Regulations, Outreach & Education Branch * * * * Regulations Update

1. Regulations, Outreach & Education Branch* * * *Regulations Update Foreign Trade Division October 2000

2. Today’s Topics • Mandatory filing in AES • New Shipper’s Export Declaration • U.S. Principal Party in Interest

3. Mandatory Filing in AES • Proliferation Prevention Enhancement Act of 1999 - H.R. 3194 • Certification Report • AES Feasibility Report • Submit reports to the Senate Committee on Foreign Relations and the House Committee on International Relations

4. Mandatory Filing in AES • Certification report • Certify functionality and security of AES/AESDirect • Mandatory for USML and CCL shipments • Effective 270 days after Congress approval • Feasibility report • Advisability and feasibility of mandatory AES for all exports • Use of AES by other Federal agencies • Mandate AES in 4 phases over 5 years

5. Actions to Date • Feasibility Report submitted to Congress • Security Assessment report submitted to Census, June 2000 • Certification Report drafted

6. New Shipper’s Export Declaration • Effective 10/1/2000 • 180 day grace period – April 2001 • Consistent with AES/USPPI • Available on FTD web site • www.census.gov/foreign-trade/www • Delete Form 7525-V-Alt (Intermodal)

7. US Principal Party in Interest • The U.S. Principal Party in Interest - The person in the United States that receives the primary benefit monetary or otherwise of the export transaction. • GENERALLY THAT PERSON CAN BE THE: • U.S. Seller (wholesaler/distributor) of the merchandise for export. • U.S. Manufacturer if selling the merchandise for export. • U.S. Order Party - Party who directly negotiated between the U.S. seller and foreign buyer and received the order for the export of the merchandise. • Foreign Entity if in the U.S. when items are purchased or obtained for export.

8. USPPI Responsibilities Export Transaction (FTSR 30.4(b)) • File SED/AES record OR authorize a forwarding/other agent to file via power of attorney, written authorization, or signing paper SED. • If authorizing a forwarding/other agent, provide information to agent to completing the SED/AES record. • Maintain documentation to support the information reported on the SED/AES record.

9. Forwarding/Other Agent Responsibilities Export Transaction (FTSR 30.4(b)) • Prepare SED/AES record based on information obtained from the USPPI or other parties to the transaction. • Obtain a power of attorney, written authorization, or signed SED from a USPPI. • Provide USPPI a copy of the export information filed in the form of a completed SED, electronic facsimile, or in a manner prescribed by the USPPI. • Maintain documentation to support information reported on the SED/AES record.

10. USPPI ResponsibilitiesRouted Export Transaction (FTSR 30.4c)) • Provide basic commodity information to the forwarding/other agent for completing the SED/AES record, including name, EIN, value & Schedule B #. • Maintain documentation to support information provided to the forwarding/other agent. • NOTE: The USPPI is not required to provide the forwarding/other agent with a power of attorney or written authorization.

11. Forwarding/Other Agent ResponsibilitiesRouted Export Transaction (FTSR 30.4(b)) • Prepare, sign, and file the SED based on information obtained from the USPPI and/or other parties to the transaction. • Obtain a power of attorney or written authorization from the foreign principal party in interest to act on its behalf. • Maintain documentation to support information reported on the SED/AES. • Upon request, provide the USPPI with documentation that the information provided by the USPPI was accurately reported.

12. For More Information Phone: 301-457-2238 Fax: 301-457-3765 Email: dale.c.dickerson@census.gov Mail: Bureau of the Census Foreign Trade Division Room 3125 – FB3 Suitland MD 20746