CTPAT Pilot Program Act of 2022
Bill: H.R.6826 | Sponsor: Rep. Slotkin, Elissa (D-MI)
Policy area: Foreign Trade and International Finance

Summary:
Customs Trade Partnership Against Terrorism Pilot Program Act of 2022 or the CTPAT Pilot Program Act of 2022
This bill requires the Department of Homeland Security to carry out a pilot program that assesses whether allowing certain entities to participate in the Customs Trade Partnership Against Terrorism (CTPAT) would enhance port security, combat terrorism, prevent supply chain security breaches, or otherwise satisfy the goals of CTPAT.
Such entities are (1) non-asset-based third-party logistics providers that arrange international freight transportation and are licensed or bonded by specified federal agencies; or (2) asset-based third-party logistics providers that facilitate cross-border activity, are licensed or bonded by specified federal agencies, and execute logistics services using their own warehousing assets and resources.
The bill requires the Government Accountability Office to report on the effectiveness of CTPAT.

To require a pilot program on the participation of third-party 
logistics providers in the Customs Trade Partnership Against Terrorism, 
                        and for other purposes.


 


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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Customs Trade Partnership Against 
Terrorism Pilot Program Act of 2022'' or the ``CTPAT Pilot Program Act 
of 2022''.

SEC. 2. PILOT PROGRAM ON PARTICIPATION OF THIRD-PARTY LOGISTICS 
              PROVIDERS IN CTPAT.

    (a) Establishment.--
            (1) In general.--The Secretary of Homeland Security shall 
        carry out a pilot program to assess whether allowing entities 
        described in subsection (b) to participate in CTPAT would 
        enhance port security, combat terrorism, prevent United States 
        supply chain security breaches, or otherwise satisfy the goals 
        of CTPAT.
            (2) Federal register notice.--Not later than one year after 
        the date of the enactment of this Act, the Secretary shall 
        publish in the Federal Register a notice for entities described 
        in subsection (b) to apply to participate in the pilot program 
        required under paragraph (1).
    (b) Entities Described.--An entity described in this subsection 
is--
            (1) a non-asset-based third-party logistics provider that--
                    (A) arranges international transportation of 
                freight and is licensed or bonded by the Federal 
                Maritime Commission, the Transportation Security 
                Administration, U.S. Customs and Border Protection, or 
                the Department of Transportation; and
                    (B) satisfies such other requirements as the 
                Secretary of Homeland Security specifies in the Federal 
                Register notice required pursuant to subsection (a)(2); 
                or
            (2) an asset-based third-party logistics provider that--
                    (A) facilitates cross-border activity and is 
                licensed or bonded by the Federal Maritime Commission, 
                the Transportation Security Administration, U.S. 
                Customs and Border Protection, or the Department of 
                Transportation;
                    (B) manages and executes logistics services using 
                its own warehousing assets and resources on behalf of 
                its customers; and
                    (C) satisfies such other requirements as the 
                Secretary of Homeland Security specifies in the Federal 
                Register notice required pursuant to subsection (a)(2).
    (c) Application.--An entity that wants to participate in the pilot 
program under subsection (a)(1) shall submit to the Secretary of 
Homeland Security an application at such time, in such manner, and 
containing such information as the Secretary may require.
    (d) Requirements.--In carrying out the pilot program under 
subsection (a)(1), the Secretary of Homeland Security shall--
            (1) ensure that--
                    (A) not more than ten entities described in 
                paragraph (1) of subsection (b) participate in the 
                pilot program; and
                    (B) not more than ten entities described in 
                paragraph (2) of such subsection participate in the 
                pilot program;
            (2) provide for the participation of each of such 
        categories of entities on a voluntary basis; and
            (3) continue the pilot program for a period of not less 
        than one and not more than five years after the date on which 
        the Secretary publishes the Federal Register notice required 
        pursuant to subsection (a)(2).
    (e) Report Required.--Not later than 180 days after the termination 
of the pilot program under subsection (d)(3), the Secretary of Homeland 
Security shall submit to the appropriate congressional committees a 
report on the findings of, and any recommendations arising from, the 
pilot program relating to the participation in CTPAT of entities 
described in subsection (b), including an assessment of participation 
by such entities.

SEC. 3. REPORT ON EFFECTIVENESS OF CTPAT.

    (a) In General.--Not later than 18 months after the date of the 
enactment of this Act, the Comptroller General of the United States 
shall submit to the appropriate congressional committees a report 
assessing the effectiveness of CTPAT.
    (b) Elements.--The report required by subsection (a) shall include 
the following:
            (1) An analysis of--
                    (A) security incidents in the United States cargo 
                supply chain during the five-year period preceding 
                submission of the report that involved criminal 
                activity, including drug trafficking, human smuggling, 
                or terrorist activity; and
                    (B) whether such incidents involved entities 
                participating in CTPAT or entities not participating in 
                CTPAT.
            (2) An analysis of causes for the suspension or removal of 
        entities from participating in CTPAT as a result of security 
        incidents during the five-year period referred to in paragraph 
        (1).
            (3) An analysis of the number of active CTPAT participants 
        involved in one or more security incidents while maintaining 
        their status as participants.
            (4) An analysis of CTPAT's benefits for its participants.
            (5) Recommendations, as appropriate, to the Commissioner of 
        U.S. Customs and Border Protection for improvements to CTPAT, 
        including with respect to preventing security incidents in the 
        United States cargo supply chain and enhancing CTPAT benefits 
        for participants.

SEC. 4. DEFINITIONS.

    In this Act:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Homeland Security and 
                Governmental Affairs and the Committee on Finance of 
                the Senate; and
                    (B) the Committee on Homeland Security and the 
                Committee on Ways and Means of the House of 
                Representatives.
            (2) CTPAT.--The term ``CTPAT'' means the Customs Trade 
        Partnership Against Terrorism established under subtitle B of 
        title II of the Security and Accountability for Every Port Act 
        of 2006 (6 U.S.C. 961 et seq.).
                                                 Union Calendar No. 255

117th CONGRESS

  2d Session

                               H. R. 6826

                          [Report No. 117-338]

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