[Federal Register Volume 60, Number 195 (Tuesday, October 10, 1995)]
[Rules and Regulations]
[Pages 52627-52628]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-24705]
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DEPARTMENT OF THE TREASURY
Customs Service
19 CFR Part 101
[T.D. 95-80]
Customs Service Field Organization--San Jose, CA
AGENCY: U.S. Customs Service, Department of the Treasury.
ACTION: Final rule.
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SUMMARY: This document amends the Customs Regulations pertaining to the
field organization of the Customs Service by designating San Jose,
California, as a port of entry. This change is made as part of Customs
continuing program to obtain more efficient use of its personnel,
facilities, and resources, and to provide better service to carriers,
importers, and the general public.
EFFECTIVE DATE: November 9, 1995.
FOR FURTHER INFORMATION CONTACT: Harry Denning, Office of Field
Operations, (202) 927-0196.
SUPPLEMENTARY INFORMATION:
Background
As part of a continuing program to obtain more efficient use of its
personnel, facilities, and resources, and to provide better service to
carriers, importers, and the general public, Customs published a
document in the Federal Register (60 FR 25176) on May 11, 1995,
proposing to amend Sec. 101.3, Customs Regulations (19 CFR 101.3) by
designating a four county area surrounding San Jose, California, as a
port of entry for Customs purposes and to amend Sec. 101.4, Customs
Regulations (19 CFR 101.4) by removing Monterey as a Customs station.
Monterey, which is part of the four county area encompassed within San
Jose, is presently listed in Sec. 101.4(c), Customs Regulations, as a
Customs station under the supervision of the San Francisco port of
entry. San Jose is presently part of the port of entry of San
Francisco.
As the proposal stated, the city of San Jose requested designation
as a port of entry stating that the efficiency in having a port of
entry located in San Jose would represent a considerable saving of time
and cost for the business community.
The request for port of entry status stated that there will be
several Federal Government benefits if the port of entry is approved.
Approval will support the national goal of United States
competitiveness by strengthening the economic competitiveness of one of
the nation's most critical high technology areas. It will increase the
efficiency of the regional Customs service by improving the
distribution of entries which must be cleared through the San
Francisco-Oakland port and the San Jose port. It will decrease
congestion on the Bay Area's freeways due to shipments going directly
to San Jose International Airport. Finally, it will further the Customs
goal of increased automation, since San Jose International Airport has
provided the equipment necessary to supply a fully automated, highly
efficient Customs port.
The proposal stated that the San Jose port of entry will be served
by three major modes of transportation (air, rail and highway) and that
San Jose has a population of 2,167,000.
The City of San Jose has committed to the optimal use of electronic
data input equipment and software to permit integration with any
Customs system for electronic processing of commercial entries. San
Jose International Airport has provided, at no cost to the Federal
Government, computer equipment and systems which are needed to comply
with the goals of the National Customs Automation Program.
Based on the information provided to Customs, the proposal set
forth Customs belief that San Jose meets the current standards for port
of entry designation set forth in T.D. 82-37, as revised by T.D. 86-14
and T.D. 87-65.
Analysis of Comments
Two entities responded to the proposal. One, an airline, responded
favorably to the proposal. One, a Customs broker, responded negatively
to the proposal.
The Customs broker is concerned with how shipments subject to Food
and Drug Administration (FDA) processing will be handled. The current
procedure for handling cargo which is subject to FDA examination and/or
holding will continue, that is, FDA-related entries currently filed in
San Francisco or Oakland for goods located in San Jose are forwarded
first to the FDA office in Alameda, and their determination is
forwarded or faxed to the San Jose FDA office. FDA has informed Customs
that the procedure will not change once San Jose becomes a separate
port. The time required to clear an FDA-related entry should not change
at all.
Most of the broker's other comments related to the relative
staffing between the ports of San Francisco and San Jose and to entry
submission at both ports. San Jose is currently being staffed with six
positions (five inspectors and one supervisor) funded by COBRA user
fees. This staffing will not change in the near future. Customs
believes the current staffing at San Jose is sufficient to process both
passengers and cargo. The staffing will remain constant through the
year 2000.
Regarding the commenter's concern that there will be inconvenience
or added processing time when San Jose becomes a port, Customs notes
that brokers will be able to file their entries at San Francisco
International Airport or San Jose International Airport, whichever they
choose.
Determination
After consideration of the comments and further review, Customs has
determined to amend Sec. 101.3 to establish San Jose as a port of entry
and to amend Sec. 101.4 to remove Monterey as a Customs station.
Limits of Port of Entry
The geographical limits of the port of entry of San Jose are as
follows:
All of Santa Clara, Santa Cruz, Monterey and San Benito Counties in
the State of California.
Regulatory Flexibility Act and Executive Order 12866
Customs routinely establishes, expands, and consolidates Customs
ports of entry throughout the United States to accommodate the volume
of Customs-related activity in various parts of the country. Although
this document was issued for public comment, it is not subject to the
notice and public procedure requirements of 5 U.S.C. 553 because it
relates to agency management and organization. Accordingly, this
document is not subject to the
[[Page 52628]]
provisions of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.).
Agency organization matters such as this are exempt from consideration
under Executive Order 12866.
Drafting Information: The principal author of this document was
Janet L. Johnson, Regulations Branch. However, personnel from other
offices participated in its development.
List of Subjects in 19 CFR Part 101
Customs duties and inspection, Harbors, Organization and functions
(Government agencies), Seals and insignia, Vessels.
Amendments to the Regulations
For the reasons set forth in the preamble, part 101 of the Customs
Regulation is amended as set forth below.
PART 101--GENERAL PROVISIONS
1. The general authority citation for part 101 and the specific
authority citations for Secs. 101.3 and 101.4 continue to read as
follows:
Authority: 5 U.S.C. 301; 10 U.S.C. 2, 66, 1202 (General Note 20,
Harmonized Tariff Schedule of the United States (HTSUS)), 1623,
1624.
Sections 101.3 and 101.4 also issued under 19 U.S.C. 1 and 58b;
* * * * *
Sec. 101.3 [Amended]
2. Section 101.3(b) is amended by adding ``San Jose'' to the list
of ports of entry in appropriate alphabetical order in the State of
California and by adding ``T.D. 95-80'' in the adjacent ``Limits of
Port'' column.
Sec. 101.4 [Amended]
3. Section 101.4(c) is amended by removing ``Monterey'' from the
``Customs station'' column and ``San Francisco-Oakland'' from the
adjacent ``Supervisory Port of Entry'' column.
Michael H. Lane,
Acting Commissioner of Customs.
Approved: September 20, 1995.
John P. Simpson,
Deputy Assistant Secretary of the Treasury.
[FR Doc. 95-24705 Filed 10-6-95; 8:45 am]
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