CBP's General Notice Announcing NCAP Test of the ACE Periodic Monthly Statement and Establishment of ACE Broker Accounts

CBP states that this test will be conducted using a phased approach, with the initial release of the Web-based account revenue functionality open to the initial 41 Automated Commercial Environment (ACE) Importer Accounts and their designated brokers, who can participate in filing entries and making payments related to the Periodic Monthly Statement.

This is Part II of a two-part series of summaries of CBP's general notice. (See ITT's Online Archives or 02/05/04 news, 04020505, for Part I.)

CBP Details Processing of Entries for Periodic Monthly Payment

CBP states that entries for monthly payment will be processed as follows:

As entries are filed with CBP, the importer or its designated broker schedules them for monthly payment.

Those entries scheduled for monthly payment appear on the Preliminary Periodic Daily Statement.

The importer or its designated broker processes entry summary presentation transactions for Periodic Daily Statements within 10 working days of the date of entry.

After summary information has been filed, the scheduled entries appear on the Final Periodic Daily Statement.

Entries appearing on the Final Periodic Daily Statements and scheduled for monthly payment appear on the Preliminary Periodic Monthly Statement.

CBP states that it will generate the Preliminary Periodic Monthly Statement on the 11th calendar day of the month following the month in which the merchandise is either entered or released, whichever comes first, unless the importer or designated broker selects an earlier date.

On the 15th of that month, for Automated Clearinghouse (ACH) Debit participants, CBP states that it will transmit the debit authorizations compiled in the Preliminary Periodic Monthly Statement from the Final Periodic Daily Statements to the financial institution, and the Preliminary Periodic Monthly Statement is marked as paid. The Final Periodic Monthly Statement indicating receipt of payment is generated by CBP, and is transmitted to the importer or its designated broker.

CBP indicates that ACH Debit participants must ensure that the money amount identified on the Preliminary Monthly Statement is, in fact, available in their bank account by the 15th of the month following the month in which the merchandise is either entered or released, whichever comes first.

ACH Credit participants must ensure that CBP receives payment no later than the 15th of that month. CBP states that it must receive the settlement for the credit, and then the Preliminary Periodic Monthly Statement is marked as paid. The Final Periodic Monthly Statement indicating receipt of payment is generated by CBP, and is transmitted to the importer or its designated broker.

For ACH Credit participants, if the 15th falls on a weekend or holiday, CBP indicates that it must receive the settlement for the credit by the business day directly preceding such weekend or holiday.

For both ACH Credit and ACH Debit participants, CBP states that it will generate the Final Periodic Monthly Statement on the night that payment is processed.

According to CBP, participants should note that if they voluntarily remove an entry from a Periodic Daily Statement before expiration of the 10-working-day period after release, that entry may be placed on another Periodic Daily Statement falling within the same 10-working-day period.

If, however, participants remove an entry from a Periodic Daily Statement or a Preliminary Monthly Statement after expiration of the 10-working-day period after release, then that entry must be paid individually, and the entry will automatically be the subject of a claim for liquidated damages for late payment of estimated duties.

Test Evaluation by Participants and Interested Parties

To ensure adequate feedback, CBP states that participants are required to participate in an evaluation of this test. CBP also invites all interested parties to comment on the design, conduct and implementation of the test at any time during the test period. CBP will publish the final results in the Federal Register and the CBP Bulletin as required by 19 CFR 101.9(b).

(See notice for details on the ACE Broker Account application process.)

- applications are due by April 5, 2004

CBP notice (FR Pub 02/04/04) available at http://a257.g.akamaitech.net/7/257/2422/14mar20010800/edocket.access.gpo.gov/2004/pdf/04-2254.pdf