Customs: League seeks changes in "10+2"

NITL (The National Industrial Transportation League) -- Logistics Management, 3/25/2008 11:36:00 AM

The League this week told the Bureau of Customs and Border Protection (CBP) that while it supports the security objectives set forth in the agency’s notice of proposed rulemaking (NPRM) in the advance of trade data program known as “10+2”, many questions and concerns still remain how the program may work in practice. In this respect the League referred to the practical and technical applications of the proposed “Importer Security Filing” (ISF) requirements which is a major
component in the proposed program.

Under the “10+2” proposal, published back in early January, importers will have to file 10 data sets with CBP at least 24 hours prior to foreign lading of ocean cargo onto a vessel bound for the U.S.. Carriers (except for those ships carrying exclusively cargo in bulk) would be required to submit a vessel stowage plan not later than 48 hours after departure from the last foreign port (Notice, January 4). The 10+2 program was the result of two laws, the Safe Port Act and Trade Act of 2002. The League’s comments focused on the requirements applicable to importers in preparing and electronically filing the ISF with CBP.

According to several sources, the ISF will affect some 850,000 importers who will be required to file this document with CBP. In its comments the League said it supports:

• the views set forth by the industry/ advisory group to CBP known as the Departmental Advisory Committee on the Commercial Operations of U.S. Customs and Border Protection and Related Homeland Security Functions (COAC);
• the adoption of the “10+2” requirements as an Interim Final Rule, which will allow CBP to collect additional comments from the trade community following
  implementation of the rule and to modify the rule in the future, if necessary;
• elimination, or at least substantial reduction of civil penalties for noncompliance with ISF requirements, which as currently proposed are discriminatory
  and unduly burdensome;
• clarification of certain ISF data elements, including required technical specifications for reporting data to CBP;
• the issuance by CBP of an electronic confirmation that an ISF has been filed which includes a unique identifier;
• clarification of the requirements and process for amending ISFs;
• clarification within the proposed rule that ISF data will be used solely for security purposes and will not be used for commercial enforcement purposes; and,
• coordination of the “10+2” data elements with the World Customs Organization SAFE Framework of Standards.

The League’s views were formulated under the direction of Bill O’Connor of UPS Supply Chain Solutions and Chairman of the Select Committee on Security. Mr. O’Connor organized a special sub-committee composed of shippers, importers, freight forwarders, and carrier members. Over the course of the last three months, Mr. O’Connor held multiple conference calls with these members to formulate views and positions which could be incorporated in the League’s comments. Click here for a complete copy of the League’s comments.

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