Rule2023-16278

Process for Establishing Rates for Veterinary Services User Fees

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
August 1, 2023
Effective
August 31, 2023

Issuing agencies

Agriculture DepartmentAnimal and Plant Health Inspection Service

Abstract

We are revising the regulations concerning user fees that we charge for veterinary diagnostic services and for certain import- related and export-related services for live animals, animal products and byproducts, birds, germplasm, organisms, and vectors. We are removing the tables providing the individual fees from the regulations and posting them on an Animal and Plant Health Inspection Service website. The regulations instead specify the methodology (formula) used to calculate the fees (including imputed costs), and the fees will be updated using a notice-based process. Replacing the current user fee listings with a standardized methodology will increase transparency in the process of setting fee rates, align the regulations with other Agency practices, and allow us to streamline processes and reduce the number of rules needed and thus the time necessary in order to update the fees.

Full Text

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<title>Federal Register, Volume 88 Issue 146 (Tuesday, August 1, 2023)</title>
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[Federal Register Volume 88, Number 146 (Tuesday, August 1, 2023)]
[Rules and Regulations]
[Pages 49994-50002]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-16278]


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DEPARTMENT OF AGRICULTURE

Animal and Plant Health Inspection Service

9 CFR Parts 93 and 130

[Docket No. APHIS-2021-0052]
RIN 0579-AE67


Process for Establishing Rates for Veterinary Services User Fees

AGENCY: Animal and Plant Health Inspection Service, USDA.

ACTION: Final rule.

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SUMMARY: We are revising the regulations concerning user fees that we 
charge for veterinary diagnostic services and for certain import-
related and export-related services for live animals, animal products 
and byproducts, birds, germplasm, organisms, and vectors. We are 
removing the tables providing the individual fees from the regulations 
and posting them on an Animal and Plant Health Inspection Service 
website. The regulations instead specify the methodology (formula) used 
to calculate the fees (including imputed costs), and the fees will be 
updated using a notice-based process. Replacing the current user fee 
listings with a standardized methodology will increase transparency in 
the process of setting fee rates, align the regulations with other 
Agency practices, and allow us to streamline processes and reduce the 
number of rules needed and thus the time necessary in order to update 
the fees.

DATES: This rule is effective August 31, 2023.

FOR FURTHER INFORMATION CONTACT: Ms. Lisa Slimmer, User Fee Financial 
Team Manager, Veterinary Services Money Management, 920 Main Campus 
Drive, Raleigh, NC 27606; (919) 855-7253.

SUPPLEMENTARY INFORMATION: 

Background

    The regulations in 9 CFR part 130 (referred to below as the 
regulations or the user fee regulations) cover user fees to reimburse 
the U.S. Department of Agriculture's (USDA's) Animal and Plant Health 
Inspection Service (APHIS) for the costs of providing veterinary 
diagnostic services and import/export related services for live 
animals, animal products and byproducts, poultry, birds, germplasm, 
organisms, and vectors. These user fees are authorized by section 
2509(c) of the Food, Agriculture, Conservation, and Trade Act (FACT 
Act) of 1990, as amended (21 U.S.C. 136a(c)), which provides that the 
Secretary of Agriculture may, among other things, prescribe regulations 
and collect fees to recover the costs of providing import/export 
related services for animals, animal products and byproducts, birds, 
germplasm, organisms, and vectors, and for veterinary diagnostics 
relating to the control and eradication of communicable diseases of 
livestock or poultry within the United States.
    Since fiscal year (FY) 1992, APHIS has received no directly 
appropriated funds to cover the cost of certain veterinary diagnostics 
or to provide import/export related services for animals, animal 
products and byproducts, birds, germplasm, organisms, and vectors. Our 
ability to provide these services depends on user fees. User fees are 
associated with providing services for live animal, animal product, 
bird, and germplasm imports and exports and fund, among other things, 
quarantine services, the processing of import permit applications, port 
of entry inspections, inspections and approvals of import/export 
facilities and establishments, endorsements of export certificates, and 
services related to emergency situations that arise during the export 
or import process.

Discussion of Comments

    On October 3, 2022, we published in the Federal Register (87 FR 
59731-59740, Docket No. APHIS-2021-0052) a

[[Page 49995]]

proposal \1\ to amend the regulations concerning user fees that we 
charge for veterinary diagnostic services and for certain import-
related and export-related services for live animals, animal products 
and byproducts, birds, germplasm, organisms, and vectors. We proposed 
to remove the tables providing the individual fees from the regulations 
and post them on an APHIS website.
---------------------------------------------------------------------------

    \1\ To view the proposed rule and the comments we received, go 
to <a href="http://www.regulations.gov">www.regulations.gov</a>. Enter APHIS-2021-0052 in the Search field.
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    We proposed that the regulations would instead specify the 
methodology (formula) used to calculate the fees (including imputed 
costs), and APHIS would update the fees using a notice-based process. 
Replacing the current user fee listings with a standardized methodology 
would increase transparency in the process of setting fee rates, align 
the regulations with other Departmental practices, and allow us to 
streamline processes and reduce the number of rules needed to update 
the fees.
    We solicited comments concerning our proposal for 60 days ending 
December 2, 2022. We received 11 comments on the proposal. They were 
from stakeholder organizations and the general public.

Permits

    One commenter, noting that user fees are charged for permit 
issuance, proposed that we extend the import/export duration for 
permits to reduce the workload for applicants and the agency. 
Additionally, the commenter mentioned that there were no details 
provided regarding the relative cost of a permit versus a renewal or an 
amendment.
    Although permit duration goes beyond the scope of the rule, APHIS 
may, if warranted, adjust the duration of a permit after analysis of 
the request; this will depend upon the product and overall risk. 
Because of the amount of time necessary to complete the work, renewals 
and amendments of permits currently cost less than new permit issuance, 
and we anticipate this will continue to be the case under the terms of 
this rule.

Burden of Fees

    Two commenters raised concerns regarding the potentially burdensome 
impact of user fees on stakeholders who move and trade livestock and 
requested that user fees should be updated through a process that 
notifies them of potential increases well in advance of the actual fee 
setting and allows for public comment. The commenters stressed the need 
for such advance notification in order for stakeholders to make 
informed decisions regarding future business planning and decision 
making.
    The notice-based process established by this rule provides such 
advance notification and opportunity for comment. As we stated in the 
proposed rule, if this rule is finalized, we will publish an annual 
notice proposing the fee rates for the coming year and will provide 
information regarding the basis for any fee change. This includes 
changes to the values of component costs. The notice will also afford 
an opportunity for public comment.

Component Cost Values

    Several commenters stated there was insufficient context to enable 
users to either understand the values of the component costs or to 
evaluate the impact of the proposed changes upon users' operations. The 
commenters suggested the proposed rule should be revised to provide a 
comparison of historical user fee rates to the new estimated user fees 
under this methodology for recent years (e.g., 2018 to 2022).
    The specific values of components as they pertain to various fee 
rates were not included in the proposed rule because this rule does not 
change the fees, but rather establishes a notice-based process to 
change the fees. As we stated in the proposed rule and mention 
immediately above, if this rule is finalized, we will publish an annual 
notice proposing the fee rates for the coming year and will provide 
information regarding the basis for any fee change. This includes 
changes to the values of component costs. The notice will also afford 
an opportunity for public comment.

Commuted Travel Time

    Several commenters stated the existing process for calculating 
commuted travel time as it pertains to user fees should be updated to 
be more reflective of actual travel time. One of the commenters 
specifically asked that APHIS evaluate such processes as they pertain 
to equine import facilities. The commenters also suggested this 
reevaluation should take into consideration the particular employee's 
tour of duty hours in calculating fees assessed.
    APHIS' regulations regarding Commuted Travel Time are in 9 CFR part 
97. As we stated in the proposed rule, we proposed no changes to those 
regulations. Accordingly, the requested evaluations are outside of the 
scope of this rule.

Fee Caps

    Several commenters asked that fee increases be capped annually. One 
commenter suggested the cap be a 10 percent increase annually.
    As noted in the proposed rule, we will make efforts to reduce the 
likelihood of significant year-over-year increases in the fees. For 
example, within the reserve component of the fee, at the time annually 
when we calculate the proposed new fee rates, we will conduct forecasts 
of the upcoming 5 fiscal years to identify when IT infrastructure and 
facilities capital needs and investments are likely to be actualized, 
so that the cost of that expenditure can be prorated based on the 
estimated date of cost actualization. This forecasting will help ensure 
that no one fiscal year bears the brunt of a reasonably foreseeable 
capital cost when it comes to fee setting.
    However, there are certain cost components and other factors beyond 
our control that preclude us from capping the fee increases annually as 
requested by commenters. For example, as noted in the proposed rule, 
imputed costs must be included in user fee calculations in order to 
comply with Office of Management and Budget circular A-25, but these 
imputed costs are outside of APHIS' control. They are the costs of the 
U.S. Department of Labor, U.S. Office of Personnel Management, and the 
U.S. Department of State (State Department) in order to provide 
retirement, health, life insurance, worker's compensation, legal 
defense, and other related benefits to the Agency and employees who 
provide the services covered by the fees. Likewise, for capital 
expenditures such as those for facility maintenance, fluctuations in 
the raw price of goods and labor are not within the Agency's control, 
but we must consider them in fee-setting.

User Fee Reserves

    In the proposed rule, we proposed that the user fees for the APHIS 
Veterinary Services user fee program would have a reserve component. We 
proposed to define reserve as: ``Funds above expected obligations that 
are required to effectively manage uncertainties in demand and timing 
to ensure sufficient operating funds in cases of bad debt, customer 
insolvency, fluctuations in activity volumes, information technology 
development costs, cash flow, facilities capital needs, or fluctuations 
in activity volumes caused by unforeseen global and national events.''
    We indicated that the reserve would be calculated each year based 
on the

[[Page 49996]]

forecasted needs identified during the annual fee setting session by 
estimating 25 percent or 90 days of annual expenditures for that fiscal 
year, adding a prorated component of forecasted IT and facilities 
capital needs and investments, and offsetting that sum by the existing 
amount in the reserve.
    One commenter inquired about the baseline economic level for the 
user fee reserve to support the user fee system, as well as whether 
there is a maximum economic reserve level.
    The commenter misunderstands the nature of the reserve. APHIS will 
not calculate the reserve component of the fee in order to ensure that 
a certain fixed dollar amount is maintained in the reserve year after 
year. Rather, as noted above, the reserve will be calculated each year 
based on the forecasted needs identified during the annual fee setting 
session by estimating 25 percent or 90 days of annual expenditures for 
that fiscal year, adding a prorated component of forecasted IT and 
facilities capital needs and investments, and offsetting that sum by 
the existing amount in the reserve. Thus, projected costs and the 
existing amount in the reserve will determine the reserve component 
requirements in any particular year.
    The same commenter requested assurances that user fees reserve 
funds are solely used for the APHIS Veterinary Services user fee 
program.
    Cross-subsidization is prohibited by the FACT Act. As a result, 
APHIS does not use these user fees for any purpose other than the APHIS 
Veterinary Services user fees program.

Notice Publication Timelines

    A commenter asked for timelines regarding how long the notice-based 
process will take in order to adjust fees.
    While this will vary depending on the nature and number of comments 
received, it is the Agency's intent, as stated in the proposed rule, to 
issue initial and second notices adjusting the fees on an annual basis.

Hourly Rate

    In the proposed rule, we indicated that removal of the specific 
tables of user fees from the regulations in favor of listing them 
online necessitated reorganization of the entirety of part 130. This 
was because many of the sections in the part were tables that we were 
proposing to remove. For those provisions that we elected to retain, we 
indicated that the information presented would remain the same, 
although the streamlining did reorganize it. In the regulatory text in 
the proposed rule, for ease of readability, we laid out the entirety of 
the revised part 130.
    One commenter requested clarity regarding proposed Sec.  130.4, 
``Hourly rate and minimum fees.'' Although we did not propose to change 
any of the information regarding hourly rates and minimum fees 
previously found in the regulations, the commenter nonetheless pointed 
to an apparent discrepancy between paragraphs (a)(2), (15), and (17), 
regarding pet food facilities engaged in testing and export services. 
Paragraph (a)(2) stated that an hourly rate ``does not apply to 
inspection and approval of import/export facilities and 
establishments.'' The commenter read that to suggest that APHIS would 
not charge an hourly rate for inspection of such facilities. The 
commenter read paragraphs (a)(15) and (17), which contained provisions 
relative to the export-related inspection of pet food facilities and 
export-related inspection of various other facilities, respectively, to 
indicate we would.
    As noted in the introductory text of that section, import- or 
export-related veterinary services in the paragraphs specified in the 
section are subject to the hourly rate calculations. Accordingly, the 
pet food facilities will be charged an hourly rate, as indicated in 
paragraphs (a)(15) and (17). The statements in paragraph (a)(2) are 
intended to indicate that paragraph (a)(2) does not pertain to 
inspection of export facilities. They are not intended to address the 
section as a whole and the proposed rule did not propose to revise 
their scope.
    Another commenter stated that the rule had economic impacts that 
were not discussed in the proposed rule, insofar as services charged an 
hourly rate would be borne by importers.
    The comment was outside the scope of this rulemaking because the 
rule did not revise the list of services subject to an hourly rate, but 
rather reduplicated the current list for the sake of completeness and 
readability of the regulatory text.
    Two commenters noted that the rule indicated that several services 
would continue to be charged an hourly rate under the terms of the 
proposed rule and asked that APHIS develop guidance regarding how long 
specified services should be expected to take.
    The estimated time of service can vary greatly depending on various 
factors (e.g., nature of the work, travel time to the facility, 
facility size, number of animals, etc.). Therefore, providing general, 
overarching guidance regarding expected times of service is not 
possible. However, we do provide an estimate based on the statement of 
work as requested by the facility or by the requester prior to 
providing services that are charged the hourly rate.

Government Funding

    One commenter stated that the fees should not be changed and 
inquired why user fees are not government-funded activities.
    As we stated in the proposed rule, we are not changing the fees, 
but the methodology used to calculate the fees. The fees themselves are 
not being changed.
    The FACT Act's intent was for import and export activities to be 
funded through user fees, so the individuals or parties receiving the 
services are the ones paying for the service. As noted previously in 
this document, since fiscal year (FY) 1992, and consistent with the 
intent of the FACT Act, APHIS has received no directly appropriated 
funds to cover the cost of certain veterinary diagnostics or to provide 
import/export related services for animals, animal products and 
byproducts, birds, germplasm, organisms, and vectors. In light of this, 
in order for us to continue to provide these diagnostics and services, 
they must be funded by user fees.

Miscellaneous

    Finally, we noticed that 9 CFR part 93 currently has two references 
(in Sec. Sec.  93.308(c)(1)(i)(A) and 93.412(d)(1)(i)(A)) to Sec.  
130.30. However, due to the revision of part 130 in this rule, Sec.  
130.30 no longer exists. Therefore, we are revising the references in 
those two sections of part 93 to simply refer to part 130.
    Therefore, for the reasons given in the proposed rule and in this 
document, we are adopting the proposed rule as a final rule, with the 
changes discussed in this document.

Executive Order 12866 and Regulatory Flexibility Act

    This final rule has been determined to be not significant for the 
purposes of Executive Order 12866 and, therefore, has not been reviewed 
by the Office of Management and Budget.
    In accordance with the Regulatory Flexibility Act, we have analyzed 
the potential economic effects of this action on small entities. The 
analysis is below.
    APHIS Veterinary Services (VS) is revising the regulations in 9 CFR 
part 130 to provide for a set of standardized formulas by which import/
export and veterinary diagnostic user fees would be calculated. These 
regulations will specify the methodology used to calculate and 
implement the user fees and will remove tables showing specific

[[Page 49997]]

fees. VS will also post the fee rates on its website and annually issue 
a notice providing all fees calculated for the upcoming year using 
formulas contained in the regulations and request public comment.
    VS charges user fees to recover the costs of inspection and 
certification services for imports and exports of live animals and 
animal products and byproducts and for providing veterinary diagnostic 
goods and services. VS does not receive appropriated funding to support 
these activities.
    While we do not expect this rule to result in cost savings for 
affected entities, the methodology will provide a transparent, 
streamlined approach to user fee calculations. The change to annual fee 
revisions using formula-based calculations based on previous year costs 
will enable APHIS to avert potential funding shortfalls. Increased 
confidence that rate adjustments will closely match revenue 
requirements would benefit financial planning by both the private 
sector and the Agency.
    The component costs that VS will use to calculate user fee 
revisions will be the same as at present, with the exception of imputed 
labor costs, such as:

<bullet> Direct pay (including benefits)
<bullet> Cost of living
<bullet> Direct operating costs (travel, training, equipment, rent, 
facility maintenance, supplies and materials, service contracts)
<bullet> Consumer price index
<bullet> Program, Agency, and Department support costs
<bullet> Reserve
<bullet> Imputed costs

    The user fee rates will also include imputed labor costs to ensure 
that the full cost of providing user fee services is captured. Imputed 
labor costs include Department of Labor, Office of Personnel 
Management, and State Department costs to provide retirement, health, 
life insurance, and other benefits to employees.
    The annual regularity of the proposed VS user fee revisions will be 
in contrast to current circumstances. At present, VS establishes fees 
for 5 years at a time through rulemaking, and this process can be 
lengthy. VS has had to project costs 6 to 7 years into the future, 
which can result in unforeseen funding needs not being accounted for. 
For example, VS did not anticipate the high level of technological 
investment that has been necessary in order to meet the needs of 
customers.
    APHIS' animal health import and export user fees cover significant 
activities across the country, including at border locations and 
quarantine facilities. These fees support personnel, brick and mortar 
facilities, and information technology systems. The veterinary 
diagnostic user fees support activity at the National Veterinary 
Services Laboratories facilities in Ames, IA, and Plum Island, NY.
    The last rate increase went into effect October 2012 and import/
export user fee revenue has been flat, on average, since 2015, at $44 
million. Veterinary diagnostic user fee revenue has also been flat at 
an average of $6 million per year since the last veterinary diagnostic 
user fee rate increase went into effect October 2011. The cost of 
providing services has continued to increase.
    USDA's Agricultural Marketing Service and Food Safety and 
Inspection Service have recently implemented noticed-based processes 
for annual user fee revisions that are very similar to the APHIS 
process outlined in the proposed rule. The two agencies and their 
stakeholders have benefited from increased program efficiency and 
transparency.
    A large number of the entities that will benefit from this rule are 
small. The import/export user fees provide for inspection and other 
services at the ports or point of entry. Users of these services and 
products include importers, exporters, non-APHIS veterinarians, 
commercial laboratories and pharmaceutical manufacturers, State 
laboratories, universities, and foreign governments.
    The Small Business Administration (SBA) has established guidelines 
for determining which entities are to be considered small. Importers 
and exporters of live animals are identified within the broader 
wholesaling trade sector of the U.S. economy. A firm primarily engaged 
in wholesaling animals or animal products and byproducts is considered 
small if it employs not more than 100 persons. These entities either 
sell goods on their own account (import/export merchants) or arrange 
for the sale of goods owned by others (import/export agents and 
brokers).
    Veterinary testing laboratories are identified within the broader 
veterinary services trade sector. A firm providing veterinary services 
is considered small if it generates $6.5 million or less in annual 
sales. The criterion for a small pharmaceutical manufacturing firm is 
one with 750 or fewer employees.
    The number of entities that use VS diagnostic services and 
materials and qualify as small by SBA standards has not yet been 
determined. However, more than 91 percent of the firms in the NAICS 
Livestock Wholesale category and Other Farm Product Raw Material 
Wholesale category can be considered small. In addition, more than 99 
percent of veterinary services firms (including veterinary diagnostic 
testing laboratories) are small.
    Under these circumstances, the Administrator of the Animal and 
Plant Health Inspection Service has determined that this action will 
not have a significant economic impact on a substantial number of small 
entities.

Executive Order 12372

    This program/activity is listed in the Catalog of Federal Domestic 
Assistance under No. 10.025 and is subject to Executive Order 12372, 
which requires intergovernmental consultation with State and local 
officials. (See 2 CFR chapter IV.)

Executive Order 12988

    This final rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. This rule: (1) Preempts all State and local laws 
and regulations that are with this rule; (2) has no retroactive effect; 
and (3) does not require administrative proceedings before parties may 
file suit in court challenging this rule.

Paperwork Reduction Act

    This final rule contains no new information collection or 
recordkeeping requirements under the Paperwork Reduction Act of 1995 
(44 U.S.C. 3501 et seq.).

List of Subjects

9 CFR Part 93

    Importation of Certain Animals, Birds, Fish, and Poultry, and 
Certain Animal, Bird, and Poultry Products; Requirements for Means of 
Conveyance and Shipping Containers.

9 CFR Part 130

    Animals, Birds, Diagnostic reagents, Exports, Imports, Poultry and 
poultry products, Quarantine, Reporting and recordkeeping requirements, 
Tests.
    Accordingly, we are amending 9 CFR parts 93 and 130 as follows:

PART 93--IMPORTATION OF CERTAIN ANIMALS, BIRDS, FISH, AND POULTRY, 
AND CERTAIN ANIMAL, BIRD, AND POULTRY PRODUCTS; REQUIREMENTS FOR 
MEANS OF CONVEYANCE AND SHIPPING CONTAINERS

0
1. The authority citation for part 93 continues to read as follows:

    Authority:  7 U.S.C. 1622 and 8301-8317; 21 U.S.C. 136 and 136a; 
31 U.S.C. 9701; 7 CFR 2.22, 2.80, and 371.4.

[[Page 49998]]

Sec.  93.308  [Amended]

0
2. Amend Sec.  93.308, in paragraph (c)(1)(i)(A), by removing the 
citation ``Sec.  130.30'' and adding the citation ``part 130'' in its 
place.


Sec.  93.412  [Amended]

0
3. Amend Sec.  93.412, in paragraph (d)(1)(i)(A), by removing the 
citation ``Sec.  130.30'' and adding the citation ``part 130'' in its 
place.


0
4. Revise part 130 to read as follows:

PART 130--USER FEES

Sec.
130.1 Definitions.
130.2 Basis for fees and rates.
130.3 Operating details.
130.4 Hourly rate and minimum user fees.
130.5 Exemptions.
130.6 Payment of user fees.
130.7 Penalties for nonpayment or late payment.

    Authority: 5 U.S.C. 5542; 7 U.S.C. 1622 and 8301-8317; 21 U.S.C. 
136 and 136a; 31 U.S.C. 3701, 3716, 3717, 3719, and 3720A; 7 CFR 
2.22, 2.80, and 371.4.


Sec.  130.1  Definitions.

    As used in this part, the following terms shall have the meaning 
set forth in this section.
    Administrator. The Administrator of the Animal and Plant Health 
Inspection Service, or any person authorized to act for the 
Administrator.
    Animal. All animals except birds, but including poultry.
    Animal and Plant Health Inspection Service (APHIS). The Animal and 
Plant Health Inspection Service of the United States Department of 
Agriculture.
    Animal Import Center. Quarantine facilities operated by APHIS in 
Newburgh, New York, and Miami, Florida.
    APHIS representative. An individual, including, but not limited to, 
an animal health technician or veterinarian, authorized by the 
Administrator to perform the services for which the user fees in this 
part are charged.
    Bird. Any member of the class aves, other than poultry.
    Consumer price index. The measure of the average change over time 
in prices paid by urban consumers for a market basket of consumer goods 
and services, as determined by the Bureau of Labor Statistics annually.
    Cost of living. The adjusted annual rate used to determine the cost 
of maintaining a certain standard of living based on the economic 
assumptions in the Office of Management and Budget's Presidential 
Economic Assumptions.
    Diagnostic reagent. Substances used in diagnostic tests to detect 
disease agents or antibodies by causing an identifiable reaction.
    Direct operating costs. Costs attributed to travel and 
transportation for personnel; materials, supplies, and other necessary 
items; training; general office supplies; rent; facility maintenance; 
equipment purchase and maintenance; utilities; contractual services; 
and information system operations, maintenance, and development.
    Direct pay (including benefits). The wage labor costs (on board and 
in the hiring process), including benefits, for employees who 
specifically support and provide the required service.
    Equine. Any horse, ass, mule, or zebra.
    Export health certificate. An official document that, as required 
by the importing country, is endorsed by an APHIS representative and 
states that animals, animal products, organisms, vectors, or birds to 
be exported from the United States were found to be healthy and free 
from evidence of communicable diseases and pests.
    Feeder animal. Any animal imported into the United States under 
part 93 of this chapter for feeding.
    Germplasm. Semen, embryos, or ova.
    Import compliance assistance. Services provided to an importer 
whose shipment arrives at a port of entry without the necessary 
paperwork or with incomplete paperwork and who requires assistance to 
meet the requirements for entry into the United States. Fees for import 
compliance assistance are charged in addition to the flat rate user 
fees.
    Imputed costs. Office of Workers' Compensation costs from the 
Department of Labor; costs of employee leave earned in a prior fiscal 
year and used in the current fiscal year; Office of Personnel 
Management and Department of State (State Department) costs to provide 
retirement, health, and life insurance benefits to employees; 
unemployment compensation costs; and Department of Justice judgment 
fund costs.
    In-bond animal. Any animal imported into the United States under a 
United States Customs Service bond, as described in 19 CFR part 113.
    National Veterinary Services Laboratories (NVSL). The National 
Veterinary Services Laboratories of the Animal and Plant Health 
Inspection Service, located in Ames, Iowa.
    National Veterinary Services Laboratories, Foreign Animal Disease 
Diagnostic Laboratory (FADDL). The National Veterinary Services 
Laboratories, Foreign Animal Disease Diagnostic Laboratory, located in 
Greenport, New York.
    Person. An individual, corporation, partnership, trust, 
association, or any other public or private entity, or any officer, 
employee, or agent thereof.
    Pet birds. Birds, except hatching eggs and ratites, that are 
imported or exported for the personal pleasure of their individual 
owners and are not intended for resale.
    Poultry. Chickens, doves, ducks, geese, grouse, guinea fowl, 
partridges, pea fowl, pheasants, pigeons, quail, swans, and turkeys.
    Privately operated permanent import-quarantine facility. Any 
permanent facility approved under part 93 of this chapter to quarantine 
animals or birds, except facilities operated by APHIS.
    Program, Agency, and Department support. Indirect or direct costs 
of the program, including supporting services provided to the industry.
    Reserve. Funds above expected obligations that are required to 
effectively manage uncertainties in demand and timing to ensure 
sufficient operating funds in cases of bad debt, customer insolvency, 
fluctuations in activity volumes, information technology development 
costs, cash flow, facilities capital needs, or fluctuations in activity 
volumes caused by unforeseen global and national events.
    Standard feed. Seed, or dry feeds such as dog food or monkey 
biscuits, whether soaked in water or not.
    Test. A single analysis performed on a single specimen from an 
animal, animal product, commercial product, or animal feed.
    United States. The several States of the United States, the 
District of Columbia, Guam, the Commonwealth of the Northern Mariana 
Islands, the Commonwealth of Puerto Rico, the Virgin Islands of the 
United States, and all other territories and possessions of the United 
States.


Sec.  130.2  Basis for fees and rates.

    (a) Except as set forth in paragraphs (b) through (d) of this 
section, for setting fee rates for each calendar year based upon the 
previous fiscal year, APHIS will calculate the rates for services as 
follows:
    (1) APHIS will prorate the total Veterinary Services (VS) 
inspection, certification, or laboratory service program personnel 
direct pay (on board and in hiring process including benefits) for the 
previous fiscal year to each fee based upon the direct time factor 
percentage of employee's average time to perform and complete each fee 
code process and then multiply by the next

[[Page 49999]]

year's percentage of cost of living increase.
    (2) APHIS will prorate total direct operating costs for the 
previous fiscal year based upon the direct time factor percentage of 
employee's average time to perform and complete each fee code process 
to each fee and then multiply by the anticipated percentage of 
inflation for the next year.
    (3) APHIS will add estimates for Program, Agency, and Department 
support costs, imputed costs, and reserves by applying a percentage 
based on information from Program, Agency, and Department officials and 
the Department of Treasury to the sum of the direct pay plus direct 
operating costs.
    (4) The amounts derived via the process described in this paragraph 
(a) and paragraphs (b) and (c) of this section will be added and then 
APHIS will round up to the next $0.25 for all fees less than $10 or 
round up to the nearest dollar for all fees greater than $10 to develop 
the new rate for each code.
    (b) If there is no identifiable volume in the previous year for the 
service provided by the fee, if the fee is rarely charged, or if APHIS 
cannot readily identify level of effort, APHIS will calculate the fee 
based on the last available historic data encompassing multiple 
instances of use and add any intervening inflation, overhead and 
support costs, imputed costs, and reserve.
    (c) Fees for the exclusive use of space in animal import centers 
will be calculated using the following formula:
    (1) APHIS will calculate fees by using direct employee average time 
(with benefits) and adding a prorated portion of currently identifiable 
expenses (facilities, rent, support cost, and admin support costs), 
program and support overhead expenses, imputed costs, and reserve.
    (2) APHIS will combine the costs to determine the monthly cost of 
providing the service at a single location within the animal import 
center.
    (3) APHIS will calculate the costs of the other locations within 
the animal import center based on the square footage of the location.
    (d) Services listed in Sec.  130.4 will be charged an hourly rate-
based user fee in accordance with the provisions of that section.

(Approved by the Office of Management and Budget under control number 
0579-0055)


Sec.  130.3  Operating details.

    (a) General standards. (1) User fee rates may be found online at 
<a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a> or by contacting 
<a href="/cdn-cgi/l/email-protection#165a575f53566365727738717960"><span class="__cf_email__" data-cfemail="bbf7faf2fefbcec8dfda95dcd4cd">[email&#160;protected]</span></a>. Changes in rates will be proposed annually in the 
following manner:
    (i) APHIS will propose changes to the fee rates found at 
<a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a> through publication of a 
notice in the Federal Register. The notice will provide information 
regarding the basis for any fee change and will take public comment.
    (ii) Following the comment period, APHIS will issue a subsequent 
notice in the Federal Register providing the final rates. The notice 
will respond to any comments received on the initial notice.
    (iii) When this subsequent notice is issued, APHIS will update the 
fee rates found at <a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a> 
accordingly.
    (2) The person for whom the service is provided and the person 
requesting the service are jointly and severally liable for payment of 
user fees in accordance with this section.
    (b) User fees for individual animals and certain birds quarantined 
in the APHIS-owned or -operated quarantine facilities, including APHIS 
Animal Import Centers. (1) Each user fee is assessed per animal or bird 
quarantined by APHIS. Special requirements may be requested by the 
importer or required by an APHIS representative. Certain conditions or 
traits, such as pregnancy or aggression, may necessitate special 
requirements for certain birds or poultry.
    (2) For any animal or bird that requires a diet other than standard 
feed, including but not limited to diets of fruit, insects, nectar, or 
fish, the importer must either provide feed or pay for it on an actual 
cost basis, including the cost of delivery to the APHIS owned or 
operated Animal Import Center or quarantine facility.
    (c) User fees for exclusive use of space at APHIS Animal Import 
Centers. (1) An importer may request to exclusively occupy a space at 
an APHIS animal import center. Any importer who occupies space for more 
than 30 days must pay 1/30th of the 30-day fee for each additional day 
or part of a day.
    (2) Unless the importer cancels the reservation for exclusive use 
of space in time to receive a refund of the reservation fee in 
accordance with Sec. Sec.  93.103, 93.204, 93.304, 93.404, or 93.504 of 
this chapter, as appropriate, the 30-day user fee will be effective as 
of the first day for which the importer has reserved the space and for 
the entirety of the reservation, regardless of whether the user 
occupies the space on that date or not.
    (3) Users must provide APHIS personnel at the Animal Import Center, 
at the time they make a reservation for quarantine space, with the 
following information:
    (i) Species of animals and birds to be quarantined;
    (ii) Ages of animals and birds to be quarantined; and
    (iii) Sizes of animals and birds to be quarantined.
    (4)(i) APHIS personnel at the Animal Import Center will determine, 
based on the information provided by the importer under paragraph 
(b)(3) of this section, and on routine husbandry needs, the maximum 
number of animals and birds permitted in the requested building.
    (ii) If APHIS personnel at the Animal Import Center determine the 
number of animals and birds requested by the importer can be housed in 
the space requested, but two animal health technicians cannot fulfill 
the routine husbandry needs of the number of animals or birds proposed 
by the importer, then the importer must either:
    (A) Pay for additional services on an hourly basis; or
    (B) Reduce the number of animals or birds to be quarantined to a 
number which APHIS personnel at the Animal Import Center determine can 
be handled by two animal health technicians.
    (iii) If the importer requests additional services, then APHIS will 
calculate the user fees for any service rendered by an APHIS 
representative at the hourly rate user fee found online at 
<a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a>.
    (iv) The importer must either provide feed or pay for it on an 
actual cost basis, including the cost of delivery to the APHIS owned or 
operated Animal Import Center or quarantine facility, for any animal or 
bird that requires a diet other than standard feed, including but not 
limited to diets of fruit, insects, nectar, or fish.
    (d) User fees for inspection of live animals at land border ports 
along the United States-Canada border. If a service must be conducted 
on a Sunday or holiday or at any other time outside the normal tour of 
duty of the employee, then reimbursable overtime, as provided for in 
part 97 of this chapter, must be paid for each service, in addition to 
the user fee found online at <a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a>.
    (e) User fees for pet birds. (1) Based on the information provided 
to APHIS personnel, APHIS personnel at the Animal Import Center or 
other APHIS owned or supervised quarantine facility will determine the 
appropriate number

[[Page 50000]]

of birds that should be housed per isolette.
    (2) If the importer requests additional services, then APHIS will 
calculate the user fees for those services at the hourly rate user fee 
found online at <a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a> for each 
employee required to perform the service.
    (f) User fees for endorsing export certificates. (1) User fees for 
the endorsement of export health certificates that require the 
verification of tests or vaccinations are found online at 
<a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a>. APHIS will calculate the 
user fees to apply to each export health certificate endorsed \1\ for 
animals and birds based on the number of animals or birds covered by 
the certificate and the number of tests or vaccinations required. 
However, there will be a maximum user fee of 12 times the hourly rate 
user fee.
---------------------------------------------------------------------------

    \1\ An export health certificate may need to be endorsed for an 
animal being exported from the United States if the country to which 
the animal is being shipped requires one. APHIS endorses eport heath 
certificates as a service.
---------------------------------------------------------------------------

    (2) If an export certificate covers more than one animal, but the 
number of tests required for different animals are not the same, the 
user fee for the certificate is the fee which would be due if all the 
animals on the certificate required the same number of tests as the 
animal which requires the greatest number of tests.
    (3) The user fees referenced in this section will not apply to an 
export health certificate if: (i) An APHIS veterinarian prepares the 
certificate for endorsement completely at the site of the inspection in 
the course of performing inspection or supervision services for the 
animals listed on the certificate; and
    (ii) An APHIS user fee is payable under Sec.  130.4 for the 
inspection or supervision services performed by the veterinarian.
    (4) If a service must be conducted on a Sunday or holiday or at any 
other time outside the normal tour of duty of the employee, then 
reimbursable overtime, as provided for in part 97 of this chapter, must 
be paid for each service, in addition to the user fee listed in this 
section.
    (g) User fees for inspection services outside the United States. 
(1) If inspection services (including inspection, testing, and 
supervision services) are performed outside the United States, in 
accordance with this title, and the regulations do not contain a 
provision for payment of the cost of the service, the person requesting 
the service must pay a user fee.
    (2) Any person who wants APHIS to provide inspection services 
outside the United States must contact the Animal and Plant Health 
Inspection Service, Veterinary Services, Strategy and Policy, Live 
Animal Imports at <a href="/cdn-cgi/l/email-protection#c78b868e8287b2b4a3a6e9a0a8b1"><span class="__cf_email__" data-cfemail="3579747c7075404651541b525a43">[email&#160;protected]</span></a>, to make an agreement.
    (3) All agreements for inspection services outside the United 
States must include:
    (i) Name, mailing address, and telephone number of either the 
person requesting the inspection services, or his or her agent;
    (ii) Explanation of inspection services to be provided, including 
the regulations in this chapter which provide for the services;
    (iii) Date(s) and time(s) the inspection services are to be 
provided;
    (iv) Location (including street address) where inspection services 
are to be provided;
    (v) An estimate of the actual cost, as calculated by APHIS, to 
provide the described inspection services for 6 months;
    (vi) A statement that APHIS agrees to provide the inspection 
services;
    (vii) A statement that the person requesting the inspection 
services, or, if appropriate, his or her agent, agrees to pay, at the 
time the agreement is entered into, a user fee equal to the estimated 
cost of providing the described inspection services for 6 months; and
    (viii) A statement that the person requesting the inspection 
services, or, if appropriate, his or her agent, agrees to maintain a 
user fee payment account equal to the cost of providing the described 
inspection services for 6 months, as calculated monthly by APHIS.
    (4) APHIS will enter into an agreement only if qualified personnel 
can be made available to provide the inspection services.
    (5) An agreement can be terminated by either party on 30 days 
written notice.
    (6) If, at the time an agreement is terminated, any unobligated 
funds remain in the user fee payment account, APHIS will refund the 
funds to the person who requested the inspection services, or his or 
her agent.

(Approved by the Office of Management and Budget under control numbers 
0579-0015, 0579-0020, 0579-0040, and 0579-0055)


Sec.  130.4  Hourly rate and minimum user fees.

    (a) Services subject to hourly rate user fees. User fees for 
import- or export-related veterinary services listed in paragraphs 
(a)(1) through (18) of this section, except those services covered by 
flat rate user fees, will be calculated at the hourly rate found online 
at <a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a>, for each employee 
required to perform the service. The person for whom the service is 
provided and the person requesting the service are jointly and 
severally liable for payment of these user fees in accordance with 
Sec. Sec.  130.6 and 130.7.
    (1) Providing services to live animals for import or entry at 
airports, ocean ports, and rail ports.
    (2) Conducting inspections, including inspections of laboratories 
and facilities (such as biosecurity level two facilities), required 
either to obtain import permits for animal products and byproducts, 
aquaculture products, or organisms or vectors, or to maintain 
compliance with import permits. This hourly rate does not apply to 
inspection and approval of import/export facilities and establishments.
    (3) Obtaining samples required to be tested, either to obtain 
import permits or to ensure compliance with import permits.
    (4) Providing services for imported birds or ratites that are not 
subject to quarantine, such as monitoring birds--including but not 
limited to pet birds--between flights.
    (5) Supervising the opening of in-bond shipments.
    (6) Providing services for in-bond or in-transit animals to exit 
the United States.
    (7) Inspecting an export isolation facility and the animals in it.
    (8) Supervising animal or bird rest periods prior to export.
    (9) Supervising loading and unloading of animals or birds for 
export shipment.
    (10) Inspecting means of conveyance used to export animals or 
birds.
    (11) Conducting inspections under part 156 of this chapter.
    (12) Inspecting and approving an artificial insemination center or 
a semen collection center or the animals in it.
    (13) Import or entry services for feeder animals including, but not 
limited to, feeder goats and feeder bison not covered by a flat rate 
user fee in connection with activities described in Sec.  130.3(d).
    (14) Export-related bird banding for identification.
    (15) Export-related inspection and approval of pet food facilities, 
including laboratories that perform pet food testing.
    (16) Export-related services provided at animal auctions.
    (17) Various export-related facility inspections, including, but 
not limited to, fertilizer plants that utilize poultry waste, rendering 
plants, and potential embarkation facilities.

[[Page 50001]]

    (18) Providing other import-or export-related veterinary services 
for which no flat rate user fee is specified.
    (b) When do I pay an additional amount for employee(s) working 
overtime? You must pay an additional amount if you need an APHIS 
employee to work on a Sunday, on a holiday, or at any time outside the 
normal tour of duty of that employee. Instead of paying the hourly rate 
user fee, you pay the rate found online at <a href="http://www.aphis.usda.gov/business-services/vs-fees">www.aphis.usda.gov/business-services/vs-fees</a> for each employee needed to get the work done.

(Approved by the Office of Management and Budget under control numbers 
0579-0015, 0579-0020, 0579-0040, and 0579-0055)


Sec.  130.5  Exemptions.

    (a) Veterinary diagnostics. APHIS will not charge user fees for 
veterinary diagnostic services under the following conditions:
    (1) When veterinary diagnostic services are provided in connection 
with Federal programs to control or eradicate diseases or pests of 
livestock or poultry in the United States (program diseases);
    (2) When veterinary diagnostic services are provided in support of 
zoonotic disease surveillance when the Administrator has determined 
that there is a significant threat to human health; and
    (3) When veterinary diagnostic reagents are distributed within the 
United States for testing for foreign animal diseases.
    (b) [Reserved]


Sec.  130.6  Payment of user fees.

    (a) Who must pay APHIS user fees? Any person for whom a service is 
provided related to the importation, entry, or exportation of an 
animal, article, or means of conveyance or related to veterinary 
diagnostics, and any person requesting such service, shall be jointly 
and severally liable for payment of fees assessed.
    (b) Associated charges--(1) Reservation fee. Any reservation fee 
paid by an importer under part 93 of this chapter will be applied to 
the APHIS user fees described in Sec.  130.3(b) and (c) for animals or 
birds quarantined in an animal import center.
    (2) Special handling expenses. The user fees in this part do not 
include any costs that may be incurred due to special mail handling, 
including, but not limited to, express, overnight, or foreign mailing. 
If any service requires special mail handling, the user must pay all 
costs incurred, in addition to the user fee for the service.
    (3) When do I pay an additional amount for employee(s) working 
overtime? You must pay an additional amount if you need an APHIS 
employee to work on a Sunday, on a holiday, or at any time outside the 
normal tour of duty of that employee. You pay the amount specified in 
this paragraph (b)(3) as relevant, for each employee needed to get the 
work done.
    (i) What additional amount do I pay if I receive a flat rate user 
fee service? In addition to the flat rate user fee(s), you pay the 
overtime rate listed in Table 1 of this section for each employee 
needed to get the work done:
    (ii) What amount do I pay if I receive an hourly rate user fee 
service? Instead of paying the normal hourly rate user fee described in 
Sec.  130.4(a), you pay the premium rate described in Sec.  130.4(b) 
for each employee needed to get the work done:

                      Table 1 to Paragraph (b)(3)(i)--Overtime for Flat Rate User Fees 1 2
----------------------------------------------------------------------------------------------------------------
                                                                           Overtime rates by hour
                                         Outside of the    -----------------------------------------------------
          Service provided             employee's normal      Nov. 2, 2015-     Oct. 1, 2016-
                                          tour of duty       Sept. 30, 2016    Sept. 30, 2017    Beginning Oct.
                                                                                                     1, 2017
----------------------------------------------------------------------------------------------------------------
Rate for inspection, testing,        Monday through                      $75               $75               $75
 certification or quarantine of       Saturday and
 animals, animal products or other    holidays.
 commodities \3\.
                                     Sundays..............                99                99               100
Rate for commercial airline          Monday through                       64                65                65
 inspection services \4\.             Saturday and
                                      holidays.
                                     Sundays..............                85                86                86
----------------------------------------------------------------------------------------------------------------
\1\ APHIS will charge a minimum charge of 2 hours, unless performed on the employee's regular workday and
  performed in direct continuation of the regular workday or begun within an hour of the regular workday.
\2\ When the 2-hour minimum applies, you may need to pay commuted travel time. (See Sec.   97.1(b) of this
  chapter for specific information about commuted travel time.)
\3\ See Sec.   97.1(a) of this chapter or 7 CFR 354.3 for details.
\4\ See Sec.   97.1(a)(3) of this chapter for details.

    (c) When are APHIS user fees due?--(1) Animal and bird quarantine 
and related tests. User fees for animals and birds in an Animal Import 
Center or privately operated permanent or temporary import quarantine 
facilities, including user fees for tests conducted on these animals or 
birds, must be paid prior to the release of those animals or birds from 
quarantine.
    (2) Supervision and inspection services for export animals, animal 
products and byproducts. User fees for supervision and inspection 
services described in Sec.  130.4 must be paid when billed, or, if 
covered by a compliance agreement signed in accordance with this 
chapter, must be paid as specified in the agreement.
    (3) Export health certificates. User fees for export health 
certificates described in Sec.  130.3(f) must be paid prior to receipt 
of endorsed certificates. If APHIS determines that the user has 
established an acceptable credit history, the user may request to pay 
when billed.
    (4) Veterinary diagnostics. User fees specified for veterinary 
diagnostic services, such as tests on samples submitted to NVSL or 
FADDL, diagnostic reagents, slide sets, tissue sets, and other 
veterinary diagnostic services, must be paid when the veterinary 
diagnostic service is requested. If APHIS determines that the user has 
established an acceptable credit history, the user may request to pay 
when billed.
    (5) Other user fee services. User fees for import or entry services 
for land border ports along the United States-Mexico or United States-
Canada border, inspection of germplasm being exported, release from 
export agricultural hold, and other services described in Sec.  130.4 
must be paid when service is provided (for example when live animals 
are inspected when presented for importation at a port of entry). If 
APHIS determines that the user has established an acceptable credit

[[Page 50002]]

history, the user may request to pay when billed.
    (d) What payment methods are acceptable? Payment must be for the 
exact amount due and may be paid by:
    (1) Cash. Cash will be accepted only during normal business hours 
if payment is made at an APHIS office or an Animal Import Center;
    (2) Checks. All types of checks, including traveler's checks, drawn 
on a U.S. bank in U.S. dollars and made payable to the U.S. Department 
of Agriculture or USDA;
    (3) Money orders. Money orders, drawn on a U.S. bank in U.S. 
dollars and made payable to the U.S. Department of Agriculture or USDA; 
or
    (4) Credit cards. Credit cards (VISA\TM\ and MasterCard\TM\) if 
payment is made at an Animal Import Center or an APHIS office that is 
equipped to process credit cards.


Sec.  130.7  Penalties for nonpayment or late payment.

    (a) Unpaid debt. If any person for whom the service is provided 
fails to pay when due any debt to APHIS, including any user fee due 
under 7 CFR chapter III or this chapter, then:
    (1) Subsequent user fee payments. Payment must be made for 
subsequent user fees before the service is provided if:
    (i) For unbilled fees, the user fee is unpaid 60 days after the 
date the pertinent regulatory provision indicates payment is due;
    (ii) For billed fees, the user fee is unpaid 60 days after date of 
bill;
    (iii) The person for whom the service is provided or the person 
requesting the service has not paid the late payment penalty or 
interest on any delinquent APHIS user fee; or
    (iv) Payment has been dishonored.
    (2) Resolution of difference between estimate and actual. APHIS 
will estimate the user fee to be paid; any difference between the 
estimate and the actual amount owed to APHIS will be resolved as soon 
as reasonably possible following the delivery of the service, with 
APHIS returning any excess to the payor or billing the payor for the 
additional amount due.
    (3) Prepayment form. The prepayment must be in guaranteed form, 
such as money order, certified check, or cash. Prepayment in guaranteed 
form will continue until the debtor pays the delinquent debt.
    (4) Denied service. Service will be denied until the debt is paid 
if:
    (i) For unbilled fees, the user fee is unpaid 90 days after date 
the pertinent regulatory provision indicates payment is due; or
    (ii) For billed fees, the user fee is unpaid 90 days after date of 
bill; or
    (iii) The person for whom the service is provided or the person 
requesting the service has not paid the late payment penalty or 
interest on any delinquent APHIS user fee; or
    (iv) Payment has been dishonored.
    (b) Unpaid debt during service. If APHIS is in the process of 
providing a service for which an APHIS user fee is due, and the user 
has not paid the fee within the time required, or if the payment 
offered by the user is inadequate or unacceptable, then APHIS will take 
the following action:
    (1) Animals or birds in quarantine. If an APHIS user fee is due for 
animals or birds in quarantine at an animal import center or at a 
privately operated import quarantine facility, APHIS will not release 
them.
    (2) Export health certificate. If an APHIS user fee specified is 
due for an export health certificate, APHIS will not release the 
certificate.
    (3) Veterinary diagnostics. If an APHIS user fee is due for a 
veterinary diagnostic test or service, APHIS will not release the test 
result, any endorsed certificate, or any other veterinary diagnostic 
service.
    (c) Late payment penalty. In addition to the actions described in 
paragraph (b) of this section, APHIS will impose a late payment penalty 
and interest charges in accordance with 31 U.S.C. 3717 for:
    (1) Unbilled user fees. Unbilled user fees, if the user fees are 
unpaid 30 days after the date the pertinent regulatory provisions 
indicates payment is due; or
    (2) Billed user fees. Billed user fees, if the user fees are unpaid 
30 days after the date of the bill.
    (d) Dishonored payment penalties. User fees paid with dishonored 
forms of payment, such as a check returned for insufficient funds, will 
be subject to interest and penalty charges in accordance with 31 U.S.C. 
3717. Administrative charges will be assessed at $20.00 per dishonored 
payment to be paid in addition to the original amount owed. Payment 
must be in guaranteed form, such as cash, money order, or certified 
check.
    (e) Debt collection management. In accordance with the Debt 
Collection Improvement Act of 1996, the following provisions apply:
    (1) Taxpayer identification number. APHIS will collect a taxpayer 
identification number from all persons, other than Federal agencies, 
who are liable for a user fee.
    (2) Administrative offset. APHIS will notify the Department of 
Treasury of debts that are over 180 days delinquent for the purposes of 
administrative offset. Under administrative offset, the Department of 
Treasury will withhold funds payable by the United States to a person 
(i.e., Federal income tax refunds) to satisfy the debt to APHIS.
    (3) Cross-servicing. APHIS will transfer debts that are over 180 
days delinquent to the Department of Treasury for cross-servicing. 
Under cross-servicing, the Department of Treasury will collect debts on 
behalf of APHIS. Exceptions will be made for debts that meet certain 
requirements, for example, debts that are already at a collection 
agency or in payment plan.
    (4) Report delinquent debt. APHIS will report all unpaid debts to 
credit reporting bureaus.
    (f) Animals or birds abandoned after quarantine at an animal import 
center. Animals or birds left in quarantine at an animal import center 
for more than 30 days after the end of the required quarantine period 
will be deemed to be abandoned.
    (1) Release of abandoned animals or birds from quarantine. After 
APHIS releases the abandoned animals or birds from quarantine, APHIS 
may seize them and sell or otherwise dispose of them, as determined by 
the Administrator, provided that their sale is not contrary to any 
Federal law or regulation. APHIS may recover all expenses of handling 
the animals or birds from the proceeds of their sale or disposition.
    (2) Seizure and disposal of abandoned animals or bird. If animals 
or birds abandoned in quarantine at an animal import center cannot be 
released from quarantine, APHIS may seize and dispose of them, as 
determined by the Administrator, and may recover all expenses of 
handling the animals or birds from the proceeds of their disposition 
and from persons liable for user fees under Sec.  130.6(a).

(Approved by the Office of Management and Budget under control number 
0579-0055)

    Done in Washington, DC, this 26th day of July 2023.
Michael Watson,
Administrator, Animal and Plant Health Inspection Service.
[FR Doc. 2023-16278 Filed 7-31-23; 8:45 am]
BILLING CODE 3410-34-P


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Indexed from Federal Register on August 1, 2023.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.