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CBP's FY 2011 Budget Request Has $75M Less for ACE (Defers Numerous Projects)

The Department of Homeland Security has recently released its fiscal year 2011 budget request, which contains specific funding requests for U.S. Customs and Border Protection automation modernization, including funding for the Automated Commercial Environment, International Trade Data System, and Automated Commercial System.

(CBP's FY 2011 goals for various trade programs will be covered in future ITT issues.)

FY 2011 Budget Request for ACE Reflects $75 Million Decrease

The FY 2011 budget request for CBP automation funding is $347 million, including $153 million for the development of ACE, including ITDS ($75 million less than what was enacted for FY 2010).

The budget proposes increases in funding for personnel compensation and decreases for most other funding categories - travel; communications, utilities, and miscellaneous charges; other services; operation and maintenance of equipment; supplies and materials; and equipment.

ACE Will Begin Entering an Operation and Maintenance Steady State

According to CBP's FY 2011 budget documents, in FY 2011 ACE will begin entering into an operation and maintenance steady state and forgo development of enhanced modernization capabilities. ACE will continue to enhance border security, expedite trade flow and simplify and expedite cargo releases.

Remaining Basic Summary Transactions, Single Window Enhancements Deferred

The budget justification states that the development of the remaining basic entry summary transactions, modernized cargo release processes or enhancing the single window concept that integrates with Participating Government Agencies will be deferred.

(Budget document indicate that the ongoing development of ACE is still a challenging and complex endeavor. Program replanning efforts have been completed and the priorities for the remainder of the ACE program have been determined. FY 2010 and 2011 will focus on the completion of ACE cargo release functionality and the development of enhanced entry summary processing features.)

Administration Proposes Removal of ACE Reporting Requirement

In the FY 2011 request, the Administration proposes removing the reporting requirements associated with the ACE development effort since the ACE modernization development effort will shift in FY 2011 to an operations and maintenance mode.

(Previously, CBP had been required to report to the House and Senate Appropriations Committees on its ACE development plans before certain ACE funding could be obligated.)

(See ITT's Online Archives or 03/04/10 news, 10030420, for BP summary of CBP's FY 2011 budget for IPR, C-TPAT, etc.

See ITT's Online Archives or 02/02/10 news, 10020210, for BP summary of the President's FY 2011 budget submission to Congress.)

CBP's budget justification available at http://www.dhs.gov/xlibrary/assets/dhs_congressional_budget_justification_fy2011.pdf.