[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5788 Referred in Senate (RFS)]
<DOC>
115th CONGRESS
2d Session
H. R. 5788
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 18, 2018
Received; read twice and referred to the Committee on Finance
_______________________________________________________________________
AN ACT
To provide for the processing by U.S. Customs and Border Protection of
certain international mail shipments and to require the provision of
advance electronic information on international mail shipments of mail,
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; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Synthetics
Trafficking and Overdose Prevention Act of 2018'' or ``STOP Act of
2018''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Customs fees.
Sec. 3. Mandatory advance electronic information for postal shipments.
Sec. 4. International postal agreements.
Sec. 5. Cost recoupment.
Sec. 6. Development of technology to detect illicit narcotics.
Sec. 7. Civil penalties for postal shipments.
Sec. 8. Report on violations of arrival, reporting, entry, and
clearance requirements and falsity or lack
of manifest.
Sec. 9. Effective date; regulations.
SEC. 2. CUSTOMS FEES.
(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 by
adding at the end the following:
``(D)(i) With respect to the processing of items that are
sent to the United States through the international postal
network by `Inbound Express Mail service' or `Inbound EMS' (as
that service is described in the mail classification schedule
referred to in section 3631 of title 39, United States Code),
the following payments are required:
``(I) $1 per Inbound EMS item.
``(II) If an Inbound EMS item is formally entered,
the fee provided for under subsection (a)(9), if
applicable.
``(ii) Notwithstanding section 451 of the Tariff Act of
1930 (19 U.S.C. 1451), the payments required by clause (i), as
allocated pursuant to clause (iii)(I), shall be the only
payments required for reimbursement of U.S. Customs and Border
Protection for customs services provided in connection with the
processing of an Inbound EMS item.
``(iii)(I) The payments required by clause (i)(I) shall be
allocated as follows:
``(aa) 50 percent of the amount of the payments
shall be paid on a quarterly basis by the United States
Postal Service to the Commissioner of U.S. Customs and
Border Protection in accordance with regulations
prescribed by the Secretary of the Treasury to
reimburse U.S. Customs and Border Protection for
customs services provided in connection with the
processing of Inbound EMS items.
``(bb) 50 percent of the amount of the payments
shall be retained by the Postal Service to reimburse
the Postal Service for services provided in connection
with the customs processing of Inbound EMS items.
``(II) Payments received by U.S. Customs and Border
Protection under subclause (I)(aa) shall, in accordance with
section 524 of the Tariff Act of 1930 (19 U.S.C. 1524), be
deposited in the Customs User Fee Account and used to directly
reimburse each appropriation for the amount paid out of that
appropriation for the costs incurred in providing services to
international mail facilities. Amounts deposited in accordance
with the preceding sentence shall be available until expended
for the provision of such services.
``(III) Payments retained by the Postal Service under
subclause (I)(bb) shall be used to directly reimburse the
Postal Service for the costs incurred in providing services in
connection with the customs processing of Inbound EMS items.
``(iv) Beginning in fiscal year 2021, the Secretary, in
consultation with the Postmaster General, may adjust, not more
frequently than once each fiscal year, the amount described in
clause (i)(I) to an amount commensurate with the costs of
services provided in connection with the customs processing of
Inbound EMS items, consistent with the obligations of the
United States under international agreements.''.
(b) Conforming Amendments.--Section 13031(a) of the Consolidated
Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(a)) is
amended--
(1) in paragraph (6), by inserting ``(other than an item
subject to a fee under subsection (b)(9)(D))'' after ``customs
officer''; and
(2) in paragraph (10)--
(A) in subparagraph (C), in the matter preceding
clause (i), by inserting ``(other than Inbound EMS
items described in subsection (b)(9)(D))'' after
``release''; and
(B) in the flush at the end, by inserting ``or of
Inbound EMS items described in subsection (b)(9)(D),''
after ``(C),''.
(c) Effective Date.--The amendments made by this section shall take
effect on January 1, 2020.
SEC. 3. MANDATORY ADVANCE ELECTRONIC INFORMATION FOR POSTAL SHIPMENTS.
(a) Mandatory Advance Electronic Information.--
(1) In general.--Section 343(a)(3)(K) of the Trade Act of
2002 (Public Law 107-210; 19 U.S.C. 2071 note) is amended to
read as follows:
``(K)(i) The Secretary shall prescribe regulations
requiring the United States Postal Service to transmit
the information described in paragraphs (1) and (2) to
the Commissioner of U.S. Customs and Border Protection
for international mail shipments by the Postal Service
(including shipments to the Postal Service from foreign
postal operators that are transported by private
carrier) consistent with the requirements of this
subparagraph.
``(ii) In prescribing regulations under clause (i),
the Secretary shall impose requirements for the
transmission to the Commissioner of information
described in paragraphs (1) and (2) for mail shipments
described in clause (i) that are comparable to the
requirements for the transmission of such information
imposed on similar non-mail shipments of cargo, taking
into account the parameters set forth in subparagraphs
(A) through (J).
``(iii) The regulations prescribed under clause (i)
shall require the transmission of the information
described in paragraphs (1) and (2) with respect to a
shipment as soon as practicable in relation to the
transportation of the shipment, consistent with
subparagraph (H).
``(iv) Regulations prescribed under clause (i)
shall allow for the requirements for the transmission
to the Commissioner of information described in
paragraphs (1) and (2) for mail shipments described in
clause (i) to be implemented in phases, as appropriate,
by--
``(I) setting incremental targets for
increasing the percentage of such shipments for
which information is required to be transmitted
to the Commissioner; and
``(II) taking into consideration--
``(aa) the risk posed by such
shipments;
``(bb) the volume of mail shipped
to the United States by or through a
particular country; and
``(cc) the capacities of foreign
postal operators to provide that
information to the Postal Service.
``(v)(I) Notwithstanding clause (iv), the Postal
Service shall, not later than December 31, 2018,
arrange for the transmission to the Commissioner of the
information described in paragraphs (1) and (2) for not
less than 70 percent of the aggregate number of mail
shipments, including 100 percent of mail shipments from
the People's Republic of China, described in clause
(i).
``(II) If the requirements of subclause (I) are not
met, the Comptroller General of the United States shall
submit to the appropriate congressional committees, not
later than June 30, 2019, a report--
``(aa) assessing the reasons for the
failure to meet those requirements; and
``(bb) identifying recommendations to
improve the collection by the Postal Service of
the information described in paragraphs (1) and
(2).
``(vi)(I) Notwithstanding clause (iv), the Postal
Service shall, not later than December 31, 2020,
arrange for the transmission to the Commissioner of the
information described in paragraphs (1) and (2) for 100
percent of the aggregate number of mail shipments
described in clause (i).
``(II) The Commissioner, in consultation with the
Postmaster General, may determine to exclude a country
from the requirement described in subclause (I) to
transmit information for mail shipments described in
clause (i) from the country if the Commissioner
determines that the country--
``(aa) does not have the capacity to
collect and transmit such information;
``(bb) represents a low risk for mail
shipments that violate relevant United States
laws and regulations; and
``(cc) accounts for low volumes of mail
shipments that can be effectively screened for
compliance with relevant United States laws and
regulations through an alternate means.
``(III) The Commissioner shall, at a minimum on an
annual basis, re-evaluate any determination made under
subclause (II) to exclude a country from the
requirement described in subclause (I). If, at any
time, the Commissioner determines that a country no
longer meets the requirements under subclause (II), the
Commissioner may not further exclude the country from
the requirement described in subclause (I).
``(IV) The Commissioner shall, on an annual basis,
submit to the appropriate congressional committees--
``(aa) a list of countries with respect to
which the Commissioner has made a determination
under subclause (II) to exclude the countries
from the requirement described in subclause
(I); and
``(bb) information used to support such
determination with respect to such countries.
``(vii)(I) The Postmaster General shall, in
consultation with the Commissioner, refuse any
shipments received after December 31, 2020, for which
the information described in paragraphs (1) and (2) is
not transmitted as required under this subparagraph,
except as provided in subclause (II).
``(II) If remedial action is warranted in lieu of
refusal of shipments pursuant to subclause (I), the
Postmaster General and the Commissioner shall take
remedial action with respect to the shipments,
including destruction, seizure, controlled delivery or
other law enforcement initiatives, or correction of the
failure to provide the information described in
paragraphs (1) and (2) with respect to the shipments.
``(viii) Nothing in this subparagraph shall be
construed to limit the authority of the Secretary to
obtain information relating to international mail
shipments from private carriers or other appropriate
parties.
``(ix) In this subparagraph, the term `appropriate
congressional committees' means--
``(I) the Committee on Finance and the
Committee on Homeland Security and Governmental
Affairs of the Senate; and
``(II) the Committee on Ways and Means, the
Committee on Oversight and Government Reform,
and the Committee on Homeland Security of the
House of Representatives.''.
(2) Joint strategic plan on mandatory advance
information.--Not later than 60 days after the date of the
enactment of this Act, the Secretary of Homeland Security and
the Postmaster General shall develop and submit to the
appropriate congressional committees a joint strategic plan
detailing specific performance measures for achieving--
(A) the transmission of information as required by
section 343(a)(3)(K) of the Trade Act of 2002, as
amended by paragraph (1); and
(B) the presentation by the Postal Service to U.S.
Customs and Border Protection of all mail targeted by
U.S. Customs and Border Protection for inspection.
(b) Capacity Building.--
(1) In general.--Section 343(a) of the Trade Act of 2002
(Public Law 107-210; 19 U.S.C. 2071 note) is amended by adding
at the end the following:
``(5) Capacity building.--
``(A) In general.--The Secretary, with the
concurrence of the Secretary of State, and in
coordination with the Postmaster General and the heads
of other Federal agencies, as appropriate, may provide
technical assistance, equipment, technology, and
training to enhance the capacity of foreign postal
operators--
``(i) to gather and provide the information
required by paragraph (3)(K); and
``(ii) to otherwise gather and provide
postal shipment information related to--
``(I) terrorism;
``(II) items the importation or
introduction of which into the United
States is prohibited or restricted,
including controlled substances; and
``(III) such other concerns as the
Secretary determines appropriate.
``(B) Provision of equipment and technology.--With
respect to the provision of equipment and technology
under subparagraph (A), the Secretary may lease, loan,
provide, or otherwise assist in the deployment of such
equipment and technology under such terms and
conditions as the Secretary may prescribe, including
nonreimbursable loans or the transfer of ownership of
equipment and technology.''.
(2) Joint strategic plan on capacity building.--Not later
than one year after the date of the enactment of this Act, the
Secretary of Homeland Security and the Postmaster General
shall, in consultation with the Secretary of State, jointly
develop and submit to the appropriate congressional committees
a joint strategic plan--
(A) detailing the extent to which U.S. Customs and
Border Protection and the United States Postal Service
are engaged in capacity building efforts under section
343(a)(5) of the Trade Act of 2002, as added by
paragraph (1);
(B) describing plans for future capacity building
efforts; and
(C) assessing how capacity building has increased
the ability of U.S. Customs and Border Protection and
the Postal Service to advance the goals of this Act and
the amendments made by this Act.
(c) Report and Consultations by Secretary of Homeland Security and
Postmaster General.--
(1) Report.--Not later than 180 days after the date of the
enactment of this Act, and annually thereafter until 3 years
after the Postmaster General has met the requirement under
clause (vi) of subparagraph (K) of section 343(a)(3) of the
Trade Act of 2002, as amended by subsection (a)(1), the
Secretary of Homeland Security and the Postmaster General
shall, in consultation with the Secretary of State, jointly
submit to the appropriate congressional committees a report on
compliance with that subparagraph that includes the following:
(A) An assessment of the status of the regulations
required to be promulgated under that subparagraph.
(B) An update regarding new and existing agreements
reached with foreign postal operators for the
transmission of the information required by that
subparagraph.
(C) A summary of deliberations between the United
States Postal Service and foreign postal operators with
respect to issues relating to the transmission of that
information.
(D) A summary of the progress made in achieving the
transmission of that information for the percentage of
shipments required by that subparagraph.
(E) An assessment of the quality of that
information being received by foreign postal operators,
as determined by the Secretary of Homeland Security,
and actions taken to improve the quality of that
information.
(F) A summary of policies established by the
Universal Postal Union that may affect the ability of
the Postmaster General to obtain the transmission of
that information.
(G) A summary of the use of technology to detect
illicit synthetic opioids and other illegal substances
in international mail parcels and planned acquisitions
and advancements in such technology.
(H) Such other information as the Secretary of
Homeland Security and the Postmaster General consider
appropriate with respect to obtaining the transmission
of information required by that subparagraph.
(2) Consultations.--Not later than 180 days after the date
of the enactment of this Act, and every 180 days thereafter
until the Postmaster General has met the requirement under
clause (vi) of section 343(a)(3)(K) of the Trade Act of 2002,
as amended by subsection (a)(1), to arrange for the
transmission of information with respect to 100 percent of the
aggregate number of mail shipments described in clause (i) of
that section, the Secretary of Homeland Security and the
Postmaster General shall provide briefings to the appropriate
congressional committees on the progress made in achieving the
transmission of that information for that percentage of
shipments.
(d) Government Accountability Office Report.--Not later than June
30, 2019, the Comptroller General of the United States shall submit to
the appropriate congressional committees a report--
(1) assessing the progress of the United States Postal
Service in achieving the transmission of the information
required by subparagraph (K) of section 343(a)(3) of the Trade
Act of 2002, as amended by subsection (a)(1), for the
percentage of shipments required by that subparagraph;
(2) assessing the quality of the information received from
foreign postal operators for targeting purposes;
(3) assessing the specific percentage of targeted mail
presented by the Postal Service to U.S. Customs and Border
Protection for inspection;
(4) describing the costs of collecting the information
required by such subparagraph (K) from foreign postal operators
and the costs of implementing the use of that information;
(5) assessing the benefits of receiving that information
with respect to international mail shipments;
(6) assessing the feasibility of assessing a customs fee
under section 13031(b)(9) of the Consolidated Omnibus Budget
Reconciliation Act of 1985, as amended by section 2, on
international mail shipments other than Inbound Express Mail
service in a manner consistent with the obligations of the
United States under international agreements; and
(7) identifying recommendations, including recommendations
for legislation, to improve the compliance of the Postal
Service with such subparagraph (K), including an assessment of
whether the detection of illicit synthetic opioids in the
international mail would be improved by--
(A) requiring the Postal Service to serve as the
consignee for international mail shipments containing
goods; or
(B) designating a customs broker to act as an
importer of record for international mail shipments
containing goods.
(e) Technical Correction.--Section 343 of the Trade Act of 2002
(Public Law 107-210; 19 U.S.C. 2071 note) is amended in the section
heading by striking ``advanced'' and inserting ``advance''.
(f) Appropriate Congressional Committees Defined.--In this section,
the term ``appropriate congressional committees'' means--
(1) the Committee on Finance and the Committee on Homeland
Security and Governmental Affairs of the Senate; and
(2) the Committee on Ways and Means, the Committee on
Oversight and Government Reform, and the Committee on Homeland
Security of the House of Representatives.
SEC. 4. INTERNATIONAL POSTAL AGREEMENTS.
(a) Existing Agreements.--
(1) In general.--In the event that any provision of this
Act, or any amendment made by this Act, is determined to be in
violation of obligations of the United States under any postal
treaty, convention, or other international agreement related to
international postal services, or any amendment to such an
agreement, the Secretary of State should negotiate to amend the
relevant provisions of the agreement so that the United States
is no longer in violation of the agreement.
(2) Rule of construction.--Nothing in this subsection shall
be construed to permit delay in the implementation of this Act
or any amendment made by this Act.
(b) Future Agreements.--
(1) Consultations.--Before entering into, on or after the
date of the enactment of this Act, any postal treaty,
convention, or other international agreement related to
international postal services, or any amendment to such an
agreement, that is related to the ability of the United States
to secure the provision of advance electronic information by
foreign postal operators, the Secretary of State should consult
with the appropriate congressional committees (as defined in
section 3(f)).
(2) Expedited negotiation of new agreement.--To the extent
that any new postal treaty, convention, or other international
agreement related to international postal services would
improve the ability of the United States to secure the
provision of advance electronic information by foreign postal
operators as required by regulations prescribed under section
343(a)(3)(K) of the Trade Act of 2002, as amended by section
3(a)(1), the Secretary of State should expeditiously conclude
such an agreement.
SEC. 5. COST RECOUPMENT.
(a) In General.--The United States Postal Service shall, to the
extent practicable and otherwise recoverable by law, ensure that all
costs associated with complying with this Act and amendments made by
this Act are charged directly to foreign shippers or foreign postal
operators.
(b) Costs Not Considered Revenue.--The recovery of costs under
subsection (a) shall not be deemed revenue for purposes of subchapter I
and II of chapter 36 of title 39, United States Code, or regulations
prescribed under that chapter.
SEC. 6. DEVELOPMENT OF TECHNOLOGY TO DETECT ILLICIT NARCOTICS.
(a) In General.--The Postmaster General and the Commissioner of
U.S. Customs and Border Protection, in coordination with the heads of
other agencies as appropriate, shall collaborate to identify and
develop technology for the detection of illicit fentanyl, other
synthetic opioids, and other narcotics and psychoactive substances
entering the United States by mail.
(b) Outreach to Private Sector.--The Postmaster General and the
Commissioner shall conduct outreach to private sector entities to
gather information regarding the current state of technology to
identify areas for innovation relating to the detection of illicit
fentanyl, other synthetic opioids, and other narcotics and psychoactive
substances entering the United States.
SEC. 7. CIVIL PENALTIES FOR POSTAL SHIPMENTS.
Section 436 of the Tariff Act of 1930 (19 U.S.C. 1436) is amended
by adding at the end the following new subsection:
``(e) Civil Penalties for Postal Shipments.--
``(1) Civil penalty.--A civil penalty shall be imposed
against the United States Postal Service if the Postal Service
accepts a shipment in violation of section 343(a)(3)(K)(vii)(I)
of the Trade Act of 2002.
``(2) Modification of civil penalty.--
``(A) In general.--U.S. Customs and Border
Protection shall reduce or dismiss a civil penalty
imposed pursuant to paragraph (1) if U.S. Customs and
Border Protection determines that the United States
Postal Service--
``(i) has a low error rate in compliance
with section 343(a)(3)(K) of the Trade Act of
2002;
``(ii) is cooperating with U.S. Customs and
Border Protection with respect to the violation
of section 343(a)(3)(K)(vii)(I) of the Trade
Act of 2002; or
``(iii) has taken remedial action to
prevent future violations of section
343(a)(3)(K)(vii)(I) of the Trade Act of 2002.
``(B) Written notification.--U.S. Customs and
Border Protection shall issue a written notification to
the Postal Service with respect to each exercise of the
authority of subparagraph (A) to reduce or dismiss a
civil penalty imposed pursuant to paragraph (1).
``(3) Ongoing lack of compliance.--If U.S. Customs and
Border Protection determines that the United States Postal
Service--
``(A) has repeatedly committed violations of
section 343(a)(3)(K)(vii)(I) of the Trade Act of 2002,
``(B) has failed to cooperate with U.S. Customs and
Border Protection with respect to violations of section
343(a)(3)(K)(vii)(I) of the Trade Act of 2002, and
``(C) has an increasing error rate in compliance
with section 343(a)(3)(K) of the Trade Act of 2002,
civil penalties may be imposed against the United States Postal
Service until corrective action, satisfactory to U.S. Customs
and Border Protection, is taken.''.
SEC. 8. REPORT ON VIOLATIONS OF ARRIVAL, REPORTING, ENTRY, AND
CLEARANCE REQUIREMENTS AND FALSITY OR LACK OF MANIFEST.
(a) In General.--The Commissioner of U.S. Customs and Border
Protection shall submit to the appropriate congressional committees an
annual report that contains the information described in subsection (b)
with respect to each violation of section 436 of the Tariff Act of 1930
(19 U.S.C. 1436), as amended by section 7, and section 584 of such Act
(19 U.S.C. 1584) that occurred during the previous year.
(b) Information Described.--The information described in this
subsection is the following:
(1) The name and address of the violator.
(2) The specific violation that was committed.
(3) The location or port of entry through which the items
were transported.
(4) An inventory of the items seized, including a
description of the items and the quantity seized.
(5) The location from which the items originated.
(6) The entity responsible for the apprehension or seizure,
organized by location or port of entry.
(7) The amount of penalties assessed by U.S. Customs and
Border Protection, organized by name of the violator and
location or port of entry.
(8) The amount of penalties that U.S. Customs and Border
Protection could have levied, organized by name of the violator
and location or port of entry.
(9) The rationale for negotiating lower penalties,
organized by name of the violator and location or port of
entry.
(c) Appropriate Congressional Committees Defined.--In this section,
the term ``appropriate congressional committees'' means--
(1) the Committee on Finance and the Committee on Homeland
Security and Governmental Affairs of the Senate; and
(2) the Committee on Ways and Means, the Committee on
Oversight and Government Reform, and the Committee on Homeland
Security of the House of Representatives.
SEC. 9. EFFECTIVE DATE; REGULATIONS.
(a) Effective Date.--This Act and the amendments made by this Act
(other than the amendments made by section 2) shall take effect on the
date of the enactment of this Act.
(b) Regulations.--Not later than one year after the date of the
enactment of this Act, such regulations as are necessary to carry out
this Act and the amendments made by this Act shall be prescribed.
Passed the House of Representatives June 14, 2018.
Attest:
KAREN L. HAAS,
Clerk.