[Federal Register: December 2, 2002 (Volume 67, Number 231)]
[Proposed Rules]
[Page 71510-71512]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr02de02-37]
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DEPARTMENT OF THE TREASURY
Customs Service
19 CFR Parts 101 and 122
Customs Service Field Organization; Fargo, North Dakota
AGENCY: Customs Service, Treasury.
[[Page 71511]]
ACTION: Notice of proposed rulemaking.
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SUMMARY: This document proposes to amend the Customs Regulations
pertaining to Customs field organization by establishing a new port of
entry at Fargo, North Dakota. The new port of entry would include
Hector International Airport, located in the city of Fargo, Cass
County, North Dakota, which is currently operated as a user-fee
airport, and a portion of Clay County in Minnesota. This change will
assist the Customs Service in its continuing efforts to provide better
service to carriers, importers, and the general public.
DATES: Comments must be received on or before January 31, 2003.
ADDRESSES: Written comments may be addressed to the U.S. Customs
Service, Office of Regulations and Rulings, Attention: Regulations
Branch, 1300 Pennsylvania Avenue, NW., Washington, DC 20229. Submitted
comments may be inspected at U.S. Customs Service, 799 9th Street, NW.,
Washington, DC, during regular business hours. Arrangements to inspect
submitted comments should be made in advance by calling Mr. Joseph
Clark at (202) 572-8768.
FOR FURTHER INFORMATION CONTACT: Richard L. Balaban, Mission Support,
Office of Field Operations, (202) 927-0031.
SUPPLEMENTARY INFORMATION:
Background
As part of its continuing efforts to provide better service to
carriers, importers, and the general public, Customs is proposing to
amend Sec. 101.3(b)(1) of the Customs Regulations (19 CFR 101.3(b)(1))
by establishing a new port of entry at Fargo, North Dakota. The new
port of entry would include Hector International Airport, located in
the city of Fargo, Cass County, North Dakota, which currently operates
and is listed as a user-fee airport at Sec. 122.15(b) of the Customs
Regulations (19 CFR 122.15(b)). A portion of Clay County in Minnesota
would also be part of the proposed port. This proposed change of status
for Hector International Airport from a user fee airport to being
included within the boundaries of a port of entry would subject the
airport to the passenger processing fee provided for at 19 U.S.C.
58c(a)(5)(B).
Port of Entry Criteria
The criteria considered by Customs in determining whether to
establish a port of entry are found in T.D. 82-37 (47 FR 10137), as
revised by T.D. 86-14 (51 FR 4559) and T.D. 87-65 (52 FR 16328). Under
these criteria, Customs will evaluate whether there is a sufficient
volume of import business (actual or potential) to justify the expense
of maintaining a new office or expanding service at an existing
location. Specifically, Customs will consider if the proposed port of
entry location can:
(1) Demonstrate that the benefits to be derived justify the Federal
Government expense involved;
(2) Except in the case of land border ports, be serviced by at
least two major modes of transportation (rail, air, water, or highway);
and
(3) Except in the case of land border ports, have a minimum
population of 300,000 within the immediate service area (approximately
a 70-mile radius).
In addition, at least one of the following actual or potential
workload criteria (minimum number of transactions per year) must be met
in the area to be serviced by the proposed port of entry:
(1) 15,000 international air passengers;
(2) 2,500 (formal) consumption entries, with the applicant location
committing to optimal use of electronic data input means to permit
integration with any Customs system for electronic processing of
entries, with no more than half of the 2,500 entries being attributed
to one private party;
(3) For land border ports, 150,000 vehicles;
(4) 2,000 scheduled international aircraft arrivals (passengers
and/or crew);
(5) 350 cargo vessel arrivals; or
(6) Any appropriate combination of the above.
Finally, facilities at the proposed port of entry must include,
where appropriate, wharfage and anchorage adequate for oceangoing
vessels in the case of a water port, cargo and passenger facilities,
warehouse space for the secure storage of imported cargo pending final
Customs inspection and release, and administrative office space,
inspection areas, storage areas, and other space as necessary for
regular Customs operations.
In certain cases, where the potential workload at a given location
shows pronounced growth, Customs will consider granting conditional
port-of-entry status to the location, pending further review of the
actual workload generated within the new port of entry. See T.D. 96-3
and 97-64.
Fargo's Workload Statistics
The proposal in this document to establish Fargo, North Dakota as a
port of entry is based on Customs analysis of the following
information:
1. Fargo is serviced by three modes of transportation:
(a) Rail (the Burlington Northern Santa Fe railroad);
(b) air (at Hector International Airport, two passenger carriers
(Northwest and United Express) and five courier-delivery carriers (Air
Bourne Express, Corporate Express, DHL, FED EX, and UPS); and
(c) highway (two U.S. interstate highways: I-29 and I-94);
2. The Fargo, North Dakota area has a population of approximately
175,000, with the potential to increase even further;
3. Regarding the five actual or potential workload criteria:
(a) Hector International Airport had 2,911 international air
passengers for FY 2001, an increase of 61% over FY 2000;
(b) Hector International Airport had 151 formal consumption entries
for FY 2001, with no single company accounting for more than half of
the projected entries; and
(c) Hector International Airport had 814 scheduled international
aircraft arrivals for FY 2001, an increase of 65% over FY 2000.
Customs believes that significant benefits would be provided to the
North Dakota business community by creating a port of entry at Fargo
and that the cost of providing the services of one full-time and one
part-time Customs official would be minimal to the Federal Government.
Customs believes that the Fargo-area community is committed to
making optimal use of electronic data transfer capability to permit
integration with the Customs Automated Commercial System for processing
entries. In addition, Customs has been informed that the Fargo-area
community is developing adequate cargo and passenger facilities, that
passenger areas can be secured to accommodate international arrival
passenger clearance, and that there are several warehouse facilities in
close proximity to Hector International Airport that are being
developed for the secure storage of cargo pending inspection and
release by Customs. The Fargo-area community is also committed to
providing administrative office space, inspection areas, storage areas,
and other space necessary for regular Customs operations and will also
furnish the Customs office with necessary communications equipment such
as a computer, a telephone, a facsimile machine, and computer lines as
well as access to photocopiers.
[[Page 71512]]
Conditional Status
Based on the information above and the level and pace of
development in the Fargo area, Customs believes that there is
sufficient justification for the establishment of Fargo, North Dakota,
as a port of entry on a conditional basis. If, after reviewing the
public comments, Customs decides to create a port of entry at Fargo and
terminate Hector International Airport's designation as a user-fee
airport, then Customs will notify the airport of that determination in
accordance with the provisions of 19 CFR 122.15(c). However, it is
noted that this proposal relies on potential, rather than actual,
workload figures. Therefore, even if the proposed port of entry
designation is adopted as a final rule, in 1 year Customs will review
the actual workload generated within the new port of entry. If that
review indicates that the actual workload is below the T.D. 82-37
standards, as amended, procedures may be instituted to revoke the port
of entry status. In such case, the airport may reapply to become a
user-fee airport under the provisions of 19 U.S.C. 58b.
Description of Proposed Port of Entry Limits
The geographical limits of the proposed Fargo port of entry would
be as follows:
In Cass County, North Dakota: Northern boundary Cass County highway 20,
Southern boundary U.S. Interstate 94, Western boundary U.S. Interstate
29
In Clay County, Minnesota: Northern boundary Clay County highway 22,
Southern boundary U.S. Interstate 94, Eastern boundary Clay County
highway 11
Proposed Amendments
If the proposed port of entry designation is adopted, the list of
Customs ports of entry at Sec. 101.3(b)(1) will be amended to add
Fargo as a port of entry in North Dakota, and Hector International
Airport will be deleted from the list of user-fee airports at Sec.
122.15(b).
Comments
Before adopting this proposal as a final rule, consideration will
be given to any written comments timely submitted to Customs, including
comments on the clarity of this proposed rule and how it may be made
easier to understand. Comments submitted will be available for public
inspection in accordance with the Freedom of Information Act (5 U.S.C.
552), Sec. 1.5 of the Treasury Department Regulations (31 CFR 1.5),
and Sec. 103.11(b) of the Customs Regulations (19 CFR 103.11(b)), on
regular business days between the hours of 9 a.m. and 4:30 p.m. at the
Regulations Branch, Office of Regulations and Rulings, U.S. Customs
Service, 799 9th Street, NW., Washington, DC Arrangements to inspect
submitted comments should be made in advance by calling Mr. Joseph
Clark at (202) 572-8768.
Authority
This change is proposed under the authority of 5 U.S.C. 301 and 19
U.S.C. 2, 66, and 1624.
The Regulatory Flexibility Act and Executive Order 12866
Customs routinely establishes, expands, and consolidates Customs
ports of entry throughout the United States to accommodate the volume
of Customs-related activity in various parts of the country. Although
this document is being issued with notice for public comment, it is not
subject to the notice and public procedure requirements of 5 U.S.C. 553
because it relates to agency management and organization. Accordingly,
this document is not subject to the provisions of the Regulatory
Flexibility Act (5 U.S.C 601 et seq.). Further, matters involving
agency management and organization are not subject to Executive Order
12866.
Drafting Information
The principal author of this document was Gregory R. Vilders,
Attorney, Office of Regulations and Rulings, Regulations Branch.
However, personnel from other offices participated in its development.
Robert C. Bonner,
Commissioner of Customs.
Approved: November 25, 2002.
Timothy E. Skud,
Deputy Assistant Secretary of the Treasury.
[FR Doc. 02-30356 Filed 11-29-02; 8:45 am]
BILLING CODE 4820-02-P