83 FR 2644 - Automated Commercial Environment (ACE) Becoming the Sole CBP-Authorized Electronic Data Interchange (EDI) System for Processing Electronic Drawback Filings
DEPARTMENT OF HOMELAND SECURITY
U.S. Customs and Border Protection Federal Register Volume 83, Issue 12 (January 18, 2018)
U.S. Customs and Border Protection
Federal Register Volume 83, Issue 12 (January 18, 2018)
| Page Range | 2644-2645 | |
| FR Document | 2018-00803 |
[Federal Register Volume 83, Number 12 (Thursday, January 18, 2018)] [Notices] [Pages 2644-2645] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-00803] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF HOMELAND SECURITY U.S. Customs and Border Protection Automated Commercial Environment (ACE) Becoming the Sole CBP- Authorized Electronic Data Interchange (EDI) System for Processing Electronic Drawback Filings AGENCY: U.S. Customs and Border Protection, Department of Homeland Security. ACTION: General notice. ----------------------------------------------------------------------- SUMMARY: This document announces that the Automated Commercial Environment (ACE) will be the sole electronic data interchange (EDI) system authorized by U.S. Customs and Border Protection (CBP) for processing electronic drawback filings under part 181 (NAFTA drawback) and part 191 (non-TFTEA drawback) of Title 19 of the Code of Federal Regulations. This document also announces that the Automated Commercial System (ACS) will no longer be a CBP-authorized EDI system for purposes of processing such filings. This notice further announces the deployment of a new ACE filing code for all electronic drawback filings, replacing the six distinct drawback codes previously filed in ACS. DATES: As of February 24, 2018, ACE will be the sole CBP-authorized EDI system for processing drawback filings under part 181 (NAFTA drawback) and part 191 (non-TFTEA drawback) of Title 19 of the Code of Federal Regulations, and ACS will no longer be a CBP-authorized EDI system for such purpose. FOR FURTHER INFORMATION CONTACT: Randy Mitchell, Commercial Operations and Entry Division, Trade Policy and Programs, Office of Trade at (202) 863-6532 or [email protected]. SUPPLEMENTARY INFORMATION: I. Background Section 484 of the Tariff Act of 1930, as amended (19 U.S.C. 1484), establishes the requirement for importers of record to make entry for merchandise to be imported into the customs territory of the United States. Customs entry information is used by U.S. Customs and Border Protection (CBP) and Partner Government Agencies (PGAs) to determine whether merchandise may be released from CBP custody. Importers of record are also obligated to complete the entry by filing an entry summary declaring the value, classification, rate of duty applicable to the merchandise and such other information as is necessary for CBP to properly assess duties, collect accurate statistics and determine whether any other applicable requirement of law is met. The customs entry requirements were amended by Title VI of the North American Free Trade Agreement Implementation Act (Pub. L. 103- 182, 107 Stat. 2057, December 8, 1993), commonly known as the Customs Modernization Act, or Mod Act. In particular, section 637 of the Mod Act amended section 484(a)(1)(A) of the Tariff Act of 1930 (19 U.S.C. 1484(a)(1)(A)) by revising the requirement to make and complete customs entry by submitting documentation to CBP to allow, in the alternative, the electronic transmission of such entry information pursuant to a CBP-authorized electronic data interchange (EDI) system. CBP created the Automated Commercial System (ACS) to track, control, and process all commercial goods imported into the United States. CBP established the specific requirements and procedures for the electronic filing of entry and entry summary data for imported merchandise through the Automated Broker Interface (ABI) to ACS. II. Transition Into the Automated Commercial Environment In an effort to modernize the business processes essential to securing U.S. borders, facilitating the flow of legitimate shipments, and targeting illicit goods pursuant to the Mod Act and the Security and Accountability for Every (SAFE) Port Act of 2006 (Pub. L. 109-347, 120 Stat. 1884), CBP developed the Automated Commercial Environment (ACE) to eventually replace ACS as the CBP-authorized EDI system. Over the last several years, CBP has tested ACE and provided significant public outreach to ensure that the trade community is fully aware of the transition from ACS to ACE. On October 13, 2015, CBP published an Interim Final Rule in the Federal Register (80 FR 61278) that designated ACE as a CBP-authorized EDI system. The designation of ACE as a CBP-authorized EDI system was effective November 1, 2015. In the Interim Final Rule, CBP stated that ACS would be phased out and anticipated that ACS would no longer be supported for entry and entry summary filing. Filers were encouraged to adjust their business practices so that they would be prepared when ACS was decommissioned. CBP developed a staggered transition strategy for decommissioning ACS. The phases of the transition were announced in several Federal Register notices. See 81 FR 10264 (February 29, 2016); 81 FR 30320 (May 16, 2016); 81 FR 32339 (May 23, 2016); 82 FR 38924 (August 16, 2017); and 82 FR 51852 (November 8, 2017). This notice announces another transition as the processing of electronic drawback filings under parts 181 and 191 of title 19 of the Code of Federal Regulations (CFR) is transitioning into ACE. [[Page 2645]] III. ACE as the Sole CBP-Authorized EDI System for the Processing of Electronic Filings of NAFTA Drawback and Non-TFTEA-Drawback This notice announces that, beginning February 24, 2018, ACE will become the sole CBP-authorized EDI system for electronic filings of NAFTA drawback (19 CFR part 181) and non-TFTEA drawback (19 CFR part 191), and ACS will no longer be a CBP-authorized EDI system for purposes of processing these electronic filings. A separate Federal Register document will be published containing proposed regulations regarding TFTEA-Drawback claims, which are those claims filed under 19 U.S.C. 1313, as amended by the Trade Facilitation and Trade Enforcement Act of 2015 (TFTEA) (Pub. L. 114-125, 130 Stat. 122, February 24, 2016). The electronic filings referred to in this document, i.e., non- TFTEA drawback claims, are limited to drawback claims filed in compliance with the regulations in parts 181 and 191 and under 19 U.S.C. 1313, as it was in effect prior to the TFTEA amendments. IV. Deployment of New Filing Code for Drawback in ACE CBP announces the deployment of a new ACE filing code 47 for drawback as of February 24, 2018, which will replace the following six drawback codes previously filed in ACS:41--Direct Identification Manufacturing Drawback 42--Direct Identification Unused Merchandise Drawback 43--Rejected Merchandise Drawback 44--Substitution Manufacturing Drawback 45--Substitution Unused Merchandise Drawback 46--Other Drawback V. Entry Types With Low Shipment Volume This notice announces that the following entry types will not be automated in either ACS or ACE due to low shipment volume: 04--Appraisement 05--Vessel--Repair 24--Trade Fair 25--Permanent Exhibition 26--Warehouse--Foreign Trade Zone (FTZ) (Admission) 33--Aircraft and Vessel Supply (For Immediate Exportation) 64--Barge Movement 65--Permit To Proceed 66--Baggage Dated: January 12, 2018. Kevin K. McAleenan, Acting Commissioner, U.S. Customs and Border Protection. [FR Doc. 2018-00803 Filed 1-17-18; 8:45 am] BILLING CODE 9111-14-P
![2644 Federal Register / Vol. 83, No. 12 / Thursday, January 18, 2018 / Notices
the U.S. Department of Health and ACTION: General notice. Tariff Act of 1930 (19 U.S.C.
Human Services under the authority of 1484(a)(1)(A)) by revising the
42 U.S.C. 9902(2).’’ SUMMARY: This document announces requirement to make and complete
Some federal programs use a that the Automated Commercial customs entry by submitting
percentage multiple of the guidelines Environment (ACE) will be the sole
documentation to CBP to allow, in the
(for example, 125 percent or 185 percent electronic data interchange (EDI) system
alternative, the electronic transmission
of the guidelines), as noted in relevant authorized by U.S. Customs and Border
Protection (CBP) for processing of such entry information pursuant to a
authorizing legislation or program CBP-authorized electronic data
regulations. Non-Federal organizations electronic drawback filings under part
181 (NAFTA drawback) and part 191 interchange (EDI) system. CBP created
that use the poverty guidelines under the Automated Commercial System
their own authority in non-Federally- (non-TFTEA drawback) of Title 19 of
the Code of Federal Regulations. This (ACS) to track, control, and process all
funded activities also may choose to use commercial goods imported into the
a percentage multiple of the guidelines. document also announces that the
Automated Commercial System (ACS) United States. CBP established the
The poverty guidelines do not make a
will no longer be a CBP-authorized EDI specific requirements and procedures
distinction between farm and non-farm
families, or between aged and non-aged system for purposes of processing such for the electronic filing of entry and
units. (Only the Census Bureau poverty filings. This notice further announces entry summary data for imported
thresholds have separate figures for aged the deployment of a new ACE filing merchandise through the Automated
and non-aged one-person and two- code for all electronic drawback filings, Broker Interface (ABI) to ACS.
person units.) replacing the six distinct drawback
codes previously filed in ACS. II. Transition Into the Automated
Note that this notice does not provide Commercial Environment
definitions of such terms as ‘‘income’’ or DATES: As of February 24, 2018, ACE
‘‘family,’’ because there is considerable will be the sole CBP-authorized EDI In an effort to modernize the business
variation in defining these terms among system for processing drawback filings processes essential to securing U.S.
the different programs that use the under part 181 (NAFTA drawback) and borders, facilitating the flow of
guidelines. These variations are part 191 (non-TFTEA drawback) of Title legitimate shipments, and targeting
traceable to the different laws and 19 of the Code of Federal Regulations, illicit goods pursuant to the Mod Act
regulations that govern the various and ACS will no longer be a CBP- and the Security and Accountability for
programs. This means that questions authorized EDI system for such purpose. Every (SAFE) Port Act of 2006 (Pub. L.
such as ‘‘Is income counted before or FOR FURTHER INFORMATION CONTACT: 109–347, 120 Stat. 1884), CBP
after taxes?’’, ‘‘Should a particular type Randy Mitchell, Commercial Operations developed the Automated Commercial
of income be counted?’’, and ‘‘Should a and Entry Division, Trade Policy and Environment (ACE) to eventually
particular person be counted as a Programs, Office of Trade at (202) 863– replace ACS as the CBP-authorized EDI
member of the family/household?’’ are 6532 or RANDY.MITCHELL@
system. Over the last several years, CBP
actually questions about how a specific CBP.DHS.GOV.
has tested ACE and provided significant
program applies the poverty guidelines. SUPPLEMENTARY INFORMATION:
All such questions about how a specific public outreach to ensure that the trade
program applies the guidelines should I. Background community is fully aware of the
be directed to the entity that administers transition from ACS to ACE.
Section 484 of the Tariff Act of 1930,
or funds the program, since that entity as amended (19 U.S.C. 1484), On October 13, 2015, CBP published
has the responsibility for defining such establishes the requirement for an Interim Final Rule in the Federal
terms as ‘‘income’’ or ‘‘family,’’ to the importers of record to make entry for Register (80 FR 61278) that designated
extent that these terms are not already merchandise to be imported into the ACE as a CBP-authorized EDI system.
defined for the program in legislation or customs territory of the United States. The designation of ACE as a CBP-
regulations. Customs entry information is used by authorized EDI system was effective
Dated: January 12, 2018. U.S. Customs and Border Protection November 1, 2015. In the Interim Final
Eric D. Hargan, (CBP) and Partner Government Agencies Rule, CBP stated that ACS would be
Acting Secretary of Health and Human (PGAs) to determine whether phased out and anticipated that ACS
Services. merchandise may be released from CBP would no longer be supported for entry
[FR Doc. 2018–00814 Filed 1–12–18; 4:15 pm] custody. Importers of record are also and entry summary filing. Filers were
BILLING CODE 4150–05–P
obligated to complete the entry by filing encouraged to adjust their business
an entry summary declaring the value, practices so that they would be prepared
classification, rate of duty applicable to when ACS was decommissioned.
the merchandise and such other
DEPARTMENT OF HOMELAND information as is necessary for CBP to CBP developed a staggered transition
SECURITY properly assess duties, collect accurate strategy for decommissioning ACS. The
statistics and determine whether any phases of the transition were announced
U.S. Customs and Border Protection other applicable requirement of law is in several Federal Register notices. See
met. 81 FR 10264 (February 29, 2016); 81 FR
Automated Commercial Environment 30320 (May 16, 2016); 81 FR 32339
(ACE) Becoming the Sole CBP- The customs entry requirements were
amended by Title VI of the North (May 23, 2016); 82 FR 38924 (August 16,
sradovich on DSK3GMQ082PROD with NOTICES
Authorized Electronic Data 2017); and 82 FR 51852 (November 8,
Interchange (EDI) System for American Free Trade Agreement
Implementation Act (Pub. L. 103–182, 2017). This notice announces another
Processing Electronic Drawback
107 Stat. 2057, December 8, 1993), transition as the processing of electronic
Filings
commonly known as the Customs drawback filings under parts 181 and
AGENCY: U.S. Customs and Border Modernization Act, or Mod Act. In 191 of title 19 of the Code of Federal
Protection, Department of Homeland particular, section 637 of the Mod Act Regulations (CFR) is transitioning into
Security. amended section 484(a)(1)(A) of the ACE.
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![Federal Register / Vol. 83, No. 12 / Thursday, January 18, 2018 / Notices 2645
III. ACE as the Sole CBP-Authorized Dated: January 12, 2018. enforcement. Subtitle B of Title VI
EDI System for the Processing of Kevin K. McAleenan, established the National Customs
Electronic Filings of NAFTA Drawback Acting Commissioner, U.S. Customs and Automation Program (NCAP) which is
and Non-TFTEA-Drawback Border Protection. an automated and electronic system for
[FR Doc. 2018–00803 Filed 1–17–18; 8:45 am] processing commercial importations,
This notice announces that, beginning and includes the testing of existing and
BILLING CODE 9111–14–P
February 24, 2018, ACE will become the planned components. (19 U.S.C. 1411).
sole CBP-authorized EDI system for Section 637 of the Mod Act amended
electronic filings of NAFTA drawback DEPARTMENT OF HOMELAND Section 484 of the Tariff Act of 1930 to
(19 CFR part 181) and non-TFTEA SECURITY establish a new section (b), entitled
drawback (19 CFR part 191), and ACS ‘‘Reconciliation’’, a planned component
will no longer be a CBP-authorized EDI U.S. Customs and Border Protection of the NCAP. (19 U.S.C. 1484(b), 19
system for purposes of processing these U.S.C. 1411(a)(2)(C)).
electronic filings. A separate Federal Modification of the National Customs Reconciliation is the process that
Register document will be published Automation Program (NCAP) Test allows an importer, at the time an entry
containing proposed regulations Regarding Reconciliation and summary is filed, to identify
regarding TFTEA-Drawback claims, Transition of the Test From the indeterminable information (other than
which are those claims filed under 19 Automated Commercial System (ACS) that affecting admissibility) to U.S.
U.S.C. 1313, as amended by the Trade to the Automated Commercial Customs and Border Protection (CBP)
Facilitation and Trade Enforcement Act Environment (ACE) and to provide that outstanding
of 2015 (TFTEA) (Pub. L. 114–125, 130 information at a later date. The importer
AGENCY: U.S. Customs and Border
Stat. 122, February 24, 2016). The identifies the outstanding information
Protection, Department of Homeland
electronic filings referred to in this by means of an electronic ‘‘flag’’ which
Security.
document, i.e., non-TFTEA drawback is placed on the entry summary at the
ACTION: General notice.
claims, are limited to drawback claims time the entry summary is filed and
filed in compliance with the regulations SUMMARY: This document announces payment (applicable duty, taxes, and
in parts 181 and 191 and under 19 that certain previously announced fees) is made.
U.S.C. 1313, as it was in effect prior to modifications to the National Customs Section 101.9(b) of Title 19 of the
the TFTEA amendments. Automation Program (NCAP) test Code of Federal Regulations (19 CFR
regarding reconciliation will become 101.9(b)) provides for the testing of
IV. Deployment of New Filing Code for
operational, and that the test program NCAP components. See T.D. 95–21, 60
Drawback in ACE
will transition from the Automated FR 14211 (March 16, 1995). The
CBP announces the deployment of a Commercial System (ACS) to the reconciliation test was established
new ACE filing code 47 for drawback as Automated Commercial Environment pursuant to this regulation, and is
of February 24, 2018, which will replace (ACE). currently being tested in the Automated
the following six drawback codes Commercial System (ACS). CBP
DATES: As of February 24, 2018, the announced and explained the test in a
previously filed in ACS:
modifications to the reconciliation test general notice published in the Federal
• 41—Direct Identification will become operational. As of the same Register (63 FR 6257) on February 6,
Manufacturing Drawback date, the test will transition into ACE, 1998. Clarifications and operational
• 42—Direct Identification Unused and ACS will be decommissioned for changes were announced in subsequent
Merchandise Drawback the filing of reconciliation entries. Federal Register notices: 63 FR 44303
• 43—Rejected Merchandise Drawback ADDRESSES: Comments concerning this (August 18, 1998); 64 FR 39187 (July 21,
• 44—Substitution Manufacturing test program may be submitted via 1999); 64 FR 73121 (December 29,
Drawback email, with a subject line identifier 1999); 66 FR 14619 (March 13, 2001); 67
reading, ‘‘Comment on Reconciliation FR 61200 (September 27, 2002) (with a
• 45—Substitution Unused test’’ to OFO-RECONFOLDER@
Merchandise Drawback correction document published at 67 FR
cbp.dhs.gov. 68238 (November 8, 2002)); 69 FR 53730
• 46—Other Drawback (September 2, 2004); 70 FR 1730
FOR FURTHER INFORMATION CONTACT:
V. Entry Types With Low Shipment Randy Mitchell, Commercial Operations (January 10, 2005); 70 FR 46882 (August
Volume and Entry Division, Trade Policy and 11, 2005); 71 FR 37596 (June 30, 2006);
Programs, Office of Trade at (202) 863– 78 FR 27984 (May 13, 2013); and 79 FR
This notice announces that the 6532 or RANDY.MITCHELL@ 34334 (June 16, 2014). On September
following entry types will not be CBP.DHS.GOV. 13, 2000, CBP extended the test
automated in either ACS or ACE due to indefinitely in a notice published in the
SUPPLEMENTARY INFORMATION:
low shipment volume: Federal Register (65 FR 55326).
• 04—Appraisement I. Background
B. Transition to the Automated
• 05—Vessel—Repair A. Reconciliation Test Program Commercial Environment
• 24—Trade Fair Title VI of the North American Free The Security and Accountability for
• 25—Permanent Exhibition Trade Agreement (NAFTA) Every (SAFE) Port Act of 2006 (Pub. L.
• Implementation Act (Pub. L. 103–182, 109–347, 120 Stat. 1884) modified the
sradovich on DSK3GMQ082PROD with NOTICES
26—Warehouse—Foreign Trade Zone
(FTZ) (Admission) 107 Stat. 2057, 2170, December 8, 1993), Mod Act and added subsection (d) to 19
• 33—Aircraft and Vessel Supply (For commonly known as the Customs U.S.C. 1411. This subsection established
Immediate Exportation) Modernization Act or Mod Act, the International Trade Data System
amended the Tariff Act of 1930 and (ITDS) which allows for the collection
• 64—Barge Movement related laws, in part, to increase and distribution of standard import and
• 65—Permit To Proceed voluntary compliance with customs export data required by CBP through a
• 66—Baggage laws and improvements to customs single portal system. The Automated
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Document Created: 2018-01-18 00:42:45
Document Modified: 2018-01-18 00:42:45
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Notices | |
| Action | General notice. | |
| Dates | As of February 24, 2018, ACE will be the sole CBP-authorized EDI system for processing drawback filings under part 181 (NAFTA drawback) and part 191 (non-TFTEA drawback) of Title 19 of the Code of Federal Regulations, and ACS will no longer be a CBP-authorized EDI system for such purpose. | |
| Contact | Randy Mitchell, Commercial Operations and Entry Division, Trade Policy and Programs, Office of Trade at (202) 863-6532 or [email protected] | |
| FR Citation | 83 FR 2644 |
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