tered, or withdrawn from warehouse for con-
sumption, after December 31, 1999.
SEC. 2231. DPX–E9260.
(a) IN GENERAL.—Subchapter II of chapter 99 is
amended by inserting in numerical sequence the following
new heading:
‘‘
9902.33.63
3-(Ethylsulfonyl)-2-
pyridinesulfonamide (CAS
No. 117671–01–9) (pro-
vided for in subheading
2935.00.75) .........................
6%
No change
No change
On or before
12/31/99
’’.
(b) RATE ADJUSTMENT.—Heading 9902.33.63, as
added by subsection (a), is amended—
(1) by striking ‘‘6%’’ and inserting ‘‘5.3%’’;
and
(2) by striking ‘‘12/31/99’’ and inserting ‘‘12/
31/2000’’.
(c) EFFECTIVE DATES.—
(1) IN
GENERAL.—The amendment made by
subsection (a) applies to goods entered, or with-
drawn from warehouse for consumption, on or after
the 15th day after the date of enactment of this Act.
(2) ADJUSTMENT.—The amendments made by
subsection (b) apply to goods entered, or withdrawn
from warehouse for consumption, after December
31, 1999.
SEC. 2232. ZIRAM.
Subchapter II of chapter 99 is amended by inserting
in numerical sequence the following new heading:
‘‘
9902.38.28
Ziram (pro-
vided for in
subheading
3808.20.28) ..
Free
No change
No change
On or before
12/31/2001
’’.
SEC. 2233. FERROBORON.
Subchapter II of chapter 99 is amended by inserting
in numerical sequence the following new heading:
‘‘
9902.72.02
Ferroboron to
be used for
manufactur-
ing amor-
phous metal
strip (pro-
vided for in
subheading
7202.99.50) ..
Free
No change
No change
On or before
12/31/2001
’’.
SEC. 2234. ACETIC ACID, [[2-CHLORO-4-FLUORO-5-[(TETRA-
HYDRO-3-OXO-1H,3H-[1,3,4] THIADIAZOLO[3,4-
A]PYRIDAZIN-1-YLIDENE)AMINO]PHENYL]-
THIO]-, METHYL ESTER.
Subchapter II of chapter 99 is amended by inserting
in numerical sequence the following new heading:
‘‘
9902.29.65
Acetic acid, [[2-chloro-4-
fluoro-5-[(tetrahydro-3-oxo-
1H,3H-[1,3,4] thiadiazolo-
[3,4-A]pyridazin-1-
ylidene)amino]phenyl]thio]-,
methyl ester (CAS No.
117337–19–6) (provided for
in subheading 2934.90.15)
Free
No change
No change
On or before
12/31/2001
’’.
SEC. 
2235. 
PENTYL[2-CHLORO-5-(CYCLOHEX-1-ENE-1,2-DI-
CARBOXIMIDO)-4-FLUOROPHENOXY] 
ACE-
TATE.
Subchapter II of chapter 99 is amended by inserting
in numerical sequence the following new heading:
‘‘
9902.33.66
Pentyl[2-chloro-5-(cyclohex-1-
ene-1,2-dicarboximido)-4-
fluorophenoxy]acetate (CAS
No. 87546–18–7) (provided
for in subheading
2925.19.40) ...........................
Free
No change
No change
On or before
12/31/2001
’’.
SEC. 
2236. 
BENTAZON 
(3-ISOPROPYL)-1H-2,1,3-BENZO-
THIADIAZIN-4(3H)-ONE-2,2-DIOXIDE).
Subchapter II of chapter 99 is amended by inserting
in numerical sequence the following new heading:
‘‘
9902.29.67
Bentazon (3-Isopropyl)-1H-
2,1,3-benzothiadiazin-4(3H)-
one-2,2-dioxide) (CAS No.
50723–80–3) (provided for in
subheading 2934.90.11) .......
5.0%
No change
No change
On or before
12/31/2001
’’.
SEC. 2237. CERTAIN HIGH-PERFORMANCE LOUDSPEAKERS
NOT MOUNTED IN THEIR ENCLOSURES.
Subchapter II of chapter 99 is amended by inserting
in numerical sequence the following new heading:
‘‘
9902.85.20
Loudspeakers not mounted in
their enclosures (provided for
in subheading 8518.29.80),
the foregoing which meet a
performance standard of not
more than 1.5 dB for the av-
erage level of 3 or more oc-
tave bands, when such loud-
speakers are tested in a re-
verberant chamber ................
Free
No change
No change
On or before
12/31/2001
’’.
SEC. 2238. PARTS FOR USE IN THE MANUFACTURE OF CER-
TAIN HIGH-PERFORMANCE LOUDSPEAKERS.
Subchapter II of chapter 99 is amended by inserting
in numerical sequence the following new heading:
‘‘
9902.85.21
Parts for use in the manufac-
ture of loudspeakers of a
type described in subheading
9902.85.20 (provided for in
subheading 8518.90.80) .......
Free
No change
No change
On or before
12/31/2001
’’.
SEC. 2239. 5-TERTIARY BUTYL-ISOPHTHALIC ACID.
(a) IN GENERAL.—Subchapter II of chapter 99 is
amended by inserting in numerical sequence the following
new heading:
‘‘
9902.33.12
5-tertiary butyl-iso-
phthalic acid (CAS
No. 2359–09–3)
(provided for in
subheading
2917.39.70) ..........
Free
No change
No change
On or before
12/31/2001
’’.
SEC. 2240. CERTAIN POLYMER.
(a) IN GENERAL.—Subchapter II of chapter 99 is
amended by inserting in numerical sequence the following
new heading:
‘‘
9902.39.07
A polymer of the following
monomers: 1,4-
benzenedicarboxylic acid, di-
methyl ester (dimethyl
terephthalate) (CAS No.
120–61–6); 1,3-
Benzenedicarboxylic acid, 5-
sulfo-, 1,3-dimethyl ester, so-
dium salt (sodium dimethyl
sulfoisophthalate) (CAS No.
3965–55–7); 1,2-ethanediol
(ethylene glycol) (CAS No.
107–21–1); and 1,2-
propanediol (propylene glycol)
(CAS No. 57–55–6); with ter-
minal units from 2-(2-
hydroxyethoxy) ethanesulfonic
acid, sodium salt (CAS No.
53211–00–0) (provided for in
subheading 3907.99.00) ........
Free
No change
No change
On or before
12/31/2001
’’.
SEC. 2241. 2, (4-CHLOROPHENOL)-3-ETHYL-2, 5-DIHYDRO-5-
OXO-4-PYRIDAZINE CARBOXYLIC ACID, PO-
TASSIUM SALT.
Subchapter II of chapter 99 is amended by inserting
in numerical sequence the following new heading:
‘‘
9902.33.16
2, (4-chlorophenol)-3-ethyl-2,
5-dihydro-5-oxo-4-pyridazine
carboxylic acid, potassium salt
(CAS No. 82697–71–0) (pro-
vided for in subheading
2933.90.79) ............................
Free
No change
No change
On or before
12/31/2001
’’.
CHAPTER 3—EFFECTIVE DATE
SEC. 2301. EFFECTIVE DATE.
Except as otherwise provided in this subtitle, the
amendments made by this subtitle apply to goods entered,
or withdrawn from warehouse for consumption, after the
date that is 15 days after the date of enactment of this
Act.
Subtitle B—Other Trade Provisions
SEC. 2401. EXTENSION OF UNITED STATES INSULAR POS-
SESSION PROGRAM.
(a) IN GENERAL.—The additional U.S. notes to
chapter 71 of the Harmonized Tariff Schedule of the
United States are amended by adding at the end the fol-
lowing new note:
‘‘3.(a) Notwithstanding any provision in additional
U.S. note 5 to chapter 91, any article of jewelry provided
for in heading 7113 which is the product of the Virgin
Islands, Guam, or American Samoa (including any such
may be purchased, obtained, or imported separately is
being manufactured in the United States and shall report
the findings to the Secretary of the Treasury and to the
applicant institution, and any component found to be do-
mestically available shall remain dutiable.
‘‘(iii) Any decision by the Secretary of the Treasury
which allows for duty-free entry of a component of an in-
strument or apparatus which, due to its size cannot be
feasibly imported in its assembled state, shall be effective
for a specified maximum period, to be determined in con-
sultation with the Secretary of Commerce, taking into ac-
count both the scientific needs of the importing institution
and the potential for development of comparable domestic
manufacturing capacity.’’.
(c) MODIFICATIONS
OF REGULATIONS.—The Sec-
retary of the Treasury and the Secretary of Commerce
shall make such modifications to their joint regulations as
are necessary to carry out the amendments made by this
section.
(d) EFFECTIVE DATE.—The amendments made by
this section shall take effect beginning 120 days after the
date of the enactment of this Act.
SEC. 2403. LIQUIDATION OR RELIQUIDATION OF CERTAIN
ENTRIES.
(a) LIQUIDATION OR RELIQUIDATION OF ENTRIES.—
Notwithstanding sections 514 and 520 of the Tariff Act
of 1930 (19 U.S.C. 1514 and 1520), or any other provi-
sion of law, the United States Customs Service shall, not
later than 90 days after the date of the enactment of this
Act, liquidate or reliquidate those entries made at Los An-
geles, California, and New Orleans, Louisiana, which are
listed in subsection (c), in accordance with the final deci-
sion of the International Trade Administration of the De-
partment of Commerce for shipments entered between Oc-
tober 1, 1984, and December 14, 1987 (case number A–
274–001).
(b) PAYMENT OF AMOUNTS OWED.—Any amounts
owed by the United States pursuant to the liquidation or
reliquidation of an entry under subsection (a) shall be paid
by the Customs Service within 90 days after such liquida-
tion or reliquidation.
(c) ENTRY LIST.—The entries referred to in sub-
section (a) are the following:
Entry number
Date of entry
Port
322 00298563
12/11/86
Los Angeles, California
322 00300567
12/11/86
Los Angeles, California
86–2909242
9/2/86
New Orleans, Louisiana
87–05457388
1/9/87
New Orleans, Louisiana
SEC. 2404. DRAWBACK AND REFUND ON PACKAGING MATE-
RIAL.
(a) IN GENERAL.—Section 313(q) of the Tariff Act
of 1930 (19 U.S.C. 1313(q)) is further amended—
(1) by striking ‘‘Packaging material’’ and in-
serting the following:
‘‘(1) IN GENERAL.—Packaging material’’; and
(2) by adding at the end the following:
‘‘(2) 
ADDITIONAL
ELIGIBILITY.—Packaging
material produced in the United States, which is
used by the manufacturer or any other person on or
for articles which are exported or destroyed under
subsection (a) or (b), shall be eligible under such
subsection for refund, as drawback, of 99 percent of
any duty, tax, or fee imposed on the importation of
such material used to manufacture or produce the
packaging material.’’.
(b) EFFECTIVE DATE.—The amendment made by
this section applies with respect to goods entered, or with-
drawn from warehouse for consumption, on or after the
15th day after the date of the enactment of this Act.
SEC. 2405. INCLUSION OF COMMERCIAL IMPORTATION
DATA FROM FOREIGN-TRADE ZONES UNDER
THE NATIONAL CUSTOMS AUTOMATION PRO-
GRAM.
Section 411 of the Tariff Act of 1930 (19 U.S.C.
1411) is amended by adding at the end the following:
‘‘(c) FOREIGN-TRADE ZONES.—Not later than Janu-
ary 1, 2000, the Secretary shall provide for the inclusion
of commercial importation data from foreign-trade zones
under the Program.’’.
SEC. 2406. LARGE YACHTS IMPORTED FOR SALE AT UNITED
STATES BOAT SHOWS.
(a) IN GENERAL.—The Tariff Act of 1930 (19
U.S.C. 1304 et seq.) is amended by inserting after section
484a the following:
‘‘SEC. 484b. DEFERRAL OF DUTY ON LARGE YACHTS IM-
PORTED FOR SALE AT UNITED STATES BOAT
SHOWS.
‘‘(a) IN GENERAL.—Notwithstanding any other pro-
vision of law, any vessel meeting the definition of a large
yacht as provided in subsection (b) and which is otherwise
dutiable may be imported without the payment of duty if
imported with the intention to offer for sale at a boat show
in the United States. Payment of duty shall be deferred,
in accordance with this section, until such large yacht is
sold.
‘‘(b) DEFINITION.—As used in this section, the term
‘large yacht’ means a vessel that exceeds 79 feet in length,
is used primarily for recreation or pleasure, and has been
previously sold by a manufacturer or dealer to a retail con-
sumer.
‘‘(c) DEFERRAL OF DUTY.—At the time of importa-
tion of any large yacht, if such large yacht is imported
for sale at a boat show in the United States and is other-
wise dutiable, duties shall not be assessed and collected
if the importer of record—
‘‘(1) certifies to the Customs Service that the
large yacht is imported pursuant to this section for
sale at a boat show in the United States; and
‘‘(2) posts a bond, which shall have a duration
of 6 months after the date of importation, in an
amount equal to twice the amount of duty on the
large yacht that would otherwise be imposed under
subheading 8903.91.00 or 8903.92.00 of the Har-
monized Tariff Schedule of the United States.
‘‘(d) PROCEDURES UPON SALE.—
‘‘(1) DEPOSIT OF DUTY.—If any large yacht
(which has been imported for sale at a boat show in
the United States with the deferral of duties as pro-
vided in this section) is sold within the 6-month pe-
riod after importation—
‘‘(A) entry shall be completed and duty
(calculated at the applicable rates provided for
under subheading 8903.91.00 or 8903.92.00 of
the Harmonized Tariff Schedule of the United
States and based upon the value of the large
yacht at the time of importation) shall be de-
posited with the Customs Service; and
‘‘(B) the bond posted as required by sub-
section (c)(2) shall be returned to the importer.
‘‘(e) PROCEDURES UPON EXPIRATION OF BOND PE-
RIOD.—
‘‘(1) IN GENERAL.—If the large yacht entered
with deferral of duties is neither sold nor exported
within the 6-month period after importation—
‘‘(A) entry shall be completed and duty
(calculated at the applicable rates provided for
under subheading 8903.91.00 or 8903.92.00 of
the Harmonized Tariff Schedule of the United
States and based upon the value of the large
yacht at the time of importation) shall be de-
posited with the Customs Service; and
‘‘(B) the bond posted as required by sub-
section (c)(2) shall be returned to the importer.
‘‘(2) ADDITIONAL REQUIREMENTS.—No exten-
sions of the bond period shall be allowed. Any large
yacht exported in compliance with the bond period
may not be reentered for purposes of sale at a boat
show in the United States (in order to receive duty
deferral benefits) for a period of 3 months after
such exportation.
‘‘(f) REGULATIONS.—The Secretary of the Treasury
is authorized to make such rules and regulations as may
be necessary to carry out the provisions of this section.’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall apply with respect to any large yacht
imported into the United States after the date that is 15
days after the date of the enactment of this Act.
SEC. 2407. REVIEW OF PROTESTS AGAINST DECISIONS OF
CUSTOMS SERVICE.
Section 515(a) of the Tariff Act of 1930 (19 U.S.C.
1515(a)) is amended by inserting after the third sentence
the following: ‘‘Within 30 days from the date an applica-
tion for further review is filed, the appropriate customs
officer shall allow or deny the application and, if allowed,
the protest shall be forwarded to the customs officer who
will be conducting the further review.’’.
SEC. 2408. ENTRIES OF NAFTA-ORIGIN GOODS.
(a) 
REFUND
OF
MERCHANDISE
PROCESSING
FEES.—Section 520(d) of the Tariff Act of 1930 (19
U.S.C. 1520(d)) is amended in the matter preceding para-
graph (1) by inserting ‘‘(including any merchandise proc-
essing fees)’’ after ‘‘excess duties’’.
(b) PROTEST AGAINST DECISION OF CUSTOMS SERV-
ICE RELATING TO NAFTA CLAIMS.—Section 514(a)(7) of
such Act (19 U.S.C. 1514(a)(7)) is amended by striking
‘‘section 520(c)’’ and inserting ‘‘subsection (c) or (d) of
section 520’’.
(c) EFFECTIVE DATE.—The amendments made by
this section apply with respect to goods entered, or with-
drawn from warehouse for consumption, on or after the
15th day after the date of the enactment of this Act.
SEC. 2409. TREATMENT OF INTERNATIONAL TRAVEL MER-
CHANDISE 
HELD 
AT 
CUSTOMS-APPROVED
STORAGE ROOMS.
Section 557(a)(1) of the Tariff Act of 1930 (19
U.S.C. 1557(a)(1)) is amended in the first sentence by
inserting ‘‘(including international travel merchandise)’’
after ‘‘Any merchandise subject to duty’’.
SEC. 2410. EXCEPTION TO 5-YEAR REVIEWS OF COUNTER-
VAILING DUTY OR ANTIDUMPING DUTY OR-
DERS.
Section 751(c) of the Tariff Act of 1930 (19 U.S.C.
1675(c)) is amended by adding at the end the following:
‘‘(7) EXCLUSIONS FROM COMPUTATIONS.—
‘‘(A) IN
GENERAL.—Subject to subpara-
graph (B), there shall be excluded from the
computation of the 5-year period described in
paragraph (1) and the periods described in
paragraph (6) any period during which the im-
portation of the subject merchandise is prohib-
ited on account of the imposition, under the
International Emergency Economic Powers Act
or other provision of law, of sanctions by the
United States against the country in which the
subject merchandise originates.
‘‘(B) APPLICATION OF EXCLUSION.—Sub-
paragraph (A) shall apply only with respect to
subject merchandise which originates in a coun-
try that is not a WTO member.’’.
SEC. 2411. WATER RESISTANT WOOL TROUSERS.
Notwithstanding section 514 of the Tariff Act of
1930 or any other provision of law, upon proper request
filed with the Customs Service within 180 days after the
date of enactment of this Act, any entry or withdrawal
from warehouse for consumption—
(1) that was made after December 31, 1988,
and before January 1, 1995; and
(2) that would have been classifiable under sub-
heading 6203.41.05 or 6204.61.10 of the Har-
monized Tariff Schedule of the United States and
would have had a lower rate of duty, if such entry
or withdrawal had been made on January 1, 1995,
shall be liquidated or reliquidated as if such entry or with-
drawal had been made on January 1, 1995.
SEC. 2412. REIMPORTATION OF CERTAIN GOODS.
(a) IN GENERAL.—Subchapter I of chapter 98 is
amended by inserting in numerical sequence the following
new heading:
‘‘
9801.00.26
Articles, previously imported, with
respect to which the duty was paid
upon such previous importation, if
(1) exported within 3 years after
the date of such previous importa-
tion, (2) sold for exportation and
exported to individuals for personal
use, (3) reimported without having
been advanced in value or improved
in condition by any process of man-
ufacture or other means while
abroad, (4) reimported as personal
returns 
from 
those 
individuals,
whether or not consolidated with
other personal returns prior to re-
importation, and (5) reimported by
or for the account of the person
who exported them from the United
States within 1 year of such expor-
tation ...............................................
Free
Free
’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) applies to goods described in heading
9801.00.26 of the Harmonized Tariff Schedule of the
United States (as added by subsection (a)) that are re-
imported into the United States on or after the date that
is 15 days after the date of enactment of this Act.
SEC. 2413. TREATMENT OF PERSONAL EFFECTS OF PAR-
TICIPANTS IN CERTAIN WORLD ATHLETIC
EVENTS.
(a) IN GENERAL.—Subchapter II of chapter 99 of
the Harmonized Tariff Schedule of the United States is
amended by inserting in numerical sequence the following
new heading:
‘‘
9902.98.08
Any of the following articles
not intended for sale or dis-
tribution to the public: per-
sonal effects of aliens who
are participants in, officials
of, or accredited members of
delegations to, the 1999
International Special Olym-
pics, the 1999 Women’s
World Cup Soccer, the 2001
International Special Olym-
pics, the 2002 Salt Lake City
Winter Olympics, and the
2002 Winter Paralympic
Games, and of persons who
are immediate family mem-
bers of or servants to any of
the foregoing persons; equip-
ment and materials imported
in connection with the fore-
going events by or on behalf
of the foregoing persons or
the organizing committees of
such events; articles to be
used in exhibitions depicting
the culture of a country par-
ticipating in any such event;
and, if consistent with the
foregoing, such other articles
as the Secretary of Treasury
may allow ..............................
Free
No change
Free
On or before
12/31/2002
’’.
(b) TAXES AND FEES NOT TO APPLY.—The articles
described in heading 9902.98.08 of the Harmonized Tariff
Schedule of the United States (as added by subsection (a))
shall be free of taxes and fees which may be otherwise
applicable.
(c) NO EXEMPTION FROM CUSTOMS INSPECTIONS.—
The articles described in heading 9902.98.08 of the Har-
monized Tariff Schedule of the United States (as added
by subsection (a)) shall not be free or otherwise exempt
or excluded from routine or other inspections as may be
required by the Customs Service.
(d) EFFECTIVE DATE.—The amendment made by
this section applies to articles entered, or withdrawn from
warehouse, for consumption on or after October 1, 1998.
SEC. 2414. RELIQUIDATION OF CERTAIN ENTRIES OF THER-
MAL TRANSFER MULTIFUNCTION MACHINES.
(a) IN GENERAL.—Notwithstanding section 514 of
the Tariff Act of 1930 (19 U.S.C. 1514) or any other pro-
vision of law and subject to the provisions of subsection
(b), the United States Customs Service shall, not later
than 180 days after the receipt of the request described
in subsection (b), liquidate or reliquidate each entry de-
scribed in subsection (d) containing any merchandise
which, at the time of the original liquidation, was classified
under subheading 8517.21.00 of the Harmonized Tariff
Schedule of the United States (relating to indirect electro-
static copiers) or subheading 9009.12.00 of such Schedule
(relating to indirect electrostatic copiers), at the rate of
duty that would have been applicable to such merchandise
if the merchandise had been liquidated or reliquidated
under subheading 8471.60.65 of the Harmonized Tariff
Schedule of the United States (relating to other auto-
mated data processing (ADP) thermal transfer printer
units) on the date of entry.
(b) REQUESTS.—Reliquidation may be made under
subsection (a) with respect to an entry described in sub-
section (d) only if a request therefor is filed with the Cus-
toms Service within 90 days after the date of enactment
of this Act and the request contains sufficient information
to enable the Customs Service to locate the entry or recon-
struct the entry if it cannot be located.
(c) PAYMENT OF AMOUNTS OWED.—Any amounts
owed by the United States pursuant to the liquidation or
reliquidation of an entry under subsection (a) shall be paid
not later than 180 days after the date of such liquidation
or reliquidation.
(d) AFFECTED ENTRIES.—The entries referred to in
subsection (a), filed at the port of Los Angeles, are as
follows:
Date of entry
Entry number
Liquidation date
01/17/97
112–9638417–3
02/21/97
01/10/97
112–9637684–9
03/07/97
01/03/97
112–9636723–6
04/18/97
01/07/97
112–9637561–9
04/25/97
01/10/97
112–9637686–4
03/07/97
02/21/97
112–9642157–9
09/12/97
02/14/97
112–9641619–9
06/06/97
02/14/97
112–9641693–4
06/06/97
02/21/97
112–9642156–1
09/12/97
02/28/97
112–9643326–9
09/12/97
03/18/97
112–9645336–6
09/19/97
03/21/97
112–9645682–3
09/19/97
03/21/97
112–9645681–5
09/19/97
03/21/97
112–9645698–9
09/19/97
03/14/97
112–9645026–3
09/19/97
Date of entry
Entry number
Liquidation date
03/14/97
112–9645041–2
09/19/97
03/20/97
112–9646075–9
09/19/97
03/14/97
112–9645026–3
09/19/97
04/04/97
112–9647309–1
09/19/97
04/04/97
112–9647312–5
09/19/97
04/04/97
112–9647316–6
09/19/97
04/11/97
112–9300151–5
10/31/97
04/11/97
112–9300287–7
09/26/97
04/11/97
112–9300308–1
02/20/98
04/10/97
112–9300356–0
09/26/97
04/16/97
112–9301387–4
09/26/97
04/22/97
112–9301602–6
09/26/97
04/18/97
112–9301627–3
09/26/97
04/21/97
112–9301615–8
09/26/97
04/25/97
112–9302445–9
10/31/97
04/25/97
112–9302298–2
09/26/97
04/25/97
112–9302205–7
09/26/97
04/04/97
112–9302371–7
09/26/97
05/26/97
112–9305730–1
09/26/97
05/21/97
112–9305527–1
09/26/97
05/30/97
112–9306718–5
09/26/97
05/19/97
112–9304958–9
09/26/97
05/16/97
112–9305030–6
09/26/97
05/07/97
112–9303702–2
09/26/97
05/09/97
112–9303707–1
09/26/97
05/10/97
112–9304256–8
09/26/97
05/31/97
112–9306470–3
09/26/97
05/02/97
112–9302717–1
09/19/97
06/20/97
112–9308793–6
09/26/97
06/18/97
112–9308717–5
09/26/97
06/16/97
112–9308538–5
09/26/97
06/09/97
112–9307568–3
09/26/97
06/06/97
112–9307144–3
09/26/97
SEC. 2415. RELIQUIDATION OF CERTAIN DRAWBACK EN-
TRIES AND REFUND OF DRAWBACK PAY-
MENTS.
(a) IN GENERAL.—Notwithstanding sections 514 and
520 of the Tariff Act of 1930 or any other provision of
law, the Customs Service shall, not later than 180 days
after the date of enactment of this Act, liquidate or reliq-
uidate the entries described in subsection (b) and any
amounts owed by the United States pursuant to the liq-
uidation or reliquidation shall be refunded with interest,
subject to the provisions of Treasury Decision 86–126(M)
and Customs Service Ruling No. 224697, dated November
17, 1994.
(b) ENTRIES DESCRIBED.—The entries described in
this subsection are the following:
Entry number:
Date of entry:
855218319 .........................................................
July 18, 1985
855218429 .........................................................
August 15, 1985
855218649 .........................................................
September 13, 1985
866000134 .........................................................
October 4, 1985
866000257 .........................................................
November 14, 1985
866000299 .........................................................
December 9, 1985
866000451 .........................................................
January 14, 1986
866001052 .........................................................
February 13, 1986
866001133 .........................................................
March 7, 1986
866001269 .........................................................
April 9, 1986
866001366 .........................................................
May 9, 1986
866001463 .........................................................
June 6, 1986
866001573 .........................................................
July 7, 1986
866001586 .........................................................
July 7, 1986
866001599 .........................................................
July 7, 1986
866001913 .........................................................
August 8, 1986
866002255 .........................................................
September 10, 1986
866002297 .........................................................
September 23, 1986
03200000010 .....................................................
October 3, 1986
03200000028 .....................................................
November 13, 1986
03200000036 .....................................................
November 26, 1986.
SEC. 2416. CLARIFICATION OF ADDITIONAL U.S. NOTE 4 TO
CHAPTER 91 OF THE HARMONIZED TARIFF
SCHEDULE OF THE UNITED STATES.
Additional U.S. note 4 of chapter 91 of the Har-
monized Tariff Schedule of the United States is amended
in the matter preceding subdivision (a), by striking the
comma after ‘‘stamping’’ and inserting ‘‘(including by
means of indelible ink),’’.
SEC. 2417. DUTY-FREE SALES ENTERPRISES.
Section 555(b)(2) of the Tariff Act of 1930 (19
U.S.C. 1555(b)(2)) is amended—
(1) in subparagraph (B), by striking the period
at the end and inserting ‘‘; or’’; and
(2) by adding at the end the following new sub-
paragraph:
‘‘(C) a port of entry, as established under
section 1 of the Act of August 24, 1912 (37
Stat. 434) or 25 statute miles of a staffed port
of entry if reasonable assurance can be provided
that duty-free merchandise sold by the enter-
prise will be exported by individuals departing
from the customs territory through an inter-
national airport located within the customs ter-
ritory.’’.
SEC. 2418. CUSTOMS USER FEES.
(a) ADDITIONAL PRECLEARANCE ACTIVITIES.—Sec-
tion 13031(f)(3)(A)(iii) of the Consolidated Omnibus
Budget 
Reconciliation 
Act 
of 
1985 
(19 
U.S.C.
58c(f)(3)(A)(iii)) is amended to read as follows:
‘‘(iii) to the extent funds remain available after
making reimbursements under clause (ii), in provid-
ing salaries for up to 50 full-time equivalent
inspectional positions to provide preclearance serv-
ices.’’.
(b) COLLECTION OF FEES FOR PASSENGERS ABOARD
COMMERCIAL VESSELS.—Section 13031 of the Consoli-
dated Omnibus Budget Reconciliation Act of 1985 (19
U.S.C. 58c) is amended—
(1) in subsection (a), by amending paragraph
(5) to read as follows:
‘‘(5)(A) Subject to subparagraph (B), for the
arrival of each passenger aboard a commercial vessel
or commercial aircraft from a place outside the
United States (other than a place referred to in sub-
section (b)(1)(A)(i) of this section), $5.
‘‘(B) For the arrival of each passenger aboard
a commercial vessel from a place referred to in sub-
section (b)(1)(A)(i) of this section, $1.75’’; and
(2) in subsection (b)(1)(A), by striking ‘‘(A) No
fee’’ and inserting ‘‘(A) Except as provided in sub-
section (a)(5)(B) of this section, no fee’’.
(c) USE OF MERCHANDISE PROCESSING FEES FOR
AUTOMATED COMMERCIAL SYSTEMS.—Section 13031(f)
of the Consolidated Omnibus Budget Reconciliation Act
of 1985 (19 U.S.C. 58c(f)) is amended by adding at the
end the following:
‘‘(6) Of the amounts collected in fiscal year 1999
under paragraphs (9) and (10) of subsection (a),
$50,000,000 shall be available to the Customs Service,
subject to appropriations Acts, for automated commercial
systems. Amounts made available under this paragraph
shall remain available until expended.’’.
(d) ADVISORY COMMITTEE.—Section 13031 of the
Consolidated Omnibus Budget Reconciliation Act of 1985
(19 U.S.C. 58c) is amended by adding at the end the fol-
lowing:
‘‘(k) ADVISORY COMMITTEE.—The Commissioner of
Customs shall establish an advisory committee whose
membership shall consist of representatives from the air-
line, cruise ship, and other transportation industries who
may be subject to fees under subsection (a). The advisory
committee shall not be subject to termination under sec-
tion 14 of the Federal Advisory Committee Act. The advi-
sory committee shall meet on a periodic basis and shall
advise the Commissioner on issues related to the perform-
ance of the inspectional services of the United States Cus-
toms Service. Such advice shall include, but not be limited
to, such issues as the time periods during which such serv-
ices should be performed, the proper number and deploy-
ment of inspection officers, the level of fees, and the ap-
propriateness of any proposed fee. The Commissioner shall
give consideration to the views of the advisory committee
in the exercise of his or her duties.’’.
(e) NATIONAL CUSTOMS AUTOMATION TEST RE-
GARDING RECONCILIATION.—Section 505(c) of the Tariff
Act of 1930 (19 U.S.C. 1505(c)) is amended by adding
at the end the following: ‘‘For the period beginning on
October 1, 1998, and ending on the date on which the
‘Revised National Customs Automation Test Regarding
Reconciliation’ of the Customs Service is terminated, or
October 1, 2000, whichever occurs earlier, the Secretary
may prescribe an alternative mid-point interest accounting
methodology, which may be employed by the importer,
based upon aggregate data in lieu of accounting for such
interest from each deposit data provided in this sub-
section.’’.
(f) EFFECTIVE DATE.—The amendments made by
this section shall take effect 30 days after the date of the
enactment of this Act.
SEC. 2419. DUTY DRAWBACK FOR METHYL TERTIARY-
BUTYL ETHER (‘‘MTBE’’).
(a) IN GENERAL.—Section 313(p)(3)(A)(i)(I) of the
Tariff Act of 1930 (19 U.S.C. 1313(p)(3)(A)(i)(I)) is
amended by striking ‘‘and 2902’’ and inserting ‘‘2902,
and 2909.19.14’’.
(b) EFFECTIVE DATE.—The amendment made by
this section shall take effect on the date of the enactment
of this Act, and shall apply to drawback claims filed on
and after such date.
SEC. 2420. SUBSTITUTION OF FINISHED PETROLEUM DE-
RIVATIVES.
(a) IN GENERAL.—Section 313(p)(1) of the Tariff
Act of 1930 (19 U.S.C. 1313(p)(1)) is amended in the
matter following subparagraph (C) by striking ‘‘the
amount of the duties paid on, or attributable to, such
qualified article shall be refunded as drawback to the
drawback claimant.’’ and inserting ‘‘drawback shall be al-
lowed as described in paragraph (4).’’.
(b) REQUIREMENTS.—Section 313(p)(2) of such Act
(19 U.S.C. 1313(p)(2)) is amended—
(1) in subparagraph (A)—
(A) in clauses (i), (ii), and (iii), by striking
‘‘the qualified article’’ each place it appears and
inserting ‘‘a qualified article’’; and
(B) in clause (iv), by striking ‘‘an im-
ported’ and inserting ‘‘a’’; and
(2) in subparagraph (G), by inserting ‘‘trans-
feror,’’ after ‘‘importer,’’.
(c) QUALIFIED ARTICLE DEFINED, ETC.—Section
313(p)(3) of such Act (19 U.S.C. 1313(p)(3)) is
amended—
(1) in subparagraph (A)—
(A) in clause (i)(II), by striking ‘‘liquids,
pastes, powders, granules, and flakes’’ and in-
serting ‘‘the primary forms provided under
Note 6 to chapter 39 of the Harmonized Tariff
Schedule of the United States’’; and
(B) in clause (ii)—
(i) in subclause (I) by striking ‘‘or’’ at
the end;
(ii) in subclause (II) by striking the
period and inserting ‘‘, or’’; and
(iii) by adding after subclause (II) the
following:
‘‘(III) an article of the same kind
and quality as described in subpara-
graph (B), or any combination there-
of, that is transferred, as so certified
in a certificate of delivery or certifi-
cate of manufacture and delivery in a
quantity not greater than the quantity
of articles purchased or exchanged.
The transferred merchandise described in
subclause (III), regardless of its origin, so
designated on the certificate of delivery or
certificate of manufacture and delivery
shall be the qualified article for purposes
of this section. A party who issues a cer-
tificate of delivery, or certificate of manu-
facture and delivery, shall also certify to
the Commissioner of Customs that it has
not, and will not, issue such certificates for
a quantity greater than the amount eligible
for drawback and that appropriate records
will be maintained to demonstrate that
fact.’’;
(2) in subparagraph (B), by striking ‘‘exported
article’’ and inserting ‘‘article, including an im-
ported, manufactured, substituted, or exported arti-
cle,’’; and
(3) in the first sentence of subparagraph (C),
by striking ‘‘such article.’’ and inserting ‘‘either the
qualified article or the exported article.’’.
(d) 
LIMITATION
ON
DRAWBACK.—Section
313(p)(4)(B) of such Act (19 U.S.C. 1313(p)(4)(B)) is
amended by inserting before the period at the end the fol-
lowing: ‘‘had the claim qualified for drawback under sub-
section (j)’’.
(e) EFFECTIVE DATE.—The amendments made by
this section shall take effect as if included in the amend-
ment made by section 632(a)(6) of the North American
Free Trade Agreement Implementation Act. For purposes
of section 632(b) of that Act, the 3-year requirement set
forth in section 313(r) of the Tariff Act of 1930 shall not
apply to any drawback claim filed within 6 months after
the date of the enactment of this Act for which that 3-
year period would have expired.
SEC. 2421. DUTY ON CERTAIN IMPORTATIONS OF MUESLIX
CEREALS.
(a) BEFORE JANUARY 1, 1996.—Notwithstanding
section 514 of the Tariff Act of 1930 (19 U.S.C. 1514)
or any other provision of law, upon proper request filed
with the Customs Service before the 90th day after the
date of the enactment of this Act, any entry or withdrawal
from warehouse for consumption made after December 31,
1991, and before January 1, 1996, of mueslix cereal,
which was classified under the special column rate applica-
ble for Canada in subheading 2008.92.10 of the Har-
monized Tariff Schedule of the United States—
(1) shall be liquidated or reliquidated as if the
special column rate applicable for Canada in sub-
heading 1904.10.00 of such Schedule applied at the
time of such entry or withdrawal; and
(2) any excess duties paid as a result of such
liquidation or reliquidation shall be refunded, includ-
ing interest at the appropriate applicable rate.
(b) AFTER DECEMBER 31, 1995.—Notwithstanding
section 514 of the Tariff Act of 1930 (19 U.S.C. 1514)
or any other provision of law, upon proper request filed
with the Customs Service before the 90th day after the
date of the enactment of this Act, any entry or withdrawal
from warehouse for consumption made after December 31,
1995, and before January 1, 1998, of mueslix cereal,
which was classified under the special column rate applica-
ble for Canada in subheading 1904.20.10 of the Har-
monized Tariff Schedule of the United States—
(1) shall be liquidated or reliquidated as if the
special column rate applicable for Canada in sub-
heading 1904.10.00 of such Schedule applied at the
time of such entry or withdrawal; and
(2) any excess duties paid as a result of such
liquidation or reliquidation shall be refunded, includ-
ing interest at the appropriate applicable rate.
SEC. 2422. EXPANSION OF FOREIGN TRADE ZONE NO. 143.
(a) EXPANSION OF FOREIGN TRADE ZONE.—The
Foreign Trade Zones Board shall expand Foreign Trade
Zone No. 143 to include areas in the vicinity of the Chico
Municipal Airport in accordance with the application sub-
mitted by the Sacramento-Yolo Port District of Sac-
ramento, California, to the Board on March 11, 1997.
(b) OTHER REQUIREMENTS NOT AFFECTED.—The
expansion of Foreign Trade Zone No. 143 under sub-
section (a) shall not relieve the Port of Sacramento of any
requirement under the Foreign Trade Zones Act, or under
regulations of the Foreign Trade Zones Board, relating
to such expansion.
SEC. 2423. MARKING OF CERTAIN SILK PRODUCTS AND
CONTAINERS.
(a) IN GENERAL.—Section 304 of the Tariff Act of
1930 (19 U.S.C. 1304) is amended—
(1) by redesignating subsections (h), (i), (j),
and (k) as subsections (i), (j), (k), and (l), respec-
tively; and
(2) by inserting after subsection (g) the follow-
ing new subsection:
‘‘(h) MARKING OF CERTAIN SILK PRODUCTS.—The
marking requirements of subsections (a) and (b) shall not
apply either to—
‘‘(1) articles provided for in subheading
6214.10.10 of the Harmonized Tariff Schedule of
the United States, as in effect on January 1, 1997;
or
‘‘(2) goods provided for in heading 5007 of the
Harmonized Tariff Schedule of the United States, as
in effect on January 1, 1997.’’.
(b) CONFORMING AMENDMENT.—Section 304(j) of
such Act, as redesignated by subsection (a)(1) of this sec-
tion, is amended by striking ‘‘subsection (h)’’ and insert-
ing ‘‘subsection (i)’’.
(c) EFFECTIVE DATE.—The amendments made by
this section apply to goods entered, or withdrawn from
warehouse for consumption, on or after the date of the
enactment of this Act.
SEC. 2424. EXTENSION OF NONDISCRIMINATORY TREAT-
MENT (NORMAL TRADE RELATIONS TREAT-
MENT) TO THE PRODUCTS OF MONGOLIA.
(a) FINDINGS.—The Congress finds that Mongolia—
(1) has received normal trade relations treat-
ment since 1991 and has been found to be in full
compliance with the freedom of emigration require-
ments under title IV of the Trade Act of 1974;
(2) has emerged from nearly 70 years of com-
munism and dependence on the former Soviet
Union, approving a new constitution in 1992 which
has established a modern parliamentary democracy
charged with guaranteeing fundamental human
rights, freedom of expression, and an independent
judiciary;
(3) has held 4 national elections under the new
constitution, 2 presidential and 2 parliamentary,
thereby solidifying the nation’s transition to democ-
racy;
(4) has undertaken significant market-based
economic reforms, including privatization, the reduc-
tion of government subsidies, the elimination of most
price controls and virtually all import tariffs, and
the closing of insolvent banks;
(5) has concluded a bilateral trade treaty with
the United States in 1991, and a bilateral invest-
ment treaty in 1994;
(6) has acceded to the Agreement Establishing
the World Trade Organization, and extension of un-
conditional normal trade relations treatment to the
products of Mongolia would enable the United States
to avail itself of all rights under the World Trade
Organization with respect to Mongolia; and
(7) has demonstrated a strong desire to build
friendly relationships and to cooperate fully with the
United States on trade matters.
(b) TERMINATION OF APPLICATION OF TITLE IV OF
THE TRADE ACT OF 1974 TO MONGOLIA.—
(1) PRESIDENTIAL DETERMINATIONS AND EX-
TENSIONS OF NONDISCRIMINATORY TREATMENT.—
Notwithstanding any provision of title IV of the
Trade Act of 1974 (19 U.S.C. 2431 et seq.), the
President may—
(A) determine that such title should no
longer apply to Mongolia; and
(B) after making a determination under
subparagraph (A) with respect to Mongolia,
proclaim the extension of nondiscriminatory
treatment (normal trade relations treatment) to
the products of that country.
(2) TERMINATION OF APPLICATION OF TITLE
IV.—On or after the effective date of the extension
under paragraph (1)(B) of nondiscriminatory treat-
ment to the products of Mongolia, title IV of the
Trade Act of 1974 shall cease to apply to that coun-
try.
SEC. 2425. ENHANCED CARGO INSPECTION PILOT PRO-
GRAM.
(a) IN GENERAL.—The Commissioner of the Cus-
toms Service is authorized to establish a 1-year pilot pro-
gram for fiscal year 1999 to provide 24-hour cargo inspec-
tion service on a fee-for-service basis at an international
airport described in subsection (b). The Commissioner
may extend the pilot program for fiscal years after fiscal
year 1999 if the Commissioner determines that the exten-
sion is warranted.
(b) AIRPORT DESCRIBED.—The international airport
described in this subsection is a multi-modal international
airport that—
(1) is located adjacent to a seaport; and
(2) serviced more than 185,000 tons of air
cargo in 1997.
SEC. 2426. PAYMENT OF EDUCATION COSTS OF DEPEND-
ENTS OF CERTAIN CUSTOMS SERVICE PER-
SONNEL.
Notwithstanding section 2164 of title 10, United
States Code, the Department of Defense shall permit the
dependent children of deceased United States Customs
Aviation Group Supervisor Pedro J. Rodriquez attending
the Antilles Consolidated School System at Ford Bu-
chanan, Puerto Rico, to complete their primary and sec-
ondary education at this school system without cost to
such children or any parent, relative, or guardian of such
children. The United States Customs Service shall reim-
burse the Department of Defense for reasonable education
expenses to cover these costs.
TITLE III—AMENDMENTS TO IN-
TERNAL REVENUE CODE OF
1986
SEC. 3001. PROPERTY SUBJECT TO A LIABILITY TREATED
IN SAME MANNER AS ASSUMPTION OF LI-
ABILITY.
(a) REPEAL OF PROPERTY SUBJECT TO A LIABILITY
TEST.—
(1) SECTION 357.—Section 357(a)(2) of the In-
ternal Revenue Code of 1986 (relating to assump-
tion of liability) is amended by striking ‘‘, or ac-
quires from the taxpayer property subject to a liabil-
ity’’.
(2) SECTION 358.—Section 358(d)(1) of such
Code (relating to assumption of liability) is amended
by striking ‘‘or acquired from the taxpayer property
subject to a liability’’.
(3) SECTION 368.—
(A) Section 368(a)(1)(C) of such Code is
amended by striking ‘‘, or the fact that prop-
erty acquired is subject to a liability,’’.
(B) 
The 
last 
sentence 
of 
section
368(a)(2)(B) of such Code is amended by strik-
ing ‘‘, and the amount of any liability to which
any property acquired from the acquiring cor-
poration is subject,’’.
(b) CLARIFICATION
OF ASSUMPTION
OF LIABIL-
ITY.—
(1) IN GENERAL.—Section 357 of the Internal
Revenue Code of 1986 is amended by adding at the
end the following new subsection:
‘‘(d) DETERMINATION OF AMOUNT OF LIABILITY AS-
SUMED.—
‘‘(1) IN GENERAL.—For purposes of this sec-
tion, 
section 
358(d), 
section 
362(d), 
section
368(a)(1)(C), and section 368(a)(2)(B), except as
provided in regulations—
‘‘(A) a recourse liability (or portion there-
of) shall be treated as having been assumed if,
as determined on the basis of all facts and cir-
cumstances, the transferee has agreed to, and is
expected to, satisfy such liability (or portion),
whether or not the transferor has been relieved
of such liability; and
‘‘(B) except to the extent provided in para-
graph (2), a nonrecourse liability shall be treat-
ed as having been assumed by the transferee of
any asset subject to such liability.
‘‘(2) EXCEPTION
FOR
NONRECOURSE
LIABIL-
ITY.—The amount of the nonrecourse liability treat-
ed as described in paragraph (1)(B) shall be reduced
by the lesser of—
‘‘(A) the amount of such liability which an
owner of other assets not transferred to the
transferee and also subject to such liability has
agreed with the transferee to, and is expected
to, satisfy, or
‘‘(B) the fair market value of such other
assets (determined without regard to section
7701(g)).
‘‘(3) REGULATIONS.—The Secretary shall pre-
scribe such regulations as may be necessary to carry
out the purposes of this subsection and section
362(d). The Secretary may also prescribe regula-
tions which provide that the manner in which a li-
ability is treated as assumed under this subsection
is applied, where appropriate, elsewhere in this
title.’’
(2) LIMITATION ON BASIS INCREASE ATTRIB-
UTABLE
TO
ASSUMPTION
OF
LIABILITY.—Section
362 of such Code is amended by adding at the end
the following new subsection:
‘‘(d) LIMITATION
ON
BASIS
INCREASE
ATTRIB-
UTABLE TO ASSUMPTION OF LIABILITY.—
‘‘(1) IN GENERAL.—In no event shall the basis
of any property be increased under subsection (a) or
(b) above the fair market value of such property (de-
termined without regard to section 7701(g)) by rea-
son of any gain recognized to the transferor as a re-
sult of the assumption of a liability.
‘‘(2) TREATMENT OF GAIN NOT SUBJECT TO
TAX.—Except as provided in regulations, if—
‘‘(A) gain is recognized to the transferor as
a result of an assumption of a nonrecourse li-
ability by a transferee which is also secured by
assets not transferred to such transferee; and
‘‘(B) no person is subject to tax under this
title on such gain,
then, for purposes of determining basis under sub-
sections (a) and (b), the amount of gain recognized
by the transferor as a result of the assumption of
the liability shall be determined as if the liability as-
sumed by the transferee equaled such transferee’s
ratable portion of such liability determined on the
basis of the relative fair market values (determined
without regard to section 7701(g)) of all of the as-
sets subject to such liability.’’.
(c) APPLICATION TO PROVISIONS OTHER THAN SUB-
CHAPTER C.—
(1) SECTION 584.—Section 584(h)(3) of the In-
ternal Revenue Code of 1986 is amended—
(A) by striking ‘‘, and the fact that any
property transferred by the common trust fund
is subject to a liability,’’ in subparagraph (A);
and
(B) by striking clause (ii) of subparagraph
(B) and inserting:
‘‘(ii) 
ASSUMED
LIABILITIES.—For
purposes of clause (i), the term ‘assumed
liabilities’ means any liability of the com-
mon trust fund assumed by any regulated
investment company in connection with the
transfer referred to in paragraph (1)(A).
‘‘(C) ASSUMPTION.—For purposes of this
paragraph, in determining the amount of any li-
ability assumed, the rules of section 357(d)
shall apply.’’
(2) SECTION 1031.—The last sentence of section
1031(d) of such Code is amended—
(A) by striking ‘‘assumed a liability of the
taxpayer or acquired from the taxpayer prop-
erty subject to a liability’’ and inserting ‘‘as-
sumed (as determined under section 357(d)) a
liability of the taxpayer’’; and
(B) by striking ‘‘or acquisition (in the
amount of the liability)’’.
(d) CONFORMING AMENDMENTS.—
(1) Section 351(h)(1) of the Internal Revenue
Code of 1986 is amended by striking ‘‘, or acquires
property subject to a liability,’’.
(2) Section 357 of such Code is amended by
striking ‘‘or acquisition’’ each place it appears in
subsection (a) or (b).
(3) Section 357(b)(1) of such Code is amended
by striking ‘‘or acquired’’.
(4) Section 357(c)(1) of such Code is amended
by striking ‘‘, plus the amount of the liabilities to
which the property is subject,’’.
(5) Section 357(c)(3) of such Code is amended
by striking ‘‘or to which the property transferred is
subject’’.
(6) Section 358(d)(1) of such Code is amended
by striking ‘‘or acquisition (in the amount of the li-
ability)’’.
(e) EFFECTIVE DATE.—The amendments made by
this section shall apply to transfers after October 18,
1998.
Æ