In the House of Representatives, U. S., 

June 12, 2015. 

Resolved, That the House agree to the amendment of the 

Senate to the title of the bill (H.R. 644) entitled ‘‘An Act to 

amend the Internal Revenue Code of 1986 to permanently extend and expand the charitable deduction for contributions of 

food inventory.’’ and be it further 

Resolved, That the House agree to the amendment of the 

Senate to the text of the aforementioned bill, with the following 

HOUSE AMENDMENT TO SENATE AMENDMENT: 

In lieu of the matter proposed to be inserted by the 

amendment of the Senate to the text of the bill, insert 

the following: 

1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

2 (a) SHORT TITLE.—This Act may be cited as the 

3 ‘‘Trade Facilitation and Trade Enforcement Act of 2015’’. 

4 (b) TABLE OF CONTENTS.—The table of contents for 

5 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Definitions. 

TITLE I—TRADE FACILITATION AND TRADE ENFORCEMENT 

Sec. 101. Improving partnership programs. 

Sec. 102. Report on effectiveness of trade enforcement activities. 

Sec. 103. Priorities and performance standards for customs modernization, trade 

facilitation, and trade enforcement functions and programs. 

Sec. 104. Educational seminars to improve efforts to classify and appraise imported articles, to improve trade enforcement efforts, and to otherwise facilitate legitimate international trade. 
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Sec. 105. Joint strategic plan. 

Sec. 106. Automated Commercial Environment. 

Sec. 107. International Trade Data System. 

Sec. 108. Consultations with respect to mutual recognition arrangements. 

Sec. 109. Commercial Customs Operations Advisory Committee. 

Sec. 110. Centers of Excellence and Expertise. 

Sec. 111. Commercial risk assessment targeting and trade alerts. 

Sec. 112. Report on oversight of revenue protection and enforcement measures. 

Sec. 113. Report on security and revenue measures with respect to merchandise 

transported in bond. 

Sec. 114. Importer of record program. 

Sec. 115. Establishment of new importer program. 

Sec. 116. Customs broker identification of importers. 

Sec. 117. Requirements applicable to non-resident importers. 

Sec. 118. Priority trade issues. 

Sec. 119. Appropriate congressional committees defined. 

TITLE II—IMPORT HEALTH AND SAFETY 

Sec. 201. Interagency import safety working group. 

Sec. 202. Joint import safety rapid response plan. 

Sec. 203. Training. 

TITLE III—IMPORT-RELATED PROTECTION OF INTELLECTUAL 

PROPERTY RIGHTS 

Sec. 301. Definition of intellectual property rights. 

Sec. 302. Exchange of information related to trade enforcement. 

Sec. 303. Seizure of circumvention devices. 

Sec. 304. Enforcement by U.S. Customs and Border Protection of works for which 

copyright registration is pending. 

Sec. 305. National Intellectual Property Rights Coordination Center. 

Sec. 306. Joint strategic plan for the enforcement of intellectual property rights. 

Sec. 307. Personnel dedicated to the enforcement of intellectual property rights. 

Sec. 308. Training with respect to the enforcement of intellectual property rights. 

Sec. 309. International cooperation and information sharing. 

Sec. 310. Report on intellectual property rights enforcement. 

Sec. 311. Information for travelers regarding violations of intellectual property 

rights. 

TITLE IV—PREVENTION OF EVASION OF ANTIDUMPING AND 

COUNTERVAILING DUTY ORDERS 

Sec. 401. Short title. 

Sec. 402. Definitions. 

Sec. 403. Application to Canada and Mexico. 

Subtitle A—Actions Relating to Enforcement of Trade Remedy Laws 

Sec. 411. Trade remedy law enforcement division. 

Sec. 412. Collection of information on evasion of trade remedy laws. 

Sec. 413. Access to information. 

Sec. 414. Cooperation with foreign countries on preventing evasion of trade remedy laws. 

Sec. 415. Trade negotiating objectives. 
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Subtitle B—Investigation of Evasion of Trade Remedy Laws 

Sec. 421. Procedures for investigation of evasion of antidumping and countervailing duty orders. 

Sec. 422. Government Accountability Office report. 

Subtitle C—Other Matters 

Sec. 431. Allocation and training of personnel. 

Sec. 432. Annual report on prevention of evasion of antidumping and countervailing duty orders. 

Sec. 433. Addressing circumvention by new shippers. 

TITLE V—IMPROVEMENTS TO ANTIDUMPING AND COUNTERVAILING 

DUTY LAWS 

Sec. 501. Short title. 

Sec. 502. Consequences of failure to cooperate with a request for information in 

a proceeding. 

Sec. 503. Definition of material injury. 

Sec. 504. Particular market situation. 

Sec. 505. Distortion of prices or costs. 

Sec. 506. Reduction in burden on Department of Commerce by reducing the number of voluntary respondents. 

Sec. 507. Application to Canada and Mexico. 

TITLE VI—ADDITIONAL ENFORCEMENT PROVISIONS 

Sec. 601. Trade enforcement priorities. 

Sec. 602. Exercise of WTO authorization to suspend concessions or other obligations under trade agreements. 

Sec. 603. Trade monitoring. 

TITLE VII—CURRENCY MANIPULATION 

Sec. 701. Enhancement of engagement on currency exchange rate and economic 

policies with certain major trading partners of the United 

States. 

Sec. 702. Advisory committee on international exchange rate policy. 

TITLE VIII—ESTABLISHMENT OF U.S. CUSTOMS AND BORDER 

PROTECTION 

Sec. 801. Short title. 

Sec. 802. Establishment of U.S. Customs and Border Protection. 

TITLE IX—MISCELLANEOUS PROVISIONS 

Sec. 901. De minimis value. 

Sec. 902. Consultation on trade and customs revenue functions. 

Sec. 903. Penalties for customs brokers. 

Sec. 904. Amendments to chapter 98 of the Harmonized Tariff Schedule of the 

United States. 

Sec. 905. Exemption from duty of residue of bulk cargo contained in instruments 

of international traffic previously exported from the United 

States. 

Sec. 906. Drawback and refunds. 

Sec. 907. Office of the United States Trade Representative. 
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Sec. 908. United States-Israel Trade and Commercial Enhancement. 

Sec. 909. Elimination of consumptive demand exception to prohibition on importation of goods made with convict labor, forced labor, or indentured labor; report. 

Sec. 910. Customs user fees. 

Sec. 911. Report on certain U.S. Customs and Border Protection agreements. 

Sec. 912. Amendments to Bipartisan Congressional Trade Priorities and Accountability Act of 2015. 

Sec. 913. Certain interest to be included in distributions under Continued Dumping and Subsidy Offset Act of 2000. 

Sec. 914. Report on competitiveness of U.S. recreational performance outerwear 

industry. 

Sec. 915. Increase in penalty for failure to file return of tax. 

1 SEC. 2. DEFINITIONS. 

2 In this Act: 

3 (1) AUTOMATED COMMERCIAL ENVIRONMENT.— 

4 The term ‘‘Automated Commercial Environment’’ 

5 means the Automated Commercial Environment com6 puter system authorized under section 13031(f)(4) of 

7 the Consolidated Omnibus Budget Reconciliation Act 

8 of 1985 (19 U.S.C. 58c(f)(4)). 

9 (2) COMMISSIONER.—The term ‘‘Commissioner’’ 

10 means the Commissioner of U.S. Customs and Border 

11 Protection, as described in section 411(b) of the 

12 Homeland Security Act of 2002, as added by section 

13 802(a) of this Act. 

14 (3) CUSTOMS AND TRADE LAWS OF THE UNITED

15 STATES.—The term ‘‘customs and trade laws of the 

16 United States’’ includes the following: 

17 (A) The Tariff Act of 1930 (19 U.S.C. 1202 

18 et seq.). 
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1 (B) Section 249 of the Revised Statutes (19 

2 U.S.C. 3). 

3 (C) Section 2 of the Act of March 4, 1923 

4 (42 Stat. 1453, chapter 251; 19 U.S.C. 6). 

5 (D) The Act of March 3, 1927 (44 Stat. 

6 1381, chapter 348; 19 U.S.C. 2071 et seq.). 

7 (E) Section 13031 of the Consolidated Om8 nibus Budget Reconciliation Act of 1985 (19 

9 U.S.C. 58c). 

10 (F) Section 251 of the Revised Statutes (19 

11 U.S.C. 66). 

12 (G) Section 1 of the Act of June 26, 1930 

13 (46 Stat. 817, chapter 617; 19 U.S.C. 68). 

14 (H) The Foreign Trade Zones Act (19 

15 U.S.C. 81a et seq.). 

16 (I) Section 1 of the Act of March 2, 1911 

17 (36 Stat. 965, chapter 191; 19 U.S.C. 198). 

18 (J) The Trade Act of 1974 (19 U.S.C. 2102 

19 et seq.). 

20 (K) The Trade Agreements Act of 1979 (19 

21 U.S.C. 2501 et seq.). 

22 (L) The North American Free Trade Agree23 ment Implementation Act (19 U.S.C. 3301 et 

24 seq.). 
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1 (M) The Uruguay Round Agreements Act 

2 (19 U.S.C. 3501 et seq.). 

3 (N) The Caribbean Basin Economic Recov4 ery Act (19 U.S.C. 2701 et seq.). 

5 (O) The Andean Trade Preference Act (19 

6 U.S.C. 3201 et seq.). 

7 (P) The African Growth and Opportunity 

8 Act (19 U.S.C. 3701 et seq.). 

9 (Q) The Customs Enforcement Act of 1986 

10 (Public Law 99–570; 100 Stat. 3207–79). 

11 (R) The Customs and Trade Act of 1990 

12 (Public Law 101–382; 104 Stat. 629). 

13 (S) The Customs Procedural Reform and 

14 Simplification Act of 1978 (Public Law 95–410; 

15 92 Stat. 888). 

16 (T) The Trade Act of 2002 (Public Law 

17 107–210; 116 Stat. 933). 

18 (U) The Convention on Cultural Property 

19 Implementation Act (19 U.S.C. 2601 et seq.). 

20 (V) The Act of March 28, 1928 (45 Stat. 

21 374, chapter 266; 19 U.S.C. 2077 et seq.). 

22 (W) The Act of August 7, 1939 (53 Stat. 

23 1263, chapter 566). 

24 (X) Any other provision of law imple25 menting a trade agreement. 
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1 (Y) Any other provision of law vesting cus2 toms revenue functions in the Secretary of the 

3 Treasury. 

4 (Z) Any other provision of law relating to 

5 trade facilitation or trade enforcement that is 

6 administered by U.S. Customs and Border Pro7 tection on behalf of any Federal agency that is 

8 required to participate in the International 

9 Trade Data System. 

10 (AA) Any other provision of customs or 

11 trade law administered by U.S. Customs and 

12 Border Protection or U.S. Immigration and Cus13 toms Enforcement. 

14 (4) PRIVATE SECTOR ENTITY.—The term ‘‘pri15 vate sector entity’’ means— 

16 (A) an importer; 

17 (B) an exporter; 

18 (C) a forwarder; 

19 (D) an air, sea, or land carrier or shipper; 

20 (E) a contract logistics provider; 

21 (F) a customs broker; or 

22 (G) any other person (other than an em23 ployee of a government) affected by the imple24 mentation of the customs and trade laws of the 

25 United States. 
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1 (5) TRADE ENFORCEMENT.—The term ‘‘trade en2 forcement’’ means the enforcement of the customs and 

3 trade laws of the United States. 

4 (6) TRADE FACILITATION.—The term ‘‘trade fa5 cilitation’’ refers to policies and activities of U.S. 

6 Customs and Border Protection with respect to facili7 tating the movement of merchandise into and out of 

8 the United States in a manner that complies with the 

9 customs and trade laws of the United States. 

10 TITLE I—TRADE FACILITATION 

11 AND TRADE ENFORCEMENT 

12 SEC. 101. IMPROVING PARTNERSHIP PROGRAMS. 

13 (a) IN GENERAL.—In order to advance the security, 

14 trade enforcement, and trade facilitation missions of U.S. 

15 Customs and Border Protection, the Commissioner shall en16 sure that partnership programs of U.S. Customs and Bor17 der Protection established before the date of the enactment 

18 of this Act, such as the Customs–Trade Partnership Against 

19 Terrorism established under subtitle B of title II of the Se20 curity and Accountability for Every Port Act of 2006 (6 

21 U.S.C. 961 et seq.), and partnership programs of U.S. Cus22 toms and Border Protection established on or after such 

23 date of enactment, provide trade benefits to private sector 

24 entities that meet the requirements for participation in 
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1 those programs established by the Commissioner under this 

2 section. 

3 (b) ELEMENTS.—In developing and operating partner4 ship programs under subsection (a), the Commissioner 

5 shall— 

6 (1) consult with private sector entities, the pub7 lic, and other Federal agencies when appropriate, to 

8 ensure that participants in those programs receive 

9 commercially significant and measurable trade bene10 fits, including providing pre-clearance of merchandise 

11 for qualified persons that demonstrate the highest lev12 els of compliance with the customs and trade laws of 

13 the United States, regulations of U.S. Customs and 

14 Border Protection, and other requirements the Com15 missioner determines to be necessary; 

16 (2) ensure an integrated and transparent system 

17 of trade benefits and compliance requirements for all 

18 partnership programs of U.S. Customs and Border 

19 Protection; 

20 (3) consider consolidating partnership programs 

21 in situations in which doing so would support the ob22 jectives of such programs, increase participation in 

23 such programs, enhance the trade benefits provided to 

24 participants in such programs, and enhance the allo-
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1 cation of the resources of U.S. Customs and Border 

2 Protection; 

3 (4) coordinate with the Director of U.S. Immi4 gration and Customs Enforcement, and other Federal 

5 agencies with authority to detain and release mer6 chandise entering the United States— 

7 (A) to ensure coordination in the release of 

8 such merchandise through the Automated Com9 mercial Environment, or its predecessor, and the 

10 International Trade Data System; 

11 (B) to ensure that the partnership programs 

12 of those agencies are compatible with the part13 nership programs of U.S. Customs and Border 

14 Protection; 

15 (C) to develop criteria for authorizing the 

16 release, on an expedited basis, of merchandise for 

17 which documentation is required from one or 

18 more of those agencies to clear or license the mer19 chandise for entry into the United States; and 

20 (D) to create pathways, within and among 

21 the appropriate Federal agencies, for qualified 

22 persons that demonstrate the highest levels of 

23 compliance with the customs and trade laws of 

24 the United States to receive immediate clearance 
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1 absent information that a transaction may pose 

2 a national security or compliance threat; and 

3 (5) ensure that trade benefits are provided to 

4 participants in partnership programs. 

5 (c) REPORT REQUIRED.—Not later than the date that 

6 is 180 days after the date of the enactment of this Act, and 

7 not later than December 31 of each calendar year thereafter, 

8 the Commissioner shall submit to the appropriate congres9 sional committees a report that— 

10 (1) identifies each partnership program referred 

11 to in subsection (a); 

12 (2) for each such program, identifies— 

13 (A) the requirements for participants in the 

14 program; 

15 (B) the commercially significant and meas16 urable trade benefits provided to participants in 

17 the program; 

18 (C) the number of participants in the pro19 gram; and 

20 (D) in the case of a program that provides 

21 for participation at multiple tiers, the number of 

22 participants at each such tier; 

23 (3) identifies the number of participants enrolled 

24 in more than one such partnership program; 
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1 (4) assesses the effectiveness of each such partner2 ship program in advancing the security, trade en3 forcement, and trade facilitation missions of U.S. 

4 Customs and Border Protection, based on historical 

5 developments, the level of participation in the pro6 gram, and the evolution of benefits provided to par7 ticipants in the program; 

8 (5) summarizes the efforts of U.S. Customs and 

9 Border Protection to work with other Federal agencies 

10 with authority to detain and release merchandise en11 tering the United States to ensure that partnership 

12 programs of those agencies are compatible with part13 nership programs of U.S. Customs and Border Pro14 tection; 

15 (6) summarizes criteria developed with those 

16 agencies for authorizing the release, on an expedited 

17 basis, of merchandise for which documentation is re18 quired from one or more of those agencies to clear or 

19 license the merchandise for entry into the United 

20 States; 

21 (7) summarizes the efforts of U.S. Customs and 

22 Border Protection to work with private sector entities 

23 and the public to develop and improve partnership 

24 programs referred to in subsection (a); 
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1 (8) describes measures taken by U.S. Customs 

2 and Border Protection to make private sector entities 

3 aware of the trade benefits available to participants 

4 in such programs; and 

5 (9) summarizes the plans, targets, and goals of 

6 U.S. Customs and Border Protection with respect to 

7 such programs for the 2 years following the submis8 sion of the report. 

9 SEC. 102. REPORT ON EFFECTIVENESS OF TRADE ENFORCE10 MENT ACTIVITIES. 

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

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

13 of the United States shall submit to the appropriate con14 gressional committees a report on the effectiveness of trade 

15 enforcement activities of U.S. Customs and Border Protec16 tion. 

17 (b) CONTENTS.—The report required by subsection (a) 

18 shall include— 

19 (1) a description of the use of resources, results 

20 of audits and verifications, targeting, organization, 

21 and training of personnel of U.S. Customs and Bor22 der Protection; and 

23 (2) a description of trade enforcement activities 

24 to address undervaluation, transshipment, legitimacy 

25 of entities making entry, protection of revenues, fraud 
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1 prevention and detection, and penalties, including in2 tentional misclassification, inadequate bonding, and 

3 other misrepresentations. 

4 SEC. 103. PRIORITIES AND PERFORMANCE STANDARDS FOR 

5 CUSTOMS MODERNIZATION, TRADE FACILITA6 TION, AND TRADE ENFORCEMENT FUNC7 TIONS AND PROGRAMS. 

8 (a) PRIORITIES AND PERFORMANCE STANDARDS.— 

9 (1) IN GENERAL.—The Commissioner, in con10 sultation with the appropriate congressional commit11 tees, shall establish priorities and performance stand12 ards to measure the development and levels of achieve13 ment of the customs modernization, trade facilitation, 

14 and trade enforcement functions and programs de15 scribed in subsection (b). 

16 (2) MINIMUM PRIORITIES AND STANDARDS.— 

17 Such priorities and performance standards shall, at 

18 a minimum, include priorities and standards relating 

19 to efficiency, outcome, output, and other types of ap20 plicable measures. 

21 (b) FUNCTIONS AND PROGRAMS DESCRIBED.—The 

22 functions and programs referred to in subsection (a) are 

23 the following: 

24 (1) The Automated Commercial Environment. 
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1 (2) Each of the priority trade issues described in 

2 section 118. 

3 (3) The Centers of Excellence and Expertise de4 scribed in section 110. 

5 (4) Drawback for exported merchandise under 

6 section 313 of the Tariff Act of 1930 (19 U.S.C. 

7 1313), as amended by section 906 of this Act. 

8 (5) Transactions relating to imported merchan9 dise in bond. 

10 (6) Collection of countervailing duties assessed 

11 under subtitle A of title VII of the Tariff Act of 1930 

12 (19 U.S.C. 1671 et seq.) and antidumping duties as13 sessed under subtitle B of title VII of the Tariff Act 

14 of 1930 (19 U.S.C. 1673 et seq.). 

15 (7) The expedited clearance of cargo. 

16 (8) The issuance of regulations and rulings. 

17 (9) The issuance of Regulatory Audit Reports. 

18 (c) CONSULTATIONS AND NOTIFICATION.— 

19 (1) CONSULTATIONS.—The consultations re20 quired by subsection (a)(1) shall occur, at a min21 imum, on an annual basis. 

22 (2) NOTIFICATION.—The Commissioner shall no23 tify the appropriate congressional committees of any 

24 changes to the priorities referred to in subsection (a) 
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1 not later than 30 days before such changes are to take 

2 effect. 

3 SEC. 104. EDUCATIONAL SEMINARS TO IMPROVE EFFORTS 

4 TO CLASSIFY AND APPRAISE IMPORTED ARTI5 CLES, TO IMPROVE TRADE ENFORCEMENT EF6 FORTS, AND TO OTHERWISE FACILITATE LE7 GITIMATE INTERNATIONAL TRADE. 

8 (a) IN GENERAL.— 

9 (1) ESTABLISHMENT.—The Commissioner and 

10 the Director shall establish and carry out on a fiscal 

11 year basis educational seminars to— 

12 (A) improve the ability of U.S. Customs 

13 and Border Protection personnel to classify and 

14 appraise articles imported into the United States 

15 in accordance with the customs and trade laws 

16 of the United States; 

17 (B) improve the trade enforcement efforts of 

18 U.S. Customs and Border Protection personnel 

19 and U.S. Immigration and Customs Enforce20 ment personnel; and 

21 (C) otherwise improve the ability and effec22 tiveness of U.S. Customs and Border Protection 

23 personnel and U.S. Immigration and Customs 

24 Enforcement personnel to facilitate legitimate 

25 international trade. 
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1 (b) CONTENT.— 

2 (1) CLASSIFYING AND APPRAISING IMPORTED AR3 TICLES.—In carrying out subsection (a)(1)(A), the 

4 Commissioner, the Director, and interested parties in 

5 the private sector selected under subsection (c) shall 

6 provide instruction and related instructional mate7 rials at each educational seminar under this section 

8 to U.S. Customs and Border Protection personnel 

9 and, as appropriate, to U.S. Immigration and Cus10 toms Enforcement personnel on the following: 

11 (A) Conducting a physical inspection of an 

12 article imported into the United States, includ13 ing testing of samples of the article, to determine 

14 if the article is mislabeled in the manifest or 

15 other accompanying documentation. 

16 (B) Reviewing the manifest and other ac17 companying documentation of an article im18 ported into the United States to determine if the 

19 country of origin of the article listed in the 

20 manifest or other accompanying documentation 

21 is accurate. 

22 (C) Customs valuation. 

23 (D) Industry supply chains and other re24 lated matters as determined to be appropriate by 

25 the Commissioner. 
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1 (2) TRADE ENFORCEMENT EFFORTS.—In car2 rying out subsection (a)(1)(B), the Commissioner, the 

3 Director, and interested parties in the private sector 

4 selected under subsection (c) shall provide instruction 

5 and related instructional materials at each edu6 cational seminar under this section to U.S. Customs 

7 and Border Protection personnel and, as appropriate, 

8 to U.S. Immigration and Customs Enforcement per9 sonnel to identify opportunities to enhance enforce10 ment of the following: 

11 (A) Collection of countervailing duties as12 sessed under subtitle A of title VII of the Tariff 

13 Act of 1930 (19 U.S.C. 1671 et seq.) and anti14 dumping duties assessed under subtitle B of title 

15 VII of the Tariff Act of 1930 (19 U.S.C. 1673 et 

16 seq.). 

17 (B) Addressing evasion of duties on imports 

18 of textiles. 

19 (C) Protection of intellectual property 

20 rights. 

21 (D) Enforcement of child labor laws. 

22 (3) APPROVAL OF COMMISSIONER AND DIREC23 TOR.—The instruction and related instructional ma24 terials at each educational seminar under this section 
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1 shall be subject to the approval of the Commissioner 

2 and the Director. 

3 (c) SELECTION PROCESS.— 

4 (1) IN GENERAL.—The Commissioner shall estab5 lish a process to solicit, evaluate, and select interested 

6 parties in the private sector for purposes of assisting 

7 in providing instruction and related instructional 

8 materials described in subsection (b) at each edu9 cational seminar under this section. 

10 (2) CRITERIA.—The Commissioner shall evaluate 

11 and select interested parties in the private sector 

12 under the process established under paragraph (1) 

13 based on— 

14 (A) availability and usefulness; 

15 (B) the volume, value, and incidence of 

16 mislabeling or misidentification of origin of im17 ported articles; and 

18 (C) other appropriate criteria established by 

19 the Commissioner. 

20 (3) PUBLIC AVAILABILITY.—The Commissioner 

21 and the Director shall publish in the Federal Register 

22 a detailed description of the process established under 

23 paragraph (1) and the criteria established under 

24 paragraph (2). 
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1 (d) SPECIAL RULE FOR ANTIDUMPING AND COUNTER2 VAILING DUTY ORDERS.— 

3 (1) IN GENERAL.—The Commissioner shall give 

4 due consideration to carrying out an educational 

5 seminar under this section in whole or in part to im6 prove the ability of U.S. Customs and Border Protec7 tion personnel to enforce a countervailing or anti8 dumping duty order issued under section 706 or 736 

9 of the Tariff Act of 1930 (19 U.S.C. 1671e or 1673e) 

10 upon the request of a petitioner in an action under11 lying such countervailing or antidumping duty order. 

12 (2) INTERESTED PARTY.—A petitioner described 

13 in paragraph (1) shall be treated as an interested 

14 party in the private sector for purposes of the require15 ments of this section. 

16 (e) PERFORMANCE STANDARDS.—The Commissioner 

17 and the Director shall establish performance standards to 

18 measure the development and level of achievement of edu19 cational seminars under this section. 

20 (f) REPORTING.—Beginning September 30, 2016, the 

21 Commissioner and the Director shall submit to the appro22 priate congressional committees an annual report on the 

23 effectiveness of educational seminars under this section. 

24 (g) DEFINITIONS.—In this section: 
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1 (1) DIRECTOR.—The term ‘‘Director’’ means the 

2 Director of U.S. Immigration and Customs Enforce3 ment. 

4 (2) UNITED STATES.—The term ‘‘United States’’ 

5 means the customs territory of the United States, as 

6 defined in General Note 2 to the Harmonized Tariff 

7 Schedule of the United States. 

8 (3) U.S. CUSTOMS AND BORDER PROTECTION

9 PERSONNEL.—The term ‘‘U.S. Customs and Border 

10 Protection personnel’’ means import specialists, audi11 tors, and other appropriate employees of the U.S. 

12 Customs and Border Protection. 

13 (4) U.S. IMMIGRATION AND CUSTOMS ENFORCE14 MENT PERSONNEL.—The term ‘‘U.S. Immigration 

15 and Customs Enforcement personnel’’ means Home16 land Security Investigations Directorate personnel 

17 and other appropriate employees of U.S. Immigration 

18 and Customs Enforcement. 

19 SEC. 105. JOINT STRATEGIC PLAN. 

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

21 date of the enactment of this Act, and every 2 years there22 after, the Commissioner and the Director of U.S. Immigra23 tion and Customs Enforcement shall jointly develop and 

24 submit to the appropriate congressional committees a joint 

25 strategic plan. 
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1 (b) CONTENTS.—The joint strategic plan required 

2 under this section shall be comprised of a comprehensive 

3 multi-year plan for trade enforcement and trade facilita4 tion, and shall include— 

5 (1) a summary of actions taken during the 2- 

6 year period preceding the submission of the plan to 

7 improve trade enforcement and trade facilitation, in8 cluding a description and analysis of specific per9 formance measures to evaluate the progress of U.S. 

10 Customs and Border Protection and U.S. Immigra11 tion and Customs Enforcement in meeting each such 

12 responsibility; 

13 (2) a statement of objectives and plans for fur14 ther improving trade enforcement and trade facilita15 tion; 

16 (3) a specific identification of the priority trade 

17 issues described in section 118, that can be addressed 

18 in order to enhance trade enforcement and trade fa19 cilitation, and a description of strategies and plans 

20 for addressing each such issue; 

21 (4) a description of efforts made to improve con22 sultation and coordination among and within Fed23 eral agencies, and in particular between U.S. Cus24 toms and Border Protection and U.S. Immigration 
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1 and Customs Enforcement, regarding trade enforce2 ment and trade facilitation; 

3 (5) a description of the training that has oc4 curred to date within U.S. Customs and Border Pro5 tection and U.S. Immigration and Customs Enforce6 ment to improve trade enforcement and trade facilita7 tion, including training under section 104; 

8 (6) a description of efforts to work with the 

9 World Customs Organization and other international 

10 organizations, in consultation with other Federal 

11 agencies as appropriate, with respect to enhancing 

12 trade enforcement and trade facilitation; 

13 (7) a description of U.S. Custom and Border 

14 Protection organizational benchmarks for optimizing 

15 staffing and wait times at ports of entry; 

16 (8) a specific identification of any domestic or 

17 international best practices that may further improve 

18 trade enforcement and trade facilitation; 

19 (9) any legislative recommendations to further 

20 improve trade enforcement and trade facilitation; and 

21 (10) a description of efforts made to improve 

22 consultation and coordination with the private sector 

23 to enhance trade enforcement and trade facilitation. 

24 (c) CONSULTATIONS.— 
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1 (1) IN GENERAL.—In developing the joint stra2 tegic plan required under this section, the Commis3 sioner and the Director of U.S. Immigration and 

4 Customs Enforcement shall consult with— 

5 (A) appropriate officials from the relevant 

6 Federal agencies, including— 

7 (i) the Department of the Treasury; 

8 (ii) the Department of Agriculture; 

9 (iii) the Department of Commerce; 

10 (iv) the Department of Justice; 

11 (v) the Department of the Interior; 

12 (vi) the Department of Health and 

13 Human Services; 

14 (vii) the Food and Drug Administra15 tion; 

16 (viii) the Consumer Product Safety 

17 Commission; and 

18 (ix) the Office of the United States 

19 Trade Representative; and 

20 (B) the Commercial Customs Operations 

21 Advisory Committee established by section 109. 

22 (2) OTHER CONSULTATIONS.—In developing the 

23 joint strategic plan required under this section, the 

24 Commissioner and the Director shall seek to consult 

25 with— 
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1 (A) appropriate officials from relevant for2 eign law enforcement agencies and international 

3 organizations, including the World Customs Or4 ganization; and 

5 (B) interested parties in the private sector. 

6 SEC. 106. AUTOMATED COMMERCIAL ENVIRONMENT. 

7 (a) FUNDING.—Section 13031(f)(4)(B) of the Consoli8 dated Omnibus Budget Reconciliation Act of 1985 (19 

9 U.S.C. 58c(f)(4)(B)) is amended— 

10 (1) by striking ‘‘2003 through 2005’’ and insert11 ing ‘‘2016 through 2018’’; 

12 (2) by striking ‘‘such amounts as are available 

13 in that Account’’ and inserting ‘‘not less than 

14 $153,736,000’’; and 

15 (3) by striking ‘‘for the development’’ and insert16 ing ‘‘to complete the development and implementa17 tion’’. 

18 (b) REPORT.—Section 311(b)(3) of the Customs Border 

19 Security Act of 2002 (19 U.S.C. 2075 note) is amended to 

20 read as follows: 

21 ‘‘(3) REPORT.— 

22 ‘‘(A) IN GENERAL.—Not later than Decem23 ber 31, 2016, the Commissioner of U.S. Customs 

24 and Border Protection shall submit to the Com25 mittee on Appropriations and the Committee on 
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1 Finance of the Senate and the Committee on Ap2 propriations and the Committee on Ways and 

3 Means of the House of Representatives a report 

4 detailing— 

5 ‘‘(i) U.S. Customs and Border Protec6 tion’s incorporation of all core trade proc7 essing capabilities, including cargo release, 

8 entry summary, cargo manifest, cargo fi9 nancial data, and export data elements into 

10 the Automated Commercial Environment 

11 computer system authorized under section 

12 13031(f)(4) of the Consolidated Omnibus 

13 Budget and Reconciliation Act of 1985 (19 

14 U.S.C. 58c(f)(4)) not later than September 

15 30, 2016, to conform with the admissibility 

16 criteria of agencies participating in the 

17 International Trade Data System identified 

18 pursuant to section 411(d)(4)(A)(iii) of the 

19 Tariff Act of 1930; 

20 ‘‘(ii) U.S. Customs and Border Protec21 tion’s remaining priorities for processing 

22 entry summary data elements, cargo mani23 fest data elements, cargo financial data ele24 ments, and export elements in the Auto25 mated Commercial Environment computer 
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1 system, and the objectives and plans for im2 plementing these remaining priorities; 

3 ‘‘(iii) the components of the National 

4 Customs Automation Program specified in 

5 subsection (a)(2) of section 411 of the Tariff 

6 Act of 1930 that have not been imple7 mented; and 

8 ‘‘(iv) any additional components of the 

9 National Customs Automation Program 

10 initiated by the Commissioner to complete 

11 the development, establishment, and imple12 mentation of the Automated Commercial 

13 Environment computer system. 

14 ‘‘(B) UPDATE OF REPORTS.—Not later than 

15 September 30, 2017, the Commissioner shall sub16 mit to the Committee on Appropriations and the 

17 Committee on Finance of the Senate and the 

18 Committee on Appropriations and the Com19 mittee on Ways and Means of the House of Rep20 resentatives an updated report addressing each of 

21 the matters referred to in subparagraph (A), 

22 and— 

23 ‘‘(i) evaluating the effectiveness of the 

24 implementation of the Automated Commer25 cial Environment computer system; and 
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1 ‘‘(ii) detailing the percentage of trade 

2 processed in the Automated Commercial 

3 Environment every month since September 

4 30, 2016.’’. 

5 (c) GOVERNMENT ACCOUNTABILITY OFFICE RE6 PORT.—Not later than December 31, 2017, the Comptroller 

7 General of the United States shall submit to the Committee 

8 on Appropriations and the Committee on Finance of the 

9 Senate and the Committee on Appropriations and the Com10 mittee on Ways and Means of the House of Representatives 

11 a report— 

12 (1) assessing the progress of other Federal agen13 cies in accessing and utilizing the Automated Com14 mercial Environment; and 

15 (2) assessing the potential cost savings to the 

16 United States Government and importers and export17 ers and the potential benefits to enforcement of the 

18 customs and trade laws of the United States if the ele19 ments identified in clauses (i) through (iv) of section 

20 311(b)(3)(A) of the Customs Border Security Act of 

21 2002, as amended by subsection (b) of this section, are 

22 implemented. 

23 SEC. 107. INTERNATIONAL TRADE DATA SYSTEM. 

24 Section 411(d) of the Tariff Act of 1930 (19 U.S.C. 

25 1411(d)) is amended— 
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1 (1) by redesignating paragraphs (4) through (7) 

2 as paragraphs (5) through (8), respectively; 

3 (2) by inserting after paragraph (3) the fol4 lowing: 

5 ‘‘(4) INFORMATION TECHNOLOGY INFRASTRUC6 TURE.— 

7 ‘‘(A) IN GENERAL.—The Secretary shall 

8 work with the head of each agency participating 

9 in the ITDS and the Interagency Steering Com10 mittee to ensure that each agency— 

11 ‘‘(i) develops and maintains the nec12 essary information technology infrastruc13 ture to support the operation of the ITDS 

14 and to submit all data to the ITDS elec15 tronically; 

16 ‘‘(ii) enters into a memorandum of un17 derstanding, or takes such other action as is 

18 necessary, to provide for the information 

19 sharing between the agency and U.S. Cus20 toms and Border Protection necessary for 

21 the operation and maintenance of the 

22 ITDS; 

23 ‘‘(iii) not later than June 30, 2016, 

24 identifies and transmits to the Commis25 sioner of U.S. Customs and Border Protec-
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1 tion the admissibility criteria and data ele2 ments required by the agency to authorize 

3 the release of cargo by U.S. Customs and 

4 Border Protection for incorporation into the 

5 operational functionality of the Automated 

6 Commercial Environment computer system 

7 authorized under section 13031(f)(4) of the 

8 Consolidated Omnibus Budget and Rec9 onciliation Act of 1985 (19 U.S.C. 

10 58c(f)(4)); and 

11 ‘‘(iv) not later than December 31, 

12 2016, utilizes the ITDS as the primary 

13 means of receiving from users the standard 

14 set of data and other relevant documenta15 tion, exclusive of applications for permits, 

16 licenses, or certifications required for the re17 lease of imported cargo and clearance of 

18 cargo for export. 

19 ‘‘(B) RULE OF CONSTRUCTION.—Nothing in 

20 this paragraph shall be construed to require any 

21 action to be taken that would compromise an on22 going law enforcement investigation or national 

23 security.’’; and 

24 (3) in paragraph (8), as redesignated, by strik25 ing ‘‘section 9503(c) of the Omnibus Budget Rec-
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1 onciliation Act of 1987 (19 U.S.C. 2071 note)’’ and 

2 inserting ‘‘section 109 of the Trade Facilitation and 

3 Trade Enforcement Act of 2015’’. 

4 SEC. 108. CONSULTATIONS WITH RESPECT TO MUTUAL REC5 OGNITION ARRANGEMENTS. 

6 (a) CONSULTATIONS.—The Secretary of Homeland Se7 curity, with respect to any proposed mutual recognition ar8 rangement or similar agreement between the United States 

9 and a foreign government providing for mutual recognition 

10 of supply chain security programs and customs revenue 

11 functions, shall consult— 

12 (1) not later than 30 days before initiating nego13 tiations to enter into any such arrangement or simi14 lar agreement, with the appropriate congressional 

15 committees; and 

16 (2) not later than 30 days before entering into 

17 any such arrangement or similar agreement, with the 

18 appropriate congressional committees. 

19 (b) NEGOTIATING OBJECTIVE.—It shall be a negoti20 ating objective of the United States in any negotiation for 

21 a mutual recognition arrangement with a foreign country 

22 on partnership programs, such as the Customs-Trade Part23 nership Against Terrorism established under subtitle B of 

24 title II of the Security and Accountability for Every Port 

25 Act of 2006 (6 U.S.C. 961 et seq.), to seek to ensure the 
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1 compatibility of the partnership programs of that country 

2 with the partnership programs of U.S. Customs and Border 

3 Protection to enhance security, trade facilitation, and trade 

4 enforcement. 

5 SEC. 109. COMMERCIAL CUSTOMS OPERATIONS ADVISORY 

6 COMMITTEE. 

7 (a) ESTABLISHMENT.—Not later than the date that is 

8 60 days after the date of the enactment of this Act, the Sec9 retary of the Treasury and the Secretary of Homeland Secu10 rity shall jointly establish a Commercial Customs Oper11 ations Advisory Committee (in this section referred to as 

12 the ‘‘Advisory Committee’’). 

13 (b) MEMBERSHIP.— 

14 (1) IN GENERAL.—The Advisory Committee shall 

15 be comprised of— 

16 (A) 20 individuals appointed under para17 graph (2); 

18 (B) the Assistant Secretary for Tax Policy 

19 of the Department of the Treasury and the Com20 missioner, who shall jointly co-chair meetings of 

21 the Advisory Committee; and 

22 (C) the Assistant Secretary for Policy and 

23 the Director of U.S. Immigration and Customs 

24 Enforcement of the Department of Homeland Se-
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1 curity, who shall serve as deputy co-chairs of 

2 meetings of the Advisory Committee. 

3 (2) APPOINTMENT.— 

4 (A) IN GENERAL.—The Secretary of the 

5 Treasury and the Secretary of Homeland Secu6 rity shall jointly appoint 20 individuals from 

7 the private sector to the Advisory Committee. 

8 (B) REQUIREMENTS.—In making appoint9 ments under subparagraph (A), the Secretary of 

10 the Treasury and the Secretary of Homeland Se11 curity shall appoint members— 

12 (i) to ensure that the membership of 

13 the Advisory Committee is representative of 

14 the individuals and firms affected by the 

15 commercial operations of U.S. Customs and 

16 Border Protection; and 

17 (ii) without regard to political affili18 ation. 

19 (C) TERMS.—Each individual appointed to 

20 the Advisory Committee under this paragraph 

21 shall be appointed for a term of not more than 

22 3 years, and may be reappointed to subsequent 

23 terms, but may not serve more than 2 terms se24 quentially. 
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1 (3) TRANSFER OF MEMBERSHIP.—The Secretary 

2 of the Treasury and the Secretary of Homeland Secu3 rity may transfer members serving on the Advisory 

4 Committee on Commercial Operations of the United 

5 States Customs Service established under section 

6 9503(c) of the Omnibus Budget Reconciliation Act of 

7 1987 (19 U.S.C. 2071 note) on the day before the date 

8 of the enactment of this Act to the Advisory Com9 mittee established under subsection (a). 

10 (c) DUTIES.—The Advisory Committee established 

11 under subsection (a) shall— 

12 (1) advise the Secretary of the Treasury and the 

13 Secretary of Homeland Security on all matters in14 volving the commercial operations of U.S. Customs 

15 and Border Protection, including advising with re16 spect to significant changes that are proposed with re17 spect to regulations, policies, or practices of U.S. Cus18 toms and Border Protection; 

19 (2) provide recommendations to the Secretary of 

20 the Treasury and the Secretary of Homeland Security 

21 on improvements to the commercial operations of 

22 U.S. Customs and Border Protection; 

23 (3) collaborate in developing the agenda for Ad24 visory Committee meetings; and 
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1 (4) perform such other functions relating to the 

2 commercial operations of U.S. Customs and Border 

3 Protection as prescribed by law or as the Secretary of 

4 the Treasury and the Secretary of Homeland Security 

5 jointly direct. 

6 (d) MEETINGS.— 

7 (1) IN GENERAL.—The Advisory Committee shall 

8 meet at the call of the Secretary of the Treasury and 

9 the Secretary of Homeland Security, or at the call of 

not less than 2 10 ⁄3 of the membership of the Advisory 

11 Committee. The Advisory Committee shall meet at 

12 least 4 times each calendar year. 

13 (2) OPEN MEETINGS.—Notwithstanding section 

14 10(a) of the Federal Advisory Committee Act (5 

15 U.S.C. App.), the Advisory Committee meetings shall 

16 be open to the public unless the Secretary of the 

17 Treasury or the Secretary of Homeland Security de18 termines that the meeting will include matters the 

19 disclosure of which would compromise the develop20 ment of policies, priorities, or negotiating objectives 

21 or positions that could impact the commercial oper22 ations of U.S. Customs and Border Protection or the 

23 operations or investigations of U.S. Immigration and 

24 Customs Enforcement. 
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1 (e) ANNUAL REPORT.—Not later than December 31, 

2 2016, and annually thereafter, the Advisory Committee 

3 shall submit to the Committee on Finance of the Senate and 

4 the Committee on Ways and Means of the House of Rep5 resentatives a report that— 

6 (1) describes the activities of the Advisory Com7 mittee during the preceding fiscal year; and 

8 (2) sets forth any recommendations of the Advi9 sory Committee regarding the commercial operations 

10 of U.S. Customs and Border Protection. 

11 (f) TERMINATION.—Section 14(a)(2) of the Federal 

12 Advisory Committee Act (5 U.S.C. App.; relating to the ter13 mination of advisory committees) shall not apply to the Ad14 visory Committee. 

15 (g) CONFORMING AMENDMENT.— 

16 (1) IN GENERAL.—Effective on the date on which 

17 the Advisory Committee is established under sub18 section (a), section 9503(c) of the Omnibus Budget 

19 Reconciliation Act of 1987 (19 U.S.C. 2071 note) is 

20 repealed. 

21 (2) REFERENCE.—Any reference in law to the 

22 Advisory Committee on Commercial Operations of the 

23 United States Customs Service established under sec24 tion 9503(c) of the Omnibus Budget Reconciliation 

25 Act of 1987 (19 U.S.C. 2071 note) made on or after 
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1 the date on which the Advisory Committee is estab2 lished under subsection (a), shall be deemed a ref3 erence to the Commercial Customs Operations Advi4 sory Committee established under subsection (a). 

5 SEC. 110. CENTERS OF EXCELLENCE AND EXPERTISE. 

6 (a) IN GENERAL.—The Commissioner shall, in con7 sultation with the appropriate congressional committees 

8 and the Commercial Customs Operations Advisory Com9 mittee established by section 109, develop and implement 

10 Centers of Excellence and Expertise throughout U.S. Cus11 toms and Border Protection that— 

12 (1) enhance the economic competitiveness of the 

13 United States by consistently enforcing the laws and 

14 regulations of the United States at all ports of entry 

15 of the United States and by facilitating the flow of le16 gitimate trade through increasing industry-based 

17 knowledge; 

18 (2) improve enforcement efforts, including en19 forcement of priority trade issues described in section 

20 118, in specific industry sectors through the applica21 tion of targeting information from the National Tar22 geting Center under section 111 and from other 

23 means of verification; 
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1 (3) build upon the expertise of U.S. Customs and 

2 Border Protection in particular industry operations, 

3 supply chains, and compliance requirements; 

4 (4) promote the uniform implementation at each 

5 port of entry of the United States of policies and reg6 ulations relating to imports; 

7 (5) centralize the trade enforcement and trade fa8 cilitation efforts of U.S. Customs and Border Protec9 tion; 

10 (6) formalize an account-based approach to 

11 apply, as the Commissioner determines appropriate, 

12 to the importation of merchandise into the United 

13 States; 

14 (7) foster partnerships though the expansion of 

15 trade programs and other trusted partner programs; 

16 (8) develop applicable performance measure17 ments to meet internal efficiency and effectiveness 

18 goals; and 

19 (9) whenever feasible, facilitate a more efficient 

20 flow of information between Federal agencies. 

21 (b) REPORT.—Not later than December 31, 2016, the 

22 Commissioner shall submit to the appropriate congressional 

23 committees a report describing— 
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1 (1) the scope, functions, and structure of each 

2 Center of Excellence and Expertise developed and im3 plemented under subsection (a); 

4 (2) the effectiveness of each such Center of Excel5 lence and Expertise in improving enforcement efforts, 

6 including enforcement of priority trade issues de7 scribed in section 118, and facilitating legitimate 

8 trade; 

9 (3) the quantitative and qualitative benefits of 

10 each such Center of Excellence and Expertise to the 

11 trade community, including through fostering part12 nerships through the expansion of trade programs 

13 such as the Importer Self Assessment program and 

14 other trusted partner programs; 

15 (4) all applicable performance measurements 

16 with respect to each such Center of Excellence and 

17 Expertise, including performance measures with re18 spect to meeting internal efficiency and effectiveness 

19 goals; 

20 (5) the performance of each such Center of Excel21 lence and Expertise in increasing the accuracy and 

22 completeness of data with respect to international 

23 trade and facilitating a more efficient flow of infor24 mation between Federal agencies; and 
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1 (6) any planned changes in the number, scope, 

2 functions or any other aspect of the Centers of Excel3 lence and Expertise developed and implemented under 

4 subsection (a). 

5 SEC. 111. COMMERCIAL RISK ASSESSMENT TARGETING AND 

6 TRADE ALERTS. 

7 (a) COMMERCIAL RISK ASSESSMENT TARGETING.—In 

8 carrying out its duties under section 411(g)(4) of the Home9 land Security Act of 2002, as added by section 802(a) of 

10 this Act, the National Targeting Center shall— 

11 (1) establish targeted risk assessment methodolo12 gies and standards— 

13 (A) for evaluating the risk that cargo des14 tined for the United States may violate the cus15 toms and trade laws of the United States, par16 ticularly those laws applicable to merchandise 

17 subject to the priority trade issues described in 

18 section 118; and 

19 (B) for issuing, as appropriate, Trade 

20 Alerts described in subsection (b); 

21 (2) to the extent practicable and otherwise au22 thorized by law, use, to administer the methodologies 

23 and standards established under paragraph (1)— 

24 (A) publicly available information; 
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1 (B) information available from the Auto2 mated Commercial System, the Automated Com3 mercial Environment computer system, the Auto4 mated Targeting System, the Automated Export 

5 System, the International Trade Data System, 

6 the TECS (formerly known as the ‘‘Treasury 

7 Enforcement Communications System’’), the case 

8 management system of U.S. Immigration and 

9 Customs Enforcement, and any successor sys10 tems; and 

11 (C) information made available to the Na12 tional Targeting Center, including information 

13 provided by private sector entities; and 

14 (3) provide for the receipt and transmission to 

15 the appropriate U.S. Customs and Border Protection 

16 offices of allegations from interested parties in the 

17 private sector of violations of customs and trade laws 

18 of the United States of merchandise relating to the 

19 priority trade issues described in section 118. 

20 (b) TRADE ALERTS.— 

21 (1) ISSUANCE.—In carrying out its duties under 

22 section 411(g)(4) of the Homeland Security Act of 

23 2002, as added by section 802(a) of this Act, and 

24 based upon the application of the targeted risk assess25 ment methodologies and standards established under 
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1 subsection (a), the Executive Director of the National 

2 Targeting Center may issue Trade Alerts to directors 

3 of United States ports of entry directing further in4 spection, or physical examination or testing, of spe5 cific merchandise to ensure compliance with all ap6 plicable customs and trade laws and regulations ad7 ministered by U.S. Customs and Border Protection. 

8 (2) DETERMINATIONS NOT TO IMPLEMENT TRADE

9 ALERTS.—The director of a United States port of 

10 entry may determine not to conduct further inspec11 tions, or physical examination or testing, pursuant to 

12 a Trade Alert issued under paragraph (1) if— 

13 (A) the director finds that such a deter14 mination is justified by port security interests; 

15 and 

16 (B) not later than 48 hours after making 

17 the determination, notifies the Assistant Com18 missioner of the Office of Field Operations of 

19 U.S. Customs and Border Protection of the deter20 mination and the reasons for the determination. 

21 (3) SUMMARY OF DETERMINATIONS NOT TO IM22 PLEMENT.—The Assistant Commissioner of the Office 

23 of Field Operations of U.S. Customs and Border Pro24 tection shall— 
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1 (A) compile an annual public summary of 

2 all determinations by directors of United States 

3 ports of entry under paragraph (2) and the rea4 sons for those determinations; 

5 (B) conduct an evaluation of the utilization 

6 of Trade Alerts issued under paragraph (1); and 

7 (C) not later than December 31 of each 

8 year, submit the summary to the appropriate 

9 congressional committees. 

10 (4) INSPECTION DEFINED.—In this subsection, 

11 the term ‘‘inspection’’ means the comprehensive eval12 uation process used by U.S. Customs and Border Pro13 tection, other than physical examination or testing, to 

14 permit the entry of merchandise into the United 

15 States, or the clearance of merchandise for transpor16 tation in bond through the United States, for pur17 poses of— 

18 (A) assessing duties; 

19 (B) identifying restricted or prohibited 

20 items; and 

21 (C) ensuring compliance with all applicable 

22 customs and trade laws and regulations admin23 istered by U.S. Customs and Border Protection. 
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1 (c) USE OF TRADE DATA FOR COMMERCIAL ENFORCE2 MENT PURPOSES.—Section 343(a)(3)(F) of the Trade Act 

3 of 2002 (19 U.S.C. 2071 note) is amended to read as follows: 

4 ‘‘(F) The information collected pursuant to 

5 the regulations shall be used exclusively for en6 suring cargo safety and security, preventing 

7 smuggling, and commercial risk assessment tar8 geting, and shall not be used for any commercial 

9 enforcement purposes, including for determining 

10 merchandise entry. Notwithstanding the pre11 ceding sentence, nothing in this section shall be 

12 treated as amending, repealing, or otherwise 

13 modifying title IV of the Tariff Act of 1930 or 

14 regulations promulgated thereunder.’’. 

15 SEC. 112. REPORT ON OVERSIGHT OF REVENUE PROTEC16 TION AND ENFORCEMENT MEASURES. 

17 (a) IN GENERAL.—Not later the March 31, 2016, and 

18 not later than March 31 of each second year thereafter, the 

19 Inspector General of the Department of the Treasury shall 

20 submit to the Committee on Finance of the Senate and the 

21 Committee on Ways and Means of the House of Representa22 tives a report assessing, with respect to the period covered 

23 by the report, as specified in subsection (b), the following: 
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1 (1) The effectiveness of the measures taken by 

2 U.S. Customs and Border Protection with respect to 

3 protection of revenue, including— 

4 (A) the collection of countervailing duties 

5 assessed under subtitle A of title VII of the Tariff 

6 Act of 1930 (19 U.S.C. 1671 et seq.) and anti7 dumping duties assessed under subtitle B of title 

8 VII of the Tariff Act of 1930 (19 U.S.C. 1673 et 

9 seq.); 

10 (B) the assessment, collection, and mitiga11 tion of commercial fines and penalties; 

12 (C) the use of bonds, including continuous 

13 and single transaction bonds, to secure that rev14 enue; and 

15 (D) the adequacy of the policies of U.S. 

16 Customs and Border Protection with respect to 

17 the monitoring and tracking of merchandise 

18 transported in bond and collecting duties, as ap19 propriate. 

20 (2) The effectiveness of actions taken by U.S. 

21 Customs and Border Protection to measure account22 ability and performance with respect to protection of 

23 revenue. 
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1 (3) The number and outcome of investigations 

2 instituted by U.S. Customs and Border Protection 

3 with respect to the underpayment of duties. 

4 (4) The effectiveness of training with respect to 

5 the collection of duties provided for personnel of U.S. 

6 Customs and Border Protection. 

7 (b) PERIOD COVERED BY REPORT.—Each report re8 quired by subsection (a) shall cover the period of 2 fiscal 

9 years ending on September 30 of the calendar year pre10 ceding the submission of the report. 

11 SEC. 113. REPORT ON SECURITY AND REVENUE MEASURES 

12 WITH RESPECT TO MERCHANDISE TRANS13 PORTED IN BOND. 

14 (a) IN GENERAL.—Not later than December 31 of 

15 2016, 2017, and 2018, the Secretary of Homeland Security 

16 and the Secretary of the Treasury shall jointly submit to 

17 the Committee on Finance of the Senate and the Committee 

18 on Ways and Means of the House of Representatives a re19 port on efforts undertaken by U.S. Customs and Border 

20 Protection to ensure the secure transportation of merchan21 dise in bond through the United States and the collection 

22 of revenue owed upon the entry of such merchandise into 

23 the United States for consumption. 
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1 (b) ELEMENTS.—Each report required by subsection 

2 (a) shall include, for the fiscal year preceding the submis3 sion of the report, information on— 

4 (1) the overall number of entries of merchandise 

5 for transportation in bond through the United States; 

6 (2) the ports at which merchandise arrives in the 

7 United States for transportation in bond and at 

8 which records of the arrival of such merchandise are 

9 generated; 

10 (3) the average time taken to reconcile such 

11 records with the records at the final destination of the 

12 merchandise in the United States to demonstrate that 

13 the merchandise reaches its final destination or is re14 exported; 

15 (4) the average time taken to transport merchan16 dise in bond from the port at which the merchandise 

17 arrives in the United States to its final destination 

18 in the United States; 

19 (5) the total amount of duties, taxes, and fees 

20 owed with respect to shipments of merchandise trans21 ported in bond and the total amount of such duties, 

22 taxes, and fees paid; 

23 (6) the total number of notifications by carriers 

24 of merchandise being transported in bond that the 

25 destination of the merchandise has changed; and 
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1 (7) the number of entries that remain 

2 unreconciled. 

3 SEC. 114. IMPORTER OF RECORD PROGRAM. 

4 (a) ESTABLISHMENT.—Not later than the date that is 

5 180 days after the date of the enactment of this Act, the 

6 Secretary of Homeland Security shall establish an importer 

7 of record program to assign and maintain importer of 

8 record numbers. 

9 (b) REQUIREMENTS.—The Secretary shall ensure that, 

10 as part of the importer of record program, U.S. Customs 

11 and Border Protection— 

12 (1) develops criteria that importers must meet in 

13 order to obtain an importer of record number, includ14 ing— 

15 (A) criteria to ensure sufficient information 

16 is collected to allow U.S. Customs and Border 

17 Protection to verify the existence of the importer 

18 requesting the importer of record number; 

19 (B) criteria to ensure sufficient information 

20 is collected to allow U.S. Customs and Border 

21 Protection to identify linkages or other affili22 ations between importers that are requesting or 

23 have been assigned importer of record numbers; 

24 and 
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1 (C) criteria to ensure sufficient information 

2 is collected to allow U.S. Customs and Border 

3 Protection to identify changes in address and 

4 corporate structure of importers; 

5 (2) provides a process by which importers are as6 signed importer of record numbers; 

7 (3) maintains a centralized database of importer 

8 of record numbers, including a history of importer of 

9 record numbers associated with each importer, and 

10 the information described in subparagraphs (A), (B), 

11 and (C) of paragraph (1); 

12 (4) evaluates and maintains the accuracy of the 

13 database if such information changes; and 

14 (5) takes measures to ensure that duplicate im15 porter of record numbers are not issued. 

16 (c) REPORT.—Not later than one year after the date 

17 of the enactment of this Act, the Secretary shall submit to 

18 the Committee on Finance of the Senate and the Committee 

19 on Ways and Means of the House of Representatives a re20 port on the importer of record program established under 

21 subsection (a). 

22 (d) NUMBER DEFINED.—In this subsection, the term 

23 ‘‘number’’, with respect to an importer of record, means a 

24 filing identification number described in section 24.5 of 

25 title 19, Code of Federal Regulations (or any corresponding 
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1 similar regulation) that fully supports the requirements of 

2 subsection (b) with respect to the collection and mainte3 nance of information. 

4 SEC. 115. ESTABLISHMENT OF NEW IMPORTER PROGRAM. 

5 (a) IN GENERAL.—Not later than the date that is 180 

6 days after the date of the enactment of this Act, the Commis7 sioner shall establish a new importer program that directs 

8 U.S. Customs and Border Protection to adjust bond 

9 amounts for new importers based on the level of risk as10 sessed by U.S. Customs and Border Protection for protec11 tion of revenue of the Federal Government. 

12 (b) REQUIREMENTS.—The Commissioner shall ensure 

13 that, as part of the new importer program established under 

14 subsection (a), U.S. Customs and Border Protection— 

15 (1) develops risk-based criteria for determining 

16 which importers are considered to be new importers 

17 for the purposes of this subsection; 

18 (2) develops risk assessment guidelines for new 

19 importers to determine if and to what extent— 

20 (A) to adjust bond amounts of imported 

21 products of new importers; and 

22 (B) to increase screening of imported prod23 ucts of new importers; 

24 (3) develops procedures to ensure increased over25 sight of imported products of new importers relating 
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1 to the enforcement of the priority trade issues de2 scribed in section 118; 

3 (4) develops procedures to ensure increased over4 sight of imported products of new importers by Cen5 ters of Excellence and Expertise established under sec6 tion 110; and 

7 (5) establishes a centralized database of new im8 porters to ensure accuracy of information that is re9 quired to be provided by new importers to U.S. Cus10 toms and Border Protection. 

11 SEC. 116. CUSTOMS BROKER IDENTIFICATION OF IMPORT12 ERS. 

13 (a) IN GENERAL.—Section 641 of the Tariff Act of 

14 1930 (19 U.S.C. 1641) is amended by adding at the end 

15 the following: 

16 ‘‘(i) IDENTIFICATION OF IMPORTERS.— 

17 ‘‘(1) IN GENERAL.—The Secretary shall prescribe 

18 regulations setting forth the minimum standards for 

19 customs brokers and importers, including nonresident 

20 importers, regarding the identity of the importer that 

21 shall apply in connection with the importation of 

22 merchandise into the United States. 

23 ‘‘(2) MINIMUM REQUIREMENTS.—The regulations 

24 shall, at a minimum, require customs brokers to im-
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1 plement, and importers (after being given adequate 

2 notice) to comply with, reasonable procedures for— 

3 ‘‘(A) collecting the identity of importers, in4 cluding nonresident importers, seeking to import 

5 merchandise into the United States to the extent 

6 reasonable and practicable; and 

7 ‘‘(B) maintaining records of the informa8 tion used to substantiate a person’s identity, in9 cluding name, address, and other identifying in10 formation. 

11 ‘‘(3) PENALTIES.—Any customs broker who fails 

12 to collect information required under the regulations 

13 prescribed under this subsection shall be liable to the 

14 United States, at the discretion of the Secretary, for 

15 a monetary penalty not to exceed $10,000 for each 

16 violation of those regulations and subject to revocation 

17 or suspension of a license or permit of the customs 

18 broker pursuant to the procedures set forth in sub19 section (d). 

20 ‘‘(4) DEFINITIONS.—In this subsection— 

21 ‘‘(A) the term ‘importer’ means one of the 

22 parties qualifying as an importer of record 

23 under section 484(a)(2)(B); and 

24 ‘‘(B) the term ‘nonresident importer’ means 

25 an importer who is— 
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1 ‘‘(i) an individual who is not a citizen 

2 of the United States or an alien lawfully 

3 admitted for permanent residence in the 

4 United States; or 

5 ‘‘(ii) a partnership, corporation, or 

6 other commercial entity that is not orga7 nized under the laws of a jurisdiction with8 in the customs territory of the United States 

9 (as such term is defined in General Note 2 

10 of the Harmonized Tariff Schedule of the 

11 United States) or in the Virgin Islands of 

12 the United States.’’. 

13 (b) STUDY AND REPORT REQUIRED.—Not later than 

14 180 days after the date of enactment of this Act, the Com15 missioner shall submit to Congress a report containing rec16 ommendations for— 

17 (1) determining the most timely and effective 

18 way to require foreign nationals to provide customs 

19 brokers with appropriate and accurate information, 

20 comparable to that which is required of United States 

21 nationals, concerning the identity, address, and other 

22 related information relating to such foreign nationals 

23 necessary to enable customs brokers to comply with 

24 the requirements of section 641(i) of the Tariff Act of 

25 1930 (as added by subsection (a) of this section); and 
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1 (2) establishing a system for customs brokers to 

2 review information maintained by relevant Federal 

3 agencies for purposes of verifying the identities of im4 porters, including nonresident importers, seeking to 

5 import merchandise into the United States. 

6 SEC. 117. REQUIREMENTS APPLICABLE TO NON-RESIDENT 

7 IMPORTERS. 

8 (a) IN GENERAL.—Part III of title IV of the Tariff 

9 Act of 1930 (19 U.S.C. 1481 et seq.) is amended by insert10 ing after section 484b the following new section: 

11 ‘‘SEC. 484c. REQUIREMENTS APPLICABLE TO NON-RESI12 DENT IMPORTERS. 

13 ‘‘(a) IN GENERAL.—Except as provided in subsection 

14 (c), if an importer of record under section 484 is not a resi15 dent of the United States, the Commissioner of U.S. Cus16 toms and Border Protection shall require the non-resident 

17 importer to designate a resident agent in the United States 

18 subject to the requirements described in subsection (b). 

19 ‘‘(b) REQUIREMENTS.—The requirements described in 

20 this subsection are the following: 

21 ‘‘(1) The resident agent shall be authorized to ac22 cept service of process against the non-resident im23 porter in connection with the importation of mer24 chandise. 
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1 ‘‘(2) The Commissioner of U.S. Customs and 

2 Border Protection shall require the non-resident im3 porter to establish a power of attorney with the resi4 dent agent in connection with the importation of mer5 chandise. 

6 ‘‘(c) NON-APPLICABILITY.—The requirements of this 

7 section shall not apply with respect to a non-resident im8 porter who is a validated Tier 2 or Tier 3 participant in 

9 the Customs-Trade Partnership Against Terrorism program 

10 established under subtitle B of title II of the SAFE Port 

11 Act (6 U.S.C. 961 et seq.). 

12 ‘‘(d) PENALTIES.— 

13 ‘‘(1) IN GENERAL.—It shall be unlawful for any 

14 person to import into the United States any merchan15 dise in violation of this section. 

16 ‘‘(2) CIVIL PENALTIES.—Any person who violates 

17 paragraph (1) shall be liable for a civil penalty of 

18 $50,000 for each such violation. 

19 ‘‘(3) OTHER PENALTIES.—In addition to the 

20 penalties specified in paragraph (2), any violation of 

21 this section that violates any other customs and trade 

22 laws of the United States shall be subject to any ap23 plicable civil and criminal penalty, including seizure 

24 and forfeiture, that may be imposed under such cus-
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1 toms or trade law or title 18, United States Code, 

2 with respect to the importation of merchandise. 

3 ‘‘(4) DEFINITION.—In this subsection, the term 

4 ‘customs and trade laws of the United States’ has the 

5 meaning given such term in section 2 of the Trade 

6 Facilitation and Trade Enforcement Act of 2015.’’. 

7 (b) EFFECTIVE DATE.—Section 484c of the Tariff Act 

8 of 1930, as added by subsection (a), takes effect on the date 

9 of the enactment of this Act and applies with respect to 

10 the importation, on or after the date that is 180 days after 

11 such date of enactment, of merchandise of an importer of 

12 record under section 484 of the Tariff Act of 1930 who is 

13 not a resident of the United States. 

14 SEC. 118. PRIORITY TRADE ISSUES. 

15 (a) IN GENERAL.—The Commissioner shall establish 

16 the following as priority trade issues: 

17 (1) Agriculture programs. 

18 (2) Antidumping and countervailing duties. 

19 (3) Import safety. 

20 (4) Intellectual property rights. 

21 (5) Revenue. 

22 (6) Textiles and wearing apparel. 

23 (7) Trade agreements and preference programs. 

24 (b) MODIFICATION.—The Commissioner is authorized 

25 to establish new priority trade issues and eliminate, con-
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1 solidate, or otherwise modify the priority trade issues de2 scribed in subsection (a) if the Commissioner— 

3 (1) determines it necessary and appropriate to 

4 do so; and 

5 (2) submits to the appropriate congressional 

6 committees a summary of the proposed changes to the 

7 priority trade issues not later than 60 days before 

8 such changes are to take effect. 

9 SEC. 119. APPROPRIATE CONGRESSIONAL COMMITTEES DE10 FINED. 

11 In this title, the term ‘‘appropriate congressional com12 mittees’’ means— 

13 (1) the Committee on Finance and the Com14 mittee on Homeland Security and Government Af15 fairs of the Senate; and 

16 (2) the Committee on Ways and Means and the 

17 Committee on Homeland Security of the House of 

18 Representatives. 

19 TITLE II—IMPORT HEALTH AND 

20 SAFETY 

21 SEC. 201. INTERAGENCY IMPORT SAFETY WORKING GROUP. 

22 (a) ESTABLISHMENT.—There is established an inter23 agency Import Safety Working Group. 
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1 (b) MEMBERSHIP.—The interagency Import Safety 

2 Working Group shall consist of the following officials or 

3 their designees: 

4 (1) The Secretary of Homeland Security, who 

5 shall serve as the Chair. 

6 (2) The Secretary of Health and Human Serv7 ices, who shall serve as the Vice Chair. 

8 (3) The Secretary of the Treasury. 

9 (4) The Secretary of Commerce. 

10 (5) The Secretary of Agriculture. 

11 (6) The United States Trade Representative. 

12 (7) The Director of the Office of Management 

13 and Budget. 

14 (8) The Commissioner of Food and Drugs. 

15 (9) The Commissioner of U.S. Customs and Bor16 der Protection. 

17 (10) The Chairman of the Consumer Product 

18 Safety Commission. 

19 (11) The Director of U.S. Immigration and Cus20 toms Enforcement. 

21 (12) The head of any other Federal agency des22 ignated by the President to participate in the inter23 agency Import Safety Working Group, as appro24 priate. 
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1 (c) DUTIES.—The duties of the interagency Import 

2 Safety Working Group shall include— 

3 (1) consulting on the development of the joint 

4 import safety rapid response plan required by section 

5 202; 

6 (2) periodically evaluating the adequacy of the 

7 plans, practices, and resources of the Federal Govern8 ment dedicated to ensuring the safety of merchandise 

9 imported in the United States and the expeditious 

10 entry of such merchandise, including— 

11 (A) minimizing the duplication of efforts 

12 among agencies the heads of which are members 

13 of the interagency Import Safety Working Group 

14 and ensuring the compatibility of the policies 

15 and regulations of those agencies; and 

16 (B) recommending additional administra17 tive actions, as appropriate, designed to ensure 

18 the safety of merchandise imported into the 

19 United States and the expeditious entry of such 

20 merchandise and considering the impact of those 

21 actions on private sector entities; 

22 (3) reviewing the engagement and cooperation of 

23 foreign governments and foreign manufacturers in fa24 cilitating the inspection and certification, as appro25 priate, of such merchandise to be imported into the 
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1 United States and the facilities producing such mer2 chandise to ensure the safety of the merchandise and 

3 the expeditious entry of the merchandise into the 

4 United States; 

5 (4) identifying best practices, in consultation 

6 with private sector entities as appropriate, to assist 

7 United States importers in taking all appropriate 

8 steps to ensure the safety of merchandise imported 

9 into the United States, including with respect to— 

10 (A) the inspection of manufacturing facili11 ties in foreign countries; 

12 (B) the inspection of merchandise destined 

13 for the United States before exportation from a 

14 foreign country or before distribution in the 

15 United States; and 

16 (C) the protection of the international sup17 ply chain (as defined in section 2 of the Security 

18 and Accountability For Every Port Act of 2006 

19 (6 U.S.C. 901)); 

20 (5) identifying best practices to assist Federal, 

21 State, and local governments and agencies, and port 

22 authorities, to improve communication and coordina23 tion among such agencies and authorities with respect 

24 to ensuring the safety of merchandise imported into 
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1 the United States and the expeditious entry of such 

2 merchandise; and 

3 (6) otherwise identifying appropriate steps to in4 crease the accountability of United States importers 

5 and the engagement of foreign government agencies 

6 with respect to ensuring the safety of merchandise im7 ported into the United States and the expeditious 

8 entry of such merchandise. 

9 SEC. 202. JOINT IMPORT SAFETY RAPID RESPONSE PLAN. 

10 (a) IN GENERAL.—Not later than December 31, 2016, 

11 the Secretary of Homeland Security, in consultation with 

12 the interagency Import Safety Working Group established 

13 under section 201, shall develop a plan (to be known as 

14 the ‘‘joint import safety rapid response plan’’) that sets 

15 forth protocols and defines practices for U.S. Customs and 

16 Border Protection to use— 

17 (1) in taking action in response to, and coordi18 nating Federal responses to, an incident in which 

19 cargo destined for or merchandise entering the United 

20 States has been identified as posing a threat to the 

21 health or safety of consumers in the United States; 

22 and 

23 (2) in recovering from or mitigating the effects 

24 of actions and responses to an incident described in 

25 paragraph (1). 
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1 (b) CONTENTS.—The joint import safety rapid re2 sponse plan shall address— 

3 (1) the statutory and regulatory authorities and 

4 responsibilities of U.S. Customs and Border Protec5 tion and other Federal agencies in responding to an 

6 incident described in subsection (a)(1); 

7 (2) the protocols and practices to be used by U.S. 

8 Customs and Border Protection when taking action in 

9 response to, and coordinating Federal responses to, 

10 such an incident; 

11 (3) the measures to be taken by U.S. Customs 

12 and Border Protection and other Federal agencies in 

13 recovering from or mitigating the effects of actions 

14 taken in response to such an incident after the inci15 dent to ensure the resumption of the entry of mer16 chandise into the United States; and 

17 (4) exercises that U.S. Customs and Border Pro18 tection may conduct in conjunction with Federal, 

19 State, and local agencies, and private sector entities, 

20 to simulate responses to such an incident. 

21 (c) UPDATES OF PLAN.—The Secretary of Homeland 

22 Security shall review and update the joint import safety 

23 rapid response plan, as appropriate, after conducting exer24 cises under subsection (d). 

25 (d) IMPORT HEALTH AND SAFETY EXERCISES.— 
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1 (1) IN GENERAL.—The Secretary of Homeland 

2 Security and the Commissioner shall periodically en3 gage in the exercises referred to in subsection (b)(4), 

4 in conjunction with Federal, State, and local agencies 

5 and private sector entities, as appropriate, to test and 

6 evaluate the protocols and practices identified in the 

7 joint import safety rapid response plan at United 

8 States ports of entry. 

9 (2) REQUIREMENTS FOR EXERCISES.—In con10 ducting exercises under paragraph (1), the Secretary 

11 and the Commissioner shall— 

12 (A) make allowance for the resources, needs, 

13 and constraints of United States ports of entry 

14 of different sizes in representative geographic lo15 cations across the United States; 

16 (B) base evaluations on current risk assess17 ments of merchandise entering the United States 

18 at representative United States ports of entry lo19 cated across the United States; 

20 (C) ensure that such exercises are conducted 

21 in a manner consistent with the National Inci22 dent Management System, the National Response 

23 Plan, the National Infrastructure Protection 

24 Plan, the National Preparedness Guidelines, the 

25 Maritime Transportation System Security Plan, 
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1 and other such national initiatives of the De2 partment of Homeland Security, as appropriate; 

3 and 

4 (D) develop metrics with respect to the re5 sumption of the entry of merchandise into the 

6 United States after an incident described in sub7 section (a)(1). 

8 (3) REQUIREMENTS FOR TESTING AND EVALUA9 TION.—The Secretary and the Commissioner shall en10 sure that the testing and evaluation carried out in 

11 conducting exercises under paragraph (1)— 

12 (A) are performed using clear and objective 

13 performance measures; and 

14 (B) result in the identification of specific 

15 recommendations or best practices for responding 

16 to an incident described in subsection (a)(1). 

17 (4) DISSEMINATION OF RECOMMENDATIONS AND

18 BEST PRACTICES.—The Secretary and the Commis19 sioner shall— 

20 (A) share the recommendations or best prac21 tices identified under paragraph (3)(B) among 

22 the members of the interagency Import Safety 

23 Working Group established under section 201 

24 and with, as appropriate— 
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1 (i) State, local, and tribal govern2 ments; 

3 (ii) foreign governments; and 

4 (iii) private sector entities; and 

5 (B) use such recommendations and best 

6 practices to update the joint import safety rapid 

7 response plan. 

8 SEC. 203. TRAINING. 

9 The Commissioner shall ensure that personnel of U.S. 

10 Customs and Border Protection assigned to United States 

11 ports of entry are trained to effectively administer the pro12 visions of this title and to otherwise assist in ensuring the 

13 safety of merchandise imported into the United States and 

14 the expeditious entry of such merchandise. 

15 TITLE III—IMPORT-RELATED 

16 PROTECTION OF INTELLEC17 TUAL PROPERTY RIGHTS 

18 SEC. 301. DEFINITION OF INTELLECTUAL PROPERTY 

19 RIGHTS. 

20 In this title, the term ‘‘intellectual property rights’’ re21 fers to copyrights, trademarks, and other forms of intellec22 tual property rights that are enforced by U.S. Customs and 

23 Border Protection or U.S. Immigration and Customs En24 forcement. 
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1 SEC. 302. EXCHANGE OF INFORMATION RELATED TO TRADE 

2 ENFORCEMENT. 

3 (a) IN GENERAL.—The Tariff Act of 1930 is amended 

4 by inserting after section 628 (19 U.S.C. 1628) the fol5 lowing new section: 

6 ‘‘SEC. 628A. EXCHANGE OF INFORMATION RELATED TO 

7 TRADE ENFORCEMENT. 

8 ‘‘(a) IN GENERAL.—Subject to subsections (c) and (d), 

9 if the Commissioner of U.S. Customs and Border Protection 

10 suspects that merchandise is being imported into the United 

11 States in violation of section 526 of this Act or section 602, 

12 1201(a)(2), or 1201(b)(1) of title 17, United States Code, 

13 and determines that the examination or testing of the mer14 chandise by a person described in subsection (b) would as15 sist the Commissioner in determining if the merchandise 

16 is being imported in violation of that section, the Commis17 sioner, to permit the person to conduct the examination and 

18 testing— 

19 ‘‘(1) shall provide to the person information that 

20 appears on the merchandise and its packaging and 

21 labels, including unredacted images of the merchan22 dise and its packaging and labels; and 

23 ‘‘(2) may, subject to any applicable bonding re24 quirements, provide to the person unredacted samples 

25 of the merchandise. 
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1 ‘‘(b) PERSON DESCRIBED.—A person described in this 

2 subsection is— 

3 ‘‘(1) in the case of merchandise suspected of 

4 being imported in violation of section 526, the owner 

5 of the trademark suspected of being copied or simu6 lated by the merchandise; 

7 ‘‘(2) in the case of merchandise suspected of 

8 being imported in violation of section 602 of title 17, 

9 United States Code, the owner of the copyright sus10 pected of being infringed by the merchandise; 

11 ‘‘(3) in the case of merchandise suspected of 

12 being primarily designed or produced for the purpose 

13 of circumventing a technological measure that effec14 tively controls access to a work protected under that 

15 title, and being imported in violation of section 

16 1201(a)(2) of that title, the owner of a copyright in 

17 the work; and 

18 ‘‘(4) in the case of merchandise suspected of 

19 being primarily designed or produced for the purpose 

20 of circumventing protection afforded by a techno21 logical measure that effectively protects a right of an 

22 owner of a copyright in a work or a portion of a 

23 work, and being imported in violation of section 

24 1201(b)(1) of that title, the owner of the copyright. 
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1 ‘‘(c) LIMITATION.—Subsection (a) applies only with 

2 respect to merchandise suspected of infringing a trademark 

3 or copyright that is recorded with U.S. Customs and Border 

4 Protection. 

5 ‘‘(d) EXCEPTION.—The Commissioner may not pro6 vide under subsection (a) information, photographs, or sam7 ples to a person described in subsection (b) if providing such 

8 information, photographs, or samples would compromise an 

9 ongoing law enforcement investigation or national secu10 rity.’’. 

11 (b) TERMINATION OF PREVIOUS AUTHORITY.—Not12 withstanding paragraph (2) of section 818(g) of the Na13 tional Defense Authorization Act for Fiscal Year 2012 (Pub14 lic Law 112–81; 125 Stat. 1496; 10 U.S.C. 2302 note), 

15 paragraph (1) of that section shall have no force or effect 

16 on or after the date of the enactment of this Act. 

17 SEC. 303. SEIZURE OF CIRCUMVENTION DEVICES. 

18 (a) IN GENERAL.—Section 596(c)(2) of the Tariff Act 

19 of 1930 (19 U.S.C. 1595a(c)(2)) is amended— 

20 (1) in subparagraph (E), by striking ‘‘or’’; 

21 (2) in subparagraph (F), by striking the period 

22 and inserting ‘‘; or’’; and 

23 (3) by adding at the end the following: 

24 ‘‘(G) U.S. Customs and Border Protection 

25 determines it is a technology, product, service, 
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1 device, component, or part thereof the importa2 tion of which is prohibited under subsection 

3 (a)(2) or (b)(1) of section 1201 of title 17, 

4 United States Code.’’. 

5 (b) NOTIFICATION OF PERSONS INJURED.— 

6 (1) IN GENERAL.—Not later than the date that 

7 is 30 business days after seizing merchandise pursu8 ant to subparagraph (G) of section 596(c)(2) of the 

9 Tariff Act of 1930, as added by subsection (a), the 

10 Commissioner shall provide to any person identified 

11 under paragraph (2) information regarding the mer12 chandise seized that is equivalent to information pro13 vided to copyright owners under regulations of U.S. 

14 Customs and Border Protection for merchandise 

15 seized for violation of the copyright laws. 

16 (2) PERSONS TO BE PROVIDED INFORMATION.— 

17 Any person injured by the violation of (a)(2) or 

18 (b)(1) of section 1201 of title 17, United States Code, 

19 that resulted in the seizure of the merchandise shall 

20 be provided information under paragraph (1), if that 

21 person is included on a list maintained by the Com22 missioner that is revised annually through publica23 tion in the Federal Register. 

24 (3) REGULATIONS.—Not later than one year 

25 after the date of the enactment of this Act, the Sec-
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1 retary of the Treasury shall prescribe regulations es2 tablishing procedures that implement this subsection. 

3 SEC. 304. ENFORCEMENT BY U.S. CUSTOMS AND BORDER 

4 PROTECTION OF WORKS FOR WHICH COPY5 RIGHT REGISTRATION IS PENDING. 

6 Not later than the date that is 180 days after the date 

7 of the enactment of this Act, the Secretary of Homeland Se8 curity shall authorize a process pursuant to which the Com9 missioner shall enforce a copyright for which the owner has 

10 submitted an application for registration under title 17, 

11 United States Code, with the United States Copyright Of12 fice, to the same extent and in the same manner as if the 

13 copyright were registered with the Copyright Office, includ14 ing by sharing information, images, and samples of mer15 chandise suspected of infringing the copyright under section 

16 628A of the Tariff Act of 1930, as added by section 302. 

17 SEC. 305. NATIONAL INTELLECTUAL PROPERTY RIGHTS CO18 ORDINATION CENTER. 

19 (a) ESTABLISHMENT.—The Secretary of Homeland 

20 Security shall— 

21 (1) establish within U.S. Immigration and Cus22 toms Enforcement a National Intellectual Property 

23 Rights Coordination Center; and 
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1 (2) appoint an Assistant Director to head the 

2 National Intellectual Property Rights Coordination 

3 Center. 

4 (b) DUTIES.—The Assistant Director of the National 

5 Intellectual Property Rights Coordination Center shall— 

6 (1) coordinate the investigation of sources of 

7 merchandise that infringe intellectual property rights 

8 to identify organizations and individuals that 

9 produce, smuggle, or distribute such merchandise; 

10 (2) conduct and coordinate training with other 

11 domestic and international law enforcement agencies 

12 on investigative best practices— 

13 (A) to develop and expand the capability of 

14 such agencies to enforce intellectual property 

15 rights; and 

16 (B) to develop metrics to assess whether the 

17 training improved enforcement of intellectual 

18 property rights; 

19 (3) coordinate, with U.S. Customs and Border 

20 Protection, activities conducted by the United States 

21 to prevent the importation or exportation of merchan22 dise that infringes intellectual property rights; 

23 (4) support the international interdiction of 

24 merchandise destined for the United States that in25 fringes intellectual property rights; 
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1 (5) collect and integrate information regarding 

2 infringement of intellectual property rights from do3 mestic and international law enforcement agencies 

4 and other non-Federal sources; 

5 (6) develop a means to receive and organize in6 formation regarding infringement of intellectual 

7 property rights from such agencies and other sources; 

8 (7) disseminate information regarding infringe9 ment of intellectual property rights to other Federal 

10 agencies, as appropriate; 

11 (8) develop and implement risk-based alert sys12 tems, in coordination with U.S. Customs and Border 

13 Protection, to improve the targeting of persons that 

14 repeatedly infringe intellectual property rights; 

15 (9) coordinate with the offices of United States 

16 attorneys in order to develop expertise in, and assist 

17 with the investigation and prosecution of, crimes re18 lating to the infringement of intellectual property 

19 rights; and 

20 (10) carry out such other duties as the Secretary 

21 of Homeland Security may assign. 

22 (c) COORDINATION WITH OTHER AGENCIES.—In car23 rying out the duties described in subsection (b), the Assist24 ant Director of the National Intellectual Property Rights 

25 Coordination Center shall coordinate with— 
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1 (1) U.S. Customs and Border Protection; 

2 (2) the Food and Drug Administration; 

3 (3) the Department of Justice; 

4 (4) the Department of Commerce, including the 

5 United States Patent and Trademark Office; 

6 (5) the United States Postal Inspection Service; 

7 (6) the Office of the United States Trade Rep8 resentative; 

9 (7) any Federal, State, local, or international 

10 law enforcement agencies that the Director of U.S. 

11 Immigration and Customs Enforcement considers ap12 propriate; and 

13 (8) any other entities that the Director considers 

14 appropriate. 

15 (d) PRIVATE SECTOR OUTREACH.— 

16 (1) IN GENERAL.—The Assistant Director of the 

17 National Intellectual Property Rights Coordination 

18 Center shall work with U.S. Customs and Border Pro19 tection and other Federal agencies to conduct outreach 

20 to private sector entities in order to determine trends 

21 in and methods of infringing intellectual property 

22 rights. 

23 (2) INFORMATION SHARING.—The Assistant Di24 rector shall share information and best practices with 

25 respect to the enforcement of intellectual property 
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1 rights with private sector entities, as appropriate, in 

2 order to coordinate public and private sector efforts to 

3 combat the infringement of intellectual property 

4 rights. 

5 SEC. 306. JOINT STRATEGIC PLAN FOR THE ENFORCEMENT 

6 OF INTELLECTUAL PROPERTY RIGHTS. 

7 The Commissioner and the Director of U.S. Immigra8 tion and Customs Enforcement shall include in the joint 

9 strategic plan required by section 105— 

10 (1) a description of the efforts of the Department 

11 of Homeland Security to enforce intellectual property 

12 rights; 

13 (2) a list of the 10 United States ports of entry 

14 at which U.S. Customs and Border Protection has 

15 seized the most merchandise, both by volume and by 

16 value, that infringes intellectual property rights dur17 ing the most recent 2-year period for which data are 

18 available; and 

19 (3) a recommendation for the optimal allocation 

20 of personnel, resources, and technology to ensure that 

21 U.S. Customs and Border Protection and U.S. Immi22 gration and Customs Enforcement are adequately en23 forcing intellectual property rights. 
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1 SEC. 307. PERSONNEL DEDICATED TO THE ENFORCEMENT 

2 OF INTELLECTUAL PROPERTY RIGHTS. 

3 (a) PERSONNEL OF U.S. CUSTOMS AND BORDER PRO4 TECTION.—The Commissioner and the Director of U.S. Im5 migration and Customs Enforcement shall ensure that suffi6 cient personnel are assigned throughout U.S. Customs and 

7 Border Protection and U.S. Immigration and Customs En8 forcement, respectively, who have responsibility for pre9 venting the importation into the United States of merchan10 dise that infringes intellectual property rights. 

11 (b) STAFFING OF NATIONAL INTELLECTUAL PROPERTY

12 RIGHTS COORDINATION CENTER.—The Commissioner 

13 shall— 

14 (1) assign not fewer than 3 full-time employees 

15 of U.S. Customs and Border Protection to the Na16 tional Intellectual Property Rights Coordination Cen17 ter established under section 305; and 

18 (2) ensure that sufficient personnel are assigned 

19 to United States ports of entry to carry out the direc20 tives of the Center. 

21 SEC. 308. TRAINING WITH RESPECT TO THE ENFORCEMENT 

22 OF INTELLECTUAL PROPERTY RIGHTS. 

23 (a) TRAINING.—The Commissioner shall ensure that 

24 officers of U.S. Customs and Border Protection are trained 

25 to effectively detect and identify merchandise destined for 

26 the United States that infringes intellectual property rights, 
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1 including through the use of technologies identified under 

2 subsection (c). 

3 (b) CONSULTATION WITH PRIVATE SECTOR.—The 

4 Commissioner shall consult with private sector entities to 

5 better identify opportunities for collaboration between U.S. 

6 Customs and Border Protection and such entities with re7 spect to training for officers of U.S. Customs and Border 

8 Protection in enforcing intellectual property rights. 

9 (c) IDENTIFICATION OF NEW TECHNOLOGIES.—In con10 sultation with private sector entities, the Commissioner 

11 shall identify— 

12 (1) technologies with the cost-effective capability 

13 to detect and identify merchandise at United States 

14 ports of entry that infringes intellectual property 

15 rights; and 

16 (2) cost-effective programs for training officers of 

17 U.S. Customs and Border Protection to use such tech18 nologies. 

19 (d) DONATIONS OF TECHNOLOGY.—Not later than the 

20 date that is 180 days after the date of the enactment of 

21 this Act, the Commissioner shall prescribe regulations to en22 able U.S. Customs and Border Protection to receive dona23 tions of hardware, software, equipment, and similar tech24 nologies, and to accept training and other support services, 
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1 from private sector entities, for the purpose of enforcing in2 tellectual property rights. 

3 SEC. 309. INTERNATIONAL COOPERATION AND INFORMA4 TION SHARING. 

5 (a) COOPERATION.—The Secretary of Homeland Secu6 rity shall coordinate with the competent law enforcement 

7 and customs authorities of foreign countries, including by 

8 sharing information relevant to enforcement actions, to en9 hance the efforts of the United States and such authorities 

10 to enforce intellectual property rights. 

11 (b) TECHNICAL ASSISTANCE.—The Secretary of Home12 land Security shall provide technical assistance to com13 petent law enforcement and customs authorities of foreign 

14 countries to enhance the ability of such authorities to en15 force intellectual property rights. 

16 (c) INTERAGENCY COLLABORATION.—The Commis17 sioner and the Director of U.S. Immigration and Customs 

18 Enforcement shall lead interagency efforts to collaborate 

19 with law enforcement and customs authorities of foreign 

20 countries to enforce intellectual property rights. 

21 SEC. 310. REPORT ON INTELLECTUAL PROPERTY RIGHTS 

22 ENFORCEMENT. 

23 Not later than June 30, 2016, and annually thereafter, 

24 the Commissioner and the Director of U.S. Immigration 

25 and Customs Enforcement shall jointly submit to the Com-
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1 mittee on Finance of the Senate, the Committee on Ways 

2 and Means of the House of Representatives, the Committee 

3 on Homeland Security and Governmental Affairs of the 

4 Senate, and the Committee on Homeland Security of the 

5 House of Representatives a report that contains the fol6 lowing: 

7 (1) With respect to the enforcement of intellectual 

8 property rights, the following: 

9 (A) The number of referrals, during the pre10 ceding year, from U.S. Customs and Border Pro11 tection to U.S. Immigration and Customs En12 forcement relating to infringement of intellectual 

13 property rights . 

14 (B) The number of investigations relating to 

15 the infringement of intellectual property rights 

16 referred by U.S. Immigration and Customs En17 forcement to a United States attorney for pros18 ecution and the United States attorneys to which 

19 those investigations were referred. 

20 (C) The number of such investigations ac21 cepted by each such United States attorney and 

22 the status or outcome of each such investigation. 

23 (D) The number of such investigations that 

24 resulted in the imposition of civil or criminal 

25 penalties. 
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1 (E) A description of the efforts of U.S. Cus2 tom and Border Protection and U.S. Immigra3 tion and Customs Enforcement to improve the 

4 success rates of investigations and prosecutions 

5 relating to the infringement of intellectual prop6 erty rights. 

7 (2) An estimate of the average time required by 

8 the Office of International Trade of U.S. Customs and 

9 Border Protection to respond to a request from port 

10 personnel for advice with respect to whether merchan11 dise detained by U.S. Customs and Border Protection 

12 infringed intellectual property rights, distinguished 

13 by types of intellectual property rights infringed. 

14 (3) A summary of the outreach efforts of U.S. 

15 Customs and Border Protection and U.S. Immigra16 tion and Customs Enforcement with respect to— 

17 (A) the interdiction and investigation of, 

18 and the sharing of information between those 

19 agencies and other Federal agencies to prevent, 

20 the infringement of intellectual property rights; 

21 (B) collaboration with private sector enti22 ties— 

23 (i) to identify trends in the infringe24 ment of, and technologies that infringe, in25 tellectual property rights; 
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1 (ii) to identify opportunities for en2 hanced training of officers of U.S. Customs 

3 and Border Protection and U.S. Immigra4 tion and Customs Enforcement; and 

5 (iii) to develop best practices to enforce 

6 intellectual property rights; and 

7 (C) coordination with foreign governments 

8 and international organizations with respect to 

9 the enforcement of intellectual property rights. 

10 (4) A summary of the efforts of U.S. Customs 

11 and Border Protection and U.S. Immigration and 

12 Customs Enforcement to address the challenges with 

13 respect to the enforcement of intellectual property 

14 rights presented by Internet commerce and the transit 

15 of small packages and an identification of the volume, 

16 value, and type of merchandise seized for infringing 

17 intellectual property rights as a result of such efforts. 

18 (5) A summary of training relating to the en19 forcement of intellectual property rights conducted 

20 under section 308 and expenditures for such training. 

21 SEC. 311. INFORMATION FOR TRAVELERS REGARDING VIO22 LATIONS OF INTELLECTUAL PROPERTY 

23 RIGHTS. 

24 (a) IN GENERAL.—The Secretary of Homeland Secu25 rity shall develop and carry out an educational campaign 
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1 to inform travelers entering or leaving the United States 

2 about the legal, economic, and public health and safety im3 plications of acquiring merchandise that infringes intellec4 tual property rights outside the United States and import5 ing such merchandise into the United States in violation 

6 of United States law. 

7 (b) DECLARATION FORMS.—The Commissioner shall 

8 ensure that all versions of Declaration Form 6059B of U.S. 

9 Customs and Border Protection, or a successor form, includ10 ing any electronic equivalent of Declaration Form 6059B 

11 or a successor form, printed or displayed on or after the 

12 date that is 30 days after the date of the enactment of this 

13 Act include a written warning to inform travelers arriving 

14 in the United States that importation of merchandise into 

15 the United States that infringes intellectual property rights 

16 may subject travelers to civil or criminal penalties and may 

17 pose serious risks to safety or health. 

18 TITLE IV—PREVENTION OF EVA19 SION OF ANTIDUMPING AND 

20 COUNTERVAILING DUTY OR21 DERS 

22 SEC. 401. SHORT TITLE. 

23 This title may be cited as the ‘‘Preventing Recurring 

24 Trade Evasion and Circumvention Act’’ or ‘‘PROTECT 

25 Act’’. 
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1 SEC. 402. DEFINITIONS. 

2 In this title: 

3 (1) APPROPRIATE CONGRESSIONAL COMMIT4 TEES.—The term ‘‘appropriate congressional commit5 tees’’ means— 

6 (A) the Committee on Finance and the 

7 Committee on Appropriations of the Senate; and 

8 (B) the Committee on Ways and Means and 

9 the Committee on Appropriations of the House of 

10 Representatives. 

11 (2) COVERED MERCHANDISE.—The term ‘‘cov12 ered merchandise’’ means merchandise that is subject 

13 to— 

14 (A) a countervailing duty order issued 

15 under section 706 of the Tariff Act of 1930; or 

16 (B) an antidumping duty order issued 

17 under section 736 of the Tariff Act of 1930. 

18 (3) ELIGIBLE SMALL BUSINESS.— 

19 (A) IN GENERAL.—The term ‘‘eligible small 

20 business’’ means any business concern which, in 

21 the Commissioner’s judgment, due to its small 

22 size, has neither adequate internal resources nor 

23 financial ability to obtain qualified outside as24 sistance in preparing and submitting for consid25 eration allegations of evasion. 
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1 (B) NONREVIEWABILITY.—Any agency deci2 sion regarding whether a business concern is an 

3 eligible small business for purposes of section 

4 411(b)(4)(E) is not reviewable by any other 

5 agency or by any court. 

6 (4) ENTER; ENTRY.—The terms ‘‘enter’’ and 

7 ‘‘entry’’ refer to the entry, or withdrawal from ware8 house for consumption, in the customs territory of the 

9 United States. 

10 (5) EVADE; EVASION.—The terms ‘‘evade’’ and 

11 ‘‘evasion’’ refer to entering covered merchandise into 

12 the customs territory of the United States by means 

13 of any document or electronically transmitted data or 

14 information, written or oral statement, or act that is 

15 material and false, or any omission that is material, 

16 and that results in any cash deposit or other security 

17 or any amount of applicable antidumping or counter18 vailing duties being reduced or not being applied with 

19 respect to the merchandise. 

20 (6) SECRETARY.—The term ‘‘Secretary’’ means 

21 the Secretary of the Treasury. 

22 (7) TRADE REMEDY LAWS.—The term ‘‘trade 

23 remedy laws’’ means title VII of the Tariff Act of 

24 1930. 
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1 SEC. 403. APPLICATION TO CANADA AND MEXICO. 

2 Pursuant to article 1902 of the North American Free 

3 Trade Agreement and section 408 of the North American 

4 Free Trade Agreement Implementation Act (19 U.S.C. 

5 3438), this title and the amendments made by this title 

6 shall apply with respect to goods from Canada and Mexico. 

7 Subtitle A—Actions Relating to 

8 Enforcement of Trade Remedy Laws 

9 SEC. 411. TRADE REMEDY LAW ENFORCEMENT DIVISION. 

10 (a) ESTABLISHMENT.— 

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

12 Security shall establish and maintain within the Of13 fice of International Trade of U.S. Customs and Bor14 der Protection, established under section 2(d) of the 

15 Act of March 3, 1927 (44 Stat. 1381, chapter 348; 19 

16 U.S.C. 2072(d)), a Trade Remedy Law Enforcement 

17 Division. 

18 (2) COMPOSITION.—The Trade Law Remedy En19 forcement Division shall be composed of— 

20 (A) headquarters personnel led by a Direc21 tor, who shall report to the Assistant Commis22 sioner of the Office of International Trade; and 

23 (B) a National Targeting and Analysis 

24 Group dedicated to preventing and countering 

25 evasion. 
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1 (3) DUTIES.—The Trade Remedy Law Enforce2 ment Division shall be dedicated— 

3 (A) to the development and administration 

4 of policies to prevent and counter evasion; 

5 (B) to direct enforcement and compliance 

6 assessment activities concerning evasion; 

7 (C) to the development and conduct of com8 mercial risk assessment targeting with respect to 

9 cargo destined for the United States in accord10 ance with subsection (c); 

11 (D) to issuing Trade Alerts described in 

12 subsection (d); and 

13 (E) to the development of policies for the 

14 application of single entry and continuous bonds 

15 for entries of covered merchandise to sufficiently 

16 protect the collection of antidumping and coun17 tervailing duties commensurate with the level of 

18 risk of noncollection. 

19 (b) DUTIES OF DIRECTOR.—The duties of the Director 

20 of the Trade Remedy Law Enforcement Division shall in21 clude— 

22 (1) directing the trade enforcement and compli23 ance assessment activities of U.S. Customs and Bor24 der Protection that concern evasion; 
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1 (2) facilitating, promoting, and coordinating co2 operation and the exchange of information between 

3 U.S. Customs and Border Protection, U.S. Immigra4 tion and Customs Enforcement, and other relevant 

5 agencies regarding evasion; 

6 (3) notifying on a timely basis the administering 

7 authority (as defined in section 771(1) of the Tariff 

8 Act of 1930 (19 U.S.C. 1677(1))) and the Commission 

9 (as defined in section 771(2) of the Tariff Act of 1930 

10 (19 U.S.C. 1677(2))) of any finding, determination, 

11 civil action, or criminal action taken by U.S. Cus12 toms and Border Protection or other Federal agency 

13 regarding evasion; 

14 (4) serving as the primary liaison between U.S. 

15 Customs and Border Protection and the public re16 garding United States Government activities con17 cerning evasion, including— 

18 (A) receive and transmit to the appropriate 

19 U.S. Customs and Border Protection office alle20 gations from parties of evasion; 

21 (B) upon request by the party or parties 

22 that submitted an allegation of evasion, provide 

23 information to such party or parties on the sta24 tus of U.S. Customs and Border Protection’s con25 sideration of the allegation and decision to pur-
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1 sue or not pursue any administrative inquiries 

2 or other actions, such as changes in policies, pro3 cedures, or resource allocation as a result of the 

4 allegation; 

5 (C) as needed, request from the party or 

6 parties that submitted an allegation of evasion 

7 any additional information that may be relevant 

8 for U.S. Customs and Border Protection deter9 mining whether to initiate an administrative in10 quiry or take any other action regarding the al11 legation; 

12 (D) notify on a timely basis the party or 

13 parties that submitted such an allegation of the 

14 results of any administrative, civil or criminal 

15 actions taken by U.S. Customs and Border Pro16 tection or other Federal agency regarding eva17 sion as a direct or indirect result of the allega18 tion; 

19 (E) upon request, provide technical assist20 ance and advice to eligible small businesses to 

21 enable such businesses to prepare and submit al22 legations of evasion, except that the Director may 

23 deny assistance if the Director concludes that the 

24 allegation, if submitted, would not lead to the 
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1 initiation of an administrative inquiry or any 

2 other action to address the allegation; 

3 (F) in cooperation with the public, the 

4 Commercial Customs Operations Advisory Com5 mittee, the Trade Support Network, and any 

6 other relevant parties and organizations, develop 

7 guidelines on the types and nature of informa8 tion that may be provided in allegations of eva9 sion; and 

10 (G) regularly consult with the public, the 

11 Commercial Customs Operations Advisory Com12 mittee, the Trade Support Network, and any 

13 other relevant parties and organizations regard14 ing the development and implementation of regu15 lations, interpretations, and policies related to 

16 countering evasion. 

17 (c) PREVENTING AND COUNTERING EVASION OF THE

18 TRADE REMEDY LAWS.—In carrying out its duties with 

19 respect to preventing and countering evasion, the National 

20 Targeting and Analysis Group dedicated to preventing and 

21 countering evasion shall— 

22 (1) establish targeted risk assessment methodolo23 gies and standards— 
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1 (A) for evaluating the risk that cargo des2 tined for the United States may constitute evad3 ing covered merchandise; and 

4 (B) for issuing, as appropriate, Trade 

5 Alerts described in subsection (d); and 

6 (2) to the extent practicable and otherwise au7 thorized by law, use information available from the 

8 Automated Commercial System, the Automated Com9 mercial Environment computer system, the Auto10 mated Targeting System, the Automated Export Sys11 tem, the International Trade Data System, and the 

12 TECS, and any similar and successor systems, to ad13 minister the methodologies and standards established 

14 under paragraph (1). 

15 (d) TRADE ALERTS.—Based upon the application of 

16 the targeted risk assessment methodologies and standards 

17 established under subsection (c), the Director of the Trade 

18 Remedy Law Enforcement Division shall issue Trade Alerts 

19 or other such means of notification to directors of United 

20 States ports of entry directing further inspection, physical 

21 examination, or testing of merchandise to ensure compli22 ance with the trade remedy laws and to require additional 

23 bonds, cash deposits, or other security to ensure collection 

24 of any duties, taxes and fees owed. 
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1 SEC. 412. COLLECTION OF INFORMATION ON EVASION OF 

2 TRADE REMEDY LAWS. 

3 (a) AUTHORITY TO COLLECT INFORMATION.—To de4 termine whether covered merchandise is being entered into 

5 the customs territory of the United States through evasion, 

6 the Secretary, acting through the Commissioner— 

7 (1) shall exercise all existing authorities to collect 

8 information needed to make the determination; and 

9 (2) may collect such additional information as is 

10 necessary to make the determination through such 

11 methods as the Commissioner considers appropriate, 

12 including by issuing questionnaires with respect to 

13 the entry or entries at issue to— 

14 (A) a person who filed an allegation with 

15 respect to the covered merchandise; 

16 (B) a person who is alleged to have entered 

17 the covered merchandise into the customs terri18 tory of the United States through evasion; or 

19 (C) any other person who is determined to 

20 have information relevant to the allegation of 

21 entry of covered merchandise into the customs 

22 territory of the United States through evasion. 

23 (b) ADVERSE INFERENCE.— 

24 (1) IN GENERAL.—If the Secretary finds that a 

25 person who filed an allegation, a person alleged to 

26 have entered covered merchandise into the customs 
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1 territory of the United States through evasion, or a 

2 foreign producer or exporter of covered merchandise 

3 that is alleged to have entered into the customs terri4 tory of the United States through evasion, has failed 

5 to cooperate by not acting to the best of the person’s 

6 ability to comply with a request for information, the 

7 Secretary may, in making a determination whether 

8 an entry or entries of covered merchandise may con9 stitute merchandise that is entered into the customs 

10 territory of the United States through evasion, use an 

11 inference that is adverse to the interests of that person 

12 in selecting from among the facts otherwise available 

13 to determine whether evasion has occurred. 

14 (2) ADVERSE INFERENCE DESCRIBED.—An ad15 verse inference used under paragraph (1) may include 

16 reliance on information derived from— 

17 (A) the allegation of evasion of the trade 

18 remedy laws, if any, submitted to U.S. Customs 

19 and Border Protection; 

20 (B) a determination by the Commissioner 

21 in another investigation, proceeding, or other ac22 tion regarding evasion of the unfair trade laws; 

23 or 

24 (C) any other available information. 
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1 SEC. 413. ACCESS TO INFORMATION. 

2 (a) IN GENERAL.—Section 777(b)(1)(A)(ii) of the Tar3 iff Act of 1930 (19 U.S.C. 1677f(b)(1)(A)(ii)) is amended 

4 by inserting ‘‘negligence, gross negligence, or’’ after ‘‘regard5 ing’’. 

6 (b) ADDITIONAL INFORMATION.—Notwithstanding any 

7 other provision of law, the Secretary is authorized to pro8 vide to the Secretary of Commerce or the United States 

9 International Trade Commission any information that is 

10 necessary to enable the Secretary of Commerce or the United 

11 States International Trade Commission to assist the Sec12 retary to identify, through risk assessment targeting or oth13 erwise, covered merchandise that is entered into the customs 

14 territory of the United States through evasion. 

15 SEC. 414. COOPERATION WITH FOREIGN COUNTRIES ON 

16 PREVENTING EVASION OF TRADE REMEDY 

17 LAWS. 

18 (a) BILATERAL AGREEMENTS.— 

19 (1) IN GENERAL.—The Secretary shall seek to ne20 gotiate and enter into bilateral agreements with the 

21 customs authorities or other appropriate authorities 

22 of foreign countries for purposes of cooperation on 

23 preventing evasion of the trade remedy laws of the 

24 United States and the trade remedy laws of the other 

25 country. 
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1 (2) PROVISIONS AND AUTHORITIES.—The Sec2 retary shall seek to include in each such bilateral 

3 agreement the following provisions and authorities: 

4 (A) On the request of the importing coun5 try, the exporting country shall provide, con6 sistent with its laws, regulations, and proce7 dures, production, trade, and transit documents 

8 and other information necessary to determine 

9 whether an entry or entries exported from the ex10 porting country are subject to the importing 

11 country’s trade remedy laws. 

12 (B) On the written request of the importing 

13 country, the exporting country shall conduct a 

14 verification for purposes of enabling the import15 ing country to make a determination described 

16 in subparagraph (A). 

17 (C) The exporting country may allow the 

18 importing country to participate in a 

19 verification described in subparagraph (B), in20 cluding through a site visit. 

21 (D) If the exporting country does not allow 

22 participation of the importing country in a 

23 verification described in subparagraph (B), the 

24 importing country may take this fact into con25 sideration in its trade enforcement and compli-
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1 ance assessment activities regarding the compli2 ance of the exporting country’s exports with the 

3 importing country’s trade remedy laws. 

4 (b) CONSIDERATION.—The Commissioner is authorized 

5 to take into consideration whether a country is a signatory 

6 to a bilateral agreement described in subsection (a) and the 

7 extent to which the country is cooperating under the bilat8 eral agreement for purposes of trade enforcement and com9 pliance assessment activities of U.S. Customs and Border 

10 Protection that concern evasion by such country’s exports. 

11 (c) REPORT.—Not later than December 31 of each year 

12 beginning after the date of the enactment of this Act, the 

13 Secretary shall submit to the appropriate congressional 

14 committees a report summarizing— 

15 (1) the status of any ongoing negotiations of bi16 lateral agreements described in subsection (a), includ17 ing the identities of the countries involved in such ne18 gotiations; 

19 (2) the terms of any completed bilateral agree20 ments described in subsection (a); and 

21 (3) bilateral cooperation and other activities con22 ducted pursuant to or enabled by any completed bilat23 eral agreements described in subsection (a). 
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1 SEC. 415. TRADE NEGOTIATING OBJECTIVES. 

2 The principal negotiating objectives of the United 

3 States shall include obtaining the objectives of the bilateral 

4 agreements described under section 414(a) for any trade 

5 agreements under negotiation as of the date of the enact6 ment of this Act or future trade agreement negotiations. 

7 Subtitle B—Investigation of 

8 Evasion of Trade Remedy Laws 

9 SEC. 421. PROCEDURES FOR INVESTIGATION OF EVASION 

10 OF ANTIDUMPING AND COUNTERVAILING 

11 DUTY ORDERS. 

12 (a) IN GENERAL.—Title VII of the Tariff Act of 1930 

13 (19 U.S.C. 1671 et seq.) is amended by inserting after sec14 tion 781 the following: 

15 ‘‘SEC. 781A. PROCEDURES FOR PREVENTION OF EVASION 

16 OF ANTIDUMPING AND COUNTERVAILING 

17 DUTY ORDERS. 

18 ‘‘(a) DEFINITIONS.—In this section: 

19 ‘‘(1) ADMINISTERING AUTHORITY.—The term 

20 ‘administering authority’ has the meaning given that 

21 term in section 771. 

22 ‘‘(2) COMMISSIONER.—The term ‘Commissioner’ 

23 means the Commissioner of U.S. Customs and Border 

24 Protection. 
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1 ‘‘(3) COVERED MERCHANDISE.—The term ‘cov2 ered merchandise’ means merchandise that is subject 

3 to— 

4 ‘‘(A) a countervailing duty order issued 

5 under section 706; or 

6 ‘‘(B) an antidumping duty order issued 

7 under section 736. 

8 ‘‘(4) EVASION.— 

9 ‘‘(A) IN GENERAL.—Except as provided in 

10 subparagraph (B), the term ‘evasion’ refers to 

11 entering covered merchandise into the customs 

12 territory of the United States by means of any 

13 document or electronically transmitted data or 

14 information, written or oral statement, or act 

15 that is material and false, or any omission that 

16 is material, and that results in any cash deposit 

17 or other security or any amount of applicable 

18 antidumping or countervailing duties being re19 duced or not being applied with respect to the 

20 merchandise. 

21 ‘‘(B) EXCEPTION FOR CLERICAL ERROR.— 

22 ‘‘(i) IN GENERAL.—Except as provided 

23 in clause (ii), the term ‘evasion’ does not 

24 include entering covered merchandise into 
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1 the customs territory of the United States 

2 by means of— 

3 ‘‘(I) a document or electronically 

4 transmitted data or information, writ5 ten or oral statement, or act that is 

6 false as a result of a clerical error; or 

7 ‘‘(II) an omission that results 

8 from a clerical error. 

9 ‘‘(ii) PATTERNS OF NEGLIGENT CON10 DUCT.—If the administering authority de11 termines that a person has entered covered 

12 merchandise into the customs territory of 

13 the United States by means of a clerical 

14 error referred to in subclause (I) or (II) of 

15 clause (i) and that the clerical error is part 

16 of a pattern of negligent conduct on the 

17 part of that person, the administering au18 thority may determine, notwithstanding 

19 clause (i), that the person has entered such 

20 covered merchandise into the customs terri21 tory of the United States by means of eva22 sion. 

23 ‘‘(iii) ELECTRONIC REPETITION OF ER24 RORS.—For purposes of clause (ii), the mere 

25 unintentional repetition by an electronic 
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1 system of an initial clerical error does not 

2 constitute a pattern of negligent conduct. 

3 ‘‘(iv) RULE OF CONSTRUCTION.—A de4 termination by the administering authority 

5 that a person has entered covered merchan6 dise into the customs territory of the United 

7 States by means of a clerical error referred 

8 to in subclause (I) or (II) of clause (i) rath9 er than by means of evasion shall not be 

10 construed to excuse that person from the 

11 payment of any duties applicable to the 

12 merchandise. 

13 ‘‘(b) INVESTIGATION BY ADMINISTERING AUTHOR14 ITY.— 

15 ‘‘(1) PROCEDURES FOR INITIATING INVESTIGA16 TIONS.— 

17 ‘‘(A) INITIATION BY ADMINISTERING AU18 THORITY.—An investigation under this sub19 section shall be initiated with respect to mer20 chandise imported into the United States when21 ever the administering authority determines, 

22 from information available to the administering 

23 authority, that an investigation is warranted 

24 with respect to whether the merchandise is cov25 ered merchandise that has entered into the cus-
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1 toms territory of the United States by means of 

2 evasion. 

3 ‘‘(B) INITIATION BY PETITION OR REFER4 RAL.— 

5 ‘‘(i) IN GENERAL.—The administering 

6 authority shall determine whether to ini7 tiate an investigation under this subpara8 graph not later than 30 days after the date 

9 on which the administering authority re10 ceives a petition described in clause (ii) or 

11 a referral described in clause (iii). 

12 ‘‘(ii) PETITION DESCRIBED.—A peti13 tion described in this clause is a petition 

14 that— 

15 ‘‘(I) is filed with the admin16 istering authority by an interested 

17 party specified in subparagraph (A), 

18 (C), (D), (E), (F), or (G) of section 

19 771(9); 

20 ‘‘(II) alleges that merchandise im21 ported into the United States is cov22 ered merchandise that has entered into 

23 the customs territory of the United 

24 States by means of evasion; and 
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1 ‘‘(III) is accompanied by infor2 mation reasonably available to the pe3 titioner supporting those allegations. 

4 ‘‘(iii) REFERRAL DESCRIBED.—A re5 ferral described in this clause is a referral 

6 made by the Commissioner pursuant to sub7 section (c)(1). 

8 ‘‘(2) TIME LIMITS FOR DETERMINATIONS.— 

9 ‘‘(A) PRELIMINARY DETERMINATION.— 

10 ‘‘(i) IN GENERAL.—Not later than 90 

11 days after the administering authority ini12 tiates an investigation under paragraph (1) 

13 with respect to merchandise, the admin14 istering authority shall issue a preliminary 

15 determination, based on information avail16 able to the administering authority at the 

17 time of the determination, with respect to 

18 whether there is a reasonable basis to believe 

19 or suspect that the merchandise is covered 

20 merchandise that has entered into the cus21 toms territory of the United States by 

22 means of evasion. 

23 ‘‘(ii) EXPEDITED PROCEDURES.—If the 

24 administering authority determines that ex25 pedited action is warranted with respect to 
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1 an investigation initiated under paragraph 

2 (1), the administering authority may pub3 lish the notice of initiation of the investiga4 tion and the notice of the preliminary deter5 mination in the Federal Register at the 

6 same time. 

7 ‘‘(B) FINAL DETERMINATION BY THE AD8 MINISTERING AUTHORITY.—Not later than 300 

9 days after the date on which the administering 

10 authority initiates an investigation under para11 graph (1) with respect to merchandise, the ad12 ministering authority shall issue a final deter13 mination with respect to whether the merchan14 dise is covered merchandise that has entered into 

15 the customs territory of the United States by 

16 means of evasion. 

17 ‘‘(3) ACCESS TO INFORMATION.— 

18 ‘‘(A) ENTRY DOCUMENTS, RECORDS, AND

19 OTHER INFORMATION.—Not later than 10 days 

20 after receiving a request from the administering 

21 authority with respect to merchandise that is the 

22 subject of an investigation under paragraph (1), 

23 the Commissioner shall transmit to the admin24 istering authority copies of the documentation 

25 and information required by section 484(a)(1) 
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1 with respect to the entry of the merchandise, as 

2 well as any other documentation or information 

3 requested by the administering authority. 

4 ‘‘(B) ACCESS OF INTERESTED PARTIES.— 

5 Not later than 10 business days after the date on 

6 which the administering authority initiates an 

7 investigation under paragraph (1) with respect 

8 to merchandise, the administering authority 

9 shall provide to the authorized representative of 

10 each interested party that filed a petition under 

11 paragraph (1) or otherwise participates in a 

12 proceeding, pursuant to a protective order, the 

13 copies of the entry documentation and any other 

14 information received by the administering au15 thority under subparagraph (A). 

16 ‘‘(C) BUSINESS PROPRIETARY INFORMATION

17 FROM PRIOR SEGMENTS.—If an authorized rep18 resentative of an interested party participating 

19 in an investigation under paragraph (1) has ac20 cess to business proprietary information released 

21 pursuant to an administrative protective order 

22 in a proceeding under subtitle A, B, or C of title 

23 VII of the Tariff Act of 1930 that is relevant to 

24 the investigation conducted under paragraph (1), 

25 that authorized representative may submit such 
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1 information to the administering authority for 

2 its consideration in the context of the investiga3 tion conducted under paragraph (1). 

4 ‘‘(4) AUTHORITY TO COLLECT AND VERIFY ADDI5 TIONAL INFORMATION.—In making a determination 

6 under paragraph (2) with respect to covered merchan7 dise, the administering authority may collect such ad8 ditional information as is necessary to make the de9 termination through such methods as the admin10 istering authority considers appropriate, including 

11 by— 

12 ‘‘(A) issuing a questionnaire with respect to 

13 such covered merchandise to— 

14 ‘‘(i) a person that filed an allegation 

15 under paragraph (1)(B)(ii) that resulted in 

16 the initiation of an investigation under 

17 paragraph (1)(A) with respect to such cov18 ered merchandise; 

19 ‘‘(ii) a person alleged to have entered 

20 such covered merchandise into the customs 

21 territory of the United States by means of 

22 evasion; 

23 ‘‘(iii) a person that is a foreign pro24 ducer or exporter of such covered merchan25 dise; or 
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1 ‘‘(iv) the government of a country from 

2 which such covered merchandise was ex3 ported; 

4 ‘‘(B) conducting verifications, including on5 site verifications, of any relevant information; 

6 and 

7 ‘‘(C) requesting— 

8 ‘‘(i) that the Commissioner provide 

9 any information and data available to U.S. 

10 Customs and Border Protection, and 

11 ‘‘(ii) that the Commissioner gather ad12 ditional necessary information from the im13 porter of covered merchandise and other rel14 evant parties. 

15 ‘‘(5) ADVERSE INFERENCE.—If the admin16 istering authority finds that a person described in 

17 clause (i), (ii), or (iii) of paragraph (4)(A) has failed 

18 to cooperate by not acting to the best of the person’s 

19 ability to comply with a request for information, the 

20 administering authority may, in making a deter21 mination under paragraph (2), use an inference that 

22 is adverse to the interests of that person in selecting 

23 from among the facts otherwise available to make the 

24 determination. 
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1 ‘‘(6) EFFECT OF AFFIRMATIVE PRELIMINARY DE2 TERMINATION.—If the administering authority makes 

3 a preliminary determination under paragraph (2)(A) 

4 that merchandise is covered merchandise that has en5 tered into the customs territory of the United States 

6 by means of evasion, the administering authority 

7 shall instruct U.S. Customs and Border Protection— 

8 ‘‘(A) to suspend liquidation of each entry of 

9 the merchandise that— 

10 ‘‘(i) enters on or after the date of the 

11 preliminary determination; or 

12 ‘‘(ii) enters before that date, if the liq13 uidation of the entry is not final on that 

14 date; and 

15 ‘‘(B) to require the posting of a cash deposit 

16 for each entry of the merchandise in an amount 

17 determined pursuant to the order, or administra18 tive review conducted under section 751, that ap19 plies to the merchandise. 

20 ‘‘(7) EFFECT OF AFFIRMATIVE FINAL DETER21 MINATION.— 

22 ‘‘(A) IN GENERAL.—If the administering 

23 authority makes a final determination under 

24 paragraph (2)(B) that merchandise is covered 

25 merchandise that has entered into the customs 
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1 territory of the United States by means of eva2 sion, the administering authority shall instruct 

3 U.S. Customs and Border Protection— 

4 ‘‘(i) to assess duties on the merchandise 

5 in an amount determined pursuant to the 

6 order, or administrative review conducted 

7 under section 751, that applies to the mer8 chandise; 

9 ‘‘(ii) notwithstanding section 501, to 

10 reliquidate, in accordance with such order 

11 or administrative review, each entry of the 

12 merchandise that was liquidated and is de13 termined to include covered merchandise; 

14 and 

15 ‘‘(iii) to review and reassess the 

16 amount of bond or other security the im17 porter is required to post for such merchan18 dise entered on or after the date of the final 

19 determination to ensure the protection of 

20 revenue and compliance with the law. 

21 ‘‘(B) ADDITIONAL AUTHORITY.—If the ad22 ministering authority makes a final determina23 tion under paragraph (2)(B) that merchandise is 

24 covered merchandise that has entered into the 

25 customs territory of the United States by means 
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1 of evasion, the administering authority may in2 struct U.S. Customs and Border Protection to re3 quire the importer of the merchandise to post a 

4 cash deposit or bond on such merchandise en5 tered on or after the date of the final determina6 tion in an amount the administering authority 

7 determines in the final determination to be owed 

8 with respect to the merchandise. 

9 ‘‘(8) EFFECT OF NEGATIVE FINAL DETERMINA10 TION.—If the administering authority makes a final 

11 determination under paragraph (2)(B) that merchan12 dise is not covered merchandise that has entered into 

13 the customs territory of the United States by means 

14 of evasion, the administering authority shall termi15 nate the suspension of liquidation and refund any 

16 cash deposit imposed pursuant to paragraph (6) with 

17 respect to the merchandise. 

18 ‘‘(9) NOTIFICATION.—Not later than 5 business 

19 days after making a determination under paragraph 

20 (2) with respect to covered merchandise, the admin21 istering authority may provide to importers, in such 

22 manner as the administering authority determines 

23 appropriate, information discovered in the investiga24 tion that the administering authority determines will 

25 help educate importers with respect to importing mer-
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1 chandise into the customs territory of the United 

2 States in accordance with all applicable laws and 

3 regulations. 

4 ‘‘(10) SPECIAL RULE FOR CASES IN WHICH THE

5 PRODUCER OR EXPORTER IS UNKNOWN.—If the ad6 ministering authority is unable to determine the ac7 tual producer or exporter of the merchandise with re8 spect to which the administering authority initiated 

9 an investigation under paragraph (1), the admin10 istering authority shall, in requiring the posting of a 

11 cash deposit under paragraph (6) or assessing duties 

12 pursuant to paragraph (7)(A), impose the cash de13 posit or duties (as the case may be) in the highest 

14 amount applicable to any producer or exporter of the 

15 merchandise pursuant to any order, or any adminis16 trative review conducted under section 751. 

17 ‘‘(11) PUBLICATION OF DETERMINATIONS.—The 

18 administering authority shall publish in the Federal 

19 Register each notice of initiation of an investigation 

20 made under paragraph (1)(A), each preliminary de21 termination made under paragraph (2)(A), and each 

22 final determination made under paragraph (2)(B). 

23 ‘‘(12) REFERRALS TO OTHER AGENCIES.— 

24 ‘‘(A) AFTER PRELIMINARY DETERMINA25 TION.—Notwithstanding section 777 and subject 
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1 to subparagraph (C), when the administering 

2 authority makes an affirmative preliminary de3 termination under paragraph (2)(A), the admin4 istering authority shall— 

5 ‘‘(i) transmit the administrative record 

6 to the Commissioner for such additional ac7 tion as the Commissioner determines appro8 priate, including proceedings under section 

9 592; and 

10 ‘‘(ii) at the request of the head of an11 other agency, transmit the administrative 

12 record to the head of that agency. 

13 ‘‘(B) AFTER FINAL DETERMINATION.—Not14 withstanding section 777 and subject to subpara15 graph (C), when the administering authority 

16 makes an affirmative final determination under 

17 paragraph (2)(B), the administering authority 

18 shall— 

19 ‘‘(i) transmit the complete administra20 tive record to the Commissioner; and 

21 ‘‘(ii) at the request of the head of an22 other agency, transmit the complete admin23 istrative record to the head of that agency. 

24 ‘‘(c) REFERRAL BY U.S. CUSTOMS AND BORDER PRO25 TECTION.—In the event the Commissioner receives informa-
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1 tion that a person has entered covered merchandise into the 

2 customs territory of the United States through evasion, but 

3 is not able to determine whether the merchandise is in fact 

4 covered merchandise, the Commissioner shall— 

5 ‘‘(1) refer the matter to the administering au6 thority for additional proceedings under subsection 

7 (b); and 

8 ‘‘(2) transmit to the administering authority— 

9 ‘‘(A) copies of the entry documents and in10 formation required by section 484(a)(1) relating 

11 to the merchandise; and 

12 ‘‘(B) any additional records or information 

13 that the Commissioner considers appropriate. 

14 ‘‘(d) COOPERATION BETWEEN U.S. CUSTOMS AND

15 BORDER PROTECTION AND THE DEPARTMENT OF COM16 MERCE.— 

17 ‘‘(1) NOTIFICATION OF INVESTIGATIONS.—Upon 

18 receiving a petition and upon initiating an investiga19 tion under subsection (b), the administering authority 

20 shall notify the Commissioner. 

21 ‘‘(2) PROCEDURES FOR COOPERATION.—Not 

22 later than 180 days after the date of the enactment 

23 of the Trade Facilitation and Trade Enforcement Act 

24 of 2015, the Commissioner and the administering au25 thority shall establish procedures to ensure maximum 
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1 cooperation and communication between U.S. Cus2 toms and Border Protection and the administering 

3 authority in order to quickly, efficiently, and accu4 rately investigate allegations of evasion of anti5 dumping and countervailing duty orders. 

6 ‘‘(e) ANNUAL REPORT ON PREVENTING EVASION OF

7 ANTIDUMPING AND COUNTERVAILING DUTY ORDERS.— 

8 ‘‘(1) IN GENERAL.—Not later than February 28 

9 of each year beginning in 2016, the Under Secretary 

10 for International Trade of the Department of Com11 merce shall submit to the Committee on Finance and 

12 the Committee on Appropriations of the Senate and 

13 the Committee on Ways and Means and the Com14 mittee on Appropriations of the House of Representa15 tives a report on the efforts being taken under sub16 section (b) to prevent evasion of antidumping and 

17 countervailing duty orders. 

18 ‘‘(2) CONTENTS.—Each report required by para19 graph (1) shall include, for the calendar year pre20 ceding the submission of the report— 

21 ‘‘(A)(i) the number of investigations initi22 ated pursuant to subsection (b); and 

23 ‘‘(ii) a description of such investigations, 

24 including— 
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1 ‘‘(I) the results of such investigations; 

2 and 

3 ‘‘(II) the amount of antidumping and 

4 countervailing duties collected as a result of 

5 such investigations; and 

6 ‘‘(B) the number of referrals made by the 

7 Commissioner pursuant to subsection (c).’’. 

8 (b) TECHNICAL AMENDMENT.—The table of contents 

9 for title VII of the Tariff Act of 1930 is amended by insert10 ing after the item relating to section 781 the following: 

‘‘Sec. 781A. Procedures for prevention of evasion of antidumping and countervailing duty orders.’’. 

11 (c) JUDICIAL REVIEW.—Section 516A(a)(2) of the 

12 Tariff Act of 1930 (19 U.S.C. 1516a(a)(2)) is amended— 

13 (1) in subparagraph (A)(i)(I), by striking ‘‘or 

14 (viii)’’ and inserting ‘‘(viii), or (ix)’’; and 

15 (2) in subparagraph (B), by inserting at the end 

16 the following: 

17 ‘‘(ix) A determination by the admin18 istering authority under section 781A.’’. 

19 (d) REGULATIONS.—Not later than 180 days after the 

20 date of the enactment of this Act— 

21 (1) the Secretary of Commerce shall prescribe 

22 such regulations as may be necessary to carry out 

23 subsection (b) of section 781A of the Tariff Act of 

24 1930 (as added by subsection (a) of this section); and 
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1 (2) the Commissioner shall prescribe such regula2 tions as may be necessary to carry out subsection (c) 

3 of such section 781A. 

4 (e) EFFECTIVE DATE.—The amendments made by this 

5 section shall— 

6 (1) take effect on the date that is 180 days after 

7 the date of the enactment of this Act; and 

8 (2) apply with respect to merchandise entered on 

9 or after such date of enactment. 

10 SEC. 422. GOVERNMENT ACCOUNTABILITY OFFICE REPORT. 

11 Not later than 2 years after the date of the enactment 

12 of this Act, the Comptroller General of the United States 

13 shall submit to the Committee on Finance and the Com14 mittee on Appropriations of the Senate and the Committee 

15 on Ways and Means and the Committee on Appropriations 

16 of the House of Representatives a report assessing the effec17 tiveness of— 

18 (1) the provisions of, and amendments made by, 

19 this subtitle; and 

20 (2) the actions taken and procedures developed 

21 by the Secretary of Commerce and the Commissioner 

22 pursuant to such provisions and amendments to pre23 vent evasion of antidumping and countervailing duty 

24 orders under title VII of the Tariff Act of 1930 (19 

25 U.S.C. 1671 et seq.). 
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1 Subtitle C—Other Matters 

2 SEC. 431. ALLOCATION AND TRAINING OF PERSONNEL. 

3 The Commissioner shall, to the maximum extent pos4 sible, ensure that U.S. Customs and Border Protection— 

5 (1) employs sufficient personnel who have exper6 tise in, and responsibility for, preventing and inves7 tigating the entry of covered merchandise into the 

8 customs territory of the United States through eva9 sion; 

10 (2) on the basis of risk assessment metrics, as11 signs sufficient personnel with primary responsibility 

12 for preventing the entry of covered merchandise into 

13 the customs territory of the United States through 

14 evasion to the ports of entry in the United States at 

15 which the Commissioner determines potential evasion 

16 presents the most substantial threats to the revenue of 

17 the United States; and 

18 (3) provides adequate training to relevant per19 sonnel to increase expertise and effectiveness in the 

20 prevention and identification of entries of covered 

21 merchandise into the customs territory of the United 

22 States through evasion. 
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1 SEC. 432. ANNUAL REPORT ON PREVENTION OF EVASION 

2 OF ANTIDUMPING AND COUNTERVAILING 

3 DUTY ORDERS. 

4 (a) IN GENERAL.—Not later than February 28 of each 

5 year, beginning in 2016, the Commissioner, in consultation 

6 with the Secretary of Commerce and the Director of U.S. 

7 Immigration and Customs Enforcement, shall submit to the 

8 appropriate congressional committees a report on the efforts 

9 being taken to prevent and investigate evasion. 

10 (b) CONTENTS.—Each report required under sub11 section (a) shall include— 

12 (1) for the calendar year preceding the submis13 sion of the report— 

14 (A) a summary of the efforts of U.S. Cus15 toms and Border Protection to prevent and iden16 tify evasion; 

17 (B) the number of allegations of evasion re18 ceived and the number of allegations of evasion 

19 resulting in any administrative, civil, or crimi20 nal actions by U.S. Customs and Border Protec21 tion or any other agency; 

22 (C) a summary of the completed adminis23 trative inquiries of evasion, including the num24 ber and nature of the inquiries initiated, con25 ducted, or completed, as well as their resolution; 
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1 (D) with respect to inquiries that lead to 

2 issuance of a penalty notice, the penalty 

3 amounts; 

4 (E) the amounts of antidumping and coun5 tervailing duties collected as a result of any ac6 tions by U.S. Customs and Border Protection or 

7 any other agency; 

8 (F) a description of the allocation of per9 sonnel and other resources of U.S. Customs and 

10 Border Protection and U.S. Immigration and 

11 Customs Enforcement to prevent, identify, and 

12 investigate evasion, including any assessments 

13 conducted regarding the allocation of such per14 sonnel and resources; and 

15 (G) a description of training conducted to 

16 increase expertise and effectiveness in the preven17 tion, identification, and investigation of evasion; 

18 and 

19 (2) a description of U.S. Customs and Border 

20 Protection processes and procedures to prevent and 

21 identify evasion, including— 

22 (A) the specific guidelines, policies, and 

23 practices used by U.S. Customs and Border Pro24 tection to ensure that allegations of evasion are 
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1 promptly evaluated and acted upon in a timely 

2 manner; 

3 (B) an evaluation of the efficacy of such ex4 isting guidelines, policies, and practices; 

5 (C) identification of any changes since the 

6 last report that have materially improved or re7 duced the effectiveness of U.S. Customs and Bor8 der Protection to prevent and identify evasion; 

9 (D) a description of the development and 

10 implementation of policies for the application of 

11 single entry and continuous bonds for entries of 

12 covered merchandise to sufficiently protect the 

13 collection of antidumping and countervailing du14 ties commensurate with the level of risk on non15 collection; 

16 (E) the processes and procedures for in17 creased cooperation and information sharing 

18 with the Department of Commerce, U.S. Immi19 gration and Customs Enforcement, and any 

20 other relevant Federal agencies to prevent and 

21 identify evasion; and 

22 (F) identification of any recommended pol23 icy changes of other Federal agencies or legisla24 tive changes to improve the effectiveness of U.S. 
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1 Customs and Border Protection to prevent and 

2 identify evasion. 

3 SEC. 433. ADDRESSING CIRCUMVENTION BY NEW SHIPPERS. 

4 Section 751(a)(2)(B) of the Tariff Act of 1930 (19 

5 U.S.C. 1675(a)(2)(B)) is amended— 

6 (1) by striking clause (iii); 

7 (2) by redesignating clause (iv) as clause (iii); 

8 and 

9 (3) inserting after clause (iii), as redesignated by 

10 paragraph (2) of this section, the following: 

11 ‘‘(iv) DETERMINATIONS BASED ON

12 BONAFIDE SALES.—Any weighted average 

13 dumping margin or individual counter14 vailing duty rate determined for an ex15 porter or producer in a review conducted 

16 under clause (i) shall be based solely on the 

17 bona fide United States sales of an exporter 

18 or producer, as the case may be, made dur19 ing the period covered by the review. In de20 termining whether the United States sales of 

21 an exporter or producer made during the 

22 period covered by the review were bona fide, 

23 the administering authority shall consider, 

24 depending on the circumstances sur25 rounding such sales— 
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1 ‘‘(I) the prices of such sales; 

2 ‘‘(II) whether such sales were 

3 made in commercial quantities; 

4 ‘‘(III) the timing of such sales; 

5 ‘‘(IV) the expenses arising from 

6 such sales; 

7 ‘‘(V) whether the subject merchan8 dise involved in such sales was resold 

9 in the United States at a profit; 

10 ‘‘(VI) whether such sales were 

11 made on an arms-length basis; and 

12 ‘‘(VII) any other factor the ad13 ministering authority determines to be 

14 relevant as to whether such sales are, 

15 or are not, likely to be typical of those 

16 the exporter or producer will make 

17 after completion of the review.’’. 

18 TITLE V—IMPROVEMENTS TO 

19 ANTIDUMPING AND COUN20 TERVAILING DUTY LAWS 

21 SEC. 501. SHORT TITLE. 

22 This title may be cited as the ‘‘American Trade En23 forcement Effectiveness Act’’. 
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1 SEC. 502. CONSEQUENCES OF FAILURE TO COOPERATE 

2 WITH A REQUEST FOR INFORMATION IN A 

3 PROCEEDING. 

4 Section 776 of the Tariff Act of 1930 (19 U.S.C. 1677e) 

5 is amended— 

6 (1) in subsection (b)— 

7 (A) by redesignating paragraphs (1) 

8 through (4) as subparagraphs (A) through (D), 

9 respectively, and by moving such subparagraphs, 

10 as so redesignated, 2 ems to the right; 

11 (B) by striking ‘‘ADVERSE INFERENCES.— 

12 If’’ and inserting the following: ‘‘ADVERSE IN13 FERENCES.— 

14 ‘‘(1) IN GENERAL.—If’’; 

15 (C) by striking ‘‘under this title, may use’’ 

16 and inserting the following: ‘‘under this title— 

17 ‘‘(A) may use’’; and 

18 (D) by striking ‘‘facts otherwise available. 

19 Such adverse inference may include’’ and insert20 ing the following: ‘‘facts otherwise available; and 

21 ‘‘(B) is not required to determine, or make 

22 any adjustments to, a countervailable subsidy 

23 rate or weighted average dumping margin based 

24 on any assumptions about information the inter25 ested party would have provided if the interested 
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1 party had complied with the request for informa2 tion. 

3 ‘‘(2) POTENTIAL SOURCES OF INFORMATION FOR

4 ADVERSE INFERENCES.—An adverse inference under 

5 paragraph (1)(A) may include’’; 

6 (2) in subsection (c)— 

7 (A) by striking ‘‘CORROBORATION OF SEC8 ONDARY INFORMATION.—When the’’ and insert9 ing the following: ‘‘CORROBORATION OF SEC10 ONDARY INFORMATION.— 

11 ‘‘(1) IN GENERAL.—Except as provided in para12 graph (2), when the’’; and 

13 (B) by adding at the end the following: 

14 ‘‘(2) EXCEPTION.—The administrative authority 

15 and the Commission shall not be required to corrobo16 rate any dumping margin or countervailing duty ap17 plied in a separate segment of the same proceeding.’’; 

18 and 

19 (3) by adding at the end the following: 

20 ‘‘(d) SUBSIDY RATES AND DUMPING MARGINS IN AD21 VERSE INFERENCE DETERMINATIONS.— 

22 ‘‘(1) IN GENERAL.—If the administering author23 ity uses an inference that is adverse to the interests 

24 of a party under subsection (b)(1)(A) in selecting 
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1 among the facts otherwise available, the admin2 istering authority may— 

3 ‘‘(A) in the case of a countervailing duty 

4 proceeding— 

5 ‘‘(i) use a countervailable subsidy rate 

6 applied for the same or similar program in 

7 a countervailing duty proceeding involving 

8 the same country, or 

9 ‘‘(ii) if there is no same or similar 

10 program, use a countervailable subsidy rate 

11 for a subsidy program from a proceeding 

12 that the administering authority considers 

13 reasonable to use, and 

14 ‘‘(B) in the case of an antidumping duty 

15 proceeding, use any dumping margin from any 

16 segment of the proceeding under the applicable 

17 antidumping order. 

18 ‘‘(2) DISCRETION TO APPLY HIGHEST RATE.—In 

19 carrying out paragraph (1), the administering au20 thority may apply any of the countervailable subsidy 

21 rates or dumping margins specified under that para22 graph, including the highest such rate or margin, 

23 based on the evaluation by the administering author24 ity of the situation that resulted in the administering 
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1 authority using an adverse inference in selecting 

2 among the facts otherwise available. 

3 ‘‘(3) NO OBLIGATION TO MAKE CERTAIN ESTI4 MATES OR ADDRESS CERTAIN CLAIMS.—If the admin5 istering authority uses an adverse inference under 

6 subsection (b)(1)(A) in selecting among the facts oth7 erwise available, the administering authority is not 

8 required, for purposes of subsection (c) or for any 

9 other purpose— 

10 ‘‘(A) to estimate what the countervailable 

11 subsidy rate or dumping margin would have 

12 been if the interested party found to have failed 

13 to cooperate under subsection (b)(1) had cooper14 ated, or 

15 ‘‘(B) to demonstrate that the countervailable 

16 subsidy rate or dumping margin used by the ad17 ministering authority reflects an alleged com18 mercial reality of the interested party.’’. 

19 SEC. 503. DEFINITION OF MATERIAL INJURY. 

20 (a) EFFECT OF PROFITABILITY OF DOMESTIC INDUS21 TRIES.—Section 771(7) of the Tariff Act of 1930 (19 U.S.C. 

22 1677(7)) is amended by adding at the end the following: 

23 ‘‘(J) EFFECT OF PROFITABILITY.—The 

24 Commission may not determine that there is no 

25 material injury or threat of material injury to 
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1 an industry in the United States merely because 

2 that industry is profitable or because the per3 formance of that industry has recently im4 proved.’’. 

5 (b) EVALUATION OF IMPACT ON DOMESTIC INDUSTRY

6 IN DETERMINATION OF MATERIAL INJURY.—Subclause (I) 

7 of section 771(7)(C)(iii) of the Tariff Act of 1930 (19 U.S.C. 

8 1677(7)(C)(iii)) is amended to read as follows: 

9 ‘‘(I) actual and potential decline 

10 in output, sales, market share, gross 

11 profits, operating profits, net profits, 

12 ability to service debt, productivity, re13 turn on investments, return on assets, 

14 and utilization of capacity,’’. 

15 (c) CAPTIVE PRODUCTION.—Section 771(7)(C)(iv) of 

16 the Tariff Act of 1930 (19 U.S.C. 1677(7)(C)(iv)) is amend17 ed— 

18 (1) in subclause (I), by striking the comma and 

19 inserting ‘‘, and’’; 

20 (2) in subclause (II), by striking ‘‘, and’’ and in21 serting a comma; and 

22 (3) by striking subclause (III). 
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1 SEC. 504. PARTICULAR MARKET SITUATION. 

2 (a) DEFINITION OF ORDINARY COURSE OF TRADE.— 

3 Section 771(15) of the Tariff Act of 1930 (19 U.S.C. 

4 1677(15)) is amended by adding at the end the following: 

5 ‘‘(C) Situations in which the administering 

6 authority determines that the particular market 

7 situation prevents a proper comparison with the 

8 export price or constructed export price.’’. 

9 (b) DEFINITION OF NORMAL VALUE.—Section 

10 773(a)(1)(B)(ii)(III) of the Tariff Act of 1930 (19 U.S.C. 

11 1677b(a)(1)(B)(ii)(III)) is amended by striking ‘‘in such 

12 other country.’’. 

13 (c) DEFINITION OF CONSTRUCTED VALUE.—Section 

14 773(e) of the Tariff Act of 1930 (19 U.S.C. 1677b(e)) is 

15 amended— 

16 (1) in paragraph (1), by striking ‘‘business’’ and 

17 inserting ‘‘trade’’; and 

18 (2) by striking the flush text at the end and in19 serting the following: 

20 ‘‘For purposes of paragraph (1), if a particular market sit21 uation exists such that the cost of materials and fabrication 

22 or other processing of any kind does not accurately reflect 

23 the cost of production in the ordinary course of trade, the 

24 administering authority may use another calculation meth25 odology under this subtitle or any other calculation method26 ology. For purposes of paragraph (1), the cost of materials 
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1 shall be determined without regard to any internal tax in 

2 the exporting country imposed on such materials or their 

3 disposition that is remitted or refunded upon exportation 

4 of the subject merchandise produced from such materials.’’. 

5 SEC. 505. DISTORTION OF PRICES OR COSTS. 

6 (a) INVESTIGATION OF BELOW-COST SALES.—Section 

7 773(b)(2) of the Tariff Act of 1930 (19 U.S.C. 1677b(b)(2)) 

8 is amended by striking subparagraph (A) and inserting the 

9 following: 

10 ‘‘(A) REASONABLE GROUNDS TO BELIEVE

11 OR SUSPECT.— 

12 ‘‘(i) REVIEW.—In a review conducted 

13 under section 751 involving a specific ex14 porter, there are reasonable grounds to be15 lieve or suspect that sales of the foreign like 

16 product have been made at prices that are 

17 less than the cost of production of the prod18 uct if the administering authority dis19 regarded some or all of the exporter’s sales 

20 pursuant to paragraph (1) in the investiga21 tion or, if a review has been completed, in 

22 the most recently completed review. 

23 ‘‘(ii) REQUESTS FOR INFORMATION.— 

24 In an investigation initiated under section 

25 732 or a review conducted under section 
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1 751, the administering authority shall re2 quest information necessary to calculate the 

3 constructed value and cost of production 

4 under subsections (e) and (f) to determine 

5 whether there are reasonable grounds to be6 lieve or suspect that sales of the foreign like 

7 product have been made at prices that rep8 resent less than the cost of production of the 

9 product.’’. 

10 (b) PRICES AND COSTS IN NONMARKET ECONOMIES.— 

11 Section 773(c) of the Tariff Act of 1930 (19 U.S.C. 

12 1677b(c)) is amended by adding at the end the following: 

13 ‘‘(5) DISCRETION TO DISREGARD CERTAIN PRICE

14 OR COST VALUES.—In valuing the factors of produc15 tion under paragraph (1) for the subject merchandise, 

16 the administering authority may disregard price or 

17 cost values without further investigation if the admin18 istering authority has determined that broadly avail19 able export subsidies existed or particular instances of 

20 subsidization occurred with respect to those price or 

21 cost values or if those price or cost values were subject 

22 to an antidumping order.’’. 
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1 SEC. 506. REDUCTION IN BURDEN ON DEPARTMENT OF 

2 COMMERCE BY REDUCING THE NUMBER OF 

3 VOLUNTARY RESPONDENTS. 

4 Section 782(a) of the Tariff Act of 1930 (19 U.S.C. 

5 1677m(a)) is amended— 

6 (1) in paragraph (1), by redesignating subpara7 graphs (A) and (B) as clauses (i) and (ii), respec8 tively, and by moving such clauses, as so redesig9 nated, 2 ems to the right; 

10 (2) by redesignating paragraphs (1) and (2) as 

11 subparagraphs (A) and (B), respectively, and by mov12 ing such subparagraphs, as so redesignated, 2 ems to 

13 the right; 

14 (3) by striking ‘‘INVESTIGATIONS AND RE15 VIEWS.—In’’ and inserting the following: ‘‘INVESTIGA16 TIONS AND REVIEWS.— 

17 ‘‘(1) IN GENERAL.—In’’; 

18 (4) in paragraph (1), as designated by para19 graph (3), by amending subparagraph (B), as redes20 ignated by paragraph (2), to read as follows: 

21 ‘‘(B) the number of exporters or producers 

22 subject to the investigation or review is not so 

23 large that any additional individual examina24 tion of such exporters or producers would be un25 duly burdensome to the administering authority 
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1 and inhibit the timely completion of the inves2 tigation or review.’’; and 

3 (5) by adding at the end the following: 

4 ‘‘(2) DETERMINATION OF UNDULY BURDEN5 SOME.—In determining if an individual examination 

6 under paragraph (1)(B) would be unduly burden7 some, the administering authority may consider the 

8 following: 

9 ‘‘(A) The complexity of the issues or infor10 mation presented in the proceeding, including 

11 questionnaires and any responses thereto. 

12 ‘‘(B) Any prior experience of the admin13 istering authority in the same or similar pro14 ceeding. 

15 ‘‘(C) The total number of investigations 

16 under subtitle A or B and reviews under section 

17 751 being conducted by the administering au18 thority as of the date of the determination. 

19 ‘‘(D) Such other factors relating to the time20 ly completion of each such investigation and re21 view as the administering authority considers 

22 appropriate.’’. 

23 SEC. 507. APPLICATION TO CANADA AND MEXICO. 

24 Pursuant to article 1902 of the North American Free 

25 Trade Agreement and section 408 of the North American 
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1 Free Trade Agreement Implementation Act (19 U.S.C. 

2 3438), the amendments made by this title shall apply with 

3 respect to goods from Canada and Mexico. 

4 TITLE VI—ADDITIONAL 

5 ENFORCEMENT PROVISIONS 

6 SEC. 601. TRADE ENFORCEMENT PRIORITIES. 

7 (a) IN GENERAL.—Section 310 of the Trade Act of 

8 1974 (19 U.S.C. 2420) is amended to read as follows: 

9 ‘‘SEC. 310. TRADE ENFORCEMENT PRIORITIES. 

10 ‘‘(a) TRADE ENFORCEMENT PRIORITIES, CONSULTA11 TIONS, AND REPORT.— 

12 ‘‘(1) TRADE ENFORCEMENT PRIORITIES CON13 SULTATIONS.—Not later than May 31 of each cal14 endar year that begins after the date of the enactment 

15 of the Trade Facilitation and Trade Enforcement Act 

16 of 2015, the United States Trade Representative (in 

17 this section referred to as the ‘Trade Representative’) 

18 shall consult with the Committee on Finance of the 

19 Senate and the Committee on Ways and Means of the 

20 House of Representatives with respect to the 

21 prioritization of acts, policies, or practices of foreign 

22 governments that raise concerns with respect to obli23 gations under the WTO Agreements or any other 

24 trade agreement to which the United States is a 
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1 party, or otherwise create or maintain barriers to 

2 United States goods, services, or investment. 

3 ‘‘(2) IDENTIFICATION OF TRADE ENFORCEMENT

4 PRIORITIES.—In identifying acts, policies, or prac5 tices of foreign governments as trade enforcement pri6 orities under this subsection, the United States Trade 

7 Representative shall focus on those acts, policies, and 

8 practices the elimination of which is likely to have the 

9 most significant potential to increase United States 

10 economic growth, and take into account all relevant 

11 factors, including— 

12 ‘‘(A) the economic significance of any po13 tential inconsistency between an obligation as14 sumed by a foreign government pursuant to a 

15 trade agreement to which both the foreign gov16 ernment and the United States are parties and 

17 the acts, policies, or practices of that government; 

18 ‘‘(B) the impact of the acts, policies, or 

19 practices of a foreign government on maintain20 ing and creating United States jobs and produc21 tive capacity; 

22 ‘‘(C) the major barriers and trade distorting 

23 practices described in the most recent National 

24 Trade Estimate required under section 181(b); 
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1 ‘‘(D) the major barriers and trade dis2 torting practices described in other relevant re3 ports addressing international trade and invest4 ment barriers prepared by a Federal agency or 

5 congressional commission during the 12 months 

6 preceding the date of the most recent report 

7 under paragraph (3); 

8 ‘‘(E) a foreign government’s compliance 

9 with its obligations under any trade agreements 

10 to which both the foreign government and the 

11 United States are parties; 

12 ‘‘(F) the implications of a foreign govern13 ment’s procurement plans and policies; and 

14 ‘‘(G) the international competitive position 

15 and export potential of United States products 

16 and services. 

17 ‘‘(3) REPORT ON TRADE ENFORCEMENT PRIOR18 ITIES AND ACTIONS TAKEN TO ADDRESS.— 

19 ‘‘(A) IN GENERAL.—Not later than July 31 

20 of each calendar year that begins after the date 

21 of the enactment of the Trade Facilitation and 

22 Trade Enforcement Act of 2015, the Trade Rep23 resentative shall submit to the Committee on Fi24 nance of the Senate and the Committee on Ways 

25 and Means of the House of Representatives a re-
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1 port on acts, policies, or practices of foreign gov2 ernments identified as trade enforcement prior3 ities based on the consultations under paragraph 

4 (1) and the criteria set forth in paragraph (2). 

5 ‘‘(B) REPORT IN SUBSEQUENT YEARS.—The 

6 Trade Representative shall include, when report7 ing under subparagraph (A) in any calendar 

8 year after the calendar year that begins after the 

9 date of the enactment of the Trade Facilitation 

10 and Trade Enforcement Act of 2015, a descrip11 tion of actions taken to address any acts, poli12 cies, or practices of foreign governments identi13 fied as trade enforcement priorities under this 

14 subsection in the calendar year preceding that 

15 report and, as relevant, any year before that cal16 endar year. 

17 ‘‘(b) SEMI-ANNUAL ENFORCEMENT CONSULTATIONS.— 

18 ‘‘(1) IN GENERAL.—At the same time as the re19 porting under subsection (a)(3), and not later than 

20 January 31 of each following year, the Trade Rep21 resentative shall consult with the Committee on Fi22 nance of the Senate and the Committee on Ways and 

23 Means of the House of Representatives with respect to 

24 the identification, prioritization, investigation, and 

25 resolution of acts, policies, or practices of foreign gov-
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1 ernments of concern with respect to obligations under 

2 the WTO Agreements or any other trade agreement to 

3 which the United States is a party, or that otherwise 

4 create or maintain trade barriers. 

5 ‘‘(2) ACTS, POLICIES, OR PRACTICES OF CON6 CERN.—The semi-annual enforcement consultations 

7 required by paragraph (1) shall address acts, policies, 

8 or practices of foreign governments that raise con9 cerns with respect to obligations under the WTO 

10 Agreements or any other trade agreement to which the 

11 United States is a party, or otherwise create or main12 tain trade barriers, including— 

13 ‘‘(A) engagement with relevant trading 

14 partners; 

15 ‘‘(B) strategies for addressing such concerns; 

16 ‘‘(C) availability and deployment of re17 sources to be used in the investigation or resolu18 tion of such concerns; 

19 ‘‘(D) the merits of any potential dispute 

20 resolution proceeding under the WTO Agree21 ments or any other trade agreement to which the 

22 United States is a party relating to such con23 cerns; and 

24 ‘‘(E) any other aspects of such concerns. 
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1 ‘‘(3) ACTIVE INVESTIGATIONS.—The semi-annual 

2 enforcement consultations required by paragraph (1) 

3 shall address acts, policies, or practices that the Trade 

4 Representative is actively investigating with respect 

5 to obligations under the WTO Agreements or any 

6 other trade agreement to which the United States is 

7 a party, including— 

8 ‘‘(A) strategies for addressing concerns 

9 raised by such acts, policies, or practices; 

10 ‘‘(B) any relevant timeline with respect to 

11 investigation of such acts, policies, or practices; 

12 ‘‘(C) the merits of any potential dispute res13 olution proceeding under the WTO Agreements 

14 or any other trade agreement to which the 

15 United States is a party with respect to such 

16 acts, policies, or practices; 

17 ‘‘(D) barriers to the advancement of the in18 vestigation of such acts, policies, or practices; 

19 and 

20 ‘‘(E) any other matters relating to the in21 vestigation of such acts, policies, or practices. 

22 ‘‘(4) ONGOING ENFORCEMENT ACTIONS.—The 

23 semi-annual enforcement consultations required by 

24 paragraph (1) shall address all ongoing enforcement 

25 actions taken by or against the United States with re-
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1 spect to obligations under the WTO Agreements or 

2 any other trade agreement to which the United States 

3 is a party, including— 

4 ‘‘(A) any relevant timeline with respect to 

5 such actions; 

6 ‘‘(B) the merits of such actions; 

7 ‘‘(C) any prospective implementation ac8 tions; 

9 ‘‘(D) potential implications for any law or 

10 regulation of the United States; 

11 ‘‘(E) potential implications for United 

12 States stakeholders, domestic competitors, and 

13 exporters; and 

14 ‘‘(F) other issues relating to such actions. 

15 ‘‘(5) ENFORCEMENT RESOURCES.—The semi-an16 nual enforcement consultations required by paragraph 

17 (1) shall address the availability and deployment of 

18 enforcement resources, resource constraints on moni19 toring and enforcement activities, and strategies to 

20 address those constraints, including the use of avail21 able resources of other Federal agencies to enhance 

22 monitoring and enforcement capabilities. 

23 ‘‘(c) INVESTIGATION AND RESOLUTION.—In the case of 

24 any acts, policies, or practices of a foreign government iden25 tified as a trade enforcement priority under subsection (a), 
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1 the Trade Representative shall, not later than the date of 

2 the first semi-annual enforcement consultations held under 

3 subsection (b) after the identification of the priority, take 

4 appropriate action to address that priority, including— 

5 ‘‘(1) engagement with the foreign government to 

6 resolve concerns raised by such acts, policies, or prac7 tices; 

8 ‘‘(2) initiation of an investigation under section 

9 302(b)(1) with respect to such acts, policies, or prac10 tices; 

11 ‘‘(3) initiation of negotiations for a bilateral 

12 agreement that provides for resolution of concerns 

13 raised by such acts, policies, or practices; or 

14 ‘‘(4) initiation of dispute settlement proceedings 

15 under the WTO Agreements or any other trade agree16 ment to which the United States is a party with re17 spect to such acts, policies, or practices. 

18 ‘‘(d) ENFORCEMENT NOTIFICATIONS AND CONSULTA19 TION.— 

20 ‘‘(1) INITIATION OF ENFORCEMENT ACTION.—The 

21 Trade Representative shall notify and consult with 

22 the Committee on Finance of the Senate and the Com23 mittee on Ways and Means of the House of Represent24 atives in advance of initiation of any formal trade 

25 dispute by or against the United States taken in re-
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1 gard to an obligation under the WTO Agreements or 

2 any other trade agreement to which the United States 

3 is a party. With respect to a formal trade dispute 

4 against the United States, if advance notification and 

5 consultation are not possible, the Trade Representa6 tive shall notify and consult at the earliest practicable 

7 opportunity after initiation of the dispute. 

8 ‘‘(2) CIRCULATION OF REPORTS.—The Trade 

9 Representative shall notify and consult with the Com10 mittee on Finance of the Senate and the Committee 

11 on Ways and Means of the House of Representatives 

12 in advance of the announced or anticipated circula13 tion of any report of a dispute settlement panel or the 

14 Appellate Body of the World Trade Organization or 

15 of a dispute settlement panel under any other trade 

16 agreement to which the United States is a party with 

17 respect to a formal trade dispute by or against the 

18 United States. 

19 ‘‘(e) DEFINITIONS.—In this section: 

20 ‘‘(1) WTO.—The term ‘WTO’ means the World 

21 Trade Organization. 

22 ‘‘(2) WTO AGREEMENT.—The term ‘WTO Agree23 ment’ has the meaning given that term in section 2(9) 

24 of the Uruguay Round Agreements Act (19 U.S.C. 

25 3501(9)). 
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1 ‘‘(3) WTO AGREEMENTS.—The term ‘WTO 

2 Agreements’ means the WTO Agreement and agree3 ments annexed to that Agreement.’’. 

4 (b) CLERICAL AMENDMENT.—The table of contents for 

5 the Trade Act of 1974 is amended by striking the item relat6 ing to section 310 and inserting the following:’’. 

‘‘Sec. 310. Trade enforcement priorities.’’. 

7 SEC. 602. EXERCISE OF WTO AUTHORIZATION TO SUSPEND 

8 CONCESSIONS OR OTHER OBLIGATIONS 

9 UNDER TRADE AGREEMENTS. 

10 (a) IN GENERAL.—Section 306 of the Trade Act of 

11 1974 (19 U.S.C. 2416) is amended— 

12 (1) by redesignating subsection (c) as subsection 

13 (d); and 

14 (2) by inserting after subsection (b) the fol15 lowing: 

16 ‘‘(c) EXERCISE OF WTO AUTHORIZATION TO SUSPEND

17 CONCESSIONS OR OTHER OBLIGATIONS.—If— 

18 ‘‘(1) action has terminated pursuant to section 

19 307(c), 

20 ‘‘(2) the petitioner or any representative of the 

21 domestic industry that would benefit from reinstate22 ment of action has submitted to the Trade Represent23 ative a written request for reinstatement of action, 

24 and 
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1 ‘‘(3) the Trade Representatives has completed the 

2 requirements of subsection (d) and section 307(c)(3), 

3 the Trade Representative may at any time determine to 

4 take action under section 301(c) to exercise an authoriza5 tion to suspend concessions or other obligations under Arti6 cle 22 of the Understanding on Rules and Procedures Gov7 erning the Settlement of Disputes (referred to in section 

8 101(d)(16) of the Uruguay Round Agreements Act (19 

9 U.S.C. 3511(d)(16))).’’. 

10 (b) CONFORMING AMENDMENTS.—Chapter 1 of title 

11 III of the Trade Act of 1974 (19 U.S.C. 2411 et seq.) is 

12 amended— 

13 (1) in section 301(c)(1) (19 U.S.C. 2411(c)(1)), 

14 in the matter preceding subparagraph (A), by insert15 ing ‘‘or section 306(c)’’ after ‘‘subsection (a) or (b)’’; 

16 (2) in section 306(b) (19 U.S.C. 2416(b)), in the 

17 subsection heading, by striking ‘‘FURTHER ACTION’’ 

18 and inserting ‘‘ACTION ON THE BASIS OF MONI19 TORING’’; 

20 (3) in section 306(d) (19 U.S.C. 2416(d)), as re21 designated by subsection (a)(1), by inserting ‘‘or (c)’’ 

22 after ‘‘subsection (b)’’; and 

23 (4) in section 307(c)(3) (19 U.S.C. 2417(c)(3)), 

24 by inserting ‘‘or if a request is submitted to the Trade 
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1 Representative under section 306(c)(2) to reinstate ac2 tion,’’ after ‘‘under section 301,’’. 

3 SEC. 603. TRADE MONITORING. 

4 (a) IN GENERAL.—Chapter 1 of title II of the Trade 

5 Act of 1974 (19 U.S.C. 2251 et seq.) is amended by adding 

6 at the end the following: 

7 ‘‘SEC. 205. TRADE MONITORING. 

8 ‘‘(a) MONITORING TOOL FOR IMPORTS.— 

9 ‘‘(1) IN GENERAL.—Not later than 180 days 

10 after the date of the enactment of the Trade Facilita11 tion and Trade Enforcement Act of 2015, the United 

12 States International Trade Commission shall make 

13 available on a website of the Commission an import 

14 monitoring tool to allow the public access to data on 

15 the volume and value of goods imported to the United 

16 States for the purpose of assessing whether such data 

17 has changed with respect to such goods over a period 

18 of time. 

19 ‘‘(2) DATA DESCRIBED.—For purposes of the 

20 monitoring tool under paragraph (1), the Commission 

21 shall use data compiled by the Department of Com22 merce and such other government data as the Com23 mission considers appropriate. 

24 ‘‘(3) PERIODS OF TIME.—The Commission shall 

25 ensure that data accessed through the monitoring tool 
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1 under paragraph (1) includes data for the most recent 

2 quarter for which such data are available and pre3 vious quarters as the Commission considers prac4 ticable. 

5 ‘‘(b) MONITORING REPORTS.— 

6 ‘‘(1) IN GENERAL.—Not later than 270 days 

7 after the date of the enactment of this section, and not 

8 less frequently than quarterly thereafter, the Secretary 

9 of Commerce shall publish on a website of the Depart10 ment of Commerce, and notify the Committee on Fi11 nance of the Senate and the Committee on Ways and 

12 Means of the House of Representatives of the avail13 ability of, a monitoring report on changes in the vol14 ume and value of trade with respect to imports and 

15 exports of goods categorized based on the 6-digit sub16 heading number of the goods under the Harmonized 

17 Tariff Schedule of the United States during the most 

18 recent quarter for which such data are available and 

19 previous quarters as the Secretary considers prac20 ticable. 

21 ‘‘(2) REQUESTS FOR COMMENT.—Not later than 

22 one year after the date of the enactment of this sec23 tion, the Secretary of Commerce shall solicit through 

24 the Federal Register public comment on the moni25 toring reports described in paragraph (1). 
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1 ‘‘(c) SUNSET.—The requirements under this section 

2 terminate on the date that is seven years after the date of 

3 the enactment of this section.’’. 

4 (b) CLERICAL AMENDMENT.—The table of contents for 

5 the Trade Act of 1974 (19 U.S.C. 2101 et seq.) is amended 

6 by inserting after the item relating to section 204 the fol7 lowing: 

‘‘Sec. 205. Trade monitoring.’’. 

8 TITLE VII—CURRENCY 

9 MANIPULATION 

10 SEC. 701. ENHANCEMENT OF ENGAGEMENT ON CURRENCY 

11 EXCHANGE RATE AND ECONOMIC POLICIES 

12 WITH CERTAIN MAJOR TRADING PARTNERS 

13 OF THE UNITED STATES. 

14 (a) MAJOR TRADING PARTNER REPORT.— 

15 (1) IN GENERAL.—Not later than 180 days after 

16 the date of the enactment of this Act, and not less fre17 quently than once every 180 days thereafter, the Sec18 retary shall submit to the appropriate committees of 

19 Congress a report on the macroeconomic and currency 

20 exchange rate policies of each country that is a major 

21 trading partner of the United States. 

22 (2) ELEMENTS.— 

23 (A) IN GENERAL.—Each report submitted 

24 under paragraph (1) shall contain— 
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1 (i) for each country that is a major 

2 trading partner of the United States— 

3 (I) that country’s bilateral trade 

4 balance with the United States; 

5 (II) that country’s current ac6 count balance as a percentage of its 

7 gross domestic product; 

8 (III) the change in that country’s 

9 current account balance as a percent10 age of its gross domestic product dur11 ing the 3-year period preceding the 

12 submission of the report; 

13 (IV) that country’s foreign ex14 change reserves as a percentage of its 

15 short-term debt; and 

16 (V) that country’s foreign ex17 change reserves as a percentage of its 

18 gross domestic product; and 

19 (ii) an enhanced analysis of macro20 economic and exchange rate policies for 

21 each country that is a major trading part22 ner of the United States that has— 

23 (I) a significant bilateral trade 

24 surplus with the United States; 
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1 (II) a material current account 

2 surplus; and 

3 (III) engaged in persistent one4 sided intervention in the foreign ex5 change market. 

6 (B) ENHANCED ANALYSIS.—Each enhanced 

7 analysis under subparagraph (A)(ii) shall in8 clude, for each country with respect to which an 

9 analysis is made under that subparagraph— 

10 (i) a description of developments in the 

11 currency markets of that country, including, 

12 to the greatest extent feasible, developments 

13 with respect to currency interventions; 

14 (ii) a description of trends in the real 

15 effective exchange rate of the currency of 

16 that country and in the degree of under17 valuation of that currency; 

18 (iii) an analysis of changes in the cap19 ital controls and trade restrictions of that 

20 country; 

21 (iv) patterns in the reserve accumula22 tion of that country; and 

23 (v) an analysis of the macroeconomic 

24 policy mix of that country and its pattern 

25 of savings-investment imbalances. 
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1 (3) GUIDANCE.—The Secretary shall publicly 

2 issue guidance not later than 90 days after the date 

3 of enactment of the Act that describes the factors used 

4 to assess under paragraph (2)(A)(ii) whether a coun5 try has a significant bilateral trade surplus with the 

6 United States, has a material current account sur7 plus, and has engaged in persistent one-sided inter8 vention in the foreign exchange market. 

9 (b) ENGAGEMENT ON EXCHANGE RATE AND ECONOMIC

10 POLICIES.— 

11 (1) IN GENERAL.—The President, through the 

12 Secretary, shall commence enhanced bilateral engage13 ment with each country for which an enhanced anal14 ysis of macroeconomic and currency exchange rate 

15 policies is included in the report submitted under sub16 section (a), in order to, as appropriate— 

17 (A) urge implementation of policies to ad18 dress the causes of the undervaluation of its cur19 rency, its bilateral trade surplus with the United 

20 States, and its material current account surplus, 

21 including undervaluation and surpluses relating 

22 to exchange rate management; 

23 (B) express the concern of the United States 

24 with respect to the adverse trade and economic 
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1 effects of that undervaluation and those sur2 pluses; and/or 

3 (C) advise that country of the ability of the 

4 President to take action under subsection (c). 

5 (2) WAIVER.— 

6 (A) IN GENERAL.—The Secretary may 

7 waive the requirement under subsection (b)(1) to 

8 commence enhanced bilateral engagement with a 

9 country if the Secretary determines that com10 mencing enhanced bilateral engagement with the 

11 country— 

12 (i) would have an adverse impact on 

13 the United States economy greater than the 

14 benefits of such action; or 

15 (ii) would cause serious harm to the 

16 national security of the United States. 

17 (B) CERTIFICATION.—The Secretary shall 

18 promptly certify to Congress a determination 

19 under subparagraph (A). 

20 (c) REMEDIAL ACTION.— 

21 (1) IN GENERAL.—If, on or after the date that 

22 is one year after the commencement of enhanced bilat23 eral engagement by the President, through the Sec24 retary, with respect to a country under subsection 

25 (b)(1), the Secretary determines that the country has 
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1 failed to adopt appropriate policies to correct the 

2 undervaluation and surpluses described in subsection 

3 (b)(1)(A) with respect to that country, the President 

4 shall take one or more of the following actions: 

5 (A) Prohibit the Overseas Private Invest6 ment Corporation from approving any new fi7 nancing (including any insurance, reinsurance, 

8 or guarantee) with respect to a project located in 

9 that country on and after such date. 

10 (B) Except as provided in paragraph (2), 

11 and pursuant to paragraph (3), prohibit the 

12 Federal Government from procuring, or entering 

13 into any contract for the procurement of, goods 

14 or services from that country on and after such 

15 date. 

16 (C) Instruct the United States Executive 

17 Director of the International Monetary Fund to 

18 call for additional rigorous surveillance of the 

19 macroeconomic and exchange rate policies of that 

20 country and, as appropriate, formal consulta21 tions on findings of currency manipulation. 

22 (D) Instruct the United States Trade Rep23 resentative to take into account, in consultation 

24 with the Secretary, in assessing whether to enter 

25 into a bilateral or regional trade agreement with 
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1 that country or to initiate or participate in ne2 gotiations with respect to a bilateral or regional 

3 trade agreement with that country, the extent to 

4 which that country has failed to adopt appro5 priate policies to correct the undervaluation and 

6 surpluses described in subsection (b)(1)(A). 

7 (2) WAIVER.— 

8 (A) IN GENERAL.—The President may 

9 waive the requirement under paragraph (1) to 

10 take remedial action if the President determines 

11 that taking remedial action under paragraph (1) 

12 would— 

13 (i) have an adverse impact on the 

14 United States economy greater than the 

15 benefits of taking remedial action; or 

16 (ii) would cause serious harm to the 

17 national security of the United States. 

18 (B) CERTIFICATION.—The President shall 

19 promptly certify to Congress a determination 

20 under subparagraph (A). 

21 (3) EXCEPTION.—The President may not apply 

22 a prohibition under paragraph (1)(B) in a manner 

23 that is inconsistent with United States obligations 

24 under international agreements. 

25 (4) CONSULTATIONS.— 
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1 (A) OFFICE OF MANAGEMENT AND BUDG2 ET.—Before applying a prohibition under para3 graph (1)(B), the President shall consult with 

4 the Director of the Office of Management and 

5 Budget to determine whether such prohibition 

6 would subject the taxpayers of the United States 

7 to unreasonable cost. 

8 (B) CONGRESS.—The President shall con9 sult with the appropriate committees of Congress 

10 with respect to any action the President takes 

11 under paragraph (1)(B), including whether the 

12 President has consulted as required under sub13 paragraph (A). 

14 (d) DEFINITIONS.—In this section: 

15 (1) APPROPRIATE COMMITTEES OF CONGRESS.— 

16 The term ‘‘appropriate committees of Congress’’ 

17 means— 

18 (A) the Committee on Banking, Housing, 

19 and Urban Affairs and the Committee on Fi20 nance of the Senate; and 

21 (B) the Committee on Financial Services 

22 and the Committee on Ways and Means of the 

23 House of Representatives. 

24 (2) COUNTRY.—The term ‘‘country’’ means a for25 eign country, dependent territory, or possession of a 
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1 foreign country, and may include an association of 2 

2 or more foreign countries, dependent territories, or 

3 possessions of countries into a customs union outside 

4 the United States. 

5 (3) REAL EFFECTIVE EXCHANGE RATE.—The 

6 term ‘‘real effective exchange rate’’ means a weighted 

7 average of bilateral exchange rates, expressed in price8 adjusted terms. 

9 (4) SECRETARY.—The term ‘‘Secretary’’ means 

10 the Secretary of the Treasury. 

11 SEC. 702. ADVISORY COMMITTEE ON INTERNATIONAL EX12 CHANGE RATE POLICY. 

13 (a) ESTABLISHMENT.— 

14 (1) IN GENERAL.—There is established an Advi15 sory Committee on International Exchange Rate Pol16 icy (in this section referred to as the ‘‘Committee’’). 

17 (2) DUTIES.—The Committee shall be responsible 

18 for advising the Secretary of the Treasury with re19 spect to the impact of international exchange rates 

20 and financial policies on the economy of the United 

21 States. 

22 (b) MEMBERSHIP.— 

23 (1) IN GENERAL.—The Committee shall be com24 posed of 9 members as follows, none of whom shall be 

25 employees of the Federal Government: 
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1 (A) Three members shall be appointed by 

2 the President pro tempore of the Senate, upon 

3 the recommendation of the chairmen and rank4 ing members of the Committee on Banking, 

5 Housing, and Urban Affairs and the Committee 

6 on Finance of the Senate. 

7 (B) Three members shall be appointed by 

8 the Speaker of the House of Representatives upon 

9 the recommendation of the chairmen and rank10 ing members of the Committee on Financial 

11 Services and the Committee on Ways and Means 

12 of the House of Representatives. 

13 (C) Three members shall be appointed by 

14 the President. 

15 (2) QUALIFICATIONS.—Members shall be selected 

16 under paragraph (1) on the basis of their objectivity 

17 and demonstrated expertise in finance, economics, or 

18 currency exchange. 

19 (3) TERMS.— 

20 (A) IN GENERAL.—Members shall be ap21 pointed for a term of 2 years or until the Com22 mittee terminates. 

23 (B) REAPPOINTMENT.—A member may be 

24 reappointed to the Committee for additional 

25 terms. 
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1 (4) VACANCIES.—Any vacancy in the Committee 

2 shall not affect its powers, but shall be filled in the 

3 same manner as the original appointment. 

4 (c) DURATION OF COMMITTEE.— 

5 (1) IN GENERAL.—The Committee shall termi6 nate on the date that is 2 years after the date of the 

7 enactment of this Act unless renewed by the President 

8 for a subsequent 2-year period. 

9 (2) CONTINUED RENEWAL.—The President may 

10 continue to renew the Committee for successive 2-year 

11 periods by taking appropriate action to renew the 

12 Committee prior to the date on which the Committee 

13 would otherwise terminate. 

14 (d) MEETINGS.—The Committee shall hold not less 

15 than 2 meetings each calendar year. 

16 (e) CHAIRPERSON.— 

17 (1) IN GENERAL.—The Committee shall elect 

18 from among its members a chairperson for a term of 

19 2 years or until the Committee terminates. 

20 (2) REELECTION; SUBSEQUENT TERMS.—A 

21 chairperson of the Committee may be reelected chair22 person but is ineligible to serve consecutive terms as 

23 chairperson. 

24 (f) STAFF.—The Secretary of the Treasury shall make 

25 available to the Committee such staff, information, per-
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1 sonnel, administrative services, and assistance as the Com2 mittee may reasonably require to carry out the activities 

3 of the Committee. 

4 (g) APPLICATION OF THE FEDERAL ADVISORY COM5 MITTEE ACT.— 

6 (1) IN GENERAL.—Except as provided in para7 graph (2), the provisions of the Federal Advisory 

8 Committee Act (5 U.S.C. App.) shall apply to the 

9 Committee. 

10 (2) EXCEPTION.—Meetings of the Committee 

11 shall be exempt from the requirements of subsections 

12 (a) and (b) of section 10 and section 11 of the Federal 

13 Advisory Committee Act (relating to open meetings, 

14 public notice, public participation, and public avail15 ability of documents), whenever and to the extent it 

16 is determined by the President or the Secretary of the 

17 Treasury that such meetings will be concerned with 

18 matters the disclosure of which— 

19 (A) would seriously compromise the develop20 ment by the Government of the United States of 

21 monetary or financial policy; or 

22 (B) is likely to— 

23 (i) lead to significant financial specu24 lation in currencies, securities, or commod25 ities; or 
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1 (ii) significantly endanger the stability 

2 of any financial institution. 

3 (h) AUTHORIZATION OF APPROPRIATIONS.—There are 

4 authorized to be appropriated to the Secretary of the Treas5 ury for each fiscal year in which the Committee is in effect 

6 $1,000,000 to carry out this section. 

7 TITLE VIII—ESTABLISHMENT OF 

8 U.S. CUSTOMS AND BORDER 

9 PROTECTION 

10 SEC. 801. SHORT TITLE. 

11 This title may be cited as the ‘‘U.S. Customs and Bor12 der Protection Authorization Act’’. 

13 SEC. 802. ESTABLISHMENT OF U.S. CUSTOMS AND BORDER 

14 PROTECTION. 

15 (a) IN GENERAL.—Section 411 of the Homeland Secu16 rity Act of 2002 (6 U.S.C. 211) is amended to read as fol17 lows: 

18 ‘‘SEC. 411. ESTABLISHMENT OF U.S. CUSTOMS AND BORDER 

19 PROTECTION; COMMISSIONER, DEPUTY COM20 MISSIONER, AND OPERATIONAL OFFICES. 

21 ‘‘(a) IN GENERAL.—There is established in the Depart22 ment an agency to be known as U.S. Customs and Border 

23 Protection. 

24 ‘‘(b) COMMISSIONER OF U.S. CUSTOMS AND BORDER

25 PROTECTION.—There shall be at the head of U.S. Customs 
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1 and Border Protection a Commissioner of U.S. Customs 

2 and Border Protection (in this section referred to as the 

3 ‘Commissioner’), who shall be appointed by the President, 

4 by and with the advice and consent of the Senate. 

5 ‘‘(c) DUTIES.—The Commissioner shall— 

6 ‘‘(1) ensure the interdiction of persons and goods 

7 illegally entering or exiting the United States; 

8 ‘‘(2) facilitate and expedite the flow of legitimate 

9 travelers and trade; 

10 ‘‘(3) detect, respond to, and interdict terrorists, 

11 drug smugglers and traffickers, human smugglers and 

12 traffickers, and other persons who may undermine the 

13 security of the United States, in cases in which such 

14 persons are entering, or have recently entered, the 

15 United States; 

16 ‘‘(4) safeguard the borders of the United States 

17 to protect against the entry of dangerous goods; 

18 ‘‘(5) oversee the functions of the Office of Trade 

19 established under section 802(h) of the Trade Facilita20 tion and Trade Enforcement Act of 2015; 

21 ‘‘(6) enforce and administer all customs laws of 

22 the United States, including the Tariff Act of 1930; 

23 ‘‘(7) enforce and administer all immigration 

24 laws, as such term is defined in paragraph (17) of 

25 section 101(a) of the Immigration and Nationality 
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1 Act (8 U.S.C. 1101(a)), as necessary for the inspec2 tion, processing, and admission of persons who seek to 

3 enter or depart the United States, and as necessary 

4 to ensure the detection, interdiction, removal, depar5 ture from the United States, short-term detention, and 

6 transfer of persons unlawfully entering, or who have 

7 recently unlawfully entered, the United States, in co8 ordination with U.S. Immigration and Customs En9 forcement and United States Citizenship and Immi10 gration Services; 

11 ‘‘(8) develop and implement screening and tar12 geting capabilities, including the screening, reviewing, 

13 identifying, and prioritizing of passengers and cargo 

14 across all international modes of transportation, both 

15 inbound and outbound; 

16 ‘‘(9) in coordination with the Secretary, deploy 

17 technology to collect the data necessary for the Sec18 retary to administer the biometric entry and exit 

19 data system pursuant to section 7208 of the Intel20 ligence Reform and Terrorism Prevention Act of 2004 

21 (8 U.S.C. 1365b); 

22 ‘‘(10) enforce and administer the laws relating to 

23 agricultural import and entry inspection referred to 

24 in section 421; 
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1 ‘‘(11) in coordination with the Under Secretary 

2 for Management of the Department, ensure U.S. Cus3 toms and Border Protection complies with Federal 

4 law, the Federal Acquisition Regulation, and the De5 partment’s acquisition management directives for 

6 major acquisition programs of U.S. Customs and 

7 Border Protection; 

8 ‘‘(12) enforce and administer— 

9 ‘‘(A) the Container Security Initiative pro10 gram under section 205 of the Security and Ac11 countability for Every Port Act of 2006 (6 

12 U.S.C. 945; Public Law 109–347); and 

13 ‘‘(B) the Customs-Trade Partnership 

14 Against Terrorism program under sections 211 

15 through 223 of such Act (6 U.S.C. 961-973); 

16 ‘‘(13) conduct polygraph examinations in ac17 cordance with section 3(1) of the Anti-Border Corrup18 tion Act of 2010 (Public Law 111–376); 

19 ‘‘(14) establish the standard operating procedures 

20 described in subsection (k); 

21 ‘‘(15) carry out the training required under sub22 section (l); and 

23 ‘‘(16) carry out other duties and powers pre24 scribed by law or delegated by the Secretary. 
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1 ‘‘(d) DEPUTY COMMISSIONER.—There shall be in U.S. 

2 Customs and Border Protection a Deputy Commissioner 

3 who shall assist the Commissioner in the management of 

4 U.S. Customs and Border Protection. 

5 ‘‘(e) U.S. BORDER PATROL.— 

6 ‘‘(1) IN GENERAL.—There is established in U.S. 

7 Customs and Border Protection the U.S. Border Pa8 trol. 

9 ‘‘(2) CHIEF.—There shall be at the head of the 

10 U.S. Border Patrol a Chief, who shall report to the 

11 Commissioner. 

12 ‘‘(3) DUTIES.—The U.S. Border Patrol shall— 

13 ‘‘(A) serve as the law enforcement office of 

14 U.S. Customs and Border Protection with pri15 mary responsibility for interdicting persons at16 tempting to illegally enter or exit the United 

17 States or goods being illegally imported into or 

18 exported from the United States at a place other 

19 than a designated port of entry; 

20 ‘‘(B) deter and prevent illegal entry of ter21 rorists, terrorist weapons, persons, and contra22 band; and 

23 ‘‘(C) carry out other duties and powers pre24 scribed by the Commissioner. 

25 ‘‘(f) OFFICE OF AIR AND MARINE OPERATIONS.— 
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1 ‘‘(1) IN GENERAL.—There is established in U.S. 

2 Customs and Border Protection an Office of Air and 

3 Marine Operations. 

4 ‘‘(2) ASSISTANT COMMISSIONER.—There shall be 

5 at the head of the Office of Air and Marine Oper6 ations an Assistant Commissioner, who shall report to 

7 the Commissioner. 

8 ‘‘(3) DUTIES.—The Office of Air and Marine 

9 Operations shall— 

10 ‘‘(A) serve as the law enforcement office 

11 within U.S. Customs and Border Protection with 

12 primary responsibility to detect, interdict, and 

13 prevent acts of terrorism and the unlawful move14 ment of people, illicit drugs, and other contra15 band across the borders of the United States in 

16 the air and maritime environment; 

17 ‘‘(B) conduct joint aviation and marine op18 erations with U.S. Immigration and Customs 

19 Enforcement; 

20 ‘‘(C) conduct aviation and marine oper21 ations with international, Federal, State, and 

22 local law enforcement agencies, as appropriate; 

23 ‘‘(D) administer the Air and Marine Oper24 ations Center established under paragraph (4); 

25 and 
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1 ‘‘(E) carry out other duties and powers pre2 scribed by the Commissioner. 

3 ‘‘(4) AIR AND MARINE OPERATIONS CENTER.— 

4 ‘‘(A) IN GENERAL.—There is established in 

5 the Office of Air and Marine Operations an Air 

6 and Marine Operations Center. 

7 ‘‘(B) EXECUTIVE DIRECTOR.—There shall be 

8 at the head of the Air and Marine Operations 

9 Center an Executive Director, who shall report to 

10 the Assistant Commissioner of the Office of Air 

11 and Marine Operations. 

12 ‘‘(C) DUTIES.—The Air and Marine Oper13 ations Center shall— 

14 ‘‘(i) manage the air and maritime do15 main awareness of the Department; 

16 ‘‘(ii) monitor and coordinate the air17 space for Unmanned Aerial Systems oper18 ations of the Office of Air and Marine Op19 erations in U.S. Customs and Border Pro20 tection; 

21 ‘‘(iii) detect, identify, and coordinate a 

22 response to threats to national security in 

23 the air domain; 
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1 ‘‘(iv) provide aviation and marine 

2 support to other Federal, State, tribal, and 

3 local agencies; and 

4 ‘‘(v) carry out other duties and powers 

5 prescribed by the Assistant Commissioner. 

6 ‘‘(g) OFFICE OF FIELD OPERATIONS.— 

7 ‘‘(1) IN GENERAL.—There is established in U.S. 

8 Customs and Border Protection an Office of Field Op9 erations. 

10 ‘‘(2) ASSISTANT COMMISSIONER.—There shall be 

11 at the head of the Office of Field Operations an As12 sistant Commissioner, who shall report to the Com13 missioner. 

14 ‘‘(3) DUTIES.—The Office of Field Operations 

15 shall coordinate the enforcement activities of U.S. 

16 Customs and Border Protection at United States air, 

17 land, and sea ports of entry to— 

18 ‘‘(A) deter and prevent terrorists and ter19 rorist weapons from entering the United States 

20 at such ports of entry; 

21 ‘‘(B) conduct inspections at such ports of 

22 entry to safeguard the United States from ter23 rorism and illegal entry of persons; 
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1 ‘‘(C) prevent illicit drugs, agricultural 

2 pests, and contraband from entering the United 

3 States; 

4 ‘‘(D) in coordination with the Commis5 sioner, facilitate and expedite the flow of legiti6 mate travelers and trade; 

7 ‘‘(E) administer the National Targeting 

8 Center established under paragraph (4); and 

9 ‘‘(F) carry out other duties and powers pre10 scribed by the Commissioner. 

11 ‘‘(4) NATIONAL TARGETING CENTER.— 

12 ‘‘(A) IN GENERAL.—There is established in 

13 the Office of Field Operations a National Tar14 geting Center. 

15 ‘‘(B) EXECUTIVE DIRECTOR.—There shall be 

16 at the head of the National Targeting Center an 

17 Executive Director, who shall report to the As18 sistant Commissioner of the Office of Field Oper19 ations. 

20 ‘‘(C) DUTIES.—The National Targeting 

21 Center shall— 

22 ‘‘(i) serve as the primary forum for 

23 targeting operations within U.S. Customs 

24 and Border Protection to collect and ana-
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1 lyze traveler and cargo information in ad2 vance of arrival in the United States; 

3 ‘‘(ii) identify, review, and target trav4 elers and cargo for examination; 

5 ‘‘(iii) coordinate the examination of 

6 entry and exit of travelers and cargo; 

7 ‘‘(iv) develop and conduct commercial 

8 risk assessment targeting with respect to 

9 cargo destined for the United States; 

10 ‘‘(v) issue Trade Alerts pursuant to 

11 section 111 of the Trade Facilitation and 

12 Trade Enforcement Act of 2015; and 

13 ‘‘(vi) carry out other duties and powers 

14 prescribed by the Assistant Commissioner. 

15 ‘‘(5) ANNUAL REPORT ON STAFFING.—Not later 

16 than 30 days after the date of the enactment of the 

17 Trade Facilitation and Trade Enforcement Act of 

18 2015 and annually thereafter, the Assistant Commis19 sioner shall submit to the appropriate congressional 

20 committees a report on the staffing model for the Of21 fice of Field Operations, including information on 

22 how many supervisors, front-line U.S. Customs and 

23 Border Protection officers, and support personnel are 

24 assigned to each Field Office and port of entry. 

25 ‘‘(h) OFFICE OF INTELLIGENCE.— 
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1 ‘‘(1) IN GENERAL.—There is established in U.S. 

2 Customs and Border Protection an Office of Intel3 ligence. 

4 ‘‘(2) ASSISTANT COMMISSIONER.—There shall be 

5 at the head of the Office of Intelligence an Assistant 

6 Commissioner, who shall report to the Commissioner. 

7 ‘‘(3) DUTIES.—The Office of Intelligence shall— 

8 ‘‘(A) develop, provide, coordinate, and im9 plement intelligence capabilities into a cohesive 

10 intelligence enterprise to support the execution of 

11 the duties and responsibilities of U.S. Customs 

12 and Border Protection; 

13 ‘‘(B) collect and analyze advance traveler 

14 and cargo information; 

15 ‘‘(C) establish, in coordination with the 

16 Chief Intelligence Officer of the Department, as 

17 appropriate, intelligence-sharing relationships 

18 with Federal, State, local, and tribal agencies 

19 and intelligence agencies; 

20 ‘‘(D) conduct risk-based covert testing of 

21 U.S. Customs and Border Protection operations, 

22 including for nuclear and radiological risks; and 

23 ‘‘(E) carry out other duties and powers pre24 scribed by the Commissioner. 

25 ‘‘(i) OFFICE OF INTERNATIONAL AFFAIRS.— 
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1 ‘‘(1) IN GENERAL.—There is established in U.S. 

2 Customs and Border Protection an Office of Inter3 national Affairs. 

4 ‘‘(2) ASSISTANT COMMISSIONER.—There shall be 

5 at the head of the Office of International Affairs an 

6 Assistant Commissioner, who shall report to the Com7 missioner. 

8 ‘‘(3) DUTIES.—The Office of International Af9 fairs, in collaboration with the Office of Policy of the 

10 Department, shall— 

11 ‘‘(A) coordinate and support U.S. Customs 

12 and Border Protection’s foreign initiatives, poli13 cies, programs, and activities; 

14 ‘‘(B) coordinate and support U.S. Customs 

15 and Border Protection’s personnel stationed 

16 abroad; 

17 ‘‘(C) maintain partnerships and informa18 tion sharing agreements and arrangements with 

19 foreign governments, international organizations, 

20 and United States agencies in support of U.S. 

21 Customs and Border Protection duties and re22 sponsibilities; 

23 ‘‘(D) provide necessary capacity building, 

24 training, and assistance to foreign border control 
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1 agencies to strengthen global supply chain and 

2 travel security, as appropriate; 

3 ‘‘(E) coordinate mission support services to 

4 sustain U.S. Customs and Border Protection’s 

5 global activities; 

6 ‘‘(F) coordinate U.S. Customs and Border 

7 Protection’s engagement in international nego8 tiations; and 

9 ‘‘(G) carry out other duties and powers pre10 scribed by the Commissioner. 

11 ‘‘(j) OFFICE OF INTERNAL AFFAIRS.— 

12 ‘‘(1) IN GENERAL.—There is established in U.S. 

13 Customs and Border Protection an Office of Internal 

14 Affairs. 

15 ‘‘(2) ASSISTANT COMMISSIONER.—There shall be 

16 at the head of the Office of Internal Affairs an Assist17 ant Commissioner, who shall report to the Commis18 sioner. 

19 ‘‘(3) DUTIES.—The Office of Internal Affairs 

20 shall— 

21 ‘‘(A) investigate criminal and administra22 tive matters and misconduct by officers, agents, 

23 and other employees of U.S. Customs and Border 

24 Protection; 
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1 ‘‘(B) perform investigations of applicants 

2 for employment with U.S. Customs and Border 

3 Protection and periodic reinvestigations (in ac4 cordance with section 3001 of the Intelligence 

5 Reform and Terrorism Prevention Act of 2004 

6 (50 U.S.C. 3341; Public Law 108–458)) of offi7 cers, agents, and other employees of United 

8 States Custom and Border Protection, including 

9 investigations to determine suitability for em10 ployment and eligibility for access to classified 

11 information; 

12 ‘‘(C) manage integrity of U.S. Customs and 

13 Border Protection’s counter-intelligence oper14 ations, including conduct of counter-intelligence 

15 investigations; 

16 ‘‘(D) conduct research and analysis regard17 ing misconduct of officers, agents, and other em18 ployees of U.S. Customs and Border Protection; 

19 and 

20 ‘‘(E) carry out other duties and powers pre21 scribed by the Commissioner. 

22 ‘‘(k) STANDARD OPERATING PROCEDURES.— 

23 ‘‘(1) IN GENERAL.—The Commissioner shall es24 tablish— 
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1 ‘‘(A) standard operating procedures for 

2 searching, reviewing, retaining, and sharing in3 formation contained in communication, elec4 tronic, or digital devices encountered by U.S. 

5 Customs and Border Protection personnel at 

6 United States ports of entry; 

7 ‘‘(B) standard use of force procedures that 

8 officers and agents of U.S. Customs and Border 

9 Protection may employ in the execution of their 

10 duties, including the use of deadly force; 

11 ‘‘(C) a uniform, standardized, and pub12 lically-available procedure for processing and in13 vestigating complaints against officers, agents, 

14 and employees of U.S. Customs and Border Pro15 tection for violations of professional conduct, in16 cluding the timely disposition of complaints and 

17 a written notification to the complainant of the 

18 status or outcome, as appropriate, of the related 

19 investigation, in accordance with section 552a of 

20 title 5, United States Code (commonly referred to 

21 as the ‘Privacy Act’ or the ‘Privacy Act of 

22 1974’); 

23 ‘‘(D) an internal, uniform reporting mecha24 nism regarding incidents involving the use of 

25 deadly force by an officer or agent of U.S. Cus-
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•HR 644 EAH 

1 toms and Border Protection, including an eval2 uation of the degree to which the procedures re3 quired under subparagraph (B) were followed; 

4 and 

5 ‘‘(E) standard operating procedures, acting 

6 through the Assistant Commissioner for Air and 

7 Marine Operations and in coordination with the 

8 Office for Civil Rights and Civil Liberties and 

9 the Office of Privacy of the Department, to pro10 vide command, control, communication, surveil11 lance, and reconnaissance assistance through the 

12 use of unmanned aerial systems, including the 

13 establishment of— 

14 ‘‘(i) a process for other Federal, State, 

15 and local law enforcement agencies to sub16 mit mission requests; 

17 ‘‘(ii) a formal procedure to determine 

18 whether to approve or deny such a mission 

19 request; 

20 ‘‘(iii) a formal procedure to determine 

21 how such mission requests are prioritized 

22 and coordinated; and 

23 ‘‘(iv) a process regarding the protection 

24 and privacy of data and images collected by 

25 U.S. Customs and Border Protection 
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1 through the use of unmanned aerial sys2 tems. 

3 ‘‘(2) REQUIREMENTS REGARDING CERTAIN NOTI4 FICATIONS.—The standard operating procedures es5 tablished pursuant to subparagraph (A) of paragraph 

6 (1) shall require— 

7 ‘‘(A) in the case of a search of information 

8 conducted on an electronic device by U.S. Cus9 toms and Border Protection personnel, the Com10 missioner to notify the individual subject to such 

11 search of the purpose and authority for such 

12 search, and how such individual may obtain in13 formation on reporting concerns about such 

14 search; and 

15 ‘‘(B) in the case of information collected by 

16 U.S. Customs and Border Protection through a 

17 search of an electronic device, if such informa18 tion is transmitted to another Federal agency for 

19 subject matter assistance, translation, or 

20 decryption, the Commissioner to notify the indi21 vidual subject to such search of such trans22 mission. 

23 ‘‘(3) EXCEPTIONS.— 

24 ‘‘(A) IN GENERAL.—The Commissioner may 

25 withhold the notifications required under para-
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1 graphs (1)(C) and (2) if the Commissioner deter2 mines that such notifications would impair na3 tional security, law enforcement, or other oper4 ational interests. 

5 ‘‘(B) TERRORIST WATCH LISTS.— 

6 ‘‘(i) SEARCHES.—If the individual 

7 subject to search of an electronic device pur8 suant to subparagraph (A) of paragraph (1) 

9 is included on a Government-operated or 

10 Government-maintained terrorist watch list, 

11 the notifications required under paragraph 

12 (2) shall not apply. 

13 ‘‘(ii) COMPLAINTS.—If the complain14 ant using the process established under sub15 paragraph (C) of paragraph (1) is included 

16 on a Government-operated or Government17 maintained terrorist watch list, the notifi18 cation required under such subparagraph 

19 shall not apply. 

20 ‘‘(4) UPDATE AND REVIEW.—The Commissioner 

21 shall review and update every three years the stand22 ard operating procedures required under this sub23 section. 

24 ‘‘(5) AUDITS.—The Inspector General of the De25 partment of Homeland Security shall develop and an-
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•HR 644 EAH 

1 nually administer an auditing mechanism to review 

2 whether searches of electronic devices at or between 

3 United States ports of entry are being conducted in 

4 conformity with the standard operating procedures 

5 required under subparagraph (A) of paragraph (1). 

6 Such audits shall be submitted to the appropriate 

7 congressional committees and shall include the fol8 lowing: 

9 ‘‘(A) A description of the activities of offi10 cers and agents of U.S. Customs and Border 

11 Protection with respect to such searches. 

12 ‘‘(B) The number of such searches. 

13 ‘‘(C) The number of instances in which in14 formation contained in such devices that were 

15 subjected to such searches was retained, copied, 

16 shared, or entered in an electronic database. 

17 ‘‘(D) The number of such devices detained 

18 as the result of such searches. 

19 ‘‘(E) The number of instances in which in20 formation collected from such device was sub21 jected to such searches was transmitted to an22 other Federal agency, including whether such 

23 transmission resulted in a prosecution or convic24 tion. 
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1 ‘‘(6) REQUIREMENTS REGARDING OTHER NOTIFI2 CATIONS.—The standard operating procedures estab3 lished pursuant to subparagraph (B) of paragraph 

4 (1) shall require— 

5 ‘‘(A) in the case of an incident of the use 

6 of deadly force by U.S. Customs and Border Pro7 tection personnel, the Commissioner to notify the 

8 appropriate congressional committees; and 

9 ‘‘(B) the Commissioner to provide to such 

10 committees a copy of the evaluation pursuant to 

11 subparagraph (D) of such paragraph not later 

12 than 30 days after completion of such evalua13 tion. 

14 ‘‘(7) REPORT ON UNMANNED AERIAL SYSTEMS.— 

15 The Commissioner shall submit to the appropriate 

16 congressional committees an annual report that re17 views whether the use of unmanned aerial systems are 

18 being conducted in conformity with the standard op19 erating procedures required under subparagraph (E) 

20 of paragraph (1). Such reports— 

21 ‘‘(A) shall be submitted with the President’s 

22 annual budget; 

23 ‘‘(B) may be submitted in classified form if 

24 the Commissioner determines that such is appro25 priate, and 
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•HR 644 EAH 

1 ‘‘(C) shall include— 

2 ‘‘(i) a detailed description of how, 

3 where, and for how long data and images 

4 collected through the use of unmanned aer5 ial systems by U.S. Customs and Border 

6 Protection is collected and stored; and 

7 ‘‘(ii) a list of Federal, State, and local 

8 law enforcement agencies that submitted 

9 mission requests in the previous year and 

10 the disposition of such requests. 

11 ‘‘(l) TRAINING.—The Commissioner shall require all 

12 officers and agents of U.S. Customs and Border Protection 

13 to participate in a specified amount of continuing edu14 cation (to be determined by the Commissioner) to maintain 

15 an understanding of Federal legal rulings, court decisions, 

16 and departmental policies, procedures, and guidelines. 

17 ‘‘(m) SHORT TERM DETENTION STANDARDS.— 

18 ‘‘(1) ACCESS TO FOOD AND WATER.—The Com19 missioner shall make every effort to ensure that ade20 quate access to food and water is provided to an indi21 vidual apprehended and detained at or between a 

22 United States port of entry as soon as practicable fol23 lowing the time of such apprehension or during subse24 quent short term detention. 
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•HR 644 EAH 

1 ‘‘(2) ACCESS TO INFORMATION ON DETAINEE

2 RIGHTS AT BORDER PATROL PROCESSING CENTERS.— 

3 ‘‘(A) IN GENERAL.—The Commissioner shall 

4 ensure that an individual apprehended by a 

5 U.S. Border Patrol agent or an Office of Field 

6 Operations officer is provided with information 

7 concerning such individual’s rights, including 

8 the right to contact a representative of such indi9 vidual’s government for purposes of United 

10 States treaty obligations. 

11 ‘‘(B) FORM.—The information referred to 

12 in subparagraph (A) may be provided either ver13 bally or in writing, and shall be posted in the 

14 detention holding cell in which such individual 

15 is being held. The information shall be provided 

16 in a language understandable to such individual. 

17 ‘‘(3) SHORT TERM DETENTION DEFINED.—In 

18 this subsection, the term ‘short term detention’ means 

19 detention in a U.S. Customs and Border Protection 

20 processing center for 72 hours or less, before repatri21 ation to a country of nationality or last habitual resi22 dence. 

23 ‘‘(4) DAYTIME REPATRIATION.—When prac24 ticable, repatriations shall be limited to daylight 
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1 hours and avoid locations that are determined to have 

2 high indices of crime and violence. 

3 ‘‘(5) REPORT ON PROCUREMENT PROCESS AND

4 STANDARDS.—Not later than 180 days after the date 

5 of the enactment of this section, the Comptroller Gen6 eral of the United States shall submit to the appro7 priate congressional committees a report on the pro8 curement process and standards of entities with which 

9 U.S. Customs and Border Protection has contracts for 

10 the transportation and detention of individuals ap11 prehended by agents or officers of U.S. Customs and 

12 Border Protection. Such report should also consider 

13 the operational efficiency of contracting the transpor14 tation and detention of such individuals. 

15 ‘‘(6) REPORT ON INSPECTIONS OF SHORT-TERM

16 CUSTODY FACILITIES.—The Commissioner shall— 

17 ‘‘(A) annually inspect all facilities utilized 

18 for short term detention; and 

19 ‘‘(B) make publically available information 

20 collected pursuant to such inspections, including 

21 information regarding the requirements under 

22 paragraphs (1) and (2) and, where appropriate, 

23 issue recommendations to improve the conditions 

24 of such facilities. 

25 ‘‘(n) WAIT TIMES TRANSPARENCY.— 
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1 ‘‘(1) IN GENERAL.—The Commissioner shall— 

2 ‘‘(A) publish live wait times at the 20 

3 United States airports that support the highest 

4 volume of international travel (as determined by 

5 available Federal flight data); 

6 ‘‘(B) make information about such wait 

7 times available to the public in real time through 

8 the U.S. Customs and Border Protection Web 

9 site; 

10 ‘‘(C) submit to the appropriate congres11 sional committees quarterly reports that include 

12 compilations of all such wait times and a rank13 ing of such United States airports by wait times; 

14 and 

15 ‘‘(D) provide adequate staffing at the U.S. 

16 Customs and Border Protection information cen17 ter to ensure timely access for travelers attempt18 ing to submit comments or speak with a rep19 resentative about their entry experiences. 

20 ‘‘(2) CALCULATION.—The wait times referred to 

21 in paragraph (1)(A) shall be determined by calcu22 lating the time elapsed between an individual’s entry 

23 into the U.S. Customs and Border Protection inspec24 tion area and such individual’s clearance by a U.S. 

25 Customs and Border Protection officer. 
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1 ‘‘(o) OTHER AUTHORITIES.— 

2 ‘‘(1) IN GENERAL.—The Secretary may establish 

3 such other offices or Assistant Commissioners (or 

4 other similar officers or officials) as the Secretary de5 termines necessary to carry out the missions, duties, 

6 functions, and authorities of U.S. Customs and Bor7 der Protection. 

8 ‘‘(2) NOTIFICATION.—If the Secretary exercises 

9 the authority provided pursuant to paragraph (1), the 

10 Secretary shall notify the appropriate congressional 

11 committees not later than 30 days before exercising 

12 such authority. 

13 ‘‘(p) OTHER FEDERAL AGENCIES.—Nothing in this 

14 section may be construed as affecting in any manner the 

15 authority, existing on the date of the enactment of the Trade 

16 Facilitation and Trade Enforcement Act of 2015, of any 

17 other Federal agency, including the Transportation Secu18 rity Administration, with respect to the duties of U.S. Cus19 toms and Border Protection described in subsection (c).’’. 

20 (b) SPECIAL RULES.— 

21 (1) TREATMENT.—Section 411 of the Homeland 

22 Security Act of 2002, as amended by subsection (a) 

23 of this section, shall be treated as if included in such 

24 Act as of the date of the enactment of such Act, and, 

25 in addition to the functions, missions, duties, and au-
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1 thorities specified in such amended section 411, U.S. 

2 Customs and Border Protection shall continue to per3 form and carry out the functions, missions, duties, 

4 and authorities under section 411 of such Act as in 

5 existence on the day before such date of enactment, 

6 and section 415 of such Act. 

7 (2) RULES OF CONSTRUCTION.— 

8 (A) RULES AND REGULATIONS.—Notwith9 standing paragraph (1), nothing in this title or 

10 any amendment made by this title may be con11 strued as affecting in any manner any rule or 

12 regulation issued or promulgated pursuant to 

13 any provision of law, including section 411 of 

14 the Homeland Security Act of 2002 as in exist15 ence on the day before the date of the enactment 

16 of this Act, and any such rule or regulation shall 

17 continue to have full force and effect on and after 

18 such date. 

19 (B) OTHER ACTIONS.—Notwithstanding 

20 paragraph (1), nothing in this Act may be con21 strued as affecting in any manner any action, 

22 determination, policy, or decision pursuant to 

23 section 411 of the Homeland Security Act of 

24 2002 as in existence on the day before the date 

25 of the enactment of this Act, and any such ac-
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1 tion, determination, policy, or decision shall con2 tinue to have full force and effect on and after 

3 such date. 

4 (c) CONTINUATION IN OFFICE.— 

5 (1) COMMISSIONER.—The individual serving as 

6 the Commissioner of Customs on the day before the 

7 date of the enactment of this Act may serve as the 

8 Commissioner of U.S. Customs and Border Protection 

9 on and after such date of enactment until a Commis10 sioner of U.S. Customs and Border Protection is ap11 pointed under section 411 of the Homeland Security 

12 Act of 2002, as amended by subsection (a) of this sec13 tion. 

14 (2) OTHER POSITIONS.—The individuals serving 

15 as Assistant Commissioners and other officers and of16 ficials under section 411 of the Homeland Security 

17 Act of 2002 on the day before the date of the enact18 ment of this Act may serve as the appropriate Assist19 ant Commissioners and other officers and officials 

20 under such section 411 as amended by subsection (a) 

21 of this section unless the Commissioner of U.S. Cus22 toms and Border Protection determines that another 

23 individual should hold such position or positions. 

24 (d) REFERENCE.— 
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1 (1) TITLE 5.—Section 5314 of title 5, United 

2 States Code, is amended by striking ‘‘Commissioner of 

3 Customs, Department of Homeland Security’’ and in4 serting ‘‘Commissioner of U.S. Customs and Border 

5 Protection, Department of Homeland Security’’. 

6 (2) OTHER REFERENCES.—On and after the date 

7 of the enactment of this Act, any reference in law or 

8 regulations to the ‘‘Commissioner of Customs’’ or the 

9 ‘‘Commissioner of the Customs Service’’ shall be 

10 deemed to be a reference to the Commissioner of U.S. 

11 Customs and Border Protection. 

12 (e) CLERICAL AMENDMENT.—The table of contents in 

13 section 1(b) of the Homeland Security Act of 2002 (6 U.S.C. 

14 101 et seq.) is amended by striking the item relating to sec15 tion 411 and inserting the following new item: 

‘‘Sec. 411. Establishment of U.S. Customs and Border Protection; Commissioner, 

Deputy Commissioner, and operational offices.’’. 

16 (f) REPEALS.—Sections 416 and 418 of the Homeland 

17 Security Act of 2002 (6 U.S.C. 216 and 218), and the items 

18 relating to such sections in the table of contents in section 

19 1(b) of such Act, are repealed. 

20 (g) CLERICAL AND CONFORMING AMENDMENTS.— 

21 (1) IN GENERAL.—The Homeland Security Act 

22 of 2002 (6 U.S.C. 101 et seq.) is amended— 

23 (A) in title I— 
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1 (i) in section 102(f)(10) (6 U.S.C. 

2 112(f)(10)), by striking ‘‘the Directorate of 

3 Border and Transportation Security’’ and 

4 inserting ‘‘the Commissioner of U.S. Cus5 toms and Border Protection’’; and 

6 (ii) in section 103(a)(1) (6 U.S.C. 

7 113(a)(1))— 

8 (I) in subparagraph (C), by strik9 ing ‘‘An Under Secretary for Border 

10 and Transportation Security.’’ and in11 serting ‘‘A Commissioner of U.S. Cus12 toms and Border Protection.’’; and 

13 (II) in subparagraph (G), by 

14 striking ‘‘A Director of the Office of 

15 Counternarcotics Enforcement.’’ and 

16 inserting ‘‘A Director of U.S. Immi17 gration and Customs Enforcement.’’; 

18 and 

19 (B) in title IV— 

20 (i) by striking the title heading and 

21 inserting ‘‘BORDER, MARITIME, 

22 AND TRANSPORTATION SECU23 RITY’’; 

24 (ii) in subtitle A— 
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1 (I) by striking the subtitle head2 ing and inserting ‘‘Border, Mari3 time, and Transportation Se4 curity Responsibilities and 

5 Functions’’; and 

6 (II) in section 402 (6 U.S.C. 

7 202)— 

8 (aa) in the section heading, 

9 by striking ‘‘RESPONSIBIL10 ITIES’’ and inserting ‘‘BORDER, 

11 MARITIME, AND TRANSPOR12 TATION RESPONSIBILITIES’’; 

13 and 

14 (bb) by striking ‘‘, acting 

15 through the Under Secretary for 

16 Border and Transportation Secu17 rity,’’; 

18 (iii) in subtitle B— 

19 (I) by striking the subtitle head20 ing and inserting ‘‘U.S. Customs 

21 and Border Protection’’; 

22 (II) in section 412(b) (6 U.S.C. 

23 212), by striking ‘‘the United States 

24 Customs Service’’ each place it appears 
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1 and inserting ‘‘U.S. Customs and Bor2 der Protection’’; 

3 (III) in section 413 (6 U.S.C. 

4 213), by striking ‘‘available to the 

5 United States Customs Service or’’; 

6 (IV) in section 414 (6 U.S.C. 

7 214), by striking ‘‘the United States 

8 Customs Service’’ and inserting ‘‘U.S. 

9 Customs and Border Protection’’; and 

10 (V) in section 415 (6 U.S.C. 

11 215)— 

12 (aa) in paragraph (7), by in13 serting before the colon the fol14 lowing: ‘‘, and of U.S. Customs 

15 and Border Protection on the day 

16 before the effective date of the U.S. 

17 Customs and Border Protection 

18 Authorization Act’’; and 

19 (bb) in paragraph (8), by in20 serting before the colon the fol21 lowing: ‘‘, and of U.S. Customs 

22 and Border Protection on the day 

23 before the effective date of the U.S. 

24 Customs and Border Protection 

25 Authorization Act’’; 
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1 (iv) in subtitle C— 

2 (I) by striking section 424 (6 

3 U.S.C. 234) and inserting the fol4 lowing new section: 

5 ‘‘SEC. 424. PRESERVATION OF TRANSPORTATION SECURITY 

6 ADMINISTRATION AS A DISTINCT ENTITY. 

7 ‘‘Notwithstanding any other provision of this Act, the 

8 Transportation Security Administration shall be main9 tained as a distinct entity within the Department.’’; and 

10 (II) in section 430 (6 U.S.C. 

11 238)— 

12 (aa) by amending subsection 

13 (a) to read as follows: 

14 ‘‘(a) ESTABLISHMENT.—There is established in the De15 partment an Office for Domestic Preparedness.’’; 

16 (bb) in subsection (b), by 

17 striking the second sentence; and 

18 (cc) in subsection (c)(7), by 

19 striking ‘‘Directorate’’ and insert20 ing ‘‘Department’’; and 

21 (v) in subtitle D— 

22 (I) in section 441 (6 U.S.C. 

23 251)— 
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1 (aa) by striking the section 

2 heading and inserting ‘‘TRANS3 FER OF FUNCTIONS’’; and 

4 (bb) by striking ‘‘Under Sec5 retary for Border and Transpor6 tation Security’’ and inserting 

7 ‘‘Secretary’’; 

8 (II) in section 443 (6 U.S.C. 

9 253)— 

10 (aa) in the matter preceding 

11 paragraph (1), by striking 

12 ‘‘Under Secretary for Border and 

13 Transportation Security’’ and in14 serting ‘‘Secretary’’; and 

15 (bb) by striking ‘‘the Bureau 

16 of Border Security’’ and inserting 

17 ‘‘U.S. Immigration and Customs 

18 Enforcement’’ each place it ap19 pears; and 

20 (III) by amending section 444 (6 

21 U.S.C. 254) to read as follows: 

22 ‘‘SEC. 444. EMPLOYEE DISCIPLINE. 

23 ‘‘Notwithstanding any other provision of law, the Sec24 retary may impose disciplinary action on any employee of 

25 U.S. Immigration and Customs Enforcement and U.S. Cus-
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1 toms and Border Protection who willfully deceives Congress 

2 or agency leadership on any matter.’’. 

3 (2) CONFORMING AMENDMENTS.—Section 401 of 

4 the Homeland Security Act of 2002 (6 U.S.C. 201) is 

5 repealed. 

6 (3) CLERICAL AMENDMENTS.—The table of con7 tents in section 1(b) of the Homeland Security Act of 

8 2002 is amended— 

9 (A) by striking the item relating to title IV 

10 and inserting the following: 

‘‘TITLE IV—BORDER, MARITIME, AND TRANSPORTATION SECURITY’’; 

11 (B) by striking the item relating to subtitle 

12 A of title IV and inserting the following: 

‘‘Subtitle A—Border, Maritime, and Transportation Security Responsibilities 

and Functions’’; 

13 (C) by striking the item relating to section 

14 401; 

15 (D) by striking the item relating to subtitle 

16 B of title IV and inserting the following: 

‘‘Subtitle B—U.S. Customs and Border Protection’’; 

17 (E) by striking the item relating to section 

18 441 and inserting the following: 

‘‘Sec. 441. Transfer of functions.’’; 

19 and 

20 (F) by striking the item relating to section 

21 442 and inserting the following: 

‘‘Sec. 442. U.S. Immigration and Customs Enforcement.’’. 
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1 (h) OFFICE OF TRADE.— 

2 (1) TRADE OFFICES AND FUNCTIONS.—The Act 

3 of March 3, 1927 (44 Stat. 1381, chapter 348; 19 

4 U.S.C. 2071 et seq.), is amended by adding at the end 

5 the following: 

6 ‘‘SEC. 4. OFFICE OF TRADE. 

7 ‘‘(a) IN GENERAL.—There is established in U.S. Cus8 toms and Border Protection an Office of Trade. 

9 ‘‘(b) ASSISTANT COMMISSIONER.— 

10 ‘‘(1) IN GENERAL.—There shall be at the head of 

11 the Office of Trade an Assistant Commissioner, who 

12 shall report to the Commissioner of U.S. Customs and 

13 Border Protection. 

14 ‘‘(2) QUALIFICATIONS.—The Assistant Commis15 sioner shall have a minimum of 10 years of profes16 sional experience with the customs and trade laws of 

17 the United States. 

18 ‘‘(3) SENIOR EXECUTIVE SERVICE POSITION.— 

19 The position of Assistant Commissioner for Trade 

20 shall be a Senior Executive Service position (as de21 fined in section 3132(a) of title 5, United States 

22 Code). 

23 ‘‘(c) DUTIES.—The Office of Trade shall— 

24 ‘‘(1) direct the development and implementation, 

25 pursuant to the customs and trade laws of the United 
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1 States, of policies and regulations administered by 

2 U.S. Customs and Border Protection; 

3 ‘‘(2) advise the Commissioner with respect to the 

4 impact on trade facilitation and trade enforcement of 

5 any policy or regulation otherwise proposed or ad6 ministered by U.S. Customs and Border Protection; 

7 ‘‘(3) coordinate and cooperate with the Assistant 

8 Commissioner for the Office of Field Operations with 

9 respect to the trade facilitation and trade enforcement 

10 activities of U.S. Customs and Border Protection car11 ried out at the land borders and ports of entry of the 

12 United States; 

13 ‘‘(4) direct the development and implementation 

14 of matters relating to the priority trade issues identi15 fied by the Commissioner of U.S. Customs and Border 

16 Protection in the joint strategic plan on trade facili17 tation and trade enforcement required under section 

18 123A of the Customs and Trade Act of 1990; 

19 ‘‘(5) otherwise advise the Commissioner of U.S. 

20 Customs and Border Protection with respect to the de21 velopment and implementation of the joint strategic 

22 plan; 

23 ‘‘(6) direct the trade enforcement activities of 

24 U.S. Customs and Border Protection; 
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1 ‘‘(7) oversee the trade modernization activities of 

2 U.S. Customs and Border Protection, including the 

3 development and implementation of the Automated 

4 Commercial Environment computer system author5 ized under section 13031(f)(5) of the Consolidated 

6 Omnibus Budget and Reconciliation Act of 1985 (19 

7 U.S.C. 58c(f)(5)) and support for the establishment of 

8 the International Trade Data System under the over9 sight of the Department of Treasury pursuant to sec10 tion 411(d) of the Tariff Act of 1930 (19 U.S.C. 

11 1411(d)); 

12 ‘‘(8) direct the administration of customs rev13 enue functions as otherwise provided by law or dele14 gated by the Commissioner of U.S. Customs and Bor15 der Protection; and 

16 ‘‘(9) prepare an annual report to be submitted to 

17 the Committee on Finance of the Senate and the Com18 mittee on Ways and Means of the House of Represent19 atives not later than March 1 of each calendar year 

20 that includes— 

21 ‘‘(A) a summary of the changes to customs 

22 policies and regulations adopted by U.S. Cus23 toms and Border Protection during the preceding 

24 calendar year; and 
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1 ‘‘(B) a description of the public vetting and 

2 interagency consultation that occurred with re3 spect to each such change. 

4 ‘‘(d) TRANSFER OF ASSETS, FUNCTIONS, AND PER5 SONNEL; ELIMINATION OF OFFICES.— 

6 ‘‘(1) OFFICE OF INTERNATIONAL TRADE.— 

7 ‘‘(A) TRANSFER.—Not later than 30 days 

8 after the date of the enactment of the Trade Fa9 cilitation and Trade Enforcement Act of 2015, 

10 the Commissioner shall transfer the assets, func11 tions, personnel, and liabilities of the Office of 

12 International Trade to the Office of Trade estab13 lished under subsection (b). 

14 ‘‘(B) ELIMINATION.—Not later than 30 days 

15 after the date of enactment of the Trade Facilita16 tion and Trade Enforcement Act of 2015, the Of17 fice of International Trade shall be abolished. 

18 ‘‘(C) LIMITATION ON FUNDS.—No funds ap19 propriated to U.S. Customs and Border Protec20 tion or the Department of Homeland Security 

21 may be used to transfer the assets, functions, per22 sonnel, and liabilities of the Office of Inter23 national Trade to an office other than the Office 

24 of Trade established under subsection (a). 
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1 ‘‘(D) OFFICE OF INTERNATIONAL TRADE

2 DEFINED.—In this paragraph, the term ‘Office of 

3 International Trade’ means the Office of Inter4 national Trade established by section 2 of the Act 

5 of March 3, 1927 (44. Stat. 1381, chapter 348; 

6 19 U.S.C. 2072), as added by section 402 of the 

7 Security and Accountability for Every Port Act 

8 of 2006 (Public Law 109–347; 120 Stat. 1924), 

9 and as in effect on the day before the date of the 

10 enactment of the Trade Facilitation and Trade 

11 Enforcement Act of 2015. 

12 ‘‘(2) OTHER TRANSFERS.— 

13 ‘‘(A) IN GENERAL.—The Commissioner is 

14 authorized to transfer any other assets, functions, 

15 or personnel within U.S. Customs and Border 

16 Protection to the Office of Trade established 

17 under subsection (d). 

18 ‘‘(B) CONGRESSIONAL NOTIFICATION.—Not 

19 less than 90 days prior to the transfer of assets, 

20 functions, or personnel under subparagraph 

21 (A)(i), the Commissioner shall notify the Com22 mittee on Finance of the Senate, the Committee 

23 on Homeland Security and Government Affairs 

24 of the Senate, the Committee on Ways and 

25 Means of the House of Representatives, and the 
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1 Committee on Homeland Security of the House 

2 of Representatives of the specific assets, func3 tions, or personnel to be transferred, and the rea4 son for the transfer. 

5 ‘‘(e) DEFINITIONS.—In this section, the terms ‘customs 

6 and trade laws of the United States’, ‘trade enforcement’, 

7 and ‘trade facilitation’ have the meanings given such terms 

8 in section 2 of the Trade Facilitation and Trade Enforce9 ment Act of 2015.’’. 

10 (2) CONTINUATION IN OFFICE.—The individual 

11 serving as the Assistant Commissioner of the Office of 

12 International Trade on the day before the date of the 

13 enactment of this Act may serve as the Assistant 

14 Commissioner for Trade on or after such date of en15 actment, at the discretion of the Commissioner. 

16 (3) CONFORMING AMENDMENTS.—Section 2 of 

17 the Act of March 3, 1927 (44. Stat. 1381, chapter 

18 348; 19 U.S.C. 2072), as added by section 402 of the 

19 Security and Accountability for Every Port Act of 

20 2006 (Public Law 109–347; 120 Stat. 1924), is 

21 amended— 

22 (A) by striking subsection (d); and 

23 (B) by redesignating subsections (e) and (f) 

24 as subsections (d) and (e), respectively. 

25 (i) REPORTS AND ASSESSMENTS.— 
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1 (1) REPORT ON BUSINESS TRANSFORMATION INI2 TIATIVE.—Not later than 90 days after the date of the 

3 enactment of this Act, the Commissioner of U.S. Cus4 toms and Border Protection shall submit to the Com5 mittee on Homeland Security and the Committee on 

6 Ways and Means of the House of Representatives and 

7 the Committee on Homeland Security and Govern8 mental Affairs and the Committee on Finance of the 

9 Senate a report on U.S. Customs and Border Protec10 tion’s Business Transformation Initiative, including 

11 locations where the Initiative is deployed, the types of 

12 equipment utilized, a description of protocols and 

13 procedures, information on wait times at such loca14 tions since deployment, and information regarding 

15 the schedule for deployment at new locations. 

16 (2) PORT OF ENTRY INFRASTRUCTURE NEEDS

17 ASSESSMENTS.—Not later 180 days after the date of 

18 the enactment of this Act, the Commissioner of U.S. 

19 Customs and Border Protection shall assess the phys20 ical infrastructure and technology needs at the 20 

21 busiest land ports of entry (as measured by U.S. Cus22 toms and Border Protection) with a particular atten23 tion to identify ways to— 

24 (A) improve travel and trade facilitation; 

25 (B) reduce wait times; 
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1 (C) improve physical infrastructure and 

2 conditions for individuals accessing pedestrian 

3 ports of entry; 

4 (D) enter into long-term leases with non5 governmental and private sector entities; 

6 (E) enter into lease-purchase agreements 

7 with nongovernmental and private sector enti8 ties; and 

9 (F) achieve cost savings through leases de10 scribed in subparagraphs (D) and (E). 

11 (3) PERSONAL SEARCHES.—Not later than 90 

12 days after the date of the enactment of this Act, the 

13 Commissioner of U.S. Customs and Border Protection 

14 shall submit to the Committee on Homeland Security 

15 of the House of Representatives and the Committee on 

16 Homeland Security and Governmental Affairs of the 

17 Senate a report on supervisor-approved personal 

18 searches conducted in the previous year by U.S. Cus19 toms and Border Protection personnel. Such report 

20 shall include the number of personal searches con21 ducted in each sector and field office, the number of 

22 invasive personal searches conducted in each sector 

23 and field office, whether personal searches were con24 ducted by Office of Field Operations or U.S. Border 
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1 Patrol personnel, and how many personal searches re2 sulted in the discovery of contraband. 

3 (j) TRUSTED TRAVELER PROGRAMS.—The Secretary 

4 of Homeland Security may not enter into or renew an 

5 agreement with the government of a foreign country for a 

6 trusted traveler program administered by U.S. Customs 

7 and Border Protection unless the Secretary certifies in writ8 ing that such government— 

9 (1) routinely submits to INTERPOL for inclu10 sion in INTERPOL’s Stolen and Lost Travel Docu11 ments database information about lost and stolen 

12 passports and travel documents of the citizens and 

13 nationals of such country; or 

14 (2) makes available to the United States Govern15 ment the information described in paragraph (1) 

16 through another means of reporting. 

17 (k) SENSE OF CONGRESS REGARDING THE FOREIGN

18 LANGUAGE AWARD PROGRAM.— 

19 (1) FINDINGS.—Congress finds the following: 

20 (A) Congress established the Foreign Lan21 guage Award Program (FLAP) to incentivize 

22 employees at United States ports of entry to uti23 lize their foreign language skills on the job by 

24 providing a financial incentive for the use of the 

25 foreign language for at least ten percent of their 
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1 duties after passage of competency tests. FLAP 

2 incentivizes the use of more than two dozen lan3 guages and has been instrumental in identifying 

4 and utilizing U.S. Customs and Border Protec5 tion officers and agents who are proficient in a 

6 foreign language. 

7 (B) In 1993, Congress provided for dedi8 cated funding for this program by stipulating 

9 that certain fees collected by U.S. Customs and 

10 Border Protection be used to fund FLAP. 

11 (C) Through FLAP, foreign travelers are 

12 aided by having an officer at a port of entry who 

13 speaks their language, and U.S. Customs and 

14 Border Protection benefits by being able to focus 

15 its border security efforts in a more effective 

16 manner. 

17 (2) SENSE OF CONGRESS.—It is the sense of 

18 Congress that FLAP incentivizes U.S. Customs and 

19 Border Protection officers to attain and maintain 

20 competency in a foreign language, thereby improving 

21 the efficiency of operations for the functioning of U.S. 

22 Customs and Border Protection’s security mission, 

23 making the United States a more welcoming place 

24 when foreign travelers find officers can communicate 
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1 in their language, and helping to expedite traveler 

2 processing to reduce wait times. 

3 TITLE IX—MISCELLANEOUS 

4 PROVISIONS 

5 SEC. 901. DE MINIMIS VALUE. 

6 (a) DE MINIMIS VALUE.—Section 321(a)(2)(C) of the 

7 Tariff Act of 1930 (19 U.S.C. 1321(a)(2)(C)) is amended 

8 by striking ‘‘$200’’ and inserting ‘‘$800’’. 

9 (b) EFFECTIVE DATE.—The amendment made by sub10 section (a) shall apply with respect to articles entered, or 

11 withdrawn from warehouse for consumption, on or after the 

12 15th day after the date of the enactment of this Act. 

13 SEC. 902. CONSULTATION ON TRADE AND CUSTOMS REV14 ENUE FUNCTIONS. 

15 Section 401(c) of the Safety and Accountability for 

16 Every Port Act (6 U.S.C. 115(c)) is amended— 

17 (1) in paragraph (1), by striking ‘‘on Depart18 ment policies and actions that have’’ and inserting 

19 ‘‘not later than 30 days after proposing, and not later 

20 than 30 days before finalizing, any Department poli21 cies, initiatives, or actions that will have’’; and 

22 (2) in paragraph (2)(A), by striking ‘‘not later 

23 than 30 days prior to the finalization of’’ and insert24 ing ‘‘not later than 60 days before proposing, and not 

25 later than 60 days before finalizing,’’. 
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1 SEC. 903. PENALTIES FOR CUSTOMS BROKERS. 

2 (a) IN GENERAL.—Section 641(d)(1) of the Tariff Act 

3 of 1930 (19 U.S.C. 1641(d)(1)) is amended— 

4 (1) in subparagraph (E), by striking ‘‘; or’’ and 

5 inserting a semicolon; 

6 (2) in subparagraph (F), by striking the period 

7 and inserting ‘‘; or’’; and 

8 (3) by adding at the end the following: 

9 ‘‘(G) has been convicted of committing or 

10 conspiring to commit an act of terrorism de11 scribed in section 2332b of title 18, United 

12 States Code.’’. 

13 (b) TECHNICAL AMENDMENTS.—Section 641 of the 

14 Tariff Act of 1930 (19 U.S.C. 1641) is amended— 

15 (1) by striking ‘‘the Customs Service’’ each place 

16 it appears and inserting ‘‘U.S. Customs and Border 

17 Protection’’; 

18 (2) in subsection (d)(2)(B), by striking ‘‘The 

19 Customs Service’’ and inserting ‘‘U.S. Customs and 

20 Border Protection’’; and 

21 (3) in subsection (g)(2)(B), by striking ‘‘Sec22 retary’s notice’’ and inserting ‘‘notice under subpara23 graph (A)’’. 
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1 SEC. 904. AMENDMENTS TO CHAPTER 98 OF THE HAR2 MONIZED TARIFF SCHEDULE OF THE UNITED 

3 STATES. 

4 (a) ARTICLES EXPORTED AND RETURNED, ADVANCED

5 OR IMPROVED ABROAD.— 

6 (1) IN GENERAL.—U.S. Note 3 to subchapter II 

7 of chapter 98 of the Harmonized Tariff Schedule of 

8 the United States is amended by adding at the end 

9 the following: 

10 ‘‘(f)(1) For purposes of subheadings 9802.00.40 and 

11 9802.00.50, fungible articles exported from the United 

12 States for the purposes described in such subheadings— 

13 ‘‘(A) may be commingled; and 

14 ‘‘(B) the origin, value, and classification of such 

15 articles may be accounted for using an inventory 

16 management method. 

17 ‘‘(2) If a person chooses to use an inventory manage18 ment method under this paragraph with respect to fungible 

19 articles, the person shall use the same inventory manage20 ment method for any other articles with respect to which 

21 the person claims fungibility under this paragraph. 

22 ‘‘(3) For the purposes of this paragraph— 

23 ‘‘(A) the term ‘fungible articles’ means merchan24 dise or articles that, for commercial purposes, are 

25 identical or interchangeable in all situations; and 
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1 ‘‘(B) the term ‘inventory management method’ 

2 means any method for managing inventory that is 

3 based on generally accepted accounting principles.’’. 

4 (2) EFFECTIVE DATE.—The amendment made by 

5 this subsection applies to articles classifiable under 

6 subheading 9802.00.40 or 9802.00.50 of the Har7 monized Tariff Schedule of the United States that are 

8 entered, or withdrawn from warehouse for consump9 tion, on or after the date that is 60 days after the 

10 date of the enactment of this Act. 

11 (b) MODIFICATION OF PROVISIONS RELATING TO RE12 TURNED PROPERTY.— 

13 (1) IN GENERAL.—The article description for 

14 heading 9801.00.10 of the Harmonized Tariff Sched15 ule of the United States is amended by inserting after 

16 ‘‘exported’’ the following: ‘‘, or any other products 

17 when returned within 3 years after having been ex18 ported’’. 

19 (2) EFFECTIVE DATE.—The amendment made by 

20 paragraph (1) applies to articles entered, or with21 drawn from warehouse for consumption, on or after 

22 the date that is 60 days after the date of the enact23 ment of this Act. 
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1 (c) DUTY-FREE TREATMENT FOR CERTAIN UNITED

2 STATES GOVERNMENT PROPERTY RETURNED TO THE

3 UNITED STATES.— 

4 (1) IN GENERAL.—Subchapter I of chapter 98 of 

5 the Harmonized Tariff Schedule of the United States 

6 is amended by inserting in numerical sequence the 

7 following new heading: 

‘‘ 9801.00.11 United States Government 

property, returned to the 

United States without having 

been advanced in value or improved in condition by any 

means while abroad, entered 

by the United States Government or a contractor to the 

United States Government, 

and certified by the importer 

as United States Government 

property .................................... Free ’’. 

8 (2) EFFECTIVE DATE.—The amendment made by 

9 paragraph (1) applies to goods entered, or withdrawn 

10 from warehouse for consumption, on or after the date 

11 that is 60 days after the date of the enactment of this 

12 Act. 

13 SEC. 905. EXEMPTION FROM DUTY OF RESIDUE OF BULK 

14 CARGO CONTAINED IN INSTRUMENTS OF 

15 INTERNATIONAL TRAFFIC PREVIOUSLY EX16 PORTED FROM THE UNITED STATES. 

17 (a) IN GENERAL.—General Note 3(e) of the Har18 monized Tariff Schedule of the United States is amended— 

19 (1) in subparagraph (v), by striking ‘‘and’’ at 

20 the end; 
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1 (2) in subparagraph (vi), by adding ‘‘and’’ at 

2 the end; 

3 (3) by inserting after subparagraph (vi) (as so 

4 amended) the following new subparagraph: 

5 ‘‘(vii) residue of bulk cargo contained in in6 struments of international traffic previously ex7 ported from the United States,’’; and 

8 (4) by adding at the end of the flush text fol9 lowing subparagraph (vii) (as so added) the fol10 lowing: ‘‘For purposes of subparagraph (vii) of this 

11 paragraph: The term ‘residue’ means material of bulk 

12 cargo that remains in an instrument of international 

13 traffic after the bulk cargo is removed, with a quan14 tity, by weight or volume, not exceeding 7 percent of 

15 the bulk cargo, and with no or de minimis value. The 

16 term ‘bulk cargo’ means cargo that is unpackaged and 

17 is in either solid, liquid, or gaseous form. The term 

18 ‘instruments of international traffic’ means con19 tainers or holders, capable of and suitable for repeated 

20 use, such as lift vans, cargo vans, shipping tanks, 

21 skids, pallets, caul boards, and cores for textile fab22 rics, arriving (whether loaded or empty) in use or to 

23 be used in the shipment of merchandise in inter24 national traffic, and any additional articles or classes 

25 of articles that the Commissioner of U.S. Customs 
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1 and Border Protection designates as instruments of 

2 international traffic.’’. 

3 (b) EFFECTIVE DATE.—The amendments made by sub4 section (a) take effect on the date of the enactment of this 

5 Act and apply with respect to residue of bulk cargo con6 tained in instruments of international traffic that are im7 ported into the customs territory of the United States on 

8 or after such date of enactment and that previously have 

9 been exported from the United States. 

10 SEC. 906. DRAWBACK AND REFUNDS. 

11 (a) ARTICLES MADE FROM IMPORTED MERCHAN12 DISE.—Section 313(a) of the Tariff Act of 1930 (19 U.S.C. 

13 1313(a)) is amended by striking ‘‘the full amount of the 

14 duties paid upon the merchandise so used shall be refunded 

15 as drawback, less 1 per centum of such duties, except that 

16 such’’ and inserting ‘‘an amount calculated pursuant to 

17 regulations prescribed by the Secretary of the Treasury 

18 under subsection (l) shall be refunded as drawback, except 

19 that’’. 

20 (b) SUBSTITUTION FOR DRAWBACK PURPOSES.—Sec21 tion 313(b) of the Tariff Act of 1930 (19 U.S.C. 1313(b)) 

22 is amended— 

23 (1) by striking ‘‘If imported’’ and inserting the 

24 following: 

25 ‘‘(1) IN GENERAL.—If imported’’; 
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1 (2) by striking ‘‘and any other merchandise 

2 (whether imported or domestic) of the same kind and 

3 quality are’’ and inserting ‘‘or merchandise classifi4 able under the same 8-digit HTS subheading number 

5 as such imported merchandise is’’; 

6 (3) by striking ‘‘three years’’ and inserting ‘‘5 

7 years’’; 

8 (4) by striking ‘‘the receipt of such imported 

9 merchandise by the manufacturer or producer of such 

10 articles’’ and inserting ‘‘the date of importation of 

11 such imported merchandise’’; 

12 (5) by striking ‘‘an amount of drawback equal 

13 to’’ and all that follows through the end period and 

14 inserting ‘‘an amount calculated pursuant to regula15 tions prescribed by the Secretary of the Treasury 

16 under subsection (l), but only if those articles have 

17 not been used prior to such exportation or destruc18 tion.’’; and 

19 (6) by adding at the end the following: 

20 ‘‘(2) REQUIREMENTS RELATING TO TRANSFER OF

21 MERCHANDISE.— 

22 ‘‘(A) MANUFACTURERS AND PRODUCERS.— 

23 Drawback shall be allowed under paragraph (1) 

24 with respect to an article manufactured or pro25 duced using imported merchandise or other mer-
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1 chandise classifiable under the same 8-digit HTS 

2 subheading number as such imported merchan3 dise only if the manufacturer or producer of the 

4 article received such imported merchandise or 

5 such other merchandise, directly or indirectly, 

6 from the importer. 

7 ‘‘(B) EXPORTERS AND DESTROYERS.— 

8 Drawback shall be allowed under paragraph (1) 

9 with respect to a manufactured or produced arti10 cle that is exported or destroyed only if the ex11 porter or destroyer received that article, directly 

12 or indirectly, from the manufacturer or pro13 ducer. 

14 ‘‘(C) EVIDENCE OF TRANSFER.—Transfers 

15 of merchandise under subparagraph (A) and 

16 transfers of articles under subparagraph (B) 

17 may be evidenced by business records kept in the 

18 normal course of business and no additional cer19 tificates of transfer or manufacture shall be re20 quired. 

21 ‘‘(3) SUBMISSION OF BILL OF MATERIALS OR

22 FORMULA.— 

23 ‘‘(A) IN GENERAL.—Drawback shall be al24 lowed under paragraph (1) with respect to an 

25 article manufactured or produced using im-
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1 ported merchandise or other merchandise classifi2 able under the same 8-digit HTS subheading 

3 number as such imported merchandise only if 

4 the person making the drawback claim submits 

5 with the claim a bill of materials or formula 

6 identifying the merchandise and article by the 8- 

7 digit HTS subheading number and the quantity 

8 of the merchandise. 

9 ‘‘(B) BILL OF MATERIALS AND FORMULA

10 DEFINED.—In this paragraph, the terms ‘bill of 

11 materials’ and ‘formula’ mean records kept in 

12 the normal course of business that identify each 

13 component incorporated into a manufactured or 

14 produced article or that identify the quantity of 

15 each element, material, chemical, mixture, or 

16 other substance incorporated into a manufac17 tured article. 

18 ‘‘(4) SPECIAL RULE FOR SOUGHT CHEMICAL

19 ELEMENTS.— 

20 ‘‘(A) IN GENERAL.—For purposes of para21 graph (1), a sought chemical element may be— 

22 ‘‘(i) considered imported merchandise, 

23 or merchandise classifiable under the same 

24 8-digit HTS subheading number as such 

25 imported merchandise, used in the manu-
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1 facture or production of an article as de2 scribed in paragraph (1); and 

3 ‘‘(ii) substituted for source material 

4 containing that sought chemical element, 

5 without regard to whether the sought chem6 ical element and the source material are 

7 classifiable under the same 8-digit HTS 

8 subheading number, and apportioned quan9 titatively, as appropriate. 

10 ‘‘(B) SOUGHT CHEMICAL ELEMENT DE11 FINED.—In this paragraph, the term ‘sought 

12 chemical element’ means an element listed in the 

13 Periodic Table of Elements that is imported into 

14 the United States or a chemical compound con15 sisting of those elements, either separately in ele16 mental form or contained in source material.’’. 

17 (c) MERCHANDISE NOT CONFORMING TO SAMPLE OR

18 SPECIFICATIONS.—Section 313(c) of the Tariff Act of 1930 

19 (19 U.S.C. 1313(c)) is amended— 

20 (1) in paragraph (1)— 

21 (A) in subparagraph (C)(ii), by striking 

22 ‘‘under a certificate of delivery’’ each place it ap23 pears; 

24 (B) in subparagraph (D)— 
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1 (i) by striking ‘‘3’’ and inserting ‘‘5’’; 

2 and 

3 (ii) by striking ‘‘the Customs Service’’ 

4 and inserting ‘‘U.S. Customs and Border 

5 Protection’’; and 

6 (C) in the flush text at the end, by striking 

7 ‘‘the full amount of the duties paid upon such 

8 merchandise, less 1 percent,’’ and inserting ‘‘an 

9 amount calculated pursuant to regulations pre10 scribed by the Secretary of the Treasury under 

11 subsection (l)’’; 

12 (2) in paragraph (2), by striking ‘‘the Customs 

13 Service’’ and inserting ‘‘U.S. Customs and Border 

14 Protection’’; and 

15 (3) by amending paragraph (3) to read as fol16 lows: 

17 ‘‘(3) EVIDENCE OF TRANSFERS.—Transfers of 

18 merchandise under paragraph (1) may be evidenced 

19 by business records kept in the normal course of busi20 ness and no additional certificates of transfer shall be 

21 required.’’. 

22 (d) PROOF OF EXPORTATION.—Section 313(i) of the 

23 Tariff Act of 1930 (19 U.S.C. 1313(i)) is amended to read 

24 as follows: 
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1 ‘‘(i) PROOF OF EXPORTATION.—A person claiming 

2 drawback under this section based on the exportation of an 

3 article shall provide proof of the exportation of the article. 

4 Such proof of exportation— 

5 ‘‘(1) shall establish fully the date and fact of ex6 portation and the identity of the exporter; and 

7 ‘‘(2) may be established through the use of 

8 records kept in the normal course of business or 

9 through an electronic export system of the United 

10 States Government, as determined by the Commis11 sioner of U.S. Customs and Border Protection.’’. 

12 (e) UNUSED MERCHANDISE DRAWBACK.—Section 

13 313(j) of the Tariff Act of 1930 (19 U.S.C. 1313(j)) is 

14 amended— 

15 (1) in paragraph (1)— 

16 (A) in subparagraph (A), in the matter pre17 ceding clause (i)— 

18 (i) by striking ‘‘3-year’’ and inserting 

19 ‘‘5-year’’; and 

20 (ii) by inserting ‘‘and before the draw21 back claim is filed’’ after ‘‘the date of im22 portation’’; and 

23 (B) in the flush text at the end, by striking 

24 ‘‘99 percent of the amount of each duty, tax, or 

25 fee so paid’’ and inserting ‘‘an amount cal-
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1 culated pursuant to regulations prescribed by the 

2 Secretary of the Treasury under subsection (l)’’; 

3 (2) in paragraph (2)— 

4 (A) in the matter preceding subparagraph 

5 (A), by striking ‘‘paragraph (4)’’ and inserting 

6 ‘‘paragraphs (4), (5), and (6)’’; 

7 (B) in subparagraph (A), by striking ‘‘com8 mercially interchangeable with’’ and inserting 

9 ‘‘classifiable under the same 8-digit HTS sub10 heading number as’’; 

11 (C) in subparagraph (B)— 

12 (i) by striking ‘‘3-year’’ and inserting 

13 ‘‘5-year’’; and 

14 (ii) by inserting ‘‘and before the draw15 back claim is filed’’ after ‘‘the imported 

16 merchandise’’; and 

17 (D) in subparagraph (C)(ii), by striking 

18 subclause (II) and inserting the following: 

19 ‘‘(II) received the imported mer20 chandise, other merchandise classifiable 

21 under the same 8-digit HTS sub22 heading number as such imported mer23 chandise, or any combination of such 

24 imported merchandise and such other 

25 merchandise, directly or indirectly 
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1 from the person who imported and 

2 paid any duties, taxes, and fees im3 posed under Federal law upon impor4 tation or entry and due on the im5 ported merchandise (and any such 

6 transferred merchandise, regardless of 

7 its origin, will be treated as the im8 ported merchandise and any retained 

9 merchandise will be treated as domestic 

10 merchandise);’’; 

11 (E) in the flush text at the end— 

12 (i) by striking ‘‘the amount of each 

13 such duty, tax, and fee’’ and all that follows 

14 through ‘‘99 percent of that duty, tax, or 

15 fee’’ and inserting ‘‘an amount calculated 

16 pursuant to regulations prescribed by the 

17 Secretary of the Treasury under subsection 

18 (l) shall be refunded as drawback’’; and 

19 (ii) by striking the last sentence and 

20 inserting the following: ‘‘Notwithstanding 

21 subparagraph (A), drawback shall be al22 lowed under this paragraph with respect to 

23 wine if the imported wine and the exported 

24 wine are of the same color and the price 

25 variation between the imported wine and 
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1 the exported wine does not exceed 50 per2 cent. Transfers of merchandise may be evi3 denced by business records kept in the nor4 mal course of business and no additional 

5 certificates of transfer shall be required.’’; 

6 and 

7 (3) in paragraph (3)(B), by striking ‘‘the com8 mercially interchangeable merchandise’’ and inserting 

9 ‘‘merchandise classifiable under the same 8-digit HTS 

10 subheading number as such imported merchandise’’; 

11 and 

12 (4) by adding at the end the following: 

13 ‘‘(5)(A) For purposes of paragraph (2) and ex14 cept as provided in subparagraph (B), merchandise 

15 may not be substituted for imported merchandise for 

16 drawback purposes based on the 8-digit HTS sub17 heading number if the article description for the 8- 

18 digit HTS subheading number under which the im19 ported merchandise is classified begins with the term 

20 ‘other’. 

21 ‘‘(B) In cases described in subparagraph (A), 

22 merchandise may be substituted for imported mer23 chandise for drawback purposes if— 

24 ‘‘(i) the other merchandise and such im25 ported merchandise are classifiable under the 
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1 same 10-digit HTS statistical reporting number; 

2 and 

3 ‘‘(ii) the article description for that 10-digit 

4 HTS statistical reporting number does not begin 

5 with the term ‘other’. 

6 ‘‘(6)(A) For purposes of paragraph (2), a draw7 back claimant may use the first 8 digits of the 10- 

8 digit Schedule B number for merchandise or an arti9 cle to determine if the merchandise or article is classi10 fiable under the same 8-digit HTS subheading num11 ber as the imported merchandise, without regard to 

12 whether the Schedule B number corresponds to more 

13 than one 8-digit HTS subheading number. 

14 ‘‘(B) In this paragraph, the term ‘Schedule B’ 

15 means the Department of Commerce Schedule B, Sta16 tistical Classification of Domestic and Foreign Com17 modities Exported from the United States.’’. 

18 (f) LIABILITY FOR DRAWBACK CLAIMS.—Section 

19 313(k) of the Tariff Act of 1930 (19 U.S.C. 1313(k)) is 

20 amended to read as follows: 

21 ‘‘(k) LIABILITY FOR DRAWBACK CLAIMS.— 

22 ‘‘(1) IN GENERAL.—Any person making a claim 

23 for drawback under this section shall be liable for the 

24 full amount of the drawback claimed. 
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1 ‘‘(2) LIABILITY OF IMPORTERS.—An importer 

2 shall be liable for any drawback claim made by an3 other person with respect to merchandise imported by 

4 the importer in an amount equal to the lesser of— 

5 ‘‘(A) the amount of duties, taxes, and fees 

6 that the person claimed with respect to the im7 ported merchandise; or 

8 ‘‘(B) the amount of duties, taxes, and fees 

9 that the importer authorized the other person to 

10 claim with respect to the imported merchandise. 

11 ‘‘(3) JOINT AND SEVERAL LIABILITY.—Persons 

12 described in paragraphs (1) and (2) shall be jointly 

13 and severally liable for the amount described in para14 graph (2).’’. 

15 (g) REGULATIONS.—Section 313(l) of the Tariff Act of 

16 1930 (19 U.S.C. 1313(l)) is amended to read as follows: 

17 ‘‘(l) REGULATIONS.— 

18 ‘‘(1) IN GENERAL.—Allowance of the privileges 

19 provided for in this section shall be subject to compli20 ance with such rules and regulations as the Secretary 

21 of the Treasury shall prescribe. 

22 ‘‘(2) CALCULATION OF DRAWBACK.— 

23 ‘‘(A) IN GENERAL.—Not later than the date 

24 that is 2 years after the date of the enactment of 

25 the Trade Facilitation and Trade Enforcement 
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1 Act of 2015 (or, if later, the effective date pro2 vided for in section 906(q)(2)(B) of that Act), the 

3 Secretary shall prescribe regulations for deter4 mining the calculation of amounts refunded as 

5 drawback under this section. 

6 ‘‘(B) CLAIMS WITH RESPECT TO UNUSED

7 MERCHANDISE.—The regulations required by 

8 subparagraph (A) for determining the calcula9 tion of amounts refunded as drawback under this 

10 section shall provide for a refund of equal to 99 

11 percent of the duties, taxes, and fees paid with 

12 respect to the imported merchandise, except that 

13 where there is substitution of the merchandise or 

14 article, then— 

15 ‘‘(i) in the case of an article that is ex16 ported, the amount of the refund shall be 

17 equal to 99 percent of the lesser of— 

18 ‘‘(I) the amount of duties, taxes, 

19 and fees paid with respect to the im20 ported merchandise; or 

21 ‘‘(II) the amount of duties, taxes, 

22 and fees that would apply to the ex23 ported article if the exported article 

24 were imported; and 
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1 ‘‘(ii) in the case of an article that is 

2 destroyed, the amount of the refund shall be 

3 an amount that is— 

4 ‘‘(I) equal to 99 percent of the 

5 lesser of— 

6 ‘‘(aa) the amount of duties, 

7 taxes, and fees paid with respect 

8 to the imported merchandise; and 

9 ‘‘(bb) the amount of duties, 

10 taxes, and fees that would apply 

11 to the destroyed article if the de12 stroyed article were imported; and 

13 ‘‘(II) reduced by the value of ma14 terials recovered during destruction as 

15 provided in subsection (x). 

16 ‘‘(C) CLAIMS WITH RESPECT TO ARTICLES

17 INTO WHICH SUBSTITUTE MERCHANDISE IS IN18 CORPORATED.—The regulations required by sub19 paragraph (A) for determining the calculation of 

20 amounts refunded as drawback under this sec21 tion shall provide for a refund of 99 percent of 

22 the duties, taxes, and fees paid with respect to 

23 the imported merchandise incorporated into an 

24 article that is exported or destroyed, except that 
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1 where there is substitution of the imported mer2 chandise, then— 

3 ‘‘(i) in the case of an article that is ex4 ported, the amount of the refund shall be 

5 equal to 99 percent of the lesser of— 

6 ‘‘(I) the amount of duties, taxes, 

7 and fees paid with respect to the im8 ported merchandise; or 

9 ‘‘(II) the amount of duties, taxes, 

10 and fees that would apply to the sub11 stituted merchandise if the substituted 

12 merchandise were imported; and 

13 ‘‘(ii) in the case of an article that is 

14 destroyed, the amount of the refund shall be 

15 an amount that is— 

16 ‘‘(I) equal to 99 percent of the 

17 lesser of— 

18 ‘‘(aa) the amount of duties, 

19 taxes, and fees paid with respect 

20 to the imported merchandise; and 

21 ‘‘(bb) the amount of duties, 

22 taxes, and fees that would apply 

23 to the substituted merchandise if 

24 the substituted merchandise were 

25 imported; and 
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1 ‘‘(II) reduced by the value of ma2 terials recovered during destruction as 

3 provided in subsection (x). 

4 ‘‘(3) STATUS REPORTS ON REGULATIONS.—Not 

5 later than the date that is one year after the date of 

6 the enactment of the Trade Facilitation and Trade 

7 Enforcement Act of 2015, and annually thereafter 

8 until the regulations required by paragraph (2) are 

9 final, the Secretary shall submit to Congress a report 

10 on the status of those regulations.’’. 

11 (h) SUBSTITUTION OF FINISHED PETROLEUM DERIVA12 TIVES.—Section 313(p) of the Tariff Act of 1930 (19 U.S.C. 

13 1313(p)) is amended— 

14 (1) by striking ‘‘Harmonized Tariff Schedule of 

15 the United States’’ each place it appears and insert16 ing ‘‘HTS’’; and 

17 (2) in paragraph (3)(A)— 

18 (A) in clause (ii)(III), by striking ‘‘, as so 

19 certified in a certificate of delivery or certificate 

20 of manufacture and delivery’’; and 

21 (B) in the flush text at the end— 

22 (i) by striking ‘‘, so designated on the 

23 certificate of delivery or certificate of manu24 facture and delivery’’; and 
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1 (ii) by striking the last sentence and 

2 inserting the following: ‘‘The party transfer3 ring the merchandise shall maintain records 

4 kept in the normal course of business to 

5 demonstrate the transfer.’’. 

6 (i) PACKAGING MATERIAL.—Section 313(q) of the Tar7 iff Act of 1930 (19 U.S.C. 1313(q)) is amended— 

8 (1) in paragraph (1), by striking ‘‘of 99 percent 

9 of any duty, tax, or fee imposed under Federal law 

10 on such imported material’’ and inserting ‘‘in an 

11 amount calculated pursuant to regulations prescribed 

12 by the Secretary of the Treasury under subsection 

13 (l)’’; 

14 (2) in paragraph (2), by striking ‘‘of 99 percent 

15 of any duty, tax, or fee imposed under Federal law 

16 on the imported or substituted merchandise used to 

17 manufacture or produce such material’’ and inserting 

18 ‘‘in an amount calculated pursuant to regulations 

19 prescribed by the Secretary of the Treasury under 

20 subsection (l)’’; and 

21 (3) in paragraph (3), by striking ‘‘they contain’’ 

22 and inserting ‘‘it contains’’. 

23 (j) FILING OF DRAWBACK CLAIMS.—Section 313(r) of 

24 the Tariff Act of 1930 (19 U.S.C. 1313(r)) is amended— 

25 (1) in paragraph (1)— 
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1 (A) by striking the first sentence and insert2 ing the following: ‘‘A drawback entry shall be 

3 filed or applied for, as applicable, not later than 

4 5 years after the date on which merchandise on 

5 which drawback is claimed was imported.’’; 

6 (B) in the second sentence, by striking ‘‘3- 

7 year’’ and inserting ‘‘5-year’’; and 

8 (C) in the third sentence, by striking ‘‘the 

9 Customs Service’’ and inserting ‘‘U.S. Customs 

10 and Border Protection’’; 

11 (2) in paragraph (3)— 

12 (A) in subparagraph (A)— 

13 (i) in the matter preceding clause (i), 

14 by striking ‘‘The Customs Service’’ and in15 serting ‘‘U.S. Customs and Border Protec16 tion’’; 

17 (ii) in clauses (i) and (ii), by striking 

18 ‘‘the Customs Service’’ each place it appears 

19 and inserting ‘‘U.S. Customs and Border 

20 Protection’’; and 

21 (iii) in clause (ii)(I), by striking ‘‘3- 

22 year’’ and inserting ‘‘5-year’’; and 

23 (B) in subparagraph (B), by striking ‘‘the 

24 periods of time for retaining records set forth in 

25 subsection (t) of this section and’’ and inserting 
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1 ‘‘the period of time for retaining records set forth 

2 in’’; and 

3 (3) by adding at the end the following: 

4 ‘‘(4) All drawback claims filed on and after the 

5 date that is 2 years after the date of the enactment 

6 of the Trade Facilitation and Trade Enforcement Act 

7 of 2015 (or, if later, the effective date provided for in 

8 section 906(q)(2)(B) of that Act) shall be filed elec9 tronically.’’. 

10 (k) DESIGNATION OF MERCHANDISE BY SUCCESSOR.— 

11 Section 313(s) of the Tariff Act of 1930 (19 U.S.C. 1313(s)) 

12 is amended— 

13 (1) in paragraph (2), by striking subparagraph 

14 (B) and inserting the following: 

15 ‘‘(B) subject to paragraphs (5) and (6) of 

16 subsection (j), imported merchandise, other mer17 chandise classifiable under the same 8-digit HTS 

18 subheading number as such imported merchan19 dise, or any combination of such imported mer20 chandise and such other merchandise, that the 

21 predecessor received, before the date of succession, 

22 from the person who imported and paid any du23 ties, taxes, and fees due on the imported mer24 chandise;’’; and 
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1 (2) in paragraph (4), by striking ‘‘certifies that’’ 

2 and all that follows and inserting ‘‘certifies that the 

3 transferred merchandise was not and will not be 

4 claimed by the predecessor.’’. 

5 (l) DRAWBACK CERTIFICATES.—Section 313 of the 

6 Tariff Act of 1930 (19 U.S.C. 1313) is amended by striking 

7 subsection (t). 

8 (m) DRAWBACK FOR RECOVERED MATERIALS.—Sec9 tion 313(x) of the Tariff Act of 1930 (19 U.S.C. 1313(x)) 

10 is amended by striking ‘‘and (c)’’ and inserting ‘‘(c), and 

11 (j)’’. 

12 (n) DEFINITIONS.—Section 313 of the Tariff Act of 

13 1930 (19 U.S.C. 1313) is amended by adding at the end 

14 the following: 

15 ‘‘(z) DEFINITIONS.—In this section: 

16 ‘‘(1) DIRECTLY.—The term ‘directly’ means a 

17 transfer of merchandise or an article from one person 

18 to another person without any intermediate transfer. 

19 ‘‘(2) HTS.—The term ‘HTS’ means the Har20 monized Tariff Schedule of the United States. 

21 ‘‘(3) INDIRECTLY.—The term ‘indirectly’ means 

22 a transfer of merchandise or an article from one per23 son to another person with one or more intermediate 

24 transfers.’’. 
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1 (o) RECORDKEEPING.—Section 508(c)(3) of the Tariff 

2 Act of 1930 (19 U.S.C. 1508(c)(3)) is amended— 

3 (1) by striking ‘‘3rd’’ and inserting ‘‘5th’’; and 

4 (2) by striking ‘‘payment’’ and inserting ‘‘liq5 uidation’’. 

6 (p) GOVERNMENT ACCOUNTABILITY OFFICE RE7 PORT.— 

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

9 the issuance of the regulations required by subsection 

10 (l)(2) of section 313 of the Tariff Act of 1930, as 

11 added by subsection (g) of this section, the Comp12 troller General of the United States shall submit to 

13 the Committee on Finance of the Senate and the Com14 mittee on Ways and Means of the House of Represent15 atives a report on the modernization of drawback and 

16 refunds under section 313 of the Tariff Act of 1930, 

17 as amended by this section. 

18 (2) CONTENTS.—The report required by para19 graph (1) include the following: 

20 (A) An assessment of the modernization of 

21 drawback and refunds under section 313 of the 

22 Tariff Act of 1930, as amended by this section. 

23 (B) A description of drawback claims that 

24 were permissible before the effective date provided 

25 for in subsection (q) that are not permissible 
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1 after that effective date and an identification of 

2 industries most affected. 

3 (C) A description of drawback claims that 

4 were not permissible before the effective date pro5 vided for in subsection (q) that are permissible 

6 after that effective date and an identification of 

7 industries most affected. 

8 (q) EFFECTIVE DATE.— 

9 (1) IN GENERAL.—The amendments made by 

10 this section shall— 

11 (A) take effect on the date of the enactment 

12 of this Act; and 

13 (B) apply to drawback claims filed on or 

14 after the date that is 2 years after such date of 

15 enactment. 

16 (2) REPORTING OF OPERABILITY OF AUTOMATED

17 COMMERCIAL ENVIRONMENT COMPUTER SYSTEM.—Not 

18 later than one year after the date of the enactment of 

19 this Act, and not later than 2 years after such date 

20 of enactment, the Secretary of the Treasury shall sub21 mit to Congress a report on— 

22 (A) the date on which the Automated Com23 mercial Environment will be ready to process 

24 drawback claims; and 
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1 (B) the date on which the Automated Ex2 port System will be ready to accept proof of ex3 portation under subsection (i) of section 313 of 

4 the Tariff Act of 1930, as amended by subsection 

5 (d). 

6 (3) TRANSITION RULE.—During the one-year pe7 riod beginning on the date that is 2 years after the 

8 date of the enactment of this Act (or, if later, the ef9 fective date provided for in paragraph (2)(B)), a per10 son may elect to file a claim for drawback under— 

11 (A) section 313 of the Tariff Act of 1930, as 

12 amended by this section; or 

13 (B) section 313 of the Tariff Act of 1930, as 

14 in effect on the day before the date of the enact15 ment of this Act. 

16 SEC. 907. OFFICE OF THE UNITED STATES TRADE REP17 RESENTATIVE. 

18 (a) ANNUAL REPORT ON TRADE AGREEMENTS PRO19 GRAM AND NATIONAL TRADE POLICY AGENDA.—Section 

20 163(a) of the Trade Act of 1974 (19 U.S.C. 2213(a)) is 

21 amended— 

22 (1) in paragraph (1)— 

23 (A) in subparagraph (A), by striking ‘‘and’’ 

24 at the end; 
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1 (B) in subparagraph (B), by striking the 

2 period at the end and inserting ‘‘; and’’; and 

3 (C) by adding at the end the following: 

4 ‘‘(C) the operation of all United States 

5 Trade Representative-led interagency programs 

6 during the preceding year and for the year in 

7 which the report is submitted.’’; and 

8 (2) by adding at the end the following: 

9 ‘‘(4) The report shall include, with respect to the 

10 matters referred to in paragraph (1)(C), information 

11 regarding— 

12 ‘‘(A) the objectives and priorities of all 

13 United States Trade Representative-led inter14 agency programs for the year, and the reasons 

15 therefor; 

16 ‘‘(B) the actions proposed, or anticipated, to 

17 be undertaken during the year to achieve such 

18 objectives and priorities, including actions au19 thorized under the trade laws and negotiations 

20 with foreign countries; 

21 ‘‘(C) the role of each Federal agency partici22 pating in the interagency program in achieving 

23 such objectives and priorities and activities of 

24 each agency with respect to their participation 

25 in the program; 
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1 ‘‘(D) the United States Trade Representa2 tive’s coordination of each participating Federal 

3 agency to more effectively achieve such objectives 

4 and priorities; 

5 ‘‘(E) any proposed legislation necessary or 

6 appropriate to achieve any of such objectives or 

7 priorities; and 

8 ‘‘(F) the progress that was made during the 

9 preceding year in achieving such objectives and 

10 priorities and coordination activities included in 

11 the statement provided for such year under this 

12 paragraph.’’. 

13 (b) RESOURCE MANAGEMENT AND STAFFING PLANS.— 

14 (1) ANNUAL PLAN.— 

15 (A) IN GENERAL.—The United States Trade 

16 Representative shall on an annual basis develop 

17 a plan— 

18 (i) to match available resources of the 

19 Office of the United States Trade Represent20 ative to projected workload and provide a 

21 detailed analysis of how the funds allocated 

22 from the prior fiscal year to date have been 

23 spent; 

24 (ii) to identify existing staff of the Of25 fice and new staff that will be necessary to 
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1 support the trade negotiation and enforce2 ment functions and powers of the Office (in3 cluding those of the Trade Policy Staff 

4 Committee) as described in section 141 of 

5 the Trade Act of 1974 (19 U.S.C. 2171) and 

6 section 301 of the Trade Act of 1974 (19 

7 U.S.C. 2411); 

8 (iii) to identify existing staff of the Of9 fice and staff of other Federal agencies who 

10 will be required to be detailed to support 

11 United States Trade Representative-led 

12 interagency programs, including any asso13 ciated expenses; and 

14 (iv) to provide a detailed analysis of 

15 the budgetary requirements of United States 

16 Trade Representative-led interagency pro17 grams for the next fiscal year and provide 

18 a detailed analysis of how the funds allo19 cated from the prior fiscal year to date have 

20 been spent. 

21 (B) REPORT.—The United States Trade 

22 Representative shall submit to the Committee on 

23 Ways and Means and the Committee on Appro24 priations of the House of Representatives and the 

25 Committee on Finance and the Committee on 
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1 Appropriations of the Senate a report that con2 tains the plan required under subparagraph (A). 

3 The report required under this subparagraph 

4 shall be submitted in conjunction with the an5 nual budget of the United States Government re6 quired to be submitted to Congress under section 

7 1105 of title 31, United States Code. 

8 (2) QUADRENNIAL PLAN.— 

9 (A) IN GENERAL.—Pursuant to the goals 

10 and objectives of the strategic plan of the Office 

11 of the United States Trade Representative as re12 quired under section 306 of title 5, United States 

13 Code, the United States Trade Representative 

14 shall every 4 years develop a plan— 

15 (i) to analyze internal quality controls 

16 and record management of the Office; 

17 (ii) to identify existing staff of the Of18 fice and new staff that will be necessary to 

19 support the trade negotiation and enforce20 ment functions and powers of the Office (in21 cluding those of the Trade Policy Staff 

22 Committee) as described in section 141 of 

23 the Trade Act of 1974 (19 U.S.C. 2171) and 

24 section 301 of the Trade Act of 1974 (19 

25 U.S.C. 2411); 
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1 (iii) to identify existing staff of the Of2 fice and staff in other Federal agencies who 

3 will be required to be detailed to support 

4 United States Trade Representative-led 

5 interagency programs, including any asso6 ciated expenses; 

7 (iv) to provide an outline of budget 

8 justifications, including salaries and ex9 penses as well as non-personnel administra10 tive expenses, for the fiscal years required 

11 under the strategic plan; and 

12 (v) to provide an outline of budget jus13 tifications, including salaries and expenses 

14 as well as non-personnel administrative ex15 penses, for United States Trade Representa16 tive-led interagency programs for the fiscal 

17 years required under the strategic plan. 

18 (B) REPORT.— 

19 (i) IN GENERAL.—The United States 

20 Trade Representative shall submit to the 

21 Committee on Ways and Means and the 

22 Committee on Appropriations of the House 

23 of Representatives and the Committee on 

24 Finance and the Committee on Appropria25 tions of the Senate a report that contains 
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1 the plan required under subparagraph (A). 

2 Except as provided in clause (ii), the report 

3 required under this clause shall be sub4 mitted in conjunction with the strategic 

5 plan of the Office as required under section 

6 306 of title 5, United States Code. 

7 (ii) EXCEPTION.—The United States 

8 Trade Representative shall submit to the 

9 congressional committees specified in clause 

10 (i) an initial report that contains the plan 

11 required under subparagraph (A) not later 

12 than February 1, 2016. 

13 SEC. 908. UNITED STATES-ISRAEL TRADE AND COMMERCIAL 

14 ENHANCEMENT. 

15 (a) FINDINGS.—Congress finds the following: 

16 (1) Israel is America’s dependable, democratic 

17 ally in the Middle East—an area of paramount stra18 tegic importance to the United States. 

19 (2) The United States-Israel Free Trade Agree20 ment formed the modern foundation of the bilateral 

21 commercial relationship between the two countries 

22 and was the first such agreement signed by the 

23 United States with a foreign country. 

24 (3) The United States-Israel Free Trade Agree25 ment has been instrumental in expanding commerce 
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1 and the strategic relationship between the United 

2 States and Israel. 

3 (4) More than $45 billion in goods and services 

4 is traded annually between the two countries in addi5 tion to roughly $10 billion in United States foreign 

6 direct investment in Israel. 

7 (5) The United States continues to look for and 

8 find new opportunities to enhance cooperation with 

9 Israel, including through the enactment of the United 

10 States-Israel Enhanced Security Cooperation Act of 

11 2012 (Public Law 112–150) and the United States12 Israel Strategic Partnership Act of 2014 (Public Law 

13 113–296). 

14 (6) It has been the policy of the United States 

15 Government to combat all elements of the Arab 

16 League Boycott of Israel by— 

17 (A) public statements of Administration of18 ficials; 

19 (B) enactment of relevant sections of the 

20 Export Administration Act of 1979 (as contin21 ued in effect pursuant to the International 

22 Emergency Economic Powers Act), including 

23 sections to ensure foreign persons comply with 

24 applicable reporting requirements relating to the 

25 boycott; 
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1 (C) enactment of the 1976 Tax Reform Act 

2 (Public Law 94–455) that denies certain tax 

3 benefits to entities abiding by the boycott; 

4 (D) ensuring through free trade agreements 

5 with Bahrain and Oman that such countries no 

6 longer participate in the boycott; and 

7 (E) ensuring as a condition of membership 

8 in the World Trade Organization that Saudi 

9 Arabia no longer enforces the secondary or ter10 tiary elements of the boycott. 

11 (b) STATEMENTS OF POLICY.—Congress— 

12 (1) supports the strengthening of United States13 Israel economic cooperation and recognizes the tre14 mendous strategic, economic, and technological value 

15 of cooperation with Israel; 

16 (2) recognizes the benefit of cooperation with 

17 Israel to United States companies, including by im18 proving American competitiveness in global markets; 

19 (3) recognizes the importance of trade and com20 mercial relations to the pursuit and sustainability of 

21 peace, and supports efforts to bring together the 

22 United States, Israel, the Palestinian territories, and 

23 others in enhanced commerce; 

24 (4) opposes politically motivated actions that pe25 nalize or otherwise limit commercial relations specifi-
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1 cally with Israel such as boycotts, divestment or sanc2 tions; 

3 (5) notes that the boycott, divestment, and sanc4 tioning of Israel by governments, governmental bodies, 

5 quasi-governmental bodies, international organiza6 tions, and other such entities is contrary to the Gen7 eral Agreement on Tariffs and Trade (GATT) prin8 ciple of non-discrimination; 

9 (6) encourages the inclusion of politically moti10 vated actions that penalize or otherwise limit com11 mercial relations specifically with Israel such as boy12 cotts, divestment from, or sanctions against Israel as 

13 a topic of discussion at the U.S.-Israel Joint Eco14 nomic Development Group (JEDG) and other areas 

15 to support the strengthening of the United States16 Israel commercial relationship and combat any com17 mercial discrimination against Israel; 

18 (7) supports efforts to prevent investigations or 

19 prosecutions by governments or international organi20 zations of United States persons on the sole basis of 

21 such persons doing business with Israel, with Israeli 

22 entities, or in Israeli-controlled territories; and 

23 (8) supports American States examining a com24 pany’s promotion or compliance with unsanctioned 

25 boycotts, divestment from, or sanctions against Israel 
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1 as part of its consideration in awarding grants and 

2 contracts and supports the divestment of State assets 

3 from companies that support or promote actions to 

4 boycott, divest from, or sanction Israel. 

5 (c) PRINCIPAL TRADE NEGOTIATING OBJECTIVES OF

6 THE UNITED STATES.— 

7 (1) COMMERCIAL PARTNERSHIPS.—Among the 

8 principal trade negotiating objectives of the United 

9 States for proposed trade agreements with foreign 

10 countries regarding commercial partnerships are the 

11 following: 

12 (A) To discourage actions by potential trad13 ing partners that directly or indirectly prejudice 

14 or otherwise discourage commercial activity sole15 ly between the United States and Israel. 

16 (B) To discourage politically motivated ac17 tions to boycott, divest from, or sanction Israel 

18 and to seek the elimination of politically moti19 vated non-tariff barriers on Israeli goods, serv20 ices, or other commerce imposed on the State of 

21 Israel. 

22 (C) To seek the elimination of state-spon23 sored unsanctioned foreign boycotts against 

24 Israel or compliance with the Arab League Boy25 cott of Israel by prospective trading partners. 
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1 (2) EFFECTIVE DATE.—This subsection takes ef2 fect on the date of the enactment of this Act and ap3 plies with respect to negotiations commenced before, 

4 on, or after the date of the enactment of this Act. 

5 (d) REPORT ON POLITICALLY MOTIVATED ACTS OF

6 BOYCOTT, DIVESTMENT FROM, AND SANCTIONS AGAINST

7 ISRAEL.— 

8 (1) IN GENERAL.—Not later than 180 days after 

9 the date of the enactment of this Act, and annually 

10 thereafter, the President shall submit to Congress a re11 port on politically motivated acts of boycott, divest12 ment from, and sanctions against Israel. 

13 (2) MATTERS TO BE INCLUDED.—The report re14 quired by paragraph (1) shall include the following: 

15 (A) A description of the establishment of 

16 barriers to trade, including non-tariff barriers, 

17 investment, or commerce by foreign countries or 

18 international organizations against United 

19 States persons operating or doing business in 

20 Israel, with Israeli entities, or in Israeli-con21 trolled territories. 

22 (B) A description of specific steps being 

23 taken by the United States to encourage foreign 

24 countries and international organizations to 

25 cease creating such barriers and to dismantle 
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1 measures already in place and an assessment of 

2 the effectiveness of such steps. 

3 (C) A description of specific steps being 

4 taken by the United States to prevent investiga5 tions or prosecutions by governments or inter6 national organizations of United States persons 

7 on the sole basis of such persons doing business 

8 with Israel, with Israeli entities, or in Israeli9 controlled territories. 

10 (D) Decisions by foreign persons, including 

11 corporate entities and state-affiliated financial 

12 institutions, that limit or prohibit economic rela13 tions with Israel or persons doing business in 

14 Israel or in Israeli controlled territories. 

15 (e) CERTAIN FOREIGN JUDGMENTS AGAINST UNITED

16 STATES PERSONS.—Notwithstanding any other provision 

17 of law, no domestic court shall recognize or enforce any for18 eign judgment entered against a United States person that 

19 conducts business operations in Israel, or any territory con20 trolled by Israel, if the domestic court determines that the 

21 foreign judgment is based, in whole or in part, on a deter22 mination by a foreign court that the United States person’s 

23 conducting business operations therein or with Israeli enti24 ties constitutes a violation of law. 

25 (f) DEFINITIONS.—In this section: 
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1 (1) BOYCOTT, DIVESTMENT FROM, AND SANC2 TIONS AGAINST ISRAEL.—The term ‘‘boycott, divest3 ment from, and sanctions against Israel’’ means ac4 tions by states, non-member states of the United Na5 tions, international organizations, or affiliated agen6 cies of international organizations that are politically 

7 motivated and are intended to penalize or otherwise 

8 limit commercial relations specifically with Israel or 

9 persons doing business in Israel or in Israeli-con10 trolled territories. 

11 (2) DOMESTIC COURT.—The term ‘‘domestic 

12 court’’ means a Federal court of the United States, or 

13 a court of any State or territory of the United States 

14 or of the District of Columbia. 

15 (3) FOREIGN COURT.—The term ‘‘foreign court’’ 

16 means a court, an administrative body, or other tri17 bunal of a foreign country. 

18 (4) FOREIGN JUDGMENT.—The term ‘‘foreign 

19 judgment’’ means a final civil judgment rendered by 

20 a foreign court. 

21 (5) FOREIGN PERSON.—The term ‘‘foreign per22 son’’ means— 

23 (A) any natural person who is not lawfully 

24 admitted for permanent residence (as defined in 

25 section 101(a)(20) of the Immigration and Na-
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1 tionality Act (8 U.S.C. 1101(a)(20)) or who is 

2 not a protected individual (as defined in section 

3 274B(a)(3) of such Act (8 U.S.C. 1324b(a)(3)); 

4 or 

5 (B) any foreign corporation, business asso6 ciation, partnership, trust, society or any other 

7 entity or group that is not incorporated or orga8 nized to do business in the United States, as well 

9 as any international organization, foreign gov10 ernment and any agency or subdivision of for11 eign government, including a diplomatic mis12 sion. 

13 (6) PERSON.— 

14 (A) IN GENERAL.—The term ‘‘person’’ 

15 means— 

16 (i) a natural person; 

17 (ii) a corporation, business association, 

18 partnership, society, trust, financial institu19 tion, insurer, underwriter, guarantor, and 

20 any other business organization, any other 

21 nongovernmental entity, organization, or 

22 group, and any governmental entity oper23 ating as a business enterprise; and 

24 (iii) any successor to any entity de25 scribed in clause (ii). 
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1 (B) APPLICATION TO GOVERNMENTAL ENTI2 TIES.—The term ‘‘person’’ does not include a 

3 government or governmental entity that is not 

4 operating as a business enterprise. 

5 (7) UNITED STATES PERSON.—The term ‘‘United 

6 States person’’ means— 

7 (A) a natural person who is a national of 

8 the United States (as defined in section 

9 101(a)(22) of the Immigration and Nationality 

10 Act (8 U.S.C. 1101(a)(22))); or 

11 (B) a corporation or other legal entity 

12 which is organized under the laws of the United 

13 States, any State or territory thereof, or the Dis14 trict of Columbia, if natural persons described in 

15 subparagraph (A) own, directly or indirectly, 

16 more than 50 percent of the outstanding capital 

17 stock or other beneficial interest in such legal en18 tity. 

19 SEC. 909. ELIMINATION OF CONSUMPTIVE DEMAND EXCEP20 TION TO PROHIBITION ON IMPORTATION OF 

21 GOODS MADE WITH CONVICT LABOR, FORCED 

22 LABOR, OR INDENTURED LABOR; REPORT. 

23 (a) ELIMINATION OF CONSUMPTIVE DEMAND EXCEP24 TION.— 
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1 (1) IN GENERAL.—Section 307 of the Tariff Act 

2 of 1930 (19 U.S.C. 1307) is amended by striking 

3 ‘‘The provisions of this section’’ and all that follows 

4 through ‘‘of the United States.’’. 

5 (2) EFFECTIVE DATE.—The amendment made by 

6 paragraph (1) shall take effect on the date that is 15 

7 days after the date of the enactment of this Act. 

8 (b) REPORT REQUIRED.—Not later than 180 days 

9 after the date of the enactment of this Act, and annually 

10 thereafter, the Commissioner shall submit to the Committee 

11 on Finance of the Senate and the Committee on Ways and 

12 Means of the House of Representatives a report on compli13 ance with section 307 of the Tariff Act of 1930 (19 U.S.C. 

14 1307) that includes the following: 

15 (1) The number of instances in which merchan16 dise was denied entry pursuant to that section during 

17 the 1-year period preceding the submission of the re18 port. 

19 (2) A description of the merchandise denied 

20 entry pursuant to that section. 

21 (3) Such other information as the Commissioner 

22 considers appropriate with respect to monitoring and 

23 enforcing compliance with that section. 
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1 SEC. 910. CUSTOMS USER FEES. 

2 (a) IN GENERAL.—Section 13031(j)(3) of the Consoli3 dated Omnibus Budget Reconciliation Act of 1985 (19 

4 U.S.C. 58c(j)(3)) is amended by adding at the end the fol5 lowing: 

6 ‘‘(C) Fees may be charged under paragraphs (9) and 

7 (10) of subsection (a) during the period beginning on July 

8 8, 2025, and ending on July 28, 2025.’’. 

9 (b) RATE FOR MERCHANDISE PROCESSING FEES.— 

10 Section 503 of the United States–Korea Free Trade Agree11 ment Implementation Act (Public Law 112–41; 125 Stat. 

12 460) is amended— 

13 (1) by striking ‘‘For the period’’ and inserting 

14 ‘‘(a) IN GENERAL.—For the period’’; and 

15 (2) by adding at the end the following: 

16 ‘‘(b) ADDITIONAL PERIOD.—For the period beginning 

17 on July 1, 2025, and ending on July 14, 2025, section 

18 13031(a)(9) of the Consolidated Omnibus Budget Reconcili19 ation Act of 1985 (19 U.S.C. 58c(a)(9)) shall be applied 

20 and administered— 

21 ‘‘(1) in subparagraph (A), by substituting 

22 ‘0.3464’ for ‘0.21’; and 

23 ‘‘(2) in subparagraph (B)(i), by substituting 

24 ‘0.3464’ for ‘0.21’.’’. 
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1 SEC. 911. REPORT ON CERTAIN U.S. CUSTOMS AND BORDER 

2 PROTECTION AGREEMENTS. 

3 (a) IN GENERAL.—Not later than one year after enter4 ing into an agreement under a program specified in sub5 section (b), and annually thereafter until the termination 

6 of the program, the Commissioner shall submit to the Com7 mittee on Finance of the Senate, the Committee on Ways 

8 and Means of the House of Representatives, the Committee 

9 on Homeland Security and Governmental Affairs of the 

10 Senate, and the Committee on Homeland Security of the 

11 House of Representatives a report that includes the fol12 lowing: 

13 (1) A description of the development of the pro14 gram. 

15 (2) A description of the type of entity with which 

16 U.S. Customs and Border Protection entered into the 

17 agreement and the amount that entity reimbursed 

18 U.S. Customs and Border Protection under the agree19 ment. 

20 (3) An identification of the type of port of entry 

21 to which the agreement relates and an assessment of 

22 how the agreement provides economic benefits at the 

23 port of entry. 

24 (4) A description of the services provided by U.S. 

25 Customs and Border Protection under the agreement 
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1 during the year preceding the submission of the re2 port. 

3 (5) The amount of fees collected under the agree4 ment during that year. 

5 (6) A detailed accounting of how the fees col6 lected under the agreement have been spent during 

7 that year. 

8 (7) A summary of any complaints or criticism 

9 received by U.S. Customs and Border Protection dur10 ing that year regarding the agreement. 

11 (8) An assessment of the compliance of the entity 

12 described in paragraph (2) with the terms of the 

13 agreement. 

14 (9) Recommendations with respect to how activi15 ties conducted pursuant to the agreement could func16 tion more effectively or better produce economic bene17 fits. 

18 (10) A summary of the benefits to and challenges 

19 faced by U.S. Customs and Border Protection and the 

20 entity described in paragraph (2) under the agree21 ment. 

22 (b) PROGRAM SPECIFIED.—A program specified in 

23 this subsection is— 

24 (1) the program for entering into reimbursable 

25 fee agreements for the provision of U.S. Customs and 
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1 Border Protection services established by section 560 

2 of the Department of Homeland Security Appropria3 tions Act, 2013 (division D of Public Law 113–6; 127 

4 Stat. 378); or 

5 (2) the pilot program authorizing U.S. Customs 

6 and Border Protection to enter into partnerships with 

7 private sector and government entities at ports of 

8 entry established by section 559 of the Department of 

9 Homeland Security Appropriations Act, 2014 (divi10 sion F of Public Law 113–76; 6 U.S.C. 211 note). 

11 SEC. 912. AMENDMENTS TO BIPARTISAN CONGRESSIONAL 

12 TRADE PRIORITIES AND ACCOUNTABILITY 

13 ACT OF 2015. 

14 (a) IMMIGRATION LAWS OF THE UNITED STATES.— 

15 Section 102(a) of the Bipartisan Congressional Trade Pri16 orities and Accountability Act of 2015 is amended— 

17 (1) in paragraph (12), by striking ‘‘and’’ at the 

18 end; 

19 (2) in paragraph (13), by striking the period at 

20 the end and inserting ‘‘; and’’; and 

21 (3) by adding at the end the following: 

22 ‘‘(14) to ensure that trade agreements do not re23 quire changes to the immigration laws of the United 

24 States or obligate the United States to grant access or 

25 expand access to visas issued under section 101(a)(15) 
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1 of the Immigration and Nationality Act (8 U.S.C. 

2 1101(a)(15)).’’. 

3 (b) GLOBAL WARMING.—Section 102(a) of the Bipar4 tisan Congressional Trade Priorities and Accountability 

5 Act of 2015, as amended by subsection (a) of this section, 

6 is amended— 

7 (1) in paragraph (13), by striking ‘‘and’’ at the 

8 end; 

9 (2) in paragraph (14), by striking the period at 

10 the end and inserting ‘‘; and’’; and 

11 (3) by adding at the end the following: 

12 ‘‘(15) to ensure that trade agreements do not re13 quire changes to U.S. law or obligate the United 

14 States with respect to global warming or climate 

15 change.’’. 

16 (c) FISHERIES NEGOTIATIONS.—Section 102(b) of the 

17 Bipartisan Congressional Trade Priorities and Account18 ability Act of 2015 is amended by adding at the end the 

19 following: 

20 ‘‘(22) FISHERIES NEGOTIATIONS.—The principal 

21 negotiating objectives of the United States with re22 spect to trade in fish, seafood, and shellfish products 

23 are to obtain competitive opportunities for United 

24 States exports of fish, seafood, and shellfish products 

25 in foreign markets substantially equivalent to the 
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1 competitive opportunities afforded foreign exports of 

2 fish, seafood, and shellfish products in United States 

3 markets and to achieve fairer and more open condi4 tions of trade in fish, seafood, and shellfish products, 

5 including by reducing or eliminating tariff and non6 tariff barriers and eliminating subsidies that distort 

7 trade.’’. 

8 (d) ACCREDITATION.—Section 104(c)(2)(C) of the Bi9 partisan Congressional Trade Priorities and Accountability 

10 Act of 2015 is amended by inserting after the first sentence 

11 the following: ‘‘In addition, the chairman and ranking 

12 members described in subparagraphs (A)(i) and (B)(i) shall 

13 each be permitted to designate up to 3 personnel with prop14 er security clearances to serve as delegates to such negotia15 tions.’’. 

16 (e) TRAFFICKING IN PERSONS.—Section 106(b)(6) of 

17 the Bipartisan Congressional Trade Priorities and Ac18 countability Act of 2015 is amended— 

19 (1) by redesignating subparagraph (B) as sub20 paragraph (C); and 

21 (2) by inserting after subparagraph (A) the fol22 lowing: 

23 ‘‘(B) EXCEPTION.— 

24 ‘‘(i) INVOKING EXCEPTION.—If the 

25 President submits to the appropriate con-
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1 gressional committees a letter stating that a 

2 country to which subparagraph (A) applies 

3 has taken concrete actions to implement the 

4 principal recommendations with respect to 

5 that country in the most recent annual re6 port on trafficking in persons, this para7 graph shall not apply with respect to agree8 ments with that country. 

9 ‘‘(ii) CONTENT OF LETTER; PUBLIC

10 AVAILABILITY.—A letter submitted under 

11 clause (i) with respect to a country shall— 

12 ‘‘(I) include a description of the 

13 concrete actions that the country has 

14 taken to implement the principal rec15 ommendations described in clause (i); 

16 and 

17 ‘‘(II) be made available to the 

18 public. 

19 ‘‘(iii) APPROPRIATE CONGRESSIONAL

20 COMMITTEES DEFINED.—In this subpara21 graph, the term ‘appropriate congressional 

22 committees’ means— 

23 ‘‘(I) the Committee on Ways and 

24 Means and the Committee on Foreign 
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1 Affairs of the House of Representatives; 

2 and 

3 ‘‘(II) the Committee on Finance 

4 and the Committee on Foreign Rela5 tions of the Senate.’’; 

6 (f) TECHNICAL AMENDMENTS.—The Bipartisan Con7 gressional Trade Priorities and Accountability Act of 2015 

8 is amended— 

9 (1) in section 105(b)(3)— 

10 (A) in subparagraph (A)(ii), by striking 

11 ‘‘section 102(b)(16)’’ and inserting ‘‘section 

12 102(b)(17)’’; and 

13 (B) in subparagraph (B)(ii), by striking 

14 ‘‘section 102(b)(16)’’ and inserting ‘‘section 

15 102(b)(17)’’; and 

16 (2) in section 106(b)(5), by striking ‘‘section 

17 102(b)(15)(C)’’ and inserting ‘‘section 102(b)(16)(C)’’. 

18 (g) EFFECTIVE DATE.—The amendments made by this 

19 section shall take effect as if included in the enactment of 

20 the Bipartisan Congressional Trade Priorities and Ac21 countability Act of 2015. 
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1 SEC. 913. CERTAIN INTEREST TO BE INCLUDED IN DIS2 TRIBUTIONS UNDER CONTINUED DUMPING 

3 AND SUBSIDY OFFSET ACT OF 2000. 

4 (a) IN GENERAL.—Notwithstanding any other provi5 sion of law, the Commissioner shall include in all distribu6 tions of collected antidumping and countervailing duties 

7 described in subsection (b) all interest earned on such du8 ties, including— 

9 (1) interest accrued under section 778 of the Tar10 iff Act of 1930 (19 U.S.C. 1677g), 

11 (2) interest accrued under section 505(d) of the 

12 Tariff Act of 1930 (19 U.S.C. 1505(d)), and 

13 (3) common-law equitable interest, and all inter14 est under section 963 of the Revised Statutes of the 

15 United States (19 U.S.C. 580), awarded by a court 

16 against a surety’s late payment of antidumping or 

17 countervailing duties and interest described in para18 graph (1) or (2), under its bond, 

19 which is, or was, realized through application of any pay20 ment received on or after October 1, 2014, by U.S. Customs 

21 and Border Protection under, or in connection with, any 

22 customs bond pursuant to a court order or judgment, or 

23 any settlement for any such bond. 

24 (b) DISTRIBUTIONS DESCRIBED.—The distributions 

25 described in subsection (a) are all distributions made on 

26 or after the date of the enactment of this Act pursuant to 
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1 section 754 of the Tariff Act of 1930 (19 U.S.C. 1675c) (as 

2 such section was in effect on February 7, 2006) of collected 

3 antidumping and countervailing duties assessed on or after 

4 October 1, 2000, on entries made through September 30, 

5 2007. 

6 SEC. 914. REPORT ON COMPETITIVENESS OF U.S. REC7 REATIONAL PERFORMANCE OUTERWEAR IN8 DUSTRY. 

9 Not later than June 1, 2016, the United States Inter10 national Trade Commission shall submit to the Committee 

11 on Finance of the Senate and the Committee on Ways and 

12 Means of the House of Representatives a report on the com13 petitiveness of the United States recreational performance 

14 outwear industry and its effects on the United States econ15 omy, including an assessment of duty structures on inputs 

16 as well as finished products and global supply chains. 

17 SEC. 915. INCREASE IN PENALTY FOR FAILURE TO FILE RE18 TURN OF TAX. 

19 (a) IN GENERAL.—Section 6651(a) of the Internal 

20 Revenue Code of 1986 is amended by striking ‘‘$135’’ in 

21 the last sentence and inserting ‘‘$205’’. 

22 (b) CONFORMING AMENDMENT.—Section 6651(i) of 

23 such Code is amended by striking ‘‘$135’’ and inserting 

24 ‘‘$205’’. 
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1 (c) EFFECTIVE DATE.—The amendments made by this 

2 section shall apply to returns required to be filed in cal3 endar years after 2015. 

Attest: 

Clerk. 

114TH CONGRESS 

1ST SESSION H.R. 644 

HOUSE AMENDMENT TO 

SENATE AMENDMENT