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U.S. Consumer Product Safety Commission

LOG OF MEETING

SUBJECT: Meeting with National Customs Brokers & Forwarders Association of America 

(NCBFAA) to discuss the Proposed Rule on Certificates of Compliance (16 C.F.R. part 1110)

DATE OF MEETING: June 11, 2013

LOCATION: CPSC Headquarters, Room 834, 4330 East West Hwy, Bethesda, MD 20814

CPSC ATTENDEES: 

Robert (Jay) Howell; Harriet Kerwin; Mary House; Patty Pollitzer; Howard Tarnoff; Carol Cave; 

James (Jim) Joholske; Sabrina Keller; Carl Philpott

NON-CPSC ATTENDEES:

Alan Klestadt, National Customs Brokers & Forwarders Association of America

Cary Weinberg, National Customs Brokers & Forwarders Association of America

J.H. Kent, National Customs Brokers & Forwarders Association of America

Ben Gross, Product Safety Letter

SUMMARY OF MEETING:

Carol Cave opened the meeting and reminded participants that the rulemaking is in active 

status. Ms. Cave noted that CPSC’s role during the meeting was to listen to the comments made, 

adding that we would respond to all comments as part of the rulemaking. Ms. Cave stated that 

CPSC encourages comments in writing, and indicated that July 29, 2013, is the deadline for 

submitting comments on the proposed rule.

Cary Weinberg stated his belief that the proposed rule changes the role of the broker in 

the entry transaction. Mr. Weinberg stated that brokers are the middlemen in the import process, 

adding that they do not own or control the goods being imported. Brokers never see the goods in 

question, Mr. Weinberg said; instead, they process paperwork. Brokers must rely on

information, such as invoices and packing lists, supplied by customers to determine entry 

requirements and to submit entry documentation, Weinberg stated.

Alan Klestadt stated that brokers are not in the best position to meet regulatory 

expectations because they are not involved in product testing, development, or standards. 

Therefore, he noted brokers cannot verify or validate information on a certificate. Brokers

generally only become involved with products at the time they reach a U.S. port, Klestadt 

observed. Brokers cannot determine what authorities and regulations apply to a shipment 

independently and must rely on information supplied by customers. Although some brokers 

provide services to act as the importer of record and take on importer obligations, brokers 

generally are not in a position to generate data on imported products, according to Klestadt. The 

“beneficial owner” of a product or the person that caused products to be imported should be the 
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party responsible for regulatory obligations, Klestadt opined. He recommended that the rule be 

modified to remove any broker reference and suggested instead, placing certificate obligations 

on the “beneficial owner” of the products offered for import. 

Robert (Jay) Howell stated that the NCBFAA noted that a broker may serve as the 

importer of record with some shipments. Mr. Howell asked whether the NCBFAA would object 

to a rule that limited certificate requirements to brokers that served as the importer of record.

Mr. Klestadt stated that if a broker chose to be the importer of record, the broker takes on 

all obligations related to the entry. NCBFAA would not object to a certificate obligation being 

placed on the importer of record, Klestadt said.

Mr. Weinberg described logistical problems related to the importation of goods and the 

ability of brokers to have access to relevant documentation. Brokers must rely on importers for 

certificates and other related paperwork, Weinberg observed. Additional paperwork required for 

admissibility of products, such as certificates, could delay moving products through the ports if 

such required documentation or original copies of documents are missing, he noted. Mr. 

Weinberg suggested that the Commission consider the timing of required documentation to 

ensure that cargo is not unduly held at the ports. He suggested that the Commission consider 

circumstances such as short shipments and cargo that is sold to another party while in transit, in 

determining when certificates must be provided, by whom, and in what manner.

Mr. Klestadt asked whether certificates would be an admissibility requirement, and 

queried what would happen if the certificate is not available at entry. Currently, brokers can 

provide certificates if the CPSC asks for them. Mr. Klestadt also asked the Commission to 

consider how brokers will know which certificates pertain to particular lots and how brokers are 

going to provide the data to CPSC, hard copy, data, or images. CBP is moving brokers into 

electronic transmission of entry data through the ACE system. If the CPSC requires data, a 

programming solution is required, which will add cost and time to the entry process.

Ms. Cave stated that the CPSC is seeking comment on the format of data transmitted to

CPSC.

Mr. Weinberg asked what data content is required on a certificate. CPSC staff stated that 

10 data elements are required on a certificate, which can be found in § 1110.11 in the proposed 

rule, available on the CPSC’s website.

Mr. Klestadt explained that brokers currently rely on flags for special entry requirements 

in CBP’s computer system. The flags are generated based on harmonized tariff codes that apply 

to each type of product being imported, he noted. Unless the system can flag goods that require 

certificates based on a tariff code, Klestadt said it would be difficult for brokers to know that a 

certificate was required. Moreover, large containers may have hundreds of different types of 

products in the container, some that may require certificates and others that may not, he 

observed. Importers look to brokers to understand product safety requirements for many 

different types of products; but brokers must rely on the information provided by importers to 

assess entry requirements, according to Klestadt.
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Jay Howell encouraged the NCBFAA to comment on how the certificate and data 

processing aspects of certificates would work best with the entry of consumer products. CPSC 

staff is interested in their comments on streamlining the process or increasing efficiency to 

facilitate movement of goods at the ports. Mr. Howell also confirmed that the meeting is on the 

record and will supplement any written comments received.

Ms. Cave encouraged NCBFAA to include operational issues in written comments. 

Participants discussed the potential for education and outreach opportunities for brokers 

and others involved in importing products at the conclusion of the rulemaking process. 

The meeting closed.