CBP Memo on Invoice Policy Under PAPs, 3461s under PAPS, Etc

(CBP has previously stated that PAPs is a method of speeding the release of Border Cargo Selectivity or regular cargo selectivity entries on the land border, and is being used as one of the approved, interim measures for effecting the advance electronic transmission of required truck cargo information to CBP until the Automated Commercial Environment (ACE) Truck Manifest (Release 4) becomes fully operational. See ITT's Online Archives or 10/26/04 news, 04102615, for BP summary of CBP's posting of information on PAPS for inbound trucks.)

CBP Clarifies PAPS Invoice Policy

CBP states that since issuance of its January 2005 memorandum containing updated procedures for presentation of documents and processing of PAPS shipments, many comments have been received from both internal and external stakeholders. Based on these comments, CBP is issuing the following clarifications to the PAPS policy:

Invoice is required at time of entry (faxed copy from broker is acceptable). According to CBP, regulations clearly state that invoices are required at the time of entry. The policy as stated is that the invoice copy that is faxed to the broker is acceptable as the invoice for the purpose of entry.

CBP officers may request invoice at time of release. CBP Officers continue to be allowed to request an invoice at the time of release, even at the primary processing booth, and carriers may also voluntarily provide a copy of an invoice to CBP Officers at that time. If the CBP Officer requests an invoice and the carrier is unable to provide one, the truck will be required to contact the appropriate Customhouse broker to obtain a copy and present it to CBP, usually in the secondary processing area. Copies provided to CBP Officers for verification will be retained and forwarded to the appropriate Customhouse broker. CBP notes that release stamps or other notations of release are not required on these invoice copies.

Goods regulated by OGAs may still require invoice, etc. for release. Carriers, importers, shippers and brokers are advised to remember that goods regulated by other government agencies (OGAs) may still require appropriate documentation including invoices, permits and other agency forms, which must still be presented to CBP Officers in order to obtain release. CBP states that any signatures, stamps or other notations required on these documents will be provided as necessary, and CBP Officers will forward these documents to Customhouse brokers and/or other agencies as appropriate.

Invoice still required for review/examination. CBP states that invoices continue to be required for any shipment designated for document review or examination. Brokers will ensure that these invoices are made available to CBP Officers at the time of examination or review.

CBP Addresses 3461s under PAPS, Ultimate Consignee ID Number Errors

In its memorandum, CBP addresses other procedural issues, as follows:

3461/3461 ALT not required for exam of PAPS entries, if entry number provided. No CBP 3461 or 3461 ALT will be required for examination processing of entries originally presented via PAPS if the entry number is provided on the documentation presented to CBP. Brokers will be required to ensure that the entry number is present on the invoice, manifest and/or a cover sheet attached to the invoice and manifest that is presented at the time of examination.

3461/3461 ALT should not be required when PAPS barcode can't ID entry. CBP states that a CBP 3461 or 3461 ALT should not be required when the PAPS code is unable to identify the entry submitted. The truck driver should be sent to the broker for correction of the entry and the secondary counter for processing (as applicable).

CBP states that if an entry has been submitted to CBP electronically and does not match the PAPS barcode, the following are identified solutions:

The broker may perform a "bill of lading update" on the entry and correct the fields in error in the electronic entry record.

If the broker is unable to perform a "bill of lading update" electronically (some border brokers do not have the necessary software), the entry number and correct bill of lading should be supplied on the manifest, invoice and/or a cover sheet attached to the manifest and invoice. The CBP Officer should process the entry using the entry number as the identifier and perform a pen and ink change in the bill of lading field correcting the bill of lading number.

Port Directors should encourage Customhouse brokers operating at border locations to use, develop or acquire the capability to perform "bill of lading updates" on entries in the Automated Broker Interface (ABI) using transaction set LN.

Error message "5106 Not on File" for Ultimate Consignee ID number. According to CBP, there are many causes for the error message "5106 Not on File" that appears during cargo processing.

If there is no identification number provided in the ultimate consignee block and the shipment or portion value is in excess of $2,000, the shipment is not compliant with the current ultimate consignee reporting policy and should be sent to secondary for correction. If a number is provided and the warning appears, it means one of the system edits have indicated that there is a problem with the number.

CBP states that these problems do not usually affect the information used by CBP to perform selectivity and targeting on a shipment, and in this case, CBP Officers should process the entry and allow the correction to be made by the broker at a later date and time.

(See ITT's Online Archives or 01/25/05 news, 05012505, for BP summary of CBP's January 2005 memorandum.)

CBP contact - James Swanson (202) 344-2576

CBP memorandum (TCF FY05-1137, dated 04/11/05) available at http://www.cbp.gov/linkhandler/cgov/import/communications_to_industry/advance_info/paps_memo.ctt/paps_memo.doc