[Federal Register: December 17, 2002 (Volume 67, Number 242)]
[Notices]               
[Page 77318-77320]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr17de02-84]                         


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DEPARTMENT OF THE TREASURY


Customs Service


 
Modification of National Customs Automation Program Test 
Regarding Electronic Presentation of Cargo Declarations


AGENCY: U.S. Customs Service, Department of the Treasury.


ACTION: General notice.


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SUMMARY: This notice announces modifications to the vessel paperless 
manifest program test that provides for the electronic transmission of 
certain vessel cargo declaration information to Customs through the 
Vessel Automated Manifest System (AMS). Specifically, the changes to 
the program test relate to the following: (1) Test participants must 
electronically transmit cargo declaration information to Customs 
through Vessel AMS 24 hours prior to lading the cargo aboard the vessel 
at the foreign port; (2) test participants must electronically transmit 
manifest information on empty containers to Customs through the Empty 
Container Module within Vessel AMS; and (3) Customs is discontinuing 
use of the paperless cargo declaration standards checklist that was 
developed for determining carrier compliance with the test. Public 
comments are invited on any aspect of the program test as further 
modified by today's announcement.


DATES: The effective date for test participants to transmit cargo 
declaration information 24 hours prior to lading the cargo aboard 
vessels at foreign ports is December 2, 2002. The effective date for 
test participants to electronically transmit manifest data on empty 
containers to Customs through the Empty Container Module within Vessel 
AMS is June 2, 2003. Letters requesting participation in the test and 
comments concerning any aspect of the test will continue to be accepted 
throughout the testing period.


ADDRESSES: Written comments regarding the program test and letters 
requesting participation in the program test should be addressed to the 
Manifest and Conveyance Branch, Office of Field Operations, U.S. 
Customs Service, 1300 Pennsylvania Avenue, NW., Room 5.2b, Washington, 
DC 20229.


FOR FURTHER INFORMATION CONTACT: For operational or policy matters: 
Julie Hannan, Manifest and Conveyance Branch, (202-927-1364); or Pete 
Flores, Manifest and Conveyance Branch, (202-927-0333).
    For legal matters: Larry L. Burton, Office of Regulations and 
Rulings, (202-572-8724).


SUPPLEMENTARY INFORMATION:


Background


    On September 10, 1996, Customs published a notice in the Federal 
Register (61 FR 47782) announcing a program test to allow the 
electronic transmission of certain vessel cargo declaration information 
to Customs through the Automated Manifest System (AMS). The September 
10, 1996, notice described the parameters and requirements of the test, 
informed interested members of the public of the eligibility and 
application criteria for participation in the test, and requested 
comments concerning any aspect of the test. The test commenced on 
February 11, 1997, and, by a notice published in the Federal Register 
(62 FR 66719) on December 19, 1997, the program test was extended and 
modified with respect to the presentation of manifest information on 
empty containers. Since its inception, as noted, the test has been 
running successfully with 35 vessel carriers as participants.


Pertinent Aspects of Current Program Test


    As prescribed in the September 10, 1996, program test notice, a 
participating vessel carrier must electronically transmit to Customs 
complete and accurate cargo declaration information no less than 48 
hours prior to the actual arrival of the vessel at a port in the United 
States.
    Furthermore, as modified by the December 19, 1997, notice, the 
program test provided that empty containers were to be manifested 
either by transmitting through the Customs Automated Manifest System 
(AMS) a list of the empty containers on board the


[[Page 77319]]


vessel by port of discharge, or by providing the same list to Customs 
on paper, using a CF (Customs Form) 1302 Cargo Declaration.
    Lastly, it is observed that, in implementing the program test, 
Customs developed a paperless manifest standards checklist for 
determining carrier compliance with all parameters and operating 
procedures established under the program test.


Modifications to the Vessel Paperless Manifest Program Test


    Today's notice announces a number of changes to the above-described 
requirements and operating procedures for the vessel paperless manifest 
program test. These changes to the program test are discussed below.


Presentation of Information 24 Hours Before Foreign Lading


    Most significantly, today's notice modifies the program test to 
provide that test participants must electronically transmit required 
vessel cargo declaration information to Customs 24 hours before the 
cargo is laden aboard the vessel at the foreign port. This modification 
to the program test is necessary to ensure that test participants 
comply with the final rule document published in the Federal Register 
(67 FR 66318) as Treasury Decision (T.D.) 02-62 on October 31, 2002. 
The final rule document, T.D. 02-62, amended the Customs Regulations 
principally to require that vessel cargo declaration information be 
presented to Customs at least 24 hours prior to lading the cargo aboard 
the vessel at the foreign port.
    In this regard, it is noted that T.D. 02-62 expressly informed the 
public that the vessel paperless manifest program test would be amended 
by the effective date of the final rule (December 2, 2002) so as to 
require participants in the test to abide by the 24-hour requirement 
for presenting required vessel cargo declaration information to Customs 
(67 FR at 66324). As explained in the final rule document, such advance 
presentation of vessel cargo declaration information to Customs is 
required and urgently needed in order to enable Customs to evaluate the 
risk of smuggling weapons of mass destruction through the use of 
oceangoing cargo containers before goods are loaded on vessels at a 
foreign port for importation into the United States, and for 
enforcement of other Customs law violations.


Electronic Presentation of Empty Container Lists


    Vessel carriers participating in the program test must 
electronically transmit to Customs lists of empty containers that are 
carried aboard any of their vessels destined for the United States. 
Also, any vessel carrier participating in the test that slot charters a 
vessel destined for the United States must electronically transmit any 
required lists of empty containers carried aboard the vessel for which 
that carrier is responsible. It is noted that there is no requirement 
that a bill of lading be associated with any empty container 
manifesting under the program test.
    Moreover, as made clear in T.D. 02-62 (67 FR at 66328), all 
participants in the vessel paperless manifest program test must 
continue to file an empty container list with Customs 48 hours prior to 
the arrival of the vessel in the United States.


Lists Presented Through Empty Container Module of Automated Manifest 
System


    Beginning June 2, 2003, the electronic transmission of such empty 
container lists to Customs must be effected through the Empty Container 
Module of the Customs Vessel Automated Manifest System (AMS). To 
successfully effect such transmissions and continue participation in 
this empty container manifest program, test participants using the 
American National Standards Institute, Accredited Standards Committee 
X12 (ANSI, ASCX12) electronic format must convert to the latest version 
of that format (4010).


Initial Empty Container List; Re-Transmitted Lists for Intermediate 
Ports


    Specifically, 48 hours prior to the arrival of a vessel at the 
first port in the United States, the test participant, beginning June 
2, 2003, must electronically transmit to Customs through the Empty 
Container Module an initial list of all empty containers carried aboard 
the vessel, regardless of their anticipated port(s) of unlading. The 
electronically transmitted list must also reflect the foreign port of 
loading of each empty container.
    Furthermore, if the vessel is thereafter proceeding coastwise, 
within 24 hours after the time of the vessel's arrival at the first 
United States port, and at least two hours prior to its estimated time 
of arrival at the next United States port, the test participant must 
retransmit the empty container list indicating all empty containers 
remaining on board the vessel from foreign as well as those domestic 
containers which were laden aboard at the previous United States port 
and which are to be discharged either at other United States ports or 
at foreign destinations. This same procedure of re-transmitting an 
updated listing of empty containers to Customs must be repeated for 
each intermediate port at which the vessel calls in the United States.
    In addition, if empty containers were laden aboard the vessel at 
any preceding United States port, the re-transmitted empty container 
list must reflect the specific United States port where those 
containers were laden and, if applicable, the domestic port where such 
containers are to be discharged from the vessel. To accomplish this, 
the Census Schedule D code for the domestic port of lading or 
discharge, if applicable, must be included in the re-transmitted list 
in connection with such containers; these codes may be found in the 
port record (P01/P4).


Final Empty Container List After Arrival at Last United States Port


    After the vessel has arrived at its last United States port of call 
and before the vessel proceeds foreign, the test participant is 
required to transmit a final updated empty container list that must 
enumerate all empty containers then aboard the vessel; and if any of 
those containers were laden either at any preceding United States port 
and/or at the last United States port of call, the final empty 
container list must again specify each port where such containers were 
laden, with reference to the Census Schedule D code for that port. 
Customs presumes that all the empty containers in this final listing 
will be carried foreign.


Exception for Vessel Transporting Only Empty Containers


    For any vessel destined to the United States carrying only empty 
containers, a test participant may transmit only one empty container 
list without also having to transmit the electronic equivalent of a 
cargo declaration for such containers; the empty container list must be 
transmitted 48 hours prior to the arrival of the vessel at the first 
port in the United States. However, if the vessel will call at multiple 
ports in the United States, an electronic equivalent of a cargo 
declaration covering all the ports at which the vessel will call in the 
United States must be transmitted to Customs prior to the submission of 
the empty container list.


Error in Transmitting Empty Container List


    Customs wishes to advise that if the Empty Container Module 
registers or detects any error or omission in connection with 
information transmitted for any container included on an electronic 
empty container list,


[[Page 77320]]


the entire list will fail to be processed through the system. In such a 
case, the information for the container must be corrected or included 
on the list and the list re-transmitted to Customs in its entirety.


Release of Empty Containers Unladen at a Port


    Any empty containers that are unladen at a United States port will 
be considered automatically released from Customs custody, unless the 
local Customs office indicates by physical means (by telephone or 
facsimile notification) that some empty containers are to be held. No 
electronic status notifications will be generated related to the empty 
container list transmitted. The AMS Empty Container Module does not 
allow electronic holds to be placed on empty containers.


Evaluations of Carrier Compliance; Checklists


    In implementing the program test, Customs developed a paperless 
manifest standards checklist for determining carrier compliance with 
all test parameters and operating procedures required under the program 
test. However, this paperless manifest standards checklist and 
associated reviews that were established to evaluate carrier 
performance in the program test are being discontinued.
    Anyone interested in participating in the test should refer to the 
test notice published in the September 10, 1996, Federal Register for 
eligibility and application information.


    Dated: November 26, 2002.
Jayson P. Ahern,
Assistant Commissioner, Office of Field Operations.
[FR Doc. 02-31623 Filed 12-16-02; 8:45 am]

BILLING CODE 4820-02-P