Today, the Federal Register published U.S. Customs and Border Protection’s “Notice of Intent to Distribute Offset for Fiscal Year 2013.” Per the notice, certifications for fiscal year 2013 distributions must be received by the agency by July 30, 2013.
CBP posted on the agency’s website a preliminary report regarding CDSOA funds that may be available for distribution in FY2013. For duties collected on shrimp imports, CBP reports a preliminary figure of negative $268,878.13 as available through April 30, 2013 for distribution in FY2013. These amounts are preliminary figures. What is actually available for disbursement may be higher or lower depending on actions taken by CBP between now and fiscal year end.
However, this is the lowest preliminary amount of potentially available CDSOA funds reported by CBP since CDSOA distributions to the shrimp industry began in FY2006. For each of the last seven years, the amount ultimately distributed by CBP has exceeded the preliminary amount announced as potentially available by the agency. In FY2009, for example, the preliminary amount potentially available announced by CBP was $819,685.25. CBP ultimately distributed nearly $5.3 million in collected antidumping duties to the domestic shrimp industry. A chart comparing the preliminary amounts by CBP and the CDSOA distributions ultimately made for each of the fiscal years between 2006 and 2012 is available for review at the links below.
The Southern Shrimp Alliance reported last year that CBP’s Federal Register Notice now contains language warning recipients of CDSOA funds that the agency may seek the return of distributed funds at some time in the future:
It should also be noted that amounts distributed may be subject to recovery as a result of reliquidations, court actions, administrative errors, and other reasons. With the diminishing of the amounts available over time, the likelihood that these events will require the recovery of funds previously distributed will increase. CBP considers the submission of a certification and the negotiation of any distribution checks received as acknowledgements and acceptance of the claimant’s obligation to return those funds upon demand.
CBP’s announcement of preliminary amounts indicates that the agency may seek to recover funds distributed based on duties collected on Thai and Chinese shrimp. CBP announced positive amounts available for distribution with respect to duties collected on Indian and Ecuadorian shrimp.
Thus, some amount of CDSOA distributions are likely to be made in FY2013. To ensure receipt of any such distributions, eligible applicants must submit certifications to CBP by July 30, 2013.
This year’s announcement includes language indicating that FY2013 distributions may be impacted by sequestration:
On March 1, 2013, President Obama ordered a sequestration of nonexempt budgetary resources for Fiscal Year 2013 pursuant to section 251A of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended. The impact of sequestration upon the availability of Fiscal Year 2013 CDSOA funds for distribution is presently being reviewed.
Over the last seven years, CBP has distributed nearly $255 million in antidumping duties collected on shrimp imports through the CDSOA program.
Review CBP’s “Notice of Intent to Distribute Offset for Fiscal Year 2013” here:
Find the electronic version of CBP’s CDSOA form here:
Find the PDF version of the CBP’s CDSOA form here:
Review CBP’s “FY 2013 Preliminary CDSOA Amounts Available” report here:
Review SSA’s Comparison of Preliminary Amounts Available and CDSOA Amounts Distributed: