II 

109TH CONGRESS 

1ST SESSION S. 376 

To improve intermodal shipping container transportation security. 

IN THE SENATE OF THE UNITED STATES 

FEBRUARY 15, 2005 

Mrs. HUTCHISON introduced the following bill; which was read twice and 

referred to the Committee on Commerce, Science, and Transportation 

A BILL 

To improve intermodal shipping container transportation 

security. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Intermodal Shipping 

5 Container Security Act’’. 

6 SEC. 2. NATIONAL TRANSPORTATION SECURITY STRATEGY. 

7 In carrying out section 114(f) of title 49, United 

8 States Code, the Under Secretary of Homeland Security 

9 for Border and Transportation Security shall take into ac10 count the National Maritime Transportation Security 

11 Plan prepared under section 70103 of title 46, United 
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1 States Code, by the Secretary of the department in which 

2 the Coast Guard is operating when the plan is prepared 

3 in order to ensure that the strategy for dealing with 

4 threats to transportation security developed under section 

5 114(f)(3) of title 49, United States Code, incorporates rel6 evant aspects of the National Maritime Transportation Se7 curity Plan and addresses all modes of commercial trans8 portation to, from, and within the United States. 

9 SEC. 3. COMPREHENSIVE STRATEGIC PLAN FOR INTER10 MODAL SHIPPING CONTAINER SECURITY. 

11 (a) STRATEGIC PLAN.— 

12 (1) IN GENERAL.—Within 180 days after the 

13 date of enactment of this Act, the Secretary of 

14 Homeland Security shall submit to the Senate Com15 mittee on Commerce, Science, and Transportation 

16 and the House of Representatives Committee on 

17 Transportation and Infrastructure a strategic plan 

18 for integrating security for all modes of transpor19 tation by which intermodal shipping containers ar20 rive, depart, or move in interstate commerce in the 

21 United States that— 

22 (A) takes into account the security-related 

23 authorities and missions of all Federal, State, 

24 and local law enforcement agencies that relate 

25 to the movement of intermodal shipping con-
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1 tainers via air, rail, maritime, or highway trans2 portation in the United States; and 

3 (B) establishes as a goal the creation of a 

4 comprehensive, integrated strategy for inter5 modal shipping container security that encom6 passes the authorities and missions of all those 

7 agencies and sets forth specific objectives, 

8 mechanisms, and a schedule for achieving that 

9 goal. 

10 (2) UPDATES.—The Secretary shall revise the 

11 plan from time to time. 

12 (b) IDENTIFICATION OF PROBLEM AREAS.—In devel13 oping the strategic plan required by subsection (a), the 

14 Secretary shall consult with all Federal, State, and local 

15 government agencies responsible for security matters that 

16 affect or relate to the movement of intermodal shipping 

17 containers via air, rail, maritime, or highway transpor18 tation in the United States in order to— 

19 (1) identify changes, including legislative, regu20 latory, jurisdictional, and organizational changes, 

21 necessary to improve coordination among those 

22 agencies; 

23 (2) reduce overlapping capabilities and respon24 sibilities; and 
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1 (3) streamline efforts to improve the security of 

2 such intermodal shipping containers. 

3 (c) ESTABLISHMENT OF STEERING GROUP.—The 

4 Secretary shall establish, organize, and provide support 

5 for an advisory committee, to be known as the Senior 

6 Steering Group, of senior representatives of the agencies 

7 described in subsection (c). The Group shall meet from 

8 time to time, at the call of the Secretary or upon its own 

9 motion, for the purpose of developing solutions to jurisdic10 tional and other conflicts among the represented agencies 

11 with respect to the security of intermodal shipping con12 tainers, improving coordination and information-sharing 

13 among the represented agencies, and addressing such 

14 other, related matters, as the Secretary may request. 

15 (d) ANNUAL REPORT.—The Secretary, after con16 sulting the Senior Steering Group, shall submit an annual 

17 report to the Senate Committee on Commerce, Science, 

18 and Transportation and the House of Representatives 

19 Committee on Transportation and Infrastructure describ20 ing the activities of the Senior Steering Group and the 

21 Secretary under this section, describing the progress made 

22 during the year toward achieving the objectives of the 

23 plan, and including any recommendations, including legis24 lative recommendations, if appropriate for further im25 provements in dealing with security-issues related to inter-
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1 modal shipping containers and related transportation se2 curity issues. 

3 (e) BIENNIAL EXPERT CRITIQUE.— 

4 (1) EXPERT PANEL.—A panel of experts shall 

5 be convened once every 2 years by the Senate Com6 mittee on Commerce, Science, and Transportation 

7 and the House of Representatives Committee on 

8 Transportation and Infrastructure to review plans 

9 submitted by the Secretary under subsection (a). 

10 (2) MEMBERSHIP.—The panel shall consist 

11 of— 

12 (A) 4 individuals selected by the chairman 

13 and ranking member of the Senate Committee 

14 on Commerce, Science, and Transportation and 

15 by the chairman and ranking member of House 

16 of Representatives Committee on Transpor17 tation and Infrastructure, respectively; and 

18 (B) 1 individual selected by the 4 individ19 uals selected under subparagraph (A). 

20 (3) QUALIFICATIONS.—Individuals selected 

21 under paragraph (2) shall be chosen from among in22 dividuals with professional expertise and experience 

23 in security-related issues involving shipping or trans24 portation and without regard to political affiliation. 
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1 (4) COMPENSATION AND EXPENSES.—An indi2 vidual serving as a member of the panel shall not re3 ceive any compensation or other benefits from the 

4 Federal Government for serving on the panel or be 

5 considered a Federal employee as a result of such 

6 service. Panel members shall be reimbursed by the 

7 Committees for expenses, including travel and lodg8 ing, they incur while actively engaged in carrying 

9 out the functions of the panel. 

10 (5) FUNCTION.—The panel shall review plans 

11 submitted by the Secretary under subsection (a), 

12 evaluate the strategy set forth in the plan, and make 

13 such recommendations to the Secretary for modi14 fying or otherwise improving the strategy as may be 

15 appropriate. 

16 SEC. 4. SHIPPING CONTAINER INTEGRITY INITIATIVE. 

17 (a) IN GENERAL.—Chapter 701 of title 46, United 

18 States Code, is amended— 

19 (1) by redesignating section 70117 as section 

20 70118; and 

21 (2) by inserting after section 70116 the fol22 lowing: 
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1 ‘‘§ 70117. Enhanced container-related security meas2 ures. 

3 ‘‘(a) TRACKING INTERMODAL CONTAINER SHIP4 MENTS IN THE UNITED STATES.—The Secretary, in co5 operation with the Under Secretary of Border and Trans6 portation Security, shall develop a system to increase the 

7 number of intermodal shipping containers physically in8 spected (including noninstrusive inspection by scanning 

9 technology), monitored, and tracked within the United 

10 States. 

11 ‘‘(b) SMART BOX TECHNOLOGY.—Under regulations 

12 to be prescribed by the Secretary, beginning with calendar 

13 year 2007 no less than 50 percent of all ocean-borne ship14 ping containers entering the United States during any cal15 endar year shall incorporate ‘Smart Box’ or equivalent 

16 technology developed, approved, or certified by the Under 

17 Secretary of Homeland Security for Border and Transpor18 tation Security. 

19 ‘‘(c) DEVELOPMENT OF INTERNATIONAL STANDARD

20 FOR SMART CONTAINERS.—The Secretary shall— 

21 ‘‘(1) develop, and seek international acceptance 

22 of, a standard for ‘smart’ maritime shipping con23 tainers that incorporate technology for tracking the 

24 location and assessing the integrity of those con25 tainers as they move through the intermodal trans26 portation system; and 
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1 ‘‘(2) implement an integrated tracking and 

2 technology system for such containers. 

3 ‘‘(d) REPORT.—Within 1 year after the date of enact4 ment of the Intermodal Shipping Container Security Act, 

5 the Secretary shall transmit to the Senate Committee on 

6 Commerce, Science, and Transportation and the House of 

7 Representatives Committee on Transportation and Infra8 structure a report that contains— 

9 ‘‘(1) a cost analysis for implementing this sec10 tion; and 

11 ‘‘(2) a strategy for implementing the system de12 scribed in subsection (c)(3).’’. 

13 (b) CONFORMING AMENDMENT.—The chapter anal14 ysis for chapter 701 of title 46, United States Code, is 

15 amended by striking the item relating to section 70117 

16 and inserting the following: 

‘‘70117. Enhanced container-related security measures. 

‘‘70118. Civil penalties.’’. 

17 SEC. 5. ADDITIONAL RECOMMENDATIONS. 

18 Within 180 days after the date of enactment of this 

19 Act, the Secretary of Homeland Security shall submit to 

20 the Senate Committee on Commerce, Science, and Trans21 portation and the House of Representatives Committee on 

22 Transportation and Infrastructure a report that contains 

23 the following: 
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1 (1) Recommendations about what analysis must 

2 be performed and the cost to develop and field a 

3 cargo container tracking and monitoring system 

4 within the United States which tracks all aviation, 

5 rail, maritime, and highway cargo containers 

6 equipped with smart container technology. 

7 (2) Recommendations on how the Department 

8 of Homeland Security could help support the deploy9 ment of such a system. 

10 (3) Recommendations as to how current efforts 

11 by the Department of Homeland Security and other 

12 Federal agencies could be incorporated into the 

13 physical screening or inspection of aviation, rail, 

14 maritime, and highway cargo containers within the 

15 United States. 

16 (4) Recommendations about operating systems 

17 and standards for those operating systems, to sup18 port the tracking of aviation, rail, maritime, and 

19 highway cargo containers within the United States 

20 that would include the location of regional, State, 

21 and local operations centers. 

22 (5) A description of what contingency actions, 

23 measures, and mechanisms should be incorporated in 

24 the deployment of a nationwide aviation, rail, mari25 time, and highway cargo containers tracking and 
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1 monitoring system which would allow the United 

2 States maximum flexibility in responding quickly 

3 and appropriately to increased terrorist threat levels 

4 at the local, State, or regional level. 

5 (6) A description of what contingency actions, 

6 measures, and mechanisms must be incorporated in 

7 the deployment of such a system which would allow 

8 for the quick reconstitution of the system in the 

9 event of a catastrophic terrorist attack which af10 fected part of the system. 

11 (7) Recommendations on how to leverage exist12 ing information and operating systems within State 

13 or Federal agencies to assist in the fielding of the 

14 system. 

15 (8) Recommendations on co-locating local, 

16 State, and Federal agency personnel to streamline 

17 personnel requirements, minimize costs, and avoid 

18 redundancy. 

19 (9) An initial assessment of the availability of 

20 private sector resources which could be utilized, and 

21 incentive systems developed, to support the fielding 

22 of the system, and the maintenance and improve23 ment as technology or terrorist threat dictate. 

24 (10) Recommendations on how this system that 

25 is focused on the continental United States would be 
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1 integrated into any existing or planned system, or 

2 process, which is designed to monitor the movement 

3 of cargo containers outside the continental United 

4 States. 

5 SEC. 6. IMPROVEMENTS TO CONTAINER TARGETING SYS6 TEMS. 

7 (a) IN GENERAL.—Within 90 days after the date of 

8 enactment of this Act, the Secretary of Homeland Security 

9 shall submit a report to the Senate Committee on Com10 merce, Science, and Transportation and the House of Rep11 resentatives Committee on Transportation and Infrastruc12 ture that provides a preliminary plan for strengthening the 

13 Bureau of Customs and Border Protection’s container tar14 geting system. The plan shall identify the cost and feasi15 bility of requiring additional non-manifest documentation 

16 for each container, including purchase orders, shipper’s 

17 letters of instruction, commercial invoices, letters of credit, 

18 or certificates of origin. 

19 (b) REDUCTION OF MANIFEST REVISION WINDOW.— 

20 Within 60 days after the date of enactment of this Act, 

21 the Secretary of Homeland Security shall issue regulations 

22 under which the time period for revisions to a container 

23 cargo manifest submitted to the Bureau of Customs and 

24 Border Protection shall be reduced from 60 days to 45 

25 days after arrival at a United States port. 
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1 (c) SUPPLY CHAIN INFORMATION.—Within 180 days 

2 after the date of enactment of this Act, the Secretary of 

3 Homeland Security shall develop a system to share threat 

4 and vulnerability information with all of the industries in 

5 the supply chain that will allow ports, carriers, and ship6 pers to report on security lapses in the supply chain and 

7 have access to unclassified maritime threat and security 

8 information such as piracy incidents. 

9 SEC. 7. INCREASE IN NUMBER OF CUSTOMS INSPECTORS 

10 ASSIGNED OVERSEAS. 

11 (a) IN GENERAL.—The Secretary of Homeland Secu12 rity shall substantially increase the number of United 

13 States Customs Service inspectors assigned to duty out14 side the United States under the Container Security Ini15 tiative of the United States Customs Service with respon16 sibility for inspecting intermodal shipping containers being 

17 shipped to the United States. 

18 (b) STAFFING CRITERIA.—In carrying out subsection 

19 (a) the Secretary of Homeland Security shall determine 

20 the appropriate level for assignment and density of cus21 toms inspectors at selected international port facilities by 

22 a threat, vulnerability, and risk analysis which, at a min23 imum, considers— 

24 (1) the volume of containers shipped; 
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1 (2) the ability of the host government to assist 

2 in both manning and providing equipment and re3 sources; 

4 (3) terrorist intelligence known of importer ven5 dors, suppliers or manufactures; and 

6 (4) other criteria as determined in consult with 

7 experts in the shipping industry, terrorism, and 

8 shipping container security. 

9 (c) MINIMUM NUMBER.—The total number of cus10 toms inspectors assigned to international port facilities 

11 shall not be less than the number determined as a result 

12 of the threat, vulnerability, and risk assessment analysis 

13 which is validated by the Administrator of the Transpor14 tation Security Administration within 180 days after the 

15 date of enactment of this Act. 

16 (d) PLAN.—The Secretary shall submit a plan to the 

17 Senate Committee on Commerce, Science, and Transpor18 tation and the House of Representatives Committee on 

19 Transportation and Infrastructure, with timelines, for 

20 phasing inspectors into selected port facilities within 180 

21 days after the enactment of this Act. 

22 SEC. 8. RANDOM INSPECTION OF CONTAINERS. 

23 (a) IN GENERAL.—The Under Secretary of Home24 land Security for Border and Transportation Security 

25 shall develop and implement a plan for random inspection 
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1 of shipping containers in addition to any targeted or pre2 shipment inspection of such containers required by law or 

3 regulation or conducted under any other program con4 ducted by the Under Secretary. 

5 (b) CIVIL PENALTY FOR ERRONEOUS MANIFEST.— 

6 (1) IN GENERAL.—Except as provided in para7 graph (2), if the Under Secretary determines on the 

8 basis of an inspection conducted under subsection 

9 (a) that there is a discrepancy between the contents 

10 of a shipping container and the manifest for that 

11 container, the Under Secretary may impose a civil 

12 penalty of not more than $1,000 for the discrepancy. 

13 (2) MANIFEST DISCREPANCY REPORTING.—The 

14 Under Secretary may not impose a civil penalty 

15 under paragraph (1) if a manifest discrepancy re16 port is filed with respect to the discrepancy within 

17 the time limits established by Customs Directive No. 

18 3240–067A (or any subsequently issued directive 

19 governing the matters therein) for filing a manifest 

20 discrepancy report. 

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