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USDA proposes new fee calculations for grain services

USDA proposes new fee calculations for grain services


By Jamie Martin

The United States Department of Agriculture (USDA), through its Agricultural Marketing Service (AMS), has introduced a proposed rule to amend the fee regulations under the Federal Grain Inspection Service (FGIS). Announced on October 8, 2024, the proposal aims to establish standardized formulas for calculating hourly and unit fees associated with official grain inspection and weighing services.

The United States Grain Standards Act (USGSA) mandates that fees collected by the Secretary of Agriculture cover the estimated costs of these services. The proposed changes are designed to comply with this requirement and help FGIS maintain an operational reserve between three and six months.

This rule change also includes minor typographical corrections to existing regulations. Additionally, the FGIS has conducted an initial regulatory flexibility analysis, indicating that the new fee structure will not disproportionately affect small businesses or impose additional compliance burdens.

FGIS is now opening the floor for public comments, particularly from small businesses, to gather feedback on the direct cost implications of the proposed rule. The agency is also seeking suggestions on any regulatory alternatives that might lessen the impact on smaller entities.

The proposed amendments reflect the USDA's commitment to transparency and fiscal responsibility while ensuring that the costs of grain inspection services are fairly distributed among all entities.

Public participation in this comment period is crucial for fine-tuning the final regulations to meet the needs of all stakeholders in the grain industry.

Photo Credit: usda


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