CBP Issues General Notice on its NCAP/ACE Test of ACE Filing of Formal/Informal Entries, Etc.

(Although CBP's notice does not refer to this functionality as ESAR A2.2, CBP sources have confirmed that the functionality discussed in CBP's notice is the same as that currently being referred to as ESAR A2.2.)

Deployment of ESAR Test to be Phased In

This test of new ESAR capabilities will be conducted in a phased approach, with initial deployment scheduled for no earlier than January 23, 2009.¹

CBP Requests Comments From Volunteers to Determine Deployment Phases

CBP invites ABI (Automated Broker Interface) trade volunteers interested in submitting type 01 and 11 entries for this test to provide comments to CBP by October 27, 2008, with regard to the number of expected ACE entry summaries that will be submitted to each of the locations listed below:

Based on comments received, CBP will publish a subsequent Federal Register notice setting forth the deployment schedule at dates to be announced for specified ports.

New ESAR Capabilities

CBP states that this test concerning ACE ESAR capabilities will provide new ACE Secure Data Portal (ACE Portal) and Electronic Data Interchange (EDI) capabilities specific to entry summary filing and processing of consumption and informal entries.

Functionality will include ABI Census Warning Overrides and issuance of CBP requests for information and notices of action through the ACE Portal. New functionality will enhance Portal Account Management and allow for ACE Portal reporting. Initially, this ESAR release will be limited only to formal entries, commonly referred to in the Automated Commercial System (ACS) as type 01 entries, and informal entries, commonly referred to in ACS as type 11 entries.

Functionality for other entry types will be implemented as it becomes available and will be announced via subsequent publication in the Federal Register.

Forms and documents. CBP Forms 28 (Request for Information), 29 (Notice of Action Taken), and 4647 (Notice to Mark and/or Notices to Redeliver) issued for ACE entry summaries will be posted to a participating importer's ACE Portal account. Participating importer and broker ACE Portal accounts may select a preferred method of communication with CBP with regard to the receipt of CBP Forms 28, 29, and 4647 that are issued for ACE entry summaries. Communication may be done electronically through the Portal or by paper or via both methods.

Additionally, an importer Portal account whose entry summaries will be filed by an ACE test participant may respond to CBP forms through the ACE Portal by interactively completing the form and uploading additional supporting documentation or images, as needed. Importers and/or participating test filers should also note that forms may be saved in draft form prior to submission to CBP. However, once sent, the document cannot be changed. A print option will also be available for those participants choosing to print the form and then mail it to CBP.

Declarations. Participating importer, broker, and carrier ACE Portal account types will be able to maintain certain declarations in the ACE Portal. Those declarations may be communicated to CBP through that ACE Portal. The system will not yet allow submission of these declarations for particular entry summaries, but will allow communication in response to CBP requests. Declarations that will be supported via the ACE Portal include:

Affidavits of manufacturers;

North American Free Trade Agreement (NAFTA) Certificates of Origin;

Non- Reimbursement Blanket Statements (Antidumping/Countervailing Duty);

Certain marking rulings; and

Importer certifying statements.

Reports. ACE Portal reports will be enhanced to include ACE Entry Summary Data.

Entry summary. Approved trade participants may begin to file entry summaries electronically in ACE for entry types 01 and 11 using a better organized, more descriptive ACE ABI CATAIR (Customs and Trade Automated Interface Requirements) document.

(See ITT's Online Archives or 03/06/08 news, 08030605, for BP summary of CBP's announcement of the creation of the ACE ABI CATAIR.)

Cargo release. Filers may also initiate cargo release from a certified entry summary filed in ACE.

Census warnings. Census warnings may be electronically overridden for ACE entry summaries prior to or after receiving a Census warning message through ABI. There will also be an ACE Census Warning ABI Query for unresolved warnings. (Interested parties should go to http://www.cbp.gov/xp/cgov/trade/automated/modernization/abi_catair/ for more detailed information regarding these new ACE ABI CATAIR formats.)

(See ITT's Online Archives or 05/30/08 news, 08053010, for BP summary of CBP's posting of an updated Census Warning Chapter, etc. for ACE ABI CATAIR.)

Automated Invoice Interface (AII) and reconciliation. ACE entry summaries may be flagged for AII and reconciliation.

ABI status messages. The ACE Entry Summary Status Notification message will contain the following status information regarding an action CBP has manually executed for an ACE entry summary:

Request for Electronic Invoice Data

Entry Summary Documentation

Entry Summary Reject

Entry Summary Inactivated

Entry Summary Canceled

The ABI Status message will contain an Action Identification Number that is a unique number assigned by ACE to identify the specific action or request to correlate trade responses to the initial CBP request. (For additional details, see the ACE ABI CATAIR.)

Reporting of the ultimate consignee number. The ultimate consignee number must be reported for each entry summary line. When the importer of record and the ultimate consignee number are the same, the number must appear on each line; the word ''SAME'' may not be used.

Eligibility Requirements for New ESAR Test

Importer and broker volunteers wishing to benefit from ACE Portal functionality available in this test must have an ACE Portal Account. Volunteers may also participate as non-Portal accounts, but they will not be able to avail themselves of all functionality offered.

ABI volunteers wishing to participate in this test must:

File entries on a Statement (i.e., no non-statement, single pay entry summaries will be allowed).

Use a software package that has completed ABI certification testing for ACE.

(Software providers need not reply to CBP's general notice but should contact their client representative if they are interested in ABI certification testing for ACE.)

If necessary, CBP will reserve the right to limit the number of participants and locations during the initial stages of the test.

Test Participants May be Subject to Civil and Criminal Penalties for Misconduct

According to CBP, an ACE test participant may be subject to civil and criminal penalties,

administrative sanctions, liquidated damages, and/or suspension from the test for any of the following: (1) failure to follow the terms and conditions of the test; (2) failure to exercise reasonable care in the execution of participant obligations; (3) failure to abide by applicable laws and regulations; (4) failure to deposit duties or fees in a timely manner; (5) misuse of the ACE Portal; (6) engagement in any unauthorized disclosure or access to the ACE Portal; (7) engagement in any activity which interferes with the successful evaluation of the new technology.

Certain Provisions of 19 CFR Waived During Testing Period

CBP states that any provision in the CBP regulations (19 CFR), including but not limited to provisions found in parts 141, 142, 143 and 151, relating to entry/entry summary processing, invoicing, examination and redelivery of merchandise, that are inconsistent with the requirements set forth in CBP's general notice are waived for the duration of the test.

Test Participants Must Evaluate the ESAR II Test

To ensure adequate feedback, participants are required to participate in an evaluation of this test. CBP also invites all interested parties to comment on the design, implementation and conduct of the test at any time during the test period. CBP will publish the final results in the Federal Register and the Customs Bulletin as required by 19 CFR 101.9(b).

¹On September 9, 2007, CBP deployed ESAR A1, which enhanced previously-available account types and created additional account types. CBP had planned to deploy M1 (e-Manifest: Ocean and Rail for advance cargo information purposes) in fall 2008.

However, CBP recently announced that due to problems discovered during testing, M1 would be delayed until April or June 2009. CBP has also stated that as a result of the M1 schedule slip, the deployment of ESAR A2.2 is no longer projected for early 2009, but four to six months later. CBP is expected to publish a new ACE release schedule in the near future. (See ITT's Online Archives or 07/28/08 news, 08072805, for BP summary on CBP's delay of M1, etc.)

CBP general notice (FR Pub 08/26/08, available at http://edocket.access.gpo.gov/2008/pdf/E8-19780.pdf.