Technical Amendments to the Customs Regulations

DEPARTMENT OF THE TREASURY

Customs Service

19 CFR Parts 19, 24, 146 and 151

[T.D. 95-99]

Technical Amendments to the Customs Regulations

AGENCY: U.S. Customs Service, Department of the Treasury.

ACTION: Final rule.

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SUMMARY: This document makes various minor technical changes and

corrections to the Customs Regulations, in accordance with Customs

policy of periodically reviewing its regulations to ensure that they

are current.

EFFECTIVE DATE: December 7, 1995.

FOR FURTHER INFORMATION CONTACT: For part 151: William Kotlowy, Cargo

Control, (202-927-1364).

For parts 19, 24 and 146: Marcus Sircus, Trade Compliance, (202-

927-0510).

SUPPLEMENTARY INFORMATION:

Background

The technical amendments summarized below are made with respect to

parts 19, 24, 146 and 151, Customs Regulations (19 CFR parts 19, 24,

146 and 151).

Discussion of Changes

1. The warehouse fee suspension authorized in Sec. 9501 of the

Omnibus Budget Reconciliation Act of 1987 (19 U.S.C. 58c(e)(6)(C)(ii))

is recognized by eliminating the references to this fee contained in

Secs. 19.2(a), 19.3(a), 19.17(a) and 24.21(b)(2), Customs Regulations

(19 CFR 19.2(a), 19.3(a), 19.17(a) and 24.21(b)(2)). It is noted that

Sec. 19.5, which provided for the assessment of a fee to establish,

alter or relocate a bonded warehouse, and for an annual operation fee

with respect thereto, was previously removed from the Customs

Regulations (see T.D. 92-81, 57 FR 37692, 37697 (August 20, 1992) and

60 FR 42431 (August 16, 1995)).

2. Furthermore, the foreign trade zone fee suspension also

authorized in section 9501 of the Omnibus Budget Reconciliation Act of

1987 (see 19 U.S.C. 58c(e)(6)(C)(i)) is acknowledged by removing and

reserving Sec. 146.5, Customs Regulations (19 CFR 146.5), which

required the assessment of an activation fee and an annual fee in

relation to a zone. In addition, the references to this fee appearing

in Secs. 146.6(b)(1), 146.7(a) and (b), and 146.82(a)(6) are likewise

deleted, with these provisions being amended as appropriate.

3.a. Generally, imported merchandise may not be opened, examined or

inspected until it has been entered under some form of entry for

consumption or warehouse. Exceptions to this general requirement are

set forth in Sec. 151.4, Customs Regulations (19 CFR 151.4).

In particular, Sec. 151.4(c)(2), under the conditions prescribed

therein, permits an operation not amounting to a manufacture to be

performed in connection with imported merchandise entered or withdrawn

for transportation under bond or for exportation, provided that the

permitted operation is approved by both the applicable Customs field

office and the Commissioner of Customs. Customs has since decided,

however, that this approval authority may simply remain at the field

office level. To implement this change of policy, Sec. 151.4(c)(2) is

amended by removing the reference to the Commissioner of Customs. By

simplifying the approval procedure as described, this amendment confers

a benefit upon both the importing public as well as Customs itself.

3.b. Section 151.5(c) requires that the Government be reimbursed

for the compensation and other expenses of the Customs officer who must

supervise a permitted operation under Sec. 151.4(b) and (c). It is

stated that such compensation would be computed in accordance with

Sec. 19.5(b), Customs Regulations (19 CFR 19.5(b)). However, pursuant

to T.D. 82-204, 47 FR 49355, 49365, 49374-49375 (November 1, 1982), the

procedure for computing the charges for reimbursable Customs services

then contained in Sec. 19.5, including the compensation of Customs

officers as detailed in Sec. 19.5(b), was transferred to Sec. 24.17(d)

of the Customs Regulations (19 CFR 24.17(d)). See also the Notice of

Proposed Rulemaking in this matter, 47 FR 9225, 9231 (March 4, 1982).

(As previously noted, Sec. 19.5, due to the warehouse fee suspension,

was later removed from the Customs Regulations in its entirety.)

Accordingly, Sec. 151.5(c) is amended by removing the reference to

``Sec. 19.5(b)'' and inserting in place thereof a reference to

``Sec. 24.17(d)''.

Inapplicability of Public Notice and Comment and Delayed Effective

Date Requirements, the Regulatory Flexibility Act, and Executive

Order 12866

Because the amendments merely conform to existing law or

regulation, or simplify an administrative procedure resulting in a

benefit to the importing public as noted above, notice and public

procedure in this case are inapplicable and unnecessary pursuant to 5

U.S.C. 553(b)(B), and, pursuant to 5 U.S.C. 553(d)(3), a delayed

effective date is not required. Since this document is not subject to

the aforesaid requirements of 5 U.S.C. 553, it is not subject to the

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

Nor do these amendments result in a ``significant regulatory action''

under E.O. 12866.

Drafting Information: The principal author of this document was

Russell Berger, Regulations Branch, U.S. Customs Service. However,

personnel from other offices participated in its development.

[[Page 62733]]

List of Subjects

19 CFR Part 19

Customs duties and inspection, Imports, Exports, Warehouses.

19 CFR Part 24

Accounting, Canada, Customs duties and inspection, Financial and

accounting procedures, Reporting and recordkeeping requirements, Trade

agreements, User fees.

19 CFR Part 146

Customs duties and inspection, Exports, Foreign trade zones,

Imports, Reporting and recordkeeping requirements.

19 CFR Part 151

Examination, Sampling and testing of merchandise.

Amendments to the Regulations

Parts 19, 24, 146 and 151, Customs Regulations (19 CFR parts 19,

24, 146 and 151), are amended as set forth below.

PART 19--CUSTOMS WAREHOUSES, CONTAINER STATIONS AND CONTROL OF

MERCHANDISE THEREIN

1. The general authority citation for part 19 continues to read as

follows:

Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 (General Note 20,

Harmonized Tariff Schedule of the United States (HTSUS)), 1624;

* * * * *

Sec. 19.2 [Amended]

2. Section 19.2(a) is amended by removing its second sentence and

its last sentence.

Sec. 19.3 [Amended]

3. Section 19.3(a) is amended by removing its last sentence.

Sec. 19.3 [Amended]

4. Section 19.17(a) is amended by removing the phrase, ``,

accompanied by the fee to establish a warehouse as prescribed by

Sec. 19.5''.

PART 24--CUSTOMS FINANCIAL AND ACCOUNTING PROCEDURE

1. The general authority citation for part 24 continues to read as

follows:

Authority: 5 U.S.C. 301; 19 U.S.C. 58a-58c, 66, 261, 267, 1202

(General Note 20, Harmonized Tariff Schedule of the United States

(HTSUS)), 1450, 1624; 31 U.S.C. 9701, unless otherwise noted.

* * * * *

Sec. 24.21 [Amended]

2. Section 24.21(b)(2) is removed and reserved.

PART 146--FOREIGN TRADE ZONES

1. The general authority citation for part 146 continues to read as

follows, and the specific authority for Sec. 146.5 is removed:

Authority: 19 U.S.C. 66, 81a-81u, 1202 (General Note 20,

Harmonized Tariff Schedule of the United States (HTSUS)), 1623,

1624.

Sec. 146.5 [Amended]

Sec. 146.6 [Amended]

2. Sections 146.5 and 146.6(b)(1) are removed and reserved.

Sec. 146.7 [Amended]

3. Section 146.7(a) is amended by removing from its second sentence

the phrase, ``the fee required in Sec. 146.5 and''.

4. Section 146.7(b) is amended by removing its last sentence.

Sec. 146.82 [Amended]

5. Section 146.82(a)(6) is removed and reserved.

PART 151--EXAMINATION, SAMPLING AND TESTING OF MERCHANDISE

1. The general authority citation for part 151, and the specific

authority for subpart A, continue to read as follows:

Authority: 19 U.S.C. 66, 1202 (General Notes 20 and 21,

Harmonized Tariff Schedule of the United States (HTSUS)), 1624.

Subpart A also issued under 19 U.S.C. 1499. * * *

* * * * *

Sec. 151.4 [Amended]

2. Section 151.4(c)(2) is amended by removing the word ``both'',

and by removing the phrase ``and the Commissioner of Customs'', where

appearing therein.

Sec. 151.5 [Amended]

3. Section 151.5(c) is amended by removing the reference to

``Sec. 19.5(b)'', and by adding in place thereof, ``Sec. 24.17(d)''.

George J. Weise,

Commissioner of Customs.

Approved: November 6, 1995.

Dennis M. O'Connell,

Acting Deputy Assistant Secretary of the Treasury.

[FR Doc. 95-29844 Filed 12-6-95; 8:45 am]

BILLING CODE 4820-02-P