CBP Submits 8 Metrics to Senate Finance for Tracking its Trade-Related Performance
In response to a request from the Chairman of the Senate Finance Committee, on June 1, 2010, U.S. Customs and Border Protection Commissioner Bersin sent Committee Chairman Baucus (D) a list of metrics to help the Committee track CBP's progress in key areas of commercial enforcement and trade facilitation.
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Performance Metrics Requested at Commissioner’s Nomination Hearing
During the Senate Finance Committee’s May 13, 2010 hearing on the CBP Commissioner’s nomination, the Committee raised concerns that CBP had focused on border security at the expense of its trade mission and asked the CBP Commissioner to furnish the Committee with a list of metrics to assist it in objectively assessing CBP's trade-related performance.
Commissioner Submits Eight Trade-Related Performance Metrics
In his letter to the Committee, the Commissioner submitted eight trade-related performance metrics and stated that CBP aims for high scores and for marked improvement where current performance is weak. The Commissioner’s list, which he characterizes as a “work in progress,” contains the following netrics:
Clearance speed for compliant imports - speed at which compliant imports clear CBP, as measured on a timeline beginning with lading and broker transmission of entry information through CBP clearance processes (rated on an index with different weights for different characteristics/type of goods).
Detection rate for unsafe products, etc. - rate of detection of unsafe products, illicit or otherwise non-compliant cargo that represent a risk to public health and safety or U.S. economic security.
Detection rate for other non-compliant cargo - rate of detection for imported cargo that is not compliant with U.S. law, including the requirement to correctly pay applicable duties, taxes, and fees.
Compliance rate for managed accts/trusted partners - rate of material compliance of all importations by importers designated as "managed accounts" or "trusted partners".
Reduction in paper-based docs, penalties for managed accts/trusted partners - the reduction in required paper-based documentation on imported goods, and penalties for importers designated as "managed accounts" or "trusted partners" as compared to all importers.
Overall compliance rate - rate of material compliance of all importations with applicable U.S. laws, based on entry summary compliance measurement reviews.
Revenue gap - rate of material compliance of all importations with the requirement to correctly pay applicable duties, taxes, and fees.
Partnership program participation - participation in partnership programs expressed as a percentage of all cargo by value that is imported by participants in all CBP partnership programs.
CBP and Senate Finance to Meet and Review Performance Measures
During the May 13, 2010 nomination hearing, Chairman Baucus stated that he would be reviewing CBP’s “success" measures with the Commissioner.
In his letter, the Commissioner stated that he looks forward to learning the Finance Committee's views regarding the utility of the measures and other metrics in achieving the objective to maximize CBP's commercial enforcement and trade facilitation results. The Commissioner proposed that the CBP and Senate Finance Committee staffs convene at their earliest mutual convenience to review the measures.
(See ITT’s Online Archives or 05/14/10 news, 10051435, for BP summary of Senate Finance Committee nomination hearing and Chairman’s request for metrics.
See ITT’s Online Archives or 05/17/10 news, 10051761, for BP summary of Senate Finance Committee nomination hearing where it put the CBP Commissioner on notice that his term is through 2011 (if not confirmed).)