LPOE Modernization Trust Fund Act
The LPOE Modernization Trust Fund Act would create a dedicated Land Port of Entry Modernization Trust Fund in the U.S. Treasury to finance modernization of land ports of entry (the border crossings for goods and people). The fund would be funded with discretionary offsetting collections from existing user fees and surcharges, plus a potential transfer of up to $1.6 billion from the Customs User Fee Account. Money from the fund could be used only as appropriated by Congress and for purposes tied to port modernization, including building new ports, expanding and upgrading port infrastructure, purchasing technology and related facilities, performing major repairs, and hiring CBP and related staff. The act also establishes an oversight board to guide and review how the funds are spent, requires annual reporting on investments and progress, and sets up governance and consultation provisions to align modernization with regional planning and bi-national transportation plans. It imposes limits on increasing fees to fund deposits into the trust and adds surcharge and fee-structure adjustments tied to express consignments and other border-related charges. Overall, the bill creates a dedicated, transparent funding stream intended to accelerate and coordinate modernization across U.S. land ports of entry.
Key Points
- 1Establishment of the Land Port of Entry Modernization Trust Fund in the Treasury, funded by discretionary offsetting collections from specific fees and surcharges, plus a potential transfer of up to $1.6 billion from the Customs User Fee Account.
- 2Authorized uses of the Trust Fund include: construction of new ports, expansion and improvement of existing port infrastructure, procurement of technology and infrastructure for ports of entry and inspection facilities, major repairs/alterations of land ports of entry, and hiring CBP officers and related staff.
- 3Land Port of Entry Modernization Oversight Board: a 9-member board (including DHS Secretary, GSA Administrator, Secretaries of Commerce, State, and Transportation, plus industry and port/transport reps) that prioritizes activities, reviews expenditures, meets regularly, and provides annual reports on prioritization and expenditures.
- 4Transfers and fee adjustments: up to $1.6 billion from the Customs User Fee Account would be transferred to the Trust Fund to be used for purposes in the act; amendments to express consignments payments and the imposition of surcharges (e.g., $40 immigrant user fee, $6 land border inspection fee, $20 machine-readable visa fee) to support the fund; prohibition on increasing fees specifically to offset deposits into the Trust Fund.
- 5Reporting and oversight requirements: annual reports due by March 10 each year detailing obligations, planned expenditures, fund balance, and expected completion dates; Board reports on prioritization and recommendations; and coordination with GSA, Corps of Engineers, state/local/tribal governments, commerce interests, and advisory committees; consideration of regional bi-national transportation master plans.