Importer Security Filing - 10+2

We’ll Make It Work For You

Where Did ISF Come From?

• SAFE Port Act of 2006 enacted by U.S. Congress in October of 2006

• SAFE Port Act Mandated CBP To:– Collect additional data elements,– Require data to be received before loading,– Improve the targeting process.

• NPRM January 2, 2008 – Proposes 19 CFR 149, Amends Several Other

Sections

What is the ISF

• Data Elements Transmitted to CBP– 10 Entry Level Data Elements (ISF 10)– 2 Carrier Oriented Data Elements– 5 Entry Elements for FROB, IE, T&E, FTZ (ISF 5)

• Goal:– Ensuring Cargo Safety and Security, Prevent

Smuggling– To Provide “ATS Enhanced Security Screening”

Who Is Required To File • Carrier – the 2– “Carrier” is Defined by 19 CFR – The 2 Data Elements

• Importer – the ISF 10– New Definition of “Importer” under 19 CFR 149

• “the party causing goods to arrive within the limits of a port in the United States.”

– The 10 Data Elements• Importer / Filer of Data – the ISF 5– For FROB, IE, T&E, and FTZ – – “the party filing the FROB, IE, T&E, or FTZ Documentation.”

The 10 Required ElementsTechnical Specifications - ISF 10• Manufacturer (or supplier) name and address• Seller name and address• Buyer name and address• Ship to name and address• Container stuffing location• Consolidator (stuffer) name and address• Importer of record Number • Consignee Number (IRS)• Country of origin• Commodity HTSUS number

The 2 Required Elements

• Vessel Stow Plan– vessel name and operator; voyage number;

container operator; equipment number, size and type; stow position; hazmat code; and load/discharge ports

• Container Status Messages– terminal container movements, change in

container status , focused on container status messaging set: equipment number; event description, date, time and location; and vessel.

The 5 Required Elements

Technical Specifications ISF 5• Booking Party Name and Address • Foreign Port of Unlading • Place of Delivery • Ship to Name and Address • Harmonized Tariff Schedule at minimum 6-digit

level Current thought is that the carrier will file these

data elements in most situations

How and When Will the ISF Be Filed?

• How– In the Entry Message by a Customs Broker– In the Manifest by a Carrier– As a Separate Filing by a Security Filer, Broker,

or Carrier

• When– 24 Hours Prior to cargo being laden on a vessel

destined for the United States

Concerns for Importers

Who Will File?• Importer Bears the Liability for Filing– Regardless of who transmits the data on behalf of the

importer – Caution is urged in selecting a transmitter of the data

• Confidentiality of Data is Paramount• Independent ISF Filers– Not proven in current filing– Must source ABI or AMS data– Must go through a testing protocol– May not be cost effective out of the gate

Concerns for Importers

Information Flow • Large changes in the data flow may be required• Obtaining additional data elements seen as the

most challenging item• Additional parties may be included, such as

overseas freight forwarders• Automation changes may be required between

supplier – importer – ISF Filer• Planning now is a must

Freight Forwarder is Critical• Information flows through the FF/NVOCC• This is especially true in co-load situations• Stuffing locations, name and address will most

likely come from you• Routed Transactions, DDP and DDU shipments

pose a risk for the importers– How will you help to ensure that the ISF is filed timely

in these transactions• Forwarding shipments without proper

notification prior to shipment is a large concern – you can help!

Sources of Information

DATA ELEMENTS

IMPORTER SUPPLIER / SHIPPER OVERSEAS FORWARDER

MANF. YES YES ?

SELLER YES YES NO / ?

BUYER YES NO /? NO/ ?

SHIP TO YES YES YES

STUFF LOC. YES / ? YES YES

STUFFER YES / ? YES YES

IOR YES NO NO

CONS. IRS YES NO NO

C/O YES YES / ? ? / NO

HTS YES NO NO

When Does This Take Effect?

• The regulatory changes must be published as a Final Rule before implementation.

• The Final Rule is expected to be published at the end of summer 2008.

• The regulations will take effect 90 days after the publication of the final rule.

• CBP has indicated that there will be a one year “informed compliance” period to address changes to the current supply chain.

All Freight International, Inc.

Linda Lorentz206-244-2646

lindal@afisea.com