[Federal Register Volume 81, Number 243 (Monday, December 19, 2016)]
[Rules and Regulations]
[Pages 91646-91670]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-30459]


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DEPARTMENT OF HOMELAND SECURITY

8 CFR PARTS 1, 210, 212, 214, 215, 231, 235, 245, 245a, 247, 253, 
264, 274a, and 286

[Docket No. USCBP-2013-0011; CBP Dec. No. 16-27]
RIN 1651-AA96


Definition of Form I-94 To Include Electronic Format

AGENCY: U.S. Customs and Border Protection, DHS.

ACTION: Final rule.

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SUMMARY: This final rule adopts, without change, interim amendments to 
the Department of Homeland Security (DHS) regulations which were 
published in the Federal Register on March 27, 2013, as CBP Dec. No. 
13-06. These amendments enabled DHS to transition the issuance of the 
Form I-94 (Arrival/Departure Record) to an automated process. In the 
automated process, DHS creates a Form I-94 in an electronic format 
based on passenger, passport and visa information DHS obtains 
electronically from air and sea carriers and the Department of State 
(DOS) as well as through the inspection process. This document 
addresses the comments received in response to the interim rule and 
discusses some operational modifications to the Form I-94 process that 
were implemented after publication of the interim rule.

DATES: This final rule is effective January 18, 2017.

FOR FURTHER INFORMATION CONTACT: Suzanne Shepherd, U.S. Customs and 
Border Protection Office of Field Operations by telephone (202) 344-
2073 or by email, [email protected].

SUPPLEMENTARY INFORMATION:

Abbreviations and Terms Used in This Document

ACI-A Airports Council International-North America
ACIP American Council on International Personnel
ADIS Arrival and Departure Information System
AILA American Immigration Lawyers Association
APA Administrative Procedure Act
APIS Advance Passenger Information Systems
CBP U.S. Customs and Border Protection
CBSA Canadian Border Services Agency
CCD Consular Consolidated Database
CFR Code of Federal Regulations
DHS Department of Homeland Security
DIS Deferred Inspection Site
DMV Departments of Motor Vehicles
DOS Department of State
DOT Department of Transportation
ESTA Electronic System of Travel Authorization
FAQ Frequently Asked Question
FNU First Name Unknown
FOIA Freedom of Information Act
ICAO International Civil Aviation Organization
ICE U.S. Immigration and Customs Enforcement
IFR Interim Final Rule
INA Immigration and Nationality Act
INM Instituto Nacional de Migraci[oacute]n
INS Immigration and Naturalization Service
LNU Last Name Unknown
MRZ Machine Readable Zone
NAFSA NAFSA: Association of International Educators
OIS Office of Immigration Statistics
OMB Office of Management and Budget
OTTI Office of Travel and Tourism Industries
PIA Privacy Impact Assessment
PII Personally Identifiable Information
POE Port of Entry
SAVE USCIS's Systematic Alien Verification for Entitlements program
SEVIS Student and Exchange Visitor Information System
SEVP Student and Exchange Visitor Information Program
SHRM Society for Human Resource Management
SSA Social Security Administration
USCIS U.S. Citizenship and Immigration Services
USDA U.S. Department of Agriculture
VWP Visa Waiver Program

Executive Summary

    The Form I-94 (Arrival/Departure Record) is issued by DHS to 
certain nonimmigrant foreign nationals upon arrival in the United 
States or when they change status in the United States.

[[Page 91647]]

The Form I-94 is used to document arrival and departure and provides 
evidence of the terms of admission or parole. The Form I-94 is also 
used by individuals granted asylum in the United States as a proof of 
their grant of asylum and by refugees as proof of their refugee status. 
CBP, a component of DHS, generally issues the Form I-94 to 
nonimmigrants at the time they lawfully enter the United States. 
Nonimmigrant travelers use the Form I-94 for various purposes such as 
completing the Form I-9 to verify employment eligibility, applying for 
immigration benefits, or presenting to a university to verify 
eligibility for enrollment.
    On March 27, 2013, CBP published an interim final rule (IFR) in the 
Federal Register (78 FR 18457) that added to the regulations a 
definition of ``Form I-94'' to allow the Form I-94 to be in either 
paper or electronic format. Prior to the effective date of the IFR, the 
Form I-94 was a paper form only. The IFR made necessary changes to the 
regulations to enable CBP to transition from only paper to allow for an 
electronic form. In the case of air and sea ports of entry, the 
regulation allowed CBP to transition to an automated process whereby 
CBP creates an electronic Form I-94 based on information collected via 
the Advance Passenger Information System (APIS) along with visa 
information transmitted to CBP by the Department of State. The 
automated process applies only to nonimmigrants arriving at air and sea 
ports of entry because APIS data is currently collected only for air 
and sea. The automation of the Form I-94 process for nonimmigrants 
arriving by air or sea eliminates duplicative information collections 
and saves time and money for the traveling public, carriers, and CBP.
    CBP makes the electronic Form I-94 available through a Web site. To 
access the Form I-94 through the Web site the traveler inputs 
information from his/her passport. If needed, nonimmigrants may print 
out a copy of the Form I-94 from the Web site and present it to third 
parties in lieu of the paper form. CBP continues to provide a paper 
Form I-94 to certain classes of aliens, such as asylees, certain 
parolees, and others upon request or whenever CBP determines the 
issuance of a paper form is appropriate.\1\
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    \1\ As of September 2015, CBP has automated the Form I-94 
process for refugees. Refugees can now access their Form I-94 from 
the I-94 Web site. CBP no longer provides a paper Form I-94 to 
refugees unless one is requested or CBP determines that it is 
appropriate to issue one.
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    This regulation also is consistent with CBP's enhancements to the 
I-94 Web site to enable travelers arriving at a land port of entry to 
submit the Form I-94 information to CBP and pay the required fee prior 
to arrival. Unlike the automated process for air and sea where CBP 
creates an electronic Form I-94 based on information collected via APIS 
and other sources, this I-94 land border process enables travelers to 
provide the Form I-94 information to CBP electronically prior to 
arrival to facilitate the land border issuance process. The enhanced I-
94 Web site launched on September 29, 2016.
    DHS received eighteen submissions in response to the IFR. Most of 
these submissions contained comments providing support, voicing 
concerns, highlighting issues, or offering suggestions for 
modifications to the automation process. After review of the comments, 
CBP has decided to finalize the interim final rule without change. 
However, CBP has made some operational changes, primarily to the I-94 
Web site, in response to the comments. These changes, which are 
described in the comment responses, are intended to help travelers 
retrieve their Form I-94 information and travel history more easily.
    CBP has completed an updated economic assessment analyzing the 
effects of the automation of the Form I-94. This rule affects CBP, air 
and sea carriers that transport foreign nationals to the United States, 
and the foreign nationals themselves. CBP will incur costs associated 
with linking its data systems and building and maintaining the I-94 Web 
site. CBP benefits through lower printing, storage, and contract costs. 
CBP estimated a net benefit of $15.5 million for CBP in 2013. Carriers 
benefit as a result of lower printing and storage costs. CBP estimated 
a net benefit of $1.3 million for carriers in 2013. Foreign nationals 
traveling to the United States incur opportunity costs associated with 
logging onto the Web site to access their electronic Form I-94, 
printing their Form I-94, and, for some travelers, the cost to drive to 
a location with internet access so they can access and print their 
electronic Form I-94. Foreign nationals benefit from a reduced 
opportunity cost associated with filling out a paper Form I-94 and 
reduced opportunity and fee costs associated with filing a Form I-102 
to replace a lost Form I-94. CBP estimates a net benefit of between 
$4141.1 million and $6565.9 million in 2013 for foreign travelers. In 
total, CBP estimates that net benefits to all parties ranged from 
$5757.9 million to $8282.7 million in 2013. Net benefits to U.S. 
entities (carriers and CBP) totaled $16.8 million in 2013. Net benefits 
are summarized in table ES-1 below.

                                                               Exhibit ES-1--Net Benefits
                                                                 [Undiscounted 2012$] *
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                                                               2012            2013            2014            2015            2016            2017
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CBP.....................................................      -1,321,000      15,461,360      15,461,360      15,461,360      16,167,798      20,447,110
Carriers................................................               0       1,344,450       1,344,450       1,344,450       1,344,450       1,344,450
Travelers--Low..........................................               0      41,109,614      76,986,391      80,597,880      85,173,424      93,439,507
Travelers--Primary......................................               0      51,503,032      96,140,493     100,696,430     106,131,707     115,548,989
Travelers--High.........................................               0      65,882,967     122,641,373     128,504,014     135,128,784     146,138,820
                                                         -----------------------------------------------------------------------------------------------
    Grand Total--Low....................................      -1,321,000      57,915,424      93,792,201      97,403,690     102,685,671     115,231,067
    Grand Total--Primary................................      -1,321,000      68,308,842     112,946,303     117,502,240     123,643,955     137,340,549
                                                         -----------------------------------------------------------------------------------------------
        Grand Total--High...............................      -1,321,000      82,688,777     139,447,183     145,309,824     152,641,032     167,930,380
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.


[[Page 91648]]

Background

The Form I-94

    Prior to the implementation of the IFR, the Form I-94 was generally 
issued to foreign nationals at ports of entry (POEs) at the time they 
lawfully enter the United States. See 8 CFR 235.1(h). The Form I-94 is 
also issued when a foreign national changes immigration status within 
the United States. The Form I-94 is used to document status in the 
United States, the authorized length of stay, and departure. The Form 
I-94 collects biographical information, visa and passport information, 
and the address and phone number where the traveler can be reached 
while in the United States.
    The Form I-94 has been used for approximately 50 years by DHS, its 
predecessor agencies, and external stakeholders for a variety of 
purposes. CBP and U.S. Immigration and Customs Enforcement (ICE), 
components of DHS, use the form to document arrival and departure, as 
well as class of admission or duration of parole. U.S. Citizenship and 
Immigration Services (USCIS), also a component of DHS, issues Forms I-
94 to foreign nationals extending their authorized length of stay or 
changing their immigration status while in the United States and to 
individuals granted asylum or refugee status in the United States as 
proof of their grant of asylum or refugee status. USCIS also uses Form 
I-94 information to verify lawful admission or parole when adjudicating 
immigration benefit requests, confirming employment authorization for 
employers participating in USCIS's E-Verify program, or verifying 
immigration status for benefit granting state and federal government 
agencies participating in USCIS's Systematic Alien Verification for 
Entitlements (SAVE) program. The Form I-94 is also used by the Social 
Security Administration (SSA), state agencies, such as Departments of 
Motor Vehicles (DMV), and public assistance agencies and organizations, 
to verify eligibility for benefits. The form is used by certain foreign 
nationals for evidence of lawful admission or parole, as well as, where 
applicable, employment eligibility and eligibility for public benefits. 
For more complete information on the Form I-94, its uses, and the 
automation, please refer to the background section of the IFR.

Automation of the Form I-94 at Airports and Seaports

    Nearly all of the traveler information collected on the Form I-94 
is also collected by CBP in advance of the traveler's arrival via the 
Advance Passenger Information System (APIS). Using information 
collected via APIS along with visa information transmitted to CBP by 
DOS, CBP is now able to generate Forms I-94 electronically, which 
reduces paperwork burdens for travelers and reduces costs for air and 
sea carriers and CBP.
    On March 27, 2013, CBP published an IFR in the Federal Register (78 
FR 18457) amending the DHS regulations to include new definitions at 8 
CFR 1.4 for the term ``Form I-94'' and other terms when used in 
relation to the Form I-94. The IFR became effective on April 26, 2013, 
and on that date, CBP began the transition to an automated Form I-94 
process whereby CBP creates an electronic Form I-94 for travelers 
arriving by air or sea based on the information in its databases. CBP 
continues to provide a paper Form I-94 to those who request such form, 
as well as to certain classes of aliens, such as asylees, certain 
parolees, and whenever CBP determines the issuance of a paper form is 
appropriate. For these individuals arriving by air and sea carriers, an 
electronic Form I-94 is also created.
    Travelers are able to access and print their electronic Form I-94 
via the Web site CBP has established for this purpose: www.cbp.gov/I94.\2\ Travelers to whom an electronic Form I-94 has been issued may 
log on to the Web site using identifying information and print a copy 
of the electronic Form I-94. In order to access the Form I-94 from the 
Web site, the traveler is required to enter information from his or her 
passport; thus, a third party without access to the traveler's passport 
is not able to access the Form I-94 from the Web site. The printout 
from the Web site is the equivalent of the departure portion of the 
paper form and contains the same information as the departure portion 
of the paper form. CBP continues to stamp the traveler's passport at 
the time of inspection and will annotate the stamp with the class of 
admission or parole and duration of admission or parole.
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    \2\ The direct link is: https://i94.cbp.dhs.gov/I94/request.html.
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Enhanced Form I-94 Land Border Process

    In addition to the automation of the Form I-94 at air and sea ports 
of entry, on September 29, 2016, CBP modified the process by which a 
traveler arriving at the land border can provide Form I-94 information 
and pay the related fee by adding an electronic option. Specifically, 
CBP enhanced the I-94 Web site to enable travelers arriving at a land 
port of entry to submit the Form I-94 information to CBP and pay the 
required fee prior to arrival. CBP expects that these enhancements will 
result in time savings to travelers who choose this option.
    Before September 29, 2016, when a traveler requiring a Form I-94 
arrived at the land border, he/she provided the I-94 information to a 
CBP officer who input the data into a CBP computer system. After 
determining the traveler's admissibility, the CBP officer printed a 
Form I-94A \3\ for the traveler and referred him/her to the cashier to 
pay the $6 fee.\4\
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    \3\ The Form I-94A is the version of the Form I-94 that CBP 
issues at land ports of entry.
    \4\ The amount of fee for the issuance of the Form I-94 at a 
land border port of entry is provided for in 8 CFR 
103.7(b)(1)(ii)(D).
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    Under the new process, a traveler who requires an I-94 and intends 
to enter the United States at a land port of entry will have the option 
to either follow the above process or to apply for an I-94 and pay the 
$6 fee up to seven days in advance of arrival. Using the I-94 Web site, 
the traveler enters all of the necessary data for I-94 processing that 
would be collected by CBP at the port of entry. Upon paying the fee, 
the traveler will receive a ``provisional I-94''. This ``provisional I-
94'' will become effective after the traveler presents it to a CBP 
officer at a land port of entry and completes the issuance process with 
a CBP officer. If the ``provisional I-94'' is not processed within 7 
days of submitting the application, it will expire and the fee will be 
forfeited.
    The I-94 Web site will instruct the traveler to appear at the land 
port of entry for an interview and biometric collection. When the 
traveler arrives at the port of entry, he/she completes the issuance 
process with a CBP officer. The CBP officer will locate the traveler's 
information by swiping the traveler's passport or other travel document 
in CBP's database. This will verify that the fee was paid and pre-
populate the data fields from the document swipe and the information 
provided by the traveler in the Web site. If the CBP officer determines 
that the traveler is admissible, the CBP officer will print out a Form 
I-94A to give to the traveler.

Discussion of Comments

Overview

    Although CBP promulgated the IFR without first soliciting public 
comment, CBP provided a thirty-day post-promulgation comment period 
soliciting public comments that CBP would consider before adopting the 
interim regulations as final. CBP received

[[Page 91649]]

eighteen submissions in response to the IFR. Commenters included 
individuals, the American Immigration Lawyers Association (AILA), the 
American Council on International Personnel (ACIP), the Society for 
Human Resource Management (SHRM), Feld Entertainment, Inc., the Intel 
Corporation, NAFSA: Association of International Educators (NAFSA), and 
the Airports Council International-North America (ACI-NA). Many 
commenters raised multiple issues, and several issues were raised by 
numerous commenters. Of the eighteen submissions, most included 
comments seeking clarification of specific issues, highlighting 
concerns or issues with the Form I-94 automation, or offering solutions 
to issues or alternatives. Several of the operational issues raised by 
commenters have already been addressed by CBP, which our responses 
reflect. CBP has grouped the issues by topic and provides responses 
below.

Benefits of Automation

    Comment: Many commenters were supportive of the change to an 
electronic Form I-94, saying that it will provide increased efficiency 
for passengers, airlines, and CBP. Commenters said that no longer 
requiring passengers to fill out the paper form on the plane while en 
route to the United States would not only save passengers time, but 
would also save air carriers time and money and would free up airline 
staff to perform other duties. Commenters also anticipated reduced wait 
times at the POEs, and increased officer efficiency.
    Response: CBP appreciates this feedback and agrees that the 
automation of the Form I-94 benefits the traveling public, air and sea 
carriers, and CBP.
    Comment: One commenter requested that the Form I-94 be automated 
for the land ports as well as air and sea, as this will help reduce 
wait times and improve commerce at the land border.
    Response: CBP agrees that automating the Form I-94 at land POEs 
would provide benefits to travelers and is exploring expanding 
automation to include land border POEs. However, the electronic Form I-
94 relies in large part on information collected via APIS, and APIS 
data is currently collected only for air and sea. Therefore, CBP cannot 
fully automate the Form I-94 process at land border POE's at this time. 
CBP's enhanced Form I-94 land border process, however, is expected to 
increase the efficiency of the entry process and reduce administrative 
duties for CBP officers, ultimately resulting in shorter wait times for 
travelers requiring a Form I-94.

Regulatory Amendments

    Comment: One commenter requested that the Form I-94 printout from 
the I-94 Web site be added to the list of evidence of registration for 
purposes of Immigration and Nationality Act (INA) section 264(e).
    Response: The list of acceptable registration documents for 
purposes of INA 264(e) is found in 8 CFR 264.1(b). The Form I-94, 
Arrival-Departure Record, is already included in the list of evidence 
of registration in 8 CFR 264.1(b). The IFR added a new provision to the 
regulations to define ``Form I-94'' and related terms. The new 
definition makes clear that the Form I-94 now includes information 
collected electronically, and also defines ``original Form I-94'' to 
include the printout from the I-94 Web site. Due to the new definition 
provided for the Form I-94, CBP believes it is clear that the printout 
constitutes evidence of registration and no further change is needed.
    Comment: One commenter requested that the definition of ``original 
document'' in 8 CFR 274a.2(b)(1)(v) be amended to include a Form I-94 
printout.
    Response: CBP believes that the definition of ``original Form I-
94'' included in the IFR accomplishes the desired result, and, 
therefore, it is not necessary to amend 8 CFR 274a.2(b)(1)(v). That 
definition provides that the term `original Form I-94' includes, but is 
not limited to, any printout or electronic transmission of information 
from DHS systems containing the electronic record of admission or 
arrival/departure. See 8 CFR 1.4(d). 8 CFR 274a.2 concerns the Form I-
9, which is a USCIS form. USCIS agrees that a printout of the Form I-94 
from the Web site constitutes an ``original document'' under this 
regulation.
    Comment: One commenter, NAFSA, requested that paragraph (e) of 
section 1.4 be amended to add ``or electronic transmission'' after the 
word ``printout.'' The commenter states that the revision would clarify 
that a traveler may present an electronic version of the Form I-94, 
such as a PDF or image scan.
    Response: CBP believes that such amendment is unnecessary and could 
cause confusion as to what can be presented or submitted in various 
situations. For example, at this time, a printout of the Form I-94 is 
still necessary in a number of situations, including the completion of 
the USCIS Form I-9. However, the current definition specifically states 
that the terms in question ``are not limited to'' providing a printout, 
and thus, could be applied more broadly as appropriate by stakeholders. 
Although CBP is hopeful that the Form I-94 in electronic form will be 
accepted in the future by all stakeholders to whom these regulations 
apply and that a printout will not always be required, that is not the 
case now.

Administrative Procedure Act

    Comment: One commenter, Feld Entertainment, Inc., disagreed that 
the rulemaking is procedural. The commenter states that because the 
rule was promulgated without prior notice and comment, it violates the 
Administrative Procedure Act (APA). The commenter was also concerned 
that the comments received in response to the IFR would be disregarded.
    Response: The IFR enabled CBP to transition to an automated process 
whereby CBP creates a Form I-94 in an electronic format. CBP has not 
changed the substantive regulations relating to the Form I-94, but only 
the operational means by which CBP issues the form. Thus, the rule is a 
procedural rule exempt from prior notice-and-comment requirements under 
the APA. CBP already has adopted a number of the commenters' 
operational suggestions, which are described in many of the responses 
below. Many of the commenters' questions have been addressed on the 
FAQs page of the I-94 Web site for easy reference.

Web Site and Printouts

    Comment: One commenter noted that the Web site option is helpful 
for those who lose or misplace their Forms I-94, or when the paper form 
becomes so worn that it is no longer accepted by agencies.
    Response: CBP appreciates this feedback, and agrees that the Web 
site makes it easier for travelers to obtain copies of their Forms I-94 
when necessary. Since the implementation of the Form I-94 automation, 
CBP has expanded the Web site to provide additional benefits, including 
allowing nonimmigrants to access their five-year travel history.
    Comment: A few commenters requested that the Web site be updated to 
reflect changes in status granted by USCIS. Commenters said that, if 
this is done, nonimmigrants who have had a change of status will not 
have to file a Form I-102 for a replacement Form I-94 if needed.
    Response: CBP agrees that providing this information through the 
Web site would be helpful and would reduce the number of Forms I-102 
that would be filed. The Form I-102 is the USCIS form

[[Page 91650]]

nonimmigrants use to apply for a new or replacement Form I-94. Adding 
information about changes of status granted by USCIS to the Web site is 
not currently possible. However, CBP is looking into whether USCIS 
information can be reliably added to the Web site in the future. Any 
updates on this issue will be included in the FAQs page of the I-94 Web 
site.
    Comment: A few commenters, including AILA, disagreed with the 
assumption in the economic analysis that B-1/B-2 visa holders would not 
access the Web site. Commenters said that these visa holders, 
especially those in the United States for at least six months, would 
have reason to obtain their Form I-94 records or may wish to obtain a 
record of their admission for future use.
    Response: CBP agrees that some B-1/B-2 visa holders, including 
those who are given a year to stay as a B-1/B-2 visa holder, may have a 
need to access the I-94 Web site. Accordingly, CBP has revised the 
assumption in the economic analysis. Based on Web site query history 
since the interim rule went into effect, we now assume that one percent 
of B-1/B-2 visa holders will access the I-94 Web site. In addition, CBP 
agrees that some travelers may wish to obtain a record of their 
admission for future use. CBP has made changes to the I-94 Web site to 
allow travelers to access their most recent Form I-94 record as well as 
a five-year travel history. This can now be accessed by travelers who 
have already left the United States in addition to those present in the 
United States.
    Comment: Some commenters noted that CBP is assuming all travelers 
will have access to a printer. The commenters stated that it is not as 
easy as CBP assumes for a foreign national to access public libraries 
soon after arrival in the United States. They would have to learn that 
public libraries offer internet, that one can print from them, that 
there is a library nearby, that public transportation is available, how 
to navigate public transportation, and explain what library resources 
are needed.
    One commenter, the Intel Corporation, was concerned that employees 
would not be able to access the Web site before they must start work in 
the United States, which is problematic because the Form I-94 is 
required to complete the Form I-9. The commenter stated that it has a 
company policy to complete the Form I-9 during new employee 
orientation, which requires the employee to have his or her Form I-94 
in hand. The company does not allow new hires access to company 
computers until after the new employee orientation, and due to data 
privacy protection protocol, the company cannot allow employees to 
access Personally Identifiable Information (PII) on a computer assigned 
to someone else. The commenter suggests CBP provide a way for the 
employer to access the new hire's Form I-94 number directly.
    Several commenters suggested that CBP print a copy of the departure 
portion for the traveler and include instructions on how to print more 
copies, or alternatively, that CBP provide kiosks at the airports where 
foreign nationals can inspect and print the Form I-94.
    Response: CBP recognizes that access to the internet and printers 
is a barrier to many travelers who need their electronic Form I-94, 
including those who need to present their Form I-94 when completing the 
Form I-9. For this reason employers, or third parties, may access Form 
I-94 records when consent is obtained from the record holder. For more 
information on third party consent visit: https://i94.cbp.dhs.gov/I94/request.html.
    In the regulatory assessment for the interim final rule, CBP 
discussed the difficulties some foreign nationals face when they need 
to access the I-94 Web site to print their electronic Form I-94. The 
analysis estimated that approximately 1,028,876 travelers would need to 
drive 20 miles and that it would take 60 minutes of a traveler's time 
to access and print their electronic Form I-94. CBP estimated that this 
cost aliens about $21 million in 2013. We have updated these estimates 
for this final rule in the economic assessment. For more information, 
see the below section entitled Executive Order 12866 (Regulatory 
Planning and Review) and Executive Order 13563 (Improving Regulation 
and Regulatory Review). CBP now estimates that it cost $17 million in 
2014 (the first full year the rule is in effect). CBP acknowledges that 
this represents a significant negative impact to these travelers and 
strives to minimize this burden to the extent possible. To that end, 
CBP continues to provide paper Forms I-94 upon request when the 
individual arrives in the United States at the port's secondary 
inspection station and at Deferred Inspection Sites (DISs) once the 
traveler is in the United States.
    CBP recognizes the potential usefulness of placing kiosks at ports 
where foreign nationals could inspect and print their Forms I-94 and 
has evaluated the merits of placing such kiosks at the busiest 20 
airports and the busiest 20 seaports. Based on this analysis, for 
travelers' benefits to exceed the kiosks costs, greater than one 
percent of the subset of travelers who would otherwise need to travel 
to access and print their electronic Form I-94 would instead need to 
use a kiosk. Based on the few travelers who currently request paper 
Forms I-94, CBP does not believe there are enough foreign nationals who 
would take advantage of the kiosks to offset CBP's costs of installing 
them. In addition, due to budget constraints, CBP does not have the 
funds to acquire these kiosks at this time. See the Regulatory 
Alternatives section of the economic assessment below for more 
information.
    Comment: One commenter had concerns about what a traveler would do 
if he or she loses his or her passport and cannot access the necessary 
information to retrieve the Form I-94 from the Web site.
    Response: CBP believes that making the Form I-94 available on the 
Web site will not put travelers who lose their passports in a worse 
position than they were in prior to the automation of the Form I-94. 
Paper Forms I-94 were typically stored or stapled into a traveler's 
passport; thus, prior to automation, loss of a passport would have 
required the traveler to obtain a new Form I-94 as well. With 
automation, if the traveler loses his or her passport, but has the 
passport information documented elsewhere, he or she will be able to 
obtain the Form I-94 from the Web site. CBP has made various updates to 
the I-94 Web site to address some of the comments. One of these updates 
is that a traveler no longer needs to enter the date and class of 
admission, which will make accessing the Form I-94 record easier for 
travelers.
    Comment: Many commenters encouraged CBP to make archival records of 
Form I-94 records available indefinitely, as this will reduce the 
administrative burden placed on CBP to respond to Freedom of 
Information Act (FOIA) requests.
    Response: CBP has made changes to the I-94 Web site to allow 
travelers to access their most recent Form I-94 record, even if the 
traveler has already departed the United States. Although CBP is not 
able to make the Form I-94 records available on the Web site 
indefinitely, CBP has updated the Web site so that Form I-94 records 
are available dating back five years. The Web site also now allows 
travelers to request their five-year U.S. border crossing history. 
Travelers frequently request their five-year travel history from DHS, 
as this history is often required when they apply for certain benefits. 
CBP agrees that providing this information through the Web site will

[[Page 91651]]

help reduce FOIA requests regarding travel history. More details about 
the benefits CBP anticipates from this change can be found in the 
economic assessment below, entitled ``Executive Order 12866 (Regulatory 
Planning and Review) and Executive Order 13563 (Improving Regulation 
and Regulatory Review).''
    Comment: One commenter asked whether nonimmigrants who received 
paper Forms I-94 would be able to get replacements from the Web site.
    Response: The Web site now provides access to Forms I-94 issued up 
to five years prior to the query date. Currently, nonimmigrants who 
have received paper Forms I-94 since 2009 are able to access their Form 
I-94 information via the Web site.
    Comment: Several commenters were concerned that foreign nationals 
may not be able to access their records on the Web site due to 
typographical or biographical errors that occur during the creation of 
the electronic Form I-94 record. In particular, a few commenters noted 
that information is frequently entered incorrectly on visas, especially 
incorrect name spellings. Information drawn from visas would then be 
incorrect, and travelers would not be successful when querying their 
Form I-94 record.
    Response: Most of the biographical information CBP uses in creating 
the electronic Form I-94 is drawn from the traveler's passport. The 
only information drawn from the visa for the Form I-94 is the visa 
classification and issuance date. The exact format of the name used in 
the electronic Form I-94 is found in the Machine Readable Zone (MRZ) of 
the passport, found at the bottom of the biographical page of the 
passport. A traveler having trouble finding his or her Form I-94 record 
should look at the way his or her name is formatted in the passport 
MRZ. The MRZ shows the traveler's name immediately following the three 
letter country code, as last/surname and given name separated by 
chevrons (<<<<). A traveler should not include the country code when 
querying his or her Form I-94 record. The MRZ does not use punctuation 
such as hyphens or apostrophes. In some cases, a traveler's name might 
be truncated in the MRZ; in such cases, the traveler should query the 
truncated version of the name. CBP has included guidance on this issue 
on the FAQs page of the I-94 Web site, along with an example passport 
page for reference.
    Comment: A few commenters requested that CBP ensure that the Web 
site is accessible on a variety of platforms and browsers, including 
mobile devices. Commenters also requested that both www.cbp.gov/I-94 
and www.cbp.gov/I-94 [note the hyphen in I-94] direct users to the 
proper Web site.
    Response: Although CBP does not have the resources to conduct 
testing on multiple platforms, CBP has not received any feedback 
concerning a lack of functionality on any platform. Due to updates that 
CBP has made to www.cbp.gov as a whole, the full address for the Form 
I-94 retrieval Web site is now: https://i94.cbp.dhs.gov/I-94/request.html. Both web addresses www.cbp.gov/I-94 and www.cbp.gov/I-94 
direct users to a Web site with information about the Form I-94, and 
includes a link to the Form I-94 retrieval page.
    Comment: Several commenters, including AILA, ACIP, SHRM, and Feld 
Entertainment, suggested adding an endorsement or other information on 
the printout to help educate those stakeholders who are not accustomed 
to seeing Form I-94 printouts from the Web site, and might be reluctant 
to accept the printout. Some commenters also suggested including a 
phone number or email address on the printout.
    Response: CBP agrees that additional language on the printout would 
help educate stakeholders, and has added language to the printout 
indicating that the Form I-94 has now been automated for most 
nonimmigrants. While CBP has decided not to add a phone number or email 
to the printout, there is a link on the I-94 retrieval Web site that 
directs users to the CBP help desk.
    Comment: A few commenters stated that it was unclear how CBP would 
prevent fraudulent printouts.
    Response: CBP does not believe that the printout creates a greater 
risk of fraud than the paper Forms I-94, which did not contain any 
security features. CBP continues to encourage stakeholders to verify a 
traveler's information through SAVE or E-Verify, when registered or 
enrolled, respectively, in these services, and only as authorized.
    The SAVE program is a USCIS service that helps federal, state, and 
local benefit-issuing agencies, institutions, and licensing agencies 
determine the immigration status of benefit applicants so only those 
entitled to benefits receive them. More information on SAVE can be 
found at: http://www.uscis.gov/save.
    E-Verify is a web-based system that allows businesses to confirm 
the eligibility of their employees to work in the United States. More 
information on E-Verify can be found at: http://www.uscis.gov/e-verify.
    Comment: A few commenters had privacy concerns related to the Web 
site. One commenter was concerned that CBP will automatically collect 
information on those persons attempting to access the Form I-94 
information from the Web site. Another commenter was concerned that the 
personal information available on the Web site could be accessed by 
unauthorized parties, which put refugees or those seeking asylum in the 
United States at risk.
    Response: DHS/CBP has issued a Privacy Impact Assessment (PIA), 
which describes the I-94 Web site, and posted it online at: https://www.dhs.gov/sites/default/files/publications/privacy/PIAs/pia-cbp-16-I-94-automation-20130227.pdf. DHS/CBP has also updated and reissued the 
System of Records Notice (SORN) for the Nonimmigrant and Immigrant 
Information System (NIIS) at 80 FR 13398, a system for maintaining the 
arrival and departure records of nonimmigrants, and for APIS at 80 FR 
13407. CBP is in the process of updating the PIA, which will discuss 
how the I-94 Web site will retain information about attempts to access 
the I-94 Web site (i.e. the search history) for only three months and 
as part of the Web site's audit log. The search history, as part of the 
audit log, is part of the Web site's infrastructure. The audit log is 
only maintained in the Web site's infrastructure, and the search 
history is retained for only three months, to reduce the risk of 
improper use or disclosure of the search history. The benefits of 
keeping an audit log of searches conducted on the I-94 Web site include 
preventing improper and unauthorized use of the Web site, and holding 
accountable anyone who uses the I-94 Web site improperly or without 
authorization.
    CBP believes that the benefits of having an audit log outweigh the 
small and limited risks of improper use and disclosure of search 
histories. The log of search histories allows CBP to conduct audits and 
uncover when an unauthorized party is attempting to obtain information 
from the I-94 Web site. For example, if a single access point conducts 
multiple searches for different individuals, CBP will investigate 
whether someone or something is conducting searches without the 
travelers' consent. CBP has included a new security consent page to the 
Form I-94 retrieval Web site that users must read and accept before 
querying an Form I-94 record. The security page requires users to 
affirm that they are authorized to obtain that traveler's history, and 
to understand

[[Page 91652]]

that unauthorized or improper use could result in criminal and civil 
penalties. With respect to information pertaining to persons whose 
asylee status is prohibited from public disclosure pursuant to 8 CFR 
208.6, CBP is taking the added precaution of requiring asylees to 
manually submit verifiable identity information before they may access 
their Form I-94 information. Asylees will continue to receive a paper 
Form I-94. Refugees and certain parolees may access their Form I-94 via 
the Web site.

Automatic Revalidation

    Comment: Numerous commenters were concerned about how the 
automation of the Form I-94 would affect automatic revalidation.\5\ 
Commenters noted that nonimmigrants seeking to use the automatic 
revalidation provisions will have to demonstrate to carriers that they 
are legally allowed to board the plane or vessel with an expired visa 
and a passport stamp that reflects a change or extension of status. 
Thus, commenters encourage CBP to require air and sea carriers to 
provide instructions to their personnel regarding the documentation for 
such persons.
---------------------------------------------------------------------------

    \5\ Automatic revalidation allows certain persons to seek 
readmission to the United States for the duration of an unexpired 
period of a previous admission. Pursuant to 8 CFR 214.1 and 22 CFR 
41.112, automatic revalidation allows readmittance of certain aliens 
who have been out of the United States for thirty days or less in a 
contiguous territory and who have an unexpired nonimmigrant visa.
---------------------------------------------------------------------------

    Specifically, commenters suggested that CBP officers would need to 
override a nonimmigrant's automated departure record when a 
nonimmigrant seeks readmission under 22 CFR 41.112(d). Commenters also 
recommended that CBP emphasize in training that CBP officers will be 
expected to reactivate previously closed Form I-94 records for 
automatic revalidation.
    Commenters were concerned that admission errors are common in 
automatic revalidation and that nonimmigrants without a paper Form I-94 
may experience challenges during the inspection process. Commenters 
additionally noted that for nonimmigrants to print Forms I-94 to retain 
in the event they go to Canada or Mexico and wish to use the automatic 
revalidation provisions upon return to the United States would be very 
burdensome on those with limited internet and printing capabilities.
    Response: The IFR expanded the definition of a Form I-94 to include 
electronic means. It did not change the requirements for the issuance 
and use of the Form I-94. Automatic revalidation requirements are 
outlined in 8 CFR 214.1(b) and 22 CFR 41.112(d). Under the automatic 
revalidation provisions, certain temporary visitors holding expired 
nonimmigrant visas who seek to return to the United States may be 
admitted at a U.S. port of entry by CBP if they meet certain 
requirements including, but not limited to certain nonimmigrants with a 
valid, unexpired admission stamp on the Form I-94 or an electronic Form 
I-94. CBP maintains the electronic Form I-94 record in CBP systems and 
will use the electronic format to revalidate a previous, unexpired 
admission or extension of stay if all other revalidation requirements 
are met.
    CBP has provided guidance to CBP officers at POEs regarding 
automatic revalidation. The primary processing system allows a CBP 
officer to re-use an existing Form I-94 when automatic revalidation 
requirements are met. CBP has also conducted outreach with the travel 
industry about the new documentary requirements. CBP has updated the 
Carrier Information Guide to assist carriers in recognizing acceptable 
documents and to ensure that carriers are informed of the Form I-94 
automation. The Carrier Information Guide now includes an example of 
the electronic Form I-94 Web site printout and guidance to carriers on 
automatic revalidation.
    An air carrier or vessel may require evidence of an unexpired 
admission by a traveler prior to embarkation. The Form I-94 Web site 
printout is evidence of that admission and can be presented to a 
carrier if requested. CBP has made changes to the I-94 Web site to 
allow travelers to access their Form I-94 records after departure. This 
allows travelers who have already departed the United States, but who 
may need the printout for automatic revalidation purposes to obtain the 
printout to present to a carrier.
    CBP has included guidance on automatic revalidation in the FAQs on 
the I-94 Web site.

Departure

    Comment: Some commenters stated that it was unclear what procedures 
were to be followed at the time of departure. Commenters were 
particularly concerned about the procedures that should be followed in 
the case of a nonimmigrant arriving by air or sea but departing by 
land. The commenters were concerned that CBP's database would record 
the arrival information, but would not record the departure, which 
could create difficulties for nonimmigrants seeking to travel to the 
United States in the future. Commenters wanted to know whether 
nonimmigrants departing by land have any affirmative duties to ensure 
that departures by land are recorded correctly.
    Response: CBP has added information concerning departure by land to 
the FAQs page of the I-94 Web site. CBP and the Canadian Border 
Services Agency (CBSA) have partnered to create an entry/exit system 
that exchanges entry information at land border ports of entry for 
certain individuals. Information collected on entry to one country is 
shared in order to electronically record as exit from the other. Thus, 
entry into Canada from the United States now creates a departure record 
for the United States.
    CBP does not currently have a system for automatically recording 
departures by land to Mexico. If a traveler departs the United States 
by land to Mexico, the traveler may wish to retain evidence of 
departure to Mexico. Evidence of departure can include, but is not 
limited to, entry stamps in a passport, transportation tickets, pay 
stubs and/or other receipts. A traveler can request an entry stamp from 
the Instituto Nacional de Migraci[oacute]n (INM) when entering Mexico. 
CBP is not, however, placing any affirmative duty on the travelers to 
carry such evidence.
    Travelers departing the United States by air or sea will have their 
departures recorded automatically when the air or sea carrier sends CBP 
departure manifests.
    Comment: One commenter was concerned that airlines do not always 
timely update their departure manifests when travelers cancel and 
rebook flights. Where CBP relies on carrier data, CBP might document 
inaccurate departure data, which could result in denial of benefits. 
The traveler would have no means to seek redress.
    Response: APIS reports whether a person is ``on board'' or ``not on 
board'' in order to accurately reflect changes in reservations. CBP 
relies on confirmed departure information, and has updated the I-94 Web 
site to ensure that only confirmed departures are reflected. DHS is 
able to independently verify departures through DHS law enforcement 
databases, and overstay records are reviewed before any adverse action 
is taken.\6\
---------------------------------------------------------------------------

    \6\ According to confirmation studies conducted by CBP and 
outside studies conducted by contractors and GAO, CBP estimates that 
99% of APIS departure data is accurate. CBP also confirms departure 
data independently by using information travelers send from outside 
the U.S., visa information from the State Department, or subsequent 
arrival data.

---------------------------------------------------------------------------

[[Page 91653]]

    The DHS TRIP program is an established means for a traveler to 
inquire to seek resolution to any difficulties experienced during 
travel into or departure from the United States. A traveler can submit 
evidence of a timely departure in DHS TRIP. If a traveler believes that 
CBP maintains incorrect departure information, the traveler can apply 
for redress at http://www.dhs.gov/dhs-trip.

Visa Classification

    Comment: A number of commenters requested clarification on how visa 
classification data will populate an automated Form I-94 when a 
nonimmigrant has more than one visa.
    Response: CBP receives visa information from DOS. There may be 
instances where a traveler has multiple eligible visa classifications. 
In these cases, the CBP officer determines at the time of entry which 
visa classification the traveler qualifies for and admits the traveler 
under that class of admission. The electronic Form I-94 record will 
reflect the class of admission chosen by the CBP officer at the time of 
entry. This process is substantially the same as the process followed 
during issuance of a paper Form I-94.
    Comment: Commenters asked how nonimmigrants seeking to enter the 
United States from Visa Waiver Program (VWP) countries would be handled 
in view of the Form I-94 automation.
    Response: Travelers entering the United States under the VWP used 
to receive a Form I-94W, which is different than the Form I-94. The 
Form I-94W was automated by the Electronic System for Traveler 
Authorization (ESTA) in August 2010. VWP visitors no longer receive a 
Form I-94W when arriving in the United States by air or sea, but rather 
must apply for and receive an ESTA prior to travel to the United 
States. For further information about ESTA, see 8 CFR 217.5 and 
www.cbp.gov/esta/. Upon arrival in the United States, VWP visitors 
receive an annotated stamp in their passports. This process is not 
affected by the automation of the Form I-94.

Errors and CBP Officer Training

    Comment: A few commenters were concerned that frequently there are 
errors in admission records due to CBP officer error or misapplication 
of periods of stay for the various nonimmigrant visa categories. 
Commenters believe that more training is necessary for CBP officers on 
visa categories, automatic revalidation, and creation of the automated 
Form I-94.
    Response: CBP officers are trained in all aspects of the inspection 
process. CBP conducts ongoing training in the form of field guidance, 
musters, on-the-job training, and online training modules. CBP has 
provided field guidance and musters to CBP officers at the Ports of 
Entry (POEs) regarding the Form I-94 automation process. CBP has issued 
additional guidance to CBP officers to help the officers properly 
create the electronic Form I-94. CBP continues to instruct officers to 
verify information and make any needed corrections prior to creating 
the electronic Form I-94.
    Comment: Some commenters were concerned that the regulations do not 
require CBP to stamp the passport, and state that CBP does not 
currently stamp passports consistently. Thus, there is no way for some 
travelers to review their admission information at the time of entry.
    Response: It is CBP's policy to stamp the passport of visitors to 
the United States, or provide them a receipt, as in the case of Global 
Entry members.\7\ CBP has provided extensive guidance and training to 
CBP officers at POEs regarding the documentation of a lawful admission 
into the United States with a CBP admission stamp. CBP will continue to 
provide guidance and training to CBP officers at the POEs to ensure 
that officers are stamping passports consistently. CBP notes, however, 
that a traveler will be able to find his or her admission record on the 
I-94 retrieval Web site regardless of whether the passport contains an 
admission stamp.
---------------------------------------------------------------------------

    \7\ Nonimmigrant Global Entry members receive a printed Form I-
94 from the Global Entry kiosk, and can also retrieve the Form I-94 
from the I-94 Web site.
---------------------------------------------------------------------------

    Comment: Some commenters noted that variations on naming 
conventions and other data occur in travel documents and records. These 
commenters stated that there are often variations due to inconsistent 
rules for transliterating non-Latin alphabets, and inconsistent rules 
for non-standard characters or naming conventions. The systems must be 
configured so that travelers are not harmed by variations in names and 
systems. Commenters prefer that CBP use information from the 
biographical page of the passport rather than information from the 
visa, as the visa name is often incorrect. The commenters indicated 
that DOS naming conventions are often not compatible with the 
conventions of other agencies. In particular, the First Name Unknown 
(FNU) or Last Name Unknown (LNU) designations create problems for 
nonimmigrants when the U.S. visa is used as the primary source for an 
official name.
    Response: CBP has met with USCIS, DOS, and representatives from 
ICE's Student and Exchange Visitor Program (SEVP) to discuss naming 
conventions and to attempt to resolve inconsistencies. Currently, CBP 
creates the Form I-94 admission record using the name found in the MRZ 
of the passport, not the visa. APIS and CBP use standard International 
Civil Aviation Organization (ICAO) naming conventions. CBP will use FNU 
or LNU only when a traveler does not have both a given and surname.
    Comment: A few commenters suggested that CBP establish additional 
resources to help address questions and correct errors. Specific 
suggestions included creating an ombudsman for the electronic Form I-
94, creating a Web site with guidance, and establishing dedicated help 
lines and email addresses for use by travelers, employers, and other 
government agencies. Commenters were concerned that there was not a 
mechanism established for correcting errors in the electronic records 
and no access to the Web site at the time of entry into the United 
States.
    Response: Although CBP does not have the resources to create a 
dedicated helpline or ombudsman, CBP has included additional guidance 
on the I-94 Web site under the FAQs tab. Travelers can check the 
passport admission stamp obtained at the time of entry into the United 
States to verify the correct date and class of admission, and ask the 
CBP officer to make corrections if needed.
    CBP will correct any errors in Form I-94 records that originated 
with CBP at CBP's Deferred Inspection Sites (DISs). DISs, located at 
most major airports, will provide assistance to travelers requiring 
Form I-94 corrections or modifications. In many cases, corrections can 
be completed through a telephone call to a DIS. However, in some cases, 
the traveler may be required to appear in person in order to verify 
identity or to provide additional documentation to CBP. CBP has 
provided guidance and training to the CBP officers at the DISs about 
Form I-94 corrections. A list of all DISs can be found at http://www.cbp.gov/document/forms/deferred-inspection-sites.
    Travelers may also visit the CBP INFO Center at https://help.cbp.gov for assistance. The INFO Center has staff dedicated to 
responding to Form I-94 issues. CBP has included a link to the CBP INFO 
Center on the Form I-94 retrieval Web site.

[[Page 91654]]

Coordination With Other Agencies

    Comment: Some commenters complained of disparate guidance from 
various government agencies concerning the automated Form I-94. For 
example, some commenters stated that the SSA published guidance 
indicating that either an unexpired admission stamp or a printout from 
the Form I-94 Web site will be accepted as proof of nonimmigrant 
status. USCIS, however, has published guidance on its Web site stating 
that USCIS and state DMVs will require a printout of the Form I-94. 
Further, one commenter noted that at least one DMV office still 
required a stamp on the Form I-94 and had not heard of the change to 
the automated Form I-94.
    Response: CBP has conducted extensive outreach to other agencies 
and to DMVs regarding the automation of the Form I-94. The requirements 
of various federal and state agencies may differ for practical or legal 
reasons, resulting in some agencies being able to accept the admission 
stamp while others may still require a printout of the Form I-94. Per 
commenters' suggestions, CBP has added the following language on the 
Form I-94 printout to aid in educating stakeholders not familiar with 
the electronic Form I-94:

    Effective April 26, 2013, DHS began automating the admission 
process. An alien lawfully admitted or paroled into the United 
States is no longer required to be in possession of a preprinted 
Form I-94. A record of admission printed from the CBP Web site 
constitutes a lawful record of admission. See 8 CFR 1.4(d).

    Comment: Some commenters had particular concerns about completing 
USCIS's Form I-9, as that form requests the Form I-94 number. 
Commenters suggested that either the period of admission or the 
passport number and country of issuance serve as the required data 
fields on the Form I-9. Otherwise, workers without internet access will 
have trouble completing the Form I-9.
    Response: USCIS, the owner of the Form I-9 (Employment Eligibility 
Verification), is reviewing its forms and applicable regulations and 
policies, but at this time, it is not able to change the required 
information on Section 1 of the Form I-9. For completion of Section 2 
of Form I-9, employees who are aliens authorized for employment with a 
specific employer incident to their nonimmigrant status may choose to 
present their foreign passport together with Form I-94 in paper format 
(which includes a printout from the Web site); admission stamps are not 
acceptable for Form I-9 purposes. Refugees and asylees may also choose 
to present Forms I-94 for completion of Section 2 and Section 3 of the 
Form I-9, although they also have the option to present other documents 
instead. Refugees may choose to present a Form I-94 printout or a paper 
Form I-94 with a refugee stamp as an acceptable receipt for Form I-9 
purposes that does not need to be paired with any other document. 
Asylees who wish to show a Form I-94 may present their paper Form I-94 
as a List C document in combination with a valid List B document.
    Comment: A few commenters, including AILA and the Intel 
Corporation, were concerned that inconsistent rules regarding when a 
Form I-94 printout is acceptable will materially affect foreign 
nationals' access to employment and benefits, such as Social Security 
cards, driver's licenses and extensions or changes of nonimmigrant 
status. Commenters also said that inconsistent rules could adversely 
affect U.S. businesses; for example, if DHS continues to require 
printouts bearing an admission number, employers could be fined by DHS 
for failure to record this number on the Form I-9. A delay or grace 
period in any enforcement actions related to the I-9 regarding the 
entry of admission numbers is encouraged.
    Response: The requirements to record document numbers on Section 2 
of the Form I-9 have not changed. DHS regulations require employers to 
record the necessary information from documents the employee presents 
to complete Form I-9 within three days from the date of hire. Section 1 
of Form I-9 requires employees who attest to being aliens authorized to 
work in the United States to record either their alien number (or USCIS 
number) or Form I-94 admission number. Section 1 of Form I-9 must be 
completed by the employee at the time of hire (i.e., first day of work 
for pay). The Form I-94 number can be found on the Form I-94 printout; 
there is no requirement that the number must come from the Form I-94 
itself. The timing requirements for Form I-9 completion are regulatory. 
DHS may provide more flexibility in the timing requirements in a future 
rulemaking.
    Employees are still required to present documents of their choice 
from the Lists of Acceptable Documents specified in the Form I-9 to 
show identity and employment authorization on Form I-9. To satisfy 8 
CFR 274a.2, original documents must be presented to employers, which 
employers must examine to make a determination regarding whether the 
documents appear to be genuine and to reasonably relate to the person 
presenting them. According to USCIS, which issues the Form I-9, if an 
employee chooses to present a Form I-94 along with their foreign 
passport to show identity and employment authorization in Section 2 of 
the Form I-9, he or she will need to present to his or her employer a 
Form I-94 in paper format, which includes a Form I-94 printed out from 
the CBP Web site. If an employee provides the Form I-94 he or she 
obtained from the CBP Web site with his or her foreign passport as a 
List A document, the employer should accept these documents if they 
appear to be genuine and reasonably relate to the person presenting 
them. Form I-9 rules permit employees to present certain receipts in 
lieu of the original document(s): 1. A receipt for a replacement of a 
lost, stolen, or damaged document; 2. the arrival portion of the Form 
I-94 or Form I-94A containing a Temporary I-551 stamp and photograph; 
and 3. the departure portion of Form I-94 or I-94A with an unexpired 
refugee admission stamp. 8 CFR 274a.2(b). USCIS has determined that a 
Form I-94 printed out from the CBP Web site by a refugee is acceptable 
for Form I-9 purposes without an unexpired refugee admission stamp as 
long as the printout provides the class of admission as ``RE'' and 
duration of admission as ``D/S [duration of status].''
    In the benefits-granting context, DHS will continue its outreach to 
other federal, State, and local agencies to indicate that when a Form 
I-94 is required as proof of valid admission to the United States, a 
Form I-94 in either paper or print-out format is acceptable.
    Comment: Commenters encouraged CBP to continue education outreach 
to agencies, employers, and other stakeholders that might remain 
unaware of the change to electronic Forms I-94. Commenters specifically 
urged education to improve access to and use of DHS verification tools, 
such as SAVE and E-Verify.
    Response: CBP has conducted extensive outreach to local, state, and 
federal agencies, scholarly organizations, and other non-governmental 
entities both before and after automation. CBP involved all DHS 
components, DOS, SSA, and the Department of Commerce in the automation 
process through working groups. CBP in conjunction with USCIS provided 
guidance and support to all major DMVs that participate in the SAVE 
program. CBP coordinated with NAFSA and other student organizations to 
inform academic institutions. CBP has met with the U.S. Chamber of 
Commerce, the travel and tourism

[[Page 91655]]

industry, refugee and asylum groups, local law enforcement 
representatives, and other interested organizations during planning and 
development of the electronic Form I-94.
    Employers seeking employment eligibility verification can do so 
through the E-Verify program offered by USCIS. Government agencies have 
access to status verification or other inquiries through a variety of 
sources, including law enforcement channels and the SAVE program 
offered by USCIS.

SEVIS

    Comment: One commenter, NAFSA, suggested that CBP should include 
the SEVIS number in the electronic Form I-94 record for nonimmigrants 
who are monitored through SEVIS. The commenter stated that this would 
further DHS's fulfillment of its responsibility to notify educational 
institutions and exchange program sponsors that the student has been 
properly admitted into the United States. The commenter noted that CBP 
officers often write the SEVIS number on the paper Form I-94 of F and M 
students and J exchange visitors, and that this notation is used by 
Designated School Officials and Responsible Officers to ensure that the 
POE information is associated with the correct SEVIS record.
    Another commenter asked how the admission record will be tied to 
the proper SEVIS number, if a student has more than one SEVIS record. 
The commenter stated that this is of particular concern because CBP is 
no longer stamping the Form I-20 or DS-2019 upon entry in the United 
States, and there is no way that the student can make sure the correct 
SEVIS I-20 is getting mapped to the admission number.
    Response: The Student and Exchange Visitor Information System 
(SEVIS) is utilized to track and monitor schools, exchange visitor 
programs, and F, M and J nonimmigrants while they visit the United 
States and participate in the U.S. education system. The SEVIS number 
is the number generated when a Form I-20 or Form DS-2019 is issued to 
an individual to participate in a specific educational or cultural 
exchange program at a specific institution. CBP currently verifies 
SEVIS numbers prior to admission into the United States. CBP now 
requires officers to document SEVIS numbers, if applicable, in the 
electronic Form I-94 record, but these numbers are not accessible to 
the public or academic institution. The SEVIS number is not currently 
documented on the Form I-94 Web site or printout, as it is not a data 
element required or collected on the paper version of the Form I-94. 
CBP will explore the feasibility of including the SEVIS number on the 
Web site and printout. CBP has provided guidance to the field to 
include the SEVIS number on the foreign travel document with the CBP 
admission stamp when practical.
    CBP has updated its systems to help ensure that the correct SEVIS 
record is mapped to the proper arrival/departure record. The SEVIS 
information is stored in CBP systems, and the Arrival and Departure 
Information System (ADIS) feeds information to SEVP for each student. 
CBP is continuing to work to enhance its systems to do a real-time 
query of the SEVIS number to prevent admission on an invalid SEVIS 
number.
    Comment: One commenter requested that CBP establish a mechanism for 
Designated School Officials to request a review when there is a problem 
with a SEVIS record.
    Response: If there is a problem with the SEVIS record, the 
Designated School Official should contact SEVP, which oversees SEVIS. 
SEVP would then work with CBP if SEVP determines that the problem 
relates to the electronic Form I-94 or is otherwise CBP-related. More 
information about SEVIS can be found on the SEVIS Web site: 
www.ice.gov/sevis/.

Additional Comments

    Comment: A few commenters requested that CBP include additional 
information on the tear sheet that is handed out to travelers at the 
POEs to include the purposes of the Form I-94 and a help line phone 
number or email address. Commenters stated that not all foreign 
nationals understand the importance of the Form I-94 or how soon they 
might need to print one.
    Response: CBP designed the tear sheet to fit into the traveler's 
passport and inform travelers, in 12 languages, how to access their 
Form I-94 records. Due to the size of the tear sheet and the 
desirability of including any information in multiple languages, CBP is 
not able to add additional information. Additionally, as the traveling 
public becomes more familiar with the Form I-94 automation, CBP plans 
to phase out distribution of the tear sheets.
    Comment: One commenter asked when all nonimmigrants arriving in the 
United States by air or sea will be processed electronically.
    Response: CBP rolled out the Form I-94 automation over the weeks 
following the effective date of the IFR, April 26, 2013. The Form I-94 
automation for air and sea passengers is now complete.
    Comment: One commenter asked if the 11 digit admission number from 
the Form I-94 will continue to be used in the electronic Form I-94 
format and whether it will be provided to the traveler at the time of 
admission.
    Response: The 11 digit number has not changed and will continue to 
be issued electronically to travelers. Travelers can use the I-94 Web 
site to find their Form I-94 number.
    Comment: One commenter was concerned about travelers having notice 
of the option to request a paper Form I-94 from CBP. The commenter 
stated that requesting a paper form is not in the regulations and it is 
not clear if the traveler should make the request on the plane or at 
the POE.
    Response: Travelers may request the paper form at the POE from the 
CBP officer. CBP has updated information on the Web site, www.cbp.gov/I94, to indicate that a paper form may be requested at the time of 
inspection. If someone requests a paper form, the person will be given 
the card stock form, properly annotated, with their electronic Form I-
94 number written on the card. Due to the extra time this process 
takes, issuance of a paper Form I-94 will be completed in the secondary 
inspection area. Conclusion
    Based on the analysis of the comments received, DHS is adopting the 
interim regulations as a final rule. In response to the comments, CBP 
has made some operational changes regarding the issuance of the Form I-
94 that are described below.

Operational Changes to the Form I-94 Process

    In response to some public comments received, and after studying 
usage and common problems of the I-94 Web site, CBP has made some 
changes to the I-94 Web site since the initial rollout of the Form I-94 
automation, including the addition of new features. These changes and 
new features are summarized below. As described in several of the 
comment responses, CBP believes these changes make the Web site a 
better resource for the public and address user concerns.
    First, the Web site now allows a traveler to retrieve his or her 
most recent Form I-94 even if he or she has departed the United States. 
A traveler may retrieve a Form I-94 issued up to five years prior to 
the request date.
    Second, a traveler may now retrieve his or her five-year United 
States border crossing history from the Web site. The border crossing 
history information is drawn from Form I-94 records. If a traveler has 
entered and departed the United States with more than one travel

[[Page 91656]]

document during the five years, for example an old and new passport, he 
or she will need to query each document to retrieve the complete five-
year history. CBP expects that this update to the Web site will provide 
a convenient alternative to the filing of a FOIA request when a 
traveler needs his or her five-year border crossing history when 
applying for certain benefits.
    Third, the date and class of admission are no longer required to 
retrieve a Form I-94, as these data points were commonly problematic 
for travelers attempting to retrieve their Form I-94. This change also 
allows travelers to input the same information to retrieve both the 
Form I-94 and the travel history.
    Additional operational changes include a new security consent page 
that addresses both privacy and security issues, an endorsement added 
to the Form I-94 printout indicating that the Form I-94 has been 
automated, and updates to the FAQs page of the I-94 Web site to reflect 
these changes and to address additional common questions.

Statutory and Regulatory Requirements

Executive Order 13563 and Executive Order 12866 (Regulatory Planning 
and Review) and (Improving Regulation and Regulatory Review)

    Executive Orders 13563 and 12866 direct agencies to assess the 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, of reducing costs, of harmonizing rules, and of promoting 
flexibility. This rule is an ``economically significant regulatory 
action'' under section 3(f)(1) of Executive Order 12866. Accordingly, 
the Office of Management and Budget has reviewed this regulation.
1. Purpose of the Rule
    This rule amends the definition of the Form I-94, Arrival/Departure 
Record, to include an electronic format. This revision enables DHS to 
transition to an automated process for air and sea ports of entry 
whereby DHS creates a Form I-94 in an electronic format based on 
passenger, passport, and visa information DHS obtains electronically 
from air and sea carriers and the Department of State as well as 
through the inspection process. This rule also is consistent with CBP's 
transition to accepting I-94 submissions online for use at the land 
border.
    This rule results in substantial cost savings (benefits) for 
travelers, carriers, and CBP. CBP estimates the total net benefits to 
both domestic and foreign entities in 2013 ranged from $57.9 million to 
$82.7 million.\8\ Separately, CBP estimates a net benefit in 2013 of 
between $41.1 million and $65.9 million for foreign travelers, $1.3 
million for carriers, and $15.5 million for CBP. Net benefits to U.S. 
entities (carriers and CBP) in 2013 totaled $16.8 million. In the 
following regulatory assessment, we present the costs and benefits to 
CBP, carriers, and travelers from Form I-94 automation using a six-year 
period of analysis beginning in year 2012.
---------------------------------------------------------------------------

    \8\ OMB Circular A-4 states regulatory analyses should focus on 
benefits and costs that accrue to citizens and residents of the 
United States (http://www.whitehouse.gov/sites/default/files/omb/assets/regulatory_matters_pdf/a-4.pdf; see ``Scope of Analysis'' 
section on page 15). In order to make this distinction clear, CBP 
has shown the costs and benefits to foreign travelers as well as 
impacts to U.S. entities.
---------------------------------------------------------------------------

2. Baseline Condition and Affected Parties
a. Automation at the Air and Sea Ports of Entry
    Prior to the implementation of the interim final rule CBP published 
on March 27, 2013 in the Federal Register (78 FR 18457), CBP required 
any alien traveling to the United States, other than under the Visa 
Waiver Program, to complete a paper Form I-94 prior to arrival. When 
arriving by air and sea, the carrier provided the form to the alien 
while en route to the United States. The alien typically completed the 
form while en route to the United States, spending approximately 8 
minutes filling out the form.\9\ Upon arrival at the U.S. airport or 
seaport, the alien presented the completed Form I-94 to the CBP officer 
for inspection. If permitted to enter the United States, the officer 
tore the form at the perforation, stamped the lower portion, and 
returned it to the alien. The officer sent the top portion of the form 
to a centralized facility where all Forms I-94 were entered into CBP's 
data systems. Generally, the alien later returned the lower portion of 
the Form I-94 to the carrier upon departure from the United States, who 
in turn returned it to CBP.
---------------------------------------------------------------------------

    \9\ See 78 FR 70570 (November 26, 2013) for the latest burden 
estimate for the Form I-94's information collection.
---------------------------------------------------------------------------

    In addition to acting as an arrival and departure record, the Form 
I-94 also serves as evidence of admission or parole into the United 
States for nonimmigrants. Some third parties, such as universities or 
local or state government benefit-granting agencies, may require an 
alien to present evidence of admission or parole to the United States. 
Prior to the interim final rule, in these cases, the alien could 
present the bottom portion of the Form I-94, which was returned to them 
when they were admitted, paroled, or adjusted to an immigration status. 
Aliens could also choose to present Form I-94 to establish employment 
eligibility and identity or eligibility for certain public benefits.
    If an alien loses the bottom portion of the Form I-94, he or she 
may file Form I-102, Application for Replacement/Initial Nonimmigrant 
Arrival-Departure Document, with USCIS to request a replacement. The 
form has a Paperwork Reduction Act burden of 25 minutes per form and a 
fee of $330. According to the USCIS, prior to the implementation of 
this rule, 17,700 Forms I-102 were filed each year. At the time the 
interim final rule was published, USCIS estimated that the rule would 
result in a decrease in the number of Forms I-102 filed to 8,804 in 
2013 and 5,771 in later years.\10\ Following the implementation of the 
rule in April 2013, the total number of Forms I-102 filed in 2013 was 
13,715. USCIS now expects 6,782 Forms I-102 to be filed each year.\11\ 
This is a reduction of 10,918 each year due to this rule.
---------------------------------------------------------------------------

    \10\ Communication with USCIS on February 8, 2013.
    \11\ Supporting Statement for Form I-102. Available at http://www.reginfo.gov/public/do/PRAViewDocument?ref_nbr=201402-1615-001. 
Accessed September 28, 2016.
---------------------------------------------------------------------------

    According to the Office of Immigration Statistics (OIS),\12\ about 
53.9 million aliens entered the United States using a Form I-94 or 
equivalent (i.e. using a Form I-94W or obtaining an electronic travel 
authorization when entering under the Visa Waiver Program) in 2012. Of 
these, about 20.3 million entered under the Visa Waiver Program (VWP). 
These aliens do not use a Form I-94 and are therefore unaffected by 
this rule,\13\ so we exclude them from this analysis. Additionally, OIS 
figures include all modes of transportation. I-94 automation affects 
only aliens

[[Page 91657]]

arriving by air and sea, so we must exclude those arriving by land. We 
therefore subtract the number of aliens entering the U.S. at land 
border ports using a Form I-94 in 2012. According to CBP's Office of 
Field Operations, about 15.4 million aliens arriving from Mexico and 
1.2 million arriving from Canada entered the United States at the land 
border using a Form I-94 in 2012. We subtract these from the admission 
total, leaving 16,952,996 non-VWP aliens who arrived in the U.S. by air 
or sea using a Form I-94 in 2012.
---------------------------------------------------------------------------

    \12\ 2012 Yearbook of Immigration Statistics. Table 28. https://www.dhs.gov/yearbook-immigration-statistics. Accessed October 26, 
2016.
    \13\ In addition to automating the Form I-94, this final rule 
adds a valid, unexpired nonimmigrant DHS admission or parole stamp 
to the list of documents that constitute evidence of registration. 
Thus, such a stamp can serve as evidence of registration for Visa 
Waiver Program travelers and for travelers arriving by land who 
would otherwise be required to comply with any registration 
requirement under the INA. However, the addition of the passport 
stamp to the list of documents that constitute evidence of 
registration does not have an economic impact on travelers. 
Therefore, this analysis focuses on the changes to the Form I-94.
---------------------------------------------------------------------------

    We next estimate the number of Form I-94 travelers to the United 
States in the rest of the period of analysis.\14\ For 2013 and 2014, we 
again use actual data from the Office of Immigration statistics. For 
2015 through 2017, we use the traveler projections developed by the 
Office of Travel and Tourism Industries (OTTI) within the U.S. 
Department of Commerce.\15\ The OTTI forecasts travel growth through 
2020 for the 20 countries with the highest 2014 travel volume. Since 
the vast majority of travelers from most countries arrive in the United 
States by air and sea, we assume that OTTI's travel growth rates best 
reflect air and sea travel growth. For Mexico and Canada, we subtract 
the number of Form I-94 travelers arriving by land in 2012 before 
applying the OTTI growth rates.\16\ We apply the OTTI projected growth 
rates to the number of Forms I-94 by country we obtained from OIS. For 
countries not separately forecasted by OTTI, we use OTTI's average 
growth rate for overseas travel for each year to determine overseas 
travel from these countries. We present the total number of projected 
Forms I-94 for each year from 2012-2017 absent the rule in Exhibit 1 
below.
---------------------------------------------------------------------------

    \14\ 2013 and 2014 Yearbook of Immigration Statistics. Table 28. 
https://www.dhs.gov/yearbook-immigration-statistics. Accessed 
October 26, 2016.
    \15\ U.S. Department of Commerce, Office of Travel and Tourism 
Industries ``Forecast of International Travelers to the United 
States by Top Origin Countries.'' October 2015. Available at http://travel.trade.gov/view/f-2000-99-001/forecast/Forecast-COUNTRIES.pdf.
    \16\ For the purposes of these projections, we assume that 
aliens arriving from Mexico and Canada at land borders are Mexican 
and Canadian citizens. There are a small number of citizens of other 
countries who enter the U.S. at land borders. Because the number for 
each country is small, the effect on the projections is minimal.

   Exhibit 1--Projected Form I-94 Respondents Traveling by Air and Sea
                          [*denotes projection]
------------------------------------------------------------------------
 
------------------------------------------------------------------------
2012....................................................      16,952,996
2013....................................................      16,832,602
2014....................................................      20,680,611
2015....................................................      21,700,329
2016....................................................      22,628,579
2017....................................................      23,871,524
------------------------------------------------------------------------

b. Electronic Implementation at the Land Border
    This rule affects the process of obtaining a Form I-94 for 
travelers arriving by air and sea and is consistent with CBP's 
transition to accepting I-94 submissions online for use at the land 
border. In addition to the automation at air and sea ports of entry, 
CBP modified the process by which a traveler arriving at the land 
border can provide Form I-94 information and pay the related fee by 
adding an electronic option. The enhanced I-94 Web site launched on 
September 29, 2016.
    Due to the differences in documentary requirements for land border 
entries, the Form I-94 issuance process varies slightly at a land 
border port of entry than at an air or sea port of entry. Currently 
when a traveler requiring a Form I-94 arrives at the land border, he/
she goes to secondary inspection where he/she provides the I-94 
information to a CBP officer who inputs the data into a computer. The 
process takes approximately 8 minutes in addition to the time of the 
actual inspection. After determining the traveler's admissibility, the 
CBP officer then prints a Form I-94 for the traveler and refers him/her 
to the cashier to pay the associated $6 fee.\17\ It takes approximately 
20 minutes to wait in line to pay the fee and approximately 2 minutes 
to pay the fee.
---------------------------------------------------------------------------

    \17\ The amount of fee for the issuance of the Form I-94 at a 
land border port of entry is provided for in 8 CFR 
103.7(b)(1)(ii)(D).
---------------------------------------------------------------------------

3. Costs
    We next estimate the costs and benefits of this rule for all 
affected parties. For the interim final rule, we assumed that the rule 
would go into effect on January 1, 2013. The rule actually went into 
effect on April 22, 2013. Because certain key data on arrivals by class 
of admission is only available publicly on an annual basis, we 
incorporate some prorated arrivals estimates into this analysis. For 
the purpose of this analysis, we assume that the rule went into effect 
on May 1, 2013 and we prorate the 2013 estimates to reflect that the 
rule was in effect for 8 months of the year. To the extent that travel 
among various classes of admission is not consistent throughout the 
year, the 2013 estimates may be overstated or understated.
    The costs of this rule are borne by both CBP and aliens traveling 
to the United States.
a. Costs to CBP of Automation at the Air and Sea Ports of Entry
    This rule allows for the automation of the paper Form I-94 in the 
air and sea environments.\18\ Almost all of the traveler information 
collected on the Form I-94 prior to the implementation of this rule was 
redundant in the air and sea environments because CBP already obtained 
the same information electronically from other sources. In advance of 
the implementation of this rule, CBP linked its data systems to use the 
information from these alternate sources to create an electronic Form 
I-94 during the admission process. CBP creates the electronic Form I-94 
by pulling information from the traveler's Advance Passenger 
Information System (APIS) record and any Consular Consolidated Database 
(CCD) record and then by entering any additional data obtained during 
the inspection process. This electronic process allows stakeholders 
that have access to CBP's databases to continue to have access to 
traveler information electronically. CBP's Office of Information 
Technology estimates the cost to link data systems and to fully 
automate the Form I-94 was about $1 million in calendar year 2012. In 
addition, it estimates the cost to develop the secure Web site was 
about $321,000 in 2012. CBP anticipates spending $92,000 per year in 
operations and maintenance costs for these systems. In total, CBP 
incurred costs of $1,321,000 in 2012 and will incur costs of $92,000 in 
following years.
---------------------------------------------------------------------------

    \18\ A small number of paper Forms I-94 are still being used for 
certain aliens such as aslyees, certain parolees, and those who 
request a paper Form I-94.
---------------------------------------------------------------------------

b. Costs of Electronic Implementation at the Land Border
    CBP's Office of Information Technology estimates that it cost 
approximately $540,000 in 2016 to develop the Web site and create the 
online payment capabilities. CBP will not bear any additional costs to 
process travelers as a result of this process.
    Travelers will not face new costs or time burdens under the new 
optional process at the land border. Under this process, travelers will 
have the option to use a new CBP Web site to answer the Form I-94 
questions and to pay the $6 fee in advance of travel. As the Form I-94 
questions are not changing, the time burden to submit the information 
is not changing. Similarly, we estimate that it will take the traveler 
2 minutes to pay the fee online, which is the same as the

[[Page 91658]]

time it takes if the traveler pays at the border, and the fee itself is 
not changing.
c. Costs Borne by Travelers to the United States From Automation at Air 
and Sea Ports of Entry
    Although most travelers do not use the Form I-94 for any reason 
once they are admitted or paroled to the United States, some aliens do 
make use of the form to demonstrate lawful admission or parole to the 
United States to the Social Security Administration, universities, 
state agencies such as Departments of Motor Vehicles, public assistance 
agencies and organizations, or some other party.
    Aliens may also choose to present a Form I-94 to establish 
employment eligibility and identity, or eligibility for certain public 
benefits. To accommodate this need for the Form I-94, CBP has made an 
electronic Form I-94 available to aliens on the secure I-94 Web site. 
Travelers receive written information on how to access the Web site 
upon their arrival to the United States. Aliens may log into the Web 
site using 5 pieces of basic identifying information that is either 
known to the traveler (e.g. their first name, last/surname, and date of 
birth) or readily available on their passport (e.g. passport number, 
country of issuance). CBP estimates that it takes the traveler 4 
minutes to log into the Web site using identifying information and to 
print the electronic form. This is less time than the paper Form I-94's 
8 minute time burden for entering 17 data elements. This 4 minute 
estimate does not include the time it takes to travel to a location 
with computer and internet access; that cost is treated separately 
later in this section.
    In addition, CBP makes the paper Form I-94 available to certain 
classes of aliens and upon request at the secondary inspection station 
at ports of entry and at CBP Deferred Inspection Sites (DIS), which are 
located at most ports of entry and are largely open during regular 
business hours. Since the interim final rule went into effect, very few 
travelers have requested the paper form.
    To estimate the costs to travelers to access their Form I-94 
electronically, we must first determine the number of aliens who access 
the Web site, the number who do not have ready access to the internet, 
the distance they have to travel to access the internet, and the 
average wage rate for all aliens entering the United States by air or 
sea. First, we assess the number of aliens who access the Web site. 
Exhibit 2 shows the number of travelers who entered the United States 
by air or sea in 2012 sorted by various categories of admission.\19\ 
The majority of Form I-94 visitors to the United States--about 76 
percent--are tourists and business travelers entering on B-1/B-2 visas. 
In most cases, these travelers do not have a need for their Form I-94 
now that the passport stamp serves as evidence of alien registration. 
While in the U.S., these B-1/B-2 visa travelers may use their foreign 
driver's license, so there is generally no need for them to apply for a 
U.S. driver's license. They are ineligible for employment or enrollment 
in a university while traveling on a B-1/B-2 visa. They are generally 
not eligible for public benefits without a change in status. For these 
reasons, for the analysis for the interim final rule, we assumed that 
no B-1/B-2 visa holders would need to access the Web site to obtain 
their electronic Form I-94. However, public comments stated that some 
B-1/B-2 travelers do in fact need their Form I-94. According to the Web 
site's query history, approximately 1 percent of B-1/B-2 travelers 
access the Web site.\20\ Therefore, for this analysis, we assume that 1 
percent of these travelers will continue to access the Web site in the 
future.
---------------------------------------------------------------------------

    \19\ CBP analysis of data from 2012 Yearbook of Immigration 
Statistics. Table 28. http://www.dhs.gov/files/statistics/publications/yearbook.shtm. Accessed June 4, 2014.
    \20\ Communication with CBP's Office of Field Operations on June 
10, 2014.

 Exhibit 2--2012 Air and Sea Form I-94 Respondents by Class of Admission
                                    *
------------------------------------------------------------------------
                                              Number        Percentage
------------------------------------------------------------------------
Tourists and Business Travelers (B-1/B-       12,938,329            76.3
 2).....................................
Temporary workers.......................       1,631,683             9.6
Students................................       1,594,816             9.4
Other/Unknown...........................         461,935             2.7
Diplomats...............................         326,233             1.9
                                         -------------------------------
    Total...............................      16,952,996  ..............
------------------------------------------------------------------------
* Estimates may not total due to rounding.

    Because so many parties at various levels of government and outside 
of the government use the Form I-94, prior to the implementation of the 
interim final rule CBP could not estimate the number of non-B-1/B-2 
travelers that would access the Web site. For the analysis of the 
interim final rule, we assumed that all travelers, other than B-1/B-2 
travelers, who previously received a paper Form I-94 would log into the 
Web site to print off their electronic Form I-94. According to the Web 
site's query history since the implementation of the interim final 
rule, approximately 75 percent of non-B-1/B-2 travelers access the Web 
site. Exhibit 3 shows the number of travelers we estimate will access 
their electronic Form I-94 via the CBP Web site during the period of 
analysis. We note that those with a need for a Form I-94 who face 
obstacles to accessing their Form I-94 electronically may request a 
paper Form I-94 at the secondary inspection station upon their arrival 
at the port or at a DIS during their stay in the United States. 
However, according to CBP subject matter experts, very few aliens have 
requested paper Forms I-94 at the ports of entry and those who have 
requested them at DIS have done so primarily to correct erroneous 
information on their electronic Form I-94.

                      Exhibit 3--Estimated Travelers Needing to Access Electronic Form I-94
----------------------------------------------------------------------------------------------------------------
                                                                      B-1/B-2         Other *          Total
----------------------------------------------------------------------------------------------------------------
2012............................................................               0               0               0

[[Page 91659]]

 
2013 **.........................................................          85,622       1,994,663       2,080,285
2014............................................................         157,793       3,675,979       3,833,772
2015............................................................         165,574       3,857,233       4,022,807
2016............................................................         172,656       4,022,230       4,194,886
2017............................................................         182,140       4,243,163       4,425,303
----------------------------------------------------------------------------------------------------------------
* Other includes temporary workers, students, diplomats, and others/unknowns.
** 2013 travelers are estimated based on the rule being in effect for two thirds (8 months) of the year.

    We next estimate the number of aliens who do not have ready access 
to the internet while in the United States and would need to travel to 
access their electronic Form I-94. We assume that students and 
diplomats have ready access to the internet at their schools or places 
of business respectively. The 1 percent of B-1/B-2 travelers who access 
their electronic Form I-94 typically need it when staying in the United 
States for over 6 months. These people likely have other uses for the 
internet during their stay and could access their electronic Form I-94 
when using the internet for another purpose. Therefore, we assume they 
do not need to travel to access their electronic Form I-94. Also, as 
noted above, CBP will continue to make the paper Form I-94 available 
upon request at the secondary inspection station at ports of entry or 
at DIS to those with a need for a Form I-94 and who face obstacles to 
accessing their electronic Form I-94.
    Temporary workers come to the United States for varying lengths of 
time to fill positions where there is a shortage of labor in the United 
States. These positions can be in very highly technical occupations, 
such as computer programming, but they can also be in less technical 
occupations such as agricultural labor.
    Because this category of admission includes such a wide range of 
workers, we cannot say with certainty that all temporary workers have 
ready access to the internet while in the United States. Similarly, we 
do not know how accessible the internet is for those in the ``Other/
Unknown'' category. The aliens least likely to have internet access are 
those working as temporary agricultural laborers.
    According to the U.S. Department of Agriculture (USDA), 
approximately 67 percent of farms have internet access.\21\ The primary 
use for the electronic Form I-94 for these temporary workers is to 
demonstrate employment eligibility to their employers. Generally, this 
document will be the only acceptable evidence of employment 
authorization that such workers will have to satisfy the Employment 
Eligibility Verification (Form I-9) requirements. Because of the Form 
I-9 requirements, many employers do not allow their employees to begin 
working for pay until the workers have presented them with the print-
out of their electronic Form I-94. The employers have spent a 
considerable amount of money bringing these foreign workers to the 
United States to work. By offering internet access to employees, 
employees and employers can complete the employment eligibility 
verification process timely, which allows the employee to begin working 
sooner. Because this incremental use of the internet is virtually 
costless to the employer and the employer would benefit from their 
employee's prompt access to their electronic Form I-94, we assume that 
employers with internet access allow their employees to use their 
internet connection to access their electronic Forms I-94.\22\ As 
stated previously, 67 percent of farms have internet access. For the 
purposes of this analysis, we assume that 33 percent (100 percent-67 
percent) of travelers in the ``Temporary Workers'' and ``Other/
Unknown'' categories (for example, 690,894 in 2012) would need to 
travel to access their electronic Form I-94.
---------------------------------------------------------------------------

    \21\ United States Department of Agriculture National 
Agricultural Statistics Service. ``Farm Computer Usage and 
Ownership.'' August 2013. Available at: http://usda.mannlib.cornell.edu/usda/current/FarmComp/FarmComp-08-20-2013.pdf. Accessed June 4, 2014.
    \22\ It is also possible that some employers without internet 
access help transport their employees to a location with internet 
access. Employers have expended considerable effort to sponsor 
temporary workers and they may view this as part of the cost of 
using foreign temporary workers. However, as the burden of 
demonstrating employment eligibility is on the worker, we assume 
that the worker must bear any travel costs to obtain their 
electronic Form I-94. To the extent that the employer is able to 
provide more efficient access to the internet, costs to workers will 
be lower.
---------------------------------------------------------------------------

    CBP received several public comments regarding the ability of 
travelers to obtain their printed electronic Form I-94 before they need 
it. One employer of temporary workers commented that according to their 
company policy, employees cannot use company computers to access the 
internet until they have demonstrated their legal admission to the 
United States by presenting a copy of their Form I-94.
    While CBP believes that most employers with internet access allow 
their employees to use a company computer to access their Form I-94, we 
acknowledge that a small number of employers may choose not to do so, 
or company policy may prohibit non-employees from accessing company 
equipment. These travelers are included in the 33 percent of temporary 
workers who we assume have to travel to access the internet.
    One commenter noted that employees sometimes need to start work 
very soon after arrival and do not have time to travel to a location 
where they can print their electronic Form I-94. Once again, CBP notes 
that any traveler, but particularly travelers with an immediate need 
for their Form I-94 may request a paper Form I-94 at the secondary 
inspection station at ports of entry or at CBP DIS. Another commenter 
said that travelers often do not know they need a Form I-94 until after 
they have left the airport, so requesting a paper Form I-94 at the port 
is not a practical option. CBP acknowledges that many people may not 
know that they need their Form I-94 until it is asked of them. As such, 
CBP has made access to the I-94 Web site as easy as possible and will 
continue to provide paper Forms I-94 upon request at CBP DIS. Another 
commenter suggested that CBP provide kiosks at the ports of entry where 
travelers could print their electronic Form I-94 prior to leaving the 
airport. CBP has explored the possibility of placing kiosks at the 
largest airports and seaports to give travelers the opportunity to 
print their Form I-94 prior to leaving the port of entry. CBP has 
determined that the benefits to the public do not outweigh the cost to 
CBP, so it is not proceeding with kiosks at this time. See the 
Regulatory Alternatives section for more information.
    Now that we have estimated the number of aliens who do not have 
ready access to the internet, we need to

[[Page 91660]]

develop an assumption for how long it takes to travel to a location 
where they can access the internet. Based on our online review of 
internet services provided by public libraries, we found that virtually 
all public libraries provide public access to computers and the 
internet, though many charge a nominal fee for printing. There are 
16,766 public libraries in the United States.\23\ According to the 
Department of Education, 94 percent of households live within 10 miles 
of a public library and 83 percent live within 5 miles of one.\24\ 
Given the large number of library locations nationwide that provide 
access to the internet and the fact that CBP makes the paper Form I-94 
available upon request at ports and DIS, we believe most aliens who 
travel to access the internet to print their electronic Form I-94 only 
need to travel a short distance to do so. We estimate that round-trip 
distance required to access a computer terminal and printing station at 
a public library is 20 miles. We also assume that traveling to and from 
a library takes 60 minutes of an aliens' time, which includes travel 
time and the time to enter the library, locate an available computer, 
wait to access the computer and print a Form I-94. In this analysis, we 
assume that users pay $0.25 to print their electronic Form I-94 based 
on a review of available online printing fees charged at public 
libraries.
---------------------------------------------------------------------------

    \23\ American Library Association. ``Quotable Facts about 
America's Libraries.'' September 2012. http://www.ala.org/offices/ola/quotablefacts/quotablefacts/. Accessed Jun 13, 2014.
    \24\ Department of Education: Households' Use of Public and 
Other Types of Libraries: 2002. Derived from Table 19. Available at 
https://harvester.census.gov/imls/pubs/Publications/2007327.pdf. 
Accessed June 4, 2014.
---------------------------------------------------------------------------

    We next estimate the value of time for those travelers affected by 
this rule. Federal agencies typically estimate a monetary value of time 
used or saved as a result of their regulatory actions. This allows 
agencies to estimate the additional costs and benefits of their 
regulatory actions on affected parties. The U.S. Department of 
Transportation (DOT) provides guidance on the value of time to use for 
economic analysis.\25\ This guidance provides point estimates as well 
as ranges for values of time for travelers based on average wage rate 
analysis for different categories of travel.
---------------------------------------------------------------------------

    \25\ U.S. Department of Transportation: ``Revised Departmental 
Guidance on Valuation of Travel Time in Economic Analysis.'' 
September 28, 2011. Table 5. Available at http://www.dot.gov/sites/dot.dev/files/docs/vot_guidance_092811c.pdf. Accessed June 4, 2014.
---------------------------------------------------------------------------

    According to DOT estimates, the value of travel time is more than 
twice as high for air travelers than for those traveling by surface 
modes, which can be explained by the relatively high cost of air 
travel. We note that the DOT estimates are intended to be used to 
analyze actions that will reduce the time spent traveling. A person's 
value of time while traveling may differ from their value of reducing 
travel time. In most instances, this rule does not reduce the time 
spent traveling because an alien typically completes the Form I-94 
while en route to the United States, but rather reduces the time spent 
on paperwork while traveling. The traveler is now able to spend this 
time on leisure or business activities such as reading or drafting 
documents. CBP believes that using the DOT values of travel time in 
this situation is the most appropriate estimate because it reflects the 
higher values of time for air travelers. Further, we note that to the 
extent a person's value of time while traveling is different than their 
value of reducing travel time, this difference is likely encompassed in 
the DOT plausible range for the value of travel time. The DOT estimates 
are in 2009 dollars, but the DOT provides a methodology to inflate its 
estimates for future years. We have inflated the estimates to 2012 
dollars, which is the first year of our period of analysis.\26\
---------------------------------------------------------------------------

    \26\ To determine the hourly value of travel time savings in 
2012 U.S. dollars, we applied the DOT's suggested growth rate of 1.6 
percent per year to the hourly time values listed in 2009 U.S. 
dollars.
---------------------------------------------------------------------------

    As a primary estimate, we use the DOT's point estimate for the 
value of time for all-purpose air travel, which includes both personal 
and business travel. This point estimate is $44.15, when inflated to 
2012 dollars. We also use the DOT's range for all-purpose travel to 
show a range of low and high estimates. This range is from $36.50 to 
$54.75 when inflated to 2012 dollars. We apply these low, primary, and 
high values of time to the travelers in our analysis. We use this 
travel value of time framework to estimate the costs and savings of 
this rule, since affected aliens previously completed the paper Form I-
94 while traveling.
    We recognize that those who must travel to access the internet are 
a special case of travelers and probably have different values of time 
than the average air traveler. As previously discussed, the aliens 
least likely to have internet access are those working as temporary 
agricultural laborers. To estimate the value of time for these aliens, 
we use the wage rate for H-2A seasonal (temporary) agricultural 
workers.
    According to the Department of Labor, H-2A temporary agricultural 
workers have an average wage rate of 9.79 per hour.\27\ We recognize 
that there are other classes of temporary workers, notably H-1B visa 
holders, who likely have higher wage rates; however, these workers are 
predominantly in specialized occupations such as medicine and computer 
programming and are likely to have ready access to the internet. 
Employers of these employees have an incentive to provide this access 
as it is virtually costless and would allow workers to start working 
earlier. We note that, notwithstanding the benefits to the employer of 
providing this access, we received public comments indicating that some 
employers of H-1B employees may not allow their workers to access 
computers to print their electronic Form I-94. CBP does not believe 
this represents a large number of employers.
---------------------------------------------------------------------------

    \27\ Calculated from the Office of Foreign Labor Certification's 
FY 2012 Annual Report using the weighted average of state average 
wage rates. Available at: http://www.foreignlaborcert.doleta.gov/pdf/OFLC-2012_Annual_Report-11-29-2013-Final%20Clean.pdf. Accessed 
on June 16, 2014.
---------------------------------------------------------------------------

    Further, workers in occupations such as medicine and computer 
programming are likely to have internet access from other sources, such 
as their hotel or other place of lodging. Finally, as discussed above, 
we have assumed that all temporary workers would access their 
electronic Form I-94 and that 33 percent of them would have to travel 
to do so. Any H-1B worker who must travel to access their electronic 
Form I-94 is included in these estimates. But because we do not believe 
the H-1B workers make up a large portion of the temporary workers who 
must travel to access their electronic Form I-94, we use the estimated 
wage of H-2A workers as our estimate for the value of time for those 
who must travel to access their electronic Form I-94.
    Now that we have estimated the number of aliens who log into CBP's 
Web site to print their electronic Form I-94, the time it takes to 
access that Web site, the number of people who need to travel to access 
the internet, the time it takes to travel to and from an internet 
access site, and the values of time for these groups, we can calculate 
this rule's cost to these travelers. We first address the cost to log 
into CBP's electronic Form I-94 Web site. Once again, CBP estimates 
that it takes travelers 4 minutes to access and print their electronic 
Form I-94, and that it costs them $0.25 per page to print their 
electronic Form I-94. Exhibit 4 shows the 2013 to 2017 travelers' costs 
for accessing and printing their electronic Forms I-94.\28\ As shown, 
in 2013,

[[Page 91661]]

traveler costs of time to access electronic Forms I-94 and their cost 
to print them ranged from $5.5 million to $8.1 million with a primary 
estimate of $6.6 million.
---------------------------------------------------------------------------

    \28\ The annual estimates of Forms I-94 in Exhibit 4 are based 
on projections for all visa categories using growth rate estimates 
developed OTTI. We adjust these estimates using our assumptions that 
1 percent of B-1/B-2 travelers and 75 percent of non-B-1/B-2 
travelers access the I-94 Web site.

                                   Exhibit 4--Traveler Costs of Time to Access and Cost to Print Electronic Form I-94
                                                                 [Undiscounted 2012$] *
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                  2013               2014               2015               2016               2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
Forms I-94...............................................          2,080,285          3,833,772          4,022,807          4,194,886          4,425,303
DOT--Low ($).............................................              36.50              36.50              36.50              36.50              36.50
DOT--Primary ($).........................................              44.15              44.15              44.15              44.15              44.15
DOT--High ($)............................................              54.75              54.75              54.75              54.75              54.75
Time Cost--Low ($).......................................          5,061,648          9,328,146          9,788,098         10,206,792         10,767,432
Time Cost--Primary ($)...................................          4,730,513          8,147,564          7,990,003          7,786,713          7,677,030
Time Cost--High ($)......................................          4,914,222          8,792,673          8,957,496          9,068,603          9,288,081
Printing Cost ($)........................................            520,071            958,443          1,005,702          1,048,722          1,106,326
                                                          ----------------------------------------------------------------------------------------------
    Total Cost--Low ($)..................................          5,581,720         10,286,589         10,793,800         11,255,514         11,873,758
    Total Cost--Primary ($)..............................          6,643,502         12,243,356         12,847,050         13,396,594         14,132,443
    Total Cost--High ($).................................          8,112,544         14,950,663         15,687,848         16,358,910         17,257,474
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.

    We next address the travel costs for those aliens who do not have 
ready access to the internet. Once again, we assume that 33 percent of 
travelers in the ``Temporary Workers'' and ``Other/Unknown'' categories 
(approximately 12 percent of the total, see exhibit 2) would need to 
travel 20 miles roundtrip and spend 60 minutes of time to access their 
electronic Form I-94. We also assume that these travelers have a value 
of time best characterized by the average H-2A wage rate of $9.79 per 
hour. For the cost of travel, we use the 2012 IRS standard mileage rate 
for business travel of $0.555 per mile.\29\ Exhibit 5 shows the 2013 to 
2017 aliens' travel costs to access the internet. As shown we estimate 
that the total travel costs were $9.3 million in 2013.
---------------------------------------------------------------------------

    \29\ Internal Revenue Service. IR-2011-116, December 9, 2011. 
Available at http://www.irs.gov/newsroom/article/0,,id=250882,00.html.

                                            Exhibit 5--Travel Costs *
----------------------------------------------------------------------------------------------------------------
                                       2013            2014            2015            2016            2017
----------------------------------------------------------------------------------------------------------------
Affected Aliens.................         444,381         818,952         859,333         896,092         945,312
H2A Wage Rate ($)...............            9.79            9.79            9.79            9.79            9.79
Time Cost ($)...................       4,350,487       8,017,542       8,412,870       8,772,738       9,254,608
Mileage Cost ($)................       4,932,626       9,090,369       9,538,597       9,946,618      10,492,967
                                 -------------------------------------------------------------------------------
Total Travel Cost ($)...........       9,283,113      17,107,912      17,951,467      18,719,357      19,747,575
----------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding. Undiscounted dollars.

    To summarize, both CBP and aliens bear costs as a result of this 
rule. CBP bore the costs to link its data systems and to build a Web 
site so aliens can access their electronic Forms I-94. CBP continues to 
incur annual costs to operate and maintain the I-94 Web site. Temporary 
workers and aliens in the ``Other/Unknown category (see Exhibit 2) bear 
costs when logging into the Web site, traveling to a location with 
public internet access and printing a paper copy of their electronic 
Form I-94. The costs averaged $24.08 per traveler in 2013 for those in 
the temporary worker and ``Other/Unknown'' categories who have to 
travel to access their electronic Form I-94. Aliens arriving as B-1/B-2 
travelers, diplomats, students, and those temporary workers and aliens 
in the ``Other/Unknown'' category who do not need to travel to access 
their Form I-94 bear costs when logging into the Web site and printing 
electronic Forms I-94. Using the primary estimate for a traveler's 
value of time, these costs for these groups averaged $3.19 per person.
    Exhibit 6 summarizes the 2012-2017 costs of this rule. As shown, 
costs for this rule in 2013 ranged from $15.0 million to $17.5 million. 
In our primary estimate, costs for this rule are $16.0 million in 2013. 
Less than one percent of these costs are incurred by the U.S. entities. 
These are CBP's costs for automating the electronic Form I-94 and 
developing the Web site travelers use to access their electronic Form 
I-94. In 2013, CBP's costs were $92,000.

                                                                 Exhibit 6--Cost Summary
                                                                 [Undiscounted 2012$] *
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                               2012            2013            2014            2015            2016            2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
CBP Costs
I-94 Air/Sea Systems Costs..............................       1,321,000          92,000          92,000          92,000          92,000          92,000

[[Page 91662]]

 
I-94 Land Systems Costs.................................  ..............  ..............  ..............  ..............         540,000               0
Total CBP Costs.........................................       1,321,000          92,000          92,000          92,000         632,000          92,000
Traveler Costs
Website Access Costs--Low...............................               0       5,061,648       9,328,146       9,788,098      10,206,792      10,767,432
Website Access Costs--Primary...........................               0       6,123,431      11,284,913      11,841,348      12,347,872      13,026,117
Website Access Costs--High..............................               0       7,592,473      13,992,220      14,682,147      15,310,188      16,151,148
Travel Time Costs.......................................               0       4,350,487       8,017,542       8,412,870       8,772,738       9,254,608
Mileage Costs...........................................               0       4,932,626       9,090,369       9,538,597       9,946,618      10,492,967
Printing Costs..........................................               0         520,071         958,443       1,005,702       1,048,722       1,106,326
    Total Traveler Costs--Low...........................               0      14,864,832      27,394,501      28,745,266      29,974,870      31,621,333
                                                         -----------------------------------------------------------------------------------------------
    Total Traveler Costs--Primary.......................               0      15,926,615      29,351,267      30,798,517      32,115,950      33,880,018
    Total Traveler Costs--High..........................               0      17,395,656      32,058,574      33,639,315      35,078,266      37,005,049
                                                         -----------------------------------------------------------------------------------------------
        Grand Total Costs--Low..........................       1,321,000      14,956,832      27,486,501      28,837,266      30,606,870      31,713,333
        Grand Total Costs--Primary......................       1,321,000      16,018,615      29,443,267      30,890,517      32,747,950      33,972,018
        Grand Total Costs--High.........................       1,321,000      17,487,656      32,150,574      33,731,315      35,710,266      37,097,049
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.

4. Benefits
a. Benefits of Automation at Air and Sea Ports of Entry
    This rule has benefits for CBP, carriers, and travelers to the 
United States. Prior to the implementation of the interim final rule, 
CBP returned the bottom portion of the Form I-94 to the traveler and 
retained the top portion of the form. The information on the top 
portion of the form was entered into CBP systems for use by CBP and 
other agencies. CBP also received this information electronically from 
other sources. In 2012, CBP linked its data systems to create an 
electronic Form I-94, thus eliminating the need to continue entering 
the data from the paper Form I-94 for air and sea travelers into CBP 
systems. Prior to the implementation of the interim final rule, CBP 
spent approximately $17.8 million per year on contract support for 
manual Form I-94 data entry. CBP still must spend approximately $2.4 
million in contract expenses to enter data from the paper Forms I-94 
collected at the land border and the few that continue to be collected 
at airports and seaports. We therefore estimate that this rule saves 
CBP $15.4 million each year in contract costs. It is possible that 
these savings could grow in future years if large numbers of travelers 
at the land border opt for the voluntary electronic option.
    CBP processing has also become more efficient as a result of this 
rule. Prior to the implementation of the interim final rule, when the 
traveler gave the completed Form I-94 to the CBP officer during the 
inspection, the officer reviewed the form for errors and made 
corrections as needed. The officer then stamped the top and bottom 
portions of the form with the admission or parole stamp, notated the 
alien's classification and duration of admission or parole and stapled 
it to the traveler's passport. The interim final rule eliminated this 
process.
    A study of the processing times at three major U.S. airports 
immediately following the implementation of the interim final rule 
yielded mixed results; one airport showed a decrease in processing time 
following the change in process, another showed an increase, and the 
third showed no statistically significant difference in processing 
times. We note that CBP has since resolved some technical issues with 
the user interface design of the system used by CBP officers during 
primary inspection that arose with the automated process. CBP has 
anecdotal evidence that processing times have now dropped nationwide as 
a result of the transition to the automated Form I-94 process.
    CBP is conducting a more comprehensive time study that will examine 
the entire time period following the implementation of the automated 
process, but results of this study are not yet available. Accordingly, 
for the purposes of this analysis, we assume that this rule will not 
affect CBP processing times. To the extent that eliminating the paper 
Form I-94 reduced processing times, CBP was able to focus its resources 
on other areas, improving security and expediting the processing of 
passengers.
    We next examine the printing savings this rule generates for CBP 
and carriers. Prior to the implementation of the interim final rule, 
both CBP and carriers printed and stored Forms I-94. CBP printed forms 
for use in primary and secondary passenger inspections when the 
traveler did not fill out a form in advance or when the traveler made 
an error in filling out the form. Prior to this rule, CBP spent 
$153,360 each year printing the Form I-94 for air and sea travelers. 
Since the interim final rule's implementation, CBP no longer needs to 
print the Form I-94 for most of these travelers,\30\ which eliminates 
this expense.
---------------------------------------------------------------------------

    \30\ CBP still prints a small number of forms for use at 
airports and seaports for certain aliens such as asylees, certain 
parolees, and those who request a paper Form I-94.
---------------------------------------------------------------------------

    Before the implementation of the interim final rule, carriers 
printed the Forms I-94 for their passengers to complete before their 
arrival in the United States. To estimate printing costs for carriers, 
CBP obtained an estimate of total Form I-94 printing and storage costs 
from a major airline. We increased this cost proportionally based on 
annual international inbound passenger volumes to estimate the entire 
industry's cost to print and store paper Forms I-94. Based on this 
methodology, CBP estimates that carriers spent $1,344,450 annually to 
print and store the Form I-94. Since the interim final rule's 
implementation, carriers no longer need to print or store the Form I-
94, which eliminates these expenses.
    We next estimate the value of air and sea travelers' time savings 
resulting from the elimination of the paper Form I-94. Prior to the 
implementation of the interim final rule, travelers spent 8 minutes 
filling out the Form I-94 while in transit to the United States. This 
rule eliminates the paper Form I-94 for air and sea travelers and, with 
it, the 8-

[[Page 91663]]

minute time burden.\31\ We again apply the DOT range of plausible 
values of time for air travelers, as well as their point estimate for 
this value, to these aliens to determine the time savings from the Form 
I-94 automation. Exhibit 7 shows the 2013 to 2017 travelers' reduction 
in time burden resulting from no longer needing to fill out the paper 
Form I-94. As shown, in 2013, the value of the reduction in time burden 
ranged from $54.6 million to $81.9 million. In our primary estimate, 
the reduction in time burden was $66.1 million in 2013.
---------------------------------------------------------------------------

    \31\ For those with a need to access their electronic Form I-94, 
this burden relief is partially offset by the 4 minute time burden 
to access the Web site. The costs for this access are discussed in 
the costs section above.

                                                          Exhibit 7--Reduction in Time Burden*
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                  2013               2014               2015               2016               2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
Forms I-94...............................................         11,221,734         20,680,611         21,700,329         22,628,579         23,871,524
DOT--Low ($).............................................              36.50              36.50              36.50              36.50              36.50
DOT--Primary ($).........................................              44.15              44.15              44.15              44.15              44.15
DOT--High ($)............................................              54.75              54.75              54.75              54.75              54.75
Benefit--Low ($).........................................         54,608,355        100,638,110        105,600,365        110,117,513        116,166,058
Benefit--Primary ($).....................................         66,063,556        121,748,978        127,752,166        133,216,876        140,534,225
Benefit--High ($)........................................         81,912,532        150,957,166        158,400,547        165,176,269        174,249,087
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.

    We next examine the savings to aliens who need a replacement Form 
I-94. Prior to the implementation of the interim final rule, if aliens 
lost the bottom portion of their Form I-94, they could file Form I-102, 
Application for Replacement/Initial Nonimmigrant Arrival-Departure 
Document, with USCIS to request a replacement. The form has a Paperwork 
Reduction Act burden of 25 minutes per response and a fee of $330. As 
stated earlier, prior to the implementation of the interim final rule, 
17,700 Forms I-102 were filed annually. In 2013, 13,715 Forms I-102 
were filed and USCIS expects 6,782 to be filed each year starting in 
2014, a reduction of 10,918 each year due to this rule. Now these 
travelers are able to access their electronic Form I-94, which saves 
these individuals 25 minutes and $330.\32\ We calculate the value of 
this time savings using USCIS's hourly wage estimate for Form I-102 
filers of $30.74.\33\ Exhibit 8 shows the time and fee cost savings for 
those who would otherwise have needed to file a Form I-102 from 2013 to 
2017. As shown, in 2013 the value of this time and fee savings was $1.4 
million.
---------------------------------------------------------------------------

    \32\ As discussed in the costs section, we estimate a 4 minute 
time burden for travelers who need to access their electronic Form 
I-94. See the cost section for a complete discussion of the costs of 
accessing the Web site as well as the cost to travel to a location 
where they can access the Web site, where necessary.
    \33\ USCIS estimates are based on U.S. Bureau of Labor data for 
occupational employment statistics. The latest supporting statement 
for the I-102 is available at: http://www.reginfo.gov/public/do/PRAViewDocument?ref_nbr=201206-1615-003. Accessed June 4, 2014. This 
supporting statement uses a wage estimate of $30.74.

                                                             Exhibit 8--I-102 Cost Savings *
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                  2013               2014               2015               2016               2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
I-102 Reduction..........................................              3,985             10,918             10,918             10,918             10,918
Time Burden..............................................                 25                 25                 25                 25                 25
USCIS hourly wage ($)....................................              30.44              30.44              30.44              30.44              30.44
Time Savings ($).........................................             51,041            139,841            139,841            139,841            139,841
Fee Savings ($)..........................................          1,315,050          3,602,940          3,602,940          3,602,940          3,602,940
                                                          ----------------------------------------------------------------------------------------------
    Total Savings ($)....................................          1,366,091          3,742,781          3,742,781          3,742,781          3,742,781
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding. Undiscounted dollars.

    Following the enactment of the interim final rule, travelers could 
only access their current electronic Form I-94 until they departed the 
United States. In response to public comments on the interim final 
rule, CBP has enhanced the Web site to allow travelers to access their 
most recent Form I-94 for 5 years from the date of issuance. In 
addition, the Web site now provides foreign travelers with a 5 year 
record of their travel history. Doing so has reduced Freedom of 
Information Act requests received by CBP by approximately 2 percent.
    Accessing the information via the Web site can be done within 
minutes rather than the months it can take to receive information from 
a FOIA request, which is a benefit to the traveler. In addition, this 
saves the CBP FOIA office time, which it can spend processing other 
FOIA requests. CBP is exploring whether it can expand the Web site to 
include travel history dating back farther than 5 years. CBP is also 
considering whether the Web site can be set up to include travel 
history for non-Form I-94 users such as U.S. citizens and legal 
permanent residents. CBP estimates that expanding the travel history 
past 5 years has reduced the number of FOIA requests received by 
approximately 6 percent and expanding it to include travel history for 
U.S. citizens and legal permanent residents will reduce FOIA requests 
by an additional 20 percent.
    In summary, CBP, carriers, and aliens accrue benefits as a result 
of this rule. CBP saves on contract and printing costs as well as FOIA 
processing burdens. Carriers save on printing costs. All aliens save 
the 8 minute time burden for filling out the paper Form I-94 and 
certain aliens who lose their Form I-94 save the $330 fee and 25 minute 
time burden for filling out the Form I-102; and, certain aliens save 
processing time from the elimination of the FOIA process. Because we 
only expect one percent of B-1/B-2 travelers to use the Web site to 
access their electronic Form I-94, the benefits associated with the

[[Page 91664]]

Form I-102 accrue primarily to non-B-1/B-2 travelers. Using the primary 
estimate for a traveler's value of time, the time burden savings for 
all travelers is $5.89 per traveler. In addition, those non-B-1/B-2 
travelers who no longer need to use a Form I-102 would achieve an 
additional time and fee savings of $343.81 per traveler. Exhibit 9 
summarizes the benefits of air and sea automation to each party. As 
shown, total benefits for this rule ranged from $72.9 million to $100.2 
million in 2013. In our primary estimate, the benefits of this rule 
were $84.3 million in 2013.

                                           Exhibit 9--Benefit Summary
                                             [Undiscounted 2012$] *
----------------------------------------------------------------------------------------------------------------
                                       2013            2014            2015            2016            2017
----------------------------------------------------------------------------------------------------------------
CBP Benefits:
    CBP Contract Savings........      15,400,000      15,400,000      15,400,000      15,400,000      15,400,000
    CBP Printing Savings........         153,360         153,360         153,360         153,360         153,360
Total CBP Benefits..............      15,553,360      15,553,360      15,553,360      15,553,360      15,553,360
Carrier Printing Savings........       1,344,450       1,344,450       1,344,450       1,344,450       1,344,450
Traveler Benefits:
    Form I-94 Time Savings--Low.      54,608,355     100,638,110     105,600,365     110,117,513     116,166,058
    Form I-94 Time Savings--          66,063,556     121,748,978     127,752,166     133,216,876     140,534,225
     Primary....................
    I-94 Time Savings--High.....      81,912,532     150,957,166     158,400,547     165,176,269     174,249,087
    Form I-102 Time Savings.....          51,041         139,841         139,841         139,841         139,841
    Form I-102 Fee Savings......       1,315,050       3,602,940       3,602,940       3,602,940       3,602,940
Total Traveler Benefits--Low....      55,974,446     104,380,892     109,343,146     113,860,294     119,908,839
Total Traveler Benefits--Primary      67,429,647     125,491,760     131,494,947     136,959,658     144,277,007
Total Traveler Benefits--High...      83,278,624     154,699,947     162,143,329     168,919,051     177,991,868
Grand Total Benefits--Low.......      72,872,256     121,278,702     126,240,956     130,758,104     136,806,649
Grand Total Benefits--Primary...      84,327,457     142,389,570     148,392,757     153,857,468     161,174,817
Grand Total Benefits--High......     100,176,434     171,597,757     179,041,139     185,816,861     194,889,678
----------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.

b. Benefits From Electronic Implementation at the Land Border
    Under the new voluntary electronic I-94 submission process at the 
land border, once the traveler arrives at the port, he/she will go 
through secondary inspection, as they do under the paper process, where 
the CBP officer will locate the traveler's information through a 
document swipe in CBP's database. This will indicate that the fee was 
paid and pre-populate the data fields from the document swipe and the 
information provided by the traveler in the Web site. Once the CBP 
officer has determined the traveler's admissibility, the CBP officer 
will print out a paper I-94 to give to the traveler. The traveler will 
already have paid the fee, so once he/she has cleared the secondary 
inspection he/she will be able to enter the United States.
    This voluntary process is purely beneficial to any traveler who 
opts into it. By paying the fee online, the traveler avoids an average 
20 minute wait to do so at the port of entry. Using our primary 
estimate for the value of travel time of $44.15, the value of this time 
savings is $14.72 per traveler. As this process is just a few months 
old, CBP does not have data on how many travelers will opt to answer 
the Form I-94 questions and pay the fee online. CBP is engaging in 
public outreach to notify the public of the option, but only travelers 
who have access to a computer or other device with internet 
connectivity will be able to participate. In 2015, nearly 7 million 
travelers arrived in the United States at the land border using a Form 
I-94. CBP does not yet have sufficient data on how many travelers will 
opt for the online fee payment option. For the purposes of this 
analysis, CBP estimates that 5 percent of these travelers, or 
approximately 350,000, will opt for the advance I-94 information 
submission and payment process, for a total savings to travelers of 
$5,152,000. To the extent that the reduction in CBP officer time 
inputting data and processing fees results in shorter wait times, 
travelers would have additional time savings benefits.
    This process would save CBP 8 minutes of data input time and 2 
minutes of fee processing time, a total of 10 minutes of CBP officer 
time per traveler. Based on the estimate that 350,000 travelers will 
opt for the advance I-94 information submission and payment, and using 
the fully loaded wage rate of a CBP Officer of $85.47 per hour,\34\ we 
estimate that this process would save CBP officers 58,333 hours and 
$4,985,750. We note that this is a time savings that is monetized for 
analytical purposes and not a budgetary savings. This time savings 
could be spent on other priorities including reducing wait times. In 
addition, this rule would reduce the amount of cash being handled at 
ports of entry, which would simplify port of entry oversight and 
auditing.
---------------------------------------------------------------------------

    \34\ Source: CBP Position Model.
---------------------------------------------------------------------------

c. Aggregate Benefits
    Exhibit 10 shows the total benefits of the rule--both the benefits 
of air and sea automation and the land border implementation.

                                           Exhibit 10--Benefit Summary
                                             [Undiscounted 2012$] *
----------------------------------------------------------------------------------------------------------------
                                       2013            2014            2015            2016            2017
----------------------------------------------------------------------------------------------------------------
CBP Benefits:
    CBP Contract Savings........      15,400,000      15,400,000      15,400,000      15,400,000      15,400,000
    CBP Printing Savings........         153,360         153,360         153,360         153,360         153,360

[[Page 91665]]

 
    CBP Time Savings............               0               0               0       1,246,438       4,985,750
Total CBP Benefits..............      15,553,360      15,553,360      15,553,360      16,799,798      20,539,110
Carrier Printing Savings........       1,344,450       1,344,450       1,344,450       1,344,450       1,344,450
Traveler Benefits:
    Form I-94 Time Savings--Low.      54,608,355     100,638,110     105,600,365     110,117,513     116,166,058
    Form I-94 Time Savings--          66,063,556     121,748,978     127,752,166     133,216,876     140,534,225
     Primary....................
    I-94 Time Savings--High.....      81,912,532     150,957,166     158,400,547     165,176,269     174,249,087
    Form I-102 Time Savings.....          51,041         139,841         139,841         139,841         139,841
    Form I-102 Fee Savings......       1,315,050       3,602,940       3,602,940       3,602,940       3,602,940
    Land Process Time Savings...               0               0               0       1,288,000       5,152,000
Total Traveler Benefits--Low....      55,974,446     104,380,892     109,343,146     115,148,294     125,060,839
Total Traveler Benefits--Primary      67,429,647     125,491,760     131,494,947     138,247,658     149,429,007
Total Traveler Benefits--High...      83,278,624     154,699,947     162,143,329     170,207,051     183,143,868
Grand Total Benefits--Low.......      72,872,256     121,278,702     126,240,956     133,292,542     146,944,399
Grand Total Benefits--Primary...      84,327,457     142,389,570     148,392,757     156,391,905     171,312,567
Grand Total Benefits--High......     100,176,434     171,597,757     179,041,139     188,351,298     205,027,428
----------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.

5. Net Benefits
    Exhibit 11 compares the costs of this rule to the benefits, both in 
total and for each party affected. As shown, in 2013, CBP had a net 
benefit of $15.5 million, carriers had a net benefit of $1.3 million, 
and travelers had a net benefit of between $41.1 and $65.9 million. In 
our primary analysis, the net benefit to travelers was $51.3 million in 
2013. Total 2013 net benefits ranged from $57.9 million to $82.7 
million. In our primary analysis, the total net benefits were $68.3 
million in 2013.

                                                                Exhibit 11--Net Benefits
                                                                 [Undiscounted 2012$] *
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                               2012            2013            2014            2015            2016            2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
CBP.....................................................      -1,321,000      15,461,360      15,461,360      15,461,360      16,167,798      20,447,110
Carriers................................................               0       1,344,450       1,344,450       1,344,450       1,344,450       1,344,450
Travelers--Low..........................................               0      41,109,614      76,986,391      80,597,880      85,173,424      93,439,507
Travelers--Primary......................................               0      51,503,032      96,140,493     100,696,430     106,131,707     115,548,989
Travelers--High.........................................               0      65,882,967     122,641,373     128,504,014     135,128,784     146,138,820
Grand Total--Low........................................      -1,321,000      57,915,424      93,792,201      97,403,690     102,685,671     115,231,067
Grand Total--Primary....................................      -1,321,000      68,308,842     112,946,303     117,502,240     123,643,955     137,340,549
Grand Total--High.......................................      -1,321,000      82,688,777     139,447,183     145,309,824     152,641,032     167,930,380
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.

    Exhibits 12 and 13 present the present value net benefits of this 
rule, discounted at the 3 and 7 percent discount rates. Exhibit 14 
presents annualized net benefits at the 3 and 7 percent discount rates. 
Total annualized net benefits range from $73.4 million to $111.8 
million. In the primary analysis, annualized net benefits range from 
$88.1 million to $90.9 million, depending on the discount rate used.

                                                 Exhibit 12--Net Benefits Discounted at a 3 Percent Rate
                                                                       [2012 $] *
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                               2012            2013            2014            2015            2016            2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
CBP.....................................................      -1,321,000      15,011,029      14,573,815      14,149,335      14,364,879      17,637,857
Carriers................................................               0       1,305,291       1,267,273       1,230,362       1,194,526       1,159,734
Travelers--Low..........................................               0      39,912,246      72,567,057      73,758,478      75,675,484      80,601,739
Travelers--Primary......................................               0      50,002,944      90,621,635      92,151,498      94,296,647      99,673,573
Travelers--High.........................................               0      63,964,046     115,601,256     117,599,376     120,060,175     126,060,630
Grand Total--Low........................................      -1,321,000      56,228,567      88,408,145      89,138,174      91,234,889      99,399,330
Grand Total--Primary....................................      -1,321,000      66,319,264     106,462,723     107,531,195     109,856,052     118,471,164
Grand Total--High.......................................      -1,321,000      80,280,366     131,442,344     132,979,073     135,619,580     144,858,221
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.


[[Page 91666]]


                                                 Exhibit 13--Net Benefits Discounted at a 7 Percent Rate
                                                                       [2012 $] *
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                               2012            2013            2014            2015            2016            2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
CBP.....................................................      -1,321,000      14,449,869      13,504,551      12,621,075      12,334,335      14,578,507
Carriers................................................               0       1,256,495       1,174,295       1,097,472       1,025,674         958,574
Travelers--Low..........................................               0      38,420,200      67,242,895      65,791,878      64,978,397      66,621,077
Travelers--Primary......................................               0      48,133,675      83,972,830      82,198,282      80,967,371      82,384,832
Travelers--High.........................................               0      61,572,866     107,119,725     104,897,553     103,089,103     104,194,959
Grand Total--Low........................................      -1,321,000      54,126,564      81,921,741      79,510,425      78,338,407      82,158,158
Grand Total--Primary....................................      -1,321,000      63,840,039      98,651,675      95,916,829      94,327,381      97,921,913
Grand Total--High.......................................      -1,321,000      77,279,231     121,798,570     118,616,100     116,449,112     119,732,040
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.


    Exhibit 14--Annualized Net Benefits Discounted at 3 Percent and 7
                                 Percent
                               [2012 $] *
------------------------------------------------------------------------
                                             3 Percent       7 Percent
------------------------------------------------------------------------
CBP.....................................      13,336,885      12,973,485
Carriers................................       1,103,496       1,080,843
Travelers--Low..........................      61,385,839      59,420,140
Travelers--Primary......................      76,481,844      74,047,524
Travelers--High.........................      97,368,099      94,285,410
Grand Total--Low........................      75,826,220      73,474,468
Grand Total--Primary....................      90,922,226      88,101,852
Grand Total--High.......................     111,808,481     108,339,738
------------------------------------------------------------------------
* Estimates may not total due to rounding.

    While this rule has a large net benefit to travelers as a whole, it 
is important to note that the net benefits do not accrue uniformly 
across all travelers. We next examine the effect of this rule on each 
type of traveler. Exhibit 14 summarizes the costs and benefits per 
traveler for each class of alien discussed in this analysis. With this 
rule, no traveler needs to fill out the paper Form I-94 while en route 
to the United States, saving all travelers 8 minutes, an estimated 
$5.89 per traveler. The 1 percent of B-1/B-2 travelers and 75 percent 
of other foreign travelers who need to access the Web site experience a 
cost of $2.95 per person because of the 4 minute time burden to access 
the Web site. In addition, those who need to print their Form I-94 
incur a $0.25 printing cost. Those temporary workers and aliens in the 
``Other/Unknown'' category who need to travel to access the Web site 
and print their Form I-94 have an additional travel cost. They need to 
travel an estimated 20 miles and 60 minutes round-trip to reach a 
location with internet access, at a cost of $20.89 per traveler. We 
reiterate that those with obstacles to accessing their electronic Forms 
I-94 may request a paper Form I-94 at secondary inspection stations at 
ports of entry or at CBP DIS. In addition, any travelers who would 
otherwise need to file a Form I-102 and pay the $330 fee to obtain a 
replacement Form I-94 receive an additional benefit of $342.81 as a 
result of this rule. Travelers who opt for the electronic filing option 
receive an additional benefit of $14.72.

                               Exhibit 15--Annual Effect of Rule by Class of Alien
                                             [Undiscounted 2012$] *
----------------------------------------------------------------------------------------------------------------
                                                                   Cost of time
                                                                    to access &
                                                   8 minute time   cost to print   Travel costs    Net impact **
                                                   cost savings     electronic
                                                                     Form I-94
----------------------------------------------------------------------------------------------------------------
Travelers who do not Access Website.............            5.89               0               0            5.89
1 percent of Tourists and Business Travelers (B-            5.89           -3.19               0            2.70
 1/B-2).........................................
75 percent of Students..........................            5.89           -3.19               0            2.70
75 percent of Temporary workers.................            5.89           -3.19          -20.89          -18.21
75 percent of Other/Unknown.....................            5.89           -3.19          -20.89          -18.21
75 percent of Diplomats.........................            5.89           -3.19               0            2.70
----------------------------------------------------------------------------------------------------------------
* Estimates may not total due to rounding.
** In addition to this net impact, a small number of travelers experience savings resulting from no longer
  needing to file a Form I-102. The primary estimate of Form I-102 cost savings to travelers is $342.81 per
  traveler. We do not include the Form I-102 cost savings in the net impact column of Exhibit 14 because few
  travelers benefit from this compared to the overall population of travelers impacted by the rule. Based on
  data from USCIS, we estimate that 10,918 Form I-102s per year are no longer need to be filed as a result of
  this rule. This is far less than one percent of the annual population of travelers affected by the rule
  (10,918 Form I-102s / 20,815,527 travelers in 2014 <1%).

    Annualized costs and benefits to all entities affected by the rule, 
whether domestic or foreign, are presented in the following accounting 
statement.

[[Page 91667]]



 Accounting Statement: Classification of Expenditures for U.S. Entities,
                                2012-2017
                                [2012 $]
------------------------------------------------------------------------
                                   3% Discount rate    7% Discount rate
------------------------------------------------------------------------
U.S. Costs:
    Annualized monetized costs..  $23.5 million.....  $21.0 million.
    Annualized quantified, but    None..............  None.
     non-monetized costs.
    Qualitative (non-quantified)  None..............  None.
     costs.
U.S. Benefits:
    Annualized monetized          $104.1 million....  $101.1 million.
     benefits.
    Annualized quantified, but    None..............  None.
     non-monetized benefits.
    Qualitative (non-quantified)  Reduced primary     Reduced primary
     benefits.                     inspection          inspection
                                   processing times.   processing times.
------------------------------------------------------------------------

    We estimate annualized costs to all entities affected by this rule 
to range from $21.0 million to $23.5 million. Monetized benefits of 
this rule range from $101.9 million to $104.1 million to all entities. 
Non-quantified benefits of this rule include the reduced processing 
time that could result because of the automation of the Form I-94.
    Annualized costs and benefits to U.S. entities are presented in the 
following accounting statement, as required by OMB Circular A-4.

 Accounting Statement: Classification of Expenditures for U.S. Entities,
                                2012-2017
                                [2012 $]
------------------------------------------------------------------------
                                   3% Discount rate    7% Discount rate
------------------------------------------------------------------------
U.S. Costs:
    Annualized monetized costs..  $0.454 million....  $0.466 million.
    Annualized quantified, but    None..............  None.
     non-monetized costs.
    Qualitative (non-quantified)  None..............  None.
     costs.
U.S. Benefits:
    Annualized monetized          $13.5 million.....  $13.3 million.
     benefits.
    Annualized quantified, but    None..............  None.
     non-monetized benefits.
    Qualitative (non-quantified)  Reduced primary     Reduced primary
     benefits.                     inspection          inspection
                                   processing times.   processing times.
------------------------------------------------------------------------

    We estimate annualized costs to U.S. entities as a result of this 
rule to range from $0.454 million to $0.466 million. These are CBP's 
costs for automating the electronic Form I-94 and developing the Web 
site travelers use to access their electronic Form I-94. Monetized 
benefits of this rule of $13.3 million to $13.5 million to U.S. 
entities (CBP and carriers) represent reduced Form I-94 printing and 
storage costs, reduced data entry contract costs, and reduced time 
costs for CBP officers. Non-quantified benefits of this rule include 
the reduced processing time that could result because of the automation 
of the Form I-94.
6. Regulatory Alternatives
    In the analysis for the interim final rule, we considered two 
alternatives to the rule: (1) Eliminating the paper Form I-94 in the 
air and sea environments entirely and (2) providing the paper Form I-94 
to all travelers who are not B-1/B-2 travelers. As a result of public 
comments on the interim final rule, we add a third alternative to our 
analysis: (3) Providing kiosks at major ports of entry where travelers 
have the option to print their electronic Form I-94 prior to leaving 
the airport.
    Under alternative one, if CBP were to eliminate the paper Form I-94 
entirely in the air and sea environments, there are certain classes of 
vulnerable aliens who would be harmed. Under the rule, asylees and 
certain parolees are provided a paper Form I-94. These aliens have an 
immediate need for the Form I-94 and cannot wait to access their 
electronic Form I-94 from the Web site. These aliens represent a very 
small portion of overall international travel and providing them with a 
paper Form I-94 and entering the information into CBP data systems is 
not a significant cost to CBP. In addition, under this rule, CBP has 
continued to make the paper Form I-94 available to those travelers who 
request it at secondary inspection stations and at DIS. CBP provides 
this flexibility as a way to minimize the effect on those who face 
obstacles to accessing their electronic Form I-94.
    CBP does not have statistics on the number of travelers who request 
a paper Form I-94. Anecdotal evidence suggests that few, if any, 
travelers go to a secondary inspection station or a DIS for the purpose 
of obtaining a paper Form I-94. This may be because the travelers who 
need a paper Form I-94 do not know they need it when at the airport or 
because they find it more efficient to access the I-94 Web site and 
print the form than to go to secondary inspection or a DIS. Requesting 
a paper Form I-94 at one of these locations can take longer than the 4 
minutes we estimate it takes to access the I-94 Web site and the 60 
minutes in travel time we estimate that those with obstacles to 
internet access spend to obtain their Form I-94. As few aliens request 
a paper Form I-94 at secondary inspection stations or DIS, the cost to 
CBP for printing and data entry for these forms is minimal. Eliminating 
the paper Form I-94 option for asylees, certain parolees, and those 
travelers who request one would not result in a significant cost 
savings to CBP and would burden travelers who have an immediate need 
for an electronic Form I-94 or who face obstacles to accessing their 
electronic Form I-94.
    Under alternative two, all non-B-1/B-2 travelers required to 
complete a Form I-94 would receive and complete the

[[Page 91668]]

paper Form I-94 during their inspection when they arrive in the United 
States. The electronic Form I-94 would still be automatically created 
during inspection, but the CBP officer would need to verify that the 
information appearing on the form matches the information in CBP's data 
systems. In addition, CBP would need to write the Form I-94 number on 
each paper Form I-94 so that their paper form matches the electronic 
record. As noted earlier, over four million, or 23.7 percent, aliens 
were non-B-1/B-2 travelers in 2012. Filling out and processing this 
many paper Forms I-94 at airports and seaports would increase 
processing times considerably and it would only provide at best small 
savings to the individual traveler. As noted in the ``Net Benefits'' 
section, the net cost of this rule to the 75 percent of temporary 
workers and those in the ``Other/Unknown'' category of aliens who need 
a printed Form I-94 is only $18.20 per traveler. Conversely, this rule 
provides net benefits to travelers who do not need a printed Form I-94 
and those arriving as students or diplomats.
    CBP received several public comments related to the obstacles 
travelers face in accessing a computer to print their electronic Form 
I-94. Commenters said that many travelers need their Form I-94 very 
soon after arrival, sometimes within hours of arrival, and they may 
have difficulty learning that public libraries offer internet access, 
where public libraries are, and how to travel to a public library. An 
employer submitted a comment stating that company privacy standards 
prevent it from allowing new hires to access the internet in order to 
access the I-94 Web site. Separately, commenters pointed out problems 
with the accuracy of the Form I-94 information that prevent them from 
logging into the Web site. Others noted that there is no way to check 
their Form I-94 for accuracy at time of entry into the United States. 
One commenter suggested a solution to these problems: That CBP provide 
kiosks at the airports where foreign nationals can inspect and print 
their electronic Form I-94. CBP considered this suggestion and made it 
an additional alternative to the rule.
    Under alternative three, we consider the costs and benefits of 
placing kiosks at the busiest U.S. airports and seaports to allow 
travelers to inspect and print their electronic Form I-94 before 
leaving the port of entry. For the purposes of this alternative 
analysis, we examine the impact of placing dedicated kiosks at the 
busiest 20 airports and the busiest 20 seaports. These locations 
account for 92 percent of international air travelers and 95 percent of 
international sea travelers.\35\
---------------------------------------------------------------------------

    \35\ CBP's Operations Management Reporting database. Accessed 
June 30, 2014.
---------------------------------------------------------------------------

    CBP uses kiosks at many major airports for the Global Entry 
program. These kiosks are dedicated for use by members of that program, 
but similar kiosks could be purchased to allow travelers to access the 
I-94 Web site and print their Form I-94. According to CBP's Office of 
Field Operations, kiosks would cost $20,000 each and have an annual 
operations and maintenance cost of $8,732. Placing a kiosk at each of 
the busiest 20 airports and the busiest 20 seaports would cost $800,000 
the first year and $349,280 in each subsequent years.
    The benefit of placing kiosks at the busiest airports and seaports 
depends on the number of people who would use the kiosks if they were 
available. CBP has no data on the extent to which travelers would 
choose to use the kiosks if they were available to them. As stated 
previously, few travelers request paper Forms I-94 upon their arrival 
in the United States, but that might be because doing so means going to 
the secondary inspection station, which can take a considerable amount 
of time. We also do not know how many people find errors on their 
electronic Forms I-94 that they could correct immediately if they were 
already at an airport or seaport rather than visiting a Deferred 
Inspection Site at a later time, though data suggests this could be a 
large number. In 2013, according to an analysis of data provided by 
CBP's Office of Field Operations, about 14 percent of unique visitors 
to the I-94 Web site were not able to locate their electronic Form I-
94. This may have been because of erroneous data on their Form I-94, 
but it could also be because they did not actually have an Form I-94 on 
the Web site (for example, if they are a U.S. citizen or if they 
already departed the country prior to accessing the Web site).
    Accessing the Web site via a kiosk would take 4 minutes of a 
traveler's time, the same amount of time as via a personal computer. 
Therefore, we do not believe that those who do not currently access 
their electronic Forms I-94 (as stated earlier, this includes the 99 
percent of B-1/B-2 travelers and 25 percent of non-B-1/B-2 travelers) 
would now access them via the kiosks. Similarly, those with easy 
computer access would experience no time savings by accessing their 
Form I-94 via the kiosk instead of via the Web site, so we do not 
include their benefits in the analysis. The travelers who would benefit 
from the availability of kiosks to access their electronic Form I-94 
are those who would otherwise need to travel to access the internet. 
These travelers would no longer incur the opportunity cost of traveling 
60 minutes or the mileage cost of driving 20 miles roundtrip. In our 
analysis above, we have estimated that 33 percent of travelers in the 
``Temporary Workers'' and ``Other/Unknown'' categories of travelers 
would need to travel to access the internet. In 2014 (the first full 
year the interim final rule is in effect) this represents approximately 
819,000 travelers. Since we do not know how many of these travelers 
would choose to use the kiosks, we present the costs and benefits 
(using the primary estimates for travel and mileage costs) that would 
accrue to these travelers under a wide range of assumptions of their 
kiosk use. The benefits reflect the total travel costs, including 
travel time and mileage, derived earlier in the analysis (See Exhibit 
5). We present the reduction in travel costs (which is a benefit) that 
would result if different percentages of travelers use a kiosk rather 
than travel to a location where they can access the internet. The 
results of our analysis are presented in Exhibit 16.

                                              Exhibit 16--Comparison of Kiosk Costs and Potential Benefits
                                                                 [Undiscounted 2012$] *
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                          Kiosk use rate
                                                               * (%)           2013            2014            2015            2016            2017
--------------------------------------------------------------------------------------------------------------------------------------------------------
Benefits................................................             100       9,283,113      17,107,912      17,951,467      18,719,357      19,747,575
                                                                      75       6,962,334      12,830,934      13,463,600      14,039,517      14,810,681
                                                                      50       4,641,556       8,553,956       8,975,733       9,359,678       9,873,788

[[Page 91669]]

 
                                                                      25       2,320,778       4,276,978       4,487,867       4,679,839       4,936,894
                                                                      10         928,311       1,710,791       1,795,147       1,871,936       1,974,758
                                                                       5         464,156         855,396         897,573         935,968         987,379
                                                                       1          92,831         171,079         179,515         187,194         197,476
                                                         -----------------------------------------------------------------------------------------------
CBP Costs...............................................  ..............  ..............         800,000         329,280         329,280         329,280
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Note that Kiosk Use Rate represents the percentage of those who would otherwise need to travel to access a computer, not total Form I-94 travelers.
  Only approximately 4 percent of total Form I-94 travelers need to travel to access the Web site (12 percent of travelers in the ``Temporary Worker''
  or ``Other/Unknown'' categories times 33 percent of those categories who would need to travel to access the internet = 4 percent).

    As shown in Exhibit 15, kiosks have a large potential for benefits 
if they are used by a substantial number of travelers. If 100 percent 
of travelers who would otherwise need to travel to access a computer 
used the kiosks instead, benefits would outpace the costs of the kiosks 
by a margin of $17.2 million to $0.8 million in 2014 and by more in 
later years. Even if only 5 percent of travelers who would otherwise 
need to travel to access a computer use the kiosks, benefits would 
exceed costs. However, based on CBP's experience with travelers 
requesting paper Forms I-94 at the ports of entry, CBP does not believe 
enough travelers would use the kiosks to merit the expense. Further, 
due to budget constraints, CBP does not have funds to acquire these 
kiosks at this time.

The Regulatory Flexibility Act

    The Regulatory Flexibility Act (5 U.S.C. 601 et seq.), as amended 
by the Small Business Regulatory Enforcement and Fairness Act of 1996, 
requires an agency to prepare a regulatory flexibility analysis that 
describes the effect of a proposed rule on small entities when the 
agency is required to publish a general notice of proposed rulemaking. 
A small entity may be a small business (defined as any independently 
owned and operated business not dominant in its field that qualifies as 
a small business per the Small Business Act); a small not-for-profit 
organization; or a small governmental jurisdiction (locality with fewer 
than 50,000 people). Since a notice of proposed rulemaking was not 
necessary, a regulatory flexibility analysis was not required. 
Nonetheless, DHS has considered the impact of this rule on small 
entities.
    This rule primarily regulates individuals and individuals are not 
considered small entities. In addition, the individual travelers may 
obtain a paper Form I-94 upon request, which would eliminate the 
impacts of this rule for those travelers. Employers who have internet 
access may choose to allow their employees to use their internet 
connection to access the employee's electronic Form I-94, but they are 
not required to do so and are therefore not directly regulated by this 
rule. To the extent an employer chooses to assist an employee with 
accessing the internet and printing a Form I-94, this impact would not 
rise to being an economically significant impact under the Regulatory 
Flexibility Act.
    This rule also regulates air and sea carriers by eliminating the 
need for them to provide the paper Form I-94 to their passengers. This 
rule would impact all small carriers that transport passengers to the 
United States. We therefore conclude that this rule has an impact on a 
substantial number of small entities.
    As stated in the economic impact analysis above, we estimate that 
carriers spend $1.3 million a year printing and storing forms for their 
passengers, based on 2011 passenger volumes. In 2011, 16,586,753 Forms 
I-94 provided by carriers were filed at airports and seaports. Dividing 
these figures, we estimate that carriers spent 8 cents per form on 
printing and storage costs.
    Under this rule, carriers would no longer need to print and store 
the Forms I-94, thus eliminating these costs. According to a 2013 study 
by the Department of Commerce's Office of Travel and Tourism 
Industries,\36\ the average airline ticket price for an international 
traveler traveling to the United States is $1,588. The cost to the 
carrier of printing a Form I-94 is less than one hundredth of one 
percent of the revenue a carrier receives from the average passenger. 
We therefore do not believe that this rule has a significant economic 
impact on small entities. We also note that any impact to small 
carriers would be purely beneficial.
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    \36\ Department of Commerce, National Travel and Tourism Office. 
``Profile of Overseas Travelers to the United States: 2013 
Inbound.'' Available at http://travel.trade.gov/outreachpages/download_data_table/2013_Overseas_Visitor_Profile.pdf. Accessed July 
10, 2014.
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Privacy

    CBP will ensure that all Privacy Act requirements and policies are 
adhered to in the implementation of this rule, and will be updating the 
Privacy Impact Assessment (PIA) for the I-94 Web site. CBP will outline 
in the updated PIA how CBP will ensure compliance with Privacy Act 
protections. In the updated PIA, CBP will explain the privacy risks and 
mitigations CBP has implemented during this phase of the Form I-94 
automation process. DHS/CBP will post the updated PIA online at: http://www.dhs.gov/privacy-documents-us-customs-and-border-protection. The 
PIA that covers the earlier phase of Form I-94 automation, and 
describes how CBP complies with the Privacy Act, is available at: 
https://www.dhs.gov/sites/default/files/publications/privacy/PIAs/pia-cbp-16-I-94-automation-20130227.pdf.

Paperwork Reduction Act

    The collection of information regarding the CBP Form I-94 (Arrival/
Departure Record) was previously reviewed and approved by OMB in 
accordance with the requirements of the Paperwork Reduction Act of 1995 
(44 U.S.C. 3507) under OMB Control Number 1651-0111. This OMB Control 
Number also includes the Electronic System for Travel Authorization 
(ESTA), ESTA fee, and Form I-94W, all of which are unaffected by this 
rule. In addition, information for the electronic Form I-94 is 
comprised of information already collected for APIS under approval 
1651-0088. An agency may not conduct, and a person is not required to 
respond to, a collection of information unless the collection of

[[Page 91670]]

information displays a valid control number assigned by OMB.
    The burden hours associated with the collections of information 
contained in this Final Rule were previously reviewed and approved by 
OMB. The automation of the paper Form I-94 for commercial aircraft and 
vessel passengers in accordance with this Final Rule results in a 
reduction of 1,278,456 annual burden hours under OMB control number 
1651-0111.
    Also in accordance with this Final Rule, the electronic Form I-94 
is available to aliens on a secure Web site. Passengers may log into 
the Web site using 7 pieces of basic identifying information that is 
either known to the traveler (their first name, last name and date of 
birth) or readily available on their passport (passport number, country 
of issuance, date of entry, and class of admission). The estimated 
annual burden associated with this Web site, is 254,680 hours under OMB 
control number 1651-0111.
    The automation of the paper Form I-94 for commercial aircraft and 
vessel passengers in accordance with this Final Rule results in an 
estimated reduction of 10,918 Forms I-102, Application for Replacement/
Initial Nonimmigrant Arrival-Departure Document, filed, and an 
estimated reduction of 4,541.89 burden hours under OMB control number 
1615-0079.
    Exhibit 16 summarizes the difference in the burden for the previous 
process and the process under this rule. As OMB Control Number 1651-
0111 includes ESTA and Form I-94W, we include those burden hours for 
informational purposes. We note that these burden hours are unaffected 
by this rule.

                                   Exhibit 16--PRA Burden Effects of the Rule
----------------------------------------------------------------------------------------------------------------
                                                       Collection              Respondents        Burden Hours
----------------------------------------------------------------------------------------------------------------
Pre-IFR....................................  I-94.........................         14,000,000          1,862,000
                                             Website......................                  0                  0
                                             I-102........................             17,700              7,363
                                             ESTA.........................         19,140,000          4,785,000
                                             I-94W........................            100,000            333,147
Final Rule.................................  I-94.........................          4,387,550            583,544
                                             Website......................          3,858,782            254,680
                                             I-102........................              6,782              2,821
                                             ESTA.........................         19,140,000          4,785,000
                                             I-94W........................            100,000             13,333
Difference.................................  I-94.........................         -9,612,450         -1,278,456
                                             Website......................          3,858,782            254,680
                                             I-102........................            -10,918             -4,542
                                             ESTA.........................                  0                  0
                                             I-94W........................                  0                  0
----------------------------------------------------------------------------------------------------------------

Amendments to the Regulations

    For the reasons set forth above, the interim final rule amending 8 
CFR parts 1, 210, 212, 214, 215, 231, 235, 245, 245a, 247, 253, 264, 
274a, and 286, published at 78 FR 18457 on March 27, 2013, is adopted 
as a final rule without change.

Jeh Charles Johnson,
Secretary.
[FR Doc. 2016-30459 Filed 12-16-16; 8:45 am]
 BILLING CODE 9111-14-P