Brokers Continuing Ed Would be Required for 2018 Triennial Report at Earliest, says Ryan

Customs brokers won't be required to fulfill planned continuing education requirements ahead of the next triennial report in 2015, meaning the earliest such requirements could be required is for the 2018 report, said Elena Ryan, director of Trade Facilitation and Administration at CBP, during a Webinar on the subject. Brokers would be required to certify 40 hours of continuing education every three years as part of their triennial reports under a CBP framework that the agency is considering, she said. The framework is part of CBP's 'Role of the Broker' effort, a review and update to regulations for customs brokers.

The framework is an early stage in the process and several layers of review remain, cautioned Ryan. CBP will soon begin drafting a notice of proposed rulemaking and do an economic analysis on the idea, she said. "We are very very close to putting pen to paper here." That notice will address a number of regulatory changes in 19 CFR 111 and 141, she said. CBP is working to get out in front of the continuing education idea because it's a new requirement, whereas many of the other changes would update existing requirements. The continuing education issue has been one of the more controversial aspects of CBP regulatory review (see 13031422).

The Department of Homeland Security, Treasury Department and Office of Management and Budget all still need to sign off on the idea before it's even released as a proposal, she said. The required legal and economic analysis may mean for wholesale changes to the framework, she said. Such a proposal would give the public much time to comment, at least 60 days and perhaps 90 days, she said. The framework is only focused on requirements for individual brokers' licenses, she said.

Brokers would submit to CBP certification saying they completed the requisite continuing education as part of the triennial report, currently required to be provided to CBP every three years, under the framework. Failure to certify the requirements would initiate the same process of suspension that begins following failure to submit any of the other triennial report requirements, she said. Brokers would have 60 days to respond to CBP to provide the full report before the license is revoked "by operation of law," she said. CBP won't require brokers to provide proof of continuing education credits, unless the agency specifically asks for it, in an effort to lessen recordkeeping burdens, said Ryan. Ryan recently discussed the idea at the NCBFAA conference (see 13041104).

Brokers that want to go inactive will be able to select that option on the triennial report, she said. If an inactive broker wants to become active again, they will only be responsible for fulfilling the continuing education requirements of the last triennial cycle. Ryan also said there is discussion of changing the reporting requirements, possibly making them biennial, she said. Any continuing education requirements would be adjusted based on the reporting requirements, said Ryan. CBP would eventually choose accreditors to determine the materials and events that would be considered accredited under the continuing education requirements, she said. A number of details on accreditation, such as an appeals process, remain to be decided, she said.

Email ITTNews@warren-news.com for a copy of the CBP presentation from Webinar.