[Federal Register Volume 68, Number 167 (Thursday, August 28, 2003)]
[Rules and Regulations]
[Pages 51868-51870]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-21995]



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Part III





Department of Homeland Security





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Bureau of Customs and Border Protection



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Department of the Treasury





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19 CFR Chapters I and IV



Delegations of Authority: Signature of Customs and Border Protection 
Regulations Published in the Federal Register; Final Rule

  Federal Register / Vol. 68, No. 167 / Thursday, August 28, 2003 / 
Rules and Regulations  

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DEPARTMENT OF HOMELAND SECURITY

Bureau of Customs and Border Protection

DEPARTMENT OF THE TREASURY

19 CFR Chapters I and IV

[CBP Dec. 03-24]
RIN 1515 AD 39


Delegations of Authority: Signature of Customs and Border 
Protection Regulations Published in the Federal Register

AGENCY: Bureau of Customs and Border Protection; Department of Homeland 
Security; Department of the Treasury.

ACTION: Final rule.

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SUMMARY: This document revises the title and structure of title 19 of 
the Code of Federal Regulations (CFR) to reflect changes caused by the 
creation of the Department of Homeland Security and the consequent 
governmental reorganization. The document also specifies the signatures 
that indicate the exercise of authority for documents that appear in 19 
CFR chapter I. In addition, this document adds and reserves for future 
use a chapter under which the bureau of Immigration and Customs 
Enforcement (ICE) may issue regulations.

EFFECTIVE DATE: August 28, 2003.

FOR FURTHER INFORMATION CONTACT: Harold Singer, Chief, Regulations 
Branch, Customs and Border Protection (202) 572-8767.

SUPPLEMENTARY INFORMATION:

Background

    Prior to March 1, 2003, the United States Customs Service was a 
component of the Department of the Treasury (Treasury). In accordance 
with Treasury Department Order No. 165, Revised (Treasury Decision 
53654), issued on November 2, 1954, the Commissioner of Customs 
prescribed the regulations contained in Title 19 of the Code of Federal 
Regulations, Chapter I (19 CFR Chapter I) (the Customs Regulations), 
and with certain limited exceptions, the Customs Regulations required 
the approval of the Secretary of the Treasury (or his or her delegate). 
On November 25, 2002, the President signed the Homeland Security Act of 
2002, 6 U.S.C. 101 et seq., Pub. L. 107-296, (the Act), establishing 
the Department of Homeland Security (DHS). Under section 403(1) of the 
Act (6 U.S.C. 203(1)), the United States Customs Service, including 
functions of the Secretary of the Treasury relating thereto, 
transferred to the Secretary of Homeland Security.
    Notwithstanding the transfer of the Customs Service to DHS, section 
412 of the Act (6 U.S.C. 212) provides that the legal authority vested 
in the Secretary of the Treasury over customs revenue functions is to 
be retained by the Secretary of the Treasury. Section 412 of the Act 
also authorizes the Secretary of the Treasury to delegate any of the 
retained legal authority over the customs revenue functions to the 
Secretary of Homeland Security.
    By Treasury Department Order No. 100-16, dated May 15, 2003 and 
published in the Federal Register on May 23, 2003 (68 FR 28322), the 
Secretary of the Treasury delegated to the Secretary of Homeland 
Security authority to prescribe regulations pertaining to the customs 
revenue functions. This Order further provided that the Secretary of 
the Treasury retained the sole authority to approve any Customs 
Regulations concerning import quotas or trade bans, user fees, marking, 
labeling, copyright and trademark enforcement, and the completion of 
entry or substance of entry summary including duty assessment and 
collection, classification, valuation, application of the U.S. 
Harmonized Schedules, eligibility or requirements for preferential 
trade programs, and the establishment of recordkeeping requirements 
relating thereto.
    The Code of Federal Regulations (CFR) is divided into 50 titles 
based on subject matter. Within each CFR title, departments and 
agencies are assigned individual chapters.
    Because title 19 chapter I of the Code of Federal Regulations is 
currently named for the ``United States Customs Service, Department of 
the Treasury,'' and that agency is now known as the bureau of ``Customs 
and Border Protection'' (CBP) and is a component of DHS, the title of 
19 CFR chapter I is revised in this document to reflect the new name of 
the agency and to add DHS. The Department of the Treasury remains in 
the title of chapter I because of the retained authority of the 
Secretary of the Treasury with respect to regulations concerning the 
customs revenue functions.
    This document also amends the Customs Regulations by adding a new 
part 0 that prescribes the signatures that indicate the exercise of 
authority to amend, revise, or revoke regulations in 19 CFR chapter 1. 
The document specifies that signatures of the Secretary of the Treasury 
and of the Secretary of Homeland Security include the signatures of his 
or her Treasury or DHS delegate (respectively). Thus, the signature of 
the Commissioner of Customs and Border Protection indicates exercise of 
the Secretary of Homeland Security's authority as his or her DHS 
delegate.
    Lastly, section 442 of the Homeland Security Act of 2002 (6 U.S.C. 
252) established the Bureau of Border Security. Pursuant to section 
1502 of the Act, the President transmitted to the House of 
Representatives the ``Reorganization Plan Modification for the 
Department of Homeland Security'' which, effective March 1, 2003, 
renamed the Bureau of Border Security as the bureau of ``Immigration 
and Customs Enforcement'' (ICE). ICE brings together the investigation 
arms of the former Customs Service, the investigative functions of the 
former Immigration and Naturalization Service, and the former Federal 
Protective Service. Under the savings provisions of the Homeland 
Security Act and general principles of federal law, the ``Customs 
Regulations'' in Title 19 CFR chapter I apply as relevant to both 
components of the legacy ``United States Customs Service''--i.e. to ICE 
and CBP. Nonetheless, in the future it is anticipated that ICE may 
issue regulations unique to ICE. Thus, this document creates a new 
chapter IV in 19 CFR for any regulations that ICE may promulgate in the 
future. However, absent such express regulatory action, the creation of 
this new chapter does not in itself supersede any Customs Regulations 
that currently apply for ICE in Chapter I.

Inapplicability of Prior Public Notice and Delayed Effective Date 
Requirements

    This regulation involves matters relating to agency management. It 
involves the relationship between cabinet Departments on issues of 
authority over Customs Regulations. For this reason, pursuant to 5 
U.S.C. 553 (a)(2), prior notice and public procedure and a delayed 
effective date are not required.

The Regulatory Flexibility Act and Executive Order 12866

    Because no notice of proposed rulemaking is required, the 
provisions of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) do 
not apply. Further, this amendment does not meet the criteria for a 
``significant regulatory action'' for purposes of Executive Order 
12866.

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List of Subjects in 19 CFR Part 0

    Customs duties and inspection, Delegations of authority.

Amendments to the Regulations

0
For the reasons set forth in the preamble and under the Homeland 
Security Act of 2002, Pub. L. 107-296, Title 19 chapter I is amended 
and chapter IV is added as set forth below:

CHAPTER I--BUREAU OF CUSTOMS AND BORDER PROTECTION, DEPARTMENT OF 
HOMELAND SECURITY; DEPARTMENT OF THE TREASURY

0
1. Revise the chapter I heading to read as set forth above.

0
2. Add part 0 to chapter I to read as follows:

PART 0--TRANSFERRED OR DELEGATED AUTHORITY

Sec.
0.1 Customs revenue function regulations issued under the authority 
of the Departments of the Treasury and Homeland Security.
0.2 All other Customs Regulations issued under the authority of the 
Department of Homeland Security.
Appendix to 19 CFR Part 0--Treasury Department Order No. 100-16

    Authority: 5 U.S.C. 301, 6 U.S.C. 101 et seq., 19 U.S.C. 66, 19 
U.S.C. 1624, 31 U.S.C. 321.


Sec.  0.1  Customs revenue function regulations issued under the 
authority of the Departments of the Treasury and Homeland Security.

    (a) Regulations requiring signatures of Treasury and Homeland 
Security. (1) By Treasury Department Order No. 100-16, set forth in the 
appendix to this part, the Secretary of the Treasury has delegated to 
the Secretary of Homeland Security the authority to prescribe all 
Customs regulations relating to customs revenue functions, except that 
the Secretary of the Treasury retains the sole authority to approve 
such Customs regulations concerning subject matters listed in paragraph 
1(a)(i) of the order. Regulations for which the Secretary of the 
Treasury retains the sole authority to approve will be signed by the 
Secretary of Homeland Security (or his or her DHS delegate), and by the 
Secretary of the Treasury (or his or her Treasury delegate) to indicate 
approval.
    (2) When a regulation described in paragraph (a)(1) of this section 
is published in the Federal Register, the preamble of the document 
accompanying the regulation will clearly indicate that it is being 
issued in accordance with paragraph (a)(1) of this section.
    (b) Regulations with respect to which the Department of Homeland 
Security is authorized to sign for the Department of the Treasury. (1) 
By Treasury Department Order No. 100-16, set forth in the appendix to 
this part, the Secretary of the Treasury delegated to the Secretary of 
Homeland Security the authority to prescribe and approve regulations 
relating to customs revenue functions on behalf of the Secretary of the 
Treasury when the subject matter of the regulations is not listed in 
paragraph 1(a)(i) of the order. Such regulations are the official 
regulations of both Departments notwithstanding that they are not 
signed by an official of the Department of the Treasury. These 
regulations will be signed by the Secretary of Homeland Security (or 
his or her DHS delegate).
    (2) When a regulation described in paragraph (b)(1) of this section 
is published in the Federal Register, the preamble of the document 
accompanying the regulation will clearly indicate that it is being 
issued in accordance with paragraph (b)(1) of this section.
    (c) Sole signature by Secretary of the Treasury. (1) Pursuant to 
Treasury Department Order No. 100-16, set forth in the appendix to this 
part, the Secretary of the Treasury reserves the right to promulgate 
regulations related to the customs revenue functions. Such regulations 
are signed by the Secretary of the Treasury (or his or her delegate) 
after consultation with the Secretary of Homeland Security (or his or 
her delegate), and are the official regulations of both Departments.
    (2) When a regulation described in paragraph (c)(1) of this section 
is published in the Federal Register, the preamble of the document 
accompanying the regulation will clearly indicate that the regulation 
is being issued in accordance with paragraph (c)(1) of this section.


Sec.  0.2  All other Customs regulations issued under the authority of 
the Department of Homeland Security.

    (a) The authority of the Secretary of the Treasury with respect to 
Customs regulations that are not related to customs revenue functions 
was transferred to the Secretary of Homeland Security pursuant to 
section 403(1) of the Homeland Security Act of 2002. Such regulations 
are signed by the Secretary of Homeland Security (or his or her 
delegate) and are the official regulations of the Department of 
Homeland Security.
    (b) When a regulation described in paragraph (a) of this section is 
published in the Federal Register, the preamble accompanying the 
regulation shall clearly indicate that it is being issued in accordance 
with paragraph (a) of this section.

Appendix to 19 CFR Part 0--Treasury Department Order No. 100-16

    Delegation from the Secretary of the Treasury to the Secretary 
of Homeland Security of general authority over Customs revenue 
functions vested in the Secretary of the Treasury as set forth in 
the Homeland Security Act of 2002.

Treasury Department, Washington, DC,
May 15, 2003.

    By virtue of the authority vested in me as the Secretary of the 
Treasury, including the authority vested by 31 U.S.C. 321(b) and 
section 412 of the Homeland Security Act of 2002 (Pub. L. 107-296) 
(Act), it is hereby ordered:
    1. Consistent with the transfer of the functions, personnel, 
assets, and liabilities of the United States Customs Service to the 
Department of Homeland Security as set forth in section 403(1) of 
the Act, there is hereby delegated to the Secretary of Homeland 
Security the authority related to the Customs revenue functions 
vested in the Secretary of the Treasury as set forth in sections 412 
and 415 of the Act, subject to the following exceptions and to 
paragraph 6 of this Delegation of Authority:
    (a)(i) The Secretary of the Treasury retains the sole authority 
to approve any regulations concerning import quotas or trade bans, 
user fees, marking, labeling, copyright and trademark enforcement, 
and the completion of entry or substance of entry summary including 
duty assessment and collection, classification, valuation, 
application of the U.S. Harmonized Tariff Schedules, eligibility or 
requirements for preferential trade programs, and the establishment 
of recordkeeping requirements relating thereto. The Secretary of 
Homeland Security shall provide a copy of all regulations so 
approved to the Chairman and Ranking Member of the Committee on Ways 
and Means and the Chairman and Ranking Member of the Committee on 
Finance every six months.
    (ii) The Secretary of the Treasury shall retain the authority to 
review, modify, or revoke any determination or ruling that falls 
within the criteria set forth in paragraph 1(a)(i), and that is 
under consideration pursuant to the procedures set forth in sections 
516 and 625(c) of the Tariff Act of 1930, as amended (19 U.S.C. 1516 
and 1625(c)). The Secretary of Homeland Security periodically shall 
identify and describe for the Secretary of the Treasury such 
determinations and rulings that are under consideration under 
sections 516 and 625(c) of the Tariff Act of 1930, as amended, in an 
appropriate and timely manner, with consultation as necessary, prior 
to the Secretary of Homeland Security's exercise of such authority. 
The Secretary of Homeland Security shall provide a copy of these 
identifications and descriptions so made to the Chairman and Ranking 
Member of the Committee on Ways and Means and the Chairman and 
Ranking Member of the Committee on Finance every six months. The 
Secretary of the Treasury shall list any case where Treasury 
modified or revoked such a determination or ruling.

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    (b) Paragraph 1(a) notwithstanding, if the Secretary of Homeland 
Security finds an overriding, immediate, and extraordinary security 
threat to public health and safety, the Secretary of Homeland 
Security may take action described in paragraph 1(a) without the 
prior approval of the Secretary of the Treasury. However, 
immediately after taking any such action, the Secretary of Homeland 
Security shall certify in writing to the Secretary of the Treasury 
and to the Chairman and Ranking Member of the Committee on Ways and 
Means and the Chairman and Ranking Member of the Committee on 
Finance the specific reasons therefor. The action shall terminate 
within 14 days or as long as the overriding, immediate, and 
extraordinary security threat exists, whichever is shorter, unless 
the Secretary of the Treasury approves the continued action and 
provides notice of such approval to the Secretary of Homeland 
Security.
    (c) The Advisory Committee on Commercial Operations of the 
Customs Service (COAC) shall be jointly appointed by the Secretary 
of the Treasury and the Secretary of Homeland Security. Meetings of 
COAC shall be presided over jointly by the Secretary of the Treasury 
and the Secretary of Homeland Security. The COAC shall advise the 
Secretary of the Treasury and the Secretary of Homeland Security 
jointly.
    2. Any references in this Delegation of Authority to the 
Secretary of the Treasury or the Secretary of Homeland Security are 
deemed to include their respective delegees, if any.
    3. This Delegation of Authority is not intended to create or 
confer any right, privilege, or benefit on any private person, 
including any person in litigation with the United States.
    4. Treasury Order No. 165-09, ``Maintenance of delegation in 
respect to general authority over Customs Revenue functions vested 
in the Secretary of the Treasury, as set forth and defined in the 
Homeland Security Act of 2002,'' dated February 28, 2003, is 
rescinded. To the extent this Delegation of Authority requires any 
revocation of any other prior Order or Directive of the Secretary of 
the Treasury, such prior Order or Directive is hereby revoked.
    5. This Delegation of Authority is effective May 15, 2003. This 
Delegation is subject to review on May 14, 2004. By March 15, 2004, 
the Secretary of the Treasury and the Secretary of Homeland Security 
shall consult with the Chairman and Ranking Member of the Committee 
on Ways and Means and the Chairman and Ranking Member of the 
Committee on Finance to discuss the upcoming review of this 
Delegation.
    6. The Secretary of the Treasury reserves the right to rescind 
or modify this Delegation of Authority, promulgate regulations, or 
exercise authority at any time based upon the statutory authority 
reserved to the Secretary by the Act.

John W. Snow, Secretary of the Treasury.

* * * * *

0
3. Add Chapter IV to Title 19 to read as follows:

CHAPTER IV--BUREAU OF IMMIGRATION AND CUSTOMS ENFORCEMENT; 
DEPARTMENT OF HOMELAND SECURITY

PARTS 400 to 599--[RESERVED]

    Dated: August 5, 2003.
Asa Hutchinson,
Under Secretary for Border and Transportation Security, Department of 
Homeland Security.
    Dated: August 6, 2003.
Timothy E. Skud,
Deputy Assistant Secretary, Department of the Treasury.
[FR Doc. 03-21995 Filed 8-27-03; 8:45 am]
BILLING CODE 4410-10-P