Fred Gordon

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Cargo SecurityHistory, Environment and Future

• Fred Gordon
• AAFA, Savannah, GA
• March 23, 2006

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CARGO SECURITY Operation Safe Commerce

• Operation Safe Commerce is a US Department of
  Homeland Security program that aims to provide
  comprehensive supply chain security while
  maintaining current cargo system efficiencies and
  economics.
• Consortium of Boeing, ADT, Parsons, Iridium and
  HART successfully completed two demonstrations
  that tracked and controlled cargo moving by
  container from the Far East to Los Angeles and
  from Europe to New York.

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Cargo Security Current Events

• Dubai Ports World fall out
• Ownership issues
• Cargo security
• Administration Pronouncements
• Michael Jackson comments
• WCO Initiative
• Pending Legislation
• S. 2008 and others

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Cargo Security Provisions of S. 2008

• Formally establish CSI, C-TPAT, OSC and other
  programs
• Establish minimum cargo security standards
• Establish a Green Lane and more enforcement for
  those that do not meet standards
• Proposal to fund with 835 million of CBP duties
  per year for FY 2007 to 2012

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C-TPAT Plus / Trusted AccountProgressive
Benefits For Progressive Investment
Restart Benefit
Composite Security Score
Entry Benefit
Typical Category Security Scores
1000
First Priority Restart
Minimum for entry at Red Threat Level
Integrity /Custody
Technologies
Physical Security
Access Control
Personnel Security
Procedural Security
Manifest Procedures
Conveyance Security
Information Security
Education Training
Second Priority Restart
500
Shipper Selected and Verified Compliance Elements
Minimum for Entry at Orange Threat Level
200
Entry into US
Min for Entry at Yellow Threat Level
Min USG Required
100

• USG mandates minimum criteria for entry of goods
  into US (C-TPAT/WCO Framework)
• Shippers may select approved security processes
  and technologies for enhanced access to U.S.
• Each additional process or technology adds to the
  shippers overall score
• Analyses of additional data, earlier in process
  and processed securely adds to score
• Independent verification adds to score