On Friday, President Obama signed an Executive order triggering provisions and posturing for the government seizure of any
and all private property necessary (including food) for the war effort.
The foundations for all of this were laid in many Executive Orders
drafted in the 1980s under Ronald Reagan, shortly after the U.S.
government became officially aware of Peak Oil.
Folks stuff like this doesn't get signed unless you are preparing for an imminent disaster or large scale war. With the arrival of the U.S.S. Enterprise on its "final" voyage" and its carrier group, that brings the number of carrier groups in the Persian Gulf to THREE CARRIER GROUPS. The Enterprise, Carl Vincent and Abraham Lincoln. Accompanying these groups are major logistical and supply vessels that number far higher than normally in a fleet. "Gulf Of Tonkin" incident anyone?
This isn't sabre rattling. For the past year we have seen unprecedented security measure being put in place with broad central state and police powers and bypassing of the U.S. Constitution despite the demise of Kim Jong Il, Osama Bin Laden, Moamar Ghaddaffi and rejections of Islamist Rule. We are moving towards a state of war unseen since the second world war.
The White House
Office of the Press Secretary
For Immediate Release
March 16, 2012
Executive Order -- National Defense Resources Preparedness
EXECUTIVE ORDER
NATIONAL DEFENSE RESOURCES PREPAREDNESS
By the authority vested in me as President by the Constitution and the
laws of the United States of America, including the Defense Production
Act of 1950, as amended (50 U.S.C. App. 2061
et seq.), and
section 301 of title 3, United States Code, and as Commander in Chief of
the Armed Forces of the United States, it is hereby ordered as follows:
PART I - PURPOSE, POLICY, AND IMPLEMENTATION
Section 101.
Purpose. This order delegates
authorities and addresses national defense resource policies and
programs under the Defense Production Act of 1950, as amended (the
"Act").
Sec.
102.
Policy. The United States must have an
industrial and technological base capable of meeting national defense
requirements and capable of contributing to the technological
superiority of its national defense equipment in peacetime and in times
of national emergency. The domestic industrial and technological base
is the foundation for national defense preparedness. The authorities
provided in the Act shall be used to strengthen this base and to ensure
it is capable of responding to the national defense needs of the United
States.
Sec.
103.
General Functions. Executive
departments and agencies (agencies) responsible for plans and programs
relating to national defense (as defined in section 801(j) of this
order), or for resources and services needed to support such plans and
programs, shall:
(a) identify requirements for the full spectrum of emergencies, including essential military and civilian demand;
(b) assess on an ongoing basis the capability of the domestic
industrial and technological base to satisfy requirements in peacetime
and times of national emergency, specifically evaluating the
availability of the most critical resource and production sources,
including subcontractors and suppliers, materials, skilled labor, and
professional and technical personnel;
(c) be prepared, in the event of a potential threat to the security of
the United States, to take actions necessary to ensure the availability
of adequate resources and production capability, including services and
critical technology, for national defense requirements;
(d) improve the efficiency and responsiveness of the domestic industrial base to support national defense requirements; and
(e) foster cooperation between the defense and commercial sectors for
research and development and for acquisition of materials, services,
components, and equipment to enhance industrial base efficiency and
responsiveness.
Sec.
104.
Implementation. (a) The National
Security Council and Homeland Security Council, in conjunction with the
National Economic Council, shall serve as the integrated policymaking
forum for consideration and formulation of national defense resource
preparedness policy and shall make recommendations to the President on
the use of authorities under the Act.
(b) The Secretary of Homeland Security shall:
(1) advise the President on issues of national defense resource
preparedness and on the use of the authorities and functions delegated
by this order;
(2) provide for the central coordination of the plans and programs
incident to authorities and functions delegated under this order, and
provide guidance to agencies assigned functions under this order,
developed in consultation with such agencies; and
(3) report to the President periodically concerning all program activities conducted pursuant to this order.
(c) The Defense Production Act Committee, described in section 701 of this order, shall:
(1) in a manner consistent with section 2(b) of the Act, 50 U.S.C.
App. 2062(b), advise the President through the Assistant to the
President and National Security Advisor, the Assistant to the President
for Homeland Security and Counterterrorism, and the Assistant to the
President for Economic Policy on the effective use of the authorities
under the Act; and
(2) prepare and coordinate an annual report to the Congress pursuant to section 722(d) of the Act, 50 U.S.C. App. 2171(d).
(d) The Secretary of Commerce, in cooperation with the Secretary of
Defense, the Secretary of Homeland Security, and other agencies, shall:
(1) analyze potential effects of national emergencies on actual
production capability, taking into account the entire production system,
including shortages of resources, and develop recommended preparedness
measures to strengthen capabilities for production increases in national
emergencies; and
(2) perform industry analyses to assess capabilities of the industrial
base to support the national defense, and develop policy
recommendations to improve the international competitiveness of specific
domestic industries and their abilities to meet national defense
program needs.
PART II - PRIORITIES AND ALLOCATIONS
Sec.
201.
Priorities and Allocations Authorities.
(a) The authority of the President conferred by section 101 of the
Act, 50 U.S.C. App. 2071, to require acceptance and priority performance
of contracts or orders (other than contracts of employment) to promote
the national defense over performance of any other contracts or orders,
and to allocate materials, services, and facilities as deemed necessary
or appropriate to promote the national defense, is delegated to the
following agency heads:
(1) the Secretary of Agriculture with respect to food resources, food
resource facilities, livestock resources, veterinary resources, plant
health resources, and the domestic distribution of farm equipment and
commercial fertilizer;
(2) the Secretary of Energy with respect to all forms of energy;
(3) the Secretary of Health and Human Services with respect to health resources;
(4) the Secretary of Transportation with respect to all forms of civil transportation;
(5) the Secretary of Defense with respect to water resources; and
(6) the Secretary of Commerce with respect to all other materials, services, and facilities, including construction materials.
(b) The Secretary of each agency delegated authority under subsection
(a) of this section (resource departments) shall plan for and issue
regulations to prioritize and allocate resources and establish standards
and procedures by which the authority shall be used to promote the
national defense, under both emergency and non-emergency conditions.
Each Secretary shall authorize the heads of other agencies, as
appropriate, to place priority ratings on contracts and orders for
materials, services, and facilities needed in support of programs
approved under section 202 of this order.
(c) Each resource department shall act, as necessary and appropriate,
upon requests for special priorities assistance, as defined by section
801(l) of this order, in a time frame consistent with the urgency of the
need at hand. In situations where there are competing program
requirements for limited resources, the resource department shall
consult with the Secretary who made the required determination under
section 202 of this order. Such Secretary shall coordinate with and
identify for the resource department which program requirements to
prioritize on the basis of operational urgency. In situations involving
more than one Secretary making such a required determination under
section 202 of this order, the Secretaries shall coordinate with and
identify for the resource department which program requirements should
receive priority on the basis of operational urgency.
(d) If agreement cannot be reached between two such Secretaries, then
the issue shall be referred to the President through the Assistant to
the President and National Security Advisor and the Assistant to the
President for Homeland Security and Counterterrorism.
(e) The Secretary of each resource department, when necessary, shall
make the finding required under section 101(b) of the Act, 50 U.S.C.
App. 2071(b). This finding shall be submitted for the President's
approval through the Assistant to the President and National Security
Advisor and the Assistant to the President for Homeland Security and
Counterterrorism. Upon such approval, the Secretary of the resource
department that made the finding may use the authority of section 101(a)
of the Act, 50 U.S.C. App. 2071(a), to control the general distribution
of any material (including applicable services) in the civilian market.
Sec.
202.
Determinations. Except as provided in
section 201(e) of this order, the authority delegated by section 201 of
this order may be used only to support programs that have been
determined in writing as necessary or appropriate to promote the
national defense:
(a) by the Secretary of Defense with respect to military production
and construction, military assistance to foreign nations, military use
of civil transportation, stockpiles managed by the Department of
Defense, space, and directly related activities;
(b) by the Secretary of Energy with respect to energy production and
construction, distribution and use, and directly related activities; and
(c) by the Secretary of Homeland Security with respect to all other
national defense programs, including civil defense and continuity of
Government.
Sec.
203.
Maximizing Domestic Energy Supplies.
The authorities of the President under section 101(c)(1) (2) of the Act,
50 U.S.C. App. 2071(c)(1) (2), are delegated to the Secretary of
Commerce, with the exception that the authority to make findings that
materials (including equipment), services, and facilities are critical
and essential, as described in section 101(c)(2)(A) of the Act, 50
U.S.C. App. 2071(c)(2)(A), is delegated to the Secretary of Energy.
Sec.
204.
Chemical and Biological Warfare. The
authority of the President conferred by section 104(b) of the Act, 50
U.S.C. App. 2074(b), is delegated to the Secretary of Defense. This
authority may not be further delegated by the Secretary.
PART III - EXPANSION OF PRODUCTIVE CAPACITY AND SUPPLY
Sec.
301.
Loan Guarantees. (a) To reduce
current or projected shortfalls of resources, critical technology items,
or materials essential for the national defense, the head of each
agency engaged in procurement for the national defense, as defined in
section 801(h) of this order, is authorized pursuant to section 301 of
the Act, 50 U.S.C. App. 2091, to guarantee loans by private
institutions.
(b) Each guaranteeing agency is designated and authorized to: (1) act
as fiscal agent in the making of its own guarantee contracts and in
otherwise carrying out the purposes of section 301 of the Act; and (2)
contract with any Federal Reserve Bank to assist the agency in serving
as fiscal agent.
(c) Terms and conditions of guarantees under this authority shall be
determined in consultation with the Secretary of the Treasury and the
Director of the Office of Management and Budget (OMB). The guaranteeing
agency is authorized, following such consultation, to prescribe: (1)
either specifically or by maximum limits or otherwise, rates of
interest, guarantee and commitment fees, and other charges which may be
made in connection with such guarantee contracts; and (2) regulations
governing the forms and procedures (which shall be uniform to the extent
practicable) to be utilized in connection therewith.
Sec.
302.
Loans. To reduce current or projected
shortfalls of resources, critical technology items, or materials
essential for the national defense, the head of each agency engaged in
procurement for the national defense is delegated the authority of the
President under section 302 of the Act, 50 U.S.C. App. 2092, to make
loans thereunder. Terms and conditions of loans under this authority
shall be determined in consultation with the Secretary of the Treasury
and the Director of OMB.
Sec.
303.
Additional Authorities. (a) To
create, maintain, protect, expand, or restore domestic industrial base
capabilities essential for the national defense, the head of each agency
engaged in procurement for the national defense is delegated the
authority of the President under section 303 of the Act, 50 U.S.C. App.
2093, to make provision for purchases of, or commitments to purchase, an
industrial resource or a critical technology item for Government use or
resale, and to make provision for the development of production
capabilities, and for the increased use of emerging technologies in
security program applications, and to enable rapid transition of
emerging technologies.
(b) Materials acquired under section 303 of the Act, 50 U.S.C. App.
2093, that exceed the needs of the programs under the Act may be
transferred to the National Defense Stockpile, if, in the judgment of
the Secretary of Defense as the National Defense Stockpile Manager, such
transfers are in the public interest.
Sec.
304.
Subsidy Payments. To ensure the supply
of raw or nonprocessed materials from high cost sources, or to ensure
maximum production or supply in any area at stable prices of any
materials in light of a temporary increase in transportation cost, the
head of each agency engaged in procurement for the national defense is
delegated the authority of the President under section 303(c) of the
Act, 50 U.S.C. App. 2093(c), to make subsidy payments, after
consultation with the Secretary of the Treasury and the Director of OMB.
Sec.
305.
Determinations and Findings. (a)
Pursuant to budget authority provided by an appropriations act in
advance for credit assistance under section 301 or 302 of the Act, 50
U.S.C. App. 2091, 2092, and consistent with the Federal Credit Reform
Act of 1990, as amended (FCRA), 2 U.S.C. 661
et seq., the head
of each agency engaged in procurement for the national defense is
delegated the authority to make the determinations set forth in sections
301(a)(2) and 302(b)(2) of the Act, in consultation with the Secretary
making the required determination under section 202 of this order;
provided, that such determinations shall be made after due consideration
of the provisions of OMB Circular A 129 and the credit subsidy score
for the relevant loan or loan guarantee as approved by OMB pursuant to
FCRA.
(b) Other than any determination by the President under section
303(a)(7)(b) of the Act, the head of each agency engaged in procurement
for the national defense is delegated the authority to make the required
determinations, judgments, certifications, findings, and notifications
defined under section 303 of the Act, 50 U.S.C. App. 2093, in
consultation with the Secretary making the required determination under
section 202 of this order.
Sec.
306.
Strategic and Critical Materials. The
Secretary of Defense, and the Secretary of the Interior in consultation
with the Secretary of Defense as the National Defense Stockpile Manager,
are each delegated the authority of the President under section
303(a)(1)(B) of the Act, 50 U.S.C. App. 2093(a)(1)(B), to encourage the
exploration, development, and mining of strategic and critical materials
and other materials.
Sec.
307.
Substitutes. The head of each agency
engaged in procurement for the national defense is delegated the
authority of the President under section 303(g) of the Act, 50 U.S.C.
App. 2093(g), to make provision for the development of substitutes for
strategic and critical materials, critical components, critical
technology items, and other resources to aid the national defense.
Sec.
308.
Government-Owned Equipment. The head
of each agency engaged in procurement for the national defense is
delegated the authority of the President under section 303(e) of the
Act, 50 U.S.C. App. 2093(e), to:
(a) procure and install additional equipment, facilities, processes,
or improvements to plants, factories, and other industrial facilities
owned by the Federal Government and to procure and install Government
owned equipment in plants, factories, or other industrial facilities
owned by private persons;
(b) provide for the modification or expansion of privately owned
facilities, including the modification or improvement of production
processes, when taking actions under sections 301, 302, or 303 of the
Act, 50 U.S.C. App. 2091, 2092, 2093; and
(c) sell or otherwise transfer equipment owned by the Federal
Government and installed under section 303(e) of the Act, 50 U.S.C. App.
2093(e), to the owners of such plants, factories, or other industrial
facilities.
Sec.
309.
Defense Production Act Fund. The
Secretary of Defense is designated the Defense Production Act Fund
Manager, in accordance with section 304(f) of the Act, 50 U.S.C. App.
2094(f), and shall carry out the duties specified in section 304 of the
Act, in consultation with the agency heads having approved, and
appropriated funds for, projects under title III of the Act.
Sec.
310.
Critical Items. The head of each
agency engaged in procurement for the national defense is delegated the
authority of the President under section 107(b)(1) of the Act, 50 U.S.C.
App. 2077(b)(1), to take appropriate action to ensure that critical
components, critical technology items, essential materials, and
industrial resources are available from reliable sources when needed to
meet defense requirements during peacetime, graduated mobilization, and
national emergency. Appropriate action may include restricting contract
solicitations to reliable sources, restricting contract solicitations
to domestic sources (pursuant to statutory authority), stockpiling
critical components, and developing substitutes for critical components
or critical technology items.
Sec.
311.
Strengthening Domestic Capability. The
head of each agency engaged in procurement for the national defense is
delegated the authority of the President under section 107(a) of the
Act, 50 U.S.C. App. 2077(a), to utilize the authority of title III of
the Act or any other provision of law to provide appropriate incentives
to develop, maintain, modernize, restore, and expand the productive
capacities of domestic sources for critical components, critical
technology items, materials, and industrial resources essential for the
execution of the national security strategy of the United States.
Sec.
312.
Modernization of Equipment. The head
of each agency engaged in procurement for the national defense, in
accordance with section 108(b) of the Act, 50 U.S.C. App. 2078(b), may
utilize the authority of title III of the Act to guarantee the purchase
or lease of advance manufacturing equipment, and any related services
with respect to any such equipment for purposes of the Act. In
considering title III projects, the head of each agency engaged in
procurement for the national defense shall provide a strong preference
for proposals submitted by a small business supplier or subcontractor in
accordance with section 108(b)(2) of the Act, 50 U.S.C. App.
2078(b)(2).
PART IV - VOLUNTARY AGREEMENTS AND ADVISORY COMMITTEES
Sec.
401.
Delegations. The authority of the
President under sections 708(c) and (d) of the Act, 50 U.S.C. App.
2158(c), (d), is delegated to the heads of agencies otherwise delegated
authority under this order. The status of the use of such delegations
shall be furnished to the Secretary of Homeland Security.
Sec.
402.
Advisory Committees. The authority of
the President under section 708(d) of the Act, 50 U.S.C. App. 2158(d),
and delegated in section 401 of this order (relating to establishment of
advisory committees) shall be exercised only after consultation with,
and in accordance with, guidelines and procedures established by the
Administrator of General Services.
Sec.
403.
Regulations. The Secretary of Homeland
Security, after approval of the Attorney General, and after
consultation by the Attorney General with the Chairman of the Federal
Trade Commission, shall promulgate rules pursuant to section 708(e) of
the Act, 50 U.S.C. App. 2158(e), incorporating standards and procedures
by which voluntary agreements and plans of action may be developed and
carried out. Such rules may be adopted by other agencies to fulfill the
rulemaking requirement of section 708(e) of the Act, 50 U.S.C. App.
2158(e).
PART V - EMPLOYMENT OF PERSONNEL
Sec.
501.
National Defense Executive Reserve.
(a) In accordance with section 710(e) of the Act, 50 U.S.C. App.
2160(e), there is established in the executive branch a National Defense
Executive Reserve (NDER) composed of persons of recognized expertise
from various segments of the private sector and from Government (except
full time Federal employees) for training for employment in executive
positions in the Federal Government in the event of a national defense
emergency.
(b) The Secretary of Homeland Security shall issue necessary guidance
for the NDER program, including appropriate guidance for establishment,
recruitment, training, monitoring, and activation of NDER units and
shall be responsible for the overall coordination of the NDER program.
The authority of the President under section 710(e) of the Act, 50
U.S.C. App. 2160(e), to determine periods of national defense emergency
is delegated to the Secretary of Homeland Security.
(c) The head of any agency may implement section 501(a) of this order with respect to NDER operations in such agency.
(d) The head of each agency with an NDER unit may exercise the
authority under section 703 of the Act, 50 U.S.C. App. 2153, to employ
civilian personnel when activating all or a part of its NDER unit. The
exercise of this authority shall be subject to the provisions of
sections 501(e) and (f) of this order and shall not be redelegated.
(e) The head of an agency may activate an NDER unit, in whole or in
part, upon the written determination of the Secretary of Homeland
Security that an emergency affecting the national defense exists and
that the activation of the unit is necessary to carry out the emergency
program functions of the agency.
(f) Prior to activating the NDER unit, the head of the agency shall
notify, in writing, the Assistant to the President for Homeland Security
and Counterterrorism of the impending activation.
Sec.
502.
Consultants. The head of each agency
otherwise delegated functions under this order is delegated the
authority of the President under sections 710(b) and (c) of the Act, 50
U.S.C. App. 2160(b), (c), to employ persons of outstanding experience
and ability without compensation and to employ experts, consultants, or
organizations. The authority delegated by this section may not be
redelegated.
PART VI - LABOR REQUIREMENTS
Sec.
601.
Secretary of Labor. (a) The Secretary
of Labor, in coordination with the Secretary of Defense and the heads
of other agencies, as deemed appropriate by the Secretary of Labor,
shall:
(1) collect and maintain data necessary to make a continuing appraisal
of the Nation's workforce needs for purposes of national defense;
(2) upon request by the Director of Selective Service, and in
coordination with the Secretary of Defense, assist the Director of
Selective Service in development of policies regulating the induction
and deferment of persons for duty in the armed services;
(3) upon request from the head of an agency with authority under this
order, consult with that agency with respect to: (i) the effect of
contemplated actions on labor demand and utilization; (ii) the relation
of labor demand to materials and facilities requirements; and (iii) such
other matters as will assist in making the exercise of priority and
allocations functions consistent with effective utilization and
distribution of labor;
(4) upon request from the head of an agency with authority under this
order: (i) formulate plans, programs, and policies for meeting the
labor requirements of actions to be taken for national defense purposes;
and (ii) estimate training needs to help address national defense
requirements and promote necessary and appropriate training programs;
and
(5) develop and implement an effective labor management relations
policy to support the activities and programs under this order, with the
cooperation of other agencies as deemed appropriate by the Secretary of
Labor, including the National Labor Relations Board, the Federal Labor
Relations Authority, the National Mediation Board, and the Federal
Mediation and Conciliation Service.
(b) All agencies shall cooperate with the Secretary of Labor, upon
request, for the purposes of this section, to the extent permitted by
law.
PART VII - DEFENSE PRODUCTION ACT COMMITTEE
Sec.
701.
The Defense Production Act Committee.
(a) The Defense Production Act Committee (Committee) shall be composed
of the following members, in accordance with section 722(b) of the Act,
50 U.S.C. App. 2171(b):
(1) The Secretary of State;
(2) The Secretary of the Treasury;
(3) The Secretary of Defense;
(4) The Attorney General;
(5) The Secretary of the Interior;
(6) The Secretary of Agriculture;
(7) The Secretary of Commerce;
(8) The Secretary of Labor;
(9) The Secretary of Health and Human Services;
(10) The Secretary of Transportation;
(11) The Secretary of Energy;
(12) The Secretary of Homeland Security;
(13) The Director of National Intelligence;
(14) The Director of the Central Intelligence Agency;
(15) The Chair of the Council of Economic Advisers;
(16) The Administrator of the National Aeronautics and Space Administration; and
(17) The Administrator of General Services.
(b) The Director of OMB and the Director of the Office of Science and
Technology Policy shall be invited to participate in all Committee
meetings and activities in an advisory role. The Chairperson, as
designated by the President pursuant to section 722 of the Act, 50
U.S.C. App. 2171, may invite the heads of other agencies or offices to
participate in Committee meetings and activities in an advisory role, as
appropriate.
Sec.
702.
Offsets. The Secretary of Commerce
shall prepare and submit to the Congress the annual report required by
section 723 of the Act, 50 U.S.C. App. 2172, in consultation with the
Secretaries of State, the Treasury, Defense, and Labor, the United
States Trade Representative, the Director of National Intelligence, and
the heads of other agencies as appropriate. The heads of agencies shall
provide the Secretary of Commerce with such information as may be
necessary for the effective performance of this function.
PART VIII - GENERAL PROVISIONS
Sec.
801.
Definitions. In addition to the
definitions in section 702 of the Act, 50 U.S.C. App. 2152, the
following definitions apply throughout this order:
(a) "Civil transportation" includes movement of persons and property
by all modes of transportation in interstate, intrastate, or foreign
commerce within the United States, its territories and possessions, and
the District of Columbia, and related public storage and warehousing,
ports, services, equipment and facilities, such as transportation
carrier shop and repair facilities. "Civil transportation" also shall
include direction, control, and coordination of civil transportation
capacity regardless of ownership. "Civil transportation" shall not
include transportation owned or controlled by the Department of Defense,
use of petroleum and gas pipelines, and coal slurry pipelines used only
to supply energy production facilities directly.
(b) "Energy" means all forms of energy including petroleum, gas (both
natural and manufactured), electricity, solid fuels (including all forms
of coal, coke, coal chemicals, coal liquification, and coal
gasification), solar, wind, other types of renewable energy, atomic
energy, and the production, conservation, use, control, and distribution
(including pipelines) of all of these forms of energy.
(c) "Farm equipment" means equipment, machinery, and repair parts
manufactured for use on farms in connection with the production or
preparation for market use of food resources.
(d) "Fertilizer" means any product or combination of products that
contain one or more of the elements nitrogen, phosphorus, and potassium
for use as a plant nutrient.
(e) "Food resources" means all commodities and products, (simple,
mixed, or compound), or complements to such commodities or products,
that are capable of being ingested by either human beings or animals,
irrespective of other uses to which such commodities or products may be
put, at all stages of processing from the raw commodity to the products
thereof in vendible form for human or animal consumption. "Food
resources" also means potable water packaged in commercially marketable
containers, all starches, sugars, vegetable and animal or marine fats
and oils, seed, cotton, hemp, and flax fiber, but does not mean any such
material after it loses its identity as an agricultural commodity or
agricultural product.
(f) "Food resource facilities" means plants, machinery, vehicles
(including on farm), and other facilities required for the production,
processing, distribution, and storage (including cold storage) of food
resources, and for the domestic distribution of farm equipment and
fertilizer (excluding transportation thereof).
(g) "Functions" include powers, duties, authority, responsibilities, and discretion.
(h) "Head of each agency engaged in procurement for the national
defense" means the heads of the Departments of State, Justice, the
Interior, and Homeland Security, the Office of the Director of National
Intelligence, the Central Intelligence Agency, the National Aeronautics
and Space Administration, the General Services Administration, and all
other agencies with authority delegated under section 201 of this order.
(i) "Health resources" means drugs, biological products, medical
devices, materials, facilities, health supplies, services and equipment
required to diagnose, mitigate or prevent the impairment of, improve,
treat, cure, or restore the physical or mental health conditions of the
population.
(j) "National defense" means programs for military and energy
production or construction, military or critical infrastructure
assistance to any foreign nation, homeland security, stockpiling, space,
and any directly related activity. Such term includes emergency
preparedness activities conducted pursuant to title VI of the Robert T.
Stafford Disaster Relief and Emergency Assistance Act, 42 U.S.C. 5195
et seq., and critical infrastructure protection and restoration.
(k) "Offsets" means compensation practices required as a condition of
purchase in either government to government or commercial sales of
defense articles and/or defense services as defined by the Arms Export
Control Act, 22 U.S.C. 2751
et seq., and the International Traffic in Arms Regulations, 22 C.F.R. 120.1 130.17.
(l) "Special priorities assistance" means action by resource
departments to assist with expediting deliveries, placing rated orders,
locating suppliers, resolving production or delivery conflicts between
various rated orders, addressing problems that arise in the fulfillment
of a rated order or other action authorized by a delegated agency, and
determining the validity of rated orders.
(m) "Strategic and critical materials" means materials (including
energy) that (1) would be needed to supply the military, industrial, and
essential civilian needs of the United States during a national
emergency, and (2) are not found or produced in the United States in
sufficient quantities to meet such need and are vulnerable to the
termination or reduction of the availability of the material.
(n) "Water resources" means all usable water, from all sources, within
the jurisdiction of the United States, that can be managed, controlled,
and allocated to meet emergency requirements, except "water resources"
does not include usable water that qualifies as "food resources."
Sec.
802.
General. (a) Except as otherwise
provided in section 802(c) of this order, the authorities vested in the
President by title VII of the Act, 50 U.S.C. App. 2151
et seq.,
are delegated to the head of each agency in carrying out the delegated
authorities under the Act and this order, by the Secretary of Labor in
carrying out part VI of this order, and by the Secretary of the Treasury
in exercising the functions assigned in Executive Order 11858, as
amended.
(b) The authorities that may be exercised and performed pursuant to section 802(a) of this order shall include:
(1) the power to redelegate authorities, and to authorize the
successive redelegation of authorities to agencies, officers, and
employees of the Government; and
(2) the power of subpoena under section 705 of the Act, 50 U.S.C. App.
2155, with respect to (i) authorities delegated in parts II, III, and
section 702 of this order, and (ii) the functions assigned to the
Secretary of the Treasury in Executive Order 11858, as amended, provided
that the subpoena power referenced in subsections (i) and (ii) shall be
utilized only after the scope and purpose of the investigation,
inspection, or inquiry to which the subpoena relates have been defined
either by the appropriate officer identified in section 802(a) of this
order or by such other person or persons as the officer shall designate.
(c) Excluded from the authorities delegated by section 802(a) of this
order are authorities delegated by parts IV and V of this order,
authorities in section 721 and 722 of the Act, 50 U.S.C. App. 2170 2171,
and the authority with respect to fixing compensation under section 703
of the Act, 50 U.S.C. App. 2153.
Sec.
803.
Authority. (a) Executive Order 12919
of June 3, 1994, and sections 401(3) (4) of Executive Order 12656 of
November 18, 1988, are revoked. All other previously issued orders,
regulations, rulings, certificates, directives, and other actions
relating to any function affected by this order shall remain in effect
except as they are inconsistent with this order or are subsequently
amended or revoked under proper authority. Nothing in this order shall
affect the validity or force of anything done under previous delegations
or other assignment of authority under the Act.
(b) Nothing in this order shall affect the authorities assigned under
Executive Order 11858 of May 7, 1975, as amended, except as provided in
section 802 of this order.
(c) Nothing in this order shall affect the authorities assigned under Executive Order 12472 of April 3, 1984, as amended.
Sec.
804.
General Provisions. (a) Nothing in
this order shall be construed to impair or otherwise affect functions of
the Director of OMB relating to budgetary, administrative, or
legislative proposals.
(b) This order shall be implemented consistent with applicable law and subject to the availability of appropriations.
(c) This order is not intended to, and does not, create any right or
benefit, substantive or procedural, enforceable at law or in equity by
any party against the United States, its departments, agencies, or
entities, its officers, employees, or agents, or any other person.
BARACK OBAMA
THE WHITE HOUSE,
March 16, 2012.
Barack Obama Prepares for War Footing
Posted: 03/19/2012 10:01 am
Last Friday, March 16, President Barack Obama may have quietly placed the United States on a war preparedness footing, perhaps in anticipation of an outbreak of war between Israel, the West, and Iran. A newly-propounded Executive Order, titled "National Defense Resources Preparedness," renews and updates the president's power to take control of all civil energy supplies, including oil and natural gas, control and restrict all civil transportation, which is almost 97 percent dependent upon oil; and even provides the option to re-enable a draft in order to achieve both the military and non-military demands of the country, according to a simple reading of the text. The Executive Order was published on the White House
website.
The timing of the Order -- with little fanfare -- could not be explained. Opinions among the very first bloggers on the purpose of the unexpected Executive Order run the gamut from the confused to the absurd. None focus on the obvious sudden need for such a pronouncement: oil and its potential for imminent interruption.
If Iran was struck by Israel or the West, or if Iran thought it might be struck, the Tehran regime has promised it would block the Strait of Hormuz, which would
obstruct some 40 percent of the world's seaborne oil, some twenty percent of the global supply, and about 20 percent of America's daily needs. Moreover, Tehran has promised military retaliation against any nation it feels has harmed it. The United States is at the top of the list.
Blocking the Strait of Hormuz would create an international and economic calamity of unprecedented severity. Here are the crude realities. America
uses approximately 19 to 20 million barrels of oil per day, almost half of which is imported. If we lose just 1 million barrels per day, or suffer the type of damage sustained from Hurricane Katrina, our government will open the Strategic Petroleum Reserve (SPR), which offers a mere six- to eight-week supply of unrefined crude oil. If we lose 1.5 million barrels per day, or approximately 7.5 percent, we will ask our allies in the 28-member International Energy Agency to open their SPRs and otherwise assist. If we lose 2 million barrels per day, or 10 percent, for a protracted period, government crisis monitors say the chaos will be so catastrophic, they cannot even model it. One government oil crisis source recently told me: "We cannot put a price tag on it. If it happens, just cash in your 401(k)."
Since 2007, when the prospect of Iran blocking the Strait of Hormuz became a daily threat enunciated by Iran, our local, state, and federal
governments at all levels have been criticized for having no specific plan in the event an oil interruption occurred. The National Defense Resources Preparedness executive order appears to be the first step toward developing a potentially vast, far-sweeping plan that could reach into every garage and grocery store shelf. Government experts who watch the day-to-day ebb and flow of oil stocks were surprised at the sudden move. One quipped, "If this is true, it would be such a departure in policy, I can scarcely believe it."
The March 16 Executive Order is based on the Defense Production Act of 1950, as amended (50 U.S.C. App. 2061 et seq.), and Section 301 of Title 3 of the United States Code, and reads as a near-verbatim restatement of
President Bill Clinton's 1994 Executive Order 12919, and several other orders of prior presidents. No specific plan was every outlined based any of the enabling Executive Orders.
Obama's Order sets forth as its rationale that "the United States must have an industrial and technological base capable of meeting national defense requirements and capable of contributing to the technological superiority of its national defense equipment in peacetime and in times of national emergency." It goes on in Section 103 C to authorize the President, "in the event of a potential threat to the security of the United States, to take actions necessary to ensure the availability of adequate resources and production capability, including services and critical technology, for national defense requirements." The task of advising is assigned, in Section 104 to "the National Security Council and Homeland Security Council, in conjunction with the National Economic Council," which "shall make recommendations to the President on the use of authorities under the Act."
Those bodies will relegate their tasks to various secretaries of the Cabinet, specifically, the Secretary of Agriculture with respect to food resources; the Secretary of Energy with respect to all forms of energy; the Secretary of Health and Human Services with respect to health resources; the Secretary of Transportation with respect to all forms of civil transportation; the Secretary of Defense with respect to water resources; and the Secretary of Commerce with respect to all other materials, services, and facilities, including construction materials.
Each of these Secretaries, according to Section 201, entitled, "Priorities and Allocations Authorities," will be empowered, subject to the President and his advisers, to "analyze potential effects of national emergencies on actual production capability, taking into account the entire production system, including shortages of resources, and develop recommended preparedness measures to strengthen capabilities for production increases in national emergencies." Their recommendations can, if need be, "control the general distribution of any material (including applicable services) in the civilian market."
In subsection D, the Order states, "If agreement cannot be reached between two such Secretaries, then the issue shall be referred to the President through the Assistant to the President and National Security Advisor and the Assistant to the President for Homeland Security and Counterterrorism." Hence, any arguments between Cabinet members is anticipated and dealt with.
The President, under the Order, will be empowered to order the "military use of civil transportation." If implemented, the Secretary of Energy could rule "with respect to energy production and construction, distribution and use, and directly related activities," in order to achieve "civil defense and continuity of Government."
Sec. 203 is entitled "Maximizing Domestic Energy Supplies." It delegates to the Secretary of Energy "the authority to make findings that materials (including equipment), services, and facilities are critical and essential."
Sec. 204 is entitled "Chemical and Biological Warfare." It ambiguously delegates "the authority of the President ... to the Secretary of Defense."
Part III of the Executive Order empowers the President and his advisers to effect "the expansion of productive capacity and supply." This includes, "Loan Guarantees to reduce current or projected shortfalls of resources, critical technology items, or materials essential for the national defense." Any Federal Reserve Bank is directed to "assist the agency in serving as fiscal agent."
Section 303 allows the government to "enable rapid transition of emerging technologies," that is, demand that certain needed technologies now kept out of the market be accelerated into the market. This could include alternative fuel vehicles which would relieve the approximate 67 percent of every oil barrel that goes to transportation. The same section allows the National Defense Stockpile to take control of strategic materials "if such transfers are in the public interest." Indeed, under Section 306, entitled "Strategic and Critical Materials," the Secretary of Defense and the Secretary of the Interior, in consultation with the Secretary of Defense as the National Defense Stockpile Manager, are each delegated the authority of the President ... to encourage the exploration, development, and mining of strategic and critical materials and other materials." This includes oil and natural gas. In Section 307, entitled "Substitutes," the national security team is empowered to "make provision for the development of substitutes for strategic and critical materials, critical components, critical technology items, and other resources to aid the national defense." The term "Substitutes" refers to alternative and synthetic fuels, from
algae to
hydrogen -- many of which are now in advance development.
In the event of an emergency, the Order would empower, "the head of each agency engaged in procurement for the national defense" to "procure and install additional equipment, facilities, processes, or improvements to plants, factories, and other industrial facilities owned by the Federal Government and to procure and install Government-owned equipment in plants, factories, or other industrial facilities owned by private persons."
Stockpiling or prioritizing will not require a state of war. In Section 310 entitled, "Critical Items," the government is empowered "to take appropriate action to ensure that critical components, critical technology items, essential materials, and industrial resources are available from reliable sources when needed to meet defense requirements during peacetime, graduated mobilization, and national emergency. Appropriate action may include restricting contract solicitations to reliable sources, restricting contract solicitations to domestic sources (pursuant to statutory authority), stockpiling critical components, and developing substitutes for critical components or critical technology items."
Part VI is entitled "Labor Requirements," and directs the Secretary of Labor "to collect and maintain data necessary to make a continuing appraisal of the Nation's workforce needs for purposes of national defense. In subsection 2, the Order brings up the non-dormant Draft. It mandates that the Secretary of Labor "upon request by the Director of Selective Service, and in coordination with the Secretary of Defense, assist the Director of Selective Service in development of policies regulating the induction and deferment of persons for duty in the armed services." The Order adds that the Secretary "upon request from the head of an agency with authority under this order, consult with that agency with respect ... to making the exercise of priority and allocations functions consistent with effective utilization and distribution of labor." It goes on to empower "the head of an agency with authority under this order [to] formulate plans, programs, and policies for meeting the labor requirements of actions to be taken for national defense purposes; and estimate training needs to help address national defense requirements and promote necessary and appropriate training programs."
In defining the civil transportation, the Order covers any possible gasoline rationing and vehicle restriction for vehicles that guzzle too much gasoline.
The Order specifies "Civil transportation includes movement of persons and property by all modes of transportation in interstate, intrastate, or foreign commerce within the United States, its territories and possessions, and the District of Columbia, and related public storage and warehousing, ports, services, equipment and facilities. It adds, "Civil transportation" also shall include direction, control, and coordination of civil transportation capacity regardless of ownership" other than "petroleum and gas pipelines, and coal slurry pipelines used only to supply energy production facilities directly." Gasoline rationing and vehicle restriction for poor mileage cars and trucks is a concept already enshrined in the protocols of the Paris-based International Energy Agency. The United States is a member and has signed the treaty that covers such potential restrictions in the event of an oil interruption.
To avoid any doubt, the Order covers "all forms of energy including petroleum, gas (both natural and manufactured), electricity, solid fuels (including all forms of coal, coke, coal chemicals, coal liquification, and coal gasification), solar, wind, other types of renewable energy, atomic energy, and the production, conservation, use, control, and distribution (including pipelines) of all of these forms of energy."
Because any oil interruption would have an immediate impact on the distribution of food, the Order also covers "the production or preparation for market use of food resources." The Order asserts that "food resources" means all commodities and products ... capable of being ingested by either human beings or animals."
The Order explains that "'Special priorities assistance' means action by resource departments to assist with expediting deliveries, placing rated orders, locating suppliers, resolving production or delivery conflicts between various rated orders, addressing problems that arise in the fulfillment of a rated order or other action authorized by a delegated agency, and determining the validity of rated orders." In other words, the control of food and strategic materials, including oil, will be under federal purview, should an emergency occur and the Order invoked.
At press time, administration sources could not be reached to elaborate on the timing of what many see as a year's overdue preparation for an oil interruption. Such an interruption and its disastrous consequence have been threatened for years. In short, for many years there has been no plan. But now apparently, the legal authority to organize a specific plan has been renewed and updated in crystal clarity.
Edwin Black is the New York Times best-selling investigative author of IBM and the Holocaust, Internal Combustion, British Petroleum and the Redline Agreement, and The Plan: How to Save America When the Oil Stops -- or the Day Before (Dialog Press), from which this article is adapted. More information about The Plan can be found at www.planforoilcrisis.com.
