[Federal Register Volume 59, Number 122 (Monday, June 27, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-15504]


[[Page Unknown]]

[Federal Register: June 27, 1994]


                                                   VOL. 59, NO. 122

                                              Monday, June 27, 1994

DEPARTMENT OF AGRICULTURE

Food Safety and Inspection Service

9 CFR Part 391

[Docket No. 94-013P]

 

Fee Increase for Inspection Services

AGENCY: Food Safety and Inspection Service, USDA.

ACTION: Proposed rule.

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SUMMARY: The Food Safety and Inspection Service (FSIS) is proposing to 
amend the Federal meat and poultry products inspection regulations to 
increase the fees charged by FSIS to provide overtime and holiday 
inspection, voluntary inspection, identification, certification, or 
laboratory services to meat and poultry establishments. The proposed 
fee increases reflect the increased costs of providing these services 
due primarily to the increase in salaries of Federal employees 
allocated by Congress under the Federal Employees Pay Comparability Act 
of 1990.

DATES: Comments must be received on or before: July 27, 1994.

ADDRESSES: Send written comments to the Policy Evaluation and Planning 
Staff, Attention: Diane Moore, FSIS Hearing Clerk, Room 3171, South 
Agriculture Building, Food Safety and Inspection Service, U.S. 
Department of Agriculture, Washington, DC 20250-3700. Oral comments as 
provided under the Poultry Products Inspection Act should be directed 
to Mr. William L. West, (202) 720-3367. (See also ``Comments'' under 
Supplementary Information.)

FOR FURTHER INFORMATION CONTACT: Mr. William L. West, Director, Budget 
and Finance Division, Administrative Management, Food Safety and 
Inspection Service, U.S. Department of Agriculture, Washington, DC 
20250-3700, (202) 720-3367.

SUPPLEMENTARY INFORMATION: 

Executive Order 12866

    This proposed rule has been determined to be not significant for 
purposes of Executive Order 12866 and therefore has not been reviewed 
by the Office of Management and Budget. The proposed fee increases 
reflect the increased costs of providing certain inspection services 
due primarily to an increase in salaries of Federal employees allocated 
by Congress under the Federal Employees Pay Comparability Act of 1990. 
Since FSIS is required to recover the reimbursable portion of the 
increase in employee salaries, FSIS is only providing a 30-day comment 
period for this proposed rule.

Executive Order 12778

    This proposed rule has been reviewed under Executive Order 12778, 
Civil Justice Reform. This proposed rule is intended to have preemptive 
effect with respect to any State or local laws, regulations or policies 
which conflict with its provisions or which would otherwise impede its 
full implementation. This proposed rule is not intended to have 
retroactive effect unless so specified in the EFFECTIVE DATE section of 
this preamble. Prior to any judicial challenge to the provisions, all 
applicable administrative procedures must be exhausted. Under the 
Federal Meat and Poultry Products Inspection Acts, the administrative 
procedures are set forth in 7 CFR part 1.

Effect on Small Entities

    The Administrator, Food Safety and Inspection Service, has 
determined that this action will not have a significant economic impact 
on a substantial number of small entities as defined by the Regulatory 
Flexibility Act (5 U.S.C. 601). The fees provided for in this document 
reflect only a minimal increase in the costs currently borne by those 
entities which elect to utilize certain inspection services.

Comments

    Interested persons are invited to submit written comments 
concerning this proposal. Written comments should be sent to the Policy 
Evaluation and Planning Staff and should refer to docket number 94-
013P. Any person desiring an opportunity for oral presentation of views 
as provided under the Poultry Products Inspection Act must make such 
request to Mr. West so that arrangements may be made for such views to 
be presented. A record will be made of all views orally presented. All 
comments submitted in response to this proposal will be available for 
public inspection in the Policy Office from 9:00 a.m. to 4:00 p.m., 
Monday through Friday.

Background

    Mandatory inspection by Federal inspectors of meat and poultry 
slaughtered and/or processed at official establishments is provided for 
under the Federal Meat Inspection Act (21 U.S.C. 601 et seq.). and the 
Poultry Products Inspection Act (21 U.S.C. 451 et seq.). Such 
inspection is required to ensure the safety, wholesomeness, and proper 
labeling of meat and poultry products; the ordinary costs of inspection 
are borne by the U.S. Government. However, costs for these inspection 
services performed on holidays or on an overtime basis may be incurred 
to accommodate the business needs of particular establishments. All of 
these costs which are not a part of the mandatory inspection service 
are recoverable by the Government.
    Each year the fees for certain services rendered to operators of 
official meat and poultry establishments, importers, or exporters by 
FSIS are reviewed and a cost analysis is performed to determine if such 
fees are adequate to recover the cost of providing the services.\1\ The 
analysis relates to fees changed in connection with overtime and 
holiday inspection, voluntary inspection, identification, 
certification, or laboratory services. The proposed new fees discussed 
below were determined by an analysis of data on the current cost of 
these services and by increases in costs due primarily to an increase 
in the salaries of Federal employees allocated by Congress under the 
Federal Employees Pay Comparability Act of 1990 which provided an 
average FSIS locality pay raise of 3.2 percent in January 1994. Other 
increases affecting Federal employees, such as costs for benefits, are 
due to the increasing number of employees covered by the Federal 
Employees Retirement System in 1994 which is subject to the Federal 
Insurance Contributions Act (FICA) tax, and increased health insurance 
costs. Based on the Agency's analysis of the costs in providing these 
services, FSIS is proposing to increase the fees relating to overtime 
and holiday inspection, voluntary inspection, identification, 
certification and laboratory services.
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    \1\The cost analysis is on file with the FSIS Hearing Clerk. 
Copies may be requested free of charge from the FSIS Hearing Clerk, 
Room 3171, South Agriculture Building, Food Safety and Inspection 
Service, U.S. Department of Agriculture, Washington, DC 20250-3700.
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    9 CFR 307.5 of the Federal meat inspection regulations provides 
that FSIS shall be reimbursed for the cost of meat inspection on 
holidays or on an overtime basis at the rate specified in 9 CFR 391.3, 
currently $30.72 per hour, per program employee. Similarly, 9 CFR 
381.38 of the poultry products inspection regulations provides that 
FSIS shall be reimbursed for the cost of poultry inspection on holidays 
or on an overtime basis at the rate specified in 9 CFR 391.3, currently 
$30.72 per hour, per program employee. FSIS is proposing to increase 
the fee set forth in section 391.3 to $31.80 per hour, per program 
employee.
    FSIS also provides a range of voluntary inspection and 
certification services (9 CFR 350.7, 351.8, 351.9, 352.5, 354.101, 
355.12, and 362.5); the costs of which are totally recoverable by the 
Government. These services, provided under Subchapter B--Voluntary 
Inspection and Certification Service--are provided under the 
Agricultural Marketing Act of 1946, as amended (7 U.S.C. 1621 et seq.) 
to assist in the orderly marketing of various animal products and 
byproducts not subject to the Federal Meat Inspection Act or the 
Poultry Products Inspection Act.
    The base time rate for providing voluntary inspection and 
certification services is currently $29.84 per hour, per program 
employee, as specified in 9 CFR 391.2. The overtime and holiday rate 
for voluntary inspection services is currently $30.72 per hour, per 
program employee, as specified in 9 CFR 391.3. As stated above, these 
fees would be increased to $31.12 per hour and $31.80 per hour, per 
program employee, respectively.
    The rate for laboratory services is currently $51.80 per hour, per 
program employee, as specified in 9 CFR 391.4. FSIS is proposing to 
increase the fee set forth in section 391.4 to $52.04 per hour, per 
program employee.

List of Subjects in 9 CFR Part 391

    Fees and charges, Meat inspection, Poultry products inspection.

    For the reasons set out in the preamble, 9 CFR part 391 is proposed 
to be amended as set forth below.

PART 391--FEES AND CHARGES FOR INSPECTION SERVICES

    1. The authority citation for part 391 would continue to read as 
follows:

    Authority: 21 U.S.C. 601 et seq., 460 et seq.; 7 CFR 2.17 (g) 
and (i), 2.55; 7 U.S.C. 394, 1622, and 1624.

    2. Sections 391.2, 391.3, and 391.4 would be revised to read as 
follows:


Sec. 391.2  Base time rate.

    The base time rate for inspection services provided pursuant to 
Secs. 350.7, 351.8, 351.9, 352.5, 354.101, 355.12, and 362.5 shall be 
$31.13 per hour, per program employee.


Sec. 391.3  Overtime and holiday rate.

    The overtime and holiday rate for inspection services provided 
pursuant to Secs. 307.5, 350.7, 351.8, 351.9, 352.5, 354.101, 355.12, 
362.5, and 381.38 shall be $31.80 per hour, per program employee.


Sec. 391.4  Laboratory services rate.

    The rate for laboratory services provided pursuant to Secs. 350.7, 
351.9, 352.5, 354.101, 355.12, and 362.5 shall be $52.04 per hour, per 
program employee.

    Done at Washington, DC, on June 22, 1994.
Patricia Jensen,
Acting Assistant Secretary, Marketing and Inspection Services.
[FR Doc. 94-15504 Filed 6-24-94; 8:45 am]
BILLING CODE 3410-DM-M