[Federal Register Volume 71, Number 106 (Friday, June 2, 2006)]
[Notices]
[Pages 32114-32115]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-8499]


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DEPARTMENT OF HOMELAND SECURITY

Bureau of Customs and Border Protection


Automated Commercial Environment (ACE): Periodic Monthly 
Statement Payment Process Available When Filing Entry for Split 
Shipments and Unassembled or Disassembled Entities Imported on Multiple 
Conveyances

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

ACTION: General notice.

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SUMMARY: This document announces that importers may use the periodic 
monthly payment statement process to pay estimated duties and fees when 
filing either a single entry or incremental entries involving split 
shipments, or a single entry or certain incremental entries involving 
unassembled or disassembled entities. Importers may use the periodic 
monthly payment statement process as participants in a National Customs 
Automation Program (NCAP) test.

DATES: Effective Dates: Importers may pay estimated duties and fees for 
Split Shipments through the method set forth in the NCAP test starting 
on June 2, 2006.
    Importers may pay estimated duties and fees for Unassembled or 
Disassembled Entities Imported on Multiple Conveyances through the 
method set forth in the NCAP test starting on July 3, 2006.

FOR FURTHER INFORMATION CONTACT: For questions concerning this Notice: 
Mr. Jeremy Baskin via email at [email protected].

SUPPLEMENTARY INFORMATION:

Background

    Importers choosing to file a single entry or incremental entries 
involving split shipments or unassembled or disassembled entities as a 
special permit for immediate delivery after the arrival of the first 
portion (Incremental Release) may now pay estimated duties and fees 
attributable to those entries through the method set forth in the 
National Customs Automation Program (NCAP) test describing the periodic 
monthly statement process.

Entry: Split Shipments

    Under the current regulations on split shipments at 19 CFR 
141.57(d)(1) and 141.57(d)(2), an importer is allowed to file either a 
single entry or incremental entries with regard to split shipments (19 
U.S.C. 1484(j)(2)). Split shipments are defined as merchandise that is 
capable of being transported on a single conveyance, and that is 
delivered to and accepted by a carrier in the exporting country as one 
shipment under one bill of lading or waybill, and is thus intended by 
the importer to arrive as a single shipment. However, the shipment is 
thereafter divided by the carrier into different parts which arrive in 
the United States at different times, often days apart.
    Pursuant to the provisions of the regulations, an importer of split 
shipment of merchandise may file an entry or a special permit for 
immediate delivery, provided that the merchandise is eligible for such 
permit, once all portions of the split shipment have arrived at the 
port of entry. The entry or special permit must indicate the total 
number of pieces in, as well as the total value of, the entire shipment 
as reflected on the invoice(s) covering the shipment. See 19 CFR 
141.57(d)(1). Alternatively, an importer of record may file a special 
permit for immediate delivery after the arrival of the first portion of 
a split shipment, but before the arrival of the entire shipment at such 
port, thus qualifying the split shipment for incremental release as 
each portion of the shipment arrives at the port of entry. The 
remaining portions may be released incrementally. See 19 CFR 
141.57(d)(2) and 19 CFR 141.57(e).

Entry: Unassembled or Disassembled Entities

    Pursuant to new regulations (see new 19 CFR 141.58) published in 
today's Federal Register as CBP Decision 06-11, importers may, 
effective 30 days after the date of publication in the Federal 
Register, file a single entry for merchandise the size or nature of 
which necessitates shipment in an unassembled or disassembled condition 
on more than one conveyance, or file incremental entries for each 
portion of the entity as it separately arrives.
    An unassembled or disassembled entity consists of merchandise which 
is not capable of being transported on a single conveyance, but which 
is purchased and invoiced as a single classifiable entity. By 
necessity, due to its size or nature, the entity is placed on multiple 
conveyances that arrive at different times at the same port of entry in 
the United States. The subject arriving portions are consigned to the 
same person in the United States. The final regulations permit the 
acceptance of a single entry in the case of a qualifying unassembled or 
disassembled shipment; however, importers may continue to file a 
separate entry for each portion of an unassembled or disassembled 
shipment as it arrives, if they so choose.
    An importer may file an entry once all portions of the entity have 
arrived at the same port of entry in the United States. Any portion 
that arrives at a different port must be transported in-bond to the 
destination port where entry will be made. In the alternative, the 
importer may file a special permit for immediate delivery after arrival 
of all portions of the entity provided that it is eligible for such a 
permit under 19 CFR 142.21(a)-(d), (f) and (i). See 19 CFR 
141.58(d)(1).
    An importer of record may file an application for a special permit 
for immediate delivery after the arrival of the first portion of the 
entity covered by 19 CFR 141.58(b), and its remaining portions may be 
released incrementally pursuant to the requirements set forth in 19 CFR 
141.58(e). All portions of the shipment must arrive timely at the same 
port of entry in the United States. Any portion that arrives at a 
different port must be transported in-bond to the destination port 
where entry will be made. See 19 CFR 141.58(d)(2).

Payment of Estimated Duties and Fees Through Periodic Monthly Statement

    The Bureau of Customs and Border Protection (CBP) has published a 
series of General Notices in the Federal Register announcing the 
National Customs Automation Program (NCAP) test for the Periodic 
Monthly Payment Statement Process. See 69 FR 5362, 69 FR 54302, 70 FR 
5199, 70 FR 45736, 70 FR 55623, and 71 FR 3315. These prior notices are 
incorporated by reference and continue to apply unless changed by this 
notice.
    The test, which is part of CBP's Automated Commercial Environment 
(ACE), benefits participants by giving them access to operational data 
through the ACE Secured Data Portal (``ACE Portal''), which provides 
them the capability to interact electronically with CBP, and by 
allowing them to deposit estimated duties and fees on a monthly basis 
based on a Periodic Monthly Statement issued by CBP.
    Participants in the Periodic Monthly Statement test are required to 
schedule

[[Page 32115]]

entries for monthly payment. A Periodic Monthly Statement will list 
Periodic Daily Statements that have been designated for monthly 
payment. The Periodic Monthly Statement can be created on a national 
basis by an ABI filer. If an importer chooses to file the Periodic 
Monthly Statement on a national basis, it must use its filer code and 
schedule and pay the monthly statements. The Periodic Monthly Statement 
will be routed under existing CBP procedures. Brokers will only view/
receive information that they have filed on an importer's behalf. ACE 
will not route a Periodic Monthly Statement to a broker through ABI 
that lists information filed by another broker. See 69 FR 5362.

Periodic Monthly Statement Process Available for Filing Entries for 
Split Shipments and Unassembled or Disassembled Entities Imported on 
Multiple Conveyances

    Through this notice, and beginning on the effective dates described 
earlier in the document, CBP announces that importers choosing to file 
a single entry involving split shipments consistent with the provisions 
of 19 CFR 141.57(d)(1) or unassembled or disassembled entities 
consistent with the provisions of 19 CFR 141.58(d)(1) may pay estimated 
duties and fees attributable to those entries through the method set 
forth in the National Customs Automation Program (NCAP) test describing 
the periodic monthly payment statement process. The date of filing of 
that entry identifies the month in which entry is filed and establishes 
the obligation to pay estimated duties and fees by the 15th working day 
of the month following the month in which entry is filed.
    Importers choosing to file incremental entries involving split 
shipments consistent with the provisions of 19 CFR 141.57(d)(2) or 
unassembled or disassembled entities consistent with the provisions 19 
CFR 141.58(d)(2) as a special permit for immediate delivery after the 
arrival of the first portion (Incremental Release) also may pay 
estimated duties and fees attributable to that entry through the method 
set forth in the National Customs Automation Program (NCAP) test 
describing the periodic monthly payment statement process. The date 
that the importer obtains release of the first portion of the entity as 
provided in sections 141.57(e) or 141.58(e) will identify the month 
that the entry is filed and establishes the obligation to pay estimated 
duties and fees by the 15th working day of the month following the 
month in which entry is filed.

Previous Notices and Suspension of Regulations

    All requirements and aspects of the ACE test discussed in previous 
notices are hereby incorporated by reference into this notice and 
continue to be applicable, unless changed by this notice. Examples of 
such requirements and aspects are the rules regarding misconduct under 
the test and the required evaluation of the test (both of which are 
detailed in the notice published at 67 FR 21800 and 69 FR 5362).
    During the testing of the Periodic Monthly Statement Process, CBP 
is suspending provisions in Parts 24, 141, 142, and 143 of the CBP 
regulations (Title 19 of the Code of Federal Regulations) pertaining to 
financial, accounting, entry procedures, and deposit of estimated 
duties and fees. Absent any specified alternate procedure, the current 
regulations apply.

    Dated: May 26, 2006.
Jayson P. Ahern,
Assistant Commissioner, Office of Field Operations. 7
 [FR Doc. E6-8499 Filed 6-1-06; 8:45 am]
BILLING CODE 9111-14-P