[Federal Register Volume 78, Number 141 (Tuesday, July 23, 2013)]
[Notices]
[Pages 44142-44144]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-17580]


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DEPARTMENT OF HOMELAND SECURITY

U.S. Customs and Border Protection


Modification of Two National Customs Automation Program (NCAP) 
Tests Concerning Automated Commercial Environment (ACE) Document Image 
System (DIS) and Simplified Entry (SE)

AGENCY: U.S. Customs and Border Protection, Department of Homeland 
Security.

ACTION: General notice.

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SUMMARY: This document announces U.S. Customs and Border Protection's 
(CBP's) plan to modify the National Customs Automation Program (NCAP) 
tests concerning document imaging, known as the Document Image System 
(DIS) test, and entry capability, known as the Simplified Entry (SE) 
test. The DIS test allows certain Automated Commercial Environment 
(ACE) participants to submit electronic images of a specific set of CBP 
and partner government agency forms and supporting information to CBP 
via a CBP- approved Electronic Data Interchange (EDI). The second phase 
of the DIS test expands the eligible forms supported by the test as 
well as participant eligibility and when forms may be transmitted. CBP 
hopes that these modifications make the DIS more user-friendly. The SE 
test simplifies the entry process by reducing the number of data 
elements required to obtain release for cargo transported by air. This 
notice modifies the SE test to allow for certain data elements to be 
transmitted via the DIS. This notice provides DIS test details 
including commencement date for the second phase, eligibility, 
procedural and documentation requirements, and test development and 
evaluation methods.

DATES: The modified DIS test will commence no earlier than July 23, 
2013 and will continue until concluded by way of announcement in the 
Federal Register. Comments concerning this notice and any aspect of the 
test may be submitted at any time during the test to the address set 
forth below.

ADDRESSES: Comments concerning this notice should be submitted via 
email to Monica Crockett at [email protected]. In the subject 
line of your email, please indicate ``Comment on Document Image System 
(DIS)''.

FOR FURTHER INFORMATION CONTACT: For policy-related questions, contact 
Monica Crockett at [email protected]. For technical 
questions related to ABI transmissions, contact your assigned client 
representative. Any partner government agency (PGA) interested in 
participating in DIS should contact Susan Dyszel at 
[email protected]. Interested parties without an assigned client 
representative should direct their questions to Susan Maskell at 
[email protected].

SUPPLEMENTARY INFORMATION:

Background

    On April 6, 2012, U.S. Customs and Border Protection (CBP) 
published in the Federal Register a notice announcing a National 
Customs Automation Program (NCAP) test called the Document Image System 
(DIS) test. See 77 FR 20835. The DIS test allows certain Automated 
Commercial Environment (ACE) participants to submit electronic images 
of a specific set of CBP and partner government agency (PGA, previously 
referred to as participating government agency) forms and supporting 
information to CBP. Specifically, importers and brokers are allowed to 
submit specified official CBP documents and specified PGA forms via a 
CBP-approved Electronic Data Interchange (EDI) (please see Section V, 
``Technical Specifications,'' below for details).
    On November 8, 2011, CBP published in the Federal Register a notice 
announcing an NCAP test concerning ACE Simplified Entry (SE test). See 
76 FR 69755. The SE test established new entry capability to simplify 
the entry process for cargo transported by air by reducing the number 
of data elements required to obtain release. This data fulfills 
merchandise entry requirements which allow for earlier release 
decisions and more certainty for the importer in determining the 
logistics of cargo delivery. The SE test is currently open to Type 01 
and Type 11 consumption entries filed in the air transportation mode 
only. This notice modifies the SE test to allow supporting documents to 
be transmitted through the DIS.
    The NCAP was established in Subtitle B of Title VI--Customs 
Modernization, in the North American Free Trade Agreement 
Implementation Act (Pub. L. 103-182, 107 Stat. 2057, 2170, December 8, 
1993) (Customs Modernization Act). See 19 U.S.C. 1411. Through NCAP, 
the initial thrust of customs modernization was on trade compliance and 
the development of ACE, the planned successor to the Automated 
Commercial System (ACS). ACE is an automated and electronic system for 
commercial trade processing which is intended to streamline business 
processes, facilitate growth in trade, ensure cargo security, and 
foster participation in global commerce, while ensuring compliance with 
U.S. laws and regulations and reducing costs for CBP and all of its 
communities of interest. The ability to meet these objectives depends 
on successfully modernizing CBP's business functions and the 
information technology that supports those functions. CBP's 
modernization efforts are accomplished through phased releases of ACE 
component functionality designed to introduce new functionality or to 
replace a specific legacy ACS function. Each release will begin with a 
test and will end with mandatory compliance with the new ACE feature, 
thus retiring the legacy ACS function. Each release builds on

[[Page 44143]]

previous releases and sets the foundation for subsequent releases.
    ACE prototypes are tested in accordance with Sec.  101.9(b) of 
title 19 of the Code of Federal Regulations (19 CFR 101.9(b)), which 
provides for the testing of NCAP components including ACE. For the 
convenience of the public, a chronological listing of Federal Register 
publications detailing ACE test developments in Entry, Summary, 
Accounts and Revenue (ESAR) is set forth below in Section VI, entitled, 
``Development of ACE Prototypes.'' The procedures and criteria related 
to participation in the prior ACE tests remain in effect unless 
otherwise explicitly changed by this or subsequent notices published in 
the Federal Register.

Authorization for the Test

    The Customs Modernization provisions in the North American Free 
Trade Agreement Implementation Act provide the Commissioner of CBP with 
authority to conduct limited test programs or procedures designed to 
evaluate planned components of the NCAP. This test is authorized 
pursuant to Sec.  101.9(b) of the CBP Regulations (19 CFR 101.9(b)) 
which provides for the testing of NCAP programs or procedures. See 
Treasury Decision (T.D.) 95-21.

Document Image System (DIS) Test Program

    This notice announces Phase Two of the Document Image System test. 
Under the DIS test, parties who file entry summaries in ACE are allowed 
to submit specified CBP and PGA documents via a CBP-approved EDI. DIS 
capabilities are being delivered in multiple phases. This notice also 
modifies the SE test to allow supporting documents to be transmitted 
through the DIS.
    The first phase enabled participating importers and brokers to 
transmit images of specified CBP and PGA forms with supporting 
information via a CBP- approved EDI in an Extensible Markup Language 
(XML) format, in lieu of conventional paper methods. DIS provides for 
the storage of all submitted documents in a secure centralized location 
for the maintenance of associations with ACE entry summary 
transactions. Authorized CBP and PGA users have the ability to access 
document images submitted by trade participants via a user interface, 
which allows CBP and PGA users to select specific documents for review, 
to change the status of documents, and to add comments based on the 
current state of their review. The interface also allows the document 
image to be downloaded or printed, if necessary.
    In Phase Two, CBP is reducing the number of metadata elements 
required for each document to only those necessary to identify the 
transmitter, the document preparer, the CBP request (if applicable), 
the document and description, and associated transaction. Certain 
forms, specifically identified below, will be allowed to be submitted 
earlier, i.e. at the time of manifest, or transmitted via a CBP- 
approved EDI to support Simplified Entry (SE) filings and additional 
forms (listed in ``Section III'' of this notice) will be accepted. 
Transmission of annual permits, certificates, and licenses will be 
allowed in later stages of the test. Finally, the pool of eligible 
participants is expanded to include software providers merely 
transmitting electronically data received for transmission to CBP.

Test Participation

I. Eligibility Requirements

    In Phase One of the DIS test, participation was limited to 
importers or brokers who are ACE entry summary filers. Phase Two of the 
DIS test expands the eligible participant pool to include software 
providers merely transmitting electronically data received for 
transmission to CBP. This eligibility expansion does not apply to the 
SE test. Only the participants previously selected for the SE test are 
eligible to transmit documents in support of SE filings. Interested 
participants should contact their client representative for additional 
information pertaining to participation in this test. Interested 
companies that do not currently have an assigned client representative 
should submit a Letter of Intent expressing their intent to participate 
in the DIS test so that client representatives can be assigned. 
Instructions for the preparation of the Letter of Intent can be found 
on the CBP Web site at: http://www.cbp.gov/xp/cgov/trade/automated/automated_systems/abi/getting_started/getting_started.xml.

II. Rules for Submitting Images in Document Image System (DIS)

    The following rules will apply to all participants involved in the 
DIS testing process:
     The documents that may be transmitted in DIS are broken 
into two categories: (1) Documents that require a request from CBP or 
the partner government agency (PGA) prior to transmission; and (2) 
documents that may be transmitted without prior request.
    [ssquf] The documents that may only be transmitted in response to a 
request from CBP or a PGA include: documents in response to a request 
for entry summary documentation; documents in response to a request for 
release documentation for certified ACE entry summaries; and documents 
required for Simplified Entry. If a document in this category is 
submitted that has not been requested by CBP or a PGA, a warning 
message will be returned indicating that the transaction for which the 
document was submitted does not have any pending document requests made 
by CBP or a PGA. CBP will not review or retain any document submitted 
that results in a warning message.
    [ssquf] The documents that may be transmitted without prior request 
from CBP or a PGA include: PGA forms and invoices/packing lists that 
are associated with ACE entry summaries certified for cargo release; 
documents transmitted at the time of manifest; and annual permits, 
certificates, and licenses. Any document transmitted without prior 
request from CBP or a PGA requires that the document name and 
transaction be provided at the time of transmission.
     The filer may only file documents that CBP can accept 
electronically (see documents supported in Section III below). If CBP 
cannot accept the information electronically, the filer must file the 
information by paper.
     Original documents transmitted via this test must be 
retained and made available, if requested by CBP or a PGA.

III. Documents Supported in the Second Phase of the Test

    The documents supported in the first test phase continue to be 
supported in the second test phase (please note that Phytosanitary 
Certificates and Ingredients Lists were incorrectly identified as 
agency specific APHIS forms in the DIS test notice of April 2012; 
however, these are general forms that may now be transmitted at the 
time of manifest. See below in Section III).
    In addition, upon commencement of Phase Two of the DIS test, the 
following PGA forms and documents will also be supported:
     Center for Disease Control and Prevention (CDC) Form 0728, 
Permit to Import or Transfer Etiological Agents or Vectors of Human 
Disease
     CDC Importation Permission Letter
     CDC Permit Exemption Letter
     Defense Contract Management Agency (DCMA) Certificate of 
Duty Free Entry
     Food Safety and Inspection Service (FSIS) Form 9010-1, 
Application for the Return of Exported Products to the United States

[[Page 44144]]

     FSIS Form 9060-5, Meat and Poultry Export Certificate of 
Wholesomeness
     FSIS Form 9540-4, Shipper Notification--Importation of 
Undenatured Inedible Meat Product
     FSIS Form 9540-5, Notification of Intent (to import meat, 
poultry, or egg products or ``Samples for Laboratory Examination, 
Research, Evaluative Testing or Trade Show Exhibition'')
    Upon commencement of Phase Two of the test, the following Phase One 
forms may now be transmitted via a CBP-approved EDI earlier, i.e. at 
the time of manifest (at the time of submission of the bill of lading, 
as applicable):
     Animal and Plant Health Inspection Service (APHIS) 
documents:
    [ssquf] Plant Protection and Quarantine (PPQ) Form 368, Notice of 
Arrival (of a restricted article at the port of entry)
    [ssquf] PPQ Form 587, Permit to Import Plants or Plant Products
    [ssquf] PPQ Form 586, Application for Permit To Transit Plants and/
or Plant Products, Plant Pests, and/or Associated Soil Through The 
United States
    [ssquf] PPQ Form 203, Foreign Site Certificate of Inspection and/or 
Treatment
     General documents:
    [ssquf] Phytosanitary Certificates
    [ssquf] Ingredients List
    [ssquf] Commercial Invoice
    [ssquf] Packing List
    In addition, the following Phase One forms and documents may now be 
transmitted via a CBP-approved EDI to support Simplified Entry (SE) 
filings. Only those participants previously accepted into the SE test 
are eligible to submit the documents listed in this paragraph:
     CBP Form 3229, Certificate of Origin (articles shipped 
from insular possessions, except Puerto Rico, to the United States)
     CBP Form 3299, Declaration for Free Entry of Unaccompanied 
Articles
     CBP Form 4455, Certificate of Registration
     CBP Form 4457, Certificate of Registration for Personal 
Effects Taken Abroad
     Commercial Invoice
     Packing List
     Passport, Driver's License, or Government Issued ID
     Permit
     Vehicle Title, Certificate
     Other documents to support CBP Form 3461, Entry/Immediate 
Delivery
    Please be advised that Phase Two of the DIS test is limited to the 
above-referenced CBP and PGA forms as well as the forms supported in 
Phase One. Other forms may be referenced in the DIS Implementation 
Guidelines, but such forms are not eligible for the present DIS test.

IV. Recordkeeping

    Any form or document submitted via DIS is an electronic copy of an 
original document that is subject to the recordkeeping requirements of 
19 CFR part 163. Every form or document transmitted through DIS must be 
a complete, accurate and unaltered copy of the original document.

V. Technical Specifications

    In Phase Two, the DIS test reduces the number of metadata elements 
required for each document to only those necessary to identify the 
transmitter, the document preparer, the CBP request (if applicable), 
the document and description, and associated transaction. Documents 
must be submitted in an XML format via Secure File Transfer Protocol 
(FTP), Secure Web Services, or existing EDI ABI MQ interfaces. All 
responses back to test participants will also be sent in the form of an 
XML message. Some document types may be submitted via email. There are 
no technical restrictions on the Multipurpose Internet Mail Extension 
(MIME) file types that DIS will accept; however, JPEG, GIF, PDF, MS 
Word Documents, and MS Excel Spreadsheets are preferred. Additional 
information pertaining to technical specifications (see DIS 
Implementation Guidelines) can be accessed on CBP.gov at the following 
link: http://www.cbp.gov/xp/cgov/trade/automated/modernization/ace_edi_messages/catair_main/abi_catair/catair_chapters/document_imaging_igs/

VI. Development of ACE Prototypes

    A chronological listing of Federal Register publications detailing 
ACE test developments is set forth below.
     ACE Portal Accounts and Subsequent Revision Notices: 67 FR 
21800 (May 1, 2002); 70 FR 5199 (February 1, 2005); 69 FR 5360 and 69 
FR 5362 (February 4, 2004); 69 FR 54302 (September 8, 2004).
     ACE System of Records Notice: 71 FR 3109 (January 19, 
2006).
     Terms/Conditions for Access to the ACE Portal and 
Subsequent Revisions: 72 FR 27632 (May 16, 2007); 73 FR 38464 (July 7, 
2008).
     ACE Non-Portal Accounts and Related Notice: 70 FR 61466 
(October 24, 2005); 71 FR 15756 (March 29, 2006).
     ACE Entry Summary, Accounts and Revenue (ESAR I) 
Capabilities: 72 FR 59105 (October 18, 2007).
     ACE Entry Summary, Accounts and Revenue (ESAR II) 
Capabilities: 73 FR 50337 (August 26, 2008); 74 FR 9826 (March 6, 
2009).
     ACE Entry Summary, Accounts and Revenue (ESAR III) 
Capabilities: 74 FR 69129 (December 30, 2009).
     ACE Entry Summary, Accounts and Revenue (ESAR IV) 
Capabilities: 76 FR 37136 (June 24, 2011).
     Post-Entry Amendment (PEA) Processing Test: 76 FR 37136 
(June 24, 2011).
     ACE Announcement of a New Start Date for the National 
Customs Automation Program Test of Automated Manifest Capabilities for 
Ocean and Rail Carriers: 76 FR 42721 (July 19, 2011).
     ACE Simplified Entry: 76 FR 69755 (November 9, 2011).
     DIS Test: 77 FR 20835 (April 6, 2012).
     Modification of NCAP Test Regarding Reconciliation for 
Filing Certain Post-Importation Preferential Tariff Treatment Claims 
under Certain FTAs: 78 FR 27984 (May 13, 2013).

    Dated: July 17, 2013.
Richard F. DiNucci,
Deputy Assistant Commissioner, Office of International Trade.
[FR Doc. 2013-17580 Filed 7-22-13; 8:45 am]
BILLING CODE 9111-14-P