# Presentation: 497905

## Air Cargo Program

- Proposal to Establish ASAC Working Group, Air Cargo Freight Assessment System
- September 30, 2004

## Overview

- Air Cargo Vision
- Background [“How we got to where we are today...”]
- What’s happened since Air Cargo Working groups “briefed out” to ASAC, Oct 1st 2003
- Freight Assessment Program, cornerstone of future air cargo security
- Deloitte presentation
- TSA proposal for new ASAC working group

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Vision

- DHS AIR CARGO VISION: A layered air cargo security solution that denies terrorists an opportunity to exploit the system by using an optimal combination of information and technology-based solutions...
- MISSION: To provide the most effective security program possible, while maintaining effective stewardship of resources and without unduly impeding the flow of commerce
- GOAL: To secure the air cargo supply chain including cargo, conveyances and people through the implementation of a layered, threat-based, risk-managed security system
- RISK-MANAGED = 100% (physical/electronic) inspection of _**elevated risk**_* cargo
- * to be defined by Freight Assessment Program

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## ASAC 2003

- Jan 22, 2003, ASAC agreed to form joint government/industry work groups to address air cargo security
- 3 Air Cargo Working Groups formed to recommend enhancements to the current security requirements for cargo carried on aircraft
- WG1 – Shipper Acceptance Procedures – addressed means to strengthen the Known Shipper Program
- WG2 – Indirect Air Carriers (IACs) – addressed IAC validation/re-validation; IAC accreditation; en route security; IAC agents; database coordination; voluntary disclosure; training
- WG3 – Securing All-Cargo Aircraft – addressed identification of persons with access to ramps; perimeter access; random screening of persons with access to ramps; securing unattended aircraft; controlling access to cargo on ramp; searching aircraft; incident response; lines of communication; ensuring effectiveness; training

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Air Cargo Working Group Recommendations

- Oct 1, 2003, Air Cargo Working Groups “reported out” to ASAC
- WG1 – Shipper Acceptance Procedures  – 10 recommendations
- WG2 – Indirect Air Carriers (IACs) – 18 recommendations
- WG3 – Securing All-Cargo Aircraft – 15 recommendations
- ASAC accepted the Air Cargo Working Group recommendations and transmitted to TSA for action
- These extensive and thoughtful recommendations on air cargo security have served as the basis for our air cargo security roadmap
- Provided foundation for DHS Air Cargo Strategic Plan
- Implementation of many of the recommendations will be via rulemaking

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Air Cargo Strategic Plan

- Strategic Plan, approved by Secretary Ridge Jan 2, 2004, incorporates ASAC recommendations; lays out roadmap for air cargo security
- Goal is to secure the air cargo supply chain through implementation of a layered solution that includes
- Enhancement of shipper and supply chain security
- Identification of elevated risk cargo through prescreening
- Identification of technology for performing targeted cargo inspections
- Securing all-cargo aircraft through appropriate facility security measures
- Layered solution provides security through implementation of a variety of interlinked, reinforcing measures
- Eliminates single point of failure that, once breached, provides terrorists open access to the entire system

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Notice of Proposed Rule Making (NPRM)

- Air Cargo NPRM is in the final stages of executive branch coordination
- Foundation of effort to implement the DHS Air Cargo Strategic Plan
- Once cleared by OMB, the NPRM will be published in the Federal Register
- Available for  public comment  (60 days)
- Comments must then be addressed, changes incorporated as appropriate
- Final rule to be completed, cleared, and promulgated as quickly as possible
- Institutionalizes air cargo security measures already mandated via Security Directives and Emergency Amendments
- Incorporates additional security measures to strengthen air cargo security, consistent with recommendations from:
- ASAC Air Cargo Working Groups, DHS IG, and GAO

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## “Cargo Profiling” Recommendation

- WG1 ~ Recommendation 2: ...to effectively combat the threat to air cargo security, a layered solution is necessary....  Our recommended, layered solution consists of three layers....
- Cargo Profiling
- Inspection
- Detection
- This recommendation links directly to 2nd goal in our strategic plan ~ identification of elevated risk cargo through prescreening
- ... and the program that will implement this recommendation is the Freight Assessment Program

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Freight Assessment Program

- Freight Assessment Program is the cornerstone of the Air Cargo Strategic Plan
- Pre-screening system will identify “elevated risk” cargo
- FAS will incorporate elements of the Known Shipper Program and Indirect Air Carrier Program combined with shipment-specific data from the carriers to determine the level of risk for each shipment
- Cargo identified as elevated risk will require additional scrutiny
- Deloitte is prime contractor for design and development of the system;  plan to complete pilot project and initial deployment by the end of CY05
- Program team cuts across the agency and includes CBP advisors
- Working on a very aggressive timeline

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Partnering with Stakeholders is Key to Success.... 

- 3 guiding principles for Freight Assessment Program
- Leverage existing technology within DHS
- No stove pipe system development
- No duplicative data submission by stakeholders to multiple USG agencies
- TSA proposes to establish a new ASAC working group to
- Validate evolving Freight Assessment System architecture and processes
- Provide recommendations on implementation
- Also recognize that we need to be sensitive to demands on your time
- Need your inputs and creative ideas
- Need you to help us thoroughly understand your systems and processes
- But want to do that as efficiently as possible...
- ... through parallel outreach to individual stakeholders and formation of proposed ASAC working group

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Goals/Objectives of the Freight Assessment System

- To increase the security of passenger aircraft carrying cargo without adversely affecting the flow of commerce
- To design, develop, and deploy a flexible, scalable risk assessment process with the following in mind:
- Leverage existing technology within DHS
- No stove pipe system development
- No duplicative data submission by stakeholders to multiple DHS agencies
- To support the four goals of the TSA Air Cargo Security Strategic Plan:
- Enhance shipper and supply chain security
- Identify elevated risk cargo through prescreening
- Identify technology for performing targeted air cargo inspections
- Secure all-cargo aircraft through appropriate facility security measures

- Bob Chiaradio, Deloitte – Director, FAS Project Advisor          September 30, 2004

**Notes:**
Bob

## Risk Score Function and Potential Data Sources

- Tom Buckley, Deloitte - Manager, FAS Stakeholder Manager          September 30, 2004

**Notes:**
Tom

## FAS Technology Integration & Leverage Points

- System to share common services with other air cargo security systems for economies of scale:
- Known Shipper Database
- IAC Certification System
- Architecture to be developed to leverage common services between different systems, for example:
- Security
- Analytics
- Enterprise architecture
- Verification
- Integration must be established with external systems, such as:
- Air Carriers
- IACs
- CBP
- DOT/DOD
- External Lists

-   Monitoring
-   Alert notification
-   Risk scoring
-   Reporting

- Tom Buckley, Deloitte - Manager, FAS Stakeholder Manager          September 30, 2004

**Notes:**
Tom

## FAS Program Development Lifecycle

**Requirements, Analysis, and Design**

**Development**

**Deployment**

- Identify stakeholders
- Conduct CBP Gap Analysis
- Understand stakeholder cargo handling processes and data collection (types, quantity, timing)
- Individual stakeholder interviews and site visits conducted
- ASAC Working Group developed and workshops conducted
- Analyze stakeholder processes and data collection
- Identify FAS pilot participants
- ASAC Working Group final recommendation obtained
- ASAC Working Group recommendations analyzed
- Determine FAS pilot participants and functionality/scope
- FAS Design Drafted

- Develop risk modeling proof-of-concept
- Develop pilot system
- Test pilot system amongst limited pilot user group
- Learn from pilot experience and incorporate findings into FAS design
- Finalize FAS development based on pilot

- Begin deployment of Release 1
- Provide support and obtain feedback from users
- Analyze feedback and develop Release 2 enhancement requirements
- Develop Release 2
- Test Release 2 Pilot amongst limited Release 2 Pilot user group
- Learn from Release 2 Pilot experience and incorporate findings into Release 2 design
- Finalize Release 2 development
- Begin deployment of Release 2

**August 2004 – ****February 2005**

- March  - December 2005

- December 2005 - TBD

- Tom Buckley, Deloitte - Manager, FAS Stakeholder Manager          September 30, 2004

**Notes:**
Tom

## Key Requirements/Analysis Determinations

- Key questions to be answered by the end of the requirements/analysis phases
- What relevant data can be captured feasibly and from whom?
- How can air cargo security be best served given the information available?
- What are the major considerations in terms of impact on stakeholder standard operating procedures?
- What are possible points of integration between FAS and stakeholder operational processes and information technology systems?
- Key decisions to be made by the end of the requirements/analysis phases
- Data to be targeted for capture and assessment by FAS
- Points of information collection, assessment, and interdiction within the air cargo supply chain
- Pilot participants
- Concept of operations for deployment approach and scope of the pilot system

- Bob Chiaradio, Deloitte – Director, FAS Project Advisor          September 30, 2004

**Notes:**
Bob

## Assistance Needed 

- The key areas of stakeholder input during requirements and analysis will be:
- Information Sharing and Idea Generation
- Share and validate cargo handling, data capture, and data management processes within various stakeholders segments
- Generate ideas related to things such as optimal data capture processes and system integration approaches
- Feedback
- System concepts and designs
- Process adjustments
- System ease of use and effectiveness
- Adoption
- Lead buy-in from all major stakeholders
- Members to make recommendations on behalf of constituents

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## New ASAC Cargo Working Group

- Propose formation of an ASAC working group that will validate processes and systems that may contribute to a risk assessment of cargo shipped via passenger aircraft
- Objective is to identify elevated risk cargo that should be inspected (either via physical search or by electronic means)
- ASAC working group will offer recommendations concerning
- Parameters that should be involved in the modeling of risk characteristics
- Process integration
- Technology issues
- Data capture and management
- Deployment of freight assessment system
- Charter to be developed at initial working group meeting

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Membership

- Will be a small, focused team representing a broad cross-section of stakeholders impacted by this risk assessment and targeting system
- Primarily ASAC members, but may also reach out to other stakeholders who have a material interest
- ATA and passenger airlines
- CAA and all-cargo airlines
- Air Forwarders Association
- National Customs Brokers and Freight Forwarders Association
- Labor representatives
- Others....
- As always, recommendations from the Working Group will be vetted by the full ASAC

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Notional Timeline

- Will need to complete work on a very aggressive schedule, to support development and deployment timeline
- Kick-off meeting proposed for October 12th
- Two meetings in November
- Wrap-up meeting in mid-December
- Brief-out to ASAC in January 2005
- Transmittal of recommendations to ASAC by the end of January 2005

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam

## Proposal

- Request that ASAC approve establishment of an Air Cargo Freight Assessment System Working Group

- Pam Hamilton, TSA, Director of Air Cargo Operations          September 30, 2004

**Notes:**
Pam