[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3129 Referred in Senate (RFS)]

  2d Session
                                H. R. 3129


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 23, 2002

     Received; read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 AN ACT


 
To authorize appropriations for fiscal years 2002 through 2004 for the 
United States Customs Service for antiterrorism, drug interdiction, and 
      other operations, for the Office of the United States Trade 
 Representative, for the United States International Trade Commission, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Customs Border Security Act of 
2002''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
                 TITLE I--UNITED STATES CUSTOMS SERVICE

  Subtitle A--Drug Enforcement and Other Noncommercial and Commercial 
                               Operations

Sec. 101. Authorization of appropriations for noncommercial operations, 
                            commercial operations, and air and marine 
                            interdiction.
Sec. 102. Antiterrorist and illicit narcotics detection equipment for 
                            the United States-Mexico border, United 
                            States-Canada border, and Florida and the 
                            Gulf Coast seaports.
Sec. 103. Compliance with performance plan requirements.
    Subtitle B--Child Cyber-Smuggling Center of the Customs Service

Sec. 111. Authorization of appropriations for program to prevent child 
                            pornography/child sexual exploitation.
                  Subtitle C--Miscellaneous Provisions

Sec. 121. Additional Customs Service officers for United States-Canada 
                            border.
Sec. 122. Study and report relating to personnel practices of the 
                            Customs Service.
Sec. 123. Study and report relating to accounting and auditing 
                            procedures of the Customs Service.
Sec. 124. Establishment and implementation of cost accounting system; 
                            reports.
Sec. 125. Study and report relating to timeliness of prospective 
                            rulings.
Sec. 126. Study and report relating to Customs user fees.
Sec. 127. Fees for Customs inspections at express courier facilities.
Sec. 128. National Customs Automation Program.
                  Subtitle D--Antiterrorism Provisions

Sec. 141. Immunity for United States officials that act in good faith.
Sec. 142. Emergency adjustments to offices, ports of entry, or staffing 
                            of the Customs Service.
Sec. 143. Mandatory advanced electronic information for cargo and 
                            passengers.
Sec. 144. Border search authority for certain contraband in outbound 
                            mail.
Sec. 145. Authorization of appropriations for reestablishment of 
                            Customs operations in New York City.
              Subtitle E--Textile Transshipment Provisions

Sec. 151. GAO audit of textile transshipment monitoring by Customs 
                            Service.
Sec. 152. Authorization of appropriations for textile transshipment 
                            enforcement operations.
Sec. 153. Implementation of the African Growth and Opportunity Act.
       TITLE II--OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE

Sec. 201. Authorization of appropriations.
        TITLE III--UNITED STATES INTERNATIONAL TRADE COMMISSION

Sec. 301. Authorization of appropriations.
                    TITLE IV--OTHER TRADE PROVISIONS

Sec. 401. Increase in aggregate value of articles exempt from duty 
                            acquired abroad by United States residents.
Sec. 402. Regulatory audit procedures.

                 TITLE I--UNITED STATES CUSTOMS SERVICE

  Subtitle A--Drug Enforcement and Other Noncommercial and Commercial 
                               Operations

SEC. 101. AUTHORIZATION OF APPROPRIATIONS FOR NONCOMMERCIAL OPERATIONS, 
              COMMERCIAL OPERATIONS, AND AIR AND MARINE INTERDICTION.

    (a) Noncommercial Operations.--Section 301(b)(1) of the Customs 
Procedural Reform and Simplification Act of 1978 (19 U.S.C. 2075(b)(1)) 
is amended--
            (1) in subparagraph (A) to read as follows:
                    ``(A) $899,121,000 for fiscal year 2002.'';
            (2) in subparagraph (B) to read as follows:
                    ``(B) $1,365,456,000 for fiscal year 2003.''; and
            (3) by adding at the end the following:
                    ``(C) $1,399,592,400 for fiscal year 2004.''.
    (b) Commercial Operations.--
            (1) In general.--Section 301(b)(2)(A) of the Customs 
        Procedural Reform and Simplification Act of 1978 (19 U.S.C. 
        2075(b)(2)(A)) is amended--
                    (A) in clause (i) to read as follows:
                    ``(i) $1,606,068,000 for fiscal year 2002.'';
                    (B) in clause (ii) to read as follows:
                    ``(ii) $1,642,602,000 for fiscal year 2003.''; and
                    (C) by adding at the end the following:
                    ``(iii) $1,683,667,050 for fiscal year 2004.''.
            (2) Automated commercial environment computer system.--Of 
        the amount made available for each of fiscal years 2002 through 
        2004 under section 301(b)(2)(A) of the Customs Procedural 
        Reform and Simplification Act of 1978 (19 U.S.C. 
        2075(b)(2)(A)), as amended by paragraph (1), $308,000,000 shall 
        be available until expended for each such fiscal year for the 
        development, establishment, and implementation of the Automated 
        Commercial Environment computer system.
            (3) Reports.--Not later than 90 days after the date of the 
        enactment of this Act, and not later than each subsequent 90-
        day period, the Commissioner of Customs shall prepare and 
        submit to the Committee on Ways and Means of the House of 
        Representatives and the Committee on Finance of the Senate a 
        report demonstrating that the development and establishment of 
        the Automated Commercial Environment computer system is being 
        carried out in a cost-effective manner and meets the 
        modernization requirements of title VI of the North American 
        Free Trade Agreement Implementation Act.
    (c) Air and Marine Interdiction.--Section 301(b)(3) of the Customs 
Procedural Reform and Simplification Act of 1978 (19 U.S.C. 2075(b)(3)) 
is amended--
            (1) in subparagraph (A) to read as follows:
                    ``(A) $177,860,000 for fiscal year 2002.'';
            (2) in subparagraph (B) to read as follows:
                    ``(B) $170,829,000 for fiscal year 2003.''; and
            (3) by adding at the end the following:
                    ``(C) $175,099,725 for fiscal year 2004.''.
    (d) Submission of Out-Year Budget Projections.--Section 301(a) of 
the Customs Procedural Reform and Simplification Act of 1978 (19 U.S.C. 
2075(a)) is amended by adding at the end the following:
    ``(3) By not later than the date on which the President submits to 
Congress the budget of the United States Government for a fiscal year, 
the Commissioner of Customs shall submit to the Committee on Ways and 
Means of the House of Representatives and the Committee on Finance of 
the Senate the projected amount of funds for the succeeding fiscal year 
that will be necessary for the operations of the Customs Service as 
provided for in subsection (b).''.

SEC. 102. ANTITERRORIST AND ILLICIT NARCOTICS DETECTION EQUIPMENT FOR 
              THE UNITED STATES-MEXICO BORDER, UNITED STATES-CANADA 
              BORDER, AND FLORIDA AND THE GULF COAST SEAPORTS.

    (a) Fiscal Year 2002.--Of the amounts made available for fiscal 
year 2002 under section 301(b)(1)(A) of the Customs Procedural Reform 
and Simplification Act of 1978 (19 U.S.C. 2075(b)(1)(A)), as amended by 
section 101(a) of this Act, $90,244,000 shall be available until 
expended for acquisition and other expenses associated with 
implementation and deployment of antiterrorist and illicit narcotics 
detection equipment along the United States-Mexico border, the United 
States-Canada border, and Florida and the Gulf Coast seaports, as 
follows:
            (1) United states-mexico border.--For the United States-
        Mexico border, the following:
                    (A) $6,000,000 for 8 Vehicle and Container 
                Inspection Systems (VACIS).
                    (B) $11,200,000 for 5 mobile truck x-rays with 
                transmission and backscatter imaging.
                    (C) $13,000,000 for the upgrade of 8 fixed-site 
                truck x-rays from the present energy level of 450,000 
                electron volts to 1,000,000 electron volts (1-MeV).
                    (D) $7,200,000 for 8 1-MeV pallet x-rays.
                    (E) $1,000,000 for 200 portable contraband 
                detectors (busters) to be distributed among ports where 
                the current allocations are inadequate.
                    (F) $600,000 for 50 contraband detection kits to be 
                distributed among all southwest border ports based on 
                traffic volume.
                    (G) $500,000 for 25 ultrasonic container inspection 
                units to be distributed among all ports receiving 
                liquid-filled cargo and to ports with a hazardous 
                material inspection facility.
                    (H) $2,450,000 for 7 automated targeting systems.
                    (I) $360,000 for 30 rapid tire deflator systems to 
                be distributed to those ports where port runners are a 
                threat.
                    (J) $480,000 for 20 portable Treasury Enforcement 
                Communications Systems (TECS) terminals to be moved 
                among ports as needed.
                    (K) $1,000,000 for 20 remote watch surveillance 
                camera systems at ports where there are suspicious 
                activities at loading docks, vehicle queues, secondary 
                inspection lanes, or areas where visual surveillance or 
                observation is obscured.
                    (L) $1,254,000 for 57 weigh-in-motion sensors to be 
                distributed among the ports with the greatest volume of 
                outbound traffic.
                    (M) $180,000 for 36 AM traffic information radio 
                stations, with 1 station to be located at each border 
                crossing.
                    (N) $1,040,000 for 260 inbound vehicle counters to 
                be installed at every inbound vehicle lane.
                    (O) $950,000 for 38 spotter camera systems to 
                counter the surveillance of customs inspection 
                activities by persons outside the boundaries of ports 
                where such surveillance activities are occurring.
                    (P) $390,000 for 60 inbound commercial truck 
                transponders to be distributed to all ports of entry.
                    (Q) $1,600,000 for 40 narcotics vapor and particle 
                detectors to be distributed to each border crossing.
                    (R) $400,000 for license plate reader automatic 
                targeting software to be installed at each port to 
                target inbound vehicles.
            (2) United states-canada border.--For the United States-
        Canada border, the following:
                    (A) $3,000,000 for 4 Vehicle and Container 
                Inspection Systems (VACIS).
                    (B) $8,800,000 for 4 mobile truck x-rays with 
                transmission and backscatter imaging.
                    (C) $3,600,000 for 4 1-MeV pallet x-rays.
                    (D) $250,000 for 50 portable contraband detectors 
                (busters) to be distributed among ports where the 
                current allocations are inadequate.
                    (E) $300,000 for 25 contraband detection kits to be 
                distributed among ports based on traffic volume.
                    (F) $240,000 for 10 portable Treasury Enforcement 
                Communications Systems (TECS) terminals to be moved 
                among ports as needed.
                    (G) $400,000 for 10 narcotics vapor and particle 
                detectors to be distributed to each border crossing 
                based on traffic volume.
            (3) Florida and gulf coast seaports.--For Florida and the 
        Gulf Coast seaports, the following:
                    (A) $4,500,000 for 6 Vehicle and Container 
                Inspection Systems (VACIS).
                    (B) $11,800,000 for 5 mobile truck x-rays with 
                transmission and backscatter imaging.
                    (C) $7,200,000 for 8 1-MeV pallet x-rays.
                    (D) $250,000 for 50 portable contraband detectors 
                (busters) to be distributed among ports where the 
                current allocations are inadequate.
                    (E) $300,000 for 25 contraband detection kits to be 
                distributed among ports based on traffic volume.
    (b) Fiscal Year 2003.--Of the amounts made available for fiscal 
year 2003 under section 301(b)(1)(B) of the Customs Procedural Reform 
and Simplification Act of 1978 (19 U.S.C. 2075(b)(1)(B)), as amended by 
section 101(a) of this Act, $9,000,000 shall be available until 
expended for the maintenance and support of the equipment and training 
of personnel to maintain and support the equipment described in 
subsection (a).
    (c) Acquisition of Technologically Superior Equipment; Transfer of 
Funds.--
            (1) In general.--The Commissioner of Customs may use 
        amounts made available for fiscal year 2002 under section 
        301(b)(1)(A) of the Customs Procedural Reform and 
        Simplification Act of 1978 (19 U.S.C. 2075(b)(1)(A)), as 
        amended by section 101(a) of this Act, for the acquisition of 
        equipment other than the equipment described in subsection (a) 
        if such other equipment--
                    (A)(i) is technologically superior to the equipment 
                described in subsection (a); and
                    (ii) will achieve at least the same results at a 
                cost that is the same or less than the equipment 
                described in subsection (a); or
                    (B) can be obtained at a lower cost than the 
                equipment described in subsection (a).
            (2) Transfer of funds.--Notwithstanding any other provision 
        of this section, the Commissioner of Customs may reallocate an 
        amount not to exceed 10 percent of--
                    (A) the amount specified in any of subparagraphs 
                (A) through (R) of subsection (a)(1) for equipment 
                specified in any other of such subparagraphs (A) 
                through (R);
                    (B) the amount specified in any of subparagraphs 
                (A) through (G) of subsection (a)(2) for equipment 
                specified in any other of such subparagraphs (A) 
                through (G); and
                    (C) the amount specified in any of subparagraphs 
                (A) through (E) of subsection (a)(3) for equipment 
                specified in any other of such subparagraphs (A) 
                through (E).

SEC. 103. COMPLIANCE WITH PERFORMANCE PLAN REQUIREMENTS.

    As part of the annual performance plan for each of the fiscal years 
2002 and 2003 covering each program activity set forth in the budget of 
the United States Customs Service, as required under section 1115 of 
title 31, United States Code, the Commissioner of Customs shall 
establish performance goals, performance indicators, and comply with 
all other requirements contained in paragraphs (1) through (6) of 
subsection (a) of such section with respect to each of the activities 
to be carried out pursuant to section 102.

    Subtitle B--Child Cyber-Smuggling Center of the Customs Service

SEC. 111. AUTHORIZATION OF APPROPRIATIONS FOR PROGRAM TO PREVENT CHILD 
              PORNOGRAPHY/CHILD SEXUAL EXPLOITATION.

    (a) Authorization of Appropriations.--There is authorized to be 
appropriated to the Customs Service $10,000,000 for fiscal year 2002 to 
carry out the program to prevent child pornography/child sexual 
exploitation established by the Child Cyber-Smuggling Center of the 
Customs Service.
    (b) Use of Amounts for Child Pornography Cyber Tipline.--Of the 
amount appropriated under subsection (a), the Customs Service shall 
provide 3.75 percent of such amount to the National Center for Missing 
and Exploited Children for the operation of the child pornography cyber 
tipline of the Center and for increased public awareness of the 
tipline.

                  Subtitle C--Miscellaneous Provisions

SEC. 121. ADDITIONAL CUSTOMS SERVICE OFFICERS FOR UNITED STATES-CANADA 
              BORDER.

    Of the amount made available for fiscal year 2002 under paragraphs 
(1) and (2)(A) of section 301(b) of the Customs Procedural Reform and 
Simplification Act of 1978 (19 U.S.C. 2075(b)), as amended by section 
101 of this Act, $28,300,000 shall be available until expended for the 
Customs Service to hire approximately 285 additional Customs Service 
officers to address the needs of the offices and ports along the United 
States-Canada border.

SEC. 122. STUDY AND REPORT RELATING TO PERSONNEL PRACTICES OF THE 
              CUSTOMS SERVICE.

    (a) Study.--The Commissioner of Customs shall conduct a study of 
current personnel practices of the Customs Service, including an 
overview of performance standards and the effect and impact of the 
collective bargaining process on drug interdiction efforts of the 
Customs Service and a comparison of duty rotation policies of the 
Customs Service and other Federal agencies that employ similarly-
situated personnel.
    (b) Report.--Not later than 120 days after the date of the 
enactment of this Act, the Commissioner of Customs shall submit to the 
Committee on Ways and Means of the House of Representatives and the 
Committee on Finance of the Senate a report containing the results of 
the study conducted under subsection (a).

SEC. 123. STUDY AND REPORT RELATING TO ACCOUNTING AND AUDITING 
              PROCEDURES OF THE CUSTOMS SERVICE.

    (a) Study.--(1) The Commissioner of Customs shall conduct a study 
of actions by the Customs Service to ensure that appropriate training 
is being provided to Customs Service personnel who are responsible for 
financial auditing of importers.
    (2) In conducting the study, the Commissioner--
            (A) shall specifically identify those actions taken to 
        comply with provisions of law that protect the privacy and 
        trade secrets of importers, such as section 552(b) of title 5, 
        United States Code, and section 1905 of title 18, United States 
        Code; and
            (B) shall provide for public notice and comment relating to 
        verification of the actions described in subparagraph (A).
    (b) Report.--Not later than 6 months after the date of the 
enactment of this Act, the Commissioner of Customs shall submit to the 
Committee on Ways and Means of the House of Representatives and the 
Committee on Finance of the Senate a report containing the results of 
the study conducted under subsection (a).

SEC. 124. ESTABLISHMENT AND IMPLEMENTATION OF COST ACCOUNTING SYSTEM; 
              REPORTS.

    (a) Establishment and Implementation.--
            (1) In general.--Not later than September 30, 2003, the 
        Commissioner of Customs shall, in accordance with the audit of 
        the Customs Service's fiscal years 2000 and 1999 financial 
        statements (as contained in the report of the Office of the 
        Inspector General of the Department of the Treasury issued on 
        February 23, 2001), establish and implement a cost accounting 
        system for expenses incurred in both commercial and 
        noncommercial operations of the Customs Service.
            (2) Additional requirement.--The cost accounting system 
        described in paragraph (1) shall provide for an identification 
        of expenses based on the type of operation, the port at which 
        the operation took place, the amount of time spent on the 
        operation by personnel of the Customs Service, and an 
        identification of expenses based on any other appropriate 
        classification necessary to provide for an accurate and 
        complete accounting of the expenses.
    (b) Reports.--Beginning on the date of the enactment of this Act 
and ending on the date on which the cost accounting system described in 
subsection (a) is fully implemented, the Commissioner of Customs shall 
prepare and submit to Congress on a quarterly basis a report on the 
progress of implementing the cost accounting system pursuant to 
subsection (a).

SEC. 125. STUDY AND REPORT RELATING TO TIMELINESS OF PROSPECTIVE 
              RULINGS.

    (a) Study.--The Comptroller General shall conduct a study on the 
extent to which the Office of Regulations and Rulings of the Customs 
Service has made improvements to decrease the amount of time to issue 
prospective rulings from the date on which a request for the ruling is 
received by the Customs Service.
    (b) Report.--Not later than 1 year after the date of the enactment 
of this Act, the Comptroller General shall submit to the Committee on 
Ways and Means of the House of Representatives and the Committee on 
Finance of the Senate a report containing the results of the study 
conducted under subsection (a).
    (c) Definition.--In this section, the term ``prospective ruling'' 
means a ruling that is requested by an importer on goods that are 
proposed to be imported into the United States and that relates to the 
proper classification, valuation, or marking of such goods.

SEC. 126. STUDY AND REPORT RELATING TO CUSTOMS USER FEES.

    (a) Study.--The Comptroller General shall conduct a study on the 
extent to which the amount of each customs user fee imposed under 
section 13031(a) of the Consolidated Omnibus Budget Reconciliation Act 
of 1985 (19 U.S.C. 58c(a)) is commensurate with the level of services 
provided by the Customs Service relating to the fee so imposed.
    (b) Report.--Not later than 120 days after the date of the 
enactment of this Act, the Comptroller General shall submit to the 
Committee on Ways and Means of the House of Representatives and the 
Committee on Finance of the Senate a report in classified form 
containing--
            (1) the results of the study conducted under subsection 
        (a); and
            (2) recommendations for the appropriate amount of the 
        customs user fees if such results indicate that the fees are 
        not commensurate with the level of services provided by the 
        Customs Service.

SEC. 127. FEES FOR CUSTOMS INSPECTIONS AT EXPRESS COURIER FACILITIES.

    (a) In General.--Section 13031(b)(9) of the Consolidated Omnibus 
Budget Reconciliation Act of 1985 (19 U.S.C. 58c(b)(9)) is amended as 
follows:
            (1) In subparagraph (A)--
                    (A) in the matter preceding clause (i), by striking 
                ``the processing of merchandise that is informally 
                entered or released'' and inserting ``the processing of 
                letters, documents, records, shipments, merchandise, or 
                any other item that is valued at an amount under $2,000 
                (or such higher amount as the Secretary may set by 
                regulation pursuant to section 498 of the Tariff Act of 
                1930), whether or not such items are informally entered 
                or released (except items entered or released for 
                immediate exportation),''; and
                    (B) in clause (ii) to read as follows:
                    ``(ii) In the case of an express consignment 
                carrier facility or centralized hub facility, $.66 per 
                individual airway bill or bill of lading.''.
            (2) By redesignating subparagraph (B) as subparagraph (C) 
        and inserting after subparagraph (A) the following:
            ``(B)(i) For fiscal year 2004 and subsequent fiscal years, 
        the Secretary of the Treasury may adjust (not more than once 
        per fiscal year) the amount described in subparagraph (A)(ii) 
        to not less than $.35 but not more than $1.00 per individual 
        airway bill or bill of lading. The Secretary shall provide 
        notice in the Federal Register of a proposed adjustment under 
        the preceding sentence and the reasons therefor and shall allow 
        for public comment on the proposed adjustment.
            ``(ii) The payment required by subparagraph (A)(ii) shall 
        be the only payment required for reimbursement of the Customs 
        Service in connection with the processing of an individual 
        airway bill or bill of lading in accordance with such 
        subparagraph, except that the Customs Service may charge a fee 
        to cover expenses of the Customs Service for adequate office 
        space, equipment, furnishings, supplies, and security.
            ``(iii)(I) The payment required by subparagraph (A)(ii) and 
        clause (ii) shall be paid on a quarterly basis to the Customs 
        Service in accordance with regulations prescribed by the 
        Secretary of the Treasury.
            ``(II) 50 percent of the amount of payments received under 
        subparagraph (A)(ii) and clause (ii) shall, in accordance with 
        section 524 of the Tariff Act of 1930, be deposited as a refund 
        to the appropriation for the amount paid out of that 
        appropriation for the costs incurred in providing services to 
        express consignment carrier facilities or centralized hub 
        facilities. Amounts deposited in accordance with the preceding 
        sentence shall be available until expended for the provision of 
        customs services to express consignment carrier facilities or 
        centralized hub facilities.
            ``(III) Notwithstanding section 524 of the Tariff Act of 
        1930, the remaining 50 percent of the amount of payments 
        received under subparagraph (A)(ii) and clause (ii) shall be 
        paid to the Secretary of the Treasury, which is in lieu of the 
        payment of fees under subsection (a)(10) of this section.''.
    (b) Effective Date.--The amendments made by subsection (a) take 
effect on October 1, 2002.

SEC. 128. NATIONAL CUSTOMS AUTOMATION PROGRAM.

    Section 411(b) of the Tariff Act of 1930 (19 U.S.C. 1411(b)) is 
amended by striking the second sentence and inserting the following: 
``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.''.

                  Subtitle D--Antiterrorism Provisions

SEC. 141. IMMUNITY FOR UNITED STATES OFFICIALS THAT ACT IN GOOD FAITH.

    (a) Immunity.--Section 3061 of the Revised Statutes (19 U.S.C. 482) 
is amended--
            (1) by striking ``Any of the officers'' and inserting ``(a) 
        Any of the officers''; and
            (2) by adding at the end the following:
    ``(b) Any officer or employee of the United States conducting a 
search of a person pursuant to subsection (a) shall not be held liable 
for any civil damages as a result of such search if the officer or 
employee performed the search in good faith.''.
    (b) Requirement To Post Policy and Procedures for Searches of 
Passengers.--Not later than 30 days after the date of the enactment of 
this Act, the Commissioner of the Customs Service shall ensure that at 
each Customs border facility appropriate notice is posted that provides 
a summary of the policy and procedures of the Customs Service for 
searching passengers, including a statement of the policy relating to 
the prohibition on the conduct of profiling of passengers based on 
gender, race, color, religion, or ethnic background.

SEC. 142. EMERGENCY ADJUSTMENTS TO OFFICES, PORTS OF ENTRY, OR STAFFING 
              OF THE CUSTOMS SERVICE.

    Section 318 of the Tariff Act of 1930 (19 U.S.C. 1318) is amended--
            (1) by striking ``Whenever the President'' and inserting 
        ``(a) Whenever the President''; and
            (2) by adding at the end the following:
    ``(b)(1) Notwithstanding any other provision of law, the Secretary 
of the Treasury, when necessary to respond to a national emergency 
declared under the National Emergencies Act (50 U.S.C. 1601 et seq.) or 
to a specific threat to human life or national interests, is authorized 
to take the following actions on a temporary basis:
            ``(A) Eliminate, consolidate, or relocate any office or 
        port of entry of the Customs Service.
            ``(B) Modify hours of service, alter services rendered at 
        any location, or reduce the number of employees at any 
        location.
            ``(C) Take any other action that may be necessary to 
        directly respond to the national emergency or specific threat.
    ``(2) Notwithstanding any other provision of law, the Commissioner 
of Customs, when necessary to respond to a specific threat to human 
life or national interests, is authorized to close temporarily any 
Customs office or port of entry or take any other lesser action that 
may be necessary to respond to the specific threat.
    ``(3) The Secretary of the Treasury or the Commissioner of Customs, 
as the case may be, shall notify the Committee on Ways and Means of the 
House of Representatives and the Committee on Finance of the Senate not 
later than 72 hours after taking any action under paragraph (1) or 
(2).''.

SEC. 143. MANDATORY ADVANCED ELECTRONIC INFORMATION FOR CARGO AND 
              PASSENGERS.

    (a) Cargo Information.--
            (1) In general.--Section 431(b) of the Tariff Act of 1930 
        (19 U.S.C. 1431(b)) is amended--
                    (A) in the first sentence, by striking ``Any 
                manifest'' and inserting ``(1) Any manifest''; and
                    (B) by adding at the end the following:
    ``(2)(A) In addition to any other requirement under this section, 
for each land, air, or vessel carrier required to make entry under the 
customs laws of the United States, the pilot, the master, operator, or 
owner of such carrier (or the authorized agent of such operator or 
owner) shall provide by electronic transmission cargo manifest 
information in advance of such entry in such manner, time, and form as 
prescribed under regulations by the Secretary. The Secretary may 
exclude any class of land, air, or vessel carrier for which the 
Secretary concludes the requirements of this subparagraph are not 
necessary.
    ``(B) The Secretary shall cooperate with other appropriate Federal 
departments and agencies for the purpose of providing to such 
departments and agencies as soon as practicable cargo manifest 
information obtained pursuant to subparagraph (A). In carrying out the 
preceding sentence, the Secretary, to the maximum extent practicable, 
shall protect the privacy and property rights with respect to the cargo 
involved.''.
            (2) Conforming amendments.--Subparagraphs (A) and (C) of 
        section 431(d)(1) of such Act are each amended by inserting 
        before the semicolon ``or subsection (b)(2)''.
    (b) Passenger Information.--Part II of title IV of the Tariff Act 
of 1930 (19 U.S.C. 1431 et seq.) is amended by inserting after section 
431 the following:

``SEC. 432. PASSENGER AND CREW INFORMATION REQUIRED FOR LAND, AIR, OR 
              VESSEL CARRIERS.

    ``(a) In General.--For every person arriving or departing on a 
land, air, or vessel carrier required to make entry or obtain clearance 
under the customs laws of the United States, the pilot, the master, 
operator, or owner of such carrier (or the authorized agent of such 
operator or owner) shall provide by electronic transmission information 
described in subsection (b) in advance of such entry or clearance in 
such manner, time, and form as prescribed under regulations by the 
Secretary.
    ``(b) Information Described.--The information described in this 
subsection shall include for each person described in subsection (a), 
if applicable, the person's--
            ``(1) full name;
            ``(2) date of birth and citizenship;
            ``(3) gender;
            ``(4) passport number and country of issuance;
            ``(5) United States visa number or resident alien card 
        number;
            ``(6) passenger name record; and
            ``(7) such additional information that the Secretary, by 
        regulation, determines is reasonably necessary to ensure 
        aviation and maritime safety pursuant to the laws enforced or 
        administered by the Customs Service.
    ``(c) Sharing of Information.--The Secretary shall cooperate with 
other appropriate Federal departments and agencies for the purpose of 
providing to such departments and agencies as soon as practicable 
electronic transmission information obtained pursuant to subsection 
(a). In carrying out the preceding sentence, the Secretary, to the 
maximum extent practicable, shall protect the privacy rights of the 
person with respect to which the information relates.''.
    (c) Definition.--Section 401 of the Tariff Act of 1930 (19 U.S.C. 
1401) is amended by adding at the end the following:
    ``(t) The term `land, air, or vessel carrier' means a land, air, or 
vessel carrier, as the case may be, that transports goods or passengers 
for payment or other consideration, including money or services 
rendered.''.
    (d) Effective Date.--The amendments made by this section shall take 
effect beginning 45 days after the date of the enactment of this Act.

SEC. 144. BORDER SEARCH AUTHORITY FOR CERTAIN CONTRABAND IN OUTBOUND 
              MAIL.

    The Tariff Act of 1930 is amended by inserting after section 582 
the following:

``SEC. 583. EXAMINATION OF OUTBOUND MAIL.

    ``(a) Examination.--
            ``(1) In general.--For purposes of ensuring compliance with 
        the Customs laws of the United States and other laws enforced 
        by the Customs Service, including the provisions of law 
        described in paragraph (2), a Customs officer may, subject to 
        the provisions of this section, stop and search at the border, 
        without a search warrant, mail of domestic origin transmitted 
        for export by the United States Postal Service and foreign mail 
        transiting the United States that is being imported or exported 
        by the United States Postal Service.
            ``(2) Provisions of law described.--The provisions of law 
        described in this paragraph are the following:
                    ``(A) Section 5316 of title 31, United States Code 
                (relating to reports on exporting and importing 
                monetary instruments).
                    ``(B) Sections 1461, 1463, 1465, and 1466 and 
                chapter 110 of title 18, United States Code (relating 
                to obscenity and child pornography).
                    ``(C) Section 1003 of the Controlled Substances 
                Import and Export Act (21 U.S.C. 953; relating to 
                exportation of controlled substances).
                    ``(D) The Export Administration Act of 1979 (50 
                U.S.C. app. 2401 et seq.).
                    ``(E) Section 38 of the Arms Export Control Act (22 
                U.S.C. 2778).
                    ``(F) The International Emergency Economic Powers 
                Act (50 U.S.C. 1701 et seq.).
    ``(b) Search of Mail Not Sealed Against Inspection and Other 
Mail.--Mail not sealed against inspection under the postal laws and 
regulations of the United States, mail which bears a customs 
declaration, and mail with respect to which the sender or addressee has 
consented in writing to search, may be searched by a Customs officer.
    ``(c) Search of Mail Sealed Against Inspection.--(1) Mail sealed 
against inspection under the postal laws and regulations of the United 
States may be searched by a Customs officer, subject to paragraph (2), 
upon reasonable cause to suspect that such mail contains one or more of 
the following:
            ``(A) Monetary instruments, as defined in section 1956 of 
        title 18, United States Code.
            ``(B) A weapon of mass destruction, as defined in section 
        2332a(b) of title 18, United States Code.
            ``(C) A drug or other substance listed in schedule I, II, 
        III, or IV in section 202 of the Controlled Substances Act (21 
        U.S.C. 812).
            ``(D) National defense and related information transmitted 
        in violation of any of sections 793 through 798 of title 18, 
        United States Code.
            ``(E) Merchandise mailed in violation of section 1715 or 
        1716 of title 18, United States Code.
            ``(F) Merchandise mailed in violation of any provision of 
        chapter 71 (relating to obscenity) or chapter 110 (relating to 
        sexual exploitation and other abuse of children) of title 18, 
        United States Code.
            ``(G) Merchandise mailed in violation of the Export 
        Administration Act of 1979 (50 U.S.C. app. 2401 et seq.).
            ``(H) Merchandise mailed in violation of section 38 of the 
        Arms Export Control Act (22 U.S.C. 2778).
            ``(I) Merchandise mailed in violation of the International 
        Emergency Economic Powers Act (50 U.S.C. 1701 et seq.).
            ``(J) Merchandise mailed in violation of the Trading with 
        the Enemy Act (50 U.S.C. app. 1 et seq.).
            ``(K) Merchandise subject to any other law enforced by the 
        Customs Service.
    ``(2) No person acting under authority of paragraph (1) shall read, 
or authorize any other person to read, any correspondence contained in 
mail sealed against inspection unless prior to so reading--
            ``(A) a search warrant has been issued pursuant to Rule 41, 
        Federal Rules of Criminal Procedure; or
            ``(B) the sender or addressee has given written 
        authorization for such reading.''.

SEC. 145. AUTHORIZATION OF APPROPRIATIONS FOR REESTABLISHMENT OF 
              CUSTOMS OPERATIONS IN NEW YORK CITY.

    (a) Authorization of Appropriations.--
            (1) In general.--There is authorized to be appropriated for 
        the reestablishment of operations of the Customs Service in New 
        York, New York, such sums as may be necessary for fiscal year 
        2002.
            (2) Operations described.--The operations referred to in 
        paragraph (1) include, but are not limited to, the following:
                    (A) Operations relating to the Port Director of New 
                York City, the New York Customs Management Center 
                (including the Director of Field Operations), and the 
                Special Agent-In-Charge for New York.
                    (B) Commercial operations, including textile 
                enforcement operations and salaries and expenses of--
                            (i) trade specialists who determine the 
                        origin and value of merchandise;
                            (ii) analysts who monitor the entry data 
                        into the United States of textiles and textile 
                        products; and
                            (iii) Customs officials who work with 
                        foreign governments to examine textile makers 
                        and verify entry information.
    (b) Availability.--Amounts appropriated pursuant to the 
authorization of appropriations under subsection (a) are authorized to 
remain available until expended.

              Subtitle E--Textile Transshipment Provisions

SEC. 151. GAO AUDIT OF TEXTILE TRANSSHIPMENT MONITORING BY CUSTOMS 
              SERVICE.

    (a) GAO Audit.--The Comptroller General of the United States shall 
conduct an audit of the system established and carried out by the 
Customs Service to monitor textile transshipment.
    (b) Report.--Not later than 9 months after the date of enactment of 
this Act, the Comptroller General shall submit to the Committee on Ways 
and Means of the House of Representatives and Committee on Finance of 
the Senate a report that contains the results of the study conducted 
under subsection (a), including recommendations for improvements to the 
transshipment monitoring system if applicable.
    (c) Transshipment Described.--Transshipment within the meaning of 
this section has occurred when preferential treatment under any 
provision of law has been claimed for a textile or apparel article on 
the basis of material false information concerning the country of 
origin, manufacture, processing, or assembly of the article or any of 
its components. For purposes of the preceding sentence, false 
information is material if disclosure of the true information would 
mean or would have meant that the article is or was ineligible for 
preferential treatment under the provision of law in question.

SEC. 152. AUTHORIZATION OF APPROPRIATIONS FOR TEXTILE TRANSSHIPMENT 
              ENFORCEMENT OPERATIONS.

    (a) Authorization of Appropriations.--
            (1) In general.--There is authorized to be appropriated for 
        textile transshipment enforcement operations of the Customs 
        Service $9,500,000 for fiscal year 2002.
            (2) Availability.--Amounts appropriated pursuant to the 
        authorization of appropriations under paragraph (1) are 
        authorized to remain available until expended.
    (b) Use of Funds.--Of the amount appropriated pursuant to the 
authorization of appropriations under subsection (a), the following 
amounts are authorized to be made available for the following purposes:
            (1) Import specialists.--$1,463,000 for 21 Customs import 
        specialists to be assigned to selected ports for documentation 
        review to support detentions and exclusions and 1 additional 
        Customs import specialist assigned to the Customs headquarters 
        textile program to administer the program and provide 
        oversight.
            (2) Inspectors.--$652,080 for 10 Customs inspectors to be 
        assigned to selected ports to examine targeted high-risk 
        shipments.
            (3) Investigators.--(A) $1,165,380 for 10 investigators to 
        be assigned to selected ports to investigate instances of 
        smuggling, quota and trade agreement circumvention, and use of 
        counterfeit visas to enter inadmissible goods.
            (B) $149,603 for 1 investigator to be assigned to Customs 
        headquarters textile program to coordinate and ensure 
        implementation of textile production verification team results 
        from an investigation perspective.
            (4) International trade specialists.--$226,500 for 3 
        international trade specialists to be assigned to Customs 
        headquarters to be dedicated to illegal textile transshipment 
        policy issues and other free trade agreement enforcement 
        issues.
            (5) Permanent import specialists for hong kong.--$500,000 
        for 2 permanent import specialist positions and $500,000 for 2 
        investigators to be assigned to Hong Kong to work with Hong 
        Kong and other government authorities in Southeast Asia to 
        assist such authorities pursue proactive enforcement of 
        bilateral trade agreements.
            (6) Various permanent trade positions.--$3,500,000 for the 
        following:
                    (A) 2 permanent positions to be assigned to the 
                Customs attache office in Central America to address 
                trade enforcement issues for that region.
                    (B) 2 permanent positions to be assigned to the 
                Customs attache office in South Africa to address trade 
                enforcement issues pursuant to the African Growth and 
                Opportunity Act (title I of Public Law 106-200).
                    (C) 4 permanent positions to be assigned to the 
                Customs attache office in Mexico to address the threat 
                of illegal textile transshipment through Mexico and 
                other related issues under the North American Free 
                Trade Agreement Act.
                    (D) 2 permanent positions to be assigned to the 
                Customs attache office in Seoul, South Korea, to 
                address the trade issues in the geographic region.
                    (E) 2 permanent positions to be assigned to the 
                proposed Customs attache office in New Delhi, India, to 
                address the threat of illegal textile transshipment and 
                other trade enforcement issues.
                    (F) 2 permanent positions to be assigned to the 
                Customs attache office in Rome, Italy, to address trade 
                enforcement issues in the geographic region, including 
                issues under free trade agreements with Jordan and 
                Israel.
            (7) Attorneys.--$179,886 for 2 attorneys for the Office of 
        the Chief Counsel of the Customs Service to pursue cases 
        regarding illegal textile transshipment.
            (8) Auditors.--$510,000 for 6 Customs auditors to perform 
        internal control reviews and document and record reviews of 
        suspect importers.
            (9) Additional travel funds.--$250,000 for deployment of 
        additional textile production verification teams to sub-Saharan 
        Africa.
            (10) Training.--(A) $75,000 for training of Customs 
        personnel.
            (B) $200,000 for training for foreign counterparts in risk 
        management analytical techniques and for teaching factory 
        inspection techniques, model law Development, and enforcement 
        techniques.
            (11) Outreach.--$60,000 for outreach efforts to United 
        States importers.

SEC. 153. IMPLEMENTATION OF THE AFRICAN GROWTH AND OPPORTUNITY ACT.

    Of the amount made available for fiscal year 2002 under section 
301(b)(2)(A) of the Customs Procedural Reform and Simplification Act of 
1978 (19 U.S.C. 2075(b)(2)(A)), as amended by section 101(b)(1) of this 
Act, $1,317,000 shall be available until expended for the Customs 
Service to provide technical assistance to help sub-Saharan Africa 
countries develop and implement effective visa and anti-transshipment 
systems as required by the African Growth and Opportunity Act (title I 
of Public Law 106-200), as follows:
            (1) Travel funds.--$600,000 for import specialists, special 
        agents, and other qualified Customs personnel to travel to sub-
        Saharan Africa countries to provide technical assistance in 
        developing and implementing effective visa and anti-
        transshipment systems.
            (2) Import specialists.--$266,000 for 4 import specialists 
        to be assigned to Customs headquarters to be dedicated to 
        providing technical assistance to sub-Saharan African countries 
        for developing and implementing effective visa and anti-
        transshipment systems.
            (3) Data reconciliation analysts.--$151,000 for 2 data 
        reconciliation analysts to review apparel shipments.
            (4) Special agents.--$300,000 for 2 special agents to be 
        assigned to Customs headquarters to be available to provide 
        technical assistance to sub-Saharan African countries in the 
        performance of investigations and other enforcement 
        initiatives.

       TITLE II--OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE

SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

    (a) In General.--Section 141(g)(1) of the Trade Act of 1974 (19 
U.S.C. 2171(g)(1)) is amended--
            (1) in subparagraph (A)--
                    (A) in the matter preceding clause (i), by striking 
                ``not to exceed'';
                    (B) in clause (i) to read as follows:
            ``(i) $30,000,000 for fiscal year 2002.'';
                    (C) in clause (ii) to read as follows:
            ``(ii) $32,300,000 for fiscal year 2003.''; and
                    (D) by adding at the end the following:
            ``(iii) $33,108,000 for fiscal year 2004.''; and
            (2) in subparagraph (B)--
                    (A) in clause (i), by adding ``and'' at the end;
                    (B) by striking clause (ii); and
                    (C) by redesignating clause (iii) as clause (ii).
    (b) Submission of Out-Year Budget Projections.--Section 141(g) of 
the Trade Act of 1974 (19 U.S.C. 2171(g)) is amended by adding at the 
end the following:
    ``(3) By not later than the date on which the President submits to 
Congress the budget of the United States Government for a fiscal year, 
the United States Trade Representative shall submit to the Committee on 
Ways and Means of the House of Representatives and the Committee on 
Finance of the Senate the projected amount of funds for the succeeding 
fiscal year that will be necessary for the Office to carry out its 
functions.''.
    (c) Additional Staff for Office of Assistant U.S. Trade 
Representative for Congressional Affairs.--
            (1) In general.--There is authorized to be appropriated 
        such sums as may be necessary for fiscal year 2002 for the 
        salaries and expenses of two additional legislative specialist 
        employee positions within the Office of the Assistant United 
        States Trade Representative for Congressional Affairs.
            (2) Availability.--Amounts appropriated pursuant to the 
        authorization of appropriations under paragraph (1) are 
        authorized to remain available until expended.

        TITLE III--UNITED STATES INTERNATIONAL TRADE COMMISSION

SEC. 301. AUTHORIZATION OF APPROPRIATIONS.

    (a) In General.--Section 330(e)(2)(A) of the Tariff Act of 1930 (19 
U.S.C. 1330(e)(2)) is amended--
            (1) in clause (i) to read as follows:
            ``(i) $51,440,000 for fiscal year 2002.'';
            (2) in clause (ii) to read as follows:
            ``(ii) $54,000,000 for fiscal year 2003.''; and
            (3) by adding at the end the following:
            ``(iii) $57,240,000 for fiscal year 2004.''.
    (b) Submission of Out-Year Budget Projections.--Section 330(e) of 
the Tariff Act of 1930 (19 U.S.C. 1330(e)(2)) is amended by adding at 
the end the following:
    ``(4) By not later than the date on which the President submits to 
Congress the budget of the United States Government for a fiscal year, 
the Commission shall submit to the Committee on Ways and Means of the 
House of Representatives and the Committee on Finance of the Senate the 
projected amount of funds for the succeeding fiscal year that will be 
necessary for the Commission to carry out its functions.''.

                    TITLE IV--OTHER TRADE PROVISIONS

SEC. 401. INCREASE IN AGGREGATE VALUE OF ARTICLES EXEMPT FROM DUTY 
              ACQUIRED ABROAD BY UNITED STATES RESIDENTS.

    (a) In General.--Subheading 9804.00.65 of the Harmonized Tariff 
Schedule of the United States is amended in the article description 
column by striking ``$400'' and inserting ``$800''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect 90 days after the date of the enactment of this Act.

SEC. 402. REGULATORY AUDIT PROCEDURES.

    Section 509(b) of the Tariff Act of 1930 (19 U.S.C. 1509(b)) is 
amended by adding at the end the following:
            ``(6)(A) If during the course of any audit concluded under 
        this subsection, the Customs Service identifies overpayments of 
        duties or fees or over-declarations of quantities or values 
        that are within the time period and scope of the audit that the 
        Customs Service has defined, then in calculating the loss of 
        revenue or monetary penalties under section 592, the Customs 
        Service shall treat the overpayments or over-declarations on 
        finally liquidated entries as an offset to any underpayments or 
        underdeclarations also identified on finally liquidated entries 
        if such overpayments or over-declarations were not made by the 
        person being audited for the purpose of violating any provision 
        of law.
            ``(B) Nothing in this paragraph shall be construed to 
        authorize a refund not otherwise authorized under section 
        520.''.

            Passed the House of Representatives May 22, 2002.

            Attest:

                                                 JEFF TRANDAHL,

                                                                 Clerk.