Supporting Statement
Entry Summary
1651-0022
A. Justification:
Explain the circumstances that make the collection of information necessary. Identify any legal or administrative requirements that necessitate the collection. Attach a copy of the appropriate section of each statute and regulation mandating or authorizing the collection of information.
CBP Form 7501, Entry Summary, is used to identify merchandise entering the commerce of the United States, and to document the amount of duty and/or tax paid. CBP Form 7501 is submitted by the importer, or the importer’s agent, for each import transaction. The data on this form is used by CBP as a record of the import transaction; to collect the proper duty, taxes, certifications and enforcement information; and to provide data to the U.S. Census Bureau for statistical purposes. Collection of the data on this form is authorized by 19 U.S.C. 1484 and provided for by 19 CFR 142.11 and CFR 141.61. CBP Form 7501 and accompanying instructions can be found at http://www.cbp.gov/xp/cgov/toolbox/forms/.
CBP also proposes to establish a new form called Document/Payment Transmittal. This form can be used by the trade community to submit additional documentation associated with an ACE entry summary when it involves information that cannot be submitted electronically such as check payments and commercial invoices.
2. Indicate how, by whom, and for what purpose the information is to be used. Except for a new collection, indicate the actual use the agency has made of the information received from the current collection.
The information on CBP Form 7501 is vital to CBP in carrying out the regulatory requirements associated with the import transaction documentation.
The information on CBP Form 7501A Document/Payment Transmittal will be used by CBP to associate the information with the ACE entry summary and to update ACE with collection changes that have occurred in ACS.
3. Describe whether, and to what extent, the collection of information involves the use of automated, electronic, mechanical, or other technological collection techniques or other forms of information technology, e.g. permitting electronic submission of responses, and the basis for the decision for adopting this means of collection. Also describe any consideration of using information technology to reduce burden.
Approximately 97 percent of brokers and importers transmit 7501 data electronically through the Automated Broker Interface (ABI).
CBP Form 7501A Document/Payment Transmittal will not be submitted electronically because it is used to transmit information and documents to CBP that are not electronic such as check payments. However, it will be available electronically on the CBP website once it is approved by OMB.
4. Describe efforts to identify duplication. Show specifically why any similar information already available cannot be used or modified for use for the purposes described in Item 2 above.
This information is not collected in any other form, and therefore is not duplicated elsewhere.
5. If the collection of information impacts small businesses or other small entities, describe any methods used to minimize burden.
This information collection does not have an impact on small businesses or other small entities.
6. Describe consequences to Federal program or policy activities if the collection is not conducted or is conducted less frequently, as well as any technical or legal obstacles to reducing burden.
CBP’s ability to collect of the proper amount of duties, applicable fees, and taxes could be significantly jeopardized if the CBP Form 7501 is not submitted as regulations prescribe.
7. Explain any special circumstances that would cause an information collection to be conducted in a manner inconsistent with OMB guidelines:
This information is collected in a manner consistent with the guidelines of 5 CFR 1320.6.
8. If applicable, provide a copy and identify the date and page number of publication in the Federal Register of the agency's notice, required by 5 CFR 1320.8(d), soliciting comments on the information collection prior to submission to OMB. Summarize public comments received in response to that notice and describe actions taken by the agency in response to these comments. Specifically address comments received on cost and hour burden.
A comment was received from Dennis Fixler, Chief Statistician at the Bureau of Economic Analysis (BEA) of the Department of Commerce. Mr. Fixler states that BEA strongly supports the continued collection of Entry Summary data and that this data is crucial to BEA’s economic statistics. He also provides some examples of how BEA uses Entry Summary data.
9. Explain any decision to provide any payment or gift to respondents, other than remuneration of contractors or grantees.
There is no offer of a monetary or material value for this information collection.
10. Describe any assurance of confidentiality provided to respondents and the basis for the assurance in statute, regulation, or agency policy.
There is no assurance of confidentiality provided to respondents. A PIA for the Automated Commercial System (ACS) dated December 2, 2008, and a SORN for ACS/ACE, dated December 19, 2008 (Vol. 73, Page 77759) will be included in this ICR.
11. Provide additional justification for any questions of a sensitive nature, such as sexual behavior and attitudes, religious beliefs, and other matters that are commonly considered private. This justification should include the reasons why the agency considers the questions necessary, the specific uses to be made of the information, the explanation to be given to persons from whom the information is requested, and any steps to be taken to obtain their consent.
There are no questions of a sensitive nature.
12. Provide estimates of the hour burden of the collection of information.
FORM |
HOURS |
NO. OF RESPONDENTS |
RESPONSES PER RESPONDENT |
TOTAL RESPONSES |
TIME PER RESPONSE |
7501 Formal Entry |
8,079,363 |
2,450 |
9,903 |
24,262,350 |
20 minutes or (.333) hours |
7501 Formal Entry with SLA 2008 * |
266,433 |
210 |
1,905 |
400,050 |
40 minutes or (.666) hours |
7501 Informal Entry |
1,014,726 |
1,572 |
2,582 |
4,058,904 |
15 minutes (.25) hours
|
7501A Document/Payment Transmittal |
300 |
20 |
60 |
1,200 |
15 minutes (.25) hours |
TOTAL |
9,360,822 |
|
|
28,722,504 |
|
* For shipments of softwood lumber and softwood lumber products, as described in the Softwood Lumber Act of 2008, CBP collects three additional data elements.
Public Cost
The cost to respondents is estimated at $187,216,440. This is based on the estimated burden hours (9,360,822) multiplied (x) by the hourly rate ($20).
There is no record keeping burden associated with this collection.
13. Provide an estimate of the total annual cost burden to respondents or recordkeepers resulting from the collection of information.
There are no recordkeeping, capitalization or start-up costs associated with this collection.
14. Provide estimates of annualized cost to the Federal Government. Also provide a description of the method used to estimate cost, which should include quantification of hours, operational expenses (such as equipment overhead, printing, and support staff), and any other expense that would not have been incurred without this collection of information.
The estimated cost to the Federal Government associated with collecting the information is $200,253,312. This is based on the number of responses (28,722,504) multiplied(x) by the time to process each response (.166 hours) = 4,767,936 hours multiplied (x) the average hourly rate ($42) = $200,253,312.
15. Explain the reasons for any program changes or adjustments reported in Items 12 or 13 of this Statement.
There are no changes to the information collected on CBP Form 7501. However, the number of respondents and responses were revised based on a data query that CBP ran. Also, the estimated time per response for informal entries was raised from 5 minutes to 15 minutes. The burden hours were adjusted to account for the revisions to these two estimates.
The $4,200,525 in costs associated with the Softwood Lumber entries was deleted because it was added erroneously in the previous ICR submission. This cost figure is not associated with this ICR and is a result of clerical error during ROCIS input.
CBP proposes to add the new 7501A, Document/Payment Transmittal form. 300 burden hours were increased to reflect this new form.
16. For collection of information whose results will be published, outline plans for tabulation, and publication.
This information collection will not be published for statistical purposes.
17. If seeking approval to not display the expiration date for OMB approval of the information collection, explain the reasons that display would be inappropriate.
CBP does not seek approval to not display the expiration date.
18. Explain each exception to the certification statement identified in Item 19,
“Certification for Paperwork Reduction Act Submissions”.
CBP does not request an exception to the certification of this information collection.
No statistical methods were employed.
| File Type | application/msword |
| File Modified | 2012-08-15 |
| File Created | 2012-08-15 |