3560-001A Census Interface-Processing Procedures

Published CBP guidance; operative status and applicability must be assessed from the retained publisher edition.

CUSTOMS DIRECTIVE

ORIGINATING OFFICE: FO:TP:S DISTRIBUTION: S-01
CUSTOMS DIRECTIVE NO. 3560-001A
DATE: AUGUST 12, 1999
SUPERSEDES: 3560-001, 2/2/89
REVIEW DATE: AUGUST 2001

SUBJECT: CENSUS INTERFACE-PROCESSING PROCEDURES

1 PURPOSE. To issue policy and to provide operational guidelines for the Census
Interface Program.

2 POLICY. The U.S. Customs Service has been mandated to collect and
disseminate statistical data on imports for use by the Bureau of the Census,
Department of Commerce. The procedural guidelines used in the implementation of
the Census Interface Program, which are stated in this directive, will provide uniformity
essential to the successful and timely processing of census warnings.

3 AUTHORITY. Section 484(f) of the Tariff Act makes the collection and
publication of import data the joint responsibility of the Secretary of the Treasury, the
Secretary of the Commerce, and the Chairman of the U.S. International Trade
Commission.

4 RESPONSIBILITIES.

4.1 The Assistant Commissioner, Office of Field Operations, is responsible for the
overall management of the Trade Statistics Program.

4.2 The Port Directors, who manage the day to day operations of the ports, are
responsible for implementing and executing national policy in a uniform manner.

4.3 It is the responsibility of the Director, Field Operations, Port Directors, Assistant
Port Directors, Trade Operations and Outbound Operations to ensure compliance with
the provisions of this Directive.

5 BACKGROUND.

5.1 The Trade Statistics Program continues to be a priority area for Customs. The
Census Interface Program, a part of the Automated Commercial System (ACS), is one
of the means used to collect data for the import trade statistics compiled by the Bureau
of the Census. Under this program, the data from Automated Broker Interface (ABI)
entry summaries is subjected to the edits and validations established by Census
through the analysis of import statistics. When the data falls outside the parameters

assigned to each tariff classification, a Census warning is generated. It is necessary to
examine the questioned information for validity and to make corrections if required.
Note: The presence of a warning does not necessarily mean the data is incorrect.

5.2 Filers, Entry Unit personnel and import specialists handling an ABI entry
summary are responsible for ensuring that all Census warning conditions have been
resolved. This will help ensure that the information transmitted to Census is correct and
timely, with the minimum amount of handling and reverification as we progress with
electronic processing.

6 ACTION.

6.1 FILER PROCEDURES

6.1.1 The filer preparing an ABI entry summary has the initial responsibility for
ensuring that the statistical data is correct. It is essential that the ABI status indicator
(ABI/N or ABI/S) appear in the entry type block (block 2) of the CF 7501 Entry Summary
Form. Upon transmittal of the entry summary data, Census warnings for improbable
conditions will be received via ABI. These messages will be prefixed by *Census* and
will display one or more of the warning statements (see Attachment A numbers 1-10 for
the most common warning messages). The filer will review the questioned data and if
corrections are made, the filer will retransmit the entry summary data through ABI prior
to presentation of the CF 7501 package to Customs. A statistical copy of the CF 7501
is not to be submitted. NOTE: The entire entry summary must be retransmitted
through the ABI system. It is not sufficient to change the incorrect information by
making pen and ink changes on the CF 7501 only. ABI policy mandates that the
document submitted must match the electronic submission.

6.1.2 If all the information appears to be correct as originally transmitted, the filer must
attach a note indicating the nature of the Census warning and explaining why the data,
as shown, is correct and submit the entry summary. It is essential that U.S. Customs
knows there is a warning message on the entry summary that the filer has determined
to be correct.

6.1.3 When a nonstatement ABI entry summary is returned to the filer by Customs
because of a Census warning, the data is to be reviewed. If corrections are made, the
filer must retransmit the entry summary through ABI as well as make changes on the
CF 7501. Again, if everything seems to be correct, the entry summary is to be
resubmitted with an attached, written explanation of why the data is correct.

6.1.4 If a statement entry summary is returned to the filer by Customs, the filer will
make any necessary corrections in pen and ink on the CF 7501 and resubmit it.
Customs will make the corrections in the system.

6.2 CUSTOMS ENTRY PROCEDURES

6.2.1 When a nonstatement entry summary is presented, regardless of any indication
that the filer was unable to resolve an error warning, the collection should be accepted.
If the system indicates a Census warning condition, the summary must be forwarded
for entry summary input to identify the specific warning message, placement in
Customs reject status and forwarded to the import specialist. Entry summaries with
Census warnings are not to be bypassed. Typographical errors or other such obvious
mistakes should be corrected immediately by entry staff, otherwise, the entry summary,
in reject status, will be referred to the import specialist team (or the designated reviewer
in locations without import specialists) for action. Under no circumstances will entry
staff override a Census warning without specific instructions from the import specialist
or designated reviewer. These procedures will be followed even when the same entry
summary is rejected multiple times.

6.2.2 Statement summaries with Census warnings will be identified on the statement
with a "C". A separate Census Entry Summary Report will be generated for each entry
summary containing Census errors.

6.2.3 This report identifying the specific warning message, together with the entry
summary, will be forwarded to the import specialist for action.

6.3 IMPORT SPECIALIST PROCEDURES

6.3.1 Entry summaries with Census warnings must be reviewed for correctness of
data. Import specialists will be examining more data fields than they did under the
manual verification system. Among the information now covered are gross weight, ratio
of quantities to weights, improbable air shipment weight, etc. (see Attachment A pages
1-10 for a list of the most common warning messages and explanations). The actual
parameters established for each tariff number can be viewed in ACS (see Attachment
B).

6.3.2 The import specialist will then pursue one of three options:

6.3.2.1 Rejection back to filer for correction

6.3.2.1.1 A nonstatement entry summary may be returned to the filer who will make
any necessary corrections. A statement entry summary may also be returned, but the
filer will only be able to make pen and ink changes to the CF 7501. Customs will have
to make the changes in the system.

6.3.2.2 Correction by Customs

6.3.2.2.1 Under this option, the import specialist will make any necessary corrections
on the CF 7501 Entry Summary Form. Then the entry summary will be accessed in
ACS, the line item viewed and the necessary changes made. These changes must be
made in the system within 2 days of receipt of the entry summary by the import
specialist (see Attachment B). When there are multiple warning messages on a line

item, some to be corrected and some to be overridden, all corrections should be made
before the override is processed.

6.3.2.3 Override

6.3.2.3.1 Under this option, when the import specialist determines that the data is
correct and that the entry summary should be accepted as presented, the warning
condition will be overridden in ACS.

6.3.2.3.2 Overrides must be completed within 2 days of receipt of the entry summary
by the import specialist (see Attachment B).

6.3.2.3.3 The override option must be used with great discretion. Entry Unit personnel
should be referring all but the most glaringly obvious errors to the import specialist or
designated reviewer for review. Overrides are reviewed by the Bureau of the Census.
Requests for reverification will be sent to the import specialists if the overridden data
remains outside the Census parameters and a sufficient explanation has not been
provided. Procedures for requesting parameter changes are explained in Section E of
this directive.

6.4 QUOTA ENTRIES

6.4.1 Filers must exercise extra care when preparing quota entries to ensure that all
data is correct before transmission to Customs. If a Census warning message is
generated by the system, all the data should be reviewed and any necessary
corrections transmitted through the ABI system before the entry summary is presented
to Customs. If the data appears to be correct, an explanatory note must be attached to
the summary when it is presented to Customs. When a quota entry/entry summary with
the attached explanation is received by Customs, the import specialist should analyze
the questioned data and determine the appropriate action. A nonstatement entry/entry
summary may be rejected back to the filer for correction as long as it is not in a quota
accepted, held, or rejected status.

6.4.2 A statement entry/entry summary which has not been paid, is not in a quota
accepted, held, or rejected status, and has been deleted from the statement by
Customs may also be rejected to the filer. A statement entry/entry summary which has
been paid must be corrected by Customs. Once a quota entry/entry summary begins
processing through ACS, and a Census warning message appears, it should be
referred to the lead entry aid or supervisor for appropriate action. This action can
include correction for typographical errors or other such obvious mistakes, rejection for
substantive reasons, return to the import specialist for further review and/or override.
This supersedes the instructions contained in Customs Directive 3550-24, "Entry
Simplification-Entry Summary and Entry/Entry Summary Flow" dated September 8,
1987.

6.5 PARAMETER CHANGES

6.5.1 If it is determined that certain data, although correct, repeatedly appears as an
error warning, a Request for Change in Census Parameters should be prepared and
sent to the Bureau of the Census (see Attachment C).

6.5.2 Describe the current parameters and the recommended changes. Sufficient
evidence to justify the requested change must be provided. Acceptable evidence would
include written explanations, several invoices, copies of Explanatory material and
commercial brochures. It is possible that the parameters will be adjusted after a review
of the request. Requests for examination and/or change of existing parameters may
come from brokers, importers or U.S. Customs. Note: A copy of any requests should
be sent to the Trade Statistics Branch, Office of Trade Programs U.S. Customs Service,
1300 Pennsylvania Avenue, Room 5.2C, Washington, D.C. 20229, so that they can be
tracked.

6.5.3 It is essential that Census warning messages be reconciled as quickly as
possible because the Bureau of the Census cannot extract statistical data from an entry
while a warning message exists.

6.5.4 Below are listed some of the most common Census warnings which are
overridden incorrectly:

6.5.4.1 Entry Summaries for American goods returned, which show the exporting
country (block 13) as U.S. instead of the correct foreign country of exportation.

6.5.4.2 Only one reporting quantity is shown when two are required.

6.5.4.3 Last two (statistical) digits of the tariff number are incorrectly reported.

6.5.4.4 Parts of items, such as machines or computers, are classified under the tariff
number for the actual item.

6.5.4.5 Entire values and/or charges are reported in dollars and cents, without the
decimals, when they should be rounded (i.e., 350 is reported as 35000).

Assistant Commissioner
Office of Field Operations

Attachments

ATTACHMENT A

ERROR MESSAGES

#27A *Census* Improbable Country

#27B *Census* QTYl/QTY2 (HTSUS 1)

#27C *Census* OR-LO VAL/QTY (1) HTSUS 1

#27D *Census* OR-HI VAL/QTY (1) HTSUS 1

#27E *Census* OR-HI VAL/QTY (1) HTSUS 2

#27F *Census* OR-HI VAL/QTY (2) HTSUS 1

#27G *Census* Improbable Air HTSUS 1

#27H *Census* Gross Weight-Air

#27I *Census* Gross Weight-Vessel

#27J *Census* OR-AGR VALUE/CHARGES

#27K *Census* QTYl/QTY2 (HTSUS 2)

#27L *Census* QTYl/QTY2 (HTSUS 3)

#27M *Census* QTY2/QTY1 (HTSUS 1)

#27P *Census* Maximum Value Exceeded

#27Q *Census* Maximum Charges Exceeded

#28A *Census* QTY2/QTY1 (HTSUS 2)

#28B *Census* QTY2/QTY1 (HTSUS 3)

#28C *Census* OR-LO VAL/QTY (1) HTSUS 2

#28D *Census* OR-LO VAL/QTY (1) HTSUS 3

#28E *Census* OR-LO VAL/QTY (2) HTSUS 1

#28F *Census* OR-LO VAL/QTY (2) HTSUS 2

#28G *Census* OR-LO VAL/QTY (2) HTSUS 3

#28H *Census* OR-HI VAL/QTY (1) HTSUS 3

#28I *Census* OR-HI VAL/QTY (2) HTSUS 2

#28J *Census* OR-HI VAL/QTY (2) HTSUS 3

#28K *Census* Improbable Air HTSUS 2

#28L *Census* Improbable Air HTSUS 3

Error Message: *Census* Qty 1/Qty 2
*Census* Qty 2/Qty 1

Category: Ratio of quantities is out of range

Data Elements to be reviewed:

1) Net quantities (column 32 or CF 7501)

2) HTSUS (column 30 of CF 7501)

Reason:

A quantity ratio reject occurs when the quantity relationship between the two entered
quantities as required by the HTSUS is not within Census parameters.

The quantity relationship is computed by dividing the two units of quantity as follows:

Qty 1/Qty 2 indicates the first quantity is divided by the second
quantity.

Qty 2/Qty 1 indicates the second quantity is divided by the first
quantity.

Resolution:

Commercial invoices or other competent evidence should be examined to verify that the
quantities and HTSUS are correct as reported. Make certain the quantities are reported
in metric. Particular attention should be given to zero quantities since they rarely occur.
Changes should be made where applicable. If the entered data are correct and
therefore changes to the data are not warranted, the allowance feature (allowance
block on reject slip; PF 7 key on the terminal) should be utilized.

Error Message: *Census*
OR-LO Val/Qty (1) OR-HI Val/Qty (1)
OR-LO Val/Qty (2) OR-HI Val/Qty (2)

Maximum Value Exceeded

Category: Unit Value Out of Range-Low or High Data Elements to be
reviewed:

1) HTSUS (column 30 on the CF 7501)

2) Quantities (column 32 on the CF 7501)

3) Entered value (column 33 on the CF 7501)

Reason:

1. A unit value reject occurs when the unit value of an item is not within Census
parameters. The unit value is determined by dividing the entered value by the entered
quantity. Qty (1) indicates the value as divided by the first (or only) quantity was not
within established limits. Qty (2) indicates the value as divided by the second quantity
was not within established limits or

2. When the total entered value for the item exceeds $100,000,000. This edit applies
to items that do not require a quantity as well as those items that do require a
quantity(ies).

Resolution:

Commercial invoices or other competent evidence should be examined to verify that the
HTSUS quantities and value are correct. Make certain the quantities are reported in
metric. Particular attention should be given to zero quantities since they rarely occur.
In the case of maximum value exceeded, this error message will only occur when the
total entered value for any one line item in ACS exceeds $100,000,000, regardless of
the value shown on the CF 7501. Changes should be made where applicable.

If the entered data are correct and therefore changes to the data are not warranted, the
allowance feature (allowance block on reject slip; PF 7 key on the terminal) should be
utilized.

Error Message: *Census* Gross Weight-vessel

Category: Vessel shipping weight limit 22,680,000 kilograms exceeded.

Data Elements to be reviewed:

1) HTSUS (Column 30 of CF 7501)

2) Gross weight (column 31 or CF 7501)

Resolution:

Commercial invoices or other competent evidence should be examined to verity that
HTSUS and shipping weight are correct as reported. Changes should be made where
applicable.

If the entered data are correct and therefore changes are not warranted the allowance
feature (allowance block on reject slip; PF 7 key on terminal) should be utilized.

Error Message: *Census* Improbable Air HTSUS

Category: Improbable commodity for Air shipment

Data Elements to be reviewed:

1) HTSUS (Column 30 of CF 7501)

2) MOT (block 20 of CF 7501)

3) Importing Carrier (block 23 of CF 7501)

Reason: An improbable commodity reject will occur when it is unlikely for the
commodity to be shipped by air:

Resolution:

Commercial invoices or other competent evidence should be examined to verify that the
HTSUS, MOT, and Importing Carrier are correct as reported. Changes should be made
where applicable. Please note if block 20 is changed to reflect MOT as vessel, the five
digit number code for the foreign port of lading, as listed in Department of Commerce
Schedule K, should be recorded in block 24 of the CF 7501.

If the entered data are correct and therefore changes are not warranted, the allowance
feature (allowance block on reject slip; PF 7 key on terminal) should be utilized.

Error Message: *Census* OR-AGR Value/Charges
*Census* Maximum Charges Exceeded

Category: Aggregate charges to customs value ratio out of range

Data Elements to be reviewed:

1) Charges (column 33 of CF 7501)

2) Value (column 33 of CF 7501)

3) HTSUS (column 30 of CF 7501)

4) MOT (block 20 of CF 7501)

Reason:

1. A reject for this category occurs when the relationship
between the aggregate charges and the entered value is
not within the parameters as established by Census or

2. When the aggregate charges for any one line item
exceeds $5,000,000 for vessel shipments or $1,000,000
for air shipments.

Resolution:

Commercial invoices or other competent evidence should be examined to verify that the
value, charges, HTSUS and MOT are correct as reported. In the case of maximum
charges exceeded, this error message will only occur when the charges value for any
one line item in ACS exceeds $5,000,000 for vessel shipments or $1,000,000 for air
shipments, regardless of the value shown on the CF 7501. Changes should be made
where applicable. If the entered data are correct and therefore changes to the data are
not warranted, the allowance feature (allowance block on reject slip; PF 7 key on the
terminal) should be utilized.

Error Message: *Census* Gross Weight Air

Category: 102,060 KGS air shipping weight limit exceeded

Data Elements to be reviewed:

1) Gross weight (column 31 of CF 7501)

2) HTSUS (column 30 of CF 7501)

3) MOT (block 20 of CF 7501)

4) Importing Carrier (block 23 of CF 7501)

Reason:

All air shipments with a reported shipping weight of 102,060 kgs or more will reject for
review.

Resolution:

Commercial invoices or other competent evidence should be examined to verify that the
gross weight, MOT and HTSUS are correct as reported. Changes should be made
where applicable. Please note if block 20 is changed to reflect MOT as vessel, the five
digit numeric code for the foreign port of lading as listed in Department of Commerce
Schedule K should be recorded in block 24 of the CF 7501. If the entered data are
correct and therefore changes are not warranted, the allowance feature (allowance
block on reject slip; PF7 key on the terminal) should be utilized.

Error Message: *Census* Improbable Country

Category: Improbable Country

Data Elements to be reviewed:

1) Country of origin (block 15 or 28 on the CF 7501)

2) HTSUS (column 30 on the CF 7501)

3) In the case of American Goods returned, HTSUS
9801.00.10 the country of exportation (block 13 on the
CF 7501)

Reason:

An improbable country of origin reject occurs when:

(1) A country is unlikely to produce, mine or manufacture certain commodities,

Example: Netherlands Antilles (AN) and the Bahamas (BS) are often misreported as
the country of origin for crude oil. These countries do not produce crude oil, only store
it.

(2) The countries of Cuba (CU), Albania (AL), Vietnam (VN), Nicaragua (NI), Mongolia
(MN), Iran (IR), South Africa (ZA) Namibia (NA) or North Korea (KP) are reported since
trade with these countries is unlikely or

(3) The TSUSA number is American goods returned and both the country of origin and
the country of exportation are the United States (US).

(4) The country is not eligible for duty-free treatment for a "certified hand-loomed and
folklore" product.

Resolution:

Commercial invoices or other competent evidence should be examined to verify that the
country of origin and the HTSUS are correct as reported. Changes should be made
where applicable.

In the case of American goods returned (HTSUS 9801.00.10), the country of export
should not be shown as the United States (US).

In the case where the country of origin is unknown, two, asterisks (**) should be placed
in the space allotted for country of origin. This signifies that the country of exportation
will be used for data collection purposes.

Please note if an entry summary covers merchandise from more than one country of
origin, the word "Multi" is to be shown in block 15 of the CF 7501, and the various
countries are to be listed in column 28 with their corresponding line item.

If the entered data are correct and therefore changes are not warranted the allowance
feature (allowance block on reject slip; PF 7 key on the terminal) should be utilized.

ATTACHMENT B

CUSTOMS PROCEDURES

VIEWING CENSUS PARAMETERS:

HSBS + 10 DIGIT HARMONIZED CLASSIFICATION
<ENTER>>

The screen will show the upper and lower parameters for the entered tariff number.

CORRECTION BY CUSTOMS:

ENAC <ENTER>>

Enter correct information for each line displaying a Census warning message.
<ENTER>>

OVERRIDE BY CUSTOMS:

ENAC <ENTER>>

As each line containing a Census warning appears, press <PF 7>> to override the
warning. The system will indicate that the line has been accepted.

ATTACHMENT C

REQUEST FOR CHANGE IN CENSUS PARAMETERS

To: Bureau of the Census
Foreign Trade Division
FOB #3 Room 3132
Washington, D.C. 20233

(HTSUS # For which change is requested -- 8 digit)

Existing Parameters: (Attach screen print of HSBS or describe)

Recommended Parameters: (Annotated HSBS screen print or describe)

Narrative Justification For Change Request:

Requested By:

NAME POSITION TITLE

PORT TELEPHONE NUMBER