CBP Nominee Says He Will Focus on Trade Enforcement as Much as Border

"If the produce got slowed down, it would literally rot on the trucks sometimes," he told Sen. John Cornyn, R-Texas, who had just told him that trade with Mexico supports a lot of both Texan and Mexican jobs. "So I know how important it is to get that trade across. And I will work on it."

Scott testified in front of the Senate Finance Committee on April 30 in the first step in Congress to getting a vote on his nomination. No Republican opposition emerged during the hearing, so his confirmation is likely.

While most of the questions Scott faced were about immigration and his past leadership of the Border Patrol, Cornyn was one of a half-dozen senators who also asked about the other parts of CBP's mission: facilitating travel and trade.

Cornyn also asked Scott about how CBP can effectively prevent contraband from entering through the de minimis entry process. Scott didn't refer to the change to de minimis eligibility coming May 2, instead focusing on advance information, and referred to CBP's customs modernization legislative request (see 2312140046), which includes collecting data from e-commerce marketplaces and logistics providers, giving CBP the authority to debar bad actors from using de minimis, sharing data on intellectual property violations more widely, and making it easier for CBP to throw out detained packages.

Cornyn said that packages that enter through de minimis can contain illegal drugs, weapons and more. "These are a huge vulnerability for us," he said.

Scott said that inspecting every low-value package, given the volumes, "it's going to back up that trade to a point that it's not acceptable," but improving advance data will help CBP make strategic interdictions.

He said CBP is working with customs brokers and express carriers "to make sure that they're tightening up their supply chains. Having [the] trade on board is going to make a big difference."

Sen. Marsha Blackburn, R-Tenn., noted that FedEx's headquarters and major logistics center are in her state, and she asked Scott what is happening in these important inland hubs.

Scott said that focusing on cargo is "very important for our revenue generation," and that CBP wants to make sure that the commodities being imported match the information on the bill of lading, and wants to make sure goods of one country aren't being shipped from another with fraudulent country of origin information.

If he is confirmed, he said, "I commit to you, I will focus on that just as much as on the border itself."

Both Blackburn and Sen. Chuck Grassley, R-Iowa, asked Scott about the problem of counterfeits.

Grassley referred to legislation he's tried to pass for years (see 2104160033) to allow greater information sharing from CBP to intellectual property rights holders, and asked if Scott supports it. Scott said he does.

Sen. Steve Daines, R-Mont., told Scott that while the U.S. is negotiating with Canada for better trade terms, there's still trade going on between Montanans and Canadians, particularly farmers importing heavy machinery and fertilizer from Canada. "It’s critical that importers receive clear and accurate guidance on the status and classification of their goods," he said. He said delays in clearing goods due to confusion puts stress on farmers, and Daines said he wants the fastest resolution of questions possible.

Scott told him the Office of Trade Relations is there to help importers. If confirmed, he said, "I commit I will staff that office and make sure they’re available to answer those questions."

Daines replied, "Music to my ears."

The political appointee who led the Office of Trade Relations was removed last week.

Sen. Ben Lujan, D-N.M., and Cornyn both asked about non-intrusive inspection equipment at land ports of entry in the Southwest; Cornyn asked if only 11% of commercial vehicles are inspected with NII, and Lujan asked why CBP isn't aiming for 100% passenger vehicle NII inspection, given that the bulk of narcotics that is smuggled in comes through that channel.

Scott told both senators that CBP appreciates the money Congress has given CBP to buy NII equipment, and that the agency is investigating how they can layer AI on top of NII scans to detect anomalies.

"It still takes an officer to figure out what's really there," he added.

To Cornyn, he said that some ports of entry don't have enough loading docks or forklifts to take cargo out of trucks to search for contraband, and that he will work to solve easy fixes like that.

But to Lujan, he said there are trade-offs between comprehensiveness of screening and the amount of time vehicles wait to cross the border, as well as the money it takes to do 100% screening, even with NII assistance.

If you wanted to inspect far more traffic, you would need to enlarge the property the port includes. "We don't have space to inspect before they get to the port of entry," he said.