CBP SPACE Act

The CBP SPACE Act would allow U.S. Customs and Border Protection (CBP) to adjust the Merchandise Processing Fee (MPF) to cover capital costs, including equipment, facilities, and specifically capital costs tied to passenger inspection services. The bill tightens how MPF revenues can be used by explicitly adding capital costs to the items funded by the fee and directs the changes to take effect 180 days after enactment. It also requires CBP to coordinate with the Treasury on setting an appropriate MPF level to fund port infrastructure upgrades. In addition, the bill restricts ports of entry from requiring or maintaining administrative, training, or recreational facilities to support CBP inspection services, and it creates an annual reporting obligation on MPF proceeds, how much goes to inspection facilities, and current capital needs. Overall, it shifts more funding for CBP capital needs to user fees and adds transparency and oversight.