[Federal Register Volume 64, Number 82 (Thursday, April 29, 1999)]
[Rules and Regulations]
[Pages 23022-23025]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-10543]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE INTERIOR
Fish and Wildlife Service
50 CFR Part 14
RIN 1018-AE08
Importation, Exportation, and Transportation of Wildlife (User
Fee Exemptions for Qualified Fur Trappers)
AGENCY: Fish and Wildlife Service, Interior.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: We, the U.S. Fish and Wildlife Service (Service) are revising
our regulations providing for user fee collections from commercial
importers and exporters of wildlife and wildlife products. We provide a
fee exemption to trappers of fur-bearing wildlife operating small, low
volume businesses engaged in wildlife trade on a small scale where
there is relatively low cash flow, to individuals who trap fur-bearing
wildlife from the wild as a hobby or to supplement their income and who
do not deal in manufactured products or live animals as a primary means
of income. The exemption from our inspection fee will apply to
commercial importers and exporters based upon specific criteria,
including country of origin, numbers of items, and permitting
requirements. We therefore modify our user fee regulations to grant
this relief to certain individuals and small businesses, meeting the
outlined criteria, from the designated port inspection fees, non-
designated port administrative fees, and hourly minimums only. This
rule still allows us to continue to collect data on fee collections in
order to analyze the impact of user fees on small business for future
decision making.
DATES: This rule is effective June 1, 1999.
ADDRESSES: Send correspondence concerning this rule to the Director,
U.S. Fish and Wildlife Service, P.O. Box 3247, Arlington, Virginia
22203-3247. The complete file for this final rule is available for
public inspection, by appointment, during normal business hours.
FOR FURTHER INFORMATION CONTACT: Kevin R. Adams, Chief, Office of Law
Enforcement, Fish and Wildlife Service, U.S. Department of the
Interior, (703) 358-1949.
SUPPLEMENTARY INFORMATION:
Background
Summary of Public Participation
We received 39 comments on the proposed rule published on January
22, 1998 (63 FR 3298) 13 of which were submitted by individuals who we
classified as non-consumptive users, i.e., those that do not hunt or
trap wildlife. In addition, 11 comments were received from non-
consumptive organizations such as the Animal Welfare Institute, Animal
Protection Institute, International Primate Protection League, The
Humane Society of the United States, and The American Society For The
Prevention Of Cruelty To Animals.
We received four comments from individuals who were consumptive
users of wildlife and four from consumptive user organizations such as
the International Association of Fish and Wildlife Agencies, the Safari
Club International, the Alaska Trappers Association, and the National
Trappers Association. The states of Alaska, Illinois, Louisiana, and
Nebraska also sent in comments to the proposed rule. We received three
comments soliciting exemptions for tropical fish imports, and
commercially raised quail and pheasant imports from Canada. We did not
address these comments; they did not pertain to this rule.
Issues Raised in Public Comments, and Service Responses
Comment: The Service needs the current fee structure as it is
designed to allow the Service to pay for the inspection program. Any
exemptions would begin to erode the Service's ability to conduct
critical inspections of wildlife being imported and exported.
Response: We acknowledge that the Service utilizes collected fees
to support
[[Page 23023]]
its inspection program. However, the amounts charged for inspections on
certain small businesses, such as low volume subsistence trappers in
Alaska, may be prohibitive and cause an undue burden. We believe that
proposed exemptions will allow low volume trappers to continue their
business without undue hardship.
Comment: Giving an exemption to low volume trappers of fur-bearing
wildlife will only ``open the door'' for other small businesses to
demand an exemption, thereby jeopardizing further the Service's ability
to recoup inspection costs.
Response: It is likely that other people who have businesses may
feel the need to also ask for an exemption. We believe, however, that
in the case of the low-volume trapper, the exemptions may be warranted
due to:
The nature of their small low-volume businesses engaged in
wildlife trade on a small scale where there is relatively low cash
flow;
Individuals who trap fur-bearing wildlife from the wild as
a hobby or to supplement their income;
Those who do not deal in manufactured products or live
animals as a primary means of income.
Comment: The Service's criteria of 100 skins or less is meaningless
because large volume shippers will manipulate numbers of furs and skins
per shipment to illegally qualify for the exemption.
Response: We have the ability to monitor the volume of importing
and exporting by a business or individual and feel that we will be able
to detect attempts to subvert the fee system by manipulating shipments.
Comment: Why does the Service inspect Convention on International
Trade of Endangered Species (CITES) furs that have already been
inspected and tagged by the State of Alaska. Inspecting shipments of
these furs upon export is redundant and does not need to be done.
Response: We inspect shipments containing wildlife protected under
CITES upon export and import to ensure that the proper permits are
present, the shipment is properly declared, and for record keeping and
reporting purposes. The State of Alaska places CITES tags on pelts
taken in Alaska because most pelts are exported to Canada. However,
having a CITES tag affixed to a pelt and the act of exporting are two
separate issues requiring different actions. We also inspect imports
and exports to ensure compliance with Service regulations.
Comment: Why doesn't the Service maintain the old system of a
$25,000 dollar value exemption for small businesses?
Response: Since 1988, there have been four major studies of our
import/export user fee policies. One recommendation consistently made
in these studies was to revise our user fee policies and rates to
recover the full cost of services provided to individuals and
businesses. We therefore adjusted our fees for certain activities in
order to recover the actual costs of services provided for all
commercial import/export activities.
Comment: The Service's proposed rule does not go far enough in
exempting user fees. The Service should also remove the commercial
import/export license requirement for trappers.
Response: The studies that analyzed our import/export policies also
recommended that we license all commercial importers and exporters of
wildlife and wildlife products. As a result, we decided to license all
commercial importers and exporters. We believe the $50 per year
licensing requirement is fair and affordable and will not be waived.
Comment: The upper limit of 100 furs per shipment is arbitrary and
should be increased to 1000 per shipment because the price a trapper
gets for furs and pelts is not high enough to offset the costs of
inspection.
Response: We chose the upper limit of 100 furs per shipment because
we feel this number adequately represents a low volume of shipping
activity. Accordingly, small businesses and individuals who qualify
will not have to pay inspection fees in certain situations. Therefore,
we believe the upper limit of 100 furs per shipment is appropriate.
Regulatory Flexibility Act
The Regulatory Flexibility Act of 1980 establishes as a principle
of regulatory issuance that ``* * * agencies shall endeavor, consistent
with the objectives of the rule and of applicable statutes, to fit
regulatory and informational requirements to the scale of the business,
organizations, and governmental jurisdictions subject to regulation.''
Therefore, in order to address the immediate concerns of small business
and maintain consistency with the Regulatory Flexibility Act, we will
initiate a new licensing and inspection fee system that will accomplish
two objectives. First, the new system contained in this rule would
grant immediate relief from the economic burden of the increased
inspection fees, and/or administrative fees and hourly minimums, to
importers and exporters of wildlife and wildlife products at designated
ports, border or special ports, and nondesignated ports that meet
specific criteria. Second, by continuing to require that all commercial
importers and exporters be licensed, the new system would allow the
Service to continue to monitor wildlife import/export activity in order
to gather the data necessary to make future decisions on the true
impact of our user fees on small businesses and certain individuals.
Authority Citation
We will update the authority citation for this part to delete an
obsolete reference at 31 U.S.C. 483(a) and to reflect the current
United States Code citation of 31 U.S.C. 9701 regarding fees and
charges for Government services.
Inspection Fee Exemption Criteria
We amend the inspection fee system to establish specific criteria
that we will use to determine if the inspection fee applies at the time
of import or export. The revision uses distinctions that are already
established in the regulation. We will use these distinctions to
establish if the inspection fee applies to wildlife shipments at the
time of import to or export from the United States. Shipments will have
to meet several basic criteria in order to qualify for the inspection
fee exemption.
The basic exemption criteria are outlined as follows:
The inspection fee exemption will only apply to shipments
that do NOT require permits under 50 CFR parts 16 (Injurious wildlife),
17 (Endangered and threatened wildlife and plants), 18 (Marine
mammals), 21 (Migratory bird permits), or 23 (Endangered species
convention). Those shipments that contain wildlife that require permits
will not be eligible for any inspection fee exemption.
The wildlife must have been lawfully taken from the wild
in the United States, Canada, or Mexico, and imported or exported
between the United States and Canada or Mexico. Shipments containing
wildlife taken in any other country and imported or exported between
any countries other than the United States, Canada, or Mexico will not
be eligible for the inspection fee exemption. The wildlife shipment
must be imported or exported by the person who took the wildlife from
the wild, or by a member of that person's immediate family, provided,
that the importer or exporter of record is licensed in accordance with
50 CFR 14.91.
The shipment must consist of raw fur, raw, salted, or
crusted hides or skins, or separate parts thereof, and the shipment
cannot exceed 100 raw furs,
[[Page 23024]]
raw, salted, crusted, hides or skins or separate parts thereof. We
intend that this rulemaking provide financial relief from the burden of
the inspection fees for small business and certain individuals who may
be disproportionately affected.
We believe a cutoff point of 100 raw furs, raw, salted, or crusted
hides or skins, or separate parts thereof will adequately distinguish
between small shippers disproportionately affected and those commercial
wildlife dealers less impacted by the user fee.
All of the primary criteria for the user fee exemption outlined
above serve as a means of limiting the exemption application to certain
individuals or small business, while at the same time maintaining the
integrity and intent of the user fee rulemaking published on June 21,
1996 (62 FR 31850). By using distinctions already drawn in the
regulation, we believe that the criteria represent a balance between
maintaining user fee revenues and providing small business economic
relief.
In addition to the primary criteria, we will use additional
criteria, outlined below, to ensure that the user fee exemption is
utilized by those intended and to allow for statistical tracking of the
exemption's use. As stated, the importer or exporter of record who is
shipping wildlife that otherwise meets the inspection fee exemption
criteria will still have to obtain an Import/Export License from the
Service at a cost of $50 annually (see 50 CFR part 14, subpart I). The
raw fur, raw, salted or crusted hides or skins, or separate parts
thereof cannot have been previously bought or sold if the inspection
fee exemption is to apply. The fee exemption will not apply to
manufactured products or live animals of any kind.
The reason for the latter two criteria is that the fee exemption is
intended to apply to small, low volume businesses engaged in wildlife
trade on a small scale where there is relatively low cash flow, or to
individuals who take wildlife from the wild as a hobby or to supplement
their income and who do not deal in manufactured products or live
animals as a primary means of income. We believe that wildlife traders
buying and selling imported wildlife in the United States and those
dealing in manufactured products or live animals require a higher level
of oversight and are less impacted by the inspection fee.
The importer or exporter whose wildlife shipments meet the user fee
exemption criteria will still be required to pay overtime fees or
designated port exception permit fees if applicable. If wildlife being
shipped requires a Convention on International Trade in Endangered
Species (CITES) permit, we will not exempt the shipment from the user
fee due to the higher level of oversight we require on these shipments.
Certification
In order for us to have some means of verifying that the raw furs,
raw, salted or crusted hides or skins, or separate parts thereof are,
in fact, taken from the wild by the licensee who is acting as importer/
exporter of record, or taken from the wild by a member of his or her
immediate family, the licensee must sign a certification statement
supplied by us at the time clearance is requested. The certification
statement will ask that the licensee certify, subject to the penalties
provided for under 18 U.S.C. 1001 for false or fraudulent statements,
that he or she took the raw furs, raw, salted, or crusted hides or
skins, or separate parts thereof from the wild or that they were taken
from the wild by a member of that person's immediate family. We will
consider the term ``immediate family'' to mean a licensee's spouse,
parents, siblings, and children. We believe that extending the meaning
to include grandparents, cousins, aunts, or uncles would compromise the
intent of this rule. This signed certification statement will have to
be presented to a Service officer at the time clearance is requested.
We intend that this inspection fee exemption framework utilize
existing regulatory language that grants various exemptions to 50 CFR
part 14, including Sec. 14.15 and Sec. 14.62. In addition, 50 CFR part
14 already exempts certain ``classes'' of wildlife from various
regulatory requirements, including farm-raised fish from the designated
port requirement on export, aquatic invertebrates of the Class
Pelecypoda from the designated port and declaration requirement, and
captive-bred furbearers from the marking requirement. We believe that
these distinctions are consistent with the intent of the regulation.
In summary, we will exempt commercial wildlife shipments from the
designated port inspection fee and/or the nondesignated port
administrative fee and hourly minimums, whichever applies, for
shipments meeting the following criteria: no permits are required under
50 CFR parts 16, 17, 18, 21, or 23; imports or exports are between the
United States and Canada or Mexico of raw fur, raw, salted, or crusted
hides or skins, or separate parts thereof, lawfully taken from the wild
in the United States, Canada, or Mexico; imported or exported by the
person taking the wildlife from the wild, or taken from the wild by a
member of the importer or exporters' immediate family; provided, the
importer or exporter of record is licensed; the shipment or any part
thereof has not been previously bought or sold; the shipment does not
exceed 100 raw furs, raw, salted, or crusted, hides or skins, or
separate parts thereof; the shipment does not contain any manufactured
products or live animals; overtime fees, if applicable, have been paid;
and the importer or exporter has attached a certification statement
stating that the shipment contains items taken from the wild by the
importer/exporter of record or by a member of that person's immediate
family.
The following chart illustrates the commercial user fee charges at
designated and nondesignated ports during normal working hours before
the June 21, 1996, final rule, after the August 1, 1996, effective date
of that final rule, and under this final rule, for comparison:
----------------------------------------------------------------------------------------------------------------
Prior to June 21, 1996 After August 1, 1996 After September 1, 1998
Fees Final Rule effective date effective date
----------------------------------------------------------------------------------------------------------------
Designated Port.................. Under 25k/year No Charge. $50/year License Fee.... $50/year License Fee.
$125/year License Fee.... $55/shipment Inspection $55/shipment Inspection
Fee. Fee if criteria not
met.
$25/Shipment Inspection No Charge if criteria
Fee. met.
Nondesignated Port............... Under 25K/year No Charge. $50/year License Fee.... $50/year License Fee.
$125/year License Fee.... $55 Administrative Fee $55 Administrative Fee
plus 2 hour minimum at plus 2 hour minimum at
$20/hr ($40). $20/hr ($40) if
criteria not met.
$25/shipment No Charge if criteria
Administrative Fee plus met.
2 hour minimum at $25/hr
($50).
----------------------------------------------------------------------------------------------------------------
[[Page 23025]]
Paperwork Reduction Act of 1995, 44 U.S.C. 3501 et seq
This final rule affects only the requirement to pay an inspection
fee for shipments and contains no information collections for which
Office of Management and Budget approval is required under the
Paperwork Reduction Act (44 U.S.C. 3501). Importers/exporters subject
to this rule may be subject to the requirement to file a Declaration
for Importation or Exportation of Fish or Wildlife (FWS form 3-177; OMB
approval number 1018-0012; expiration date August 31, 2000). This rule
does not change or affect the information collection requirements
associated with the declaration form 3-177. An agency may not conduct
or sponsor, and a person is not required to respond to a collection of
information unless it displays a currently valid OMB control number.
Required Determinations
The Service has determined that these regulations meet the
applicable standards provided in Sections 3(a) and 3(b)(2) of Executive
Order 12988. They do not unduly burden the judicial system. The
regulations promote simplification and provide immediate relief from
the economic burden of the increased inspection fees, and/or
administrative fees and hourly minimums, to importers and exporters of
wildlife and wildlife products at designated ports, border or special
ports, and nondesignated ports that meet specific criteria.
The Service has determined and certifies pursuant to the Unfunded
Mandates Act, 2 U.S.C. 1501 et seq., that this rulemaking will not
impose a cost of $100 million or more in any given year on local or
State governments or private entities. In 1996, the total value of all
wildlife shipments which may be eligible for the exemption was
$700,734. Fees payable to the Service on these shipments would be
reduced between $22,935 and $39,615 under the rule. Therefore, although
user fees will be effected we anticipate that they will not be
substantial. The rule will not create a serious inconsistency or
otherwise interfere with an action taken or planned by another agency
because it affects only Service actions.
Economic Effects
The Service conducted an economic analysis of this rule. The
declared value of all wildlife shipments requiring Service clearance in
Fiscal Year 1995 was approximately $860,000,000. In 1996, the total
value of all wildlife shipments which may be eligible for the proposed
exemption was $700,734. Fees payable to the Service on these shipments
would be reduced between $22,935 and $39,615 under the rule. The effect
of this rule is much less than $100 million annually. We anticipate no
substantial indirect economic effects so the effect of this rule is
much less than $100 million annually. We do not expect the shipment
volume to rise to a level that would generate a $100 million annual
impact. This rulemaking was not subject to review by the Office of
Management and Budget under Executive Order 12866.
Accordingly, under the Regulatory Flexibility Act of 1980 (5 U.S.C.
601 et seq.), this rulemaking will not have a significant economic
effect on a substantial number of small entities, which include
businesses, organizations, or governmental jurisdictions. This rule
exempts small shippers from the Fish and Wildlife Service inspection
fee and so represents an adaptation of the current fee structure to
provide relief for small shippers, therefore, this rule will have a
beneficial effect on such entities.
List of Subjects in 50 CFR Part 14
Animal welfare, Exports, Fish, Imports, Labeling, Reporting and
recordkeeping requirements, Transportation, Wildlife.
Regulation Promulgation
For the reasons set out in the preamble, the Service amends Title
50, Chapter I, subchapter B of the Code of Federal Regulations as set
forth below:
PART 14--IMPORTATION, EXPORTATION, AND TRANSPORTATION OF WILDLIFE
1. Revise the authority citation for Part 14 to read as follows:
Authority: 16 U.S.C. 668, 704, 712, 1382, 1538(d)-(f), 1540(f),
3371-3378, 4223-4244, and 4901-4916; 18 U.S.C. 42; 31 U.S.C. 9701.
2. Amend Sec. 14.4 by revising the section heading and adding
alphabetically the definitions ``we'' and ``you'' to read as follows:
Sec. 14.4 What terms do I have to understand?
* * * * *
We means Fish and Wildlife Service or Service.
You means licensee, or importer/exporter of record.
3. Amend Sec. 14.94 by revising the section heading and revising
paragraph (a) and adding paragraph (e) to read as follows:
Sec. 14.94 What fees apply to me?
(a) License and inspection fees. We will impose a yearly fee for a
license pursuant to Sec. 14.93. In addition, you must pay an inspection
fee for each wildlife shipment imported into or exported from the
United States at a designated port. If you import into or export from
the United States wildlife shipments meeting the criteria outlined in
paragraph (e) of this section, you are exempt from the designated port
inspection fee, or nondesignated port administrative fee and hourly
minimums, whichever apply. However, you must pay applicable overtime
fees and permit fees.
* * * * *
(e) Your wildlife shipments meeting all of the following criteria
are exempt from the designated port inspection fee or nondesignated
port administrative fee and hourly minimums:
(1) The wildlife you are shipping does not require permits under
parts 16, 17, 18, 21, 22, or 23 of this subchapter;
(2) You are importing or exporting wildlife between the United
States and Canada or Mexico;
(3) The wildlife you are shipping consists of raw fur, raw, salted,
or crusted hides or skins, or separate parts thereof, lawfully taken
from the wild in the United States, Canada, or Mexico;
(4) You, as the importer or exporter of record, or a member of your
immediate family (your spouse, parents, siblings, and children), took
the wildlife from the wild;
(5) You are licensed in accordance with Sec. 14.91;
(6) You have not previously bought or sold the wildlife or any part
thereof being shipped;
(7) Your shipment does not exceed 100 raw furs, raw, salted, or
crusted hides or skins, or separate parts thereof;
(8) Your shipment does not contain any manufactured products or
live animals.
(9) You certify that your shipment meets the criteria in this
paragraph.
Stephen C. Saunders,
Acting Assistant Secretary for Fish and Wildlife and Parks.
[FR Doc. 99-10543 Filed 4-28-99; 8:45 am]
BILLING CODE 4310-55-P