DEPARTMENT OF AGRICULTURE

[Filed June 17, 2019, 9:53 a.m.]

Title of Rule and Other Identifying Information: WAC 16-390-240 USDA audit verification and terminal market inspection fees.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The department is proposing to amend WAC 16-390-240 USDA audit verification and terminal market inspection fees, to adopt fees identical to and not less than fees adopted by the United States Department of Agriculture, Agricultural Marketing Service (USDA-AMS) as published in the Federal Register (Vol. 84, No. 83) on April 30, 2019, under the "Fresh Fruits, Vegetables, and Other Products (Inspection, Certification, and Standards)" table with an effective date of October 1, 2019. These changes are necessary to comply with the department's cooperative agreement with USDA-AMS for services the department provides as a "Federal-State Inspection Agency."

Reasons Supporting Proposal: The proposed fee amendments incorporate recent changes in the applicable USDA-AMS audit verification and terminal market inspection fees as required under the department's cooperative agreement with USDA-AMS.

Statutory Authority for Adoption: RCW 15.17.030, [15.17].140(2), [15.17].150, and [15.17].270.

Statute Being Implemented: RCW 15.17.150 and [15.17].270.

Rule is necessary because of federal law, 7 C.F.R. Part 51.

Name of Proponent: Department of agriculture, governmental.

Name of Agency Personnel Responsible for Drafting: Aspen Humiston, 1111 Washington Street S.E., Olympia, WA 98504, 360-902-1960; Implementation and Enforcement: Jim Nelson, 270 9th Street N.E., Suite 101-A, East Wenatchee, WA 98802, 509-884-4253.

This notice meets the following criteria to use the expedited adoption process for these rules:

Adopts or incorporates by reference without material change federal statutes or regulations, Washington state statutes, rules of other Washington state agencies, shoreline master programs other than those programs governing shorelines of statewide significance, or, as referenced by Washington state law, national consensus codes that generally establish industry standards, if the material adopted or incorporated regulates the same subject matter and conduct as the adopting or incorporating rule.

Explanation of the Reason the Agency Believes the Expedited Rule-Making Process is Appropriate: The department performs audit verification and terminal market inspection services requested by customers as a "Federal-State Inspection Agency" under a cooperative agreement with USDA-AMS. Under the cooperative agreement, Washington state department of agriculture is required to charge no less than USDA-AMS when conducting audit inspection and terminal market inspection services. The proposed rule amendments adopt the updated USDA-AMS fees that go into effect October 1, 2019.

THIS RULE IS BEING PROPOSED UNDER AN EXPEDITED RULE-MAKING PROCESS THAT WILL ELIMINATE THE NEED FOR THE AGENCY TO HOLD PUBLIC HEARINGS, PREPARE A SMALL BUSINESS ECONOMIC IMPACT STATEMENT, OR PROVIDE RESPONSES TO THE CRITERIA FOR A SIGNIFICANT LEGISLATIVE RULE. IF YOU OBJECT TO THIS USE OF THE EXPEDITED RULE-MAKING PROCESS, YOU MUST EXPRESS YOUR OBJECTIONS IN WRITING AND THEY MUST BE SENT TO Gloriann Robinson, Agency Rules Coordinator, Department of Agriculture, 1111 Washington Street S.E., Olympia, WA 98504, phone 360-902-1802, fax 360-902-2092, email wsdarulescomments@agr.wa.gov, AND RECEIVED BY August 19, 2019.

AMENDATORY SECTION(Amending WSR 18-21-167, filed 10/23/18, effective 11/23/18)

WAC 16-390-240USDA audit verification and terminal market inspection fees.

WSDA performs audit and inspection services requested by customers under a "cooperative agreement" with the United States Department of Agriculture's Agricultural Marketing Service (USDA/AMS). Under USDA/AMS rules, WSDA provides these services as a "federal-state inspection agency." Under USDA/AMS regulations and the cooperative agreement, the fees that WSDA charges for these services must be no less than the current USDA/AMS fees for these services. The applicable current USDA/AMS fees were published in the Federal Register ((at Vol. 82, No. 88, on May 9, 2017))in Vol. 84, No. 83 on April 30, 2019, under the "((Fruit and Vegetable Fees))Fresh Fruits, Vegetables, and Other Products (Inspection, Certification, and Standards)" table and, for the mileage fee related to terminal market inspection((, in Patch #32, dated July 25, 2018)), for incorporation in the USDA/AMS "General Market Manual" at Appendix II, "Schedule of User Fees." In conformity with the cooperative agreement, WSDA adopts the same applicable fees for these services as set forth in this section.

(1) ((The fee for USDA audit verification services is $108.00 per hour.

(2))) Mileage related to audit verification services is charged at the rate established by the Washington state office of financial management at the time the service was performed.

(((3) The fee for terminal market inspection services is $85.00 per hour, $191.00 per lot for a carlot equivalent of each product, and $159.00 per lot for one-half carlot equivalent or less of each product. The fee for each additional lot of the same product is $79.00. The overtime fee for terminal market inspection services is an additional $27.00 per hour. The fee for terminal market inspection services on a holiday is an additional $63.00 per hour.))(2) Specialty crop fees/audit and terminal market fees:

Quality and Condition Inspections for Whole Lots	$210.00 per lot
Quality and Condition Half Lot or Condition-Only Inspections for Whole Lots	$174.00 per lot
Condition Half Lot	$161.00 per lot
Quality and Condition or Condition-Only Inspections for Additional Lots of the Same Product	$96.00 per lot
Dockside Inspections - Each Package Weighing <30 lbs.	$0.044 per pkg.
Dockside Inspections - Each Package Weighing >30 lbs.	$0.068 per pkg.
Charge per Individual Product for Dockside Inspection	$210.00 per lot
Charge per Each Additional Lot of the Same Product	$96.00 per lot
Inspections for All Hourly Work	Regular	Overtime	Holiday
	$93.00	$113.00	$134.00
Audit Services - State	$115.00	N/A	N/A

(3) The mileage fee related to terminal market inspection services is $1.96 per mile. ((USDA fees for lots and mileage are regulated by 7 C.F.R. 51.38 and 51.40.))Round trip mileage will be charged from an inspector's assigned location to the inspection site.