REQUEST FOR WAIVER OF SECTION 565 PROHIBITION

UNCLAS HAVANA 001186 SIPDIS SIPDIS E.O. 12958: N/A TAGS: ABLD AFIN AMGT ASUP ECON KBCT PHUM SUBJECT: REQUEST FOR WAIVER OF SECTION 565 PROHIBITION AGAINST CONTRACTING WITH FIRMS THAT COMPLY WITH THE ARAB LEAGUE BOYCOTT OR DISCRIMINATE ON THE BASIS OF RELIGION REF: STATE 166398 ¶1. USINT Havana requests a waiver of Section 565 of Title V, Part C of the Foreign Relations Authorization Act, Fiscal years 1994 and 1995 (PL 103-236) (22 USC 2679c) as it applies to contracts that expend funds appropriated to the Department of State, and that would go to persons who comply with the Arab league Boycott of Israel, or who discriminates in the award of subcontracts on the basis of religion. ¶2. In accordance with the terms of both restrictions, USINT Havana would be required to avoid contracting with the Cuban government, or with entities under the control of the Cuban government. However, the Cuban government requires all diplomatic missions to contract with one government entity, CUBALSE, for all requirements for supplies and services. As the sole supplier to the diplomatic community, there is no option for USINT Havana to seek another source. CUBALSE writes all the contracts itself and does not accept contracts written by others, nor will it accept any additional clauses of any nature by anyone. The Cuban government also restricts severely the importation of goods and services from outside of Cuba. Without local suppliers of goods and services, USINT Havana would be unable to carry out the functions assigned to it as a diplomatic mission. PARMLY