CSMS Message: 94-000878

INBOND COMPLIANCE MEASUREMENT

THE CUSTOMS IN-BOND PROGRAM HAS BEEN CRITICIZED BY VARIOUS
OVERSIGHT GROUPS FOR ITS INABILITY TO IDENTIFY POTENTIAL LOSS OF
REVENUE, TO VERIFY RISK ASSESSMENT, AND TO DETERMINE THE ADEQUACY
OF TRACKING. TO EVALUATE THE VALIDITY OF THESE CRITICISMS,
CUSTOMS WILL CONDUCT A PILOT COMPLIANCE MEASUREMENT TEST
COMMENCING ON AUGUST 29, 1994, AND ENDING IN LATE FALL.

CARGO SHIPMENTS MOVING UNDER IN-BOND PROCEDURES WILL BE
RANDOMLY SELECTED FOR COMPLIANCE MEASUREMENT IN A UNIVERSALLY
ACCEPTED, STATISTICALLY VALID MANNER. RANDOMLY SELECTED
SHIPMENTS WILL BE SUBJECT TO EXAMINATION AT THE FIRST PORT OF
ARRIVAL FROM FOREIGN AND MAY BE SUBJECT TO A SECOND EXAMINATION
AT THE PORT OF DESTINATION.

AS SOON AS A SHIPMENT IS DESIGNATED FOR COMPLIANCE
MEASUREMENT, CUSTOMS WILL NOTIFY THE CARRIER THROUGH AUTOMATED
AND/OR MANUAL MEANS THAT AN EXAMINATION WILL BE PERFORMED.

ALL IN-BOND COMPLIANCE EXAMINATIONS WILL BE CONDUCTED
FOLLOWING THE GUIDELINES DEVELOPED BY THE OFFICE OF SELECTIVITY
REDESIGN FOR STATISTICALLY VALID COMPLIANCE EXAMINATIONS. THESE
EXAMINATIONS ARE THOROUGH, AND INCLUDE THE STRIPPING OF
CONTAINERS FOR 100 PER CENT QUANTITY VERIFICATION, AND INSPECTION
OF THE CARGO AND APPROPRIATE SHIPPING DOCUMENTATION.

THIS EFFORT IS THE FIRST ATTEMPT OF THE CUSTOMS SERVICE TO
MEASURE COMPLIANCE OF TRANSPORTATION IN-BOND. IT IS ANTICIPATED,
THEREFORE, THAT ADJUSTMENTS WILL BE MADE IN THE METHODOLOGY AND
SCOPE OF FUTURE MEASUREMENT EFFORTS.

IN ORDER TO MINIMIZE THE IMPACT OF THIS FIRST IN-BOND
MEASUREMENT, WE HAVE SELECTED THE MINIMUM SAMPLE SIZE WHICH WILL
PROVIDE A MEANINGFUL RESULT. SPECIFICALLY, THE SAMPLE IS FEWER
THAN 150 SHIPMENTS, OR LESS THAN .0001 PER CENT OF THE NUMBER OF
ANNUAL MOVEMENTS, NATIONALLY.