CSMS Message: 03-002358

TO: ALL ABI BROKERS.

FROM: CHRISTINE M FURGASON

SUBJECT: MPF EXPIRATION

DATE: 09/26/2003

EFFECTIVE MIDNIGHT, SEPTEMBER 30, 2003, THE AUTHORITY PROVIDED
TO CUSTOMS AND BORDER PROTECTION (CBP) TO COLLECT CERTAIN USER
FEES PURSUANT TO COBRA IS SCHEDULED TO EXPIRE. INCLUDED IN THIS
GROUP IS THE MERCHANDISE PROCESSING FEE (MPF). CONGRESS IS
WORKING ON A FEE EXTENSION; HOWEVER, IF AN EXTENSION IS NOT
ENACTED BY THE DEADLINE, CBP MUST STOP COLLECTING THE MPF FEE.

THE ACS SYSTEM IS CURRENTLY PROGRAMMED TO NOT ACCEPT MPF DATA
FOR A COUNTRY CODE THAT HAS THE MPF INDICATOR SPI 'E'. THE
COUNTRY CODE FILE IS BEING UPDATED TO INCLUDE ALL COLUMN 1
COUNTRIES AS ELIGIBLE FOR CBI BENEFITS. HOWEVER, THE CBI
INDICATION FOR THE NON BENIFICIARY COUNTRIES IS ONLY TO BE USED
TO EXEMPT THEIR MERCHANDISE FROM THE MPF. THE TRADE SHOULD NOT
TRANSMIT THE CBI SPECIAL PROGRAM INDICATOR 'E' IN THEIR LINE
ITEM DATA (EI, 50 RECORD) FOR NON CBI COUNTRIES. THE CBI
INDICATION ON THE COUNTRY CODE FILE FOR NON CBI COUNTRIES WILL
ALLOW THE SUMMARY TO BE TRANSMITTED WITHOUT THE MERCHANDISE
PROCESSING FEE.

ATTEMPTS AT DUTY EVASION BY TRANSMISSION OF A SPI 'E' INDICATOR
FOR COUNTRIES THAT ARE NOT ENTITLED TO DUTY PREFERENCE PURSUANT
TO CBI COULD RESULT IN THE INITIATION OF AN ENFORCEMENT ACTION
AGAINST THE IMPORTER.

INSTANCES WHERE ABI SOFTWARE WILL NOT PERMIT THIS TYPE OF
TRANSMISSION OR CANNOT BE REPROGRAMMED TO MEET THE POSSIBLE
OCTOBER 1, 2003 DEADLINE WILL REQUIRE A NON-ABI ENTRY TO AVOID
THE PAYMENT OF MPF.

SYSTEM QUESTIONS RELATING TO THIS MESSAGE SHOULD BE REFERRED TO
YOU LOCAL CLIENT REPRESENTATIVE OR TO ACS: ATTENTION TONY
CASUCCI AT 202-927-1035. POLICY AND PROCEDURE QUESTIONS SHOULD
BE REFERRED TO THE CHRISTINE FURGASON, ENTRY & DRAWBACK BRANCH
AT 202-927-2293.