FOREIGN-TRADE ZONES BOARD
ORDER NO. 107
Authorization for Certain Procedures in the Administration
of Foreign-Trade Zones
Pursuant to its authority under the Foreign-Trade Zones Act of June 18, 1934, as amended (19
USC 81a-81u), and the Foreign-Trade Zones Board Regulations (15 CFR Part 400), the Foreign-
Trade Zones Board (the Board) adopts the following order:
Whereas, Section 16 of the Foreign-Trade Zones Act, as amended (19 USC 81p), authorizes
the Board to prescribe the form and manner for the keeping of zone accounts, and to
require operational and financial reports from zones; and
Whereas the Board's regulations, as amended by Board Order 86 (12-9-71), require that zone
grantees maintain their accounts in accordance with generally accepted principles of
accounting and in compliance with the requirements of any other public agencies having
jurisdiction over zone activities (15 CFR PArt 400.1014), and the Board's Executive
Secretary has been delegated authority to establish reporting requirements (Board Order
38, 2-16-55) (Present requirements are given in instructions from the Executive Secretary
dated OCtober 25, 1967); and,
Whereas, foreign-trade zones are under the supervision of the US Treasury Department and
the Customs Service for purposes of security and protection of the revenue, and it is the
intention of the Board that zones be administered consistent with the most current
principles and procedures of the US Customs Service:
Now Therefore, the Board hereby orders:
The US Customs Service is encouraged, consistent with requirements for security and
protection of the revenue, to employ the latest available Customs administrative procedures
in carrying out its responsibilities in foreign-trade zones. This would include use of
regulatory or external audit principles such as are currently being developed by Customs
and new forms and records compatible with data processing systems. When appropriate, this
might involve the testing of new procedures through pilot programs in selected zones. To
the extent that authority of the Foreign-Trade Zones Board is required for the implementation
of this policy, such authority is hereby granted. The Board's Executive Secretary shall
be kept advised of changes in procedures employed by the Customs Service in the various
zones and shall work with Customs officials in carrying out his responsibilities in this
area.
Signed at Washington, DC this 8th day of August, 1975.
Rogers Morton
Secretary of Commerce,
Chairman and Executive Officer,
Foreign-Trade Zones Board
Attest:
John J. DaPonte, Jr.
Acting Executive Secretary