I 
110TH CONGRESS 
2D SESSION 
H. R. 5828 
To enhance the reliability of information in the Automated Export System, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 17, 2008 
Mr. MANZULLO (for himself and Mr. SMITH of Washington) introduced the 
following bill; which was referred to the Committee on Foreign Affairs 
A BILL 
To enhance the reliability of information in the Automated 
Export System, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Securing Exports 
Through Coordination and Technology Act’’. 
SEC. 2. MANDATORY ELECTRONIC FILING OF EXPORT 
DATA. 
Section 1404(b) of the Foreign Relations Authoriza-
tion Act, Fiscal Year 2003 (13 U.S.C. 301 note) is amend-
ed to read as follows:. 
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‘‘(b) IN GENERAL.— 
‘‘(1) FILING THROUGH AES.—The Secretary of 
Commerce, in consultation with the Secretary of 
State, the Secretary of Defense, the Secretary of the 
Treasury, and the Secretary of Homeland Security, 
shall publish regulations in the Federal Register to 
require that upon the effective date of the regula-
tions, persons who are required to file Shipper’s Ex-
port Declarations under chapter 9 of title 13, United 
States Code, file (either themselves or through their 
intermediaries) such Declarations through the Auto-
mated Export System before the items are exported 
from any United States port, unless the Secretary of 
Commerce determines that it is appropriate to grant 
an exception to this requirement. Such filing of data 
shall, at a minimum, include— 
‘‘(A) the name and address of the principal 
party-in-interest in the United States; 
‘‘(B) the foreign principal party-in-interest; 
‘‘(C) all intermediate consignees; 
‘‘(D) the ultimate consignee; 
‘‘(E) the commodity classification of each 
item being exported; 
‘‘(F) when appropriate, the license number 
or regulatory authorization for the export; and 
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‘‘(G) a declaration, under penalty of per-
jury under the laws of the United States, that 
the information filed under this paragraph is 
true and correct. 
‘‘(2) INTERMEDIARY
DEFINED.—In this sub-
section, the term ‘intermediary’ means a freight for-
warder, a non-vessel operating common carrier 
(NVOCC), an ATA (Admission Temporaire/Tem-
porary Admission) Carnet national guaranteeing as-
sociation and its service providers, or any other simi-
lar entity as determined by the Secretary of Com-
merce.’’. 
SEC. 3. CONFIDENTIALITY OF SHIPPER’S EXPORT DEC-
LARATIONS; CONFERENCES; AUTOMATED EX-
PORT SYSTEM LICENSES AND FILINGS. 
Chapter 9 of title 13, United States Code, is amend-
ed— 
(1) by redesignating sections 302 through 307 
as sections 306 through 311, respectively; and 
(2) by inserting after section 301 the following 
new sections: 
‘‘§ 302. Confidentiality of Shipper’s Export Declara-
tions 
‘‘(a) CONFIDENTIALITY.—Shipper’s Export Declara-
tions and Automated Export System filings (or any suc-
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cessor document), wherever located, shall be exempt from 
disclosure to the public, except to the extent that the infor-
mation in such filings is made available under subsection 
(b)(1) and is introduced into evidence, and made a part 
of the public record, in an enforcement proceeding pursu-
ant thereto. 
‘‘(b) SHARING WITH OTHER AGENCIES AND GOV-
ERNMENTS.— 
‘‘(1) AGENCIES IN THE UNITED STATES.—The 
Secretary shall, if the Secretary determines that it 
is in the national interest to do so, provide for the 
sharing of Shipper’s Export Declaration information 
with other Federal departments and agencies in 
order to enforce or administer export laws and regu-
lations of the United States, and for such other pur-
poses as the Secretary may determine. 
‘‘(2) FOREIGN GOVERNMENTS.—The Secretary 
may, if the Secretary determines, on a case by case 
basis, that it is in the national interest to do so, pro-
vide for the sharing of Shipper’s Export Declaration 
information with foreign governments to assist in 
the enforcement of export laws and regulations of 
the United States and to conduct and coordinate 
programs to combat terrorism and the proliferation 
of weapons of mass destruction, except that the 
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and agencies that are involved in the regulation of exports 
or the enforcement of such regulation are made available 
to participate in fora the purpose of which is to educate 
exporters about laws and regulations of the United States 
governing exports and about the Automated Export Sys-
tem in particular, including through seminars, educational 
or training meetings, exhibitions, symposiums, and other 
similar meetings. 
‘‘(b) AUTHORITY TO COLLECT FEES.—The Sec-
retary may collect fees from any individual or other person 
attending or participating in any forum described in sub-
section (a) that is conducted by, or jointly with, the De-
partment of Commerce. The Secretary may use contrac-
tors to collect such fees. Fees under this subsection may 
be collected in advance of the forum. 
‘‘(c) DISPOSITION OF COLLECTED FEES.—Amounts 
collected under subsection (b) shall be used to pay all or 
part of the cost of fora described in subsection (a), and 
shall be credited to the account from which the costs of 
such fora have been paid or will be paid. 
‘‘(d) BUDGET FOR PARTICIPATING AGENCIES.—In 
the case of any agency that does not have the available 
funds to participate in a forum under subsection (a), the 
Secretary shall make such sums available, from fees col-
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lected under subsection (b), as are necessary to allow such 
participation by the agency. 
‘‘(e) AVAILABILITY OF MATERIALS TO THE PUB-
LIC.—The Secretary shall make available to the public, in-
cluding through its public website, the materials provided 
for the fora held under subsection (a). 
‘‘§ 304. Automated Export System licenses for filers 
‘‘(a) LICENSES.— 
‘‘(1) IN GENERAL.—The Secretary may estab-
lish a licensing program to grant licenses to persons 
to file information in the Automated Export System, 
either on behalf of themselves or acting as an inter-
mediary. Such licensing program may provide li-
censes to individuals as well as any corporation, as-
sociation, or partnership that is organized under the 
laws of the United States or of any State, the Dis-
trict of Columbia, or any commonwealth, territory, 
or possession of the United States. Such licensing 
program may further provide for the authorization 
of multiple filers of data on behalf of any such cor-
poration, association, or partnership. 
‘‘(2) QUALIFICATIONS FOR INDIVIDUALS.—The 
Secretary may establish qualification requirements 
for an individual applying for a license under this 
subsection, except that an individual may be granted 
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a license only if the individual is a United States cit-
izen, an alien lawfully admitted for permanent resi-
dence to the United States, or a national of the 
United States (in the case of a resident of a terri-
tory or possession of the United States). In assess-
ing the qualification of a license applicant, the Sec-
retary may conduct an examination to determine the 
applicant’s knowledge of the Automated Export Sys-
tem and laws, regulations, and procedures related to 
the export of goods from the United States, and may 
require participation in a continuing education pro-
gram on a periodic basis. The Secretary may also 
obtain information to determine an applicant’s fit-
ness and character to act as an Automated Export 
System filer. 
‘‘(3) LICENSES FOR CORPORATIONS AND OTHER 
BUSINESS ENTITIES.—The Secretary may grant an 
Automated Export System filing license to a cor-
poration, association, or partnership only if at least 
one official of the corporation or association who is 
designated by the corporation or association, or one 
member of the partnership who is authorized to act 
on behalf of the partnership— 
‘‘(A) holds a valid Automated Export Sys-
tem license under paragraph (2); 
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‘‘(B) is responsible for the supervision and 
control of filing Shipper’s Export Declaration 
information in the Automated Export System; 
and 
‘‘(C) is a United States citizen, an alien 
lawfully admitted for permanent residence to 
the United States, or a national of the United 
States (in the case of a resident of a territory 
or possession of the United States). 
‘‘(4) LAPSE OF LICENSE.—Licenses under this 
subsection shall be granted for a period of not less 
than 3 years, and may be renewed in such manner 
and under such conditions as are established by the 
Secretary. 
‘‘(b) DENIAL, SUSPENSION, OR REVOCATION OF LI-
CENSE.— 
‘‘(1) GENERAL
RULE.—The Secretary may 
deny, revoke, or suspend a license or license applica-
tion under subsection (a) if the Secretary has reason 
to believe that the applicant or licensee has violated 
or will violate any regulations issued by the Sec-
retary under this section or any law or regulation of 
the United States controlling exports. The Secretary 
may provide rules for notifying licensees and license 
applicants of the Secretary’s process for denying, re-
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voking, or suspending a license or license applica-
tion, consistent with the Secretary’s responsibility to 
protect national security. 
‘‘(2) PROCEDURES FOR DENIAL, REVOCATION, 
OR SUSPENSION.— 
‘‘(A) IN
GENERAL.—If an application is 
denied or a license revoked or suspended under 
paragraph (1), the Secretary shall send the ap-
plicant or licensee notice in writing specifically 
setting forth the grounds for denial, suspension, 
or revocation, shall allow the applicant or li-
censee a period of 30 calendar days beginning 
on the date on which the notice is received to 
respond in writing, and shall advise the licensee 
or applicant of the right to a hearing. An appli-
cant or licensee may request an extension of 
time for such response, and the Secretary shall 
grant such extension for good cause shown. If 
no response is filed within that 30-day period, 
or any extension thereof, and the Secretary de-
termines that the denial, suspension, or revoca-
tion is still warranted, the denial, suspension, 
or revocation shall become final. 
‘‘(B) HEARING.—If a timely response is 
received under subparagraph (A) and the li-
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censee or applicant requests a hearing, a hear-
ing shall be held within 30 calendar days after 
the date on which the request is received, or at 
a later date if the applicant requests an exten-
sion and shows good cause therefor. An admin-
istrative law judge appointed under section 
3105 of title 5, United States Code, shall pre-
side at the hearing, which shall be conducted in 
accordance with regulations issued by the Sec-
retary. The administrative law judge shall issue 
a written decision, based solely on the record, 
setting forth the findings of fact, and the rea-
sons for the decision. 
‘‘(C) SUSPENSION
OF
LICENSE
PENDING 
APPEAL.—In a case in which a person appeals 
a decision revoking or suspending a license 
under this subsection, including an appeal 
under subsection (c), the Secretary may order 
that the license continue to be suspended while 
the appeal is pending. 
‘‘(c) DENIAL, SUSPENSION, OR REVOCATION OF LI-
CENSE.— 
‘‘(1) GENERAL
RULE.—The Secretary may 
deny, revoke, or suspend a license or license applica-
tion under subsection (a) if the Secretary has reason 
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to believe that the applicant or licensee has violated 
or will violate any regulations issued by the Sec-
retary under this section or any law or regulation of 
the United States controlling exports. The Secretary 
may provide rules for notifying licensees and license 
applicants of the Secretary’s process for denying, re-
voking, or suspending a license or license applica-
tion, consistent with the Secretary’s responsibility to 
protect national security. 
‘‘(2) PROCEDURES FOR DENIAL, REVOCATION, 
OR SUSPENSION.— 
‘‘(A) IN
GENERAL.—If an application is 
denied or a license revoked or suspended under 
paragraph (1), the Secretary shall send the ap-
plicant or licensee notice in writing specifically 
setting forth the grounds for denial, suspension, 
or revocation, shall allow the applicant or li-
censee a period of 30 calendar days beginning 
on the date on which the notice is received to 
respond in writing, and shall advise the licensee 
or applicant of the right to a hearing. An appli-
cant or licensee may request an extension of 
time for such response, and the Secretary shall 
grant such extension for good cause shown. If 
no response is filed within that 30-day period, 
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or any extension thereof, and the Secretary de-
termines that the denial, suspension, or revoca-
tion is still warranted, the denial, suspension, 
or revocation shall become final. 
‘‘(B) HEARING.—If a timely response is 
received under subparagraph (A) and the li-
censee or applicant requests a hearing, a hear-
ing shall be held within 30 calendar days after 
the date the request is received, or at a later 
date if the applicant requests an extension and 
shows good cause therefor. An administrative 
law judge appointed under section 3105 of title 
5, United States Code, shall preside at the 
hearing, which shall be conducted in accordance 
with regulations issued by the Secretary. The 
administrative law judge shall issue a written 
decision, based solely on the record, setting 
forth the findings of fact, and the reasons for 
the decision. 
‘‘(C) SUSPENSION
OF
LICENSE
PENDING 
APPEAL.—In a case in which a person appeals 
a decision revoking or suspending a license 
under this subsection, including an appeal 
under subsection (c), the Secretary may order 
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that the license continue to be suspended while 
the appeal is pending. 
‘‘(3) SETTLEMENT
AND
COMPROMISE.—The 
Secretary may settle and compromise any proceeding 
that has been instituted under this subsection ac-
cording to the terms and conditions agreed to by the 
parties, including the reduction of any proposed sus-
pension or revocation. 
‘‘(4) LIMITATION OF ACTIONS.—A proceeding 
under this subsection may be commenced only if the 
appropriate service of written notice is made within 
3 years after the date on which the alleged act de-
scribed in paragraph (1) was committed, except that 
if the alleged act consists of fraud, the 3-year period 
shall begin on the date on which the alleged act was 
discovered. 
‘‘(d) JUDICIAL APPEAL.— 
‘‘(1) IN GENERAL.—A licensee under this sec-
tion, or an applicant for a license under this section, 
may appeal any decision of the Secretary denying, 
suspending, or revoking the license by filing in the 
appropriate United States district court, within 60 
days after the date on which the decision is issued, 
a written petition requesting that the decision be 
modified or set aside in whole or in part. A copy of 
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the petition shall be served upon the Secretary or 
the Secretary’s designee. In cases involving revoca-
tion or suspension of a license, the Secretary, after 
receiving the petition, shall file in the court the 
record upon which the decision complained of was 
entered. 
‘‘(2) FAILURE TO APPEAL.—If an appeal is not 
filed within the time limits specified in paragraph 
(1), the decision of the Secretary shall be final and 
conclusive. 
‘‘(e) FEES AND CHARGES.—The Secretary may issue 
regulations prescribing reasonable fees and charges, with 
particular sensitivity to small businesses, to defray the 
costs of the Secretary in carrying out this section. 
‘‘(f) REGULATIONS.—The Secretary shall provide a 
period of at least 90 days for the submission of public 
comments on any regulations issued to carry out this sec-
tion, before such regulations may become effective. 
‘‘§ 305. Blocking prohibited or restricted exports 
‘‘(a) IN GENERAL.—The Secretary, in consultation 
with the Secretary of State, the Secretary of Defense, the 
Secretary of Homeland Security, and the Secretary of the 
Treasury, shall issue regulations to ensure that the Auto-
mated Export System will not accept the filing of data 
in connection with an export from the United States if 
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(c) CROSS REFERENCES.—Section 309 of title 13, 
United States Code, as redesignated by section 3(1) of this 
Act, is amended— 
(1) in subsection (b), by striking ‘‘304’’ and in-
serting ‘‘308’’; and 
(2) in subsection (c)— 
(A) in paragraph (1), by striking ‘‘304’’ 
and inserting ‘‘308’’; 
(B) in paragraph (4), by striking ‘‘306’’ 
and inserting ‘‘310’’; and 
(C) in paragraph (5), by striking ‘‘304’’ 
and inserting ‘‘308’’. 
(d) TABLE OF CONTENTS.—The table of contents for 
chapter 9 of title 13, United States Code, is amended to 
read as follows: 
‘‘CHAPTER 9 
‘‘301. Collection and publication. 
‘‘302. Confidentiality of Shipper’s Export Declarations. 
‘‘303. Conferences and seminars. 
‘‘304. Automated Export System licenses for filers. 
‘‘305. Blocking prohibited or restricted exports. 
‘‘306. Rules, regulations, and orders. 
‘‘307. Secretary of Treasury functions. 
‘‘308. Filing export information, delayed filings, penalties for failure to file. 
‘‘309. Penalties for unlawful export information activities. 
‘‘310. Delegation of functions. 
‘‘311. Relationship to general census law. 
‘‘312. Definitions.’’. 
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SEC. 6. AUTHORIZATION OF APPROPRIATIONS. 
There are authorized to be appropriated such sums 
as may be necessary to carry out the amendments made 
by this Act. 
Æ 
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