Application for Subzone

OMB Control No. 0625-0139
Expiration Date: 04/30/2025

Application for Subzone Designation

(Traditional Site Framework or Outside Alternative Site Framework Service Areas)

Instruction Sheet

A Federal agency may not conduct or sponsor, and a person is not required to respond to, nor shall a person be subject to a penalty for failure to comply with an information collection subject to the requirements of the Paperwork Reduction Act of 1995 unless the information collection has a currently valid OMB Control Number. The approved OMB Control Number for this information collection is 0625-0139. Without this approval, we could not conduct this information collection. Public reporting for this information collection is estimated to be approximately 4 hours per response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the information collection. All responses to this information collection are required to obtain benefits. Send comments regarding this burden estimate or any other aspect of this information collection, including suggestions for reducing this burden, to the International Trade Administration, Attn: FTZ Board Executive Secretary, U. S. Department of Commerce, 14^th and Constitution Avenue NW, Room 21013, Washington, DC 20230 or [email protected].

No zone, subzone, zone expansion/reorganization/modification, or production authority may be approved unless a completed application has been received (19 U.S.C. 81a-81u; 15 CFR Part 400). The Foreign-Trade Zones Board has no authority to finance zone projects. Its approval is in the form of a grant of authority (license) for operating a facility under foreign-trade zone procedures. The basic requirements for foreign-trade zone applications are found in the regulations of the Foreign-Trade Zones Board (15 CFR Part 400), including Sections 400.21 through 400.25. Application formats are available on the FTZ Board web site: http://www.trade.gov/ftz.

Corporations submitting applications must be qualified to apply under the laws of the state in which the zone is to be located. Applicants may submit drafts of their applications to the FTZ Staff, which can provide comments and technical assistance in interpreting the Board's regulations.

Applicants should note that conduct of their proposed activity under FTZ procedures would result in an additional, ongoing information-collection burden associated with the Annual Report from Foreign-Trade Zones (OMB Control No. 0625-0109).

FTZ Staff

March 2022

Foreign-Trade Zones Board
U.S. Department of Commerce
1401 Constitution Avenue, N.W., Room 21013
Washington, D.C. 20230
(202) 482-2862

APPLICATION FOR SUBZONE DESIGNATION

(Traditional Site Framework or Outside Alternative Site Framework Service Areas)

NOTE: This format is only for requesting a “Subzone” for Traditional Site Framework (TSF) FTZs or for a location outside a “Service Area” under the Alternative Site Framework (ASF). For Subzone designation within a Service Area, there is a separate, simpler format (ASF Minor Boundary Modification).

INSTRUCTIONS

General: This format consists of a small number of questions to answer and, for ease of use, is provided as a MS Word document. The actual submitted request may take the form of a letter from the grantee requesting approval and answering each question listed below. Alternatively, the request may include a cover letter from the grantee identifying the specific subzone for which it is requesting approval and then a separate document answering the questions below. Leave the language of each question in place (including its number) and provide your response directly below each question.

Do You Propose that the Subzone Be Subject to the Zone’s Activation Limit? Under the FTZ Board’s regulations, a proposed subzone that will be subject to a zone’s activation limit (as defined in §400.2(b)) can be processed within a 3-month timeframe (rather than 5 months if it will not be subject to the zone’s activation limit). Therefore, the application must indicate whether the subzone is proposed to be subject to the zone’s activation limit. Contact the FTZ Board’s staff with any questions on this point at (202) 482-2862 or [email protected].

Sites versus Parcels: A "site" is comprised of one or more generally contiguous parcels of land organized and functioning as an integrated unit, such as all or part of an industrial park or airport facility. If parcels do not meet that definition, they must be treated as separate sites.

Submitted Request Must Be Complete: The FTZ Staff cannot process submitted subzone applications that do not meet each of the small number of requirements delineated in the FTZ Board’s regulations. Incomplete submitted requests or documents submitted separately will be returned to the sender. The FTZ Staff also cannot assemble complete applications from individual elements submitted separately.

Submission of Completed Application: Submit the final application by email ([email protected]) (Adobe PDF format preferred; you may use MS Word format if you are unable to submit PDF). The application must include color maps and signed versions of all letters.

Filing fees: The FTZ Regulations require a filing fee of $ 4,000 or $ 6,500 for a subzone application (see 15 CFR 400.29(b)(2) for details). The currently dated check should be made payable to "U.S. Department of Commerce ITA." The Federal Tax ID number is 91-2014781.

Timing: Submitted subzone applications will ordinarily be processed in the 3-month or 5-month timeframes described in the FTZ Board’s regulations. The 3-month timeframe is for subzones that will be subject to the sponsoring zone’s activation limit (see further explanation above).

APPLICATION FOR SUBZONE DESIGNATION

(Traditional Site Framework or Outside Alternative Site Framework Service Areas)

QUESTIONS

1. Please mark the appropriate space below to indicate whether you are you requesting that the proposed subzone be subject to your zone’s activation limit. (See instructions above for further explanation.)

_____ Subject to zone’s activation limit (3-month process)

_____ Not subject to zone’s activation limit (5-month process)

2. List the address of the site(s), including the jurisdiction in which the site falls (town, city, county).

3. State the proposed acreage of the site(s).

4. Indicate the company for which the site(s) will be designated.

5. Provide a summary of the company’s planned activities.

6. Indicate the current zoning and the existing and planned buildings (including square footage) for the site(s). (Note: Sites (or areas within a site) with inappropriate zoning – such as agricultural, retail, or residential – are not eligible for FTZ status and should not be proposed in any subzone application.)

7. Confirm that FTZ designation or the use of FTZ procedures is not a requirement or a precondition for future activity or construction at the site(s).

8. List the owner(s) of the site(s). (If a site(s) is not owned by the grantee or the company planning to use the site(s) – as named in response to Question 4 above – then provide a "Right to Use" attachment with documentation demonstrating the right to use the site. Such evidence could be a signed letter from the proposed operator on its letterhead attesting to its right to use the property or a letter of concurrence from the owner of the new site.)

9. Do you commit to work with U.S. Customs & Border Protection (CBP), as appropriate, to meet current and future CBP requirements for its automated systems (such as ACE) and to meet any CBP security requirements related to activation?

ATTACHMENTS

Attach the documents listed below (items 10 and 11, plus 12 if applicable) directly behind the text of your request.

10. In an attachment called "Legal Authority for Application," include a copy of: 1) the state’s current enabling legislation regarding FTZs and 2) the section(s) of the zone grantee's charter or organization papers pertinent to FTZ sponsorship. (For grantees that are non-public, also provide evidence of the organization’s current legal standing with the state. This can include a letter or documentation from an appropriate state official or from the state’s official website.)

11. Attach a clear and detailed site map showing existing and planned structures. The site boundaries must be outlined clearly in red. Note that if streets or similar landmarks are not legible on the site map, you will also need to provide a detailed street map with the proposed site's boundaries in red. Any map should be no larger than letter-sized (8 1/2” x 11”) and clearly labeled, with legends provided for any markings.

12. If your state (such as TX, KY, AZ) has one or more taxes for which collections will be affected by the proposed FTZ designation of the new site(s), please attach all of the following:

1. An explanation of the specific local taxes that will be affected;

2. A stand-alone letter that:

• Lists all of the affected parties;

• Includes a statement below the list certifying that this is a complete list of all parties that would be affected by this particular request; and,

• Is signed by an official of the grantee organization.

3. Correspondence from all of the affected parties (such as a local school board) indicating their concurrence (or non-objection) regarding the proposed FTZ designation.