Recap from August 7th COAC Meeting

The US Advisory Committee of Commercial Operations of Customs and Border Protection (COAC) met on August 7, 2013 in Washington, DC. Karen Lobdell, Director of Global Solutions at Integration Point attended the meeting and provided us with her notes. Below are some of the key takeaways from the COAC meeting:

Personnel Changes:

  • Thomas Winkowski announced the new nominee for CBP Commissioner (Richard Gil Kerlikowske) “it is important we have permanent leadership and this nomination is a step in right direction”
  • Assistant Commissioner, Office of International Trade, Al Gina is retiring – early Sept 2013
  • Rich DiNucci is taking over as Acting Assistant Commissioner for Office of International Trade
  • Cynthia Wittenberg is the new Executive Director for Trade Policy and Programs
  • John Leonhard is departing headquarters to become the CBP Attaché in Singapore
  • Elena Ryan will take the role of Director of the Center of Excellence and Expertise (CEE) Transition Team
  • Heather Sykes is taking over Ms. Ryan’s responsibility for Role of the Broker

Four formal recommendations were made by the COAC Export Subcommittee. These recommendations will also be posted on the CBP website under Trade Outreach/COAC:

  • Trade Efficiency Survey had higher response rate than 2012 survey.   Final results and comparison to the previous year will be provided at the October COAC meeting.
  • Recommendation: CBP/COAC establish a One US Government for Exports Work Group to develop combined government approach to risk, process, guidance & correction
  • Recommendation: CBP/COAC establish an Exports Processing Work Group (EPWG) to prioritize opportunities for improvement
  • Recommendation: CBP/COAC establish an Export Visibility, Amendments and Controls Work Group to promote supply chain visibility, USG transparency & compliance
  • Recommendation: CBP should engage with trade to share export education packages & to continue engagement with BIS, DDTC and Census for improvements

General COAC Business

  • DHS has approved CBP’s three-year plan to complete ACE
  • New CEE 1-800 number (1-866-295-7624) now available!
  • CBP has begun drafting regulations for the Air Cargo Advance Screening (ACAS) program and expect to have them completed before end of the year
  • CBP is looking at centralizing Single Transaction Bonds and having an electronic method to do this.  Bond Working Group is established
  • CBP is currently considering allowing Highway Carriers to achieve Tier III status in the C-TPAT Program
  • CBP Trusted Trader Pilot draft is nearing completion – Phase 1 expected to begin Fall 2013
  • Trusted Trader Industry Standards Work Group found no existing industry accepted standards that could be leveraged to meet current Trusted Trader (ISA) trade compliance criteria
  • COAC Trusted Trader Subcommittee will spend the next 6 months focusing on efforts in support of the C-TPAT program
  • C-TPAT program review will include expanding C-TPAT to domestic transportation carriers, FTZs, Foreign Manufacturers and developing a  framework for Exports
  • CBP hopes to finalize its mutual recognition with Israel by the end of the year for C-TPAT
  • CBP has target date of 18 months for completing mutual recognition with NEEC and C-TPAT programs
  • China has agreed to expand C-TPAT validations on Chinese manufacturers
  • Importer Security Filing (ISF) liquidated damages & holds – CBP says primary holds right now are related to split shipment issues
  • All ISF liquidated damages will be reviewed by CBP HQ.  Only one liquidated damage has been issued to date.
  • COAC Global Supply Chain Security Subcommittee issued five formal recommendations: Recommendations focused on ACAS filing regimes, compliance regimes and data elements
  • COAC recommended that CBP announce definitive transition dates for the conversion from ACS to ACE and that the determination of these dates provide for a minimum transition period of 18 months
  • COAC recommended that customs broker licenses have a continuing education component (40 hours over 36 months, 32 hours must be accredited)
  • COAC recommended that reporting of licensed brokers triennial fees and continuing education be combined and managed in ACE
  • First formal deployment of ACE under the new Agile method is first week of October 2013

The detailed COAC and CBP Subcommittee reports will be posted on the CBP website (www.cbp.gov) under Trade Outreach/COAC.

Updates from this meeting were also posted in twitter, and access to the chirpstory is available here.

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