In addition to any applicable procedures required under §§ 1090.1810 and 1090.1815, an auditor must perform the procedures in this section for a gasoline manufacturer that imports GTAB under § 1090.1615.
(a) Listing of GTAB imports. An auditor must review a listing of GTAB imports as follows:
(1) Obtain a detailed listing of GTAB imports from the GTAB importer.
(2) Foot the listing of GTAB imports from the GTAB importer.
(3) Obtain a listing of GTAB imports directly from the third-party customs broker.
(4) Foot the listing of GTAB imports from the third-party customs broker and report any variances.
(5) Compare the total volume from the GTAB importer's listing of GTAB imports to the listing from the third-party customs broker.
(6) Report in the attestation report the total imported volume of GTAB and the corresponding facilities at which the GTAB was blended.
(b) Listing of GTAB batches. An auditor must review a listing of GTAB batches as follows:
(1) Obtain the GTAB batch reports submitted under subpart J of this part.
(2) Foot the batch volumes.
(3) Compare the total volume from the GTAB batch reports to the total volume from the listing of GTAB imports in paragraph (a)(6) of this section and report any variances.
(c) Detailed testing of GTAB imports. An auditor must review a detailed listing of GTAB imports as follows:
(1) Select a representative sample from the listing of GTAB imports obtained under paragraph (a)(1) of this section.
(2) For each selected GTAB batch, obtain the U.S. Customs Entry Summaries.
(3) Using a unique identifier, confirm that the correct U.S. Customs Entry Summaries are obtained for the samples. Compare the volumes and locations that each selected GTAB batch arrived in the United States to the U.S. Customs Entry Summary and report any exceptions.
(d) Detailed testing of GTAB batches. An auditor must review a detailed listing of GTAB batches as follows:
(1) Select a representative sample from the GTAB batch reports obtained under paragraph (b)(1) of this section.
(2) For each selected GTAB batch sample, obtain the volume inspection report.
(3) Compare the reported volume for each selected GTAB batch to the volume inspection report and report any exceptions.
(e) GTAB tracing. An auditor must trace and review the movement of GTAB from importation to gasoline production as follows:
(1) Compare the volume total on each GTAB batch report obtained under paragraph (b)(1) of this section to the GTAB volume total in the gasoline manufacturer's inventory reconciliation analysis under § 1090.1810(b).
(2) For each selected GTAB batch under paragraph (d)(1) of this section:
(i) Obtain tank activity records that describe the movement of each selected GTAB batch from importation to gasoline production.
(ii) Identify each selected GTAB batch in the tank activity records and trace each selected GTAB batch to subsequent reported batches of BOB or finished gasoline.
(iii) Match the location of the facility where gasoline was produced from each selected GTAB batch to the location where each selected GTAB batch arrived in the United States, or to the facility directly receiving the GTAB batch from the import facility.
(iv) Determine the status of the tank(s) before receiving each selected GTAB batch (e.g., empty tank, tank containing blendstock, tank containing GTAB, tank containing PCG).
(v) If the tank(s) contained PCG before receiving the selected GTAB batch, take the following additional steps:
(A) Obtain and review a copy of the documented tank mixing procedures.
(B) Determine the volume and properties of the tank bottom that was PCG before adding GTAB.
(C) Confirm that the gasoline manufacturer determined the volume and properties of the BOB or finished gasoline produced using GTAB by excluding the volume and properties of any PCG, and that the gasoline manufacturer separately reported the PCG volume and properties under subpart J of this part and report any discrepancies.