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The Agricultural Marketing Service (AMS) is proposing to amend its regulations to provide for a set of standardized formulas by which fees are calculated. The methodology used to calculate and implement the fees charged by AMS user-funded programs would be specified in the regulations. Currently, AMS publishes separate rules for each of the service fees it collects. The fees are calculated using formulas to account for all costs incurred by AMS in providing these services. Each year, fees would be announced in a notice in the Federal Register by June 1 and take effect at the start of the fiscal year, crop year, or as required by specific laws. This would provide greater transparency to the customers we serve as to how the fees are derived. The standardized formulas would be used to calculate fees that AMS charges for providing voluntary grading, inspection, certification, auditing and laboratory services for a variety of agricultural commodities including meat and poultry, fruits and vegetables, egg, dairy products, and cotton and tobacco. The fees would also apply to those persons requesting such services including producers, handlers, processors, importers and exporters. Provisions of this proposed rule would not supersede rates established by Memorandum of Understanding, Marketing Orders, or by cooperative agreements already in place. Furthermore, the cotton program would continue to consult with its industry before rates are established.

Overall Description of Deadline: Revise the regulations governing inspection and certification for AMS user fee and trust programs by establishing standardized formulas to determine future year rates.