CBP to Collect AQI Fee for Commercial Vehicles at Canada Land Border Effective November 24, 2006
In September 2006, the Animal and Plant Health Inspection Service (APHIS) issued an interim rule which states that as of November 24, 2006, Canada will no longer be exempt from agricultural quarantine and inspection (AQI) user fees for commercial trucks1, commercial vessels, commercial railroad cars, commercial aircraft, and international air passengers, which enter the U.S. from Canada. (See ITT's Online Archives or 09/07/06 news, 06090720, for BP summary of APHIS interim rule eliminating Canada's exemptions.)
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AQI fees for commercial vehicles are collected by U.S. Customs and Border Protection (CBP) on behalf of APHIS. (AQI fees for commercial vessels, commercial railroad cars, commercial aircraft, and international air passengers are paid directly to APHIS.)
All Commercial Vehicles Must Pay AQI Fee, Even if Empty
CBP sources explain that these AQI fees must be paid by all commercial vehicles entering the U.S. from Canada, empty or not-empty, regardless of whether or not they are bringing in agricultural products.
CBP Sources Confirm Effective Date for Canada is November 24th, Not January 1st
CBP sources have previously indicated that CBP was considering whether to implement the commercial vehicles' AQI fee for Canada on November 24, 2006 or wait until January 1, 2007, due to logistical issues.(See ITT's Online Archives or 10/10/06 news, 06101010, for previous BP summary of user fee decals and transponders, including information on CBP's implementation of this APHIS interim rule.)
According to CBP sources, CBP will begin collecting the AQI fee for commercial vehicles entering from Canada as of November 24, 2006.
Fee to be charged on a per crossing basis for the remainder of 2006, etc. The AQI fee of $5.25 will be charged on a per crossing basis for commercial vehicles for the November 24, 2006 - December 31, 2006 period.
CBP sources explain that, in order to process commercial vehicles in a timely manner, for the remainder of the year CBP can read the transponders already installed in the commercial vehicles and bill the owners.
2007 annual user fee, per crossing fee, etc. According to CBP's updated document on user fee decals and transponders, CBP will be charging the following CBP and APHIS fees in 2007:
Commercial vehicle annual user fee for 2007. According to CBP, the commercial vehicle annual user fee will be $205.00 per calendar year. CBP notes that of this amount, $100.00 goes to CBP, while $105.00 goes to APHIS for the AQI fee.
Commercial vehicles that do not pay annual user fee must pay per crossing fee. CBP and sources state that vehicles that do not pay an annual user fee will be required to pay a per crossing user fee of $10.75 ($5.502 goes to CBP, while $5.25 goes to APHIS for the AQI fee) each time the commercial vehicle enters the U.S.
CBP notes that if the vehicle's annual user fee is not renewed, the transponder will continue to transmit information at the port and the per-crossing user fee will be charged.
1 The term commercial trucks is synonymous with the term commercial vehicles. (APHIS uses the term commercial trucks, while CBP uses the term commercial vehicles.)
2 CBP sources explain that the CBP portion of the per crossing User Fee will be $5.50 beginning on January 1, 2007 (from the current per crossing User Fee of $5.00).
CBP document on user fee decals and transponders, which provides information on the AQI fee for Canada, states that newly approved C-TPAT carriers must update their FAST vehicle information, etc. (updated 10/11/06) available at http://www.cbp.gov/xp/cgov/travel/pleasure_boats/user_fee/user_fee_decal.xml