Last week the LACBFFA sent out a copy of LA. Public Bulletin13-026 that explains the holds that CBP will place on cargo that is not in compliance with the ISF filings. This includes explanations of the new manifest hold codes that will be placed on non-compliant shipments. These codes can be queried in CBP’s system for the manifest.
CBP Director of Field Operations Todd Owen held a conference call with the leaders of trade organizations in Southern California. He explained some of the special circumstances here in the Ports of Los Angles and Long Beach. Currently there are over 400 shipments daily that do not have an ISF on file when the cargo arrives in Los Angeles. Going into immediate full enforcement would overload the port’s FP&F staff as well as the tremendous workload at CBP HQ for the review of every potential damages claim. CBP in Los Angeles will take a measured approach to begin the enforcement of ISF.
CBP will place a manifest hold on shipments that do not have the ISF filed by 24 hours prior to arrival at the ports of Los Angeles and Long Beach. The shipment will have a posting against it on the manifest as described in LA Bulletin 13-026. The hold will remain until an ISF is filed. CBP will not normally perform a Non-Intrusive Inspection (NII – also called a VACIS exam), until an ISF is filed. If no ISF is filed by the time General Order is required, the shipment will go to G.O. and not be allowed to be released until an ISF is filed.
The intent of the measured enforcement is to first focus on those parties that have ignored the ISF process and encourage them into compliance. As the compliance increases in the ports, CBP in Los Angeles will gradually move the point of measurement back towards the actual departure date until full enforcement is reached.
This initial program will be only for direct shipments moving into the ports. These are shipments with one consignee and one bill of lading for that shipment. Consolidated cargo will not be part of the first enforcement action. CBP recognizes that legitimate cargo in a consolidation cannot be held at the terminal because on the owner of one house bill among many did not file the ISF. CBP will develop an enforcement action plan to deal with consolidations.
While CBP plans to be measured in its actions and enforcement measures will expand, CBP will still issue a liquidated damage case when it determines such an action to be warranted. However, CBP will not go back to theses shipments that are held later on to issue no file damages claims. CBP in Los Angeles will immediately file damage claims for those that are warranted. CBP will only go back later and file liquidated damages on those non-compliant shipments that are later determined to have egregious violations.