[Federal Register Volume 84, Number 148 (Thursday, August 1, 2019)]
[Notices]
[Pages 37613-37615]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-16409]


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Notices
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains documents other than rules 
or proposed rules that are applicable to the public. Notices of hearings 
and investigations, committee meetings, agency decisions and rulings, 
delegations of authority, filing of petitions and applications and agency 
statements of organization and functions are examples of documents 
appearing in this section.

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Federal Register / Vol. 84, No. 148 / Thursday, August 1, 2019 / 
Notices

[[Page 37613]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

[Document Number AMS-FTPP-19-0064]


United States Warehouse Act Administrative Fees

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: The Agricultural Marketing Service (AMS) is announcing the 
fees it will charge warehouse operators for voluntary services 
associated with the administration of the United States Warehouse Act. 
This action establishes the license action fees, service license fees, 
inspection fees, and annual user fees for warehouse services for fiscal 
year 2020, which begins October 1, 2019. AMS is increasing all these 
fees by approximately 10 percent to ensure fee levels are sufficient to 
cover the full cost of program administration.

DATES: August 2, 2019.

FOR FURTHER INFORMATION CONTACT: Dan Schofer, AMS, U.S. Department of 
Agriculture, Room 2530-S, 1400 Independence Avenue SW, Washington, DC 
20250; telephone (202) 260-2434, or email [email protected].

SUPPLEMENTARY INFORMATION: The United States Warehouse Act (USWA), as 
amended (7 U.S.C. 241 et seq.), provides for the licensing of public 
warehouse operators in the business of storing agricultural products, 
examination of such federally licensed warehouses, and collection of 
fees to sustain the operation and administration of such efforts. 
Participation in USWA program is voluntary. Participants may choose to 
obtain licensing under USWA to meet State or other industry 
requirements. Warehouse examinations provided by AMS examine the 
financial status of the operation, the integrity of the commodities 
stored in licensed facilities, as well as the facilities themselves.
    This notice announces new fees for licensing and examining 
warehouses storing export food aid commodities, grain, nuts, 
sweeteners, wool, cotton, cottonseed and dry beans. The new fees will 
be effective for fiscal year 2020 (FY 2020), which begins October 1, 
2019. AMS is raising the license action fees, service license fees, 
inspection fees, and annual user fees charged to licensed warehouses to 
assure recovery of operational costs projected for USWA activities in 
FY 2020. The FY 2020 fee adjustment reflects an approximately 10 
percent increase over the current rates that have not been adjusted 
since 2006. AMS finds it necessary to increase fees to meet projected 
costs for administering the USWA program.
    The regulations that effectuate the USWA are codified at 7 CFR part 
735 mandate the collection of fees for costs of administering the USWA 
program and authorize annual rate changes, as necessary. USDA last 
amended the annual operational fee for warehouse operators effective 
January 1, 2006 (70 FR 71262; November 28, 2005). The 2006 operational 
fees were 5% higher than the previous rates. USDA most recently amended 
USWA licensing and inspection fees effective October 1, 1998 (63 FR 
35186; June 29, 1998). Fee increases at that time were approximately 
7.5 percent over the previous rates.
    In November of 2018, the Secretary of Agriculture delegated 
administration of USWA programs to AMS (83 FR 61309; November 29, 
2018). Previously, the administration of the USWA was delegated to the 
Farm Service Agency (FSA). During 2019, AMS projected a funding deficit 
associated with current program staff levels. Fees must cover all 
expenses for USWA administrative services including the maintenance of 
a sufficient operating reserve. Thus, rates for USWA services for the 
2020 fiscal year and beyond demonstrate a remedial action to correct 
the budgetary shortfall for administration of the program. USWA 
requires that AMS operate in an environment suitable to affect the 
needs of the program and mitigate any funding risks.
    The fees reflect direct and indirect costs of providing services. 
Direct costs include the cost of salaries, employee benefits, and, if 
applicable, travel and some operating costs. Indirect or overhead costs 
include the cost of AMS administrative activities supporting the 
services provided to the industry. Program costs also include 
maintaining an operating reserve and, depending on the balance in the 
reserve, may provide for adding to or drawing down the reserve to 
assure an appropriate balance is maintained.

Delegation of Authority

    The Secretary of Agriculture delegated to the Under Secretary for 
Marketing and Regulatory Programs (MRP) authority to ``administer the 
U.S. Warehouse Act, as amended (7 U.S.C. 241-273) . . .'' 7 CFR 
2.22(a)(1)(xiv). The Under Secretary for MRP previously redelegated 
authority to administer the USWA to the Administrator of the Farm 
Service Agency. A rule published November 29, 2018 (83 FR 61309) 
transferred delegated authority to administer the USWA to the AMS 
Administrator. See 7 CFR 2.79(a)(21). The delegation to the Under 
Secretary of MRP related to administration of the U.S. Warehouse Act at 
7 CFR 2.22(a)(1)(xiv) remain unchanged. The AMS Administrator has 
authority to administer USWA programs, including publication of this 
Notice. A separate Rule addresses the delegation and authority of the 
AMS Administrator to revise the USWA Regulations.

New Rates

    The schedule below sets out all the relevant fees for licensing and 
examination services and reflects the necessary increases.

[[Page 37614]]



                                           United States Warehouse Act
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  7 CFR Part 735--Regulations for the United States Warehouse Act Subpart A--General Provisions Sec.   735 Fees
-----------------------------------------------------------------------------------------------------------------
                          FEE TABLE--UNITED STATES WAREHOUSE ACT (Effective 10/1/2019)
-----------------------------------------------------------------------------------------------------------------
                                                                                   Annual user fees
                                License action     Inspection fee    -------------------------------------------
                                      fee                                  Annual fee             Locations
----------------------------------------------------------------------------------------------------------------
Export Food Aid Commodities...            $110  $1,100 for 1 to 3     $1,650 for..........  1 to 3.
                                                 locations.
                                                $330 for each         $330 for each.......  location over 3.
                                                 location over 3.
----------------------------------------------------------------------------------------------------------------


 
                                                                                                                   Annual user fees
                                                                                            ------------------------------------------------------------
                                                                                                                       Annual fee for    Annual fee for
                                   License action      Service          Inspection fee                                 each warehouse    each warehouse
                                         fee         license fee                             Licensed capacities (in   location with a  location without
                                                                                                     bushels)            CCC storage      a CCC storage
                                                                                                                          agreement         agreement
--------------------------------------------------------------------------------------------------------------------------------------------------------
Grain............................             $90             $40  $19 for each 10,000                     1-150,000              $170              $340
                                                                    bushels. MIN $190; MAX           150,001-250,000               340               680
                                                                    $1,900                           250,001-500,000               500             1,000
                                                                                                     500,001-750,000               675             1,350
                                                                                                   750,001-1,000,000               840             1,680
                                                                                                 1,000,001-1,200,000             1,010             2,020
                                                                                                 1,200,001-1,500,000             1,180             2,360
                                                                                                 1,500,001-2,000,000             1,340             2,680
                                                                                                 2,000,001-2,500,000             1,515             3,030
                                                                                                 2,500,001-5,000,000             1,680             3,360
                                                                                                 5,000,001-7,500,000             1,855             3,710
                                                                                                7,500,001-10,000,000             2,025             4,050
                                                                                                         10,000,001+           * 2,025          ** 4,050
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                             * Plus $55 per million bushels above 10,000,000, or
                                                                                             fraction thereof.
                                                                                             ** Plus $105 per million bushels above 10,000,000, or
                                                                                             fraction thereof.
--------------------------------------------------------------------------------------------------------------------------------------------------------


 
                                                                                                                   Annual user fees
                                                                                            ------------------------------------------------------------
                                                                                                                       Annual fee for    Annual fee for
                                   License action      Service          Inspection fee                                 each warehouse    each warehouse
                                         fee         license fee                             Licensed capacities (in   location with a  location without
                                                                                                   short tons)           CCC storage      a CCC storage
                                                                                                                          agreement         agreement
--------------------------------------------------------------------------------------------------------------------------------------------------------
Nuts.............................             $90             $40  $9.35 for each 100 short                  1-4,500              $275              $550
                                                                    tons of Peanuts. MIN                 4,501-7,500               450               900
                                                                    $190; MAX $1,900; and               7,501-15,000               640             1,280
                                                                    $17 for each 1,000                 15,001-22,500               820             1,640
                                                                    hundredweight of other             22,501-30,000               995             1,990
                                                                    nuts; MIN $190; MAX                30,001-36,000             1,165             2,330
                                                                    $1,900                             36,001-45,000             1,340             2,680
                                                                                                       45,001-60,000             1.515             3,030
                                                                                                       60,001-75,000             1,690             3,380
                                                                                                      75,001-150,000             1,860             3,720
                                                                                                     150,001-225,000             2,025             4,040
                                                                                                            225,001+           * 2,195          ** 4,390
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                             * Plus $12 per 100 short tons above 225,000 short tons, or
                                                                                             fraction thereof.
                                                                                             ** Plus $21 per 100 short tons above 225,000 short tons, or
                                                                                             fraction thereof.
--------------------------------------------------------------------------------------------------------------------------------------------------------


 
                                                                                       Annual user fees
                            License action      Service                      -----------------------------------
                                  fee         license fee    Inspection fee                         Licensed
                                                                                 Annual fee        capacities
----------------------------------------------------------------------------------------------------------------
Sweeteners................             $90             $40  $7.15 for each    $7.15 for each    5,000 gallons of
                                                             5,000 gallons     $750 MIN or       liquid, or
                                                             of liquid. MIN    $7.15 for each    fraction
                                                             $190; MAX         $750 MIN          thereof or
                                                             $1,900; or                          55,000 pounds
                                                             $7.15 for each                      of dry
                                                             55,000 pounds                       capacity, or
                                                             of pounds of                        fraction
                                                             dry capacity;                       thereof.
                                                             MIN $190; MAX
                                                             $1,900
----------------------------------------------------------------------------------------------------------------


 
                                                                                       Annual user fees
                            License action      Service                      -----------------------------------
                                  fee         license fee    Inspection fee                         Licensed
                                                                                 Annual fee        capacities
----------------------------------------------------------------------------------------------------------------
Wool......................             $90             $40  $19 for each      $19 for each.     100,000 pounds,
                                                             100,000 pounds.   $750 MIN          or fraction
                                                             MIN $190; MAX                       thereof.
                                                             $1,900
----------------------------------------------------------------------------------------------------------------


[[Page 37615]]


 
                                                                                                                   Annual user fees
                                                                                            ------------------------------------------------------------
                                                                                                                       Annual fee for    Annual fee for
                                   License action      Service          Inspection fee                                 each warehouse    each warehouse
                                         fee         license fee                             Licensed capacities (in   location with a  location without
                                                                                                      bales)             CCC storage      a CCC storage
                                                                                                                          agreement         agreement
--------------------------------------------------------------------------------------------------------------------------------------------------------
Cotton...........................             $90             $40  $95 for each 1,000                       1-20,000              $645            $1,290
                                                                    bales. MIN $190; MAX               20,001-40,000               850             1,700
                                                                    $1,900                             40,001-60,000             1,035             2,070
                                                                                                       60,001-80,000             1,230             2,460
                                                                                                      80,001-100,000             1,620             3,240
                                                                                                     100,001-120,000             1.935             3,870
                                                                                                     120,001-140,000             2,260             4,520
                                                                                                     140,001-160,000             2,585             5,170
                                                                                                           * 160,001           * 2,585          ** 5,170
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                             * Plus $65 per 5,000 bale capacity above 160,000 bales, or
                                                                                             fraction thereof.
                                                                                             ** Plus $130 per 5,000 bale capacity above 160,000 bales,
                                                                                             or fraction thereof.
--------------------------------------------------------------------------------------------------------------------------------------------------------


 
                                                                                       Annual user fees
                            License action      Service                      -----------------------------------
                                  fee         license fee    Inspection fee                         Licensed
                                                                                 Annual fee        capacities
----------------------------------------------------------------------------------------------------------------
Cottonseed................             $90             $40  $19 for each      $19 for each      1,000 short
                                                             1,000 short       $750 MIN          tons, or
                                                             tons. MIN $190;                     fraction
                                                             MAX $1,900                          thereof.
----------------------------------------------------------------------------------------------------------------


 
                                                                                                                            Annual user fees
                                            License action      Service                                       ------------------------------------------
                                                  fee         license fee             Inspection fee           Licensed capacities (in
                                                                                                                    hundredweight)         Annual fee
--------------------------------------------------------------------------------------------------------------------------------------------------------
Dry beans.................................             $90             $40  $19 for each 1,000 hundredweight.               100-90,000              $925
                                                                             MIN $190; MAX $1,900                       90,001-150,000             1,290
                                                                                                                       150,001-300,000             1,670
                                                                                                                       300,001-450,000             2,040
                                                                                                                       450,001-600,000             2,405
                                                                                                                       600,001-720,000             2,765
                                                                                                                       720,001-900,000             3,145
                                                                                                                     900,001-1,200,000             3,520
                                                                                                                   1,200,001-1,500,000             3,880
                                                                                                                   1,500,001-3,000,000             4,245
                                                                                                                            3,000,001+           * 4,620
                                                                                                               ** Plus $1.55 per 1,000 hundredweight
                                                                                                               above 3,000,000, or fraction thereof.
--------------------------------------------------------------------------------------------------------------------------------------------------------


    Authority:  7 U.S.C. 241-256.

    Dated: July 29, 2019.
Greg Ibach,
Under Secretary, Marketing and Regulatory Programs.
[FR Doc. 2019-16409 Filed 7-31-19; 8:45 am]
 BILLING CODE 3410-02-P