Part 111 Rewrite Takes Backseat to ACE Rules, But Discussions on Broker Permitting Ongoing, Says Smith

BALTIMORE -- CBP’s rewrite of its Part 111 customs broker regulations is again on hold until the agency completes regulatory changes required for implementation of the Automated Commercial Environment, said CBP Assistant Commissioner Brenda Smith at the CBP East Coast Trade Symposium on Nov. 4. The effort on broker regulations involves many of the same resources as the ACE regulatory changes, currently CBP’s top priority, meaning a proposed rule on Part 111 is at least six months away, she said.

According to Smith, active discussions continue with the National Customs Brokers & Forwarders Association of America and other stakeholders on how brokers will fit into the post-RLF world. Some brokers are concerned that the demise of CBP’s district permitting system may result in less demand for licensed brokers as customs brokerages switch to national permits qualified by a single individual (see 1510230074). The CBP Advisory Committee on Commercial Operations made several recommendations on permitting in 2014 (see 14052209), and “recently asked us to update them on what happened to those recommendations,” said Smith.

Several issues related to the broker regulations still await a final decision, said Smith. “I think what we recognize is we have an opportunity to sit down again to tie a bow on many of the proposals that have crossed the table” and decide what is in, what is out, and what needs changes. CBP is “still in that conversation,” she said.