Field Operations Long Island Importers and Exporters Assn. Thursday April 19, 2012

Field Operations C-TPAT Membership Update Security Profiles Pending Review Certified Partners Initial Validations in Progress Initial Validations Completed Re-Validations in Progress Re-Validations Completed Total C-TPAT Validations Completed Importers Carriers Brokers Consolidators Marine Port Authorities & Terminal Operator Foreign Manufacturers Third Party Logistics Providers Total

Field Operations Importers By Tiered Benefits Certified-Tier 1- Approved Security Profile= 581 Meets Minimum Security Criteria-Tier 2= 3,446 Exceeds Minimum Security Criteria-Tier 3= 336

Field Operations C-TPAT Export Program Early Stages- focus on Mutual Recognition countries Key Stakeholders AEO Reps, CEE, ISA, TSA Reciprocal Arrangements (inbound/outbound) CBP-establish Export Criteria/benefit/trade input structure Budget Constraints/Staffing – DHS/CBP determine resources needed Pilots for Joint Validations

Field Operations Mutual Recognition Global Efforts: Mutual Recognition Arrangements: New Zealand, Canada, Jordan, Japan, Korea Mutual Recognition Projects: European Union, Taiwan, Singapore Technical Assistance Projects: Mexico, Guatemala, China, Colombia, Argentina, Costa Rica, Dominican Republic, Turkey, India, Brazil Capacity Building Training Programs: Ghana, Kenya Joint validations with the General Administration of China Customs planned in 2012

Field Operations Air Cargo Advanced Screening Update TSA & CBP collaboration (screen inbound cargo) Express Consignment- Fed Ex, UPS, DHL, TNT Delta- (domestic) Lufthansa- (foreign) ACAS Pilot begins advanced air cargo data National Targeting Center (NTC-C) target high risk shipments Refine targeting High risk shipment identified – strengthen air cargo shipment processing Carrier will voluntarily comply with TSA’s protocols for screening cargo ISF for Air Cargo (similar to 10+2) Data Elements for ACAS Pilot: Shipper NameCargo Description # of PiecesShipper Address Consignee Name Cargo Weight Consignee Address

Field Operations CBP/TSA Collaboration Germany – CBP Validation Chile – TSA & CBP Jointly S. Korea – CBP Validation Alaska & Hong Kong – CBP Validation Vietnam – TSA Assessment California – TSA CCSP Florida – TSA CCSP Trinidad-TSA CCSP

Field Operations 2012 Pilot Concept Align 2012 C-TPAT work plan (air carriers only) with TSA’s work plan Identify and agree to common site visit locations Coordinate logistics Decrease respective teams’ size 50% Conduct validations/assessments simultaneously

Field Operations Benefits Reduced redundancies Increased efficiency Maximizing resources Improved communication More visibility One-stop shopping for carriers

Field Operations Challenges Ahead C-TPAT can not execute TSA’s regulatory authority. Industry concerns Training Logistics Budget constraints

Field Operations What’s New Center of Excellence and Expertise (CEE) New York- Pharmaceuticals Los Angeles-Electronics Expansion of CEE Miami, Chicago, Detroit, Atlanta, Houston Validation Cycle- every 4 years Discretion on high risk companies C-TPAT Conference- new budget approval process with DHS- Proposed in September 2012 Gaylord National Resort & Convention Center National Harbor, MD

Field Operations QUESTIONS? Sean Doherty Director, C-TPAT New York Field Office ext. 181