[Federal Register Volume 80, Number 162 (Friday, August 21, 2015)]
[Notices]
[Pages 50827-50831]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-20707]


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CONSUMER PRODUCT SAFETY COMMISSION


Electronic Filing of Targeting/Enforcement Data: Announcement of 
PGA Message Set Test and Request for Participants

AGENCY: Consumer Product Safety Commission.

ACTION: Notice.

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SUMMARY: To advance the concept of a ``single window'' to facilitate 
electronic collection, processing, sharing, and reviewing of trade data 
and documents required by federal agencies during the cargo import and 
export processes, and in furtherance of more accurately targeting 
imports to facilitate the flow of legitimate trade and enhanced 
targeting of noncompliant trade, the U.S. Consumer Product Safety 
Commission (``Commission'' or ``CPSC'') in consultation with U.S. 
Customs & Border Protection (``CBP'') announce their joint intent to 
conduct a test to assess the electronic filing of certain data via the 
Partner Government Agency (``PGA'') Message Set to the CBP-authorized 
Electronic Data Interchange (``EDI'') system known as the Automated 
Commercial Environment (``ACE'') for regulated finished consumer 
products under CPSC jurisdiction and three specified finished products 
included on

[[Page 50828]]

the Substantial Product Hazard List established under section 15(j) of 
the CPSA. During the test, participants will collaborate with CBP and 
CPSC to examine the effectiveness of the ``single window'' capability. 
Based on stakeholder feedback, the test also will assess the concept of 
a data registry (the ``Data Registry''), maintained by CPSC, which 
would allow stakeholders to file a reference to existing targeting/
enforcement data through the PGA Message Set, rather than by entering 
all data for each entry.
    This notice provides the following key information:
     International Trade Data System (``ITDS'') and CBP's 
authority to conduct test programs;
     the Commission's authority regarding data collection and 
import surveillance;
     the purpose of the test;
     an explanation of the test concept;
     the availability of CPSC's supplemental Customs and Trade 
Automated Interface Requirements (``CATAIR'') guideline and request for 
technical comments;
     participant eligibility, selection criteria, and 
responsibilities;
     the advantages of test participation; and
     a request that importers interested in test participation 
contact the Commission.

DATES: Electronic requests to participate in the test program may be 
submitted on or before October 5, 2015 and throughout the duration of 
the test. CPSC will consider applications to participate until the test 
capacity of nine participants is filled. The test will continue until 
terminated by way of an announcement in the Federal Register.

ADDRESSES: Requests to participate in the test and technical comments 
on CPSC's supplemental CATAIR guideline (which will be made available 
on CBP.gov) should be submitted through electronic mail to: 
[email protected]. Requests to participate in the test should 
contain the subject heading: ``Application to participate in PGA 
Message Set Test.'' Technical comments on CPSC's supplemental CATAIR 
guideline should contain the subject heading ``CATAIR Technical 
Comments.''

FOR FURTHER INFORMATION CONTACT: Questions regarding the test should be 
directed to Jim Joholske, Deputy Director, Office of Import 
Surveillance, U.S. Consumer Product Safety Commission, (301) 504-7527, 
[email protected]. Questions sent by electronic mail should contain 
the subject heading ``Question re PGA Message Set Test.'' For technical 
questions regarding ACE or ABI transmissions, or the PGA message set 
data transmission, please contact your assigned CBP client 
representative. Interested parties without an assigned client 
representative should submit an email to Steven Zaccaro at 
[email protected].

SUPPLEMENTARY INFORMATION:

I. Background

A. The Automated Commercial Environment

    ACE is an automated and electronic system for commercial trade 
processing that 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 Automated Broker Interface (``ABI'') is a 
software interface to ACE. Commercial trade participants who want to 
file entries in ACE use ABI to electronically file required import data 
with CBP. ABI transfers trade-submitted data into ACE. CBP is 
developing ACE as the ``single window'' for the trade community to 
comply with the ITDS requirement established by the SAFE Port Act of 
2006. The PGA Message Set enables additional trade-related data 
specified by PGAs to be entered in one location.

B. CPSC and CBP Authority To Regulate the Importation of Consumer 
Products

    Section 14(a) of the Consumer Product Safety Act (``CPSA''), as 
amended by section 102(b) of the Consumer Product Safety Improvement 
Act of 2008 (``CPSIA''), Public Law 110-314, requires manufacturers 
(including importers) and private labelers of certain regulated 
consumer products manufactured outside the United States to test and 
issue a certificate of compliance certifying such products as compliant 
with applicable laws and regulations before importation. Pursuant to 
section 14(a), the Commission promulgated a final rule on 
``certificates of compliance'' on November 18, 2008 (73 FR 68328), 
which is codified at 16 CFR part 1110 (``part 1110''). Among other 
things, part 1110 limits the parties who must issue a certificate to 
the importer, for products manufactured outside the United States, and, 
in the case of domestically manufactured products, to the manufacturer, 
and allows certificates to be in hard copy or electronic form. In 
addition to this authority, the Commission has admissibility authority 
for importing consumer products and substances that are within the 
CPSC's jurisdiction under section 17 of the CPSA (15 U.S.C. 2066) and 
section 14 of the Federal Hazardous Substances Act (``FHSA'') (15 
U.S.C. 1273). Unless the Commission allows a product to be 
reconditioned for importation, section 17(a) of the CPSA requires 
refusal of admission and destruction of any product offered for import 
that, among other things, is not accompanied by a certificate of 
compliance required under section 14 of the CPSA, or is a product which 
is in violation of the inspection and recordkeeping requirements of 
section 16. In addition to the recordkeeping and inspection authority 
granted to the Commission under section 16(b), importers, retailers, 
and distributors of consumer products are required to identify the 
manufactuer of a consumer product by name, address, or other such 
identifying information requested by the Commission. 15 U.S.C. 2065(c).
    CPSC's authority to regulate the importation of consumer products 
is further derived from section 17(h)(1), which requires the Commisson 
to ``establish and maintain a permanent product surveillance program, 
in cooperation with other appropriate Federal agencies, for the purpose 
of carrying out the Commission's responsibilities under this Act and 
the other Acts administered by the Commission and preventing the entry 
of unsafe consumer products into the commerce of the United States.'' 
15 U.S.C. 2066(h)(1). Also, under section 222 of the CPSIA, the CPSC is 
required to develop a risk assessment methodology for the 
identification of shipments of consumer products that are intended for 
import into the United States, and are likely to violate consumer 
product safety statutes and regulations. Consistent with the federal 
government's movement to the ``single window,'' CPSC eventually plans 
to require electronic filing of either limited targeting/enforcement 
data or full certificate data to refine our risk assessment methodology 
and improve our import surveillance program.
    Building on these authorities, CPSC works with CBP to review and 
inspect cargo and to clear compliant consumer products for importation 
into the United States. CPSC also works with CBP to enforce CPSC 
regulations and to destroy products that violate the law and cannot be 
reconditioned for importation. 15 U.S.C. 2066. For example, section 17 
of the CPSA states that, upon the Commission's request, the Secretary 
of the Treasury has the authority to obtain samples of products offered 
for importation, without charge, and deliver

[[Page 50829]]

such samples to the Commission for inspection. 15 U.S.C. 2066(b). 
Additionally, CBP has the authority to seize and destroy products 
offered for importation under the Tariff Act, codified at 19 U.S.C. 
1595a(c)(2)(A), where the importation or entry of such products is 
subject to any restriction or prohibition which is imposed by law 
relating to health, safety, or conservation and such products are not 
in compliance with the applicable rule, regulation, or statute. An 
admissibility determination may be deferred to allow an importer to 
recondition products for entry. 15 U.S.C. 2066(c). CPSC and CBP have 
authority to supervise the reconditioning of products for entry that 
are still under CBP's bond. 15 U.S.C. 2066(d). If these products cannot 
be reconditioned, they must be refused admission and destroyed, unless 
the Secretary of the Treasury permits export in lieu of destruction. 15 
U.S.C. 2066(d) & (e).
    Taken together, these authorities give CPSC a broad ability to 
monitor all consumer products within its jurisdiction. However, the PGA 
Message Set test described in this notice will be limited at this time 
to a study of CPSC regulated consumer products and the following 
products included on the Substantial Product Hazard List issued under 
section 15(j) of the CPSA (16 CFR part 1120): hand-supported hair 
dryers, extension cords, and seasonal and decorative lighting products. 
The Commission believes that insights gained through this limited PGA 
Message Set test will begin to inform future import surveillance 
efforts across broader areas of CPSC's jurisdiction.

C. ITDS Goals and CBP's Authority To Conduct National Customs 
Automation Program Tests

    The ITDS is an electronic data interchange system whose goals 
include eliminating redundant information requirements, efficiently 
regulating the flow of commerce, and effectively enforcing laws and 
regulations relating to international trade by establishing a single 
portal system, operated by CBP, for the collection and distribution of 
standard electronic import and export data required by participating 
federal agencies. All federal agencies that require documentation for 
clearance or licensing the importation of cargo are required to 
participate in ITDS. 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 National 
Customs Automation Program (``NCAP''), which includes ACE. The PGA 
Message Set test described in this notice is in furtherance of the ITDS 
and NCAP goals.

D. The ``Single Window'' Approach

    President Obama, on February 19, 2014, issued Executive Order 
13659, Streamlining the Export/Import Process for America's Businesses 
(``EO 13659''), which requires certain federal agencies to enhance 
significantly their use of technology to modernize and simplify the 
trade processing infrastructure. Specifically, EO 13659 requires 
applicable government agencies to use CBP's ITDS, and supporting 
systems, such as ACE, to create a ``single window'' through which 
businesses will electronically submit import-related data for 
clearance. EO 13659 envisions and is working toward a simpler, more 
efficient portal for trade use, to benefit the trade and government 
agencies that have related authorities and responsibilities.
    Participating agencies have until December 31, 2016, to implement 
ACE as the primary means of receiving agency-specific standardized 
import data. As an independent agency, CPSC is not bound by EO 13659, 
but electronic filing of more limited targeting/enforcement data or 
certificate data will aid CPSC in focusing the agency's resources to 
clear compliant products more efficiently, target noncompliant 
shipments more effectively, and improve enforcement of our safety 
statutes and regulations at the ports.

E. Test Purpose and Goal

    Consumer protection, by preventing noncompliant products from ever 
reaching American homes and American children, was a primary impetus 
for passage of the CPSIA and remains a high priority initiative of the 
CPSC. Section 222 of the CPSIA calls for the creation of a risk 
assessment methodology to better target noncompliant products at 
import. Accordingly, CPSC currently will focus its resources on a test 
with CBP on electronic filing of more limited targeting/enforcement 
data elements, using the PGA Message Set. Information and feedback from 
the test will be used to inform the Commission in striving to improve 
and streamline the import process. The initial intent of this pilot was 
to require electronic filing of Certificates of Compliance for all 
regulated imported products. However, after consultation with 
stakeholders, the Commission has, for the time being, limited the 
current PGA Message Set Test to collection of certain minimal 
targeting/enforcement data. This PGA Message Set Test will not provide 
the Commission with information relating to levels of compliance with 
the statutory certificate requirements. However, the Commission 
believes obtaining such information continues to be important to 
informing future Commission decisions regarding the need for electronic 
filing of full certificate data.

II. Targeting/Enforcement Data Test

    The test will allow two different methods of filing targeting/
enforcement data, using the PGA Message Set: (1) Filing a minimum of 5 
data elements at time of entry (``PGA Message Set''), or (2) filing 
only a reference to targeting/enforcement data stored in a Registry 
maintained by CPSC (``Data Registry and Reference PGA Message Set''). 
Targeting/enforcement data for regulated finished products and 
specified finished products subject to section 15(j) of the CPSA, 
either in the form of the complete data set or the registry reference, 
would be submitted through the PGA Message Set as part of an ACE entry, 
or ACE entry summary if both entry and entry summary are filed 
together. Targeting/enforcement data, along with entry data, would then 
be made available to CPSC for validation, risk assessment, and 
admissibility determinations at entry, thereby facilitating compliant 
trade as well as sharpening our focus on noncompliant trade. The data 
would be used to review consumer product entry requirements and allow 
for earlier risk-based admissibility decisions by CPSC staff. 
Additionally, because it is electronic, the PGA Message Set could 
eliminate the necessity for submission and subsequent handling of paper 
documents. Piloting electronic filing as a means to transition away 
from paper-based filing is a priority initiative of the PGAs to meet 
the stated ``single window'' implementation timeline.

A. PGA Message Set

    To file data electronically with CBP, information required for 
eligible finished products would need to be filed in CBP's ACE system. 
The proposed PGA Message Set test would evaluate the electronic filing 
of a minimum of the five targeting/enforcement data elements listed 
below for regulated finished products and those data elements listed 
below that are applicable to the following products included on the 
Substantial Product Hazard List issued under section 15(j) of the CPSA: 
hand-supported hair dryers,

[[Page 50830]]

extension cords, and seasonal and decorative lighting products.
    1. Identification of the finished product;
    2. Each consumer product safety rule to which the finished product 
has been certified under 16 CFR part 1110;
    3. Place where the finished product was manufactured, produced, or 
assembled, including the identity and address of the manufacturing 
party;
    4. Parties on whose testing a certificate under 16 CFR part 1110 
depends (name and contact information of the testing entity); and
    5. A check box indicating that a required certificate currently 
exists for the finished product, as required by Sections 14 and 17 of 
the CPSA.
    Based on years of both CPSC and CBP staff law enforcement 
experience, CPSC staff has identified at this time the minimal data 
elements above as crucial for targeting noncompliant products before 
they enter commerce and enforcing related requirements.
    CPSC is drafting a supplemental CATAIR guideline on filing 
targeting/enforcement data through the PGA Message Set that describes 
the technical specifications for filing targeting/enforcement data 
using the PGA Message Set, as well as the Data Registry and Reference 
PGA Message Set (described in section II.B below). The supplemental 
CATAIR guideline will be made available before CBP initiates the test 
and will be posted on http://www.cbp.gov/trade/ace/catair. Technical 
comments on CPSC's supplemental CATAIR guideline should be submitted in 
accordance with the instructions in the ADDRESSES section at the 
beginning of this notice.

B. CPSC Data Registry and Data Reference PGA Message Set

    The Data Registry concept arises out of discussions at CPSC staff's 
2014 eFiling workshop. Stakeholders noted that other agencies have 
existing databases that can be referenced during the CBP entry process 
without having to re-enter repeatedly large amounts of data. 
Participants expressed concern about added costs and time for importers 
to enter data for each regulated finished product and the need for 
accurate data entry. Customs brokers also expressed concern about lack 
of access to required data. For example, express carriers were 
concerned about meeting entry requirements during off-hour times when 
business personnel were unavailable for consultation. Stakeholders 
expressed concern that any requirement to re-enter large amounts of 
data, or lack of access to the required data, may slow the import 
process.
    After considering stakeholder comments and concerns, CPSC has 
decided to include a Data Registry in the test to inform the Commission 
whether this concept alleviates some of the concerns expressed at the 
2014 eFiling workshop. Instead of filing complete targeting/enforcement 
data in ACE with each entry, participants can elect to pre-file 
information into a Data Registry before filing an entry with CBP. The 
Data Registry will be created and maintained by CPSC. Use of the Data 
Registry will be voluntary. Firms can use the Data Registry to enter 
targeting/enforcement data and to manage those data; or firms with 
established databases or processes can provide information for many 
products electronically in a batch upload.
    Once targeting/enforcement data are filed in the Data Registry, 
filers will only need to provide a reference, or identifier, to the 
data using the PGA Message Set during the entry process, rather than 
entering all data multiple times. Firms that choose to use the Data 
Registry only would need to provide their filer with an identifier, and 
would not need to provide all data elements for each product being 
imported. Using the Data Registry should minimize data entry; reduce 
costs and filing time; and allow firms to manage, update, and re-use 
targeting/enforcement data in the registry. CPSC demonstrated a 
prototype of the Registry at the May 13, 2015 public meeting with the 
COAC working group. A webcast of this meeting can be viewed here: 
http://www.cpsc.gov/en/Newsroom/Multimedia/?vid=73411.

III. Test Participant Eligibility, Selection Criteria, and 
Responsibilities

    This document announces CPSC's plan, in consultation with CBP, to 
conduct a test for the electronic filing of targeting/enforcement data 
with CBP for regulated consumer products within CPSC's jurisdiction and 
specified products subject to section 15(j) of the CPSA that are 
imported into the United States. Test participants will work with CPSC 
and CBP to refine electronic filing of data through the PGA Message 
Set, by filing all data elements in the PGA Message Set, or by using 
the Data Registry, and filing a reference to targeting/enforcement data 
through PGA Message Set. CBP and CPSC are seeking small and large 
companies with an assortment of products under CPSC jurisdiction to 
participate in the test.
    To be eligible to apply as a test participant, the applicant must:
     Import regulated consumer products within the Commission's 
jurisdiction or specified products subject to section 15(j) of the 
CPSA;
     File consumption entries and entry summaries in ACE, or 
have a broker who files in ACE;
     Use a software program that has completed ACE 
certification testing for the PGA Message Set;
     Be willing to participate in the Trade Support Network 
(TSN);
     Provide oral and written feedback on all aspects of the 
test as requested by CPSC, including information on costs to build to 
the requirements and time necessary to file targeting/enforcement data;
     Work with CPSC and CBP to test electronic filing of data 
using ABI to file through the Message Set, or references to targeting/
enforcement data in the Data Registry; and
     Have a history of compliance with CPSC requirements.
    Because the feedback on the test will be used to inform a 
rulemaking related to electronic filing, participant feedback will be 
publicly available.
    CPSC, in consultation with CBP, will select participants based on 
the eligibility requirements, application date, the number and type of 
consumer products imported, how applicants would file targeting/
enforcement data (PGA Message Set or Data Registry and Reference PGA 
Message Set), port locations, and the goal of having a diverse cross 
section of the trade community participate. The number of participants 
will be limited in the discretion of CPSC, but will in no event exceed 
nine participants. Selected applicants will participate in the test at 
the discretion of CBP and CPSC.

IV. Application Process

    Any party seeking to participate in the test should email the 
company name, contact information, filer code, port(s) at which they 
are interested in filing, and an explanation of how they satisfy the 
requirements for participation to: [email protected] on or before 
October 5, 2015 and throughout the duration of the test. CPSC will 
consider applications to participate until the test capacity of nine 
participants is filled. Requests to participate in the test should 
contain the subject heading: ``Application to participate in PGA 
Message Set Test.'' Applicants may be contacted directly for additional 
information in connection with the selection process. Selected 
participants will be notified by email. Selected test participants may 
have different starting dates. A party providing incomplete 
information, or otherwise not meeting the participation requirements, 
will be notified by email and given the

[[Page 50831]]

opportunity to resubmit the application. Applicants who are not 
selected also will be notified by email.

V. Advantages of Participation

    During the period of participation in the test, which the CPSC 
refers to as the ``eFiling Alpha Pilot,'' test participants can expect 
the following:
     Opportunity to work directly with CBP and CPSC in pre-
implementation stage of e-Filing targeting/enforcement data;
     Ability to provide feedback and experience that will 
inform ultimate e-Filing requirements;
     Ability to trouble-shoot systems and procedures;
     Reduction of product safety tests on goods imported;
     In the event of an examination, shipments will be 
conditionally released to the importer's premises for examination;
     In the event of testing, samples will receive ``front of 
the line testing'' from CPSC laboratories; and
     If destruction of products is required, participants may 
be allowed to destroy products in lieu of redelivering the product to 
CBP for destruction.

VI. Test Duration

    Upon selection into the test, test participants will be expected to 
begin work promptly with CBP and CPSC to define and refine 
requirements. Once the test is operational, the test is expected to run 
for approximately six months or until concluded or extended by the 
issuance of a Federal Register notice announcing the extension or 
conclusion of this test.

VII. Paperwork Reduction Act

    For this initial test of electronic filing of targeting/enforcement 
data, CPSC will accept fewer than 10 participants, and the test will be 
exempt from the requirements of the Paperwork Reduction Act of 1995. If 
CPSC decides to participate in a larger-scale test, we will provide 
notice and seek an OMB control number specifically for such test.

VIII. Confidentiality

    All data submitted and entered into ACE is subject to the Trade 
Secrets Act (18 U.S.C. 1905) and is considered confidential, except to 
the extent as otherwise provided by law. As stated in previous notices, 
participation in this or any of the previous ACE tests is not 
confidential and upon a written Freedom of Information Act (``FOIA'') 
request, a name(s) of an approved participant(s) will be disclosed by 
CPSC or CBP in accordance with 5 U.S.C. 552.

    Dated: August 18, 2015.
Todd A. Stevenson,
Secretary, Consumer Product Safety Commission.
[FR Doc. 2015-20707 Filed 8-20-15; 8:45 am]
 BILLING CODE 6355-01-P