[Federal Register Volume 70, Number 6 (Monday, January 10, 2005)]
[Notices]
[Pages 1732-1733]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-403]


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DEPARTMENT OF HOMELAND SECURITY

Bureau of Customs and Border Protection


General Program Test Extended: Quota Preprocessing

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

ACTION: General notice.

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SUMMARY: With this notice, the Bureau of Customs and Border Protection 
(CBP) announces that the duration of the quota preprocessing program 
test, which provides for the electronic processing of certain quota-
class apparel merchandise prior to arrival of the importing carrier, is 
extended until December 31, 2006. The quota preprocessing program test 
is currently being conducted at all CBP ports and was set to expire on 
December 31, 2004. The duration of the test is being extended so that 
CBP can continue to evaluate the program's effectiveness. Public 
comments concerning any aspect of the program test as well as 
applications to participate in the test are requested.

DATES: The program test is extended to run until December 31, 2006. 
Applications to participate in the test and comments concerning the 
test will continue to be accepted throughout the testing period. Should 
the test be adopted as a permanent program under the CBP regulations 
through rulemaking, notification terminating the test will be issued.

ADDRESSES: Written comments regarding this notice or any aspect of the 
program test should be addressed to Christine DeRiso, Quota Enforcement 
and Administration, Bureau of Customs and Border Protection, 1300 
Pennsylvania Avenue, NW., Room 5.3-D, Washington, DC 20229, or may be 
sent via e-mail to Quota,[email protected]. An application to participate in 
the program test must be sent to the CBP port(s) (Attention: Program 
Coordinator for Quota Preprocessing) where the applicant intends to 
submit quota entries for preprocessing. Information on CBP port 
addresses may be obtained by contacting the CBP Web site at http://www.CBP.gov (Office Locations).

FOR FURTHER INFORMATION CONTACT: Christine DeRiso, Quota Enforcement 
and Administration (202-344-2319).

SUPPLEMENTARY INFORMATION:

Background

    On July 24, 1998, the Bureau of Customs and Border Protection (CBP) 
published a general notice in the Federal Register (63 FR 39929) 
announcing the limited testing of a new operational procedure regarding 
the electronic processing of quota-class apparel merchandise. The test, 
authorized under Sec.  101.9(a), CBP Regulations (19 CFR 101.9(a)), was 
commenced on September 15, 1998, at the ports of New York/Newark and 
Los Angeles. Quota preprocessing allows certain quota entries 
(merchandise classifiable in chapter 61 or 62 of the Harmonized Tariff 
Schedule of the United States (HTSUS)) to be filed, reviewed for 
admissibility, and to have their quota priority and status determined 
by CBP prior to arrival of the carrier, similar to the method of 
preliminary review by which non-quota entries are currently processed. 
The purpose of quota preprocessing is to reduce CBP processing time for 
qualified quota entries and to expedite the release of the subject 
merchandise to the importer. To this end, participants in the quota 
preprocessing test have been allowed to submit quota entries to CBP up 
to 5 days prior to vessel arrival or after the wheels are up on air 
shipments. The July 24, 1998, Federal Register notice described the new 
procedure, specified the eligibility and application requirements for 
participation in the program test, and noted the acts of misconduct for 
which a participant in the test could be suspended and disqualified 
from continued participation in the program. The test was scheduled to 
continue for a six-month period that expired on March 14, 1999.
    On March 25, 1999, January 6, 2000, and November 30, 2000, CBP 
published general notices in the Federal Register (64 FR 14499, 65 FR 
806, and 65 FR 71356, respectively) that extended the program test 
through December 31, 2002. These extensions of the test procedure were 
undertaken so that CBP could further evaluate the effectiveness of the 
program and determine whether the program test should be expanded to 
other ports. By a notice published in the Federal Register (66 FR 
66018) on December 21, 2001, the test was expanded to a selected number 
of additional ports in order to enable CBP to continue to study the 
program's effectiveness and determine whether the program should be 
established nationwide on a permanent basis through appropriate 
amendments to the CBP Regulations. The additional ports selected to 
participate in the expanded program test were: Atlanta; Boston seaport; 
Logan Airport, Boston; Buffalo-Niagara Falls; Champlain-Rouses Point; 
Chicago; Columbus; Memphis; Miami; Miami International Airport; 
Newport/Portland, Oregon (the area port of Portland); Puget Sound (the 
ports of Seattle and Seattle/Tacoma International Airport); San 
Francisco seaport; and San Francisco International Airport. The 
expansion of the test to these ports was determined by the volume of 
quota lines of apparel merchandise entered at these ports. Because two 
of the additional ports selected to participate in the program test 
received shipments by land (Buffalo-Niagara Falls and Champlain-Rouses 
Point), CBP allowed quota entries in these circumstances to be 
presented to CBP after the carrier departed from its location in Canada 
destined for the U.S. border. Finally, by a notice published in the 
Federal Register (67 FR 57271) on September 9, 2002, CBP expanded the 
test to all CBP ports effective as of October 9, 2002, and extended the 
duration of the program test until December 31, 2004.
    The duration of the test is now being further extended so that CBP 
can continue to evaluate the program's effectiveness.
    Prospective applicants may consult the December 21, 2001, and July 
24, 1998, Federal Register notices for a more detailed discussion of 
the quota preprocessing program and the September 9, 2002, Federal 
Register notice for eligibility criteria.

Application Process; Additional Ports; Misconduct

    An importer wishing to participate in the quota preprocessing test 
must submit a written application to the attention of the Program 
Coordinator for Quota Preprocessing at each port where the applicant 
intends to submit quota entries for preprocessing. Information on CBP 
port addresses may be obtained by contacting the CBP Web site at http://www.CBP.gov (Office Locations).
    The application must include the following information: (1) The 
specific port(s) included under the program where entries of the quota 
merchandise are intended to be made; (2) the importer of record 
number(s), including suffix(es), and a statement of the importer's/
filer's electronic filing capabilities; and (3) names and addresses of 
any entry filers, including CBP brokers, who will be electronically

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filing entries at each port under the program on behalf of the 
importer/participant. Applicants will be notified in writing of their 
selection or nonselection to participate in the test. An applicant 
denied participation may appeal in writing to the port director at the 
port where the application was denied. Application requirements are set 
forth in the September 9, 2002, Federal Register notice.
    Current participants in quota preprocessing that also wish to file 
entries under the program at any additional ports must notify, in 
writing, the additional port(s) at least 5 working days before 
submitting entries at such port(s). Also, for those that are selected 
to participate in the test, the July 24, 1998, Federal Register notice 
should be consulted regarding the acts of misconduct that may result in 
a participant being suspended from the program and how a participant 
may appeal a proposed suspension from the program.

    Dated: January 4, 2005.
William S. Heffelfinger III,
Acting Assistant Commissioner, Office of Field Operations.
[FR Doc. 05-403 Filed 1-7-05; 8:45 am]
BILLING CODE 4820-02-P