Each project involves three-phases: 

Phase I - Laboratory Testing: Prototyping and estimating potential effectiveness/success

Phase II - Trade Lane Testing: Includes testing in an operational trade lane—the route a container travels—using 100 trips from the container packing location to arrival at a US port.

Phase III - Performance Standards Definition: After successful completion of both phases of testing, S&T is to deliver performance standards—including system requirements and test plans—to the Office of Policy Development and CBP.

Time lines for compliance and addition requirements are then promulgated by CBP.

The report says that from 2004 through 2009, the government spent over $60 million and made varying levels of progress in the research and development on these four container security technology projects. However, the government "has not yet conducted Phase II trade lane testing in an operational environment to ensure that the prototypes will satisfy the requirements so that S&T can provide performance standards to the Office of Policy Development and CBP," for any of the four technologies, the GAO report says.

Also, the report says "the master test plans do not reflect all operational scenarios being considered because Department of Homeland Security is currently focused on using the technologies in the maritime environment," - a situation that might be revisited given last week's attack using air cargo.

Of the four technology initiatives, only the Marine Asset Tag Tracking System (MATTS) and the Container Security Device (CSD) appear to be relatively on schedule, with each supposedly going to trade lane testing in 2010.

The Hybrid Composite Container initiative has stalled due to problems with the contracted vendor, and Advanced Container Security Device (ACSD) was stopped because of performance issues.

In addition to concern about schedule slippage, the GAO report has strong concerns about the Phase II testing process for these technologies. Specifically, it says that "S&T’s plans for conducting Phase II trade lane testing of these container security technologies do not reflect all the operational scenarios agreed upon within DHS for how the technologies could be implemented."

Further, GAO says that there are three key steps that remain before implementation of any of these technologies can occur: (1) obtaining support from trade industry and international partners, (2) developing a concept of operations (CONOPS) that describes how the technologies are to be deployed, and (3) certifying the technologies for use in the supply chain.

The report says that "Our work indicates that the Office of Policy Development and CBP could face challenges when executing some of these steps."

All told, the report highlights slow progress and implementation concerns for a variety of technologies to improve cargo security. Whether last week's incident will spur changes through DHS or Congressional action will be interesting to see.

The full report is available here: Supply Chain Security- DHS Should Test and Evaluate Container Security Technologies Consistent with All Identified Operational Scenarios to Ensure the Technologies Will Function as Intended.

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