International Trade: Issues and Effects of Implementing the Continued Dumping and Subsidy Offset Act

In September 2005, GAO recommended (International Trade: Issues and Effects of Implementing the Continued Dumping and Subsidy Offset Act, GAO-05-979, September 26, 2005) that the Secretary of Homeland Security direct the Commissioner of Customs and Border Protection (CBP) to enhance the processing of CDSOA claims and payments and the verification of these claims. Specifically, 1) GAO recommended that, to improve the processing of CDSOA claims, CBP should implement labor saving steps, such as working with ITC to formalize and standardize exchanges of electronic updates of the list of eligible producers, and requiring that company claims follow a standard form and be submitted electronically. According to CBP/CDSOA program manager, in response to GAO's recommendation, his program worked with ITC to develop an electronic list of eligible producers and now has a reliable list of potentially eligible producers; developed a standard, electronic form for filing this year's claims; acquired a full imaging system that helps program staff store, index, and retrieve program-related documentation; and adjusted reports generated off CBP's mainframe computer to eliminate the need for certain manual adjustments, which used to cause problems such as overpayments. 2) GAO recommended that, to further improve the processing of claims, CBP should provide additional guidance for preparing CDSOA certifications or claims. According to CBP/CDSOA program manager, in response to GAO's recommendation, his program has improved the guidance it provides to claimants by having a greater number of better trained people assigned to answer claimant questions--six people are working on this now. Supervisors having an in-depth knowledge are available on the spot to provide guidance on complex issues. CBP has also drafted major changes in its regulations. While these revised regulations were not issued in time for the 2006 distribution, the program manager indicated that much of the clarifying information they contain was included in the June 2006 Federal Register notice instructing producers how to make claims. 3) GAO recommended that, to enhance the processing of claims and payments in the face of a growing workload, CBP should develop and implement a plan for managing and improving its CDSOA program processes, staff, and technology. According to CBP/CDSOA program manager, in response to GAO's recommendation: CBP adopted new procedures, updated and streamlined processes, and provided extensive training to program staff. CBP has increased the number of staff available to assist in the program. The program has now 24 staff and the number will stay high during the program's peak period. All of these staff were on board and fully trained by June 2006, the start of the peak period. 4) GAO recommended that, to enhance accountability for claims, CBP should implement a plan for systematically verifying CDSOA claims. According to the CBP/CDSOA program manager, in response to GAO's recommendation, his program has conducted verifications and showed due diligence in making sure that the 2005 claims had a sound basis and supporting documentation. The program planned to complete 8 verifications by the end of September 2006 and 20 verifications by the February-April 2007 timeframe. It actually completed 8 verifications by the end of September 2006, as planned.

In September 2005, GAO recommended (International Trade: Issues and Effects of Implementing the Continued Dumping and Subsidy Offset Act, GAO-05-979, September 26, 2005) that the Secretary of Homeland Security direct the Commissioner of Customs and Border Protection (CBP) to enhance the processing of CDSOA claims and payments and the verification of these claims. Specifically, 1) GAO recommended that, to improve the processing of CDSOA claims, CBP should implement labor saving steps, such as working with ITC to formalize and standardize exchanges of electronic updates of the list of eligible producers, and requiring that company claims follow a standard form and be submitted electronically. According to CBP/CDSOA program manager, in response to GAO's recommendation, his program worked with ITC to develop an electronic list of eligible producers and now has a reliable list of potentially eligible producers; developed a standard, electronic form for filing this year's claims; acquired a full imaging system that helps program staff store, index, and retrieve program-related documentation; and adjusted reports generated off CBP's mainframe computer to eliminate the need for certain manual adjustments, which used to cause problems such as overpayments. 2) GAO recommended that, to further improve the processing of claims, CBP should provide additional guidance for preparing CDSOA certifications or claims. According to CBP/CDSOA program manager, in response to GAO's recommendation, his program has improved the guidance it provides to claimants by having a greater number of better trained people assigned to answer claimant questions--six people are working on this now. Supervisors having an in-depth knowledge are available on the spot to provide guidance on complex issues. CBP has also drafted major changes in its regulations. While these revised regulations were not issued in time for the 2006 distribution, the program manager indicated that much of the clarifying information they contain was included in the June 2006 Federal Register notice instructing producers how to make claims. 3) GAO recommended that, to enhance the processing of claims and payments in the face of a growing workload, CBP should develop and implement a plan for managing and improving its CDSOA program processes, staff, and technology. According to CBP/CDSOA program manager, in response to GAO's recommendation: CBP adopted new procedures, updated and streamlined processes, and provided extensive training to program staff. CBP has increased the number of staff available to assist in the program. The program has now 24 staff and the number will stay high during the program's peak period. All of these staff were on board and fully trained by June 2006, the start of the peak period. 4) GAO recommended that, to enhance accountability for claims, CBP should implement a plan for systematically verifying CDSOA claims. According to the CBP/CDSOA program manager, in response to GAO's recommendation, his program has conducted verifications and showed due diligence in making sure that the 2005 claims had a sound basis and supporting documentation. The program planned to complete 8 verifications by the end of September 2006 and 20 verifications by the February-April 2007 timeframe. It actually completed 8 verifications by the end of September 2006, as planned.

In September 2005, GAO recommended (International Trade: Issues and Effects of Implementing the Continued Dumping and Subsidy Offset Act, GAO-05-979, September 26, 2005) that the Secretary of Homeland Security direct the Commissioner of Customs and Border Protection (CBP) to enhance the processing of CDSOA claims and payments and the verification of these claims. Specifically, 1) GAO recommended that, to improve the processing of CDSOA claims, CBP should implement labor saving steps, such as working with ITC to formalize and standardize exchanges of electronic updates of the list of eligible producers, and requiring that company claims follow a standard form and be submitted electronically. According to CBP/CDSOA program manager, in response to GAO's recommendation, his program worked with ITC to develop an electronic list of eligible producers and now has a reliable list of potentially eligible producers; developed a standard, electronic form for filing this year's claims; acquired a full imaging system that helps program staff store, index, and retrieve program-related documentation; and adjusted reports generated off CBP's mainframe computer to eliminate the need for certain manual adjustments, which used to cause problems such as overpayments. 2) GAO recommended that, to further improve the processing of claims, CBP should provide additional guidance for preparing CDSOA certifications or claims. According to CBP/CDSOA program manager, in response to GAO's recommendation, his program has improved the guidance it provides to claimants by having a greater number of better trained people assigned to answer claimant questions--six people are working on this now. Supervisors having an in-depth knowledge are available on the spot to provide guidance on complex issues. CBP has also drafted major changes in its regulations. While these revised regulations were not issued in time for the 2006 distribution, the program manager indicated that much of the clarifying information they contain was included in the June 2006 Federal Register notice instructing producers how to make claims. 3) GAO recommended that, to enhance the processing of claims and payments in the face of a growing workload, CBP should develop and implement a plan for managing and improving its CDSOA program processes, staff, and technology. According to CBP/CDSOA program manager, in response to GAO's recommendation: CBP adopted new procedures, updated and streamlined processes, and provided extensive training to program staff. CBP has increased the number of staff available to assist in the program. The program has now 24 staff and the number will stay high during the program's peak period. All of these staff were on board and fully trained by June 2006, the start of the peak period. 4) GAO recommended that, to enhance accountability for claims, CBP should implement a plan for systematically verifying CDSOA claims. According to the CBP/CDSOA program manager, in response to GAO's recommendation, his program has conducted verifications and showed due diligence in making sure that the 2005 claims had a sound basis and supporting documentation. The program planned to complete 8 verifications by the end of September 2006 and 20 verifications by the February-April 2007 timeframe. It actually completed 8 verifications by the end of September 2006, as planned.

In September 2005, GAO recommended (International Trade: Issues and Effects of Implementing the Continued Dumping and Subsidy Offset Act, GAO-05-979, September 26, 2005) that the Secretary of Homeland Security direct the Commissioner of Customs and Border Protection (CBP) to enhance the processing of CDSOA claims and payments and the verification of these claims. Specifically, 1) GAO recommended that, to improve the processing of CDSOA claims, CBP should implement labor saving steps, such as working with ITC to formalize and standardize exchanges of electronic updates of the list of eligible producers, and requiring that company claims follow a standard form and be submitted electronically. According to CBP/CDSOA program manager, in response to GAO's recommendation, his program worked with ITC to develop an electronic list of eligible producers and now has a reliable list of potentially eligible producers; developed a standard, electronic form for filing this year's claims; acquired a full imaging system that helps program staff store, index, and retrieve program-related documentation; and adjusted reports generated off CBP's mainframe computer to eliminate the need for certain manual adjustments, which used to cause problems such as overpayments. 2) GAO recommended that, to further improve the processing of claims, CBP should provide additional guidance for preparing CDSOA certifications or claims. According to CBP/CDSOA program manager, in response to GAO's recommendation, his program has improved the guidance it provides to claimants by having a greater number of better trained people assigned to answer claimant questions--six people are working on this now. Supervisors having an in-depth knowledge are available on the spot to provide guidance on complex issues. CBP has also drafted major changes in its regulations. While these revised regulations were not issued in time for the 2006 distribution, the program manager indicated that much of the clarifying information they contain was included in the June 2006 Federal Register notice instructing producers how to make claims. 3) GAO recommended that, to enhance the processing of claims and payments in the face of a growing workload, CBP should develop and implement a plan for managing and improving its CDSOA program processes, staff, and technology. According to CBP/CDSOA program manager, in response to GAO's recommendation: CBP adopted new procedures, updated and streamlined processes, and provided extensive training to program staff. CBP has increased the number of staff available to assist in the program. The program has now 24 staff and the number will stay high during the program's peak period. All of these staff were on board and fully trained by June 2006, the start of the peak period. 4) GAO recommended that, to enhance accountability for claims, CBP should implement a plan for systematically verifying CDSOA claims. According to the CBP/CDSOA program manager, in response to GAO's recommendation, his program has conducted verifications and showed due diligence in making sure that the 2005 claims had a sound basis and supporting documentation. The program planned to complete 8 verifications by the end of September 2006 and 20 verifications by the February-April 2007 timeframe. It actually completed 8 verifications by the end of September 2006, as planned.

In May 2007, CBP provided Congress a report entitled "Report to Congress on Continued Dumping and Subsidy Offset (CDSOA)" that discussed efforts CBP has taken to implement the GAO recommendations, including working with the other affected agencies and field offices to ensure improved coordination and collection of anti-dumping/countervailing duties. CBP noted in the report that further details of efforts and progress in this regard are included in a separate January 2007 report entitled "Report to Congress on Antidumping/Countervailing Duty." That report discussed CBP efforts to: better track single entry bonds (bonds that are posted to protect the anticipated federal revenue); assess the risk, or likelihood, of collecting AD/CV duties and adjust the method for determining bond amounts when collection is believed to be at risk; and train CBP personnel on AD/CV duty collections and the enforcement of AD orders, among other steps.