**GUIDELINES FOR EXPANSION APPLICATIONS**[^1]

LETTER OF TRANSMITTAL - currently dated and signed by an authorized
officer of the FTZ grantee corporation.

EXECUTIVE SUMMARY shall briefly describe:

\- Type of zone authority being requested

\- Proposed zone site and facilities

\- Reason for the change

EXHIBIT 1 - LEGAL AUTHORITY TO APPLY

\- Certified copy of state enabling legislation regarding FTZs, or
reference to recent zone application that contains such information,
giving legal citation of the legislation and indicating there has been
no change since the referenced application

\- Copy of pertinent sections of applicant's charter or organization
papers with evidence of current standing of non-public corporations

\- Certified copy of resolution authorizing the grantee official to sign
the application

EXHIBIT 2 - SITE DESCRIPTION

\- Description of current zone project with list of existing zone sites

\- List of proposed site(s)

\- Detailed description of each proposed site, including name of site,
size, address, location, jurisdiction (town, city, county), zoning, type
(port, industrial park, warehouse complex), legal description, existing
structures

\- Description of facilities and services to be provided by proposed
sites

\- Qualifications of proposed sites

\- Current activities at proposed sites

\- If vacant, provide time frame for development

\- Transportation services and facilities available at proposed sites

\- Discussion as to whether the proposed site(s) meet the U.S. Customs
port of entry adjacency requirement[^2]

EXHIBIT 3 - OPERATION AND FINANCING

\- Site ownership and applicant's right to use (evidence that each site
owner will make site available for zone use under contractual oversight
of grantee)

\- Describe operational plan

\- Indication that physical security plan meets U.S. Customs & Border
Protection requirements

\- Agreement to comply with U.S. Customs & Border Protection automated
systems

\- Plans for financing capital and operating costs

\- Estimated time schedule for construction and activation

EXHIBIT 4 - ECONOMIC JUSTIFICATION

\- Status of and current information on [each]{.underline} existing zone
site:

\- zone site designation, name, location and type

\- description of current zone activity at site

-   percent of approved zone space that is currently being used for zone
    activity

-   number of users at the site

-   if not active under zone procedures, indicate how long site has been
    FTZ inactive

> and provide an indication of the need to keep FTZ status at the site

\- Justification for proposed site(s)

> This is a key part of an expansion application. The FTZ Board
> regulations (15 CFR Sec. 400.24(d)(4)(iv), (v), and (vi)) require a
> justification for each FTZ site within a zone project, and, for
> expansion applications, the justification must also consider existing
> zone sites. The justification includes the following general and
> site-specific information:

-   General

> \- the overall reason for the proposed changes

\- description of grantee's site selection process and criteria and the
extent to which these relate to the public interest of the community

> \- information on the area's international trade environment,
> including statistical information on area trade activity and the
> demand for trade services
>
> \- role of the proposed expanded zone in area economic development
> plans

-   Specific -- for [each]{.underline} proposed site provide

> \- explanation as to how each site met the site selection criteria
>
> \- a description of proposed zone activity at the site

\- specific evidence of need for zone procedures at the site

> \- evidence of specific proposed zone users (include surveys, letters
> of interest if available)

\- explanation as to why proposed uses could not be accommodated at
existing zone sites

> \- description of types of services, facilities, and parcels available
> and how they are different from those at existing zone sites
>
> \- explanation that proposed sites will be available for use that is
> general-purpose in nature and that space will be available to
> businesses at the site under public utility principles (note that
> sites that are primarily for the use of a single company for its own
> products are subzones)

\- description as to how zone services will be provided and marketed

\- Environmental impact (each site)

> \- status of local zoning and land use permits/issues
>
> \- explanation as to whether FTZ status is a requirement or
> pre-condition for construction or activity at the site(s) or will
> significantly change the physical aspects of the site or facilities.
>
> \- statement that applicant is aware that FTZ status would not exempt
> any site or party (e.g., operators or users) from any federal, state
> or local environmental requirements

\- Manufacturing

> \- Statement as to whether any specific manufacturing authority is
> being requested in the application
>
> \- If manufacturing authority is being requested
>
> \- separate discussion of proposed manufacturing operations

\- detailed information on proposed activity is required as indicated in
subzone/manufacturing guidelines

EXHIBIT 5 - MAPS

\- Local/state map indicating location of zone site(s)

\- Detailed street map

\- Detailed drawing of zone site showing zone boundaries in red with
dimensions and metes and bounds

[^1]: These guidelines are for applications that include new FTZ space
    or sites, including reorganization applications which both add and
    remove space/sites.

    \- See 15 CFR Part 400, Sections 400.24, 400.25, 400.26 and 400.31
    of the Board's regulations for the basic application requirements

    \- See also, Section 400.29 regarding application filing fees

    \- Copies: 8 copies plus original

[^2]: Adjacency Requirement ‑ The FTZ Act and regulations require that
    zone sites be within or adjacent to a U.S. Customs port of entry, as
    listed and defined in part 101 of the Customs Service regulations
    (19 CFR §101.3). The adjacency requirement can be satisfied if
    [one]{.underline} of the following factors is met:

    1\. The zone or subzone site is within the limits of a Customs port
    of entry (19 CFR §101.3).

    2\. The zone or subzone site is within 60 statute miles of the outer
    limits of a Customs port of entry.

    3\. The zone or subzone site is within 90 minutes' driving time from
    the outer limits of a Customs port of entry as verified by the
    Customs Port Director.