[Federal Register Volume 66, Number 249 (Friday, December 28, 2001)]
[Notices]
[Pages 67178-67180]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-31852]


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DEPARTMENT OF COMMERCE

Census Bureau


Shipper's Export Declaration Program

ACTION: Proposed collection; comment request.

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SUMMARY: The Department of Commerce, as mandated by Public Law 106-113, 
Title XII, ``Security Assistance,'' Subtitle E, ``Proliferation 
Prevention Enhancement Act of 1999'' and as part of its continuing 
effort to reduce paperwork and respondent burden, as required by the 
Paperwork Reduction Act of 1995, Public Law 104-13 (U.S.C. 
3506(c)(2)(A)), invites the general public and other Federal agencies 
to take this opportunity to comment on proposed and/or continuing 
information collections.

DATES: Written comments must be submitted on or before February 26, 
2002.

ADDRESSES: Direct all written comments to Madeleine Clayton, 
Departmental Paperwork Clearance Officer, Department of Commerce, Room 
6086, 14th and Constitution Avenue, NW., Washington, DC 20230 (or via 
the Internet at [email protected]).

FOR FURTHER INFORMATION CONTACT: Requests for additional information or 
copies of the information collection instrument(s) and instructions 
should be directed to Jerome Greenwell, Foreign Trade Division, U.S. 
Census Bureau, Room 3125, Federal Office Building No. 3, Washington, DC 
20233-0001, 301-457-2238.

SUPPLEMENTARY INFORMATION

I. Abstract:

    The Shipper's Export Declaration (SED), Form 7525-V and the 
electronic equivalent, the Automated Export System (AES) are the basis 
for the official export trade statistics compiled by the U.S. Census 
Bureau (Census Bureau) used for determining the balance of trade, a 
principal economic indicator. Title 13, United States Code, Chapter 9, 
Sections 301-307 authorizes the collection of these data. Title 15, 
Code of Federal Regulations, Part 30 contains the regulatory provisions 
for preparing and filing the SED or the AES record. These data are 
essential in formulating basic government policy decisions affecting 
the economy. The U.S. businesses rely heavily on these data to develop 
export leads, export marketing strategies and assessing the impact of 
exports on the domestic economy.
    The SED/AES records are also used for export control purposes under 
Title 50, United States Code. The SED/AES records, as official 
documents or export transactions, enable the U.S. Customs Service 
(Customs) and the Bureau of Export Administration (BXA) to enforce the 
Customs and Export Administration Regulations and thereby detect and 
prevent the export of high technology items or military goods to 
unauthorized destinations or end users. The Department of State (State 
Department) uses the SED/AES information to enforce the International 
Traffic in Arms Regulations (ITAR), Title 22, CFR 120-130, to detect 
and prevent the export of arms and ammunition to unauthorized 
destinations.

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    On November 29, 1999, the President signed H.R. 3194 into law 
(Public Law 106-113). The short title to this law, as specified in 
section 1251, is referred to as the ``Proliferation Prevention 
Enhancement Act of 1999.'' Section 1252 of this law amends Title 13, 
United States Code, Chapter 9, Section 301, to add Section ``(h)'' 
authorizing the Department of Commerce, Census Bureau, to require by 
regulation mandatory reporting requirements for filing export 
information through the AES. This Act further specifies that all items 
on the Department of Commerce' Commerce Control List (CCL) and the 
State Department's of U.S. Munitions List (USML) be reported through 
the AES, when an SED is required.
    As a result of Pub. L. 106-113, the Census Bureau is planning 
revisions to AES to meet the requirements of the law. The State 
Department has requested to have additional data items incorporated 
into the AES in order to accommodate the requirements of the ITAR. The 
collection of these additional data items are critical to the mission 
of the State Department in maintaining control over the export of arms 
and ammunition. The incorporation of these data items into AES will 
allow the elimination of the requirement for exporters to submit the 
paper SED to the State Department. The items mentioned above will not 
be required for the paper SED since the items on the USML or CCL must 
be filed through AES. Therefore, the additional data items requested by 
the State Department will not be incorporated on the paper SED. 
However, the Census Bureau is requesting one additional data item be 
added to the paper form to bring it up to date with regulatory changes 
reflected in the AES. With this submission the Census Bureau is 
requesting clearance for the reporting of the additional export data 
items.

II. Method of Collection

    A paper SED or electronic AES record is required for all export 
shipments valued over $2,500 from the United States, Puerto Rico, and 
the U.S. Virgin Islands. The SED or AES record is also required for all 
licensed shipments, (i.e. State Department or BXA export licenses) 
regardless of value. The SED program is unique among Census Bureau 
statistical collections since it is not sent to respondents soliciting 
responses as is the case in surveys. Filing the SED/AES information is 
mandatory under Title 13, Chapter 9, United States Code. The Census 
Bureau has seen a progressive growth in the number of electronic 
filers, with a comparable decrease in the number of paper SED filers. 
Exporters can access the AES via the Census Bureau's free Internet-
based system, AESDirect or they can integrate the AES into their 
company's network and file directly with Customs. Exporters can 
purchase paper SEDs from the Government Printing Office or they may 
have them privately printed. They can also download the SEDs over the 
Internet and print them on the required ``buff'' colored paper.
    For exports to Canada, the United States is substituting Canadian 
import statistics for U.S. export statistics to Canada in accordance 
with a Memorandum of Understanding (MOU) signed by both Customs and 
statistical agencies in both countries. Similarly, under this MOU, 
Canada is substituting U.S. imports statistics for Canadian exports to 
the United States. This data exchange eliminates the requirement for 
U.S. exporters to file any information with the U.S. Government for 
exports of non-licensed shipments to Canada. This results in the 
elimination of over seven million SEDs annually. However, for exports 
to Canada that require a license, a SED or AES record must be filed. 
Also, a SED or AES record is required for exports from the United 
States through Canada destined to a country other than Canada.
    For this submission, the Census Bureau is planning revisions to the 
paper SED and the AES. The only change to the paper SED includes adding 
a box to collect the authorized forwarding agent's Employer 
Identification Number. Revisions to the AES format include: (1) Adding 
an additional field to collect a registration code assigned by the 
Department of State's Office of Defense Trade Controls (ODTC), (2) 
adding a ``yes'' or ``no'' indicator for the shipment of ODTC 
significant military equipment, (3) adding a ``yes'' or ``no'' 
indicator for ODTC eligible party certification, (4) adding an 
additional field to collect the ODTC USML category code, (5) adding an 
additional field to collect ODTC USML unit of measure, (6) adding an 
additional field to collect ODTC USML unit of quantity, and (7) adding 
an additional field to collect the ODTC export license line number. The 
AES and the SED currently requires the reporting of an ODTC license 
number or ODTC (ITAR) exemption citation. These changes will affect 
only a small portion of the number of AES transactions filed and will 
have no affect on the overall AES transactions response time of three 
minutes. Furthermore, because of the significant reduction in the paper 
filing of SEDs since the last Office of Management and Budget (OMB) 
clearance approval, the estimated total annual burden hours has 
decreased.
    The U.S. principal party in interests (USPPI) or authorized agents 
file individual paper SEDs with the exporting carries at the time that 
each export shipment leaves the United States. For AES, USPPI's or 
authorized agents file the export data electronically directly with the 
Census Bureau or Customs, according to the filing provisions 
established in Title 15, Code of Federal Regulations, part 30, subpart 
E, Electronic Filing Requirements--Shipper's Export Information.'' The 
carriers submit the paper SED documents to Customs officials when the 
carrier departs the United States and Customs then transmits the SEDs 
to the Census Bureau on a flow basis for statistical processing.
    For AES, the Census Bureau extracts export data files from the 
Customs AES, for statistical processing. As a result of Pub. L. 106-
113, the State Department will extract from AES only those records of 
exports subject to the ITAR.
    In summary, the mandatory filing of USML and CCL shipments through 
the AES will substantially decrease the number of paper SEDs processed 
monthly and provide more timely and accurate information to Customs, 
BXA and the State Department for the purposes of export control.

III. Data

    OMB Number: 0607-0152.
    Form Number: 7525-V, Automated Export System (AES) submissions.
    Type of Review: Regular Submission.
    Affected Public: Exporters, Forwarding Agents, Export Carriers.
    Estimated Number of Respondents: 200,000.
    Estimated Number of Responses: 15,043,756.
    Estimated Time Per Response: 11.0 minutes for 7525-V 3.0 minutes 
for AES Submissions.
    Estimated Total Annual Burden Hours: 944,188 (SEDs 264,000)( AES 
680,188).
    Estimated Total Annual Cost: $14,162,820.
    Respondent's Obligation: Mandatory.
    Legal Authority: Title 13, United States Code, Chapter 9 and Public 
Law 106-113, Title XII, ``Security Assistance,'' Subtitle E, 
``Proliferation Prevention Enhancement Act of 1999''.

IV. Request for Comments

    Comments are invited on: (a) Whether the proposed collection of 
information is necessary for the proper performance of the functions of 
the agency, including whether the information shall have practical 
utility; (b) the accuracy of the

[[Page 67180]]

agency's estimate of the burden (including hours and cost) of the 
proposed collection of information; (c) ways to enhance the quality, 
utility, and clarity of the information to be collected: and (d) ways 
to minimize the burden of the collection of information on respondents.
    Comments submitted in response to this notice will be summarized 
and/or included in the request for OMB approval of this information 
collection; they also will become a matter of public record.

    Dated: December 20, 2001.
Madeleine Clayton,
Departmental Paperwork Clearance Officer, Office of the Chief 
Information Officer.
[FR Doc. 01-31852 Filed 12-27-01; 8:45 am]
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