This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents.

Rules and Regulations Federal Register

531 

Vol. 90, No. 3 

Monday, January 6, 2025 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 800 

[Doc. No. AMS–FGIS–24–0027] 

RIN 0581–AE31 

Formulas for Calculating Hourly and 

Unit Fees for FGIS Services 

AGENCY: Agricultural Marketing Service, 

Department of Agriculture (USDA). 

ACTION: Final rule. 

SUMMARY: The Agricultural Marketing 

Service (AMS), Federal Grain Inspection 

Service (FGIS or Service) is amending 

its user fee regulations to establish 

standardized formulas the agency will 

use to calculate hourly and unit fees. 

The changes allow FGIS to charge 

reasonable fees sufficient to cover the 

costs of providing official services and 

re-establish a 3-to 6-month operating 

reserve, as required by the United States 

Grain Standards Act (USGSA). This 

final rule also makes specified 

conforming changes and minor 

technical changes to correct two 

typographical errors. 

DATES: This final rule is effective 

February 5, 2025. 

FOR FURTHER INFORMATION CONTACT: 

Denise Ruggles, Executive Program 

Analyst, USDA, AMS, FGIS, Telephone: 

816–702–3897, Email: 

Denise.M.Ruggles@usda.gov; or 

Anthony Goodeman, Senior Policy 

Advisor, USDA, AMS, FGIS, Telephone: 

202–720–2091, Email: 

Anthony.T.Goodeman@usda.gov. 

SUPPLEMENTARY INFORMATION: This final 

rule supersedes the provisions of the 

interim final rule titled ‘‘Fees for 

Official Inspection and Weighing 

Services under the United Stated Grain 

Standards Act,’’ and all associated 

rulemakings, and amends FGIS’s user 

fee regulations to establish new 

formulas to calculate hourly and unit 

fees. The new formulas, which are 

similar to the standardized formulas 

used in other AMS user-fee funded 

grading programs, amend the 

regulations at 7 CFR 800.71. The 

formulas will enable the agency to 

sustain operations and comply with the 

USGSA, which requires FGIS to charge 

fees sufficient to cover the costs of the 

official services it provides and to adjust 

fees annually in order to maintain an 

operating reserve of not less than 3 and 

not more than 6 months. Prospective 

customers can find FGIS’s fee schedules 

posted on AMS’s public website at: 

https://www.ams.usda.gov/about-ams/ 

fgis-program-directives. 

Comment Review 

An interim final rule concerning user 

fees for grain inspection and weighing 

services was published in the Federal 

Register on June 6, 2024 (89 FR 48257). 

The interim final rule was effective on 

July 8, 2024. A proposed rule 

concerning fee formulas by which FGIS 

would calculate future grain inspection 

and weighing fees was published 

October 8, 2024 (89 FR 81396). Copies 

of the interim rule and proposed rule 

were sent via email to FGIS 

stakeholders. The interim rule and 

proposed rule were also made available 

through the internet by AMS via https:// 

www.regulations.gov. AMS provided a 

30-day comment period, ending July 8, 

2024, to give interested persons an 

opportunity to respond to the interim 

final rule, and a 45-day comment 

period, ending November 22, 2024, to 

give interested persons an opportunity 

to respond to the proposed rule. 

FGIS received one comment to the 

proposed rule jointly submitted by two 

trade organizations. One of the trade 

organizations represents grain, feed, 

processing, exporting, and other grain 

handling companies who collectively 

operate over 8,000 facilities. The other 

trade association represents private and 

publicly owned companies and farmerowned cooperatives that are involved 

in, and provide services to, the agri-bulk 

products international trading industry. 

Proposed Rule for Calculating Hourly 

Rates and Unit Fees 

Two trade associations expressed 

support for the proposed rule fee 

formulas in a joint comment. Their 

comment urged FGIS to maintain 

transparency regarding the calculation 

data and to regularly share this 

information with industry stakeholders. 

By increasing the flow of information, 

the comment conveyed that 

stakeholders can collaborate more 

effectively with FGIS to discover 

additional solutions that meet current 

market rates and requirements. The 

comment reiterated, similar to feedback 

on FGIS’s interim final rule that revised 

its user fees, that significant increases in 

fees paid by industry are unsustainable. 

Concern was expressed that there is too 

little transparency in the existing 

calculation process, which makes it 

‘‘difficult for both the FGIS and 

[stakeholders] to budget and plan for 

services provided. User fees should be 

predictable and market-based to provide 

enough funding and properly reflect the 

work performed.’’ The comment also 

suggested that FGIS uncouple hourly fee 

calculations from the existing five-year 

rolling average calculation used for 

tonnage fees. 

FGIS agrees with the comment. The 

formulas adopted in this final rule will 

ensure greater transparency regarding 

the calculation of hourly rates for 

industry participants, as well as help 

mitigate large, one-time increases. This 

final rule also separates the calculation 

of hourly rates from the five-year rolling 

average calculation for tonnage fees. 

After consideration of all relevant 

material presented in the comment and 

other available information, FGIS has 

determined that it is appropriate to 

finalize the proposed rule, as published 

in the Federal Register on October 8, 

2024 (89 FR 81396), without change. 

Conforming Regulatory Changes 

In an interim rule published in the 

June 6, 2024, edition of the Federal 

Register (89 FR 48257), FGIS 

established revised fees for the 

remainder of 2024 (and until new fees 

are established using the formulas in 

this final rule). To implement the 

revised fees, the interim rule imposed a 

stay on §§ 800.71 and 800.72(b). To 

amend these sections, this rulemaking 

lifts the stay imposed on them by the 

interim rule. 

This rule also makes certain 

conforming changes in 7 CFR part 800. 

Specifically, this rule restores references 

to §§ 800.71 and 800.72 that were 

amended by the interim rule. In order to 

implement revised fees for 2024, the 

interim rule replaced references to 

§ 800.71, which was stayed, with 

references to a newly added temporary 

section, § 800.74. Because § 800.72(b) 


khammond on DSK9W7S144PROD with RULES
532 Federal Register / Vol. 90, No. 3 / Monday, January 6, 2025 / Rules and Regulations 

1For example, the Consumer Price Index (CPI) 

Calculator (https://data.bls.gov/cgi-bin/cpicalc.pl) 

shows prices up 20 percent between January 2020 

and February 2024, and up 31 percent between 

January 2016 and February 2024. 

was also stayed, the interim rule 

replaced a reference to that section in 

§ 800.73(d) with a reference to 

§§ 800.72(a) and 800.74. As this final 

rule revises § 800.71 to incorporate the 

formulas, these internal substitutions 

are no longer needed. Accordingly, this 

rule replaces references to § 800.74 with 

references to § 800.71 in §§ 800.34, 

800.36, 800.156(d)(5), and 800.197(b)(3). 

This rule also replaces the reference to 

§§ 800.72(a) and 800.74 in § 800.73(d) 

with a reference to § 800.72. Finally, 

because the changes to § 800.71 will 

render § 800.74 obsolete, this rule also 

removes that section. 

Technical Corrections 

This rule also corrects two 

typographical errors—a reference to 5 

U.S.C. 6103 and a reference to Executive 

Order 10358—in the definition of 

Holiday in 7 CFR 800.0—Meaning of 

terms. These corrections do not create 

new or amend existing requirements or 

interpretations. 

Required Regulatory Analyses 

Executive Orders 12866, 13563, and 

14094 

This rule is being issued in 

conformance with Executive Order 

12866, ‘‘Regulatory Planning and 

Review,’’ Executive Order 13563, 

‘‘Improving Regulation and Regulatory 

Review,’’ and Executive Order 14094, 

‘‘Modernizing Regulatory Review.’’ 

Executive Orders 12866 and 13563 

direct agencies to assess all costs and 

benefits of available regulatory 

alternatives and, if regulation is 

necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts, and 

equity). Executive Order 13563 

emphasizes the importance of 

quantifying both costs and benefits, 

reducing costs, harmonizing rules, and 

promoting flexibility. Executive Order 

14094 reaffirms, supplements, and 

updates Executive Order 12866 and 

further directs agencies to solicit and 

consider input from a wide range of 

affected and interested parties through a 

variety of means. 

The Office of Management and Budget 

(OMB) has designated this rule as not 

significant under Executive Orders 

12866, 13563, and 14094. Accordingly, 

OMB has not reviewed this rule under 

those orders. Since grain export volume 

can vary significantly from year to year, 

estimating the impact of future fee 

changes can be difficult. FGIS 

recognizes the need to provide 

predictability to the industry for 

inspection and weighing fees. The 

statutory requirement to maintain an 

operating reserve between 3 to 6 months 

of operating expenses ensures that FGIS 

can adequately cover its costs without 

imposing an undue burden on its 

customers. 

FGIS regularly reviews its user-fee 

financed programs to determine 

whether the fees charged for performing 

official inspection and weighing 

services adequately cover the costs of 

providing those services. Due to 

limitations in the current regulations (7 

CFR 800.71(b)(3)), which permit fee 

increases of no more than 5 percent per 

year, combined with four years of rate 

decreases, and noneconomic factors that 

led to the 2020–2023 period having 

highest inflation in more than 40 years,1

FGIS faced an operating deficit that was 

forecasted to grow without corrective 

action. 

This rule revises the formulas under 

which FGIS adjusts fees annually to 

ensure stability of the program. The rule 

will also ensure that FGIS complies 

with the USGSA, which requires the 

agency to charge fees sufficient to cover 

its costs and maintain a 3- to 6-month 

operating reserve. FGIS will continue to 

seek out cost-saving measures and 

implement appropriate changes to 

reduce its costs to provide alternatives 

to fee increases. 

This rule is unlikely to have an 

annual effect of $200 million or more or 

adversely affect the economy. FGIS has 

operated at a net loss for five 

consecutive years, and even with the 

maximum fee increases permitted under 

the current regulations, the agency has 

been unable to reduce the deficits and 

rebuild the operating reserve. While 

FGIS’s interim final rule, published 

previously in the Federal Register (89 

FR 48257), addresses the agency’s 

current deficit, this rule seeks to prevent 

additional deficits in future years by 

revising FGIS’s user fee regulations to 

enable more accurate calculation of its 

costs and greater flexibility in future 

rate changes. 

FGIS believes that the U.S. grain 

industry will be best served by revising 

the regulation at 7 CFR 800.71, which 

addresses the calculation of fees for 

official inspection and weighing 

services performed by FGIS in the U.S. 

and Canada. The industry is already 

familiar with the annual process for 

evaluating and updating fees and 

anticipates the changes in this rule. This 

rule allows FGIS to continue providing 

mandatory and voluntary grain 

inspection services that facilitate 

international and domestic trade. This 

rule also allows FGIS to adjust fees in 

the future in response to unforeseeable 

climate, logistical, and market 

conditions, and to maintain required 

operating reserves. 

Regulatory Flexibility Analysis 

Under the requirements set forth in 

the Regulatory Flexibility Act (RFA) (5 

U.S.C. 601–12), FGIS has considered the 

economic impact of this final rule on 

small entities. Accordingly, FGIS has 

prepared this regulatory flexibility 

analysis. The purpose of the Regulatory 

Flexibility Act is to fit regulatory actions 

to the scale of businesses subject to such 

actions. This ensures that small 

businesses will not be unduly or 

disproportionately burdened. 

The Small Business Administration 

(SBA) defines small businesses by their 

North American Industry Classification 

System Codes (NAICS). This final rule 

will affect customers of FGIS’s official 

inspection and weighing services in the 

domestic and export grain markets 

(NAICS code 115114). Current guidance 

from the SBA provides a revenue cutoff 

at $34 million to differentiate large and 

small firms in this industry. Fees for the 

program which apply to this industry 

are provided on the FGIS website. 

Under the USGSA, all grain exported 

from the United States must be officially 

inspected and weighed, with few 

exceptions. FGIS provides mandatory 

inspection and weighing services at 29 

export facilities in the United States. 

Five delegated State agencies provide 

mandatory inspection and weighing 

services at 20 facilities. All of these 

facilities are owned by multinational 

corporations, large cooperatives, or 

public entities that do not meet the 

requirements for small entities 

established by the SBA. 

The USGSA requires the registration 

of all persons engaged in the business of 

buying grain for sale in foreign 

commerce. In addition, those persons 

who handle, weigh, or transport grain 

for sale in foreign commerce must also 

register. The regulations found at 7 CFR 

800.30 and 800.31 define a foreign 

commerce grain business as the 

business of regularly buying, handling, 

weighing, or transporting grain for sale 

in foreign commerce totaling 15,000 

metric tons or more during the 

preceding or current calendar year. 

Currently, there are 174 businesses 

registered to export grain, most of which 

are not small businesses. 

Although most exporters are not small 

businesses, most users of FGIS’s official 

inspection and weighing services 


khammond on DSK9W7S144PROD with RULES
Federal Register / Vol. 90, No. 3 / Monday, January 6, 2025 / Rules and Regulations 533 

(which include domestic grain 

businesses as well as exporters) meet 

the SBA requirements for small entities. 

Data on user fee receipts from FGIS for 

the past 5 years, plus 2024 through 

February, show a total of 2,123 different 

accounts over this time, though many 

firms are represented by multiple 

accounts. For the purpose of this 

regulatory flexibility analysis, FGIS will 

consider accounts as representing 

establishments, with multiple 

establishments associated with larger 

firms. 

FGIS identified a total of 31 large 

firms, as defined by the SBA firm size 

classification of receipts in excess of $34 

million. FGIS also identified the total 

number of establishments affiliated with 

the 31 large firms to be 133. With a total 

number of establishments of 2,123, this 

means 1,990, or 94 percent, of the 

establishments that paid fees to FGIS 

over the 2019–2024 period are small 

businesses according to the SBA 

definition. 

Table 1 shows that while only 6 

percent of the firms are considered 

large, in total they have contributed the 

vast majority of the fees paid to the 

program. In each of the five previous 

years, and for the year 2024 to date, the 

31 large firms paid between 86 and 90 

percent of all FGIS fees, with an average 

of 89 percent. The remaining 1,990 

establishments paid on average 11 

percent of total fees. 

TABLE 1—FGIS BILLED ACCOUNTS SUMMARY TABLE FOR REGULATORY FLEXIBILITY ANALYSIS BY SMALL BUSINESS

ADMINISTRATION SIZE CLASSIFICATION

Fiscal year 

All firms Large firms Small firms 

Total 

fees paid 

Total 

fees paid 

Share 

paid 

(%) 

Total 

fees paid 

Share 

paid 

(%) 

2019 ..................................................................................................... $32,314,848 $27,694,899 86 $4,619,949 14 

2020 ..................................................................................................... 30,746,015 27,386,467 89 3,359,547 11 

2021 ..................................................................................................... 34,320,110 30,693,195 89 3,626,915 11 

2022 ..................................................................................................... 31,663,547 28,183,027 89 3,480,520 11 

2023 ..................................................................................................... 27,734,760 25,069,234 90 2,665,526 10 

Oct 2023–Feb 2024 ............................................................................. 10,702,712 9,679,943 90 1,022,769 10 

Grand Total ................................................................................... 167,481,991 148,706,765 89 18,775,226 11 

The amendments to FGIS’s user fee 

regulations will not change the relative 

burden of fees on small businesses. The 

provisions of this final rule will apply 

equally to all entities. In addition, use 

of standardized user-fee rate 

calculations will benefit all inspection 

applicants, regardless of size, as fees 

will more closely reflect the current 

costs of inspections, and the fee 

calculation process will be more 

transparent. Through its annual review, 

FGIS will be able to monitor the 

financial status of the grain inspection 

and weighing program to determine 

whether further adjustments are 

necessary. Finally, this final rule will 

not impose additional reporting, record 

keeping, or other compliance 

requirements on small entities. FGIS has 

not identified any other Federal rules 

which may duplicate, overlap, or 

conflict with this final rule. 

Executive Order 12988 

This final rule has been reviewed 

under Executive Order 12988—Civil 

Justice Reform. It is not intended to 

have retroactive effect. Section 18 of the 

USGSA (7 U.S.C. 87g) provides that no 

State or subdivision thereof may require 

or impose any requirements or 

restrictions concerning the inspection, 

weighing, or description of grain under 

the USGSA. Otherwise, this final rule 

will not preempt any State or local laws, 

regulations, or policies unless they 

present an irreconcilable conflict with 

this final rule. There are no 

administrative procedures that must be 

exhausted prior to any judicial 

challenge to the provisions of this final 

rule. 

Executive Order 13175 

This final rule has been reviewed 

under Executive Order 13175— 

Consultation and Coordination with 

Indian Tribal Governments, which 

requires agencies to consider whether 

their rulemaking actions would have 

Tribal implications. FGIS has 

determined that this final rule is 

unlikely to have substantial direct 

effects on one or more Indian Tribes, on 

the relationship between the Federal 

Government and Indian Tribes, or on 

the distribution of power and 

responsibilities between the Federal 

Government and Indian Tribes. 

Congressional Review Act 

Pursuant to the Congressional Review 

Act (5 U.S.C. 801–808), the Office of 

Information and Regulatory Affairs 

designated this final rule as not a major 

rule, as defined by 5 U.S.C. 804(2). 

E-Government Act 

USDA is committed to complying 

with the provisions of the EGovernment Act (44 U.S.C. 3601–3616) 

by promoting the use of the internet and 

other information technologies to 

provide increased opportunities for 

citizen access to government 

information and services, and for other 

purposes. 

Paperwork Reduction Act 

This final rule will not impose any 

additional reporting or recordkeeping 

requirements on either small or large 

FGIS customers. In compliance with the 

Paperwork Reduction Act of 1995 (44 

U.S.C. chapter 35), FGIS reports and 

forms are periodically reviewed to 

reduce information collection 

requirements and duplication. 

List of Subjects in 7 CFR Part 800 

Administrative practice and 

procedure, Conflict of interests, Exports, 

Freedom of information, Grains, 

Intergovernmental relations, Penalties, 

Reporting and recordkeeping 

requirements. 

For the reasons set forth in the 

preamble, the Agricultural Marketing 

Service amends 7 CFR part 800 as 

follows: 

PART 800—GENERAL REGULATIONS 

■ 1. The authority citation for part 800 

continues to read as follows: 

Authority: 7 U.S.C. 71–87K. 

§ 800.0 [Amended] 

■ 2. In § 800.0, in paragraph (b), in the 

definition of ‘‘Holiday’’, remove the text 


khammond on DSK9W7S144PROD with RULES
534 Federal Register / Vol. 90, No. 3 / Monday, January 6, 2025 / Rules and Regulations 

‘‘Under section 610 and Executive Order 

No. 10357’’ and add, in its place, the 

text ‘‘Under section 6103 and Executive 

Order 10358’’. 

§ 800.34 [Amended] 

■ 3. In § 800.34, in the first sentence, 

remove the citation ‘‘§ 800.74’’ and add, 

in its place, the citation ‘‘§ 800.71’’. 

§ 800.36 [Amended] 

■ 4. In § 800.36, in the last sentence, 

remove the citation ‘‘§ 800.74’’ and add, 

in its place, the citation ‘‘§ 800.71’’. 

■ 5. Amend § 800.71 by lifting the stay 

and revising the section to read as 

follows: 

§ 800.71 Fees assessed by the Service. 

(a) Official inspection and weighing 

services. The fees described for Direct 

Service in paragraph (a)(1) of this 

section apply to official inspection and 

weighing services performed by the 

Service in the U.S. and Canada. The fees 

described for Supervision in paragraph 

(a)(2) of this section apply to official 

domestic inspection and weighing 

services performed by delegated States 

and designated agencies, including land 

carrier shipments to Canada and 

Mexico. The fees charged to delegated 

States by the Service are set forth in the 

State’s Delegation of Authority 

document. Failure of a delegated State 

or designated agency to pay the 

appropriate fees to the Service within 30 

days after becoming due will result in 

an automatic termination of the 

delegation or designation. The 

delegation or designation may be 

reinstated by the Service if fees that are 

due, plus interest and any further 

expenses incurred by the Service 

because of the termination, are paid 

within 60 days of the termination. 

(1) Direct Service—Fees for official 

inspection and weighing services 

performed by the Service in the United 

States and Canada. For each calendar 

year, the Service will calculate Direct 

Service fees as provided in paragraphs 

(b) and (c) of this section. The Service 

will publish a notice in the Federal 

Register and post Direct Service fees on 

its public website. 

(2) Supervision—Fees for supervision 

of official inspection and weighing 

services performed by delegated States 

and designated agencies in the United 

States. The Service will assess a 

Supervision fee per metric ton of 

domestic U.S. grain shipments 

inspected or weighed, or both, including 

land carrier shipments to Canada and 

Mexico. For each calendar year, the 

Service will calculate Supervision fees 

as provided in paragraph (d) of this 

section. The Service will publish a 

notice in the Federal Register and post 

the Supervision fees on its public 

website. 

(b) Annual review of tonnage fees. For 

each calendar year, the Service will 

review and adjust fees included in this 

section and publish fees each year 

according to the following: 

(1) Tonnage fees. Tonnage fees for 

Direct Service in paragraph (a)(1) of this 

section will consist of the national 

tonnage fee and local tonnage fees and 

the Service will calculate and round the 

fee to the nearest $0.001 per metric ton. 

All outbound grain officially inspected 

and/or weighed by the Field Offices will 

be assessed the national tonnage fee 

plus the appropriate local tonnage fee. 

Export grain officially inspected and/or 

weighed by delegated States and official 

agencies, excluding land carrier 

shipments to Canada and Mexico, will 

be assessed the national tonnage fee 

only. The fees will be set according to 

the following: 

(i) National tonnage fee. The national 

tonnage fee is the national program 

administrative costs for the previous 

fiscal year divided by the average yearly 

tons of export grain officially inspected 

and/or weighed by delegated States and 

designated agencies, excluding land 

carrier shipments to Canada and 

Mexico, and outbound grain officially 

inspected and/or weighed by the 

Service, during the previous 5 fiscal 

years. 

(ii) Local tonnage fee. The local 

tonnage fee is the Field Office 

administrative costs for the previous 

fiscal year divided by the average yearly 

tons of outbound grain officially 

inspected and/or weighed by the Field 

Office during the previous 5 fiscal years. 

The local tonnage fee is calculated 

individually for each Field Office. 

(2) [Reserved] 

(c) Annual review of hourly and unit 

fees. The Service will calculate the rate 

for program services, per hour per 

program employee using the following 

formulas: 

(1) Regular rate. The total direct pay 

of program personnel performing 

grading, weighing, laboratory services, 

and equipment testing divided by the 

total direct hours for the previous year, 

which is then multiplied by the next 

year’s percentage cost-of-living increase, 

plus the benefits rate, plus the operating 

rate, plus the allowance for bad debt 

rate. If applicable, travel expenses will 

be added to the cost of providing the 

service through the operating rate or the 

travel will be billed separately. 

(2) Overtime rate. The total direct pay 

of program personnel performing 

grading, weighing, laboratory services, 

and equipment testing divided by the 

total direct hours for the previous year, 

which is then multiplied by the next 

year’s percentage cost-of-living increase 

and then multiplied by 1.5, plus the 

benefits rate, plus the operating rate, 

plus the allowance for bad debt rate. If 

applicable, travel expenses will be 

added to the cost of providing the 

service through the operating rate or the 

travel will be billed separately. 

(3) Holiday rate. The total direct pay 

of program personnel performing 

grading, weighing, laboratory services, 

and equipment testing divided by the 

total direct hours for the previous year, 

which is then multiplied by the next 

year’s percentage cost-of-living increase 

and then multiplied by 2, plus the 

benefits rate, plus the operating rate, 

plus the allowance for bad debt rate. If 

applicable, travel expenses will be 

added to the cost of providing the 

service through the operating rate or the 

travel will be billed separately. 

(4) Benefits rate, operating rate, and 

allowance for bad debt rate. For each 

calendar year, based on previous fiscal 

year costs, the Service will calculate the 

benefits rate, operating rate, and 

allowance for bad debt rate as follows: 

(i) Benefits rate. The total direct 

benefits costs of program personnel 

performing grading, weighing, 

laboratory services, and equipment 

testing divided by the total hours 

(regular, overtime, and holiday) worked, 

which is then multiplied by the next 

calendar year’s percentage cost-of-living 

increase. 

(ii) Operating rate. The total operating 

costs of program personnel performing 

grading, weighing, laboratory services, 

and equipment testing divided by total 

hours (regular, overtime, and holiday) 

worked, which is then multiplied by the 

percentage of inflation. 

(iii) Allowance for bad debt rate. The 

total allowance for bad debt for 

personnel performing grading, 

weighing, laboratory services, and 

equipment testing divided by total 

hours (regular, overtime, and holiday) 

worked. 

(5) Cost of living and inflation factors. 

The Service will use the most recent 

economic factors released by the Office 

of Management and Budget for budget 

development purposes to derive the 

cost-of-living expenses and percentage 

of inflation factors used in the formulas 

in this section. 

(6) Operating reserve adjustment. The 

Service will review the operating 

reserve at the end of each fiscal year and 

adjust the fees as needed to ensure an 

operating reserve of 3 to 6 months of 

expenses. This adjustment is included 

in the calculation for operating cost. 


khammond on DSK9W7S144PROD with RULES
Federal Register / Vol. 90, No. 3 / Monday, January 6, 2025 / Rules and Regulations 535 

1 Immigration Bond Notifications, 88 FR 53358 

(Aug. 8, 2023). 

(d) Annual review of Supervision fees. 

Fees for Supervision in paragraph (a)(2) 

of this section will be set according to 

the following: 

(1) Supervision tonnage fee. The 

supervision tonnage fee is the sum of 

the prior fiscal year program costs plus 

an operating reserve adjustment divided 

by the average yearly tons of domestic 

U.S. grain shipments inspected or 

weighed, or both, including land carrier 

shipments to Canada and Mexico, 

during the previous 5 fiscal years. If the 

calculated value is zero or a negative 

value, the Service will suspend the 

collection of supervision tonnage fees 

for 1 calendar year. 

(2) Operating reserve adjustment. The 

operating reserve adjustment is the 

supervision program costs for the 

previous fiscal year divided by 2, less 

the end of previous fiscal year operating 

reserve balance. 

(e) Periodic review. The Service will 

periodically review and adjust all Direct 

Service and Supervision fees in 

paragraphs (a)(1) and (2) of this section, 

respectively, as necessary to ensure they 

reflect the true cost of providing and 

supervising official service. This process 

will incorporate any fee adjustments 

from paragraphs (b) through (d) of this 

section. 

(f) Miscellaneous fees for other 

services. For each calendar year, the 

Service will review fees included in this 

section and publish fees in the Federal 

Register and on its public website. 

(1) Registration certificates and 

renewals. The fee for registration 

certificates and renewals will be 

published annually in the Federal 

Register and on the Service’s public 

website, and the Service will calculate 

the fee using the noncontract hourly rate 

published pursuant to paragraph (a)(1) 

of this section multiplied by 5. If you 

operate a business that buys, handles, 

weighs, or transports grain for sale in 

foreign commerce, or you are in a 

control relationship with respect to a 

business that buys, handles, weighs, or 

transports grain for sale in interstate 

commerce, you must complete an 

application and pay the published fee. 

(2) Designation amendments. The fee 

for amending designations will be 

published annually in the Federal 

Register and on the Service’s public 

website. The Service will calculate the 

fee using the cost of publication plus 1 

hour at the noncontract hourly rate. If 

submitting an application to amend a 

designation, the published fee must be 

paid. 

■ 6. In § 800.72: 

■ a. Lift the stay on paragraph (b); and 

■ b. Revise paragraph (b). 

The revision reads as follows: 

§ 800.72 Explanation of additional service 

fees for services performed in the United 

States only. 

* * * * * 

(b) In addition to a 2-hour minimum 

charge for service on Saturdays, 

Sundays, and holidays, an additional 

charge will be assessed when the 

revenue from the services in 

§ 800.71(a)(1) does not equal or exceed 

what would have been collected at the 

applicable hourly rate. The additional 

charge will be the difference between 

the actual unit fee revenue and the 

hourly fee revenue. Hours accrued for 

travel and standby time shall apply in 

determining the hours for the minimum 

fee. 

§ 800.73 [Amended] 

■ 7. In § 800.73, in paragraph (d), 

remove the citation ‘‘§§ 800.72(a) and 

800.74’’ and add, in its place, the 

citation ‘‘§ 800.72’’. 

§ 800.74 [Removed] 

■ 8. Remove § 800.74. 

§ 800.156 [Amended] 

■ 9. In § 800.156, in paragraph (d)(5), in 

the last sentence, remove the citation 

‘‘§ 800.74’’ and add, in its place, the 

citation ‘‘§ 800.71’’. 

§ 800.197 [Amended] 

■ 10. In § 800.197, in paragraph (b)(3), 

remove the citation ‘‘§ 800.74’’ and add, 

in its place, the citation ‘‘§ 800.71’’. 

Melissa Bailey, 

Associate Administrator, Agricultural 

Marketing Service. 

[FR Doc. 2024–31140 Filed 1–3–25; 8:45 am] 

BILLING CODE P 

DEPARTMENT OF HOMELAND 

SECURITY 

8 CFR Part 103 

[DHS Docket No. ICEB–2021–0015] 

RIN 1653–AA85 

Immigration Bond Notifications 

AGENCY: U.S. Immigration and Customs 

Enforcement (ICE), Department of 

Homeland Security (DHS). 

ACTION: Final rule. 

SUMMARY: On August 8, 2023, DHS 

issued an interim final rule which 

amended the regulations to authorize 

ICE to serve bond-related notices to 

obligors electronically. The rule allowed 

DHS to electronically serve demand and 

other immigration bond notices for 

delivery, order of supervision, or 

voluntary departure bonds to obligors 

who consent to electronic service. DHS 

is now issuing this final rule that 

introduces no substantive changes from 

the interim final rule. 

DATES: The effective date of this final 

rule is January 6, 2025. 

FOR FURTHER INFORMATION CONTACT: 

Sharon Hageman, Deputy Assistant 

Director, Office of Regulatory Affairs 

and Policy, U.S. Immigration and 

Customs Enforcement, Department of 

Homeland Security, 500 12th Street SW, 

Washington, DC 20536. Telephone 202– 

732–6960 (this is not a toll-free 

number). 

SUPPLEMENTARY INFORMATION: 

I. Background 

A. Purpose of the Regulatory Action 

The Department of Homeland 

Security (DHS) published an interim 

final rule (IFR) on August 8, 2023,1 that 

established that DHS may electronically 

serve demand notices, and other bond 

notices for delivery, order of 

supervision, or voluntary departure 

bonds for obligors who consent to 

electronic service. See 8 CFR 103.6(g) 

and (h). This final rule adopts the IFR 

provisions in 8 CFR 103.6(g) and (h) to 

electronically serve bond-related notices 

to obligors who consent to electronic 

service. This final rule also amends 

typographical errors, updates 

terminology for accuracy, and 

restructures regulatory text for clarity 

and consistency in 8 CFR 103.6(g) and 

(h). This final rule introduces no 

substantive changes from the IFR. 

B. Legal Authority 

The Homeland Security Act of 2002, 

Public Law 107–296, section 102, 116 

Stat. 2135 (Nov. 25, 2002), 6 U.S.C. 112, 

and the Immigration and Nationality 

Act of 1952 (INA), as amended, section 

103(a)(1), 8 U.S.C. 1103(a)(1), charge the 

Secretary of DHS (the Secretary) with 

administration and enforcement of the 

immigration and naturalization laws. 

The Secretary promulgates this final 

rule under the broad authority to 

administer DHS, and the authorities 

provided under the Homeland Security 

Act of 2002, the immigration and 

nationality laws, and other delegated 

authority. 

Over the past twenty years, Congress 

and the Executive Branch have 

promoted the use of electronic 

transactions and electronic records 

when feasible instead of relying solely 

upon in-person or paper transactions. 


khammond on DSK9W7S144PROD with RULES