An Act to provide customs procedural reform, and for other purposes.
PL 95-410 (H.R.8149), enacted 10/03/1978

92 STAT. 888 
PUBLIC LAW 95-410—OCT. 3, 1978 
Oct. 3, 1978 
[H.R. 8149] 
Customs 
Procedural 
Reform and 
Simplification 
Act of 1978. 
19 u s e 1654 
note. 
19 u s e 1505. 
19 u s e 1490, 
1498, 
1552, 1553, 
1336. 
Documentation. 
Regulations. 
Public Law 95-410 
95th Congress 
An Act 
To provide customs procedural reform, and for other purposes. 
Be it enacted hy the Senate and House of Representatives of the 
United States of America in Congress assembled^ That this Act may be 
cited as the "Customs Procedural Reform and Simplification Act of 
1978". 
TITLE 
I—CUSTOMS 
PROCEDURAL 
REFORM 
SEC. 101. Section 315(a) of the Tariff Act of 1930 (19 U.S.C. 1315 
(a)) is amended— 
(1) by striking out "and" at the end of paragraph (1) ; 
(2) by striking out the period at the end of paragraph (2) and 
inserting in lieu thereof "; and"; and 
(3) by adding at the end thereof the following new paragraph: 
"(3) any article for which duties may, under section 505 of 
this Act, be paid at a time later than the time of making entry 
shall be subject to the rate or rates in effect at the time of entry.". 
SEC. 102. (a) Section 484 of the Tariff Act of 1930 (19 U.S.C. 1484) 
is amended—• 
(1) by amending subsection (a) to read as follows: 
"(a) REQUIREMENT AND TIME.— (1) Except as provided in sections 
490, 498, 552, 553, and 336 (j) of this Act and in subsections (h) and 
(i) of this section, the consignee of imported merchandise, either in 
person or by an agent authorized by the consignee in writing— 
"(A) shall make entry therefor by filing with the appropriate 
customs officer such documentation as is necessary to enable such 
officer to determine whether the merchandise may be released 
from customs custody; and 
"(B) shall file (at the time required under paragraph (2) (B) of 
this subsection) with the appropriate customs officer such other 
documentation as is necessary to enable such officer to assess prop-
erly the duties on the merchandise, collect accurate statistics with 
respect to the merchandise, and determine whether any other 
applicable requirement of law (other than a requirement relat-
ing to release from customs custody) is met. 
"(2) (A) The documentation required under paragraph (1) of this 
subsection with respect to any imported merchandise shall be filed at 
such place within the customs-collection district where the merchan-
dise will be released from customs custody as the Secretary shall by 
regulation prescribe. 
"(B) The documentation required under paragraph (1) (B) of this 
subsection with respect to any imported merchandise shall be filed with 
the appropriate customs officer when entry of the merchandise is made 
or at such time within the ten-day period (exclusive of Saturdays, Sun-
days, and holidays) immediately following the date of entry as the 
Secretary shall by regulation prescribe. 
"(C) The Secretary, in prescribing regulations to carry out this 
subsection, shall establish procedures which insure the accuracy and 
timeliness of import statistics, particularly statistics relevant to the 
classification and valuation of imports. Corrections of errors in such 
NOTE: In the twelveth line of Sec. 102, which begins with "(B) shall . 
been added after the word "shall". 
", the word "file" has 
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 889 
statistical data discovered after the release of merchandise shall be 
; 
transmitted immediately to the Director of the Bureau of the Census, 
who shall make corrections in the statistics maintained by the Bureau. 
The Secretary shall also provide, to the maximum extent practicable, 
for the protection of the revenue, the facilitation of the commerce of 
the United States, and the equal treatment of all consignees of 
imported merchandise."; 
(2) by striking out "subdivision" in subsection (c) (3) and 
inserting in lieu thereof "subsection"; and 
(3) by striking out the second sentence in subsection (j). 
(b) The amendments made by this section shall take effect 60 days Effective date, 
after the date of enactment of this Act. 
1^ U
S
C 1484 
SEC. 103. Section 505(a) of the Tariff Act of 1930 (19 U.S.C. 1505 °°t«-
(a)) is amended to read as follows: 
"(a) DEPOSIT OF ESTIMATED DUTIES.—Unless merchandise is entered Regulations, 
for warehouse or transportation, or under bond, the consignee shall 
deposit with the appropriate customs officer at the time of making 
entry, or at such later time as the Secretary may prescribe by regula-
tion (but not to exceed thirty days after the date of entry), the amount 
of duties estimated by such customs officer to be payable thereon.". 
SEC. 104. The Tariff Act of 1930 is amended by inserting after sec-
tion 507 the following new section: 
"SEC. 508. RECORDKEEPING. 
19 USC 1508. 
"(a) REQUIREMENTS.—Any owner, importer, consignee, or agent 
thereof who imports, or who knowingly causes to be imported, any 
merchandise into the customs territory of the United States shall make, 
keep, and render for examination and inspection such records (includ-
ing statements, declarations, and other documents) which— 
"(1) pertain to any such importation, or to the information 
contained in the documents required by this Act in connection 
, with the entry of merchandise; and 
"(2) are normally kept in the ordinary course of business. 
"(b) PERIOD OF TIME.—The records required by subsection (a) of 
this section shall be kept for such periods of time, not to exceed 5 
years from the date of entry, as the Secretary shall prescribe. 
"(c) LIMITATION.—For the purposes of this section and section 509, Infra. 
, 
a person ordering merchandise from an importer in a domestic trans-
action does not knowingly cause merchandise to be imported unless— 
"(1) the terms and conditions of the importation are controlled 
by the person placing the order; or 
"(2) technical data, molds, equipment, other production assist-
ance, material, components, or parts are furnished by the person 
placing the order with knowledge that they will be used in the 
manufacture or production of the imported merchandise.". 
SEC. 105. Section 509 of the Tariff Act of 1930 (19 U.S.C. 1509) is 
amended to read as follows: 
"SEC. 509. EXAMINATION OF BOOKS AND WITNESSES. 
"(a) AUTHORITY.—In any investigation or inquiry conducted for 
the purpose of ascertaining the correctness of any entry, for deter-
mining the liability of any person for duty and taxes due or duties 
and taxes which may be due the United States, for determining lia-
bility for fines and penalties, or for insuring compliance with the laws 
of the United States administered by the United States Customs Serv-
ice, the Secretary (but no delegate of the Secretary below the rank of 
district director or special agent in charge) may— 
92 STAT. 890 
PUBLIC LAW 95-410—OCT. 3, 1978 
Notice. 
Notice. 
Ante, p. 889. 
Definitions. 
Notice. 
"(1) examine, or cause to be examined, upon reasonable notice, 
any record, statement, declaration or other document, described in 
the notice with reasonable specificity, which may be relevant to 
such investigation or inquiry; 
" (2) summon, upon reasonable notice— 
"(A) the person who imported, or knowingly caused to 
be imported, merchandise into the customs territory of the 
i - 
United States, 
"(B) any officer, employee, or agent of such person, 
"(C) any person having possession, custody, or care of rec-
ords relating to such importation, or 
"(D) any other person he may deem proper, 
to appear before the appropriate customs officer at the time and 
place within the customs territory of the United States specified 
s 
in the summons (except that no witness may be required to appear 
at any place more than one hundred miles distant from the place 
where he was served with the summons), to produce records, 
required to be kept under section 508 of this Act, and to give 
such testimony, under oath, as may be relevant to such investig-
tion or inquiry; and 
"(3) take, or cause to be taken, such testimony of the person 
concerned, under oath, as may be relevant to such investigation 
or inquiry. 
"(b) SERVICE OF SUMMONS.—^A summons issued pursuant to this 
section may be served by any person designated in the summons to 
serve it. Service upon a natural person may be made by personal 
delivery of the summons to him. Service may be made upon a domestic 
or foreign corporation or upon a partnership or other unincorporated 
association which is subject to suit under a common name, by deliver-
ing the summons to an officer, or managing or general agent, or to any 
other agent authorized by appointment or by law to receive service 
of process. The certificate of service signed by the person serving the 
summons is prima facie evidence of the facts it states on the hearing 
of an application for the enforcement of the summons. When the 
summons requires the production of records, such records shall be 
described in the summons with reasonable specificity. 
"(c) 
SPECIAL PROCEDURES FOR THIRD-PARTY SUMMONSES.—(1) 
For 
purposes of this subsection— 
"(A) The term 'records' includes statements, declarations, or 
documents required to be kept under section 508 of this Act. 
"(B) The term 'summons' means any summons issued under 
subsection (a) of this section which requires the production of 
' 
records or the giving of testimony relating to records. Such term 
does not mean any summons issued to aid in the collection of the 
liability of any person against whom an assessment has been made 
or judgment rendered. 
''(C) The term 'third-party recordkeeper' means— 
" (i) any customhouse broker; 
"(ii) any attorney; and 
"(iii) any accountant. 
;. "(2) If— 
"(A) any summons is served on any person who is a third-
party recordkeeper; and 
"(B) the summons requires the production of, or the giving of 
testimony relating to, any portion of records made -or kept of the 
import transactions of any person (other than the person sum-
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 891 
moned) who is identified in the description of the records con-
tained in such summons; 
then notice of such summons shall be given to any persons so identi-
fied within a reasonable time before the day fixed in the summons as 
the day upon which such records are to be examined or testimony given. 
Such notice shall be accompanied by a copy of the summons which 
has been served and shall contain directions for staying compliance 
with the summons under paragraph (5) (B) of this subsection. 
"(3) Any notice required under paragraph (2) of this subsection 
shall be sufficient if such notice is served in the manner provided in 
subsection (b) of this section upon the person entitled to notice, or is 
mailed by certified or registered mail to the last known address of such 
person. 
"(4) Paragraph (2) of this subsection shall not apply to any 
summons— 
"(A) served on the person with respect to whose liability for 
duties or taxes the sunnnons is issued, or any officer or employee of 
such person; or 
"(B) to determine whether or not records of the import trans-
actions of an identified person have been made or kept. 
"(5) Notwithstanding any other law or rule of law, any person who 
is entitled to notice of a summons under paragraph (2) of this sub-
section shall have the right— 
" (A) to intervene in any proceeding with respect to the enforce-
ment of such summons under section 510 of this Act; and 
Jnfra. 
"(B) to stay compliance with the summons if, not later than the 
day before the day fixed in the summons as the day upon which the 
records are to be examined or testimony given— 
"(i) notice in writing is given to the person summoned not 
to comply Avith the summons; and 
"(ii) a copy of such notice not to comply with the sum-
mons is mailed by registered or certified mail to such person 
and to such office as the Secretary may direct in the notice 
referred to in paragraph (2) of this subsection. 
"(6) No examination of any records required to be produced under 
a summons as to which notice is required under paragraph (2) of this 
subsection may be made— 
" ( A ) before the expiration of the period allowed for the notice 
not to comply under paragraph (5) (B) of this subsection, or 
"(B) if the requirements of such paragraph (5) (B) have been 
met, except in accordance with an order issued by a court of com-
petent jurisdiction authorizing examination of such records or 
with the consent of the person staying compliance. 
"(7) The provisions of paragraphs (2) and (5) of this subsection 
shall not apply with respect to any summons if, upon petition by the 
Secretary, the court determines, on the basis of the facts and circum-
stances alleged, that there is reasonable cause to believe the giving of 
notice may lead to attempts to conceal, destroy, or alter records rele-
vant to the examination, to prevent the communication of informa-
tion from other persons through intimidation, bribery, or collusion, or 
to flee to avoid prosecution, testifying, or production of records.". 
SEC. 106. Section 510 of the Tariff Act of 1930 (19 U.S.C. 1510) is 
amended to read as follows: 
"SEC. 510. JUDICIAL ENFORCEMENT. 
"(a) ORDER OF COURT.—If any person summoned under section 509 
of this Act does not comply with the summons, the district court of Ante, p. 889. 
39-194 O—80—pt. 1 
60 ; QL3 
92 STAT. 892 
PUBLIC LAW 95-410—OCT. 3, 1978 
the United States for any district in which such person is found or 
resides or is doing business, upon application and after notice to any 
such person and hearing, shall have jurisdiction to issue an order 
requiring such person to comply with the summons. Failure to obey 
^ 
such order of the court may be punished by such court as a contempt 
thereof. 
"(b) 
SANCTIONS.— (1) For so long as any person, after being 
adjudged guilty of contempt for neglecting or refusing to obey a 
Ante, p. 889. 
lawful summons issued under section 509 of this Act and for refusing 
to obey the order of the court, remains in contempt, the Secretary 
may— 
"(A) prohibit that person from importing merchandise into 
the customs territory of the United States directly or indirectly or 
for his account, and 
"(B) instruct the appropriate customs officers to withhold 
delivery of merchandise imported directly or indirectly by that 
person or for his account. 
"(2) If any person remains in contempt for more than one year 
after the date on which the Secretary issues instructions under para-
graph (1) (B) with respect to that person, the appropriate customs 
officers shall cause all merchandise held in customs custody pursuant 
to such instructions to be sold at public auction or otherwise disposed 
of under the customs laws. 
"(3) The sanctions which may be imposed under paragraphs (1) 
and (2) are in addition to any punishment which may be imposed by 
the court for contempt.". 
Repeal. 
SEC. 107. Section 511 of the Tariff Act of 1930 (19 U.S.C. 1511) is 
SEC. 108. (a) Section 557 of the Tariff Act of 1930 (19 U.S.C. 1557) 
is amended by adding at the end thereof the following new subsection: 
"(d) 
WITHDRAWAL BEFORE PAYMENT.—Merchandise may be with-
drawn for consumption without the payment of the duty thereon if 
the consignee or transferee is permitted to pay duty at a later time 
pursuant to regulations prescribed by the Secretary under section 505 
19 use 1505. 
of this Act.". 
(b) (1) Sections 557 and 559 of the Tariff Act of 1930 (19 U.S.C. 
1557 and 1559) are amended by striking out "three years" each place 
it appears and inserting in lieu thereof "5 years" in each such place. 
19 use 1557 
(2) For purposes of applying the amendments made by paragraph 
note. 
(1) to merchandise remaining in a bonded warehouse on the date of 
enactment of this Act, any period of time the merchandise was in the 
bonded warehouse before that date shall be disregarded. 
SEC. 109. Section 584 of the Tariff Act of 1930 (19 U.S.C. 1584) 
is amended— 
(1) by striking out the first word of each paragraph and insert-
ing in lieu thereof— 
(A) " (a) GENERAL RULE.— (1) Any" in the first paragraph, 
( B ) "(2) If" in the second paragraph, and 
; 
(C) " (3) If" in the last paragraph; 
(2) by inserting "lesser of $10,000 or the domestic" immediately 
after "penalty equal to the" in the first sentence of the first 
paragraph; 
(3) by inserting "or any person directly or indirectly responsi-
ble for any discrepancy between the merchandise and said mani-
fest" immediately after "or the owner of such vessel or vehicle" 
, 
each place it appears in the first sentence of the first paragraph; 
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 893 
Notice. 
(4) by adding at the end of the first paragraph the following 
new sentence: "For purposes of this subsection, the term 'clerical 
"Clerical error,' 
error' means a nonnegligent, inadvertent, or typographical mis-
take in the preparation, assembly, or submission of the manifest."; 
(5) by inserting "or any person directly or indirectly responsi-
ble for heroin, morphine, cocaine, isonipecaine, or opiate being 
in such merchandise" immediately after "or the owner of such 
vessel or vehicle" in the first sentence of the second paragraph; 
(6) by inserting "or any person directly or indirectly responsi-
ble for smoking opium, opium prepared for smoking, or mari-
huana being in such merchandise" immediately after "or the owner 
of such vessel or vehicle" in the second sentence of the second 
paragraph; 
(7) by inserting "or any person directly or indirectly responsi-
ble for crude opium being in such merchandise" immediately after 
"or the owner of such vessel or vehicle" in the third sentence of the 
second paragraph; and 
(8) by adding at the end thereof the following new subsection: 
"(b) PROCEDURES.— (1) If the appropriate customs officer has rea-
sonable cause to believe that there has been a violation of subsection 
(a)(1) and determines that further proceedings are warranted, he 
shall issue to the person concerned a written notice of his intention to 
issue a claim for a monetary penalty. Such notice shall— 
"(A) describe the merchandise; 
" ( B ) set forth the details of the error in the manifest; 
"(C) specify all laws and regulations allegedly violated; 
" ( D ) disclose all the material facts which establish the alleged 
violation; 
" ( E ) state the estimated loss of lawful duties, if any, and, tak-
ing into account all of the circumstances, the amount of the pro-
posed monetary penalty; and 
" ( F ) inform such person that he will have a reasonable oppor-
tunity to make representations, both oral and written, as to why 
such penalty claim should not be issued. 
No notice is required under this subsection for any violation of subsec-
tion (a) (1) for which the proposed penalty is $500 or less. 
"(2) After considering representations, if any, made by the person 
concerned pursuant to the notice issued under paragraph (1), the 
appropriate customs officer shall determine whether any violation of 
subsection (a) (1), as alleged in the notice, has occurred. If such offi-
cer determines that there was no violation, he shall promptly issue a 
written statement of the determination to the person to whom the 
notice was sent. If such officer determines that there was a violation, he 
shall issue a written penalty claim to such person. The written penalty 
claim shall specify all changes in the information provided under sub-
paragraphs (A) through (E) of paragraph (1).". 
SEC. 110. (a) Section 592 of the Tariff Act of 1930 (19 U.S.C. 1592) 
is amended to read as follows: 
"SEC. 592. PENALTIES FOR FRAUD, GROSS NEGLIGENCE, AND NEGLI-
GENCE. 
"(a) 
PROHIBITIOJST 
"(1) GENERAL RULE.—Without regard to whether the United 
States is or may be deprived of all or a portion of any lawful duty 
thereby, no person, by fraud, gross negligence, or negligence— 
92 STAT. 894 
PUBLIC LAW 95-410—OCT. 3, 1978 
"(A) may enter, introduce, or attempt to enter or intro-
duce any merchandise into the commerce of the United States 
by means of— 
"(i) any document, written or oral statement, or act 
which is material and false, or 
"(ii) any omission which is material, or 
"(B) may aid or abet any other person to violate subpara-
graph (A). 
"(2) EXCEPTION.—Clerical errors or mistakes of fact are not 
violations of paragraph (1) unless they are part of a pattern of 
negligent conduct. 
" (b) PROCEDURES.— 
"(1) 
PRE-PEXALTT NOTICE.— 
"(A) IN GENERAL.—If the appropriate customs officer has 
reasonable cause to believe that there has been a violation of 
subsection (a) and determines that further proceedings are 
warranted, he shall issue to the person concerned a written 
notice of his intention to issue a claim for a monetary penalty. 
Such notice shall— 
"(i) describe the merchandise; 
"(ii) set forth the details of the entry or introduction, 
- 
the attempted entry or introduction, or the aiding or 
procuring of the entry or introduction; 
"(iii) specify all laws and regulations allegedly 
violated; 
"(iv) disclose all the material facts which establish 
the alleged violation; 
"(v) state whether the alleged violation occurred as a 
result of fraud, gross negligence, or negligence; 
"(vi) state the estimated loss of lawful duties, if any, 
and, taking into account all circumstances, the amount 
of the proposed monetary penalty; and 
"(vii) inform such person that he shall have a rea-
sonable opportunity to make representations, both oral 
and written, as to why a claim for a monetary penalty 
should not be issued in the amount stated. 
"(B) EXCEPTIONS.—The preceding subparagraph shall not 
apply if--
"(i) the importation with respect to which the viola-
tion of subsection (a) occurs is noncommercial in nature, 
or 
"(ii) the amount of the penalty in the penalty claim 
issued under paragraph (2) is $1,000 or less. 
"(2) PENALTY CLAIM.—After considering representations, if 
any, made by the person concerned pursuant to the notice issued 
under paragraph (1), the appropriate customs officer shall deter-
mine whether any violation of subsection (a), as alleged in the 
notice, has occurred. If such officer determines that there was no 
violation, he shall promptly issue a written statement of the deter-
mination to the person to whom the notice was sent. If such officer 
determines that there was a violation, he shall issue a written 
penalty claim to such person. The written penalty claim shall 
specify all changes in the information provided under clauses (i) 
through (vi) of paragraph (1)(A). Such person shall have a 
19 use 1618. 
reasonable opportunity under section 618 of this Act to make 
representations, both oral and written, seeking remission or miti-
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 895 
gation of the monetary penalty. At the conclusion of any pro-
ceeding under such section 618, the appropriate customs officer 
19 USC 1618. 
shall provide to the person concerned a written statement which 
sets forth the final determination and the findings of fact and 
conclusions of law on which such determination is based. 
"(c) 
MAXIMUM PENALTIES.— 
"(1) 
FRAUD.—A fraudulent violation of subsection (a) is 
punishable by a civil penalty in an amount not to exceed the domes-
tic value of the merchandise. 
"(2) GROSS NEGLIGENCE.—A grossly negligent violation of sub-
section (a) is punishable by a civil penalty in an amount not to 
exceed— 
"(A) the lesser of— 
"(i) the domestic value of the merchandise, or 
"(ii) four times the lawful duties of which the United 
States is or may be deprived, or 
" (B) if the violation did not affect the assessment of duties, 
40 percent of the dutiable value of the merchandise. 
"(3) NEGLIGENCE.—A negligent violation of subsection (a) is 
punishable by a civil penalty in an amount not to exceed— 
" ( A ) the lesser of— 
"(i) the domestic value of the merchandise, or 
"(ii) two times the lawful duties of which the United 
. - 
States is or may be deprived, or 
" ( B ) if the violation did not affect the assessment of duties, 
20 percent of the dutiable value of the merchandise. 
"(4) PRIOR DISCLOSURE.—If the person concerned discloses the 
circumstances of a violation of subsection (a) before, or without 
knowledge of, the commencement of a formal investigation of 
such violation, with respect to such violation, merchandise shall 
not be seized and any monetary penalty to be assessed under sub-
section (c) shall not exceed— 
,, 
" (A) if the violation resulted from fraud— 
"(i) an amount equal to 100 percent of the lawful 
duties of which the United States is or may be deprived, 
so long as such person tenders the unpaid amount of the 
lawful duties at the time of disclosure or within thirty 
days, or such longer period as the appropriate customs 
officer may provide, after notice by the appropriate cus-
toms officer of his calculation of such unpaid amoimt, or 
"(ii) if such violation did not affect the assessment of 
duties, 10 percent of the dutiable value; or 
"(B) if such violation resulted from negligence or gross 
negligence, the interest (computed from the date of liquida-
tion at the prevailing rate of interest applied under section 
6621 of the Internal Eevenue Code of 1954) on the amount 
26 USC 6621. 
of lawful duties of which the United States is or may be 
deprived so long as such person tenders the unpaid amount of 
the lawful duties at the time of disclosure or within 30 days, 
or such longer period as the appropriate customs officer may 
provide, after notice by the appropriate customs officer of his 
calculation of such unpaid amount. 
The person asserting lack of knowledge of the commencement of 
a formal investigation has the burden of proof in establishing such 
lack of knowledge. 
92 STAT. 896 
PUBLIC LAW 95-410—OCT. 3, 1978 
"(5) SEIZURE.—If the Secretary has reasonable cause to believe 
. 
r 
' 
that a person has violated the provisions of subsection (a) and 
that such person is insolvent or beyond the jurisdiction of the 
United States or that seizure is otherwise essential to protect the 
revenue of the United States or to prevent the introduction of 
prohibited or restricted merchandise into the customs territory 
of the United States, then such merchandise may be seized and, 
upon assessment of a monetary penalty, forfeited unless the mone-
tary penalty is paid within the time specified by law. Within a 
reasonable time after any such seizure is made, the Secretary shall 
issue to the person concerned a written statement containing the 
reasons for the seizure. After seizure of merchandise under this 
subsection, the Secretary may, in the case of restricted merchan-
dise, and shall, in the case of any other merchandise (other than 
prohibited merchandise), return such merchandise upon the 
deposit of security not to exceed the maximum monetary penalty 
which may be assessed under subsection (c). 
"(d) 
DEPRIVATION or LAWFUL DUTIES.—Notwithstanding section 
19 use 1514. 
514 of this Act, if the United States has been deprived of lawful duties 
as a result of a violation of subsection (a), the appropriate customs 
officer shall require that such lawful duties be restored, whether or not 
a monetary penalty is assessed. 
"(e) 
DISTRICT COURT PROCEEDINGS.—Notwithstanding any other 
provision of law, in any proceeding in a United States district court 
19 use 1604. 
commenced by the United States pursuant to section 604 of this Act 
for the recovery of any monetary penalty claimed under this section— 
"(1) all issues, including the amount of the penalty, shall be 
tried de novo; 
"(2) if the monetary penalty is based on fraud, the United 
States shall have the burden of proof to establish the alleged vio-
lation by clear and convincing evidence; 
"(3) if the monetary penalty is based on gross negligence, the 
United States shall have the burden of proof to establish all the 
elements of the alleged violation; and 
"(4) if the monetary penalty is based on negligence, the United 
States shall have the burden of proof to establish the act or omis-
sion constituting the violation, and the alleged violator shall have 
the burden of proof that the act or omission did not occur as a 
result of negligence.". 
(b) Section 603 of the Tariff Act of 1930 (19 U.S.C. 1603) is 
amended by inserting "promptly" immediately after "to report". 
(c) Section 613 of the Tariff Act of 1930 (19 U.S.C. 1613) is 
amended— 
(1) by striking out "Any" in the first sentence and inserting in 
lieu thereof "(a) Except as provided in subsection (b) of this sec-
" 
0 ' 
tion, any"; and 
(2) by adding at the end thereof the following new subsection: 
Ante, p. 893. 
" (b) If merchandise is forfeited under section 592 of this Act, any 
proceeds from the sale thereof in excess of the monetary penalty finally 
assessed thereunder and the expenses and costs described in subsection 
(a) (1) and (2) of this section incurred in such sale shall be returned 
to the person against whom the penalty was assessed." 
(d) Section 615 of the Tariff Act of 1930 (19 U.S.C. 1615) is 
amended by inserting "(other than those arising under section 592 of 
this A c t ) " immediately after "In all suits or actions". 
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 897 
(e) Section 621 of the Tariff Act of 1930 (19 U.S.C. 1621) is 
amended by inserting the following after ''''Provided^ That": "in the 
case of an alleged violation of section 592 of this Act arising out of Ante, p. 893. 
gross negligence or negligence, such suit or action shall not be insti-
tuted more than five years after the date the alleged violation was 
committed: Provided further^ That". 
(f)(1)(A) Except as provided in subparagraphs (B) and (C), 19 USC 1592 
subsections (a), (b), and (c) (other than new subsection (e) of sec- note, 
tion 592 of the Tariff Act of 1930 as added by subsection (a)) shall be 
effective with respect to proceedings commenced after the 89th day 
after the date of enactment of this Act. 
(B) Except as provided in subparagraph (C), section 592 of the 
Tariff Act of 1930 (as such section existed on the day before the date 
of enactment of this Act) shall apply to any alleged intentional viola-
tion thereof involving television receivers that are the product of 
Japan and that were or are the subject of antidumping proceedings 
if the alleged intentional violation— 
(i) occurred before the date of enactment of this Act, and 
(ii) was the subject of an investigation by the Customs Service 
which was begun before the date of enactment of this Act. 
(C) Except as provided in the next sentence, subsection (e) of sec-
tion 592 of the Tariff Act of 1930 (as added by subsection (a)) shall be 
effective on the date of enactment of this Act. Notwithstanding any 
provision of law, in any proceeding in a United States district court 
commenced by the United States pursuant to section 604 of the Tariff 
Act of 1930 for the recovery of any monetary penalty claimed under 19 USC 1604. 
section 592 of such Act for an alleged intentional violation described 
in subparagraph (B) — 
(i) all issues, including the amount of the penalty, shall be tried 
de novo; and 
(ii) the United States shall have the burden of proof to estab-
lish such violation by a preponderance of the evidence. 
(2) (A) The amendment made by subsection (e) shall apply with 
respect to alleged violations of section 592 of the Tariff Act of 1930 
resulting from gross negligence or negligence which are committed 
on or after the date of the enactment of this Act. 
(B) In the case of any alleged violation of such section 592 resulting 
from gross negligence or negligence which was committed before the 
date of the enactment of this Act and for which no suit or action for 
recovery was commenced before such date of enactment, no suit or 
action for recovery with respect to such alleged violation shall be insti-
tuted after—• 
(i) the closing date of the 5-year period beginning on the date 
on which the alleged violation was committed, or 
(ii) the closing date of the 2-year period beginning on such date 
of enactment, 
whichever date later occurs, except that no such suit or action may be 
instituted after the date on which such suit or action would have been 
barred under section 621 of the Tariff Act of 1930 (as in effect on the 
19 USC 1621. 
day before such date of enactment). 
SEC. 111. (a) Section 607 of the Tariff Act of 1930 (19 U.S.C. 1607) 
is amended hy striking out "$2,500" in the heading of such section 
and inserting in lieu thereof "$10,000", and by striking out "$2,500" 
each place that it appears therein and inserting in lieu thereof 
"$10,000". 
92 STAT. 898 
PUBLIC LAW 95-410—OCT. 3, 1978 
(b) Section 610 of the Tariff Act of 1930 (19 U.S.C. 1610) is 
amended by striking out "$2,500" in the heading of such section and 
inserting in lieu thereof "$10,000", and by striking out "$2,500" in 
such section and inserting in lieu thereof "$10,000". 
(c) Section 612 of the Tariff Act of 1930 (19 U.S.C. 1612) is 
amended by striking out "$2,500" each place it appears therein and 
inserting in lieu thereof "$10,000". 
SEC. 112. The Tariff Act of 1930 is amended by inserting immedi-
ately after section 624 the following new section: 
19 use 1625. 
"SEC. 625. PUBLICATION OF DECISIONS. 
"Within 120 days after issuing any precedential decision (including 
any ruling letter, internal advice memorandum, or protest review 
decision) under this Act with respect to any customs transaction, the 
Secretary shall have such decision published in the Customs Bulletin 
or shall otherwise make such decision available for public inspection.". 
SEC. 113. Section 641 of the Tariff Act of 1930 (19 U.S.C. 1641) is 
amended by adding at the end thereof the following new subsection: 
"(e) TRIENNIAL REPORTS B Y CUSTOMHOUSE BROKERS.—On Febru-
ary 1, 1979, and on February 1 of each third year thereafter, each 
person who is licensed as a customhouse broker under this section 
shall file with the Secretary a report as to— 
"(1) whether such person is actively engaged in business as a 
customhouse broker; and 
" (2) the name under, and the address at, which such business is 
being transacted.". 
T T T L E I I — C U S T O M S SIMPLIFICATION 
SEC. 201. Section 11 of the Act of March 1, 1879 (19 U.S.C. 467) is 
amended to read as follows: 
Regulations. 
"SEC. 11. The Secretary of the Treasury may by regulation require 
such marks, brands, and stamps or devices to be placed on any bulk 
container (including a pipeline) used for holding, storing, transferring 
or conveying imported distilled spirits, wines, or malt liquors as he 
deems necessary and proper in the administration of the Federal laws 
applicable to such imported distilled spirits, wines, or malt liquors and 
may specify those marks, brands, and stamps or devices which the 
importer or owner shall place or have placed on such containers. Any 
such container of imported distilled spirits, wines, or malt liquors 
withdrawn from customs custody purporting to contain imported dis-
tilled spirits, wines, or malt liquors found without having thereon any 
mark, brand, stamp, or device the Secretary of the Treasury may 
require, shall be with its contents, forfeited to the United States of 
America." 
SEC. 202. (a) Schedule 8 of the Tariff Schedules of the United States 
(19 U.S.C. 1202) is amended as follows: 
(1) Item 812.20 is amended by striking out "3 pounds" and 
inserting in lieu thereof "2 kilograms", by striking out "1 quart" 
and inserting in lieu thereof "1 liter", and by striking out "300 
cigarettes" and inserting in lieu thereof "200 cigarettes". 
(2) Item 812.25 is amended by striking out" (including not more 
than 1 wine gallon of alcoholic beverages and not more than 100 
cigars)" and inserting in lieu thereof "(not including alcoholic 
beverages and cigarettes but including not more than 100 cigars)". 
(3) Item 812.40 is amended by inserting "(including not more 
than 4 liters of alcoholic beverages) " after "Not exceeding $200 in 
value of articles". 
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 899 
(4) The prefatory note to item 813.10 is amended by inserting 
the following before the colon at the end of such note: "(including 
American citizens who are residents of American Samoa, Guam, 
or the Virgin Islands of the United States)". 
(5) Subpart A of part 2 is amended by striking out items 813.30 
and 813.31 and by inserting in lieu thereof the following new 
items: 
19 use 1202 
note. 
other articles, including not more than 100 cigars, acquired abroad as an in-
cident of the journey from which the person Is returning if such person 
arrives from the Virgin Islands of the United States or from a contiguous 
country which maintains a free zone or free port, or arrives from any 
other country after having remained beyond the United States for a pe-
riod of not less than 48 hours, for his personal or household use, but not im-
ported for the account of any other person nor intended for sale, if de-
clared in accordance with regulations of the Secretary of the Treasiuy 
and if such person has not claimed an exemption under item 813.30 or 
813.31 within 30 days preceding his arrival, and does not claim an exemp-
tion under the other item on his arrival: 
Articles, accompanying a person, not over $300 in aggregate fair retail 
value in the country of acquisition, including (but only in the case of 
an individual who has attained the age of 21) not more than 1 quart 
of alcohoUc beverages 
Free 
Free 
Articles, whether or not accompanying a person, not over $600 in aggre-
gate fair market value in the country of acquisition, including (but 
only in the case of an individual who has attained the age of 21) not 
more than 1 wine gallon of alcoholic beverages, not more than 1 quart of 
which shall have been sicquired elsewhere than in American Samoa, 
Guam, or the Virgin Islands of the United States, if such person ar-
rives directly or indirectly from such insular possessions, not more 
than $300 of which shall have been acquired elsewhere than in such 
insular possessions (but this item does not permit the entry of ar-
ticles not accompanying a person which were acquired elsewhere 
than in such insular possessions) 
(6) The item description appearing immediately before item 
813.30 (as amended by paragraph (5)) is amended by inserting 
"200 cigarettes and" before "100 cigars". 
(7) Item 813.30 (as amended by paragraph (5)) is amended by 
striking out "1 quart" and inserting in lieu thereof "1 liter". 
(8) Item 813.31 (as amended by paragraph (5)) is amended by 
striking out "1 wine gallon" and inserting in lieu thereof "4 
liters", and by striking out "1 quart" and inserting in lieu thereof 
"1 liter". 
(9) Item 814.00 is amended by striking out "3 pounds" and 
inserting in lieu thereof "2 kilograms" and by striking out 
"1 quart" and inserting in lieu thereof "1 liter". 
(10) Item 860.10 is amended by striking out "8 ounces" and 
inserting in lieu thereof "300 milliliters", by striking out 
"4 ounces" and inserting in lieu thereof "150 milliliters", and by 
striking out "2 ounces" and inserting in lieu thereof "100 
milliliters". 
(11) Item 860.20 is amended by striking out "i/^ ounce" each 
place that it appears and inserting in lieu thereof "3.5 grams". 
(b) (1) The amendments made by this section with respect to metric 
conversion apply to merchandise entered on or after January 1, 1980. 
(2) The amendments made by this section (other than those referred 
to in paragraph (1)) shall apply with respect to persons arriving in 
the United States on or after the 30th day after the date of the enact-
ment of this Act. For purposes of this subsection, the amendment 
made by paragraph (3) of subsection (a) shall not be considered an 
amendment with respect to metric conversion. 
19 use 1202 
note. 
92 STAT. 900 
PUBLIC LAW 95-410—OCT. 3, 1978 
19 use 1202 
note. 
19 use 1202 
note. 
Publication in 
Federal Register. 
SEC. 203. (a) Schedule 8 of the Tariff Schedules of the United States 
(19 U.S.C. 1202) is further amended by redesignating part 6 as part 7, 
by striking out "Part 6 headnote:" in part 7 (as so redesignated) and 
inserting in lieu thereof "Part 7 headnote:"; and by inserting after 
part 5 the following new part: 
869.00 
869.10 
PART 6.—NONCOMMEECIAL IMPORTATIONS OF LIMITED VALUE 
Part 6 headnote: 
For the purposes of this part the rates of duty for articles pro-
vided in this part shall be assessed in lieu of any other rates of duty, 
except free rates of duty on such articles, unless the Secretary of the 
Treasury or his delegate determines, in accordance with regula-
tions, that the application of the rate of duty provided in this part 
to any article in lieu of the rate of duty otherwise applicable thereto 
adversely afleots the economic interest of the United States. 
Articles for personal or household use, or as bona fide gifts, not 
imported for the account of another person, valued in the 
aggregate at not over $600 fair retail value in the country of 
acquisition, if the person claunlng the benefit of item 869.00 
or 869.10, or both, has not received the benefits thereof 
within the 30 days immediately preceding his arrival: 
Accompanying a person, arriving in the United States 
(exclusive of duty-free articles and articles acquired in 
American Samoa, Quam, or the Virgin Islands of the 
United States) 
Imported by or for the account of a person (whether or 
not accompanying him) arriving directly or indirectly 
from American Samoa, Quam, or the Virgin Islands of 
the United States, acquired in such insular possessions 
as an incident of such person's physical presence 
10% of the 
fair re-
taU 
value 
5% of the 
fair re-
tail 
value 
10% of the 
falrre-
t£dl 
value 
5% of the 
fair re-
taU 
value 
(b) The amendment made bj^ this section shall apply to persons 
and articles arriving in the United States on or after the 30th day 
after the date of the enactment of this Act. 
SEC. 204. Section 315(d) of the Tariff Act of 1930 (19 U.S.C. 
1315(d)) is amended by striking out "weekly Treasury Decisions" and 
inserting in lieu thereof "Federal Register". 
SEC. 205. (a) Section 321(a) (1) of the Tariff Act of 1930 (19 U.S.C. 
1321(a)(1)) is amended by striking out "$3" and inserting in lieu 
thereof "$10", and by striking out "or" after "duties" wherever it 
appears and inserting in lieu thereof "and". 
(b) (1) Subparagraph (A) of section 321(a) (2) of the Tariff Act 
of 1930 (19 U.S.C. 1321(a)(2)) is amended by striking out "$10" 
and inserting in lieu thereof "$25", and by striking out "$20" and 
inserting in lieu thereof "$40". 
(2) Subparagraph (B) of such section 321(a)(2) is amended by 
striking out "$10" and inserting in lieu thereof "$25". 
(3) Subparagraph (C) of such section 321(a)(2) is amended by 
striking out "$1" and inserting in lieu thereof "$5". 
SEC. 206. Section 466 of the Tariff Act of 1930 (19 U.S.C. 1466) is 
amended— 
(1) by striking out "; and if the owner or master" in subsection 
(a) and all that follows thereafter down through the period at 
the end of the first sentence and inserting in lieu thereof the 
following: ". If the owner or master willfully or knowingly 
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 901 
neglects or fails to report, make entry, and pay duties as herein 
required, or if he makes any false statement in respect of such 
purchases or repairs without reasonable cause to believe the truth 
of such statements, or aids or procures the making of any false 
statement as to any matter material thereto without reasonable 
I 
cause to believe the truth of such statement, such vessel, or a 
monetary amount up to the value thereof as determined by the 
Secretary, to be recovered from the owner, shall be subject to 
seizure and forfeiture; and 
(2) by redesignating subsections (b) and (c) as (d) and (e), 19 USC 1466. 
respectively, and by inserting after subsection (a) the follow-
ing new subsections: 
"(b) NOTICE.—If the appropriate customs officer has reasonable 
cause to believe a violation has occurred and determines that further 
' 
procedings are warranted, he shall issue to the person concerned a 
written notice of his intention to issue a penalty claim. Such notice 
shall— 
"(1) describe the circumstances of the alleged violation; 
"(2) specify all laws and regulations allegedly violated; 
"(3) disclose all the material facts which establish the alleged 
violation; 
"(4) state the estimated loss of lawful duties, if any, and 
taking into account all of the circumstances, the amount of the 
i proposed penalty; and 
"(5) inform such person that he shall have a reasonable oppor-
tunity to make representations, both oral and written, as to why 
such penalty claim should not be issued. 
"(c) VIOLATION.—After considering representations, if any, made 
by the person concerned pursuant to the notice issued under subsec-
tion (b), the appropriate customs officer shall determine whether any 
violation of subsection (a), as alleged in the notice, has occurred. If 
- * 
such officer determines that there was no violation, he shall promptly 
notify, in writing, the person to whom the notice was sent. If such 
officer determines that there was a violation, he shall issue a written 
penalty claim to such person. The written penalty claim shall specify 
' 
all changes in the information provided under paragraphs (1) through 
(4) of subsection (b).". 
SEC. 207. Section 483(1) of the Tariff Act of 1930 (19 U.S.C. 
1483 (1)) is amended— 
(1) by inserting "or the holder of an air waybill" immediately 
after "bill of lading"; 
(2) by adding "in the case of a bill of lading" immediately 
before "if consigned to order, by the consignor"; and 
(3) by striking out the period at the end of the first sentence 
and inserting in lieu thereof the following: "; except that this 
section shall not limit in any way the rights of the consignor, as 
prescribed by article 12 of the Warsaw Convention (49 Stat. 
3017)." 
SEC. 208. Section 491 of the Tariff Act of 1930 (19 U.S.C. 1491) is 
amended— 
(1) by amending the section heading to read as follows: 
"SEC. 491. UNCLAIMED MERCHANDISE; DISPOSITION OF FORFEITED 
DISTILLED SPIRITS, WINES AND MALT LIQUOR"; 
(2) by inserting " (a) " at the beginning of such section; and 
92 STAT. 902 
PUBLIC LAW 95-410—OCT. 3, 1978 
(3) by adding at the end thereof the following new subsection: 
"(b) All distilled spirits, wines, and malt liquor forfeited to the 
Government summarily or by order of court, under any provision of 
law administered by the United States Customs Service, shall be 
appraised and disposed of by— 
"(1) delivery to such Government agencies, as in the opinion 
of the Secretary have a need for such distilled spirits, wines, and 
malt liquor for medical, scientific, or mechanical purposes, or for 
any other official purpose for Avhich appropriated funds may be 
••-'--'' ' • 
expended by a Government agency: 
"(2) gifts to such eleemosynary institutions as, in the opinion 
of the Secretary, have a need for such distilled spirits, wines, and 
malt liquor for medical purposes; 
Regulations. 
" (3) sale by appropriate customs officer at public auction under 
such regulations as the Secretary shall prescribe, except that 
before making any such sale the Secretary shall determine that no 
Government agency or eleemosynary institution has established a 
need for such spirits, wines, and malt liquor under paragraph (1) 
or (2); or 
"(4) destruction." 
SEC. 209. (a) The Tariff Act of 1930 is amended by adding immedi-
ately after section 503 the following new section: 
19 use 1504. 
«SEC. 504. LIMITATION ON LIQUIDATION. 
"(a) LIQUIDATION.—Except as provided in subsection (b), an entry 
of merchandise not liquidated within one year from: 
" (1) the date of entry of such merchandise; 
"(2) the date of the final withdrawal of all such merchandise 
covered by a warehouse entry; or 
"(3) the date of withdrawal from warehouse of such merchan-
dise for consumption where, pursuant to regulations issued under 
section 505 (a) of this Act, duties may be deposited after the filing 
of an entry or withdrawal from Avarehouse; 
shall be deemed liquidated at the rate of duty, value, quantity, and 
amount of duties asserted at the time of entry by the importer, his 
consignee, or agent. Notwithstanding section 500(e) of this Act, notice 
of liquidation need not be given of an entry deemed liquidated. 
"(b) EXTENSION.—The Secretary may extend the period in which 
to liquidate an entry by giving notice of such extension to the importer, 
his consignee, or agent in such form and manner as the Secretary shall 
prescribe in regulations, if— 
" (1) information needed for the proper appraisement or classi-
fication of the merchandise is not available to the appropriate 
customs officer; 
"(2) liquidation is suspended as required by statute or court 
order; or 
"(3) the importer, consignee, or his agent requests such exten-
sion and shows good cause therefor. 
Regulations. 
" (c) NoTiCE O
F SUSPENSION.—If the liquidation of any entry is sus-
pended, the Secretary shall, by regulation, require that notice of such 
suspension be provided to the importer or consignee concerned and to 
any authorized agent and surety of such importer or consignee. 
"(d) IJIMITATION.—Any entry of merchandise not liquidated at the 
expiration of four years from the applicable date specified in subsec-
tion (a) of this section, shall be deemed liquidated at the rate of duty, 
value, quantity, and amount of duty asserted at the time of entry by 
Ante, p. 889. 
19 use 1500. 
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 903 
the importer, his consignee, or agent, unless liquidation continues to be 
suspended as required by statute or court order. When such a suspen-
sion of liquidation is removed, the entry shall be liquidated within 90 
days therefrom." 
(b) The amendment made by this section applies to the entry or 
withdrawal of merchandise for consumption on or after 180 days after 
the enactment of this Act. 
SEC. 210. Section 520(c) (1) of the Tariff Act of 1930 (19 U.S.C 
1520 (c) (1)) is amended to read as follows: 
"(1) a clerical error, mistake of fact, or other inadvertence not 
amounting to an error in the construction of a law, adverse to the 
importer and manifest from the record or established by docu-
mentary evidence, in any entry, liquidation, or other customs 
transaction, when the error, mistake, or inadvertence is brought 
to the attention of the appropriate customs officer within one year 
after the date of liquidation or exaction; or". 
SEC. 211. (a) Section 526 of the Tariff Act of 1930 (19 U.S.C. 1526) 
is amended— 
(1) by striking out "It" in subsection (a) and inserting in lieu 
thereof "Except as provided in subsection (d) of this section, it"; 
and 
(2) by adding at the end thereof the following neAv subsection: 
"(d) EXEMPTIONS.—(1) The trademark provisions of this section 
and section 42 of the Act of July 5,1946 (60 Stat. 440; 15 U.S.C. 1124), 
do not apply to the importation of articles accompanying any person 
arriving in the United States when such articles are for his personal 
use and not for sale if (A) such articles are within the limits of types 
and quantities determined by the Secretary pursuant to paragraph 
(2) of this subsection, and (B) such person has not been granted an 
exemption under this subsection within thirty days immediately pre-
ceding his arrival. 
"(2) The Secretary shall determine and publish in the Federal Reg-
ister lists of the types of articles and the quantities of each which shall 
be entitled to the exemption provided by this subsection. In determin-
ing such quantities of particular types of trade-marked articles, the 
Secretary shall give such consideration as he deems necessary to the 
numbers of such articles usually purchased at retail for personal use. 
"(3) If any article which has been exempted from the restrictions 
on importation of the trade-mark laws under this subsection is sold 
within one year after the date of importation, such article, or its value 
(to be recovered from the importer), is subject to forfeiture. A sale 
pursuant to a judicial order or in liquidation of the estate of a decedent 
is not subject to the provisions of this paragraph. 
"(4) The Secretary may prescribe such rules and regulations as may 
be necessarv to carry out the provisions of this subsection.". 
(b) Section 42 of the Act of July 5, 1946 (15 U.S.C. 1124), is 
amended by striking out "That" and inserting in lieu thereof "Except 
as provided in subsection (d) of section 526 of the Tariff Act of 1930,". 
(c) Section 526 of the Tariff Act of 1930 (19 U.S.C. 1526) is 
amended by adding at the end of the following new subsection: 
"(e) Any such merchandise bearing a counterfeit mark (within 
the meaning of section 45 of the Act of July 5, 1946 (commonly 
referred to as the Lanham Act, 60 Stat. 427; 15 U.S.C. 1127)) 
imported into the United States in violation of the provisions of sec-
tion 42 of the Act of July 5,1946 (60 Stat, 440; 15 U.S.C. 1124), shall 
19 use 1504 
note. 
Publication in 
Federal Register. 
Rules and 
regulations. 
92 STAT. 904 
PUBLIC LAW 95-410—OCT. 3, 1978 
Repeals. 
Fees. 
19 use 58a. 
19 u s e 1496a. 
"Baggage and 
effects." 
Study. 
19 u s e 1496a 
note. 
be seized and, in the absence of the written consent of the trademark 
owner, forfeited for violations of the customs laws. Upon seizure of 
such merchandise, the Secretary shall notify the owner of the trade-
mark, and shall, after forfeiture, obliterate the trademark where 
feasible and dispose of the goods seized— 
"(1) by delivery to such Federal, State, and local government 
agencies as in the opinion of the Secretary have a need for such 
merchandise, 
"(2) by gift to such eleemosynary institutions as in the opinion 
of the Secretary have a need for such merchandise, 
"(3) more than 1 year after the date of forfeiture, by sale by 
appropriate customs officers at public auction under such regula-
tions as the Secretary prescribes, except that before making any 
such sale the Secretary shall determine that no Federal, State, or 
local government agency or eleemosynary institution has estab-
lished a need for such merchandise under paragraph (1) or (2), 
or 
"(4) if the merchandise is unsafe or a hazard to health, by 
destruction.". 
SEC. 212. Section 599 of the Tariff Act of 1930 (19 U.S.C. 1599) is 
amended by inserting "(other than a yacht or other pleasure boat)" 
after "part, any vessel". 
SEC. 213. The first sentence of section 27, Merchant Marine Act of 
1920, as amended (46 U.S.C. 883), is further amended by deleting the 
word "thereof" where it first appears and by inserting in lieu thereof 
"of the merchandise (or a monetary amount up to the value thereof as 
determined by the Secretary of the Treasury to be recovered from any 
consignor, seller, owner, importer, consignee, agent, or other person or 
persons so transporting or causing said merchandise to be trans-
ported) ". 
SEC. 214. (a) Sections 2654, 4381, 4382, and 4383 of the Kevised 
Statutes of the United States (19 U.S.C. 58 and 46 U.S.C. 329,330, and 
333) are each repealed. 
(D) The Secretary may charge such fees as may be necessary to 
cover the costs of providing services similar to or the same as services 
furnished by customs officers under the sections repealed by subsection 
(a). 
SEC. 215. Except as otherwise provided by law, no individual return-
ing to the United States from abroad shall be— 
(1) entitled to the admission of his or her baggage and effects 
free of duty without entry; or 
(2) entitled to expedited customs examination and clearance 
of his or her baggage and effects. 
Paragraph (2) shall not apply to individuals in special circumstances 
(including being seriously ill or infirm, having been summoned by 
news of affliction or disaster, and accompanying the body of a deceased 
relative). For purposes of this section, the term "baggage and effects" 
means any article which was in the possession of the individual while 
abroad and is being imported in connection with his or her arrival and 
is intended for his or her bona fide personal or household use. Such 
term does not include any article imported as an accommodation to 
others or for sale or other commercial use. 
SEC. 216. The Comptroller General, in cooperation with the Customs 
Service of the Department of the Treasury and the Immigration and 
Naturalization Service of the Department of Justice, shall study 
PUBLIC LAW 95-410—OCT. 3, 1978 
92 STAT. 905 
Report to 
congressional 
committees. 
clearance procedures for individuals entering or reentering the United 
States. The study shall include an analysis and comparison of the 
clearance procedures employed by other countries for individuals 
entering or reentering such other countries and an analysis of the 
usefulness of preentry forms completed by travelers for use when 
entering or reentering the United States, The Comptroller General 
shall report the results of his study and any recommendations he may 
have for expediting the clearance process (including recommendations 
for legislation) to the Committee on Finance of the United States 
Senate and to the Committee on Ways and Means of the House of 
Representatives not later than September 1,1979. 
TITLE III—CUSTOMS SERVICE APPROPRIATIONS 
AUTHORIZATION 
SEC. 301. For the fiscal year beginning October 1, 1979, and each 19 USC 2075. 
fiscal year thereafter, there are authorized to be appropriated to the 
Department of the Treasury for the United States Customs Service 
only such sums as may hereafter be authorized by law. 
TITLE IV—SEPARABILITY OF PROVISIONS 
SEC. 401. If any provision of this Act, or the application thereof 
to any person or circumstances, is held invalid, the remainder of the 
provisions of this Act and the application of such provisions to other 
persons or circumstances, shall not be affected thereby. 
Approved October 3, 1978. 
19 USC 1652 
note. 
LEGISLATIVE HISTORY: 
HOUSE REPORTS: No. 95-621 (Comm. on Ways and Means) and No. 95-1517 (Comm. 
of Conference). 
SENATE REPORT No. 95-778 (Comm. on Finance). 
CONGRESSIONAL RECORD: 
Vol. 123 (1977): Oct. 17, considered and passed House. 
Vol. 124 (1978): June 7, considered and passed Senate, amended. 
Aug. 25, Senate agreed to conference report. 
Sept. 19, House agreed to conference report. 
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS: 
Vol. 14, No. 40 (1978): Oct. 4, Presidential statement.