
in License Exception CCD provided that the items would be designated
EAR99 if they were located in the United States or would meet the
criteria for classification under the relevant ECCN specified in
License Exception CCD if they were subject to the EAR; and
(iii) Software not subject to the EAR because it is described in 15
CFR 734.3(b)(3). In the case of software not subject to the EAR because
it is described in 15 CFR 734.3(b)(3) that is exported, reexported, or
provided, directly or indirectly, by a person subject to U.S.
jurisdiction to Cuba, software that is of a type described in License
Exception CCD.
(3) Importation into the United States of certain items previously
exported to Cuba. The importation into the United States of items
described in paragraph (2)(i)-(iii) of this section by an individual
entering the United States, directly or indirectly, from Cuba.
(4) Exportation, reexportation, or provision of no cost services
that are widely available to the public. The exportation or
reexportation, directly or indirectly, from the United States or by
persons subject to U.S. jurisdiction, to a prohibited official of the
Government of Cuba, as defined in Sec. 515.337 of this part, or a
prohibited member of the Cuban Communist Party, as defined in Sec.
515.338 of this part, or to organizations administered or controlled by
the Government of Cuba or the Cuban Communist Party, of services
described in paragraph (a)(1) of this section or services related to
items exported or reexported pursuant to License Exception CCD,
provided that such services are widely available to the public at no
cost to the user.

Note 1 to Sec. 515.578(a): The export or reexport to Cuba of
items subject subject to the Export Administration Regulations (15
CFR part 730 et seq.) may require separate authorization from the
Department of Commerce.


Note 2 to Sec. 515.578(a): For an authorization of
transactions related to the provision of telecommunications
services, see Sec. 515.542.

(b) This section does not authorize:
(1) The direct or indirect exportation or reexportation of services
with knowledge or reason to know that such services are intended for a
prohibited official of the Government of Cuba, as defined in Sec.
515.337 of this part, or a prohibited member of the Cuban Communist
Party, as defined in Sec. 515.338 of this part, or to organizations
administered or controlled by the Government of Cuba or the Cuban
Communist Party, except for the services specified in paragraph (a)(4)
of this section.
(2) The direct or indirect exportation of any items to Cuba.

Note to Sec. 515.578(b)(2): For provisions related to
transactions ordinarily incident to the exportation or reexportation
of items, including software, to Cuba, see Sec. Sec. 515.533 and
515.559.

(c) Specific licenses. Specific licenses may be issued on a case-
by-case basis for the exportation of other internet-based services.

0
30. Revise Sec. 515.579 to read as follows:


Sec. 515.579 Funds transfers for third-country official missions and
certain intergovernmental organizations.

(a) Depository institutions, as defined in Sec. 515.333, are
authorized to process funds transfers for the operating expenses or
other official business in Cuba of third-country official missions or
any intergovernmental organization in which the United States is a
member or holds observer status.
(b) Depository institutions, as defined in Sec. 515.333, are
authorized to process funds transfers and maintain accounts for the
personal expenditures of the employees, grantees, and contractors, or
persons who share a common dwelling as a family member of such
employees, grantees, and contractors, of third-country official
missions or any intergovernmental organization in which the United
States is a member or holds observer status in Cuba.

0
31. Add Sec. 515.580 to read as follows:


Sec. 515.580 Global insurance policies covering individuals traveling
to Cuba.

Persons subject to U.S. jurisdiction are authorized to issue or
provide coverage for global health, life, or travel insurance policies
for individuals ordinarily resident in a country outside of Cuba who
travel to or within Cuba. Persons subject to U.S. jurisdiction are
authorized to service those policies and pay claims arising from events
that occurred while the individual was traveling in, or to or from,
Cuba.

Note to Sec. 515.580: Certain insurance-related services for
persons subject to U.S. jurisdiction traveling to, from, or within
Cuba are authorized pursuant to Sec. 515.560. See Note 2 to Sec.
515.560.


0
32. Add Sec. 515.581 to read as follows:


Sec. 515.581 Transactions related to conferences in third countries
authorized.

Persons subject to U.S. jurisdiction are authorized to sponsor,
provide services in connection with, and participate in conferences or
other similar events in a third country that are attended by Cuban
nationals, provided that the conference or other similar event does not
relate to tourism in Cuba.

Note to Sec. 515.581: The export or reexport to Cuba of
technology subject to the Export Administration Regulations (15 CFR
part 730 et seq.) may require separate authorization from the
Department of Commerce.


0
33. Add Sec. 515.582 to read as follows:


Sec. 515.582 Importation of certain goods and services produced by
independent Cuban entrepreneurs.

Persons subject to U.S. jurisdiction are authorized to engage in
all transactions, including payments, necessary to import certain goods
and services produced by independent Cuban entrepreneurs as determined
by the State Department as set forth on the State Department's Section
515.582 List, located at http://www.state.gov/e/eb/tfs/spi/.

Note 1 to Sec. 515.582: As of the date of publication in the
Federal Register of the final rule including this provision, January
16, 2015, the State Department's Section 515.582 List has not yet
been published on its Web site. The State Department's Section
515.582 list also will be published in the Federal Register, as will
any changes to the list.


Note 2 to Sec. 515.582: Imports authorized by this section are
not subject to the limitations set forth in Sec. 515.560(c).


0
34. Add Sec. 515.583 to read as follows:


Sec. 515.583 Provision of certain goods and services to Cuban
nationals sequestered aboard vessels in U.S. ports.

The provision of goods and services ordinarily incident and
necessary to the personal maintenance of Cuban nationals who are
prohibited from disembarking from vessels in U.S. ports is authorized.

0
35. Add Sec. 515.584 to read as follows:


Sec. 515.584 Certain financial transactions involving Cuba.

(a) Correspondent accounts. Depository institutions, as defined in
Sec. 515.333, are authorized to engage in all transactions necessary
to establish and maintain correspondent accounts at a financial
institution that is a national of Cuba, provided that such accounts are
used only for transactions authorized pursuant to, or exempt from, this
part.

Note to Sec. 515.584(a): This section does not authorize the
establishment and maintenance of accounts in the United States or
with a person subject to U.S. jurisdiction by, on behalf of, or for
the benefit of, Cuba or a Cuban national.


[[Page 2302]]


(b) Testing arrangements. Depository institutions are authorized to
set up testing arrangements and exchange authenticator keys with any
financial institution that is a national of Cuba for transactions
authorized pursuant to, or exempt from, this part.
(c) Credit and debit cards. All transactions incident to the
processing and payment of credit and debit cards involving travel-
related and other transactions consistent with Sec. 515.560 are
authorized.
(d) Wire transfers. Any depository institution, as defined in Sec.
515.333, that is a person subject to U.S. jurisdiction is authorized
to:
(1) Reject funds transfers originating and terminating outside the
United States where neither the originator nor the beneficiary is a
person subject to U.S. jurisdiction and provided that a prohibited
official of the Government of Cuba, as defined in Sec. 515.337 of this
part, or a prohibited member of the Cuban Communist Party, as defined
in Sec. 515.338 of this part, does not have an interest in the
transfer; and
(2) Provided that neither the originator nor the beneficiary is a
person subject to U.S. jurisdiction, process funds transfers
originating and terminating outside the United States relating to
transactions that would be authorized pursuant to this part if the
originator or beneficiary were a person subject to U.S. jurisdiction.

0
36. Add Sec. 515.585 to read as follows:


Sec. 515.585 Certain transactions by U.S.-owned or -controlled firms
in third countries with certain Cuban nationals.

Any U.S.-owned or -controlled partnership, association,
corporation, or other organization in a third country is authorized to
provide goods and services to a Cuban national who is an individual
located outside of Cuba, provided that the transaction does not involve
a commercial exportation, directly or indirectly, of goods or services
to or from Cuba.

Note 1 to Sec. 515.585: This section does not authorize U.S.-
owned or -controlled firms in third countries to export to Cuba
commodities produced in the authorized trade territory. See Sec.
515.559.


Note 2 to Sec. 515.585: This section does not authorize U.S.-
owned or -controlled firms in third countries to reexport to Cuba
U.S.-origin items. See Sec. 515.533.


Note 3 to Sec. 515.585: This section does not authorize any
transaction prohibited by Sec. 515.204, including the purchase or
sale of Cuban-origin goods.


Note 4 to Sec. 515.585: The export or reexport to Cuba of
items subject to the Export Administration Regulations (15 CFR part
730 et seq.) requires separate authorization from the Department of
Commerce.


0
37. Add Sec. 515.586 to read as follows:


Sec. 515.586 Cuban official missions in the United States.

(a) The provision of goods or services in the United States to the
official missions of the Government of Cuba to the United States and to
international organizations in the United States and payment for such
goods or services are authorized, provided that:
(1) The goods or services are for the conduct of the official
business of the missions, or for personal use of the employees, or
persons who share a common dwelling as a family member of such an
employee, of the missions, and are not for resale;
(2) The transaction does not involve the purchase, sale, financing,
or refinancing of real property; and
(3) The transaction is not otherwise prohibited by law.
(b) The provision of goods or services in the United States to the
employees, or persons who share a common dwelling as a family member of
such an employee, of the official missions of the Government of Cuba to
the United States and to international organizations in the United
States and payment for such goods or services are authorized, provided
that:
(1) The goods or services are for personal use of the employees, or
persons who share a common dwelling as a family member of such an
employee, of the missions, and are not for resale; and
(2) The transaction is not otherwise prohibited by law.
(c) Depository institutions, as defined in Sec. 515.333, are
authorized to operate accounts for, or extend credit to, the official
missions of the Government of Cuba to the United States, and the
official missions of the Government of Cuba to international
organizations in the United States, and employees thereof, subject to
the limitations in paragraphs (a) and (b) of this section and provided
that any depository institution making use of the authorization in this
section must submit a report to the Department of the Treasury, Office
of Foreign Assets Control, Washington, DC 20220, no later than 30 days
following the establishment of the account. Such report shall include
the name and address of the depository institution, the name of the
account holder, and the account number.

Dated: January 13, 2015.
John E. Smith,
Acting Director, Office of Foreign Assets Control.

Approved: January 13, 2015.
David S. Cohen,
Under Secretary, Office of Terrorism and Financial Intelligence,
Department of the Treasury.
[FR Doc. 2015-00632 Filed 1-15-15; 8:45 am]
BILLING CODE 4810-AL-P