Rule2021-21121
Manufacture, Sale, Wear, and Quality Control of Heraldic Items
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
October 4, 2021
Effective
November 3, 2021
Issuing agencies
Defense DepartmentArmy Department
Abstract
The Department of the Army is finalizing its regulation describing the Army Heraldic Quality Control Program and the certification process for manufacturers in order to make Military Insignia. The rule establishes procedures governing the manufacture, commercial sale, reproduction, possession, and wear of military decorations, medals, badges, insignia and their components and appurtenances also discussed is the five-year renewal period for manufacturer certification and insignia authorizations and the procedure for authorizing the use of insignia on commercial items.
Full Text
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<title>Federal Register, Volume 86 Issue 189 (Monday, October 4, 2021)</title>
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[Federal Register Volume 86, Number 189 (Monday, October 4, 2021)]
[Rules and Regulations]
[Pages 54615-54620]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-21121]
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DEPARTMENT OF DEFENSE
Department of the Army
32 CFR Part 507
[Docket ID: USA-2018-HQ-0016]
RIN 0702-AA70
Manufacture, Sale, Wear, and Quality Control of Heraldic Items
AGENCY: Department of the Army, Department of Defense (DoD).
ACTION: Final rule.
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SUMMARY: The Department of the Army is finalizing its regulation
describing the Army Heraldic Quality Control Program and the
certification process for manufacturers in order to make Military
Insignia. The rule establishes procedures governing the manufacture,
commercial sale, reproduction, possession, and wear of military
decorations, medals, badges, insignia and their components and
appurtenances also discussed is the five-year renewal period for
manufacturer certification and insignia authorizations and the
procedure for authorizing the use of insignia on commercial items.
DATES: This rule is effective on November 3, 2021.
FOR FURTHER INFORMATION CONTACT: Charles V. Mugno, Office of the
Administrative Assistant to the Secretary of the Army, Director of the
Institute of Heraldry, (571) 515-0320.
SUPPLEMENTARY INFORMATION:
I. Background
a. This final rule revises the Department of the Army's (DA)
regulation, 32 Code of Federal Regulations (CFR) part 507, for
implementing the Army Heraldic Quality Control Program which was last
published on May 18, 1998 (63 FR 27208). The revisions being finalized
include a procedural change to manufacturer certification and insignia
authorizations which add a five-year renewal period for manufacturer
certification and insignia authorizations. This change insures the
manufacturing base is current and insignia is periodically examined for
quality. The second change is to the approving authority for the use of
insignia images in commercial items. Pursuant to Title 10 U.S.C. 2260,
Licensing of intellectual property: Retention of fees, the Secretary of
the Army established the Army Trademark Licensing Program in 2006,
formalizing the process for the licensing of marks owned by the
Department of the Army, including heraldic insignia and other
collective marks.
The authorities for this rule are 10 U.S.C. 7594; 15 U.S.C. 1051 et
seq.; 10 U.S.C. 2260; 18 U.S.C. 701, 704; 36 U.S.C. 901. Title 10
U.S.C. 7594 grants the Secretary of the Army the authority to design
flags, insignia, badges, medals, seals, decorations, guidons,
streamers, finial pieces for flagstaffs, buttons, buckles, awards,
trophies, marks, emblems, rosettes, scrolls, braids, ribbons, knots,
tabs, cords and similar items for other military departments and to
advise other Federal departments and agencies on matters of heraldry.
Title 15 U.S.C. 1051 et seq. is the statutory basis for the ownership
and control of trademarks, service marks, certification marks, and
collective marks. Title 10 U.S.C. 2260 grants the Secretary of the Army
the authority to license trademarks, service marks, certification
marks, and collective marks owned or controlled by the Secretary of the
Army. Title 18 U.S.C. 701 states manufacturing, selling and possession
of any badge, identification card or insignia prescribed by the head of
any department or agency of the United States is unlawful unless
authorized by regulations made pursuant to law. Title 18 U.S.C. 704,
also known as the ``Stolen Valor Act'' makes it illegal for a person to
fraudulently claim having received a valor award specified in the Act,
with the intention of obtaining money, property, or other tangible
benefit by convincing another that he or she received the award. Title
36 U.S.C. 901 grants authority to the Secretary of Defense to approve a
service flag and lapel button for display by members of the immediate
family of an individual serving in the Armed Forces of the United
States during any period of war or hostilities in which the armed
forces are engaged. Persons must apply to the Secretary of Defense for
a license to manufacture and sell the approved service flag. That
authority was delegated in DoD Manual 1348.33 to the Secretary of the
Army. (Available at <a href="https://www.esd.whs.mil/Directives/issuances/dodm/">https://www.esd.whs.mil/Directives/issuances/dodm/</a>.)
II. Summary of Major Provisions
Subpart A--Introduction. Includes discussion on purpose and
applicability; references; provides a list of definitions, terms, and
abbreviations; responsibly; outlines the responsibilities for the
implementation of the program; statutory authority; identifies and
defines the applicable statutes.
Subpart B--Manufacture and Sale of Decorations, Badges, and
Insignia includes discussion on the process to become a certified
manufacturer; provides requirements for the certification of insignia;
discusses process to incorporate designs in commercial articles;
discusses the possession and wear of decoration, service medal, badge,
service ribbon, lapel button, or insignia.
Subpart C--Heraldic Quality Control Program discusses the program
and the controlled heraldic items that fall under the program and
identified insignia that are not authorized for commercial sale. This
subpart also discusses penalties for
[[Page 54616]]
violating the Quality Control Program and how complaints are processed.
Subpart D--License and Manufacture of the Service Flag and Service
Lapel Button describes the application process for approval to make the
Service Flag and Service Lapel Button.
III. Comments and Responses
The proposed rule was published in the Federal Register on June 12,
2020 (85 FR 35846-35852) for a 60-day comment period. The Department of
the Army received 1 comment. The comment was not pertinent to the rule,
so no action was taken and this rule is being finalized with no changes
from the proposed rule.
Expected Impact of the Final Rule
This rule facilitates the Department of the Army Heraldic Quality
Control Program and the manufacturing of all military decorations,
medals, badges, insignia and their components and appurtenances. The
manufacturer certification process requires the manufacturer to submit
four samples of insignia to show they have the capability to make
insignia in accordance with government specifications. The submitted
samples have a negligible value, under ten dollars, and less than five
manufactures apply each year. The recertification process consists of a
review of a manufacturer's performance during the certification period.
There is no cost to the manufacturer for the review and recertification
process.
B. Regulatory Reviews
Regulatory Flexibility Act
The Department of the Army does not expect this rule to have a
significant economic impact on a substantial number of small entities
within the meaning of the Regulatory Flexibility Act, 5 U.S.C. 601, et
seq., because the rule is not creating any new requirements for
manufacturers of military insignia.
Unfunded Mandates Reform Act
The Department of the Army certifies that this action does not
include a mandate that may result in estimated costs to State, local or
tribal governments in the aggregate or the private sector of $100
million or more.
Congressional Review Act, 5 U.S.C. 804(2)
The Congressional Review Act, 5 U.S.C. 801 et seq., as amended by
the Small Business Regulatory Enforcement Fairness Act of 1996,
generally provides that before a rule may take effect, the agency
promulgating the rule must submit a rule report, which includes a copy
of the rule, to each House of the Congress and to the Comptroller
General of the United States. The DoD will submit a report containing
this rule and other required information to the U.S. Senate, the U.S.
House of Representatives, and the Comptroller General of the United
States. A major rule cannot take effect until 60 days after it is
published in the Federal Register. This final rule is not a ``major
rule'' as defined by 5 U.S.C. 804(2).
National Environmental Policy Act
The Department of the Army has determined that this action is not
covered under the National Environmental Policy Act because the rule is
not a major Federal action that significantly affects the quality of
the human environment.
Paperwork Reduction Act
The Department of the Army has determined that the Paperwork
Reduction Act does not apply. Manufacturers wanting to be certified
provide general information already available to the public about the
company such as name, address, points of contact, contact information
and the type of insignia they want to produce. Annually, fewer than
five manufacturers request certification.
Executive Order 12630 (Government Actions and Interference With
Constitutionally Protected Property Rights)
The Department of the Army has determined that Executive Order
12630 does not apply because the rule does not impair private property
rights.
Executive Order 12866 (Regulatory Planning and Review) and Executive
Order 13563 (Improving Regulation and Regulatory Review)
Executive Order 12866 directs agencies to assess all costs and
benefits of available regulatory alternatives and, if regulation is
necessary, to select regulatory approaches that maximize net benefits
(including potential economic, environmental, public health and safety
effects, distributive impacts, and equity). In accordance with the
provisions of Executive Order 12866, this is not significant rule and
was not reviewed by the Office of Management and Budget.
Executive Order 13045 (Protection of Children From Environmental Health
Risk and Safety Risks)
The Department of the Army has determined that Executive Order
13045 does not apply because this substantive action in rulemaking is
neither economically significant nor does the action concern
environment health or safety risks that may disproportionally affect
children.
Executive Order 13132 (Federalism)
The Department of the Army has determined that Executive Order
13132 does not apply because this rule will not have a substantial
effect on the States, on the relationship between the National
Government and the States, or on the distribution of power and
responsibilities among various levels of government.
List of Subjects in 32 CFR Part 507
Decorations, medals, awards.
0
For reasons discussed in the preamble, the Department of the Army
revises 32 CFR part 507 to read as follows:
PART 507--MANUFACTURE, SALE, WEAR, AND QUALITY CONTROL OF HERALDIC
ITEMS
Subpart A--Introduction
Sec.
507.1 Purpose.
507.2 References.
507.3 Explanation of abbreviations and terms.
507.4 Responsibilities.
507.5 Statutory authority.
Subpart B--Manufacture and Sale of Decorations, Badges, and Insignia
507.6 Authority to manufacture.
507.7 Certification of controlled heraldic items.
507.8 Authority to sell.
507.9 Reproduction of designs.
507.10 Incorporation of designs or likenesses of approved designs in
commercial articles.
507.11 Possession and wear.
Subpart C--Heraldic Quality Control Program
507.12 General.
507.13 Controlled heraldic items.
507.14 Articles not authorized for manufacture or commercial sale.
507.15 Violations and penalties.
507.16 Processing complaints of alleged breach of policies.
Subpart D--License and Manufacture of the Service Flag and Service
Lapel Button
507.17 Authority to manufacture.
507.18 Application for licensing.
Authority: 10 U.S.C. 7594; 18 U.S.C 701, 704; 36 U.S.C. 901.
Subpart A--Introduction
Sec. 507.1 Purpose.
This part prescribes the Department of the Army policy governing
the manufacture, commercial sale, reproduction, possession, and wear of
[[Page 54617]]
military decorations, medals, badges, insignia, and their components
and appurtenances. It also establishes the Heraldic Quality Control
Program to improve the appearance of the Army by controlling the
quality of heraldic items purchased from commercial sources.
Sec. 507.2 References.
Related publications are listed in paragraphs (a) through (d) of
this section. (A related publication is merely a source of additional
information. The user does not have to read it to understand this
part.)
(a) Department of Defense Manual 1348.33, Volume 3, Manual of
Military Decorations and Awards: DoD-Wide Personal Performance and
Valor Decorations. (Available at <a href="https://www.esd.whs.mil/Directives/issuances/dodm/">https://www.esd.whs.mil/Directives/issuances/dodm/</a>).
(b) Army Regulation 360-1, Army Public Affairs Program. (Available
at <a href="https://armypubs.army.mil/ProductMaps/PubForm/AR.aspx">https://armypubs.army.mil/ProductMaps/PubForm/AR.aspx</a>).
(c) Army Regulation 670-1, Wear and Appearance of Army Uniforms and
Insignia. (Available at <a href="https://armypubs.army.mil/ProductMaps/PubForm/AR.aspx">https://armypubs.army.mil/ProductMaps/PubForm/AR.aspx</a>).
(d) Army Regulation 840-1, Department of the Army Seal, and Emblem
and Branch of Service Plaques. (Available at <a href="https://armypubs.army.mil/ProductMaps/PubForm/AR.aspx">https://armypubs.army.mil/ProductMaps/PubForm/AR.aspx</a>).
(e) Army Regulation 27-60, Intellectual Property. (Available at
<a href="https://armypubs.army.mil/ProductMaps/PubForm/AR.aspx">https://armypubs.army.mil/ProductMaps/PubForm/AR.aspx</a>).
Sec. 507.3 Explanation of abbreviations and terms.
(a) Abbreviations. (1) CFR--Code of Federal Regulations.
(2) DA--Department of the Army.
(3) DAASA--Deputy Administrative Assistant to the Secretary of the
Army.
(4) DLA--Defense Logistics Agency.
(5) DUI--Distinctive unit insignia.
(6) ID--Identification
(7) MCS--Military Clothing Store.
(8) RDI--Regimental Distinctive Insignia.
(9) ROTC--Reserve Officers' Training Corps.
(10) SSI--Shoulder sleeve insignia.
(11) TIOH--The Institute of Heraldry.
(12) U.S.C.--United States Code.
(b) Terms--(1) Appurtenances. Devices such as stars, letters,
numerals, or clasps worn on the suspension ribbon of the medal, or on
the ribbon bar that indicate additional awards, participation in
specific events, or other distinguishing characteristics of the award.
(2) Awards. An all-inclusive term that consists of any decoration,
medal, badge, ribbon, or appurtenance bestowed on an individual or
unit.
(3) Badge. An award given to an individual for identification
purposes or that is awarded for attaining a special skill or
proficiency. Certain badges are available in full, miniature, and dress
miniature sizes.
(4) Cartoon. A drawing, six times actual size, showing placement of
stitches, color of yarn and number of stitches.
(5) Certified manufacturer. A manufacturer who demonstrated the
capability to manufacture controlled heraldic items according to
Government standards.
(6) Certificate of authority to manufacture. A certificate
assigning manufacturers a hallmark and authorizing manufacture of
heraldic items.
(7) Decoration. An award given to an individual as a distinctively
designed mark of honor denoting heroism or meritorious or outstanding
service or achievement.
(8) Die. The block of steel that is used to form a metal insignia
and is the intricate three dimensional reversed design of the insignia
cut into the surface of a block of steel.
(9) Hallmark. A distinguishing mark consisting of a letter and
numbers assigned to certified manufacturers for use in identifying
manufacturers of insignia.
(10) Heraldic items. All items worn on the uniform to indicate
unit, skill, branch, award or identification and for which a design has
been established by TIOH on an official drawing.
(11) Heraldic Quality Control Program. A program that improves the
public image of the Army by controlling the quality of insignia
purchased from commercial sources.
(12) Hub. The block of steel that is used to form a die and is the
intricate three dimensional raised design of the insignia cut into the
surface of a block of steel.
(13) Lapel button. A miniature enameled replica of an award, which
is worn only on civilian clothing.
(14) Letter of agreement. A letter signed by manufacturers before
certification, stating that the manufacturer agrees to produce heraldic
items in accordance with specific requirements.
(15) Letter of authorization. A letter issued by TIOH that
authorizes the manufacture of a specific heraldic item after quality
assurance inspection of a preproduction sample.
(16) Medal. An award issued to an individual for the performance of
certain duties, acts, or services, consisting of a suspension ribbon
made in distinctive colors and from which hangs a medallion.
(17) Rosette. A lapel device created from gathering the suspension
ribbon of a medal into a circular shape. The device is worn on the
lapel of civilian clothing.
(18) Service medal. An award made to personnel who participated in
designated wars, campaigns, or expeditions or who have fulfilled
specified service requirements in a creditable manner.
(19) Tools. The generic term used for hubs, dies, cartoons, and
drawings used in the manufacture of heraldic items.
(20) Unit award. An award made to an operating unit, which is worn
by members of that unit who participated in the cited action (permanent
unit award).
Sec. 507.4 Responsibilities.
The Director of The Institute of Heraldry (TIOH) will--
(a) Monitor the overall operation of the Heraldic Quality Control
Program.
(b) Establish policy and procedures to:
(1) Certify manufacturers of insignia and plaques.
(2) Control the manufacture and quality assurance of military
decorations, the DA seal and emblem, Branch of Service plaques, and
other heraldic items.
(3) Grant certificates of authority for the manufacture and
commercial sale of Service flags and Service lapel buttons.
(4) Provide heraldic services to the Executive branch, Department
of Defense, and other Federal agencies on a reimbursable basis.
(5) Provide advisory opinions on the use of Army heraldic items for
licensing or other commercial purposes (for example, the Army Emblem,
Army Flag, unit insignia, and items approved for wear on uniforms), at
the request of the Army Trademark Licensing Program.
Sec. 507.5 Statutory authority.
(a) The manufacture, commercial sale, possession, and reproduction
of badges, identification cards, insignia, or other designs prescribed
by the head of a U.S. department or agency, or colorable imitations of
them, are governed by Title 18, United States Code, section 701 (18
U.S.C. 701).
(b) The wear, manufacture, and commercial sale of military
decorations, medals, badges, and their components and appurtenances, or
colorable imitations thereof, are governed by 18 U.S.C. 704.
(c) The Army's providing heraldic services to other Military
departments and Federal agencies is governed by 10 U.S.C. 7594.
[[Page 54618]]
(d) The display of and license to manufacture and sell the approved
Service flag or Service lapel button is governed by 36 U.S.C. 901.
(e) The ownership and licensing of trademarks, service marks, and
collective marks such as DUI, RDI, SSI, and other Army-owned heraldic
insignia are governed by 15 U.S.C. 1051 et seq., and 10 U.S.C. 2260.
Subpart B--Manufacture and Sale of Decorations, Badges, and
Insignia
Sec. 507.6 Authority to manufacture.
(a) Only manufacturers that TIOH has certified and has issued a
certificate of authority to may produce heraldic items.
(1) TIOH will issue a certificate of authority to manufacturers who
can demonstrate they have the capability to manufacture controlled
heraldic items according to Government specifications or purchase
descriptions through the certification process.
(2) The certificate of authority to manufacture is applicable only
for the individual, firm, or corporation indicated and will be valid
for 5 years.
(3) TIOH will assign a hallmark to each certified manufacturer. All
controlled heraldic items manufactured for commercial sale will bear
the manufacturer's hallmark.
(4) TIOH exclusively uses the ``IOH'' hallmark for the development
of new controlled heraldic items; it is not authorized for use on items
for commercial sale.
(b) A certificate of authority to manufacture may be revoked or
suspended under the procedures prescribed in Sec. 507.16.
(c) A list of certified manufacturers is on the TIOH web page at
<a href="https://tioh.army.mil/">https://tioh.army.mil/</a>.
Sec. 507.7 Certification of controlled heraldic items.
(a) The manufacture and commercial sale of controlled heraldic
items are not authorized until the certified manufacturer receives a
letter of authorization from TIOH. Manufacturers who want to
manufacture and sell controlled heraldic items must submit four
production samples of each item to TIOH for authorization. If TIOH
approves the production samples, it will provide a letter of
authorization to manufacture along with one certified production sample
to the manufacturer. Letters of authorization for certified heraldic
items are valid for 5 years.
(b) The Director of TIOH may revoke or suspend a letter of
authorization for failure to manufacture the heraldic item in
accordance with applicable Government specifications.
Sec. 507.8 Authority to sell.
No certificate of authority to manufacture is required for selling
controlled heraldic items listed in Sec. 507.13. However, all sellers
must ensure that all articles they sell bear hallmarks assigned by TIOH
and are manufactured by certified manufacturers in conformance with
applicable Government specifications.
Sec. 507.9 Reproduction of designs.
(a) The photographing or printing of any decoration, service medal,
service ribbon, badge, lapel button, insignia, or other device of a
design the Secretary of the Army has prescribed for members of the Army
to use is authorized, provided that such reproduction does not
discredit the U.S. Army and is not used to defraud or misrepresent the
identification or status of an individual, organization, society, or
other group of persons.
(b) The making or executing in any manner of any engraving,
impression, or colorable imitation in the likeness of any decoration,
service medal, service ribbon, badge, lapel button, insignia, or other
device of a design the Secretary of the Army has prescribed for members
of the Army to use is prohibited without prior approval in writing from
the Army Trademark Licensing Program.
(c) Except when used to illustrate a particular article that is
offered for commercial sale, Army Regulation 360-1, paragraph 8-9e,
prohibits the use of Army themes, material, uniforms, or insignia in
advertisements and promotions for entertainment-oriented products that
could imply Army endorsement of the product. Direct requests to the
Chief, Public Affairs (SAPA-ZA), 1500 Army Pentagon, Washington, DC
20310-1500.
Sec. 507.10 Incorporation of designs or likenesses of approved
designs in commercial articles.
(a) Federal law and Army policy restrict the use of military
designs. The manufacture of articles for commercial sale that
incorporate designs or likenesses of decorations, service medals,
service ribbons, and lapel buttons is prohibited. Certain designs or
likenesses of insignia, such as badges or organizational insignia, may
be incorporated in articles manufactured for commercial sale, provided
that the Army Trademark Licensing Program has granted permission in
writing as specified in paragraph (b) of this section.
(b) The Army Trademark Licensing Program is responsible for
reviewing requests for permission to incorporate certain insignia and
other Army-owned marks in articles manufactured for commercial sale.
Requests should be directed to the Director, Army Trademark Licensing
Program, 2530 Crystal Drive, Suite 12140, Arlington, VA 22202-3934.
Sec. 507.11 Possession and wear.
(a) The wearing of any decoration, service medal, badge, service
ribbon, lapel button, or insignia that the Army has prescribed or
authorized by any person not properly authorized to wear such device or
the use of any decoration, service medal, badge, service ribbon, lapel
button, or insignia to misrepresent the identification or status of the
person by whom such is worn is prohibited. Any person who violates this
paragraph (a) is subject to punishment as prescribed in the statutes
referred to in Sec. 507.5.
(b) Mere possession by a person of any of the articles prescribed
in Sec. 507.13 (except identification cards) is authorized, provided
that such possession is not used to defraud or misrepresent the
identification or status of the individual concerned.
(c) Articles specified in Sec. 507.13, or any distinctive parts
(including suspension ribbons and service ribbons) or colorable
imitations thereof, will not be used by any organization, society, or
other group of persons without prior approval in writing by the Army
Trademark Licensing Program as specified in Sec. 507.10(b).
Subpart C--Heraldic Quality Control Program
Sec. 507.12 General.
The Heraldic Quality Control Program provides a method for ensuring
that controlled heraldic items are manufactured by certified
manufacturers in accordance with Government specifications. The design
of metal insignia will be an exact duplicate of the design of the
Government die or loaned hub from which the certified manufacturer's
working die is extracted. The design of textile insignia will be
embroidered in accordance with Government-furnished specification and
cartoon.
Sec. 507.13 Controlled heraldic items.
(a) Controlled heraldic items will be manufactured in accordance
with Government specifications, using Government loaned hubs, dies, or
cartoons, by TIOH-certified manufacturers.
(b) The heraldic items listed in paragraphs (b)(1) through (13) of
this section are controlled and authorized for manufacture and
commercial sale
[[Page 54619]]
under the Heraldic Quality Control Program when specifically authorized
by TIOH.
(1) All authorized appurtenances and devices for decorations,
medals, and ribbons such as oak leaf clusters, service stars,
arrowheads, ``V'' device, and clasps.
(2) Combat, special skill, and qualification badges and bars.
(3) Identification badges.
(4) All approved Shoulder Sleeve Insignia.
(5) All approved Distinctive Unit Insignia.
(6) All approved Regimental Distinctive Insignia.
(7) All approved Combat Service Identification Badges.
(8) Fourrag[egrave]res and lanyards.
(9) Lapel buttons.
(10) Decorations, service medals, and ribbons, except for the Medal
of Honor.
(11) Replicas of decorations and service medals for grave markers.
Replicas are to be at least twice the size prescribed for decorations
and service medals.
(12) Service ribbons and unit awards.
(13) Rosettes, except for the Medal of Honor.
(c) Deviations from the prescribed specifications for the items
listed in paragraph (b) of this section are not permitted without prior
approval, in writing, by TIOH.
(d) Hubs, dies, and cartoons are not provided to manufacturers for
the following items. However, manufacturing will be in accordance with
the Government-furnished drawing.
(1) Shoulder Loop Insignia, Reserve Officers' Training Corps
(ROTC), U.S. Army.
(2) Institutional SSI, ROTC, U.S. Army.
(3) Background trimming/flashes, U.S. Army.
(4) Hand-embroidered bullion insignia.
Sec. 507.14 Articles not authorized for manufacture or commercial
sale.
The following articles are not authorized for manufacture and
commercial sale, except under contract with the Defense Logistics
Agency, Troop Support (DLA Troop Support):
(a) The Medal of Honor.
(b) Service ribbon for the Medal of Honor.
(c) Medal of Honor Rosette.
(d) Medal of Honor Flag.
(e) Military Department Service flags (prescribed in Army
Regulation 840-10).
(f) Articles for commercial sale that incorporate designs or
likenesses of insignia listed in Sec. 507.13, except when authorized
in writing by the Army Trademark Licensing Program as specified in
Sec. 507.10(b).
Sec. 507.15 Violations and penalties.
(a) TIOH will revoke a certificate of authority to manufacture when
the holder intentionally violates any of the provisions of this part or
does not comply with the agreement the manufacturer signed to receive a
certificate.
(b) Violations are also subject to penalties as prescribed in the
statutes referred to in Sec. 507.5.
(c) Repetition or continuation of violations after official notice
will be deemed as corroborating evidence of intentional violation.
Sec. 507.16 Processing complaints of alleged breach of policies.
(a) Suspension or revocation of a certificate of authority to
manufacture. TIOH may suspend or revoke a certificate of authority to
manufacture if the manufacturer breaches quality control policies. The
term ``quality control policies'' includes the obligation of a
manufacturer to produce insignia in accordance with all applicable
Government specifications, manufacturing drawings, and cartoons and
other applicable instructions TIOH provided. Breaches of quality
control policies may be identified by TIOH through the Quality Control
Inspection Program or through registered complaints to TIOH.
(b) Reporting alleged breach of quality control. Complaints and
reports of an alleged breach of quality control policies will be
forwarded to the Director, The Institute of Heraldry, 9325 Gunston
Road, Room S113, Fort Belvoir, VA 22060-5579.
(c) Informal investigation of allegations. The Director may decide
to suspend or revoke a certificate of authority to a manufacture based
on evidence gathered during a TIOH heraldic quality control inspection
or from a registered complaint. The Director may initiate an informal
investigation of an allegation of breach(es) of the heraldic quality
control policy.
(d) Heraldic Quality Control Inspection Program. (1) TIOH will
conduct periodic quality control inspections of on hand stocks of
heraldic items maintained by:
(i) Exchange military clothing stores.
(ii) Certified manufacturers.
(2) Upon completion of quality control inspections, TIOH will
provide a report of deficiencies to the appropriate retail outlet or
Commander, DLA Troop Support, and the certified manufacturer
responsible for the production of the item. The notification to the
manufacturer will require assurances of compliance with quality control
policies. The report of deficiencies will be reviewed upon
recertification of the manufacturer. Any recurrence of the same breach
will be considered a refusal to perform, and the Director will take
further action to suspend or revoke certification.
(e) Complaint of alleged breach of quality control policy. (1) If
an investigation is initiated, the appointed investigator will
impartially ascertain facts and gather appropriate evidence to
substantiate or invalidate allegations of impropriety. The investigator
will submit a report containing a summarized record of the
investigation with findings of each allegation and supporting evidence
to the Director.
(2) If the investigation substantiates allegation(s) of a breach of
quality control, the Director will notify the manufacturer in writing
that the Director is contemplating suspending or revoking the
certificate. The notification will include:
(i) The specific allegations and findings of the investigator;
(ii) All evidence provided to the Director in the investigation;
(iii) A citation to this part as the authority under which the
Director may suspend or revoke the certificate of authority if the
situation warrants after the manufacturer has had an opportunity to
reply;
(iv) What actions, if the allegations are undisputed, are required
to provide adequate assurance that future performance will conform to
quality control policies;
(v) The right to reply within 45 days of receipt of the
notification in order to submit additional materials and evidence for
consideration, to refute the allegations, or provide assurances that
future performance will conform to quality control policies; and
(vi) That a failure to reply within 45 days, or if there is any
recurrence of the same breach will be considered a refusal to perform,
and the Director will take further action to suspend or revoke
certification.
(f) Refusal to perform. (1) If the manufacturer fails to reply
within a reasonable time to the letter authorized by paragraph (e) of
this section, refuses to give adequate assurances that future
performance will conform to quality control policies, indicates by
subsequent conduct that the breach is continuous or repetitive, or
disputes the allegations of breach, the Director will
[[Page 54620]]
direct that a public hearing be conducted on the allegations.
(2) A hearing examiner will be appointed by appropriate orders. The
examiner may be either a commissioned officer or a civilian employee
above the grade of GS-7.
(3) The specific written allegations, together with other pertinent
material, will be transmitted to the hearing examiner for introduction
as evidence at the hearing.
(4) For failure to return a loaned tool, manufacturers may be
suspended without referral to a hearing specified in paragraph (f)(1)
of this section; however, the manufacturer will be advised, in writing,
that tools are overdue and suspension will take effect if tools are not
returned within the specified time.
(g) Notification to the manufacturer by examiner. Within a 7-day
period following the receipt by the examiner of the allegations and
other pertinent material, the examiner will transmit a registered
letter of notification to the manufacturer informing him or her of
the--
(1) Specific allegations.
(2) Directive of the Director requiring the holding of a public
hearing on the allegations.
(3) Examiner's decision to hold the public hearing at a specific
time, date, and place that will be not earlier than 30 days from the
date of the letter of notification.
(4) Ultimate authority of the Director to suspend or revoke the
certificate of authority if the record developed at the hearing so
warrants.
(5) Right to--
(i) A full and fair public hearing.
(ii) Be represented by counsel during the hearing at no cost to the
Government.
(iii) Request a change in the date, time, or place of the hearing,
for purposes of having reasonable time in which to prepare the case.
(iv) Submit evidence and present witnesses in his or her own
behalf.
(v) Obtain at no cost a verbatim transcript of the proceedings,
upon written request filed before the commencement of the hearing.
(h) Public hearing by examiner. (1) At the time, date, and place
designated in accordance with paragraph (g)(3) of this section, the
examiner will conduct the public hearing.
(i) A verbatim record of the proceedings will be maintained.
(ii) All previous material received by the examiner will be
introduced into evidence and made part of the record.
(iii) The Government may be represented by counsel at the hearing.
(2) Subsequent to the conclusion of the hearing, the examiner will
make specific findings on the record before him or her concerning each
allegation.
(3) The complete record of the case will be forwarded to the
Director.
(i) Action by the Director. (1) The Director will review the record
of the hearing and either approve or disapprove the findings.
(2) Upon arrival of a finding of breach of quality control
policies, the manufacturer will be so advised.
(3) After review of the findings, the certificate of authority may
be revoked or suspended. If the certificate of authority is revoked or
suspended, the Director will--
(i) Notify the manufacturer of the revocation or suspension.
(ii) Remove the manufacturer from the list of certified
manufacturers.
(iii) Inform the Army & Air Force Exchange Service (AAFES) and the
Defense Logistics Agency-Troop Support of the action.
(j) Reinstatement of certificate of authority. Upon receipt of
adequate assurance that the manufacturer will comply with quality
control policies, the Director may reinstate a certificate of authority
that has been suspended or revoked.
Subpart D--License and Manufacture of the Service Flag and Service
Lapel Button
Sec. 507.17 Authority to manufacture.
(a) The Secretary of Defense has designated the Secretary of the
Army to grant certificates of authority for the manufacture and
commercial sale of Service flags and Service lapel buttons.
(b) Any person, firm, or corporation that wishes to manufacture the
Service flag or lapel button must apply for a certificate of authority
to manufacture from TIOH.
Sec. 507.18 Application for licensing.
(a) Applicants who want to manufacture and sell Service flags or
Service lapel buttons should contact the Director, The Institute of
Heraldry, 9325 Gunston Road, Room S113, Fort Belvoir, VA 22060-5579, to
obtain an agreement to manufacture, drawings, and instructions for
manufacturing the Service flag and Service lapel button.
(b) Certificates of authority to manufacture Service flags and
Service lapel buttons will be valid for 5 years from the date of
issuance, at which time applicants must reapply for a new certificate
of authority.
James W. Satterwhite Jr.,
Army Federal Register Liaison Officer.
[FR Doc. 2021-21121 Filed 10-1-21; 8:45 am]
BILLING CODE 5061-AP-P
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</html>Indexed from Federal Register on October 4, 2021.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.