Bersin Wants to Amend Regs to "Evolve" Brokers into Trusted/Manager Role, Etc.
On April 4, 2011, U.S. Customs and Border Protection Commissioner Alan Bersin spoke at the National Customs Brokers and Forwarders Association of America (NCBFAA) Annual Conference, where he discussed the evolving role of customs brokers and where he sees CBP’s relationship with brokers heading in the future. He also stated that CBP needs to be billing on a quarterly basis.
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Role of Brokers is Evolving, Regs Need to be Amended
Bersin stated that the role of the customs broker is evolving and the regulations should be amended to reflect that. The regulations pertaining to customs brokers (19 CFR Part 111) have not been reviewed in 30 years; however, the profession has changed in the last 30 years. Therefore, the agency is reviewing 19 CFR Part 111 (the regulations pertaining to customs brokers).
Bersin wants NCBFAA to partner with CBP in the review. NCBFAA sources have told Broker Power that they plan to post information on their website so that members of the trade can submit comments on the review.
Wants Brokers to Do New Things, Certify Consolidated Shipments as “Trusted”
Bersin wants to work with brokers to help define a new relationship between CBP and customs brokers, one that will allow brokers to do things they have not been permitted to do in the past -- such as consolidating less than container loads and then being able to certify them as trusted shipments.
Sees “No Reason” Why Brokers Should Not be Managing Accounts
Bersin said that the agency has begun looking at managing on an account basis using the two management by account pilots. CBP cannot continue to operate on a line by line basis; it needs to start processing on an account basis. Managing on an account basis will start with large companies in the beginning. He said that he sees no reason why brokers should not be managing accounts (such as smaller or medium sized companies) in the future.
So far, the Account Executive pilot has allowed the agency to work with the trade to determine how to simplify admissibility and entry summary. The Center for Excellence and Expertise is helping the agency identify unnecessary practices -- such as submitting certifications for each shipment of identical merchandise and not having blanket certifications.
(In November 2010, CBP launched the management by account pilot programs: the CEE pilot for the pharmaceutical industry in Los Angeles, CA and the AE pilot to engage trusted partners in the electronics industry. See ITT’s Online Archives or 10/26/10 news, 10102613, for BP summary of CBP launching the pilots.)
CBP Needs to be Billing on a Quarterly Basis
Bersin also added that CBP needs to look at billing on a quarterly basis.
(See ITT’s Online Archives or 10/29/10 news, 10102910, for BP summary of Bersin discussing redefining a new role for brokers.)