February 13, 2025
Mr. Cuellar (for himself, Mr. Tony Gonzales of Texas, Ms. Escobar, Mr. Vasquez, and Mr. Vicente Gonzalez of Texas) introduced the following bill; which was referred to the Committee on Ways and Means, and in addition to the Committees on Homeland Security, Agriculture, and the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned
To establish the Land Port of Entry Modernization Trust Fund, and for other purposes.
Section 1. Short title
This Act may be cited as the LPOE Modernization Trust Fund Act
.
Sec. 2. Land Port of Entry Modernization Trust Fund
(a) Creation of trust fund
There is established in the Treasury of the United States a trust fund to be known as the Land Port of Entry Modernization Trust Fund
(referred to in this section as the Trust Fund
), consisting of amounts transferred to the Trust Fund under subsection (b) and any amounts that may be credited to the Trust Fund under subsection (c).
(b) Deposits into trust fund
There shall be deposited into the Trust Fund as discretionary offsetting collections, for fiscal year 2026 and each fiscal year thereafter—
(1)
twenty-five percent of all fees collected pursuant to section 13031(b)(9)(A)(ii)(I) of the Consolidated Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(b)(9)(A)(ii)(I));
(2)
up to $1,600,000,000 of the Merchandise Processing Fees collected pursuant to section 13031(a)(9)(B)(i) of the Consolidated Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(a)(9)(B)(i)); and
(3)
twenty-five percent of all surcharges collected under subsection (h)(3) of this Act related to—
(A)
immigrant user fee established under section 286(m) of the Immigration and Nationality Act (8 U.S.C. 22 1356(m));
(B)
land border inspection fees established under section 286(q) of such Act (8 U.S.C. 1356(q)); and
(C)
the machine-readable visa fee established under section 103 of the Enhanced Border Security and Visa Entry Reform Act of 2002 (8 U.S.C. 1713).
(c) Investment of amounts
(1) In general
The Secretary of the Treasury shall invest such portion of the Trust Fund as is not required to meet current obligations in interest-bearing obligations of the United States or in obligations guaranteed as to both principal and interest by the United States.
(2) Interest and proceeds
The interest on, and the proceeds from the sale or redemption of, any obligations held in the Trust Fund shall be credited to the Trust Fund as discretionary offsetting collections, and shall form a part of the Trust Fund.
(d) Use of Trust Fund
(1) In general
Amounts in the Trust Fund, including amounts described in subsection (c)(2), shall be made available to the Secretary for the purposes described in paragraph (2) only to the extent and in the amounts provided in advance in appropriations Acts.
(2) Purposes
Subject to paragraph (1), amounts in the Trust Fund shall be made available for the following purposes:
(A)
The construction of new United States ports of entry.
(B)
The expansion and improvement of existing United States ports of entry infrastructure to accommodate high volumes of commercial, vehicle, and pedestrian traffic.
(C)
The procurement of technology and supporting infrastructure for United States ports of entry, and related cargo and commercial inspection facilities, to facilitate the inspection and processing of commercial, vehicle, and pedestrian traffic.
(D)
The facilitation of major repairs and alterations of United States land ports of entry.
(E)
Hiring U.S. Customs and Border Protection officers, agricultural specialists, and professional staff to support the trade and revenue mission of such agency.
(3) Consultation
(A) In general
The purposes described in paragraph (2) shall be carried out by the Secretary, in consultation with the Administrator of General Services, the Chief of Engineers and Commanding General of the United States Army Corps of Engineers, State, local, and Tribal governments, organizations that represent the interests of commerce, and relevant advisory committees under chapter 10 of title 5, United States Code.
(B) Consideration of transportation plans
The Secretary, in consultation with the Board established pursuant to subsection (g)(1), shall consider regional bi-national transportation master plans to carry out the purposes described in paragraph (2).
(e) Limitations
The Secretary, in coordination with the Secretary of the Treasury and the Secretary of State, shall not seek to increase fees as a measure to offset amounts deposited into the Trust Fund.
(f) Reports
Not later than March 10 of each year, the Secretary, in coordination with the Administrator of General Services, shall submit to the Committees on Appropriations of the House of Representatives and the Senate and the Board a report on the status of the implementation of this section that includes a description of—
(1)
how, and to which recipients, amounts have been obligated and expended from the Trust Fund in the immediate previous fiscal year;
(2)
how, and to which recipients, amounts are planned to be obligated or expended from the Trust Fund in the upcoming fiscal year;
(3)
the amount remaining in the Trust Fund; and
(4)
the expected dates of completion for purposes described in subsection (d).
(g) Land Port of Entry Modernization Oversight Board
(1) Establishment
The Secretary shall establish an oversight board to be known as the Land Port of Entry Modernization Oversight Board
(referred to in this section as the Board
).
(2) Duties of Board
The Board shall—
(A)
advise the Secretary with respect to the prioritization of purposes described in subsection (d); and
(B)
review the expenditure of funds from the Trust Fund.
(3) Membership
(A) In general
The Board shall be composed of 9 members, as follows:
(i)
The Secretary of Homeland Security or the Secretary’s designee.
(ii)
The Administrator of General Services or the Secretary’s designee.
(iii)
The Secretary of Commerce or the Secretary’s designee.
(iv)
The Secretary of State or the Secretary’s designee.
(v)
The Secretary of Transportation or the Secretary’s designee.
(vi)
A representative of the United States trucking industry, appointed by the Secretary of Homeland Security.
(vii)
A representative of the United States land ports of entry or rail sectors located on the southwest land border, appointed by the Secretary of Homeland Security.
(viii)
A representative of the United States land ports of entry or rail sectors located on the northern land border, appointed by the Secretary of Homeland Security.
(ix)
A representative of a State or local transportation authority, appointed by the Secretary of Homeland Security.
(B) Timing of appointments
Each member appointed under clauses (vi) and (vii) of subparagraph (A) shall be made not later than 3 months after the date of the enactment of this Act.
(C) Terms
(i) In general
Each member appointed under clauses (vi), (vii), and (viii) of subparagraph (A) shall serve for a term of 2 years.
(ii) Vacancies
Each member appointed to fill a vacancy of a member appointed under clauses (vi), (vii), and (viii) of subparagraph (A), occurring before the expiration of the term for which the member’s predecessor was appointed, shall be appointed only for the remainder of that term. A member may serve after the expiration of that term until a successor has been appointed.
(D) Chairperson
The Chairperson of the Board shall be the Secretary of Homeland Security.
(4) Meeting
(A) Initial meeting
The Board shall hold its initial meeting not later than 30 days after the final appointment of members under clauses (vi), (vii), and (viii) of paragraph (3)(A).
(B) Meeting
The Board shall meet not fewer than 1 time each year at the call of the Chairperson.
(5) Quorum
Four members of the Board shall constitute a quorum.
(6) Compensation
(A) Prohibition of compensation
Except as provided in paragraph (2), members of the Board may not receive additional pay, allowances, or benefits by reason of their service on the Board.
(B) Travel expenses
Each member shall receive travel expenses, including per diem in lieu of subsistence, in accordance with applicable provisions under subchapter I of chapter 57 of title 5, United States Code.
(7) Report
Not later January 31, 2026, and annually thereafter, the Board shall submit to the Secretary a report containing a detailed statement relating to—
(A)
the prioritization of activities described in subsection (d); and
(B)
recommendations with respect to the expenditure of funds from the Trust Fund.
(8) Nonapplicability of certain advisory committee rules
Notwithstanding section 1013 of title 5, United States Code, the Board is authorized for a period commensurate with the LPOE Modernization Trust Fund authorization.
(h) Customs fees
(1) Land port of entry maintenance fees transfer
Not later than 60 days after the date of enactment of this Act, up to $1,600,000,000 of the amount in the Customs User Fee Account established pursuant to paragraph (1) of section 13031(f) of the Consolidated Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(f)(1)) and not otherwise appropriated shall be transferred to the Trust Fund, subject to paragraph (3) of such section 13031(f). Notwithstanding paragraph (2) of such section 13031(f), amounts transferred from the Customs User Fee Account to the Trust Fund pursuant to the preceding sentence shall be available only to the extent and in the amounts provided in advance in appropriations Acts to carry out the purposes specified in subsection (d)(2).
(2) Fees collected for express consignment operations
Section 13031(b)(9) of the Consolidated Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(b)(9)) is amended—
(A)
in subparagraph (B)(iii)(III), to read as follows:
(III)
The remaining 25 percent of the amount of payments received under subparagraph (A)(ii) and clause (ii) of this subparagraph shall be deposited into the Land Port of Entry Modernization Trust Fund and shall be available only to the extent and in the amounts provided in advance in appropriations Acts to carry out the purposes specified in section 2(d)(2) of the LPOE Modernization Trust Fund Act;; and
(B)
in subparagraph (C), by adding at the end the following:
(iii)
The terms individual air waybill and bill of lading mean a document or other tracking mechanism representing an individual shipment, that is not a consolidated or master document—
(I)
having its own unique bill number, unique tracking number, or other unique identifier;
(II)
assigned to a single ultimate consignee; and
(III)
with respect to which no lower tracking unit exists.
(3) Surcharge of fees collected
Notwithstanding any other provision of law—
(A)
the Secretary shall charge a surcharge of—
(i)
$40 on the immigrant user fee established under section 286(m) of the Immigration and Naturalization Act (8 U.S.C. 1356(m)); and
(ii)
$6 on the land border inspection fee established under section 286(q) of such Act (8 U.S.C. 1356(q)); and
(B)
the Secretary of State shall charge a surcharge of $20 on the machine-readable visa fee established under section 103 of the Enhanced Border Security and Visa Entry Reform Act of 2002 (8 U.S.C. 1713).
(i) Definitions
In this section:
(1) Appropriate congressional committees
The term appropriate congressional committees means—
(A)
the Committee on Homeland Security, the Committee on Appropriations, the Committee on Transportation and Infrastructure, and the Committee on Ways and Means of the House of Representatives; and
(B)
the Committee on Homeland Security and Governmental Affairs, the Committee on Appropriations, the Committee on Commerce, Science, and Transportation, and the Committee on Finance of the Senate.
(2) Indian tribe
The term Indian tribe has the meaning given such term in section 4(e) of the Indian Self-Determination Act (25 U.S.C. 5304(e)).
(3) Secretary
Except as otherwise specified in this section, the term Secretary means the Secretary of Homeland Security.
(4) Tribal government
The term Tribal government means the government of an Indian tribe.