Northern Border Trade Facilitation Act

Summary: TABLE OF CONTENTS: 
     Title I: Authorization of Appropriations for the United 
          States Customs Service for Enhanced Inspection and Trade 
          Facilitation Along the United States-Canadian Border 
     Title II: Additional Preclearance Activities 
Northern Border Trade Facilitation Act - 
Title I: Authorization of Appropriations for the United States Customs Service for Enhanced Inspection and Trade Facilitation Along the United States-Canadian Border
 - Authorizes appropriations for the U.S. Customs Service for FY 2000 and 2001 for: (1) additional inspectors and special agents during peak hours along the U.S.-Canadian border; and (2) acquisition and deployment of cargo inspection equipment (including maintenance and support of such equipment, training of personnel, and for new technologies) along such border. 
Title II: Additional Preclearance Activities
 - Amends the Consolidated Omnibus Budget Reconciliation Act of 1985 to continue, indefinitely, the use of customs user fees (to the extent funds remain available after making certain reimbursements) for salaries for up to 50 full-time equivalent inspectional positions to provide preclearance customs services. 
Decreases from $6.50 to $5 the customs user fee charged to each passenger that arrives aboard a commercial vessel or commercial aircraft from a place outside the U.S. customs (except $1.75 shall be charged to each passenger aboard a commercial vessel that arrives from Canada, Mexico, a U.S. territory or possession, or an adjacent island). Earmarks a specified amount of certain customs user fees to the Customs Service for automated commercial systems. 
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SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Northern Border Trade Facilitation 
Act''.

SEC. 2. FINDINGS AND PURPOSE.

    (a) Findings.--Congress makes the following findings:
            (1) The United States and Canada share the longest 
        undefended border in the world.
            (2) The United States and Canada enjoy the world's largest 
        bilateral trading relationship, and that relationship is 
        continuing to expand. Two-way trade between the United States 
        and Canada has more than doubled since the United States-Canada 
        Free Trade Agreement was implemented, increasing from 
        $153,000,000,000 in 1988 to $320,000,000,000 in 1997.
            (3) On February 24, 1995, the United States and Canada 
        agreed to the Canada/United States of America Accord on Our 
        Shared Border (in this Act referred to as the ``Shared Border 
        Accord'') to promote common objectives along the border, 
        including--
                    (A) facilitating the movement of commercial goods 
                and people between both countries;
                    (B) reducing the costs of border management; and
                    (C) enhancing protections against drugs, smuggling, 
                and the illegal and irregular movement of people.
            (4) The Shared Border Accord has already resulted in 
        increased harmonization, shared training, and joint facilities 
        between United States and Canadian customs agencies.
            (5) Increased trade has resulted in a significant increase 
        in merchandise entries and cross-border traffic between the 
        United States and Canada. For example--
                    (A) formal entries of merchandise on the Northern 
                border have increased sixfold from 1,000,000 in 1980 to 
                6,000,000 in 1997;
                    (B) the number of individuals crossing the Northern 
                border has more than doubled from 54,000,000 in 1989 to 
                112,000,000 in 1997; and
                    (C) approximately 40,000,000 privately-owned 
                vehicles cross the Northern land border annually.
            (6) The staffing and technology acquisitions of the Customs 
        Service have not kept pace with the increased trade and traffic 
        along the Northern border. For example--
                    (A) the current number of authorized United States 
                Customs inspectors along the United States-Canadian 
                border is essentially the same as the number employed 
                in 1980;
                    (B) United States Customs understaffing is the 
                primary cause of congestion at border crossings;
                    (C) Customs Service acquisitions of new technology 
                for border management have been principally deployed on 
                the Southern border despite the enormous growth in 
                trade and traffic across the United States-Canadian 
                border; and
                    (D) outmoded technologies and inadequate equipment 
                have increased congestion along the Northern border.
            (7) Since 1952, the Customs Service has performed 
        preclearance activities in Canada, inspecting passengers and 
        baggage prior to their departure from Canada rather than upon 
        arrival in the United States. Such preclearance activities have 
        facilitated the movement of people and merchandise across the 
        United States-Canadian border.
            (8) The Customs Service has stated that it is eliminating 
        the preclearance positions because it believes that it no 
        longer has the statutory authority to fund the positions.
            (9) Loss of these positions would increase congestion and 
        delays at United States ports as the Customs Service would 
        require inspections to be performed in the United States, 
        rather than abroad.
    (b) Purpose.--The purpose of this Act is to facilitate commerce and 
the movement of people and traffic across the United States-Canadian 
border, while maintaining enforcement, by--
            (1) authorizing the funds necessary to open all of the 
        Customs Service's primary inspection lanes along the United 
        States-Canadian border during peak hours;
            (2) authorizing the funds necessary to supply the Customs 
        Service with the appropriate advanced technology to conduct 
        inspections along the United States-Canadian border and to 
        participate fully in the Shared Border Accord;
            (3) authorizing the Customs Service to pay for preclearance 
        positions in Canada out of the funds already being collected 
        from passenger processing fees; and
            (4) authorizing the Customs Service to use a portion of the 
        funds collected from the merchandise processing fee to develop 
        automated commercial systems to facilitate the processing of 
        merchandise.

TITLE I--AUTHORIZATION OF APPROPRIATIONS FOR THE UNITED STATES CUSTOMS 
SERVICE FOR ENHANCED INSPECTION AND TRADE FACILITATION ALONG THE UNITED 
                         STATES-CANADIAN BORDER

SEC. 101. AUTHORIZATION OF ADDITIONAL APPROPRIATIONS.

    In order to reduce commercial delays and congestion, open all 
primary lanes during peak hours at ports on the northern border, and 
enhance the investigative resources of the Customs Service, there are 
authorized to be appropriated for salaries, expenses, and equipment for 
the United States Customs Service for purposes of carrying out this 
title--
            (1) $75,896,800 for fiscal year 2000; and
            (2) $43,931,790 for fiscal year 2001.

SEC. 102. PEAK HOURS AND INVESTIGATIVE RESOURCE ENHANCEMENT FOR THE 
              UNITED STATES-CANADA BORDER.

    Of the amounts authorized to be appropriated under section 101, 
$49,314,800 in fiscal year 2000 and $41,273,590 in fiscal year 2001 
shall be for--
            (1) a net increase of 375 inspectors for the United States-
        Canadian border, in order to open all primary lanes during peak 
        hours and enhance investigative resources;
            (2) a net increase of 125 inspectors to be distributed at 
        large cargo facilities on the United States-Canadian border as 
        needed to process and screen cargo (including rail cargo) and 
        reduce commercial waiting times; and
            (3) a net increase of 40 special agents, and 10 
        intelligence analysts to facilitate the activities of the 
        additional inspectors authorized by paragraphs (1) and (2).

SEC. 103. CARGO INSPECTION EQUIPMENT FOR THE UNITED STATES-CANADA 
              BORDER.

    (a) Fiscal Year 2000.--Of the amounts authorized to be appropriated 
in fiscal year 2000 under section 101, $26,582,000 shall be available 
until expended for acquisition and other expenses associated with 
implementation and deployment of cargo inspection equipment along the 
United States-Canadian border as follows:
            (1) $3,000,000 for 4 Vehicle and Container Inspection 
        Systems (VACIS).
            (2) $8,800,000 for 4 mobile truck x-rays with transmission 
        and backscatter imaging.
            (3) $3,600,000 for 4 1-MeV pallet x-rays.
            (4) $250,000 for 50 portable contraband detectors (busters) 
        to be distributed among ports where the current allocations are 
        inadequate.
            (5) $300,000 for 25 contraband detection kits to be 
        distributed among ports based on traffic volume.
            (6) $240,000 for 10 portable Treasury Enforcement 
        Communications Systems (TECS) terminals to be moved among ports 
        as needed.
            (7) $400,000 for 10 narcotics vapor and particle detectors 
        to be distributed to each border crossing based on traffic 
        volume.
            (8) $600,000 for 30 fiber optic scopes.
            (9) $250,000 for 50 portable contraband detectors (busters) 
        to be distributed among ports where the current allocations are 
        inadequate;
            (10) $3,000,000 for 10 x-ray vans with particle detectors.
            (11) $40,000 for 8 AM loop radio systems.
            (12) $400,000 for 100 vehicle counters.
            (13) $1,200,000 for 12 examination tool trucks.
            (14) $2,400,000 for 3 dedicated commuter lanes.
            (15) $1,050,000 for 3 automated targeting systems.
            (16) $572,000 for 26 weigh-in-motion sensors.
            (17) $480,000 for 20 portable Treasury Enforcement 
        Communication Systems (TECS).
    (b) Fiscal Year 2001.--Of the amounts made available for fiscal 
year 2001 under section 101, $2,658,200 shall be for the maintenance 
and support of the equipment and training of personnel to maintain and 
support the equipment described in subsection (a).
    (c) Acquisition of Technologically Superior Equipment; Transfer of 
Funds.--
            (1) In general.--The Commissioner of Customs may use 
        amounts made available for fiscal year 2000 under section 101 
        for the acquisition of equipment other than the equipment 
        described in subsection (a) if such other equipment--
                    (A)(i) is technologically superior to the equipment 
                described in subsection (a); and
                    (ii) will achieve at least the same results at a 
                cost that is the same or less than the equipment 
                described in subsection (a); or
                    (B) can be obtained at a lower cost than the 
                equipment described in subsection (a).
            (2) Transfer of funds.--Notwithstanding any other provision 
        of this section, the Commissioner of Customs may reallocate an 
        amount not to exceed 10 percent of the amount specified in any 
        of paragraphs (1) through (17) of subsection (a) for equipment 
        specified in any other of such paragraphs (1) through (17).

              TITLE II--ADDITIONAL PRECLEARANCE ACTIVITIES

SEC. 201. CUSTOMS USER FEES.

    (a) Additional Preclearance Activities.--Section 
13031(f)(3)(A)(iii) of the Consolidated Omnibus Budget Reconciliation 
Act of 1985 (19 U.S.C. 58c(f)(3)(A)(iii)) is amended to read as 
follows:
                            ``(iii) to the extent funds remain 
                        available after making reimbursements under 
                        clause (ii), in providing salaries for up to 50 
                        full-time equivalent inspectional positions to 
                        provide preclearance services.''.
    (b) Collection of Fees for Passengers Aboard Commercial Vessels.--
Section 13031 of the Consolidated Omnibus Budget Reconciliation Act of 
1985 (19 U.S.C. 58c) is amended--
            (1) in subsection (a), by amending paragraph (5) to read as 
        follows:
            ``(5)(A) Subject to subparagraph (B), for the arrival of 
        each passenger aboard a commercial vessel or commercial 
        aircraft from a place outside the United States (other than a 
        place referred to in subsection (b)(1)(A)(i)), $5.
            ``(B) For the arrival of each passenger aboard a commercial 
        vessel from a place referred to in subsection (b)(1)(A)(i), 
        $1.75''; and
            (2) in subsection (b)(1)(A), by striking ``(A) No fee'' and 
        inserting ``(A) Except as provided in subsection (a)(5)(B), no 
        fee''.
    (c) Use of Merchandise Processing Fees for Automated Commercial 
Systems.--Section 13031(f) of the Consolidated Omnibus Budget 
Reconciliation Act of 1985 (19 U.S.C. 58c(f)) is amended by adding at 
the end the following:
            ``(6) Of the amounts collected under paragraphs (9) and 
        (10) of subsection (a), $50,000,000 shall be available to the 
        Customs Service, subject to appropriations Acts, for automated 
        commercial systems. Amounts made available under this paragraph 
        shall remain available until expended.''.
    (d) Effective Date.--The amendments made by this section take 
effect 30 days after the date of enactment of this Act.