A bipartisan effort to improve trade facilitation is once again moving forward in Congress, where legislation was introduced in the Senate March 12.
For more information on this bill, how it might affect your business, and how to provide your input, please contact Nicole Bivens Collinson at (202) 730-4956 or via email.
“Right now, the entry of goods across our borders is fragmented, costly, slow, and requires redundant data entries across the U.S. government,” a joint press release from Sens. Bill Cassidy, R-La., and Catherine Cortez Masto, D-Nev., said. In response, the Customs Modernization Act (S. 956) would make the following changes “to streamline customs procedures and reduce the regulatory burden on American businesses.”
- require the Department of Homeland Security to ensure that a uniform automated platform provides a system for the processing and release of imported and exported cargo that will ensure that all trade data can be submitted and processed in one place and require that system to (1) be implemented within a year of related congressional appropriations being made available, (2) provide the features envisioned in the 21st Century Customs Framework, and (3) be continuously modernized
- provide requirements for U.S. Customs and Border Protection and other agencies to follow when issuing new regulations requiring the submission of additional data, including considering what data is actually available to businesses, working to avoid redundant data elements, cooperating with the U.S. Postal Service to share information on mail shipments, and taking the views of a diverse set of parties into account
- require CBP to (1) provide a notification when it makes changes to the minimum security criteria requirements necessary for importers to participate in the Customs Trade Partnership Against Terrorism, (2) consult with the trade community on CTPAT handbook updates, and (3) add to that handbook constructive and detailed context for best practices for mitigating forced labor in supply chains
- direct CBP to review its regulations for any current deadlines governing its responsiveness for rulings and decisions and improve them where practicable
- allow for accelerated payment of duty drawback for all claims where a bond is filed securing repayment of 100 percent of the claimed refund and the claimant has provided supporting documentation
- require the issuance of regulations allowing export manifest data and documentation to be submitted prior to departure and require those regulations to avoid any redundant data submission requirements
- clarify that clerical errors in submissions of export data are exempt from penalties so long as they are not part of a pattern of violative conduct (as is already the case for import data)
- require CBP’s Centers of Excellence and Expertise to develop and distribute guidance on compliance with trade laws to improve industry cooperation and transparency
- codify the Border Interagency Executive Council and assign it a number of responsibilities with respect to cargo risk management, electronic submission of documents and payments, trade data, shipment processing and release, and streamlined supply chains
- require the Government Accountability Office to conduct a study of CBP’s tariff and fee schedules and recommend legislative changes to reduce compliance costs and remove unnecessary red tape
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