Preliminary Vessel Entry and Permits to Lade and Unlade

DEPARTMENT OF THE TREASURY

Customs Service

19 CFR Part 4

RIN 1515-AB37

Preliminary Vessel Entry and Permits to Lade and Unlade

AGENCY: Customs Service, Department of the Treasury.

ACTION: Proposed rule.

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SUMMARY: This document proposes to amend the Customs Regulations

regarding the preliminary entry of vessels arriving in ports of the

United States and the granting of permits for the lading and unlading

of merchandise from those vessels. It is intended that the Customs

Regulations regarding this subject accurately reflect recent amendments

to the underlying statutory authority, enacted as part of the Customs

Modernization Act.

DATES: Comments must be received on or before April 18, 1994.

ADDRESSES: Written comments (preferably in triplicate) may be addressed

to the Regulations Branch, Franklin Court, U.S. Customs Service, 1301

Constitution Avenue, NW., Washington, DC 20229, and may be inspected at

Franklin Court, 1099 14th Street, NW., Washington, DC.

FOR FURTHER INFORMATION CONTACT: James Finnegan, Office of Inspection

and Control, 202-927-0510 (operational matters), or Larry L. Burton,

202-482-6940 (legal matters).

SUPPLEMENTARY INFORMATION:

Background

On December 8, 1993, amendments to certain Customs and navigation

laws became effective as the result of the President signing Public Law

103-182, Title VI of which is popularly known as the Customs

Modernization Act (the Act). Sections 653 and 656 of the Act

significantly amend the statutes governing the entry and the lading and

unlading of vessels in the United States. These operations are

governed, respectively, by sections 434 and 448 of the Tariff Act of

1930, as amended (19 U.S.C. 1434 and 1448).

Prior to the subject amendments, the entry of vessels of the United

States and vessels of foreign countries had been governed by separate

statutes (19 U.S.C. 1434 and 1435), neither of which included elements

concerning preliminary vessel entry or the boarding of vessels. The Act

repealed section 1435 and amended section 1434 to provide for the entry

of American and foreign-documented vessels under the same statute.

Additionally, the amended section 1434 now provides authority for the

promulgation of regulations regarding preliminary vessel entry, and

while neither mandating boarding for all vessels nor specifying that

optional boarding must be accomplished at any particular stage of the

vessel entry process, the amended law does require that a sufficient

number of vessels be boarded to ensure compliance with the laws

enforced by the Customs Service.

Section 1448 had previously linked the granting of preliminary

vessel entry to a mandatory boarding requirement and the physical

presentation of manifest documents to the Customs boarding officer. The

amended section 1448 no longer contains provisions regarding

preliminary vessel entry, vessel boarding, or manifest presentation,

matters which are now provided for in other statutes. Section 1448 now

states that Customs may electronically issue permits to lade or unlade

merchandise, pursuant to an authorized data interchange system.

The regulations which implement the statutory authority for the

granting of preliminary vessel entry and the issuance of permits to

lade and unlade merchandise are contained in Secs. 4.8 and 4.30 of the

Customs Regulations (19 CFR 4.8 and 4.30). These provisions still

contain mandatory boarding and physical document presentation

requirements, and of course do not include any reference to the new

electronic permit issuance option. This document proposes to amend

Secs. 4.8 and 4.30 in order to properly implement the amended statutory

authority.

Comments

Before adopting this proposal, consideration will be given to any

written comments [preferably in triplicate] that are timely submitted

to Customs. Comments submitted will be available for public inspection

in accordance with the Freedom of Information Act (5 U.S.C. 552),

Sec. 1.4, Treasury Department Regulations (31 CFR 1.4), and

Sec. 103.11(b), Customs Regulations (19 CFR 103.11(b)), on regular

business days between the hours of 9 a.m. and 4:30 p.m. at the

Regulations Branch, U.S. Customs, Franklin Court, suite 4000, 1099 14th

Street, NW., Washington, DC.

Regulatory Flexibility Act

1. For the reasons stated in the preamble, pursuant to the

provisions of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.), it

is certified that, if adopted, the proposed amendments will not have a

significant economic impact on a substantial number of small entities.

Accordingly, they are not subject to the regulatory analysis or other

requirements of 5 U.S.C. 603 and 604.

Executive Order 12866

This document does not meet the criteria for a ``significant

regulatory action'' as specified in Executive Order 12866.

Drafting Information

The principal author of this document was Larry L. Burton, Carrier

Rulings Branch, U.S. Customs Service. However, personnel from other

Customs offices participated in its development.

List of Subjects in 19 CFR Part 4

Customs duties and inspection, Reporting and recordkeeping

requirements, Vessels.

Proposed Amendments

It is proposed to amend part 4, Customs Regulations (19 CFR part

4), as set forth below.

PART 4--VESSELS IN FOREIGN AND DOMESTIC TRADES

1. The general authority citation for part 4, Customs Regulations

(19 CFR part 4) and the relevant specific authority citation for

Sec. 4.8 and 4.30 (19 CFR 4.8 and 4.30) continue to read as follows:

Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1624; 46 U.S.C. App. 3;

* * * * *

Section 4.8 also issued under 19 U.S.C. 1448, 1486;

* * * * *

Section 4.30 also issued under 19 U.S.C. 288, 1433, 1446, 1448,

1450-1454, 1490;

* * * * *

2. It is proposed to revise Sec. 4.8, Customs Regulations, to read

as follows:

Sec. 4.8 Preliminary Entry.

Preliminary entry allows a U.S. or foreign vessel arriving under

circumstances which require it to formally enter, to discharge cargo,

passengers, or baggage prior to making formal entry. The granting of

preliminary entry may be accomplished electronically pursuant to an

authorized electronic data interchange system, or by other means of

communication approved by the Customs Service. Preliminary entry must

be made in compliance with Sec. 4.30 of this part. The granting of

preliminary vessel entry by the Customs Service may be conditioned upon

the presentation of a completed Customs Form 1300 (Master's Certificate

on Preliminary Entry) to Customs during discretionary vessel boarding,

or upon the filing with Customs of a Customs Form 1300 or its

equivalent by electronic or other means in instances where vessels are

not boarded.

3. It is proposed to amend Sec. 4.30 (a), Customs Regulations by

removing the period at the end of the introductory text and adding the

words ``or electronically pursuant to an authorized electronic data

interchange system or other means of communication approved by the

Customs Service.''

4. It is proposed to amend Sec. 4.30(b) by adding after the phrase

``Customs Form 3171,'' the words `` or electronically pursuant to an

authorized electronic data interchange system or other means of

communication approved by the Customs Service,''.

George J. Weise,

Commissioner of Customs.

Approved: February 28, 1994.

John P. Simpson,

Deputy Assistant Secretary of the Treasury.

[FR Doc. 94-6284 Filed 3-17-94; 8:45 am]

BILLING CODE 4820-02-P