Triennial status reports from all licensed customs brokers are due to CBP by Feb. 28. Reports can either be submitted in paper to the director of the port that issued the license (see (here) for a suggested format), or online via Pay.gov (here). Each report must be accompanied by a $100 fee. CBP has posted a frequently asked questions page (here) to its website with more information on how to file triennial status reports.
Licensed Customs Broker
Customs brokers are entities who assist importers in meeting federal requirements governing imports into the United States. Brokers can be private individuals, partnerships, associations or corporations licensed, regulated and empowered by U.S. Customs and Border Protection (CBP). Customs brokers oversee transactions related to customs entry and admissibility of merchandise, product classification, customs valuation, payment of duties, taxes, or other charges such as refunds, rebates, and duty drawbacks. To obtain a customs broker license, an individual must pass the U.S. Customs Broker License Exam. Customs brokers are not government employees and should not be confused with CBP officials. There are approximately 11,000 active licensed customs brokers in the United States.
The following customs broker licenses and all associated permits are revoked without prejudice for failure to file a triennial status report, said CBP in a notice (here).
The Court of International Trade on Jan. 21 ordered a Louisiana company to pay a $10,000 fine, plus interest, for transacting customs business without a license (here). The court found Freight Forwarder International (FFI) paid duties and fees on behalf of its clients. While the company had a licensed customs broker on staff, the company itself wasn’t licensed as a corporation, ruled CIT.
The Advisory Committee on Commercial Operations (COAC) for CBP will next meet on Feb. 11 in San Francisco, CBP said in a notice (here). Recommendations for CBP on regulating customs brokers' collection of importer bona fides information are among the agenda items planned for the meeting. A COAC group previously put off making recommendations on the subject while the agency developed a proposal on a new Form 5106 (see 13111801). CBP proposed revisions to the form in October (see 14100815).
CBP's proposed changes to its Importer ID Input Record (Form 5106) threaten to slow the flow of goods when using a non-resident Importer of Record (NRIOR), said the Northern Border Customs Brokers Association (NBCBA) in comments to CBP on the proposal. The new requirements would especially cause problems for Canadian NRIORs by requiring address descriptions, and any such changes should follow consultation with Canada, the group said. The American Apparel and Footwear Association also said it is concerned with the changes and asked the agency to withdraw the proposal.
The April customs broker’s license examination is scheduled for Monday, April 13, as expected (1412080025), said CBP in an official notice (here). While usually scheduled for the first Monday in April, the first Monday coincides with the observance of the religious holiday of Passover, said CBP. The exam typically consists of 80 multiple-choice questions, with a score of 75 percent required to pass.
Some 34 percent of those who took the October 2014 customs broker license exam passed the test, said Paula Connelly, a Boston-area customs lawyer who teaches an exam preparation class. Connelly said she learned of the passage rate through her participation in a CBP-led broker exam working group. CBP didn't comment.
A proposed Federal Maritime Commission rulemaking on Ocean Transport Intermediaries still has issues despite some heavy revisions in response to industry concerns, said the National Customs Brokers and Forwarders Association of America (NCBFAA) in comments (here). The FMC requested comments on the revised notice of proposed rulemaking in October (see 14100916). While the NCBFAA said it appreciated that the FMC removed a number of the most troubling part of the previous proposal, it "still has a number of concerns."
The customs broker’s license examination scheduled for April 2015 will be on Monday, April 13, said CBP in a notice (here). While CBP didn't provide any additional information, the exam typically consists of 80 multiple-choice questions. Exam topics usually include: Entry, Classification, Country of Origin, Trade Agreements, Antidumping/Countervailing Duty, Value, Broker Responsibilities, FP&F, Protests, Marking, Prohibited and Restricted Merchandise, Drawback, Intellectual Property Rights, and other subjects pertinent to a broker's duties. The agency said it will post more information soon.
CBP plans to stop publication of canceled individual or corporate customs broker licenses in the Federal Register, the agency said in a notice (here). The cancellations are in response to voluntary requests from brokers that no longer want to or cannot conduct customs business, said CBP. While the agency has historically published the cancellations, it is "not required by statute or regulation, but rather has been provided by CBP as courtesy notice to the public," it said. "Given the ease of access to current information available online and with consideration for the most efficient use of CBP customs broker management resources, CBP will no longer publish notice of customs broker license or permit cancellations." Instead, CBP will maintain a list of active brokers on its site, the agency said. CBP will continue to publish Federal Register notices for customs broker licenses that have been suspended or revoked, it said..