USC Subpart B

USC Subpart B
in effect

19 U.S.C. § 1411 National Customs Automation Program

(a) EstablishmentThe Secretary shall establish the National Customs Automation Program (hereinafter in this subpart referred to as the “Program”) which shall be an automated and electronic system for processing commercial importations and shall include the following existing and planned components:(1) Existing components:(A) The electronic entry of merchandise. (B) The electronic entry summary of required information. (C) The electronic transmission of invoice information. (D) The electronic transmission of manifest information. (E) Electronic payments of duties, fees, and taxes. (F) The electronic status of liquidation and reliquidation. (G) The electronic selection of high risk entries for examination (cargo selectivity and entry summary selectivity). (2) Planned components:(A) The electronic filing and status of protests. (B) The electronic filing (including remote filing under section 1414 of this title) of entry information with the Customs Service at any location. (C) The electronic filing of import activity summary statements and reconciliation. (D) The electronic filing of bonds. (E) The electronic penalty process. (F) The electronic filing of drawback claims, records, or entries. (G) Any other component initiated by the Customs Service to carry out the goals of this subpart. (b) Participation in ProgramThe Secretary shall by regulation prescribe the eligibility criteria for participation in the Program. The Secretary may, by regulation, require the electronic submission of information described in subsection (a) or any other information required to be submitted to the Customs Service separately pursuant to this subpart. (c) Foreign-trade zonesNot later than January 1, 2000, the Secretary shall provide for the inclusion of commercial importation data from foreign-trade zones under the Program. (d) International Trade Data System(1) Establishment(A) In generalThe Secretary of the Treasury (in this subsection, referred to as the “Secretary”) shall oversee the establishment of an electronic trade data interchange system to be known as the “International Trade Data System” (ITDS). The ITDS shall be implemented not later than the date that the Automated Commercial Environment (commonly referred to as “ACE”) is fully implemented. (B) PurposeThe purpose of the ITDS is to eliminate redundant information requirements, to efficiently regulate the flow of commerce, and to effectively enforce laws and regulations relating to international trade, by establishing a single portal system, operated by the United States Customs and Border Protection, for the collection and distribution of standard electronic import and export data required by all participating Federal agencies. (C) Participation(i) In generalAll Federal agencies that require documentation for clearing or licensing the importation and exportation of cargo shall participate in the ITDS. (ii) WaiverThe Director of the Office of Management and Budget may waive, in whole or in part, the requirement for participation for any Federal agency based on the vital national interest of the United States. (D) ConsultationThe Secretary shall consult with and assist the United States Customs and Border Protection and other agencies in the transition from paper to electronic format for the submission, issuance, and storage of documents relating to data required to enter cargo into the United States. In so doing, the Secretary shall also consult with private sector stakeholders, including the Commercial Operations Advisory Committee, in developing uniform data submission requirements, procedures, and schedules, for the ITDS. (E) CoordinationThe Secretary shall be responsible for coordinating the operation of the ITDS among the participating agencies and the office within the United States Customs and Border Protection that is responsible for maintaining the ITDS. (2) Data elements(A) In generalThe Interagency Steering Committee (established under paragraph (3)) shall, in consultation with the agencies participating in the ITDS, define the standard set of data elements to be collected, stored, and shared in the ITDS, consistent with laws applicable to the collection and protection of import and export information. The Interagency Steering Committee shall periodically review the data elements in order to update the standard set of data elements, as necessary. (B) Commitments and obligationsThe Interagency Steering Committee shall ensure that the ITDS data requirements are compatible with the commitments and obligations of the United States as a member of the World Customs Organization (WCO) and the World Trade Organization (WTO) for the entry and movement of cargo. (3) Interagency Steering CommitteeThere is established an Interagency Steering Committee (in this section, referred to as the “Committee”). The members of the Committee shall include the Secretary (who shall serve as the chairperson of the Committee), the Director of the Office of Management and Budget, and the head of each agency participating in the ITDS. The Committee shall assist the Secretary in overseeing the implementation of, and participation in, the ITDS. (4) Information technology infrastructure(A) In generalThe Secretary shall work with the head of each agency participating in the ITDS and the Interagency Steering Committee to ensure that each agency—(i) develops and maintains the necessary information technology infrastructure to support the operation of the ITDS and to submit all data to the ITDS electronically; (ii) enters into a memorandum of understanding, or takes such other action as is necessary, to provide for the information sharing between the agency and U.S. Customs and Border Protection necessary for the operation and maintenance of the ITDS; (iii) not later than June 30, 2016, identifies and transmits to the Commissioner of U.S. Customs and Border Protection the admissibility criteria and data elements required by the agency to authorize the release of cargo by U.S. Customs and Border Protection for incorporation into the operational functionality of the Automated Commercial Environment computer system authorized under section 58c(f)(4) of this title; and (iv) not later than December 31, 2016, utilizes the ITDS as the primary means of receiving from users the standard set of data and other relevant documentation, exclusive of applications for permits, licenses, or certifications required for the release of imported cargo and clearance of cargo for export. (B) Rule of constructionNothing in this paragraph shall be construed to require any action to be taken that would compromise an ongoing law enforcement investigation or would compromise national security. (5) ReportThe President shall submit a report before the end of each fiscal year to the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives. Each report shall include information on—(A) the status of the ITDS implementation; (B) the extent of participation in the ITDS by Federal agencies; (C) the remaining barriers to any agency’s participation; (D) the consistency of the ITDS with applicable standards established by the World Customs Organization and the World Trade Organization; (E) recommendations for technological and other improvements to the ITDS; and (F) the status of the development, implementation, and management of the Automated Commercial Environment within the United States Customs and Border Protection. (6) Sense of CongressIt is the sense of Congress that agency participation in the ITDS is an important priority of the Federal Government and that the Secretary shall coordinate the operation of the ITDS closely among the participating agencies and the office within the United States Customs and Border Protection that is responsible for maintaining the ITDS. (7) ConstructionNothing in this section shall be construed as amending or modifying subsection (g) of section 301 of title 13. (8) DefinitionThe term “Commercial Operations Advisory Committee” means the Advisory Committee established pursuant to section 4316 of this title or any successor committee.

19 U.S.C. § 1412 Program goals

The goals of the Program are to ensure that all regulations and rulings that are administered or enforced by the Customs Service are administered and enforced in a manner that— (1) is uniform and consistent; (2) is as minimally intrusive upon the normal flow of business activity as practicable; and (3) improves compliance.

19 U.S.C. § 1413 Implementation and evaluation of Program

(a) Overall Program plan(1) In generalBefore the 180th day after December 8, 1993, the Secretary shall develop and transmit to the Committees an overall plan for the Program. The overall Program plan shall set forth—(A) a general description of the ultimate configuration of the Program; (B) a description of each of the existing components of the Program listed in section 1411(a)(1) of this title; and (C) estimates regarding the stages on which planned components of the Program listed in section 1411(a)(2) of this title will be brought on-line. (2) Additional informationIn addition to the information required under paragraph (1), the overall Program plan shall include a statement regarding—(A) the extent to which the existing components of the Program currently meet, and the planned components will meet, the Program goals set forth in section 1412 of this title; and (B) the effects that the existing components are currently having, and the effects that the planned components will likely have, on—(i) importers, brokers, and other users of the Program, and (ii) Customs Service occupations, operations, processes, and systems. (b) Implementation plan, testing, and evaluation(1) Implementation planFor each of the planned components of the Program listed in section 1411(a)(2) of this title, the Secretary shall—(A) develop an implementation plan; (B) test the component in order to assess its viability; (C) evaluate the component in order to assess its contribution toward achieving the program goals; and (D) transmit to the Committees the implementation plan, the testing results, and an evaluation report. In developing an implementation plan under subparagraph (A) and evaluating components under subparagraph (C), the Secretary shall publish a request for comments in the Customs Bulletin and shall consult with the trade community, including importers, brokers, shippers, and other affected parties. (2) Implementation(A) The Secretary may implement on a permanent basis any Program component referred to in paragraph (1) on or after the date which is 30 days after paragraph (1)(D) is complied with. (B) For purposes of subparagraph (A), the 30 days shall be computed by excluding—(i) the days either House is not in session because of an adjournment of more than 3 days to a day certain or an adjournment of the Congress sine die, and (ii) any Saturday and Sunday, not excluded under clause (i), when either House is not in session. (3) Evaluation and reportThe Secretary shall—(A) develop a user satisfaction survey of parties participating in the Program; (B) evaluate the results of the user satisfaction survey on a biennial basis (fiscal years) and transmit a report to the Committees on the evaluation by no later than the 90th day after the close of each 2d fiscal year; (C) with respect to the existing Program component listed in section 1411(a)(1)(G) of this title transmit to the Committees—(i) a written evaluation of such component before the 180th day after December 8, 1993, and before the implementation of the planned Program components listed in section 1411(a)(2)(B) and (C) of this title, and (ii) a report on such component for each of the 3 full fiscal years occurring after December 8, 1993, which report shall be transmitted not later than the 90th day after the close of each such year; and (D) not later than the 90th day after the close of fiscal year 1994, and annually thereafter through fiscal year 2000, transmit to the Committees a written evaluation with respect to the implementation and effect on users of each of the planned Program components listed in section 1411(a)(2) of this title. In carrying out the provisions of this paragraph, the Secretary shall publish requests for comments in the Customs Bulletin and shall consult with the trade community, including importers, brokers, shippers, and other affected parties. (c) CommitteesFor purposes of this section, the term “Committees” means the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate.

19 U.S.C. § 1414 Remote location filing

(a) Core entry information(1) In generalA Program participant may file electronically an entry of merchandise with the Customs Service from a location other than the district designated in the entry for examination (hereafter in this section referred to as a “remote location”) if—(A) the Customs Service is satisfied that the participant has the capabilities referred to in paragraph (2)(A) regarding such method of filing; and (B) the participant elects to file from the remote location. (2) Requirements(A) In generalIn order to qualify for filing from a remote location, a Program participant must have the capability to provide, on an entry-by-entry basis, for the following:(i) The electronic entry of merchandise. (ii) The electronic entry summary of required information. (iii) The electronic transmission of invoice information (when required by the Customs Service). (iv) The electronic payment of duties, fees, and taxes. (v) Such other electronic capabilities within the existing or planned components of the Program as the Secretary shall by regulation require. (B) Restriction on exemption from requirementsThe Customs Service may not permit any exemption or waiver from the requirements established by this section for participation in remote entry filing. (3) Conditions on filing under this sectionThe Secretary may prohibit a Program participant from participating in remote location filing, and may remove a Program participant from participation in remote location filing, if the participant—(i) fails to meet all the compliance requirements and operational standards of remote location filing; or (ii) fails to adhere to all applicable laws and regulations. (4) Alternative filingAny Program participant that is eligible to file entry information electronically from a remote location but chooses not to do so in the case of any entry must file any paper documentation for the entry at the designated location referred to in subsection (d). (b) Additional entry information(1) In generalA Program participant that is eligible under subsection (a) to file entry information from a remote location may, if the Customs Service is satisfied that the participant meets the requirements under paragraph (2), also electronically file from the remote location additional information that is required by the Customs Service to be presented before the acceptance of entry summary information and at the time of acceptance of entry summary information. (2) RequirementsThe Secretary shall publish, and periodically update, a list of those capabilities within the existing and planned components of the Program that a Program participant must have for purposes of this subsection. (3) Filing of additional information(A) If information electronically acceptableA Program participant that is eligible under paragraph (1) to file additional information from a remote location shall electronically file all such information that the Customs Service can accept electronically. (B) Alternative filingIf the Customs Service cannot accept additional information electronically, the Program participant shall file the paper documentation with respect to the information at the appropriate filing location. (C) Appropriate locationFor purposes of subparagraph (B), the “appropriate location” is—(i) before January 1, 1999, a designated location; and (ii) after December 31, 1998—(I) if the paper documentation is required for release, a designated location; or (II) if the paper documentation is not required for release, a remote location designated by the Customs Service or a designated location. (D) OtherA Program participant that is eligible under paragraph (1) to file additional information electronically from a remote location but chooses not to do so must file the paper documentation with respect to the information at a designated location. (c) Post-entry summary informationA Program participant that is eligible to file electronically entry information under subsection (a) and additional information under subsection (b) from a remote location may file at any remote location designated by the Customs Service any information required by the Customs Service after entry summary. (d) DefinitionsAs used in this section:(1) The term “designated location” means a customs office located in the customs district designated by the entry filer for purposes of customs examination of the merchandise. (2) The term “Program participant” means, with respect to an entry of merchandise, any party entitled to make the entry under section 1484(a)(2)(B) of this title.

19 U.S.C. § 1415 Mandatory advance electronic information for cargo and other improved customs reporting procedures

(a) Cargo information(1) In general(A) Subject to paragraphs (2) and (3), the Secretary is authorized to promulgate regulations providing for the transmission to the Customs Service, through an electronic data interchange system, of information pertaining to cargo to be brought into the United States or to be sent from the United States, prior to the arrival or departure of the cargo. (B) The Secretary shall endeavor to promulgate an initial set of regulations under subparagraph (A) not later than October 1, 2003. (2) Information requiredThe cargo information required by the regulations promulgated pursuant to paragraph (1) under the parameters set forth in paragraph (3) shall be such information on cargo as the Secretary determines to be reasonably necessary to ensure cargo safety and security pursuant to those laws enforced and administered by the Customs Service. The Secretary shall provide to appropriate Federal departments and agencies cargo information obtained pursuant to paragraph (1). (3) ParametersIn developing regulations pursuant to paragraph (1), the Secretary shall adhere to the following parameters:(A) The Secretary shall solicit comments from and consult with a broad range of parties likely to be affected by the regulations, including importers, exporters, carriers, customs brokers, and freight forwarders, among other interested parties. (B) In general, the requirement to provide particular information shall be imposed on the party most likely to have direct knowledge of that information. Where requiring information from the party with direct knowledge of that information is not practicable, the regulations shall take into account how, under ordinary commercial practices, information is acquired by the party on which the requirement is imposed, and whether and how such party is able to verify the information. Where information is not reasonably verifiable by the party on which a requirement is imposed, the regulations shall permit that party to transmit information on the basis of what it reasonably believes to be true. (C) The Secretary shall take into account the existence of competitive relationships among the parties on which requirements to provide particular information are imposed. (D) Where the regulations impose requirements on carriers of cargo, they shall take into account differences among different modes of transportation, including differences in commercial practices, operational characteristics, and technological capacity to collect and transmit information electronically. (E) The regulations shall take into account the extent to which the technology necessary for parties to transmit and the Customs Service to receive and analyze data in a timely fashion is available. To the extent that the Secretary determines that the necessary technology will not be widely available to particular modes of transportation or other affected parties until after promulgation of the regulations, the regulations shall provide interim requirements appropriate for the technology that is available at the time of promulgation. (F) The information collected pursuant to the regulations shall be used exclusively for ensuring cargo safety and security, preventing smuggling, and commercial risk assessment targeting, and shall not be used for any commercial enforcement purposes, including for determining merchandise entry. Notwithstanding the preceding sentence, nothing in this section shall be treated as amending, repealing, or otherwise modifying title IV of the Tariff Act of 1930 [19 U.S.C. 1401 et seq.] or regulations promulgated thereunder. (G) The regulations shall protect the privacy of business proprietary and any other confidential cargo information provided to the Customs Service pursuant to such regulations, except for the manifest information collected pursuant to section 431 of the Tariff Act of 1930 [19 U.S.C. 1431] and required to be available for public disclosure pursuant to section 431(c) of such Act..11 So in original. (H) In determining the timing for transmittal of any information, the Secretary shall balance likely impact on flow of commerce with impact on cargo safety and security. With respect to requirements that may be imposed on carriers of cargo, the timing for transmittal of information shall take into account differences among different modes of transportation, as described in subparagraph (D). (I) Where practicable, the regulations shall avoid imposing requirements that are redundant with one another or that are redundant with requirements in other provisions of law. (J) The Secretary shall determine whether it is appropriate to provide transition periods between promulgation of the regulations and the effective date of the regulations and shall prescribe such transition periods in the regulations, as appropriate. The Secretary may determine that different transition periods are appropriate for different classes of affected parties. (K)(i) The Secretary shall prescribe regulations requiring the United States Postal Service to transmit the information described in paragraphs (1) and (2) to the Commissioner of U.S. Customs and Border Protection for international mail shipments by the Postal Service (including shipments to the Postal Service from foreign postal operators that are transported by private carrier) consistent with the requirements of this subparagraph. (ii) In prescribing regulations under clause (i), the Secretary shall impose requirements for the transmission to the Commissioner of information described in paragraphs (1) and (2) for mail shipments described in clause (i) that are comparable to the requirements for the transmission of such information imposed on similar non-mail shipments of cargo, taking into account the parameters set forth in subparagraphs (A) through (J). (iii) The regulations prescribed under clause (i) shall require the transmission of the information described in paragraphs (1) and (2) with respect to a shipment as soon as practicable in relation to the transportation of the shipment, consistent with subparagraph (H). (iv) Regulations prescribed under clause (i) shall allow for the requirements for the transmission to the Commissioner of information described in paragraphs (1) and (2) for mail shipments described in clause (i) to be implemented in phases, as appropriate, by—(I) setting incremental targets for increasing the percentage of such shipments for which information is required to be transmitted to the Commissioner; and (II) taking into consideration—(aa) the risk posed by such shipments; (bb) the volume of mail shipped to the United States by or through a particular country; and (cc) the capacities of foreign postal operators to provide that information to the Postal Service. (v)(I) Notwithstanding clause (iv), the Postal Service shall, not later than December 31, 2018, arrange for the transmission to the Commissioner of the information described in paragraphs (1) and (2) for not less than 70 percent of the aggregate number of mail shipments, including 100 percent of mail shipments from the People’s Republic of China, described in clause (i). (II) If the requirements of subclause (I) are not met, the Comptroller General of the United States shall submit to the appropriate congressional committees, not later than June 30, 2019, a report—(aa) assessing the reasons for the failure to meet those requirements; and (bb) identifying recommendations to improve the collection by the Postal Service of the information described in paragraphs (1) and (2). (vi)(I) Notwithstanding clause (iv), the Postal Service shall, not later than December 31, 2020, arrange for the transmission to the Commissioner of the information described in paragraphs (1) and (2) for 100 percent of the aggregate number of mail shipments described in clause (i). (II) The Commissioner, in consultation with the Postmaster General, may determine to exclude a country from the requirement described in subclause (I) to transmit information for mail shipments described in clause (i) from the country if the Commissioner determines that the country—(aa) does not have the capacity to collect and transmit such information; (bb) represents a low risk for mail shipments that violate relevant United States laws and regulations; and (cc) accounts for low volumes of mail shipments that can be effectively screened for compliance with relevant United States laws and regulations through an alternate means. (III) The Commissioner shall, at a minimum on an annual basis, re-evaluate any determination made under subclause (II) to exclude a country from the requirement described in subclause (I). If, at any time, the Commissioner determines that a country no longer meets the requirements under subclause (II), the Commissioner may not further exclude the country from the requirement described in subclause (I). (IV) The Commissioner shall, on an annual basis, submit to the appropriate congressional committees—(aa) a list of countries with respect to which the Commissioner has made a determination under subclause (II) to exclude the countries from the requirement described in subclause (I); and (bb) information used to support such determination with respect to such countries. (vii)(I) The Postmaster General shall, in consultation with the Commissioner, refuse any shipments received after December 31, 2020, for which the information described in paragraphs (1) and (2) is not transmitted as required under this subparagraph, except as provided in subclause (II) or (III). (II) If remedial action is warranted in lieu of refusal of shipments pursuant to subclause (I), the Postmaster General and the Commissioner shall take remedial action with respect to the shipments, including destruction, seizure, controlled delivery or other law enforcement initiatives, or correction of the failure to provide the information described in paragraphs (1) and (2) with respect to the shipments. (III) Notwithstanding subclause (I), during the period beginning on January 1, 2021, through March 15, 2021, the Postmaster General may accept a shipment without transmission of the information described in paragraphs (1) and (2) if the Commissioner determines, or concurs with the determination of the Postmaster General, that the shipment presents a low risk of violating any relevant United States statutes or regulations, including statutes or regulations relating to the importation of controlled substances such as fentanyl and other synthetic opioids. (viii) Nothing in this subparagraph shall be construed to limit the authority of the Secretary to obtain information relating to international mail shipments from private carriers or other appropriate parties. (ix) In this subparagraph, the term “appropriate congressional committees” means—(I) the Committee on Finance and the Committee on Homeland Security and Governmental Affairs of the Senate; and (II) the Committee on Ways and Means, the Committee on Oversight and Government Reform, and the Committee on Homeland Security of the House of Representatives. (L) Not later than 15 days prior to publication of a final rule pursuant to this section, the Secretary shall transmit to the Committees on Finance and Commerce, Science, and Transportation of the Senate and the Committees on Ways and Means and Transportation and Infrastructure of the House of Representatives a report setting forth—(i) the proposed regulations; (ii) an explanation of how particular requirements in the proposed regulations meet the needs of cargo safety and security; (iii) an explanation of how the Secretary expects the proposed regulations to affect the commercial practices of affected parties; (iv) an explanation of how the proposed regulations address particular comments received from interested parties; and (v) if the Secretary determines to amend the proposed regulations after they have been transmitted to the Committees pursuant to this subparagraph, the Secretary shall transmit the amended regulations to such Committees no later than 5 days prior to the publication of the final rule. (4) Transmission of dataPursuant to paragraph (2), not later than 1 year after August 10, 2005, the Secretary of Homeland Security, after consultation with the Secretary of the Treasury, shall establish an electronic data interchange system through which the United States Customs and Border Protection shall transmit to the Internal Revenue Service information pertaining to cargoes of any taxable fuel (as defined in section 4083 of title 26) that the United States Customs and Border Protection has obtained electronically under its regulations adopted in accordance with paragraph (1). For this purpose, not later than 1 year after August 10, 2005, all filers of required cargo information for such taxable fuels (as so defined) must provide such information to the United States Customs and Border Protection through such electronic data interchange system. (5) Capacity building(A) In generalThe Secretary, with the concurrence of the Secretary of State, and in coordination with the Postmaster General and the heads of other Federal agencies, as appropriate, may provide technical assistance, equipment, technology, and training to enhance the capacity of foreign postal operators—(i) to gather and provide the information required by paragraph (3)(K); and (ii) to otherwise gather and provide postal shipment information related to—(I) terrorism; (II) items the importation or introduction of which into the United States is prohibited or restricted, including controlled substances; and (III) such other concerns as the Secretary determines appropriate. (B) Provision of equipment and technologyWith respect to the provision of equipment and technology under subparagraph (A), the Secretary may lease, loan, provide, or otherwise assist in the deployment of such equipment and technology under such terms and conditions as the Secretary may prescribe, including nonreimbursable loans or the transfer of ownership of equipment and technology. (b) Omitted (c) SecretaryFor purposes of this section, the term “Secretary” means the Secretary of the Treasury. If, at the time the regulations required by subsection (a)(1) are promulgated, the Customs Service is no longer located in the Department of the Treasury, then the Secretary of the Treasury shall exercise the authority under subsection (a) jointly with the Secretary of the Department in which the Customs Service is located.

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