II 

Calendar No. 67 

118TH CONGRESS 

1ST SESSION S. 794 

[Report No. 118–27] 

To require a pilot program on the participation of non-asset-based thirdparty logistics providers in the Customs-Trade Partnership Against Terrorism. 

IN THE SENATE OF THE UNITED STATES 

MARCH 14, 2023 

Mr. CORNYN (for himself, Mr. CARPER, Mr. LANKFORD, and Ms. HASSAN) 

introduced the following bill; which was read twice and referred to the 

Committee on Homeland Security and Governmental Affairs 

MAY 11, 2023 

Reported by Mr. PETERS, without amendment 

A BILL 

To require a pilot program on the participation of nonasset-based third-party logistics providers in the Customs-Trade Partnership Against Terrorism. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Customs Trade Part3 nership Against Terrorism Pilot Program Act of 2023’’ 

4 or the ‘‘CTPAT Pilot Program Act of 2023’’. 

5 SEC. 2. DEFINITIONS. 

6 In this Act: 

7 (1) APPROPRIATE CONGRESSIONAL COMMIT8 TEES.—The term ‘‘appropriate congressional com9 mittees’’ means— 

10 (A) the Committee on Homeland Security 

11 and Governmental Affairs and the Committee 

12 on Finance of the Senate; and 

13 (B) the Committee on Homeland Security 

14 and the Committee on Ways and Means of the 

15 House of Representatives. 

16 (2) CTPAT.—The term ‘‘CTPAT’’ means the 

17 Customs Trade Partnership Against Terrorism es18 tablished under subtitle B of title II of the Security 

19 and Accountability for Every Port Act (6 U.S.C. 

20 961 et seq.). 

21 SEC. 3. PILOT PROGRAM ON PARTICIPATION OF THIRD22 PARTY LOGISTICS PROVIDERS IN CTPAT. 

23 (a) ESTABLISHMENT.— 

24 (1) IN GENERAL.—The Secretary of Homeland 

25 Security shall carry out a pilot program to assess 

26 whether allowing entities described in subsection (b) 


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1 to participate in CTPAT would enhance port secu2 rity, combat terrorism, prevent supply chain security 

3 breaches, or otherwise meet the goals of CTPAT. 

4 (2) FEDERAL REGISTER NOTICE.—Not later 

5 than one year after the date of the enactment of this 

6 Act, the Secretary shall publish in the Federal Reg7 ister a notice specifying the requirements for the 

8 pilot program required by paragraph (1). 

9 (b) ENTITIES DESCRIBED.—An entity described in 

10 this subsection is— 

11 (1) a non-asset-based third-party logistics pro12 vider that— 

13 (A) arranges international transportation 

14 of freight and is licensed by the Department of 

15 Transportation; and 

16 (B) meets such other requirements as the 

17 Secretary specifies in the Federal Register no18 tice required by subsection (a)(2); or 

19 (2) an asset-based third-party logistics provider 

20 that— 

21 (A) facilitates cross border activity and is 

22 licensed or bonded by the Federal Maritime 

23 Commission, the Transportation Security Ad24 ministration, U.S. Customs and Border Protec25 tion, or the Department of Transportation; 


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1 (B) manages and executes logistics services 

2 using its own warehousing assets and resources 

3 on behalf of its customers; and 

4 (C) meets such other requirements as the 

5 Secretary specifies in the Federal Register no6 tice required by subsection (a)(2). 

7 (c) REQUIREMENTS.—In carrying out the pilot pro8 gram required by subsection (a)(1), the Secretary shall— 

9 (1) ensure that— 

10 (A) not more than 10 entities described in 

11 paragraph (1) of subsection (b) participate in 

12 the pilot program; and 

13 (B) not more than 10 entities described in 

14 paragraph (2) of that subsection participate in 

15 the program; 

16 (2) provide for the participation of those enti17 ties on a voluntary basis; 

18 (3) continue the program for a period of not 

19 less than one year after the date on which the Sec20 retary publishes the Federal Register notice required 

21 by subsection (a)(2); and 

22 (4) terminate the pilot program not more than 

23 5 years after that date. 

24 (d) REPORT REQUIRED.—Not later than 180 days 

25 after the termination of the pilot program under subVerDate Sep 11 2014 23:25 May 11, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S794.RS S794

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1 section (c)(4), the Secretary shall submit to the appro2 priate congressional committees a report on the findings 

3 of, and any recommendations arising from, the pilot pro4 gram concerning the participation in CTPAT of entities 

5 described in subsection (b), including an assessment of 

6 participation by those entities. 

7 SEC. 4. REPORT ON EFFECTIVENESS OF CTPAT. 

8 (a) IN GENERAL.—Not later than one year after the 

9 date of the enactment of this Act, the Comptroller General 

10 of the United States shall submit to the appropriate con11 gressional committees a report assessing the effectiveness 

12 of CTPAT. 

13 (b) ELEMENTS.—The report required by subsection 

14 (a) shall include the following: 

15 (1) An analysis of— 

16 (A) security incidents in the cargo supply 

17 chain during the 5-year period preceding sub18 mission of the report that involved criminal ac19 tivity, including drug trafficking, human smug20 gling, commercial fraud, or terrorist activity; 

21 and 

22 (B) whether those incidents involved par23 ticipants in CTPAT or entities not participating 

24 in CTPAT. 


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1 (2) An analysis of causes for the suspension or 

2 removal of entities from participating in CTPAT as 

3 a result of security incidents during that 5-year pe4 riod. 

5 (3) An analysis of the number of active CTPAT 

6 participants involved in one or more security inci7 dents while maintaining their status as participants. 

8 (4) Recommendations to the Commissioner of 

9 U.S. Customs and Border Protection for improve10 ments to CTPAT to improve prevention of security 

11 incidents in the cargo supply chain involving partici12 pants in CTPAT. 


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Calendar No. 67 

118TH CONGRESS 

1ST SESSION S. 794 

[Report No. 118–27] 

A BILL 

To require a pilot program on the participation of 

rorism. the Customs-Trade Partnership Against Ternon-asset-based third-party logistics providers in 

MAY 11, 2023 

Reported without amendment 


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