CBP Considering New Trusted Trader Benefits as CEEs Expand Beyond ISA, C-TPAT Members

The electronics CEE has already expanded participation to all trusted traders and this year will expand beyond that in a "measured fashion," she said. The agency will continue to treat Importer Self Assessment (ISA) members on an account by account-basis, which will be a continued benefit for ISA membership, she said. CBP is also looking at other things, such as "blanket [Post Entry Amendments]," she said. Non-trusted trader CEE participants will likely deal with a team set up similar to that at the ports who deal with a range of tariff numbers, rather than account, she said. The agency is still looking at a number of other ways to increase the benefit of trusted trader status within the CEEs, she said.

Broker Penalties Still to Come from Ports

Broker penalties will continue to come from the port level even if the importer is a participant in the CEEs, said Maricich. Maricich also described how the CEEs will be involved in other fines and penalty procedures across all industry importers. The CEEs will still play some role in broker penalties by referring certain problems to the ports when necessary, she said. The centralized nature of the CEEs allows it to look at filing at all locations, so "if there is an issue that we feel needs to be referred to the port that might indicate some type of knowledge or involvement of the broker in a particular situation, that's when the Center would make a referral to the port," she said. There's been some uncertainty as to how the importing process would change for brokers and importers through the CEEs (see 12100938).

While liquidated damages will continue to be issued from the port, the CEEs run frequent reports on the liquidated damages and will intercede on behalf of CEE participants in cases where it believes the damages were issued erroneously, she said. Prior disclosures can be submitted either to a CEE or at the port, though for CEE members, all prior disclosures will be reviewed by the team at the CEE, said Maricich. Certain penalties, such as 19 USC Section 1592 (fraud, gross negligence, and negligence), 1595 (importation contrary to laws), or 1509 (record keeping), will be issued by the CEEs, she said.

Protests from participating CEE members can be filed directly to the CEE, she said. This will help improve continuity and will eliminate the risk of receiving several different decisions for protests filed with different ports, said Maricich. If the CEE makes a decision that an importer doesn't agree with, an Application for Further Review can still be filed, which will be reviewed by the Office of Regulations and Rulings, she said. Internal advice requests can be submitted to the CEEs, which will be sent to the headquarters for expedited treatment, one of the big benefits of participation, said Maricich. The industry-based approach of the CEEs will also allow the agency to provide industry-wide advice, she said.

CBP's import specialists in New York will continue to handle the classification rulings, said Maricich. The specialists are now closely aligned with the CEE industry distinctions, though there will need to be some shuffling in terms of HTS coverage, she said. Requests for classification rulings will continue to be submitted in the same way, though CEE participants can submit their requests through the CEE, she said. Sometimes the CEE is consulted to provide feedback or facilitate a meeting between an import specialist and importers/brokers, she said. The classification rulings will continue to be signed by someone other than the CEE directors, she said.

Lawyers from CBP's Office of Regulations and Rulings are being assigned to the CEEs and will work at a specific CEE for two years before being rotated out, said Maricich. For instance, the Electronics CEEs now has two lawyers assigned to it, one from the intellectual property branch and another from the value/country of origin branch, she said. The attorney that are assigned to a CEE will typically be involved in areas that are of major importance to that industry's CEE, she said. The Headquarters Office of Regulations and Rulings will continue to handle ruling requests, she said. The lawyers at the CEEs only provide legal counsel, but can help coordinate with other branches on issues outside a certain CEE's expertise, she said. Litigation within the Court of International Trade will also benefit from the CEEs as a result of the centralized location for all entries, she said. "Rather than having to deal with all the different ports of entry," those involved can interact with just the CEE, said Maricich.

Better Disclosures for Brokers Sought

A customs broker working group is seeking better importer disclosure of participation with the CEEs to help brokers know if the client's documentation should be filed with the CEE, said Mark Shacklette, director of Customs Brokerage Compliance at UPS Supply Chain Solutions. Right now it's up to the importer to tell the broker they are working with the CEE and some brokers that didn't know that the importer was a CEE participant saw their filings rejected at the ports because they weren't filed with the CEE, he said. "That's certainly been a problem and has been one of the topics we've discussed a lot," he said. The working group is discussing the issue with CBP headquarters to allow for better indicators of importer CEE participation, he said. CBP established the broker working group last year in an effort to better outline how brokers will interact with the CEEs (see 12111626).