Aviation Security
Preliminary Observations on TSA's Progress and Challenges in Meeting the Statutory Mandate for Screening Air Cargo on Passenger Aircraft
Gao ID: GAO-09-422T March 18, 2009
The Implementing Recommendations of the 9/11 Commission Act of 2007 mandates the Department of Homeland Security (DHS) to establish a system to physically screen 50 percent of cargo transported on passenger aircraft by February 2009 and 100 percent of such cargo by August 2010. This testimony provides preliminary observations on the Transportation Security Administration's (TSA) progress in meeting the mandate to screen cargo on passenger aircraft and the challenges TSA and industry stakeholders may face in screening such cargo. GAO's testimony is based on products issued from October 2005 through August 2008, and its ongoing review of air cargo security. GAO reviewed TSA's air cargo security programs, interviewed program officials and industry representatives, and visited two large U.S. airports.
TSA has made progress in meeting the air cargo screening mandate as it applies to domestic cargo. TSA has taken steps that will allow screening responsibilities to be shared across the air cargo supply chain--including TSA, air carriers, freight forwarders (which consolidate cargo from shippers and take it to air carriers for transport), and shippers--although air carriers have the ultimate responsibility for ensuring that they transport cargo screened at the requisite levels. TSA has taken several key steps to meet the mandate, including establishing a new requirement for 100 percent screening of cargo transported on narrow-body aircraft; revising or eliminating most screening exemptions for domestic cargo; creating the Certified Cargo Screening Program (CCSP) to allow screening to take place at various points in the air cargo supply chain; and establishing a screening technology pilot. Although TSA estimates that it achieved the mandated 50 percent screening level by February 2009 as it applies to domestic cargo, the agency cannot yet verify that the requisite levels of cargo are being screened. It is working to establish a system to do so by April 2009. Also, TSA's screening approach could result in variable percentages of screened cargo on passenger flights. TSA and industry stakeholders may face a number of challenges in meeting the screening mandate, including attracting participants to the CCSP, and technology, oversight, and inbound cargo challenges. TSA's approach relies on the voluntary participation of shippers and freight forwarders, but it is unclear whether the facilities needed to meet TSA's screening estimates will join the CCSP. In addition, TSA has taken some steps to develop and test technologies for screening air cargo, but the agency has not yet completed assessments of these technologies and cannot be assured that they are effective in the cargo environment. TSA's limited inspection resources may also hamper its ability to oversee the thousands of additional entities that it expects to participate in the CCSP. Finally, TSA does not expect to meet the mandated 100 percent screening deadline as it applies to inbound air cargo, in part due to existing inbound screening exemptions and challenges it faces in harmonizing security standards with other nations.
GAO-09-422T, Aviation Security: Preliminary Observations on TSA's Progress and Challenges in Meeting the Statutory Mandate for Screeining Air Cargo on Passenger Aircraft
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Testimony:
Before the Subcommittee on Transportation Security and Infrastructure
Protection, Committee on Homeland Security, House of Representatives:
United States Government Accountability Office:
GAO:
For Release on Delivery:
Expected at 2:00 p.m. EDT:
Wednesday, March 18, 2009:
Aviation Security:
Preliminary Observations on TSA's Progress and Challenges in Meeting
the Statutory Mandate for Screening Air Cargo on Passenger Aircraft:
Statement of Stephen M. Lord, Director:
Homeland Security and Justice Issues:
GAO-09-422T:
GAO Highlights:
Highlights of GAO-09-422T, a testimony before the Subcommittee on
Transportation Security and Infrastructure Protection, Committee on
Homeland Security, House of Representatives.
Why GAO Did This Study:
The Implementing Recommendations of the 9/11 Commission Act of 2007
mandates the Department of Homeland Security (DHS) to establish a
system to physically screen 50 percent of cargo transported on
passenger aircraft by February 2009 and 100 percent of such cargo by
August 2010. This testimony provides preliminary observations on the
Transportation Security Administration‘s (TSA) progress in meeting the
mandate to screen cargo on passenger aircraft and the challenges TSA
and industry stakeholders may face in screening such cargo. GAO‘s
testimony is based on products issued from October 2005 through August
2008, and its ongoing review of air cargo security. GAO reviewed TSA‘s
air cargo security programs, interviewed program officials and industry
representatives, and visited two large U.S. airports.
What GAO Found:
TSA has made progress in meeting the air cargo screening mandate as it
applies to domestic cargo. TSA has taken steps that will allow
screening responsibilities to be shared across the air cargo supply
chain”including TSA, air carriers, freight forwarders (which
consolidate cargo from shippers and take it to air carriers for
transport), and shippers”although air carriers have the ultimate
responsibility for ensuring that they transport cargo screened at the
requisite levels. TSA has taken several key steps to meet the mandate,
including establishing a new requirement for 100 percent screening of
cargo transported on narrow-body aircraft; revising or eliminating most
screening exemptions for domestic cargo; creating the Certified Cargo
Screening Program (CCSP) to allow screening to take place at various
points in the air cargo supply chain; and establishing a screening
technology pilot. Although TSA estimates that it achieved the mandated
50 percent screening level by February 2009 as it applies to domestic
cargo, the agency cannot yet verify that the requisite levels of cargo
are being screened. It is working to establish a system to do so by
April 2009. Also, TSA‘s screening approach could result in variable
percentages of screened cargo on passenger flights.
TSA and industry stakeholders may face a number of challenges in
meeting the screening mandate, including attracting participants to the
CCSP, and technology, oversight, and inbound cargo challenges. TSA‘s
approach relies on the voluntary participation of shippers and freight
forwarders, but it is unclear whether the facilities needed to meet
TSA‘s screening estimates will join the CCSP. In addition, TSA has
taken some steps to develop and test technologies for screening air
cargo, but the agency has not yet completed assessments of these
technologies and cannot be assured that they are effective in the cargo
environment. TSA‘s limited inspection resources may also hamper its
ability to oversee the thousands of additional entities that it expects
to participate in the CCSP. Finally, TSA does not expect to meet the
mandated 100 percent screening deadline as it applies to inbound air
cargo, in part due to existing inbound screening exemptions and
challenges it faces in harmonizing security standards with other
nations.
Figure: Screening Air Cargo Using Explosives Trace Detection and
Loading It onto Passenger Aircraft:
[Refer to PDF for image: two photographs]
Source: GAO and copy write 2002 by Swissport International, Ltd.
[End of figure]
What GAO Recommends:
GAO has made recommendations to DHS and TSA in prior reports to
increase the security of air cargo, including completing vulnerability
assessments and re-examining existing screening exemptions. DHS
generally agreed with these recommendations and plans to address them.
GAO discussed the preliminary observations in this statement with TSA
officials. TSA agreed with GAO‘s findings.
View [hyperlink, http://www.gao.gov/products/GAO-09-422T] or key
components. For more information, contact Stephen M. Lord at (202) 512-
4379 or lords@gao.gov.
[End of section]
Madam Chairwoman and Members of the Subcommittee:
I appreciate the opportunity to participate in today's hearing to
discuss the security of the air cargo transportation system. In 2007,
about 7.6 billion pounds of cargo was transported on U.S. passenger
flights--56 percent of which was transported domestically and 44
percent of which was transported on flights to the United States
(inbound cargo).[Footnote 1] In response to the terrorist attacks of
September 11, 2001, the Aviation and Transportation Security Act (ATSA)
was enacted in November 2001.[Footnote 2] ATSA created the
Transportation Security Administration (TSA) and required it to provide
for the screening of all passengers and property, including cargo, U.S.
mail, and carry-on and checked baggage that is transported on passenger
aircraft. Recognizing the need to strengthen the security of air cargo,
Congress passed, and the President signed into law, the Implementing
Recommendations of the 9/11 Commission Act of 2007 (9/11 Commission
Act), which mandates the establishment of a system to physically screen
50 percent of cargo on passenger aircraft--including the domestic and
inbound flights of foreign and U.S. passenger operations--by February
2009, and 100 percent of such cargo by August 2010.[Footnote 3]
The 9/11 Commission Act establishes minimum standards for screening air
cargo, and requires that such standards provide a level of security
commensurate with the level of security for the screening of checked
baggage. Although the mandate is applicable to both domestic and
inbound air cargo, TSA stated that it will address the mandate for
domestic and inbound cargo through two separate systems. For example,
while TSA interprets these standards to mean that all cargo, with
certain exceptions, must be screened by TSA-approved methods, the
exceptions vary greatly between domestic and inbound cargo. This
testimony will therefore address efforts to meet the screening mandate
as it applies to domestic and inbound cargo separately.
My testimony today includes preliminary observations on (1) TSA's
progress in meeting the 9/11 Commission Act mandate to screen air cargo
transported on passenger aircraft as it applies to domestic cargo, and
(2) the challenges TSA and industry stakeholders may face in screening
such cargo, including challenges TSA may face in meeting the mandate as
it applies to inbound cargo. My comments are based on GAO reports and
testimonies issued from October 2005 through August 2008 addressing the
security of the air cargo transportation system.[Footnote 4] More
detailed information on our scope and methodology appears in our
published reports.
This statement also includes information from our ongoing review of air
cargo security requested by the Chairman of the House Committee on
Homeland Security, Bennie G. Thompson, and Congressman Edward J.
Markey. The results of this review will be issued later this year. To
determine the progress TSA has made in meeting the 9/11 Commission Act
mandate, and to identify any ongoing challenges, we reviewed TSA's air
cargo security programs, and interviewed TSA air cargo program
officials and representatives from various air cargo industry
associations. We also conducted site visits to two large U.S.
commercial airports that process domestic and inbound air cargo to
observe screening operations and technologies, and interviewed local
TSA officials and representatives from air carriers, freight
forwarders, and shippers to obtain their views on TSA's system to
implement the screening mandate.[Footnote 5] Our site visits and
interviews with industry stakeholders were based on a judgmental sample
and are not generalizable to the entire air cargo industry.
We conducted our work in accordance with generally accepted government
auditing standards. Those standards require that we plan and perform
the audit to obtain sufficient, appropriate evidence to provide a
reasonable basis for our findings and conclusions based on our audit
objectives. We believe that the evidence obtained provides a reasonable
basis for our findings and conclusions based on our audit objectives.
Summary:
TSA has taken several key steps to meet the air cargo screening mandate
of the 9/11 Commission Act. These include the following:
* Requiring that each air carrier ensure that 100 percent of domestic
cargo transported on its narrow-body passenger aircraft is screened as
of October 1, 2008, and that each air carrier ensure that 50 percent of
domestic cargo transported on its entire passenger aircraft fleet is
screened as of February 1, 2009.[Footnote 6] Effective February 2009,
TSA also revised or eliminated most of its screening exemptions for
domestic, but not inbound, cargo;[Footnote 7]
* Creating the Certified Cargo Screening Program (CCSP) to allow
screening to take place earlier in the shipping process and at various
points in the air cargo supply chain;
* Conducting outreach to inform air cargo industry stakeholders about
the new industry requirements and the CCSP;
* Establishing the Air Cargo Screening Technology Pilot to allow
freight forwarders and shippers to operationally test approved
screening technology; and:
* Expanding its explosives detection canine program to include 85
canine teams dedicated to screening air cargo at 20 major airports.
However, while TSA estimates that it achieved the February 2009 50
percent screening mandate as it applies to domestic cargo, the agency
cannot yet verify that requisite screening levels are being met. In
addition, although TSA believes its current screening approach enables
it to meet the statutory screening mandate as it applies to domestic
cargo, some of the ways in which TSA has defined the terms for
screening cargo could result in variable percentages of screened cargo
on passenger flights.
TSA faces several challenges in meeting the air cargo screening
mandate. For example, it is unclear whether the facilities needed to
meet TSA's screening estimates will join its new CCSP, in part because
the costs could be prohibitive. Moreover, TSA faces a number of
challenges related to technology--for instance, TSA has not yet
completed assessments of the technologies it plans to allow air
carriers and CCSP participants to use to meet the 100 percent cargo
screening mandate. TSA also faces challenges overseeing compliance with
the CCSP due to the size of its current transportation security
inspector (TSI) workforce. In addition, with respect to inbound cargo,
TSA does not expect to achieve 100 percent screening of inbound air
cargo by the mandated deadline of August 2010. This is due, in part, to
existing inbound screening exemptions, and to challenges TSA faces in
harmonizing the agency's air cargo security standards with those of
other nations.[Footnote 8]
GAO has made recommendations to the Department of Homeland Security
(DHS) and TSA in prior reports to increase the security of air cargo,
including completing vulnerability assessments and re-examining
existing screening exemptions. DHS generally agreed with these
recommendations and plans to address them. We discussed the preliminary
observations that are contained in this statement related to our
ongoing work with officials from TSA. TSA officials agreed with our
findings. TSA also provided us with technical comments, which we have
incorporated as appropriate.
Background:
Air cargo ranges in size from 1 pound to several tons, and in type from
perishables to machinery, and can include items such as electronic
equipment, automobile parts, clothing, medical supplies, fresh produce,
and human remains. Cargo can be shipped in various forms, including
large containers known as unit loading devices (ULD) that allow many
packages to be consolidated into one container that can be loaded onto
an aircraft, wooden crates, consolidated pallets, or individually
wrapped/boxed pieces, known as loose or bulk cargo. Participants in the
air cargo shipping process include shippers, such as individuals and
manufacturers; freight forwarders; air cargo handling agents, who
process and load cargo onto aircraft on behalf of air carriers; and air
carriers that load and transport cargo.[Footnote 9] A shipper may take
or send its packages to a freight forwarder who in turn consolidates
cargo from many shippers onto a master air waybill--a manifest of the
consolidated shipment--and delivers it to air carriers for transport. A
shipper may also send freight by directly packaging and delivering it
to an air carrier's ticket counter or sorting center, where the air
carrier or a cargo handling agent will sort and load cargo onto the
aircraft.
According to TSA, the mission of its air cargo security program is to
secure the air cargo transportation system while not unduly impeding
the flow of commerce. TSA's responsibilities for securing air cargo
include, among other things, establishing security requirements
governing domestic and foreign passenger air carriers that transport
cargo and domestic freight forwarders. TSA is also responsible for
overseeing the implementation of air cargo security requirements by air
carriers and freight forwarders through compliance inspections, and, in
coordination with DHS's Directorate for Science and Technology (S&T
Directorate), for conducting research and development of air cargo
security technologies. Of the nearly $4.8 billion appropriated to TSA
for aviation security in fiscal year 2009, approximately $123 million
is directed for air cargo security activities. TSA was further directed
to use $18 million of this amount to expand technology pilots and for
auditing participants in the CCSP. Air carriers and freight forwarders
are responsible for implementing TSA security requirements. To do this,
they utilize TSA-approved security programs that describe the security
policies, procedures, and systems they will implement and maintain to
comply with TSA security requirements. These requirements include
measures related to the acceptance, handling, and screening of cargo;
training of employees in security and cargo screening procedures;
testing for employee proficiency in cargo screening; and access to
cargo areas and aircraft. Air carriers and freight forwarders must also
abide by security requirements imposed by TSA through security
directives and amendments to security programs.
The 9/11 Commission Act defines screening for purposes of the air cargo
screening mandate as a physical examination or nonintrusive methods of
assessing whether cargo poses a threat to transportation security.
[Footnote 10] The act specifies that screening methods include X-ray
systems, explosives detection systems (EDS), explosives trace detection
(ETD), explosives detection canine teams certified by TSA, physical
search together with manifest verification, and any additional methods
approved by the TSA Administrator.[Footnote 11] For example, TSA also
recognizes the use of decompression chambers as an approved screening
method.[Footnote 12] However, solely performing a review of information
about the contents of cargo or verifying the identity of the cargo's
shipper does not constitute screening for purposes of satisfying the
mandate.
TSA Has Made Progress in Meeting the Screening Mandate as It Applies to
Domestic Cargo; However, TSA Cannot Yet Verify Whether the Mandated
Level Is Being Met:
TSA Has Made Progress in Meeting the 50 Percent and 100 Percent
Mandated Screening Levels as They Apply to Domestic Cargo:
TSA has taken several key steps to meet the 9/11 Commission Act air
cargo screening mandate as it applies to domestic cargo. TSA's approach
involves multiple air cargo industry stakeholders sharing screening
responsibilities across the air cargo supply chain. TSA, air carriers,
freight forwarders, shippers, and other entities each play an important
role in the screening of cargo, although TSA has determined that the
ultimate responsibility for ensuring that screening takes place at
mandated levels lies with the air carriers. According to TSA officials,
this decentralized approach is expected to minimize carrier delays,
cargo backlogs, and potential increases in cargo transit time, which
would likely result if screening were conducted primarily by air
carriers at the airport. Moreover, because much cargo is currently
delivered to air carriers in a consolidated form, the requirement to
screen individual pieces of cargo will necessitate screening earlier in
the air cargo supply chain--before cargo is consolidated. The specific
steps that TSA has taken to address the air cargo screening mandate are
discussed below.
TSA revised air carrier security programs. Effective October 1, 2008,
several months prior to the first mandated deadline, TSA established a
new requirement for 100 percent screening of nonexempt cargo
transported on narrow-body passenger aircraft. Narrow-body flights
transport about 26 percent of all cargo on domestic passenger
flights.[Footnote 13] According to TSA officials, air carriers reported
that they are currently meeting this requirement. Effective February 1,
2009, TSA also required air carriers to ensure the screening of 50
percent of all nonexempt air cargo transported on all passenger
aircraft. Although screening may be conducted by various entities, each
air carrier must ensure that the screening requirements are fulfilled.
Furthermore, effective February 2009, TSA revised or eliminated most of
its screening exemptions for domestic cargo. As a result, most domestic
cargo is now subject to TSA screening requirements.
TSA created the Certified Cargo Screening Program (CCSP). TSA also
created a program, known as the CCSP, to allow screening to take place
earlier in the shipping process and at various points in the air cargo
supply chain. In this program, air cargo industry stakeholders--such as
freight forwarders and shippers--voluntarily apply to become Certified
Cargo Screening Facilities (CCSF).[Footnote 14] This program allows
cargo to be screened before it is consolidated and transported to the
airport, which helps address concerns about the time-intensive process
of breaking down consolidated cargo at airports for screening purposes.
TSA plans to inspect the CCSFs in order to ensure they are screening
cargo as required. TSA initiated the CCSP at 18 major airports that,
according to TSA officials, account for 65 percent of domestic cargo on
passenger aircraft. TSA expects to expand the CCSP nationwide at a date
yet to be determined. CCSFs in the program were required to begin
screening cargo as of February 1, 2009.
While participation in the CCSP is voluntary, once an entity is
certified by TSA to participate it must adhere to TSA screening and
security requirements and be subject to annual inspections by TSIs. To
become certified and to maintain certification, TSA requires each CCSF
to demonstrate compliance with increased security standards to include
facility, personnel, procedural, perimeter, and information technology
security. As part of the program, and using TSA-approved screening
methods, freight forwarders must screen 50 percent of cargo being
delivered to wide-body passenger aircraft and 100 percent of cargo
being delivered to narrow-body passenger aircraft, while shippers must
screen 100 percent of all cargo being delivered to any passenger
aircraft. Each CCSF must deliver the screened cargo to air carriers
while maintaining a secure chain of custody to prevent tampering with
the cargo after it is screened.
TSA conducted outreach efforts to air cargo industry stakeholders. In
January 2008, TSA initiated its outreach phase of the CCSP in three
cities and subsequently expanded its outreach to freight forwarders and
other air cargo industry stakeholders in the 18 major airports. TSA
established a team of nine TSA field staff to conduct outreach, educate
potential CCSP applicants on the program requirements, and validate
CCSFs. According to TSA officials, in February 2009, the agency also
began using its cargo TSIs in the field to conduct outreach. In our
preliminary discussions with several freight forwarders and shippers,
industry stakeholders reported that TSA staff have been responsive and
helpful in answering questions about the program and providing
information on CCSP requirements.
TSA established the Air Cargo Screening Technology Pilot and is
conducting additional technology pilots. To operationally test ETD and
X-ray technology among CCSFs, TSA created the Air Cargo Screening
Technology Pilot in January 2008, and selected some of the largest
freight forwarders to use the technologies and report on their
experiences. TSA's objectives for the pilot are to determine CCSFs'
ability to screen high volumes of cargo, test chain of custody
procedures, and measure the effectiveness of screening technology on
various commodity classes. TSA will provide each CCSF participating in
the pilot with up to $375,000 for purchasing technology. As of February
26, 2009, 12 freight forwarders in 48 locations are participating in
the pilot.[Footnote 15] The screening they perform as part of the
operational testing also counts toward meeting the air cargo screening
mandate.
TSA expanded its explosives detection canine program. To assist air
carriers in screening consolidated pallets and unit loading devices,
TSA is taking steps to expand the use of TSA-certified explosives
detection canine teams. TSA has 37 canine teams dedicated to air cargo
screening--operating in 20 major airports--and is in the process of
adding 48 additional dedicated canine teams. TSA is working with the
air carriers to identify their peak cargo delivery times, during which
canines would be most helpful for screening.
In addition, we reported in October 2005 and April 2007 that TSA,
working with DHS's S&T Directorate, was developing and pilot testing a
number of technologies to screen and secure air cargo with minimal
effect on the flow of commerce.[Footnote 16] These pilot programs seek
to enhance the security of cargo by improving the effectiveness of
screening for explosives through increased detection rates and reduced
false alarm rates. A description of several of these pilot programs and
their status is included in table 1.
Table 1: TSA and DHS Directorate for Science and Technology Pilot
Programs to Test Technologies to Screen and Secure Air Cargo:
Pilot program: Air cargo explosives detection pilot program;
Description: Tests the use of explosives detection systems, explosives
trace detectors, standard X-ray machines, canine teams, technologies
that can locate a stowaway through detection of a heartbeat or
increased carbon dioxide levels in cargo, and manual screening of air
cargo;
Status: Consistent with the conference report accompanying the
Department of Homeland Security Appropriations Act, 2006, DHS's S&T
Directorate is required to report on the initial results of the pilots
every 6 months after initiation of the first pilot.a DHS last submitted
a report dated July 2008. According to DHS officials, the final report
is currently undergoing DHS executive review and DHS plans to provide
this report to Congress in March 2009.
Pilot program: Explosives detection systems (EDS);
Description: Tests the use of computer-aided tomography to compare the
densities of objects to locate explosives in air cargo and to determine
the long-term feasibility of using EDS equipment as a total screening
process for bulk air cargo;
Status: TSA planned to complete this pilot program in May 2008. In
February 2009, TSA officials stated that the pilot was completed in
December 2008, and the final report should be available in July 2009.
Pilot program: Air cargo security seals;
Description: Explores the viability of potential security
countermeasures, such as tamper-evident security seals, for use during
transport of screened cargo;
Status: In February 2009, TSA officials stated that the agency is
waiting for vendors to produce technology that it can test and
evaluate. TSA then plans to issue operational requirements to industry.
In March 2009, TSA officials stated that the agency has not set time
frames for this process.
Source: GAO analysis of information provided by TSA.
[A] H.R. Conf. Rep. No. 109-241, at 53 (2005) (accompanying Pub. L. No.
109-90, 119 Stat. 2064 (2005)).
[End of table]
TSA Cannot Yet Verify that Screening Is Being Conducted Domestically at
the Mandated Level, and TSA's Current Approach Could Result in Variable
Percentages of Screened Cargo:
TSA estimates that it achieved the mandate for screening 50 percent of
domestic cargo transported on passenger aircraft by February 2009,
based on feedback from air cargo industry stakeholders responsible for
conducting screening. However, TSA cannot yet verify that screening is
being conducted at the mandated level. The agency is working to
establish a system to collect data from screening entities to verify
that requisite screening levels for domestic cargo are being met.
Effective February 2009, TSA adjusted air carrier reporting
requirements and added CCSF reporting requirements to include monthly
screening reports on the number of shipments screened at 50 and 100
percent.[Footnote 17] According to TSA officials, air carriers will
provide to TSA the first set of screening data by mid-March 2009. By
April 2009, TSA officials expect to have processed and analyzed
available screening data, which would allow the agency to determine
whether the screening mandate has been met. Thus, while TSA asserts
that it has met the mandated February 2009, 50 percent screening
deadline, until the agency analyzes required screening data, TSA cannot
verify that the mandated screening levels are being achieved.
In addition, although TSA believes its current screening approach
enables it to meet the statutory screening mandate as it applies to
domestic cargo, this approach could result in variable percentages of
screened cargo on passenger flights.[Footnote 18] This variability is
most likely for domestic air carriers that have a mixed-size fleet of
aircraft because a portion of their 50 percent screening requirement
may be accomplished through the more stringent screening requirements
for narrow-body aircraft, thus allowing them more flexibility in the
amount of cargo to screen on wide-body aircraft. According to TSA,
although this variability is possible, it is not a significant concern
because of the small amount of cargo transported on narrow-body flights
by air carriers with mixed-size fleets. However, the approach could
result in variable percentages of screened cargo on passenger flights
regardless of the composition of the fleet. As explained earlier, TSA
is in the process of developing a data reporting system that may help
to assess whether some passenger flights are transporting variable
percentages of screened cargo. This issue regarding TSA's current air
cargo security approach will be further explored during our ongoing
review.
Lastly, TSA officials reported that cargo that has already been
transported on one passenger flight may be subsequently transferred to
another passenger flight without undergoing additional screening.
According to TSA officials, the agency has determined that this is an
approved screening method because an actual flight mimics one of TSA's
approved screening methods.[Footnote 19] For example, cargo exempt from
TSA screening requirements that is transported on an inbound flight can
be transferred to a domestic aircraft without additional screening,
because it is considered to have been screened in accordance with TSA
screening requirements. According to TSA, this scenario occurs
infrequently, but the agency has not been able to provide us with data
that allows us to assess how frequently this occurs. TSA reported that
it is exploring ways to enhance the security of cargo transferred to
another flight, including using canine teams to screen such cargo. This
issue regarding TSA's current air cargo security approach will be
further explored during our ongoing review.
TSA Faces Participation, Technology, Oversight, and Inbound Cargo
Challenges in Meeting the Screening Mandate:
It Is Unclear Whether TSA Will Be Able to Attract the Voluntary
Participants Needed to Meet the 100 Percent Screening Mandate:
Although industry participation in the CCSP is vital to TSA's approach
to spread screening responsibilities across the supply chain, it is
unclear whether the number and types of facilities needed to meet TSA's
screening estimates will join the CCSP. Although TSA is relying on the
voluntary participation of freight forwarders and shippers to meet the
screening goals of the CCSP, officials did not have precise estimates
of the number of participants that would be required to join the
program to achieve 100 percent screening by August 2010. As of February
26, 2009, TSA had certified 172 freight forwarder CCSFs, 14 shipper
CCSFs, and 17 independent cargo screening facilities (ICSF).[Footnote
20]
TSA estimates that freight forwarders and shippers will complete the
majority of air cargo screening at the August 2010 deadline, with
shippers experiencing the largest anticipated increase when this
mandate goes into effect. According to estimates reported by TSA in
November 2008, as shown in figure 1, the screening conducted by freight
forwarders was expected to increase from 14 percent to 25 percent of
air cargo transported on passenger aircraft from February 2009 to
August 2010, while the screening conducted by shippers was expected to
increase from 2 percent to 35 percent. For this reason, increasing
shipper participation in the CCSP is necessary to meet the 100 percent
screening mandate.
Figure 1: TSA's Estimates, as of November 2008, of Air Cargo
Transported on Passenger Aircraft that Various Entities Will Screen as
of February 2009 and August 2010:
[Refer to PDF for image: horizontal bar graph]
Mandated screening deadlines: Estimated percentage of cargo to be
screened by entity:
February 2009:
Narrow-body air carriers: 25%;
Wide-body air carriers: 5%;
Freight forwarders: 14%;
Shippers: 2%;
TSA: 4%.
August 2010:
Narrow-body air carriers: 25%;
Wide-body air carriers: 9%;
Freight forwarders: 25%;
Shippers: 35%;
TSA: 6%.
Source: GAO analysis of TSA information.
[End of figure]
As highlighted in figure 1, TSA estimated that, as of February 2009,
screening of cargo delivered for transport on narrow-body aircraft
would account for half of the mandated 50 percent screening level and
25 percent of all cargo transported on passenger aircraft. TSA expected
screening conducted on cargo delivered for transport on narrow-body
passenger aircraft to remain stable at 25 percent when the mandate to
screen 100 percent of cargo transported on passenger aircraft goes into
effect.[Footnote 21] TSA anticipated that its own screening
responsibilities would grow by the time the 100 percent mandate goes
into effect. Specifically, TSA anticipated that its canine teams and
transportation security officers would screen 6 percent of cargo in
August 2010, up from 4 percent in February 2009. It is important to
note that these estimates--which TSA officials said are subject to
change--are dependent on the voluntary participation of freight
forwarders, shippers, and other screening entities in the CCSP. If
these entities do not volunteer to participate in the CCSP at the
levels TSA anticipates, air carriers or TSA may be required to screen
more cargo than was projected.
Participation in the CCSP may appeal to a number of freight forwarders
and shippers, but industry participants we interviewed expressed
concern about potential program costs. In preliminary discussions with
freight forwarders, shippers, and industry associations, stakeholders
told us that they would prefer to join the CCSP and screen their own
cargo in order to limit the number of entities that handle and open
their cargo. This is particularly true for certain types of delicate
cargo, including fresh produce. Screening cargo in the CCSP also allows
freight forwarders and shippers to continue to consolidate their
shipments before delivering them to air carriers, which results in
reduced shipping rates and less potential loss and damage. However, TSA
and industry officials with whom we spoke agreed that the majority of
small freight forwarders--which make up approximately 80 percent of the
freight forwarder industry--would likely find prohibitive the costs of
joining the CCSP, including acquiring expensive technology, hiring
additional personnel, conducting additional training, and making
facility improvements.[Footnote 22] TSA has not yet finalized cost
estimates for industry participation in air cargo screening, but is in
the process of developing these estimates and is planning to report
them later this year. As of February 26, 2009, 12 freight forwarders in
48 locations have joined TSA's Air Cargo Screening Technology pilot and
are thus eligible to receive reimbursement for the technology they have
purchased. However pilot participants, to date, have been limited
primarily to large freight forwarders. TSA indicated that it targeted
high-volume facilities for the pilot in order to have the greatest
effect in helping industry achieve screening requirements.
In response to stakeholder concerns about potential program costs, TSA
is allowing independent cargo screening facilities to join the CCSP and
screen cargo on behalf of freight forwarders or shippers. However, it
is unclear how many of these facilities will join. Moreover, according
to industry stakeholders, this arrangement could result in freight
forwarders being required to deliver loose freight to screening
facilities for screening. This could reduce the benefit to freight
forwarders of consolidating freight before delivering it to air
carriers, a central part of the freight forwarder business model.
TSA Has Taken Some Steps to Develop and Test Technologies for Screening
Air Cargo, but Has Not Yet Completed Assessments to Ensure Their
Effectiveness:
TSA has taken some steps to develop and test technologies for screening
and securing air cargo, but has not yet completed assessments of the
technologies it plans to allow air carriers and program participants to
use in meeting the August 2010 screening mandate.[Footnote 23] To date,
TSA has approved specific models of three screening technologies for
use by air carriers and CCSFs until August 3, 2010--ETD, EDS, and X-
ray.[Footnote 24] TSA chose these technologies based on its subject
matter expertise and the performance of these technologies in the
checkpoint and checked baggage environments. According to TSA
officials, the agency has conducted preliminary assessments, but has
not completed laboratory or operational testing of these technologies
in the air cargo environment.
After the technology pilot programs and other testing are complete, TSA
will determine which technologies will be qualified for screening cargo
and whether these technologies will be approved for use after August 3,
2010. However, TSA is proceeding with operational testing and
evaluations to determine which of these technologies is effective at
the same time that screening entities are using these technologies to
meet air cargo screening requirements. For example, according to TSA,
ETD technology, which most air carriers and CCSFs plan to use, has not
yet begun the qualification process. However, it is currently being
used to screen air cargo as part of the Air Cargo Screening Technology
Pilot and by air carriers and other CCSFs. Although TSA's acquisition
guidance recommends testing the operational effectiveness and
suitability of technologies prior to deploying them, and TSA agrees
that simultaneous testing and deployment of technology is not ideal,
TSA officials reported that this was necessary to meet the screening
deadlines mandated by the 9/11 Commission Act. While we recognize TSA's
time constraints, the agency cannot be assured that the technologies it
is currently using to screen cargo are effective in the cargo
environment, because they are still being tested and evaluated. We will
continue to assess TSA's technology issues as part of our ongoing
review of TSA's efforts to meet the mandate to screen 100 percent of
cargo transported on passenger aircraft.
Although TSA is in the process of assessing screening technologies,
according to TSA officials, there is no single technology capable of
efficiently and effectively screening all types of air cargo for the
full range of potential terrorist threats. Moreover, according to
industry stakeholders, technology to screen cargo that has already been
consolidated and loaded onto a pallet or ULD may be critical to meet
the 100 percent screening mandate. Although TSA has not approved any
technologies that are capable of screening consolidated pallets or ULDs
containing various commodities, according to TSA, it is currently
beginning to assess such technology. TSA officials reported that they
do not expect to qualify such technology prior to the August 2010
deadline.
Air cargo industry stakeholders we interviewed also expressed some
concerns regarding the cost of purchasing and maintaining screening
equipment for CCSP participants. Cost is a particular concern for the
CCSP participants that do not participate in the Air Cargo Screening
Technology Pilot and will receive no funding for technology or other
related costs; this includes the majority of CCSFs. Because the
technology qualification process could result in modifications to TSA's
approved technologies, industry stakeholders expressed concerns about
purchasing technology that is not guaranteed to be acceptable for use
after August 3, 2010. We will continue to assess this issue as part of
our ongoing review of TSA's efforts to meet the mandate to screen 100
percent of cargo transported on passenger aircraft.
In addition to the importance of screening technology, TSA officials
noted that an area of concern in the transportation of air cargo is the
chain of custody between the various entities that handle and screen
cargo shipments prior to its loading onto an aircraft. Officials stated
that the agency has taken steps to analyze the chain of custody under
the CCSP, and has issued cargo procedures to all entities involved in
the CCSP to ensure that the chain of custody of the cargo is secure.
This includes guidance on when and how to secure cargo with tamper-
evident technology. TSA officials noted that they plan to test and
evaluate such technology and issue recommendations to the industry, but
have not set any time frames for doing so. Until TSA completes this
testing, however, the agency lacks assurances that existing tamper-
evident technology is of sufficient quality to deter tampering and that
the air cargo supply chain is effectively secured. We will continue to
assess this issue as part of our ongoing review of TSA's efforts to
meet the mandate to screen 100 percent of cargo transported on
passenger aircraft.
Limited Staffing Resources May Hamper TSA's Ability to Effectively
Oversee the Thousands of Additional Entities Involved in Meeting the
Air Cargo Screening Mandate:
Although the actual number of cargo TSIs increased each fiscal year
from 2005 to 2009, TSA still faces challenges overseeing compliance
with the CCSP due to the size of its current TSI workforce. To ensure
that existing air cargo security requirements are being implemented as
required, TSIs perform compliance inspections of regulated entities,
such as air carriers and freight forwarders. Under the CCSP, TSIs will
also perform compliance inspections of new regulated entities, such as
shippers and manufacturers, who voluntarily become CCSFs. These
compliance inspections range from an annual review of the
implementation of all air cargo security requirements to a more
frequent review of at least one security requirement. According to TSA,
the number of cargo TSIs grew from 160 in fiscal year 2005 to about 500
in fiscal year 2009. However, cargo TSI numbers remained below levels
authorized by TSA in each fiscal year from 2005 through 2009, which, in
part, led to the agency not meeting cargo inspection goals in fiscal
year 2007. As highlighted in our February 2009 report, TSA officials
stated that the agency is still actively recruiting to fill vacant
positions but could not provide documentation explaining why vacant
positions remained unfilled.[Footnote 25] Additionally, TSA officials
have stated that there may not be enough TSIs to conduct compliance
inspections of all the potential entities under the CCSP, which TSA
officials told us could number in the thousands, once the program is
fully implemented by August 2010. TSA officials also indicated plans to
request additional cargo TSIs in the future, although the exact number
has yet to be formulated. According to TSA officials, TSA does not have
a human capital or other workforce plan for the TSI program, but the
agency has plans to conduct a staffing study in fiscal year 2009 to
identify the optimal workforce size to address its current and future
program needs. Until TSA completes its staffing study, TSA may not be
able to determine whether it has the necessary staffing resources to
ensure that entities involved in the CCSP are meeting TSA requirements
to screen and secure air cargo. We will continue to assess this issue
as part of our ongoing review of TSA's efforts to meet the mandate to
screen 100 percent of cargo transported on passenger aircraft.
TSA Has Taken Some Steps to Meet the Screening Mandate as It Applies to
Inbound Cargo but Does Not Expect to Achieve 100 Percent Screening of
Inbound Cargo by the August 2010 Deadline:
To meet the 9/11 Commission Act screening mandate as it applies to
inbound cargo, TSA revised its requirements for foreign and U.S.-based
air carrier security programs and began harmonization of security
standards with other nations. The security program revisions generally
require carriers to screen 50 percent of nonexempt inbound cargo. TSA
officials estimate that this requirement has been met, though the
agency is not collecting screening data from air carriers to verify
that the mandated screening levels are being achieved. TSA has taken
several steps toward harmonization with other nations. For example, TSA
is working with foreign governments to improve the level of screening
of air cargo, including working bilaterally with the European
Commission (EC) and Canada, and quadrilaterally with the EC, Canada,
and Australia. As part of these efforts, TSA plans to recommend to the
United Nations' International Civil Aviation Organization (ICAO) that
the next revision of Annex 17 to the Convention of International Civil
Aviation (due for release in 2009) include an approach that would allow
screening to take place at various points in the air cargo supply
chain.[Footnote 26] TSA also plans to work with the International Air
Transport Association (IATA), which is promoting an approach to
screening cargo to its member airlines.[Footnote 27] Finally, TSA
continues to work with U.S. Customs and Border Protection (CBP) to
leverage an existing CBP system to identify and target high-risk air
cargo.
However, TSA does not expect to achieve 100 percent screening of
inbound air cargo by the August 2010 screening deadline. This is due,
in part, to TSA's inbound screening exemptions, and to challenges TSA
faces in harmonizing its air cargo security standards with those of
other nations. TSA requirements continue to allow screening exemptions
for certain types of inbound air cargo transported on passenger
aircraft.[Footnote 28] TSA could not provide an estimate of what
percentage of inbound cargo is exempt from screening. In April 2007, we
reported that TSA's screening exemptions on inbound cargo could pose a
risk to the air cargo supply chain and recommended that TSA assess
whether these exemptions pose an unacceptable vulnerability and, if
necessary, address these vulnerabilities.[Footnote 29] TSA agreed with
our recommendation, but has not yet reviewed, revised, or eliminated
any screening exemptions for cargo transported on inbound passenger
flights, and could not provide a time frame for doing so. Furthermore,
similar to changes for domestic cargo requirements discussed earlier,
TSA's revisions to inbound requirements could result in variable
percentages of screened cargo on passenger flights to the United
States. We will continue to assess this issue as part of our ongoing
review of TSA's efforts to meet the mandate to screen 100 percent of
cargo transported on passenger aircraft.
Achieving harmonization with foreign governments may be challenging,
because these efforts are voluntary and some foreign countries do not
share the United States' view regarding air cargo security threats and
risks. Although TSA acknowledges it has broad authority to set
standards for aviation security, including the authority to require
that a given percentage of inbound cargo be screened before it departs
for the United States, TSA officials caution that if TSA were to impose
a strict cargo screening standard on all inbound cargo, many nations
likely would be unable to meet such standards in the near term. This
raises the prospect of substantially reducing the flow of cargo on
passenger aircraft or possibly eliminating it altogether. According to
TSA, the effect of imposing such screening standards in the near future
would be, at minimum, increased costs for international passenger
travel and for imported goods, and possible reduction in passenger
traffic and foreign imports. According to TSA officials, this could
also undermine TSA's ongoing cooperative efforts to develop
commensurate security systems with international partners.
TSA agreed that assessing the risk associated with the inbound air
cargo transportation system will facilitate its efforts to harmonize
security standards with other nations. Accordingly, TSA has identified
the primary threats associated with inbound air cargo, but has not yet
assessed which areas of inbound air cargo are most vulnerable to attack
and which inbound air cargo assets are deemed most critical to protect.
Although TSA agreed with our previous recommendation to assess inbound
air cargo vulnerabilities and critical assets, it has not yet
established a methodology or time frame for how and when these
assessments will be completed. We continue to believe that the
completion of these assessments is important to the security of inbound
air cargo.
Finally, the amount of resources TSA devotes to inbound compliance is
disproportionate to the resources for domestic compliance. In April
2007, we reported that TSA inspects air carriers at foreign airports to
assess whether they are complying with air cargo security requirements,
but does not inspect all air carriers transporting cargo into the
United States.[Footnote 30] Furthermore, in fiscal year 2008, inbound
cargo inspections were performed by a cadre of 9 international TSIs
with limited resources, compared to the 475 TSIs that performed
domestic cargo inspections. By mid-fiscal year 2008, international
compliance inspections accounted for a small percentage of all
compliance inspections performed by TSA, although inbound cargo made up
more than 40 percent of all cargo on passenger aircraft in 2007.
Regarding inbound cargo, we reported in May 2008 that TSA lacks an
inspection plan with performance goals and measures for its
international inspection efforts, and recommended that TSA develop such
a plan.[Footnote 31] TSA officials stated in February 2009 that they
are in the process of completing a plan to provide guidance for
inspectors conducting compliance inspections at foreign airports, and
intend to implement the plan during fiscal year 2009. Finally TSA
officials stated that the number of international TSIs needs to be
increased.
Madam Chairwoman, this concludes my statement. I look forward to
answering any questions that you or other members of the subcommittee
may have at this time.
GAO Contact and Staff Acknowledgements:
For questions about this statement, please contact Stephen M. Lord at
(202) 512-4379 or lords@gao.gov. Contact points for our Offices of
Congressional Relations and Public Affairs may be found on the last
page of this statement.
Individuals making key contributions to this testimony include Steve D.
Morris, Assistant Director; Scott M. Behen; Glenn G. Davis; Elke
Kolodinski; Stanley J. Kostyla; Thomas Lombardi; Linda S. Miller;
Yanina Golburt Samuels; Daren K. Sweeney; and Rebecca Kuhlmann Taylor.
[End of section]
Footnotes:
[1] For the purposes of this statement, domestic air cargo refers to
cargo transported by air within the United States and from the United
States to a foreign location by both U.S. and foreign based air
carriers, and inbound cargo refers to cargo transported by air from a
foreign location to the United States.
[2] Pub. L. No. 107-71, 115 Stat. 597 (2001).
[3] Pub. L. No. 110-53, § 1602, 121 Stat. 266, 477-80 (codified at 49
U.S.C. § 44901(g)).
[4] GAO, Review of the Transportation Security Administration's Air
Cargo Screening Exemptions Report, [hyperlink,
http://www.gao.gov/products/GAO-08-1055R] (Washington, D.C.: August 15,
2008); Aviation Security: Transportation Security Administration May
Face Resource and Other Challenges in Developing a System to Screen All
Cargo Transported on Passenger Aircraft, [hyperlink,
http://www.gao.gov/products/GAO-08-959T] (Washington, D.C.: July 15,
2008); Transportation Security: Transportation Security Administration
Has Strengthened Planning to Guide Investments in Key Aviation and
Surface Transportation Security Programs, but More Work Remains,
[hyperlink, http://www.gao.gov/products/GAO-08-487T] (Washington, D.C.:
May 13, 2008); Aviation Security: Federal Efforts to Secure U.S.-Bound
Air Cargo Are in the Early Stages and Could Be Strengthened,
[hyperlink, http://www.gao.gov/products/GAO-07-660] (Washington, D.C.:
April 30, 2007); and Aviation Security: Federal Action Needed to
Strengthen Domestic Air Cargo Security, [hyperlink,
http://www.gao.gov/products/GAO-06-76] (Washington, D.C.: October 17,
2005).
[5] There are about 450 commercial airports in the United States. TSA
classifies airports into one of five categories (X, I, II, III, and IV)
based on various factors, such as the total number of takeoffs and
landings annually, the extent to which passengers are screened at the
airport, and other special security considerations. In general,
category X airports have the largest number of passenger boardings, and
category IV airports have the smallest.
[6] Narrow-body aircraft, such as B-737s and A-320s, are defined by
fuselage diameter, and most narrow-body aircraft have only one aisle.
Narrow-body aircraft that fly in the United States do not carry any
consolidated pallets or unit loading devices (ULD) that allow packages
to be consolidated in one container. Wide-body aircraft are also
defined by fuselage diameter, and can carry consolidated pallets or
ULDs.
[7] Details on TSA's screening exemptions are Sensitive Security
Information and are not discussed in this statement.
[8] The term harmonization is used to describe countries' efforts to
coordinate their security practices to enhance security and increase
efficiency by avoiding duplication of effort. Harmonization efforts can
include countries mutually recognizing and accepting each other's
existing practices--which could represent somewhat different approaches
to achieve the same outcome, as well as working to develop mutually
acceptable uniform standards.
[9] For the purposes of this statement, the term freight forwarders
only includes those freight forwarders that are regulated by TSA, also
referred to as indirect air carriers.
[10] See 49 U.S.C. § 44901(g)(5).
[11] EDS uses computer-aided tomography X-rays to examine objects
inside baggage and identify the characteristic signatures of threat
explosives. ETD requires human operators to collect samples of items to
be screened with swabs, which are chemically analyzed to identify any
traces of explosives material. Certified explosives detection canine
teams have been evaluated by TSA and shown to effectively detect
explosive devices. Physical search together with manifest verification
entails comparisons between air waybills and cargo contents to ensure
that the contents of the cargo shipment matches the cargo identified in
documents filed by the shipper.
[12] Decompression chambers simulate atmospheric pressures affecting
aircraft by simulating flight conditions, which can cause explosives
that are attached to barometric fuses to detonate.
[13] According to TSA officials, narrow-body aircraft make up most
domestic passenger flights, and transport most passengers traveling on
domestic passenger flights.
[14] Other facilities that can become CCSFs are manufacturing
facilities, third party logistics providers, warehouse/distribution
centers, and independent cargo screening facilities.
[15] Initially, the Air Cargo Screening Technology Pilot was limited to
freight forwarders. However, in November 2008, TSA issued a second
announcement seeking additional freight forwarders and independent
cargo screening facilities to apply for the pilot. Entities that are
not part of the technology pilot must still report screening volumes to
TSA, but not the screening technology data. Moreover, entities that do
not participate in the pilot will not receive TSA funding to purchase
screening technology.
[16] [hyperlink, http://www.gao.gov/products/GAO-06-76]; [hyperlink,
http://www.gao.gov/products/GAO-07-660].
[17] Details on TSA's reporting requirements are Sensitive Security
Information and are not discussed in this statement.
[18] Details on TSA's screening approach are Sensitive Security
Information and are not discussed in this statement.
[19] Details on TSA's approved screening methods are Sensitive Security
Information and are not discussed in this statement.
[20] An independent cargo screening facility is a facility that will
accept cargo from freight forwarders and shippers, and screen it for a
fee, according to CCSP guidelines.
[21] TSA expects air carriers operating wide-body aircraft to screen
approximately 5 percent of cargo as of February 2009, and 9 percent
when the 100 percent mandate goes into effect in August 2010.
[22] A freight forwarder's size is determined by its annual sales. For
example, a freight forwarder with $5 million or less in annual sales is
considered to be small.
[23] Technologies that successfully pass lab assessments and
independent testing and evaluation become eligible to undergo
additional operational testing and evaluation in an operational
environment. Technologies that successfully pass independent and
operational evaluation will be added to a list of qualified products.
[24] Decompression chambers are also approved for use by air carriers.
[25] GAO, Aviation Security: Status of Transportation Security
Inspector Workforce, [hyperlink,
http://www.gao.gov/products/GAO-09-123R] (Washington D.C.: February 6,
2009).
[26] ICAO is a specialized agency of the United Nations with the
primary objective to provide for the safe, orderly, and efficient
development of international civil aviation.
[27] IATA is an industry association that represents about 230 air
carriers constituting 93 percent of international scheduled air
traffic.
[28] Details on TSA's screening exemptions are Sensitive Security
Information and are not discussed in this statement.
[29] [hyperlink, http://www.gao.gov/products/GAO-07-660].
[30] [hyperlink, http://www.gao.gov/products/GAO-07-660].
[31] [hyperlink, http://www.gao.gov/products/GAO-08-487T].
[End of section]
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