[Federal Register Volume 63, Number 124 (Monday, June 29, 1998)]
[Notices]
[Pages 35186-35187]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-17179]


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 Notices
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  Federal Register / Vol. 63, No. 124 / Monday, June 29, 1998 / 
Notices  

[[Page 35186]]


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DEPARTMENT OF AGRICULTURE

Farm Service Agency


U.S. Warehouse Act Fees

AGENCY: Farm Service Agency, USDA.

ACTION: Notice.

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SUMMARY: The purpose of this notice is to publish a schedule increasing 
the licensing and inspection fees to be charged warehouse operators 
under the United States Warehouse Act (USWA) and regulations with 
respect to: Cotton, grain, tobacco, wool, dry bean, nut, syrup, and 
cottonseed.

EFFECTIVE DATE: October 1, 1998.

FOR FURTHER INFORMATION CONTACT:
Helen Linden, Warehouse and Inventory Division, Farm Service Agency, 
United States Department of Agriculture, 1400 Independence Avenue, SW, 
STOP 0553, Washington, DC 20250-0553, telephone (202) 690-4321, FAX: 
(202) 690-3123, E-Mail: Helen__L[email protected].

Background

    Pursuant to the provisions of the USWA which regulates warehouse 
operations for the benefit of all depositors, the Secretary has the 
authority to license public warehouse operators. Warehouse operators 
that opt to have a USWA license understand that fees will be imposed to 
cover the costs of the program. Specifically, section 10 of the USWA (7 
U.S.C. 251) mandates the imposition of fees for USWA licensed 
warehouses. The USWA provides, in part, that:
    The Secretary of Agriculture * * * shall charge, assess, and cause 
to be collected a reasonable fee for (1) Each examination or inspection 
of a warehouse * * *; (2) each license issued to any person to 
classify, inspect, grade, sample, or weigh agricultural products stored 
or to be stored * * *; (3) each annual warehouse license issued to a 
warehouseman to conduct a warehouse * * *; and (4) each warehouse 
license amended, modified, extended, or reinstated * * *. Such fees 
shall cover, as nearly as practicable, the costs of providing such 
services and licenses, including administrative and supervisory costs * 
* *.
    The USWA mandates fee collections to sustain the Federal warehouse 
licensing and examination programs. In keeping with the Department of 
Agriculture's strategic plan of making the USWA more self-sufficient, 
the Farm Service Agency (FSA) is raising USWA license and user fees to 
increase the amount of revenue generated to recover operational costs 
for the USWA in Fiscal Year 1999 (FY). The FY 99 fee adjustment 
reflects a general, across the board, 7.5 percent increase in fees for 
all USWA licensed warehouse operators.
    The regulations used in administering USWA fees were last amended 
effective October 1, 1997, (62 FR 33582, June 20, 1997 and corrected at 
62 FR 42234, August 6, 1997), at which time fee adjustments reflected 
increases of no greater than 10 percent for each type of commodity with 
the rate of increase depending on FSA's direct costs with respect to 
warehouse examinations for that commodity.
    These regulations at 7 CFR parts 735 through 743 provide that USWA 
fees could be adjusted annually in order to cover, as nearly as 
practicable, the operating costs for the program.

Warehouse and Service License Fees

    The fee for original issuance, reissuance, or duplication of a 
license for cotton, grain, tobacco, wool, dry beans, nut, syrup, and 
cottonseed is $80 for each license issued.
    The fee charged to license individuals to inspect, sample, grade, 
classify, or weigh commodities is $35 for each service license issued.

Warehouse Annual and Inspection Fees

    These fees are shown in the following tables by agricultural 
product. Inspection fees are assessed for each original examination or 
inspection, or reexamination or reinspection for modification of an 
existing license. Annual fees are assessed independently of inspection 
fees.

                                                     Cotton                                                     
                                                   [In bales]                                                   
----------------------------------------------------------------------------------------------------------------
                                                                                           Annual fee for each  
                                                                  Annual fee for each       warehouse location  
                       Licensed capacity                        warehouse location with   without a CCC storage 
                                                                a CCC storage agreement         agreement       
----------------------------------------------------------------------------------------------------------------
1-20,000......................................................                     $590                   $1,075
20,001-40,000.................................................                      770                    1,400
40,001-60,000.................................................                      945                    1,720
60,001-80,000.................................................                    1,185                    2,155
80,001-100,000................................................                    1,480                    2,690
100,001-120,000...............................................                    1,775                    3,225
120,001-140,000...............................................                    2,070                    3,765
140,001-160,000...............................................                    2,365                    4,300
160,001+......................................................                  * 2,365                 ** 4,300
----------------------------------------------------------------------------------------------------------------
* Plus $60 per 5,000 bale capacity above 160,000 bales or fraction thereof.                                     
** Plus $110 per 5,000 bale capacity above 160,000 bales or fraction thereof.                                   
Inspection fees will be charged at the rate of $80 for each 1,000 bales of licensed capacity, or fraction       
  thereof, but in no case less than $160 nor more than $1,600.                                                  


[[Page 35187]]


                                                      Grain                                                     
                                                  [In bushels]                                                  
----------------------------------------------------------------------------------------------------------------
                                                                                           Annual fee for each  
                                                                  Annual fee for each       warehouse location  
                       Licensed capacity                        warehouse location with   without a CCC storage 
                                                                a CCC storage agreement         agreement       
----------------------------------------------------------------------------------------------------------------
1-150,000.....................................................                     $155                     $280
150,001-250,000...............................................                      310                      565
250,001-500,000...............................................                      460                      835
500,001-750,000...............................................                      620                    1,125
750,001-1,000,000.............................................                      770                    1,400
1,000,001-1,200,000...........................................                      925                    1,680
1,200,001-1,500,000...........................................                    1,075                    1,955
1,500,001-2,000,000...........................................                    1,230                    2,235
2,000,001-2,500,000...........................................                    1,385                    2,520
2,500,001-5,000,000...........................................                    1,535                    2,790
5,000,001-7,500,000...........................................                    1,695                    3,080
7,500,001-10,000,000..........................................                    1,850                    3,365
10,000,001+...................................................                  * 1,850                 ** 3,365
----------------------------------------------------------------------------------------------------------------
* Plus $50 per million bushels above 10,000,000 or fraction thereof.                                            
** Plus $90 per million bushels above 10,000,000 or fraction thereof.                                           
Inspection fees will be charged at the rate of $16 for each 10,000 bushels of licensed capacity, or fraction    
  thereof, but in no case less than $160 nor more than $1,600.                                                  


                                Dry Beans                               
                           [In hundredweight]                           
------------------------------------------------------------------------
                     Licensed capacity                        Annual fee
------------------------------------------------------------------------
100-90,000.................................................         $770
90,001-150,000.............................................        1,075
150,001-300,000............................................        1,385
300,001-450,000............................................        1,695
450,001-600,000............................................        2,000
600,001-720,000............................................        2,305
720,001-900,000............................................        2,620
900,001-1,200,000..........................................        2,925
1,200,001-1,500,000........................................        3,225
1,500,001-3,000,000........................................        3,535
3,000,001+.................................................        3,845
------------------------------------------------------------------------
Inspection fees will be charged at the rate of $16 for each 1,000       
  hundredweight of licensed capacity, or fraction thereof, but in no    
  case less than $160 nor more than $1,600.                             

Tobacco and wool
    Annual fee: $16 for each 100,000 pounds of licensed capacity, or 
fraction thereof, but in no case less than $620.
    Inspection fee: $16 for each 100,000 pounds of licensed capacity, 
or fraction thereof, but in no case less than $160 nor more than 
$1,600.
Nuts
    Annual fee: $14 for each 100 short tons of licensed capacity, or 
fraction thereof, but in no case less than $620.
    Inspection fee: $8 for each 100 short tons of licensed capacity, or 
fraction thereof, of peanuts and $14 for each 1,000 hundredweight, or 
fraction thereof, of other nuts, but in no case less than $160 nor more 
than $1,600.
Syrup
    Annual fee: $6 for each 5,000 gallons of licensed capacity, or 
fraction thereof, but in no case less than $620.
    Inspection fee: $6 for each 5,000 gallons of licensed capacity, or 
fraction thereof, but in no case less than $160 nor more than $1,600.
Cottonseed
    Annual fee: $16 for each 1,000 short tons of licensed capacity, or 
fraction thereof, but in no case less than $620.
    Inspection fee: $16 for each 1,000 short tons of licensed capacity, 
or fraction thereof, but in no case less than $160 nor more than 
$1,600.

    Signed at Washington, DC, on June 23, 1998.
Keith Kelly,
Adminisrator, Farm Service Agency.
[FR Doc. 98-17179 Filed 6-26-98; 6:46 am]
BILLING CODE 3410-05-M