Sequestration: BEST PRACTICE

As we have recently reported, Congress has yet to agree on a new budget.  Sequestration has begun, with immediate cuts to overtime already taking affect as of March 1.  Personnel furloughs may begin mid-April.  Due to the estimated magnitude of reductions, CBP estimates that there will potentially be delays in all aspects of cargo facilitation.

CBP has offered the following advice for importers:

  • Pre-filing Entry Data – While not all importers are participating in CBP trade facilitation initiatives, we cannot over-emphasize the importance of pre-filing entry information.  Pre-filing the entry gives CBP and other federal agencies and opportunity to conduct risk assessments and resolve outstanding issues before the cargo arrices in the US and allows agencies to provide the trade with a release decision as early as possible,
  • Perishable Commodities – CBP will continue to process perishable commodities as a top cargo priority
  • Other Government Agencies – CBP will work with its partner government agencies that have oversight responsibilities for import and export shipments to minimize the disruption caused by sequestration.
  • CBP Partnership Program – At this time, there are no plans to eliminate or reduce trade facilitation benefits for CBP trusted trader participants.  Customs-Trade Partnership Against Terrorism (C-TPAT) members will continue to receive priority (“front of the line”) treatment for examinations.  As a tangible benefit for the substantial efforts taken to secure the supply chain, C-TPAT companies are 4-6 times less likely to undergo and inspection.  During the first 30 days of the sequestration, (March1-30) we expect minimal delays.  However, once the furloughs commence, delays will impact shipments for trusted partners that have been designated for examination.

Communication – CBP is committed to ongoing communication with the trade community, both at the national level and through communication at the port level, as port directors reach out to their local stakeholder groups.  Additionally, CBP managed accounts have their assigned CBP account managers to assist them with any issues that arise and the CEE staff to provide guidance

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