Notice2025-15756

Notice of Intent To Terminate Agricultural Marketing Service Master Scale Program

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Published
August 19, 2025

Issuing agencies

Agriculture DepartmentAgricultural Marketing Service

Abstract

The U.S. Department of Agriculture's (USDA) Agricultural Marketing Service (AMS) proposes to terminate the master scale testing program effective September 30, 2025. Significantly reduced customer usage has led to insufficient collection of user fees that are required to cover program costs. AMS seeks public comment on this service termination from affected parties.

Full Text

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[Federal Register Volume 90, Number 158 (Tuesday, August 19, 2025)]
[Notices]
[Pages 40318-40319]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-15756]


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Federal Register / Vol. 90, No. 158 / Tuesday, August 19, 2025 / 
Notices

[[Page 40318]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

[Doc. No. AMS-FGIS-25-0033]


Notice of Intent To Terminate Agricultural Marketing Service 
Master Scale Program

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Notice; request for comments.

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

SUMMARY: The U.S. Department of Agriculture's (USDA) Agricultural 
Marketing Service (AMS) proposes to terminate the master scale testing 
program effective September 30, 2025. Significantly reduced customer 
usage has led to insufficient collection of user fees that are required 
to cover program costs. AMS seeks public comment on this service 
termination from affected parties.

DATES: Submit comments on or before September 18, 2025.

ADDRESSES: To submit comments in response to this notice, go to 
<a href="http://Regulations.gov">Regulations.gov</a> (<a href="https://www.regulations.gov">https://www.regulations.gov</a>). Instructions for 
submitting and reading comments are detailed on the site. All comments 
must be submitted through the Federal e-rulemaking portal at <a href="https://www.regulations.gov">https://www.regulations.gov</a> and should reference the document number and the 
date and page number of this issue of the Federal Register. All 
comments submitted in response to this notice will be included in the 
record and will be made available to the public. Please be advised that 
the identity of the individuals or entities submitting comments will be 
made public on the internet at the address provided above.

FOR FURTHER INFORMATION CONTACT: Barry Gomoll, Grain Marketing 
Specialist, Federal Grain Inspection Service, AMS, USDA; telephone: 
(202) 720-8286; email: <a href="/cdn-cgi/l/email-protection#c8aaa9babab1e6a4e6afa7a5a7a4a488bdbbaca9e6afa7be"><span class="__cf_email__" data-cfemail="eb898a999992c587c58c8486848787ab9e988f8ac58c849d">[email&#160;protected]</span></a>.

SUPPLEMENTARY INFORMATION:

Authority

    Section 16 of the United States Grain Standards Act (USGSA), as 
amended (7 U.S.C. 71 et seq.), states that the Secretary of Agriculture 
``may provide for the testing of weighing equipment used for purposes 
other than weighing grain.'' The USGSA further states that the testing 
shall be performed ``for a reasonable fee established by regulation or 
contractual agreement and sufficient to cover, as nearly as 
practicable, the estimated costs of the testing performed'' and that 
testing ``may not conflict with or impede the objectives'' specified in 
the Congressional findings and declaration of policy of the USGSA. 
Moreover, AMS requires that scales used in the weighing of grain 
function in an approved manner (7 CFR 800.217(c)) and section 9 of the 
USGSA (7 U.S.C. 79b) requires the Secretary to provide regulations for 
the testing of official scales as the needed to ensure accuracy and 
integrity of that equipment. AMS uses this discretionary authority to 
maintain and operate the Federal Grain Inspection Service (FGIS) master 
scale depot.

Background

    Since 1980, AMS has maintained and operated the master scale depot 
in Chicago, Illinois. AMS uses this depot as a central testing location 
to calibrate other master scales throughout the United States. Once AMS 
has completed testing and calibration, railroad companies and States 
can then calibrate their own railroad track scales and other industry 
owned scales with their own test cars to ensure uniform weighing 
performance.
    From 2010 through 2019, AMS had an agreement with the Association 
of American Railroads (Association) that supported costs and 
maintenance of the master scale depot, weighing equipment, and salaries 
of personnel. The Association elected not to reestablish the agreement 
in 2020, thereby removing guaranteed funding that supported operating 
expenses. A primary reason the Association subsidized the scale 
calibration and testing services was consolidation of scale service 
providers, while the Association projected the number test cars sent to 
the Chicago-based master scale facility would increase. Today, the 
overall business environment and model has changed drastically. When 
AMS assumed the master scale calibration service decades ago, 
historical records indicate there were eleven master scales in use 
throughout the United States. In fiscal year 2024, AMS tested and 
calibrated only three of five currently operating master scales, two 
owned by railroad companies and one owned by the State of Minnesota. 
Due to the cancellation of the Association agreement and changes in 
business conditions, AMS has not collected sufficient fees to cover the 
cost of this service.

Service Fees

    Maintaining the master scale program involves coverage of fixed and 
variable expenses that include, but are not limited to, facility 
maintenance, repairs, and utilities; weighing equipment technology and 
test car repairs, upgrades, or replacements to increase testing 
efficiency and reduce wear and tear on equipment; and personnel 
salaries and required training costs. AMS made attempts to generate 
business by modernizing operations that would ensure the accuracy of 
official weight certificates and traceability. AMS conducted long 
overdue renovations of the depot building in fiscal years 2020-2021 and 
replaced outdated equipment in fiscal year 2022. Due to the decreased 
volume of testing, the master scale testing program user fees have not 
kept pace with the fixed costs of operating the program.
    AMS bills master scale testing customers through a combination of 
an hourly rate, travel expenses, and a daily rate for the use of the 
test car. AMS decreased scale testing fees each fiscal year from 2018-
2020 and has only modestly increased fees in the years since, while 
overall testing volume remains unsustainably low. Since the termination 
of the Association agreement in 2020, individual companies assume user 
fee-based costs for each master scale test, which totaled approximately 
$7,800 per master scale test as of 2024. If AMS were to test all five 
master scales annually, the estimated revenue collection of $39,000 
would only cover about 20 percent of the total cost of providing and 
maintaining the service, which is more than $200,000 each year. The 
USGSA requires that scale testing fees be reasonable and sufficient to 
cover

[[Page 40319]]

applicable costs. AMS is not collecting sufficient fees to cover the 
cost of providing the master scale testing service. To continue 
operating the master scale testing program, AMS would require a 
significant user fee increase that the agency does not believe 
customers would consider reasonable.

Request for Comments

    AMS proposes to cease operation of the master scale depot and 
transfer the depot to either another government agency or a private 
entity. AMS is soliciting feedback including data, recommendations, and 
other information from customer stakeholders on plans to terminate the 
master scale testing program service effective September 30, 2025. 
Faced with significantly less service volume and constrained revenue 
collection, AMS made substantial strides to adapt services to no avail. 
While scale calibration and testing services remain vital to all 
weighed freight moving on the U.S. railroad system, AMS can only 
operate the master scale program if it can be fully self-sustained 
through user fee funding. The USGSA does not mandate testing of scales 
used for commodities other than grain and AMS believes that non-federal 
expertise and viable providers through a State-government program or a 
private sector entity could preserve service affordability without 
compromising the integrity of standards.
    AMS is also requesting any historical information pertaining to an 
agreement established in 1980 whereas the USDA Federal Grain Inspection 
Service (FGIS) and the National Institute of Standards and Technology 
(NIST)--formerly the National Bureau of Standards (NBS)--transferred 
responsibility to maintain the Chicago-based Master Scale facility to 
FGIS.
    After reviewing feedback and comments submitted in response to this 
notice, AMS will make a final determination concerning the master scale 
testing program.

Erin Morris,
Administrator, Agricultural Marketing Service.
[FR Doc. 2025-15756 Filed 8-18-25; 8:45 am]
BILLING CODE P


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