[Federal Register Volume 59, Number 40 (Tuesday, March 1, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-4593]
[[Page Unknown]]
[Federal Register: March 1, 1994]
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DEPARTMENT OF AGRICULTURE
9 CFR Part 92
[Docket No. 91-165-2]
RIN 0579-AA56
Harry S Truman Animal Import Center (HSTAIC); Exclusive Use
AGENCY: Animal and Plant Health Inspection Service, USDA.
ACTION: Final rule.
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SUMMARY: We are amending the regulations governing the use of the Harry
S Truman Animal Import Center (HSTAIC): To require a $32,000 deposit in
the form of a certified check or money order, payable in U.S. funds,
for each application; to change the application and lottery dates; to
require the lottery winner to pay the costs of maintaining HSTAIC for
certain periods when it is reserved for the lottery winner and not
available to other importers; to state that we will not accept
applications from or enter into HSTAIC cooperative-service agreements
with persons with outstanding debts to the Animal and Plant Health
Inspection Service; and to discontinue the practice of ``tiering'' the
lottery that currently gives certain categories of animals priority to
use HSTAIC. These changes are necessary to discourage frivolous
applications, to help ensure that there is adequate time to assemble
necessary information prior to each lottery, and to minimize financial
losses incurred by the Animal and Plant Health Inspection Service.
EFFECTIVE DATE: This regulation is effective August 31, 1994. This rule
will first apply to the lottery to be held in 1994 for importations
during calendar year 1995, then to all subsequent lotteries.
FOR FURTHER INFORMATION CONTACT: Dr. David Vogt, Staff Veterinarian,
Import Export Animals Staff, National Center for Import-Export,
Veterinary Services, APHIS, USDA, room 767, Federal Building, 6505
Belcrest Road, Hyattsville, MD 20782, 301-436-8172.
SUPPLEMENTARY INFORMATION:
Background
The regulations in 9 CFR part 92, subparts D and E, govern the
importation of animals into the United States through the Harry S
Truman Animal Import Center (HSTAIC) in Fleming Key, Florida. Under the
regulations, the Animal and Plant Health Inspection Service (APHIS)
holds an annual lottery to allocate space in HSTAIC for each calendar
year. To participate in the lottery, prospective importers must submit
an application for each importation.
On July 14, 1993, we published in the Federal Register (58 FR
37878-37884, Docket No. 91-165-1) a proposal to amend the regulations:
(1) To require a $32,000 deposit in the form of a certified check or
money order, payable in U.S. funds, for each application; (2) to change
the application and lottery dates; (3) to require the lottery winner to
pay the costs of maintaining HSTAIC for certain periods when it is
reserved for the lottery winner and not available to other importers;
(4) to state that we will not accept applications from or enter into
HSTAIC cooperative-service agreements with persons with outstanding
debts to APHIS; and (5) to discontinue the practice of ``tiering'' the
lottery that currently gives certain categories of animals priority to
use HSTAIC. We proposed to apply the changes to the regulations first
to the lottery to be held in 1994 for importations during calendar year
1995.
We solicited comments concerning our proposal for a 60-day period
ending September 13, 1993. We received one comment by that date, from
an importer who expressed concerns regarding certain provisions of the
proposed rule. We carefully considered this comment and discuss it
below.
In our proposal, we proposed to require that applicants for the
HSTAIC lottery deposit with APHIS $32,000 in the form of a certified
check or money order payable in U.S. funds prior to the date of the
lottery. This provision was proposed as a replacement for the existing
requirement that an application for the lottery be accompanied by a
deposit in the form of a $50,000 irrevocable letter of credit. We
proposed the change to allow small businesses to compete more equitably
with large importers, who can more easily obtain multiple letters of
credit for multiple applications.
The commenter disagreed that the proposed change would benefit
small importers. According to the commenter, under the requirement for
a $50,000 letter of credit, a small importer would be most likely
either to utilize his or her credit line with a bank, or to post the
funds in a certificate of deposit and borrow against those funds for a
letter of credit. According to the commenter, if the latter option were
chosen, the applicant would pay the financial institution only the
difference between the rate of return on the certificate of deposit and
the lending rate. The commenter stated that the proposed change would
make it more difficult for a small importer to submit multiple
applications, by tying up the importer's funds with USDA for up to a
year with no interest, and removing those funds from the bank, thereby
reducing the importer's collateral.
We are making no changes based on the comment. While we agree that
a $32,000 deposit represents more of a financial commitment than a
$50,000 letter of credit, we disagree that the proposed change would be
less advantageous to small importers than are the existing regulations.
We continue to believe, as we stated in the proposal, that large
importers, because of their stronger credit and deposit relationship
with banks, can obtain letters of credit significantly more easily than
can small importers. Our experience with the HSTAIC lottery has been
that a number of these multiple applications have been frivolous, with
the applicants having no intention of using their ``winning'' slots in
the lottery to import animals. We expect that requiring a $32,000
deposit in the form of a check or money order will reduce the number of
multiple applications received and will minimize frivolous
applications.
Although we expect significantly fewer applications under the new
regulations, we anticipate that the applications that are received will
in most cases be from applicants actually intending to import animals
through HSTAIC. With fewer applicants in the lottery, and with those
that are chosen serious about importing animals, applicants will have a
better idea than at present what their chances are of importing animals
through HSTAIC in a given year. This will enable the applicants to
decide whether it is worthwhile to leave their deposit with APHIS after
the lottery results are announced. Those that have little chance of
importing animals could choose to withdraw their money shortly after
the lottery.
The commenter also expressed concern that the proposed requirement
that the lottery winner pay the costs of maintaining HSTAIC for certain
periods when it is reserved for the lottery winner and not available to
other importers would put the winner of the lottery at a disadvantage
compared to the applicants drawn later in the lottery. Under the
provisions of the proposal, we would draw upon the $32,000 deposit of
the winner of the lottery from the day the winner receives a
cooperative-service agreement for the use of HSTAIC from us, and we
would continue drawing on it either until we receive a signed
cooperative-service agreement from the applicant or until the applicant
provides written notification to us that he or she does not intend to
sign the cooperative-service agreement, up to a maximum of 30 days.
The commenter stated that this provision would require the winner
of the lottery to rush to put his or her import together, while the
third or fourth applicants chosen would have extra time while we
negotiate with the applicants chosen earlier in the lottery. According
to the commenter, it is impossible for any importer to determine the
feasibility of a high security animal import in less than 30 days.
We are making no changes based on this comment. The very purpose of
the proposed change was to discourage applicants who are not seriously
considering importing animals through HSTAIC, and therefore to minimize
unnecessary ``downtime'' at HSTAIC. We believe that applicants
seriously interested in importing animals through HSTAIC should already
have closely examined the feasibility of a particular importation
before submitting an application. Further, once the cooperative-service
agreement is signed, the importer has 42 days to complete arrangements
with responsible officials in the country from which the animals are to
be exported. We consider this a reasonable period of time to make such
arrangements.
Therefore, based on the rationale set forth in the proposed rule
and in this document, we are adopting the provisions of the proposal as
a final rule with only minor nonsubstantive changes.
Executive Order 12866 and Regulatory Flexibility Act
We are issuing this rule in conformance with Executive Order 12866.
Based on information compiled by the Department, we have determined
that this rule: (1) Will have an effect on the economy of less than
$100 million; (2) will not adversely affect in a material way the
economy, a sector of the economy, productivity, competition, jobs, the
environment, public health or safety, or State, local, or tribal
governments or communities; (3) will not create a serious inconsistency
or otherwise interfere with an action taken or planned by another
agency; (4) will not alter the budgetary impact of entitlements,
grants, user fees, or loan programs or rights and obligations of
recipients thereof; and (5) will not raise novel legal or policy issues
arising out of legal mandates, the President's priorities, or
principles set forth in Executive Order 12866.
In the past we have received approximately 230 applications to use
HSTAIC during a particular calendar year. However, many of these
applications were duplicative. Therefore, when the provisions in this
rule become effective, we expect that number to drop significantly.
Although we cannot determine precisely how many importers will submit
applications, based on past experience we believe only approximately 5
percent will be small entities.
We expect that requiring a deposit of $32,000 in the form of a
certified check or money order with each application will reduce the
number of multiple applications by large importers and discourage
applications from importers who are not sure whether they will use
HSTAIC. We expect this final rule to have the ultimate effect of
increasing the possibility that small entities will use HSTAIC.
The regulations prior to the effective date of this rule require
that applicants for the importation of certain animals through HSTAIC
deposit an irrevocable letter of credit for $50,000. Requiring a
deposit in the form of a certified check or money order will have an
impact on potential importers, in that earnings will be foregone on the
deposit while it is held by APHIS. Under this rule, the deposit will
have to be ``received by APHIS at least 7 calendar days prior to the
date of the lottery.'' Prospective importers can minimize the time
their money is on deposit by submitting their deposit as close to this
deadline as possible. We have calculated that, based on a rate of
return of from 5-7 percent, the interest foregone on a deposit will be
approximately $4.10 to $6.15 per day. The minimum amount of time
applicants will forego interest will be for the week before the lottery
and for at least one week following the lottery until notification of
the lottery results. Therefore, all applicants will forego
approximately $61.60 to $86.10 in interest. This compares with an
average cost to import one animal through HSTAIC of $3,747.
Of the parties that will submit applications for importations
through HSTAIC in 1995, most of whom will probably not be small
entities, we expect that only approximately 5 will be picked high
enough in the lottery to provide them a reasonable chance of bringing
animals through HSTAIC. If these applicants choose to stay on the
lottery list, they will lose interest for each day they remain on the
list until their deposit is applied toward an importation, or until
they choose to remove their name from the list. How long they remain on
the list will be their decision, and we are unable to calculate at this
time the interest they will forego.
Changing application and lottery dates will impose no financial
burden on prospective importers. The current regulations require that
importers wishing to import in the next calendar year submit their
application no earlier than September 1 and no later than September 15
for the lottery held during the first seven days of October of the
current calendar year. Shifting these dates to October and December,
respectively, would likely shorten the waiting period between
application and actual import dates.
Requiring the lottery winner to pay the costs of maintaining HSTAIC
for periods when it is maintained in readiness for that importer, and
not available to other importers, will shift the burden of operating
costs from APHIS, and ultimately the taxpayer, to persons offered the
right to use HSTAIC. According to the regulations prior to the
effective date of this rule, a lottery winner has 30 days from the date
of the receipt of the cooperative-service agreement to either accept or
reject the cooperative-service agreement regarding the importation of
animals. During that time, the facility is reserved, and APHIS prepares
and maintains it in readiness for that importer's animals. Charging the
importer for this time, on a daily basis, will increase the importer's
costs by approximately $1,067 per day, up to a maximum of $32,000. This
compares with an average total cost for an importation through HSTAIC
of $857,000. The length of time that expires before the cooperative-
service agreement is accepted or rejected will be up to the lottery
winner.
Under this rule, APHIS will not accept applications from, or enter
into HSTAIC cooperative-service agreements with, entities with
outstanding debts to APHIS. If a prospective applicant has not paid
outstanding debts, they will not be allowed to use HSTAIC. However,
this provision will not necessarily impose a financial burden on
prospective applicants because the decision whether to pay off debts
will be entirely the prospective applicant's.
We are also eliminating the practice of giving certain types of
animals, and animals from certain locations, priority in the lottery.
This amendment, which will simplify the drawing for the lottery, will
not affect a substantial number of importers. In the past we have
received approximately 230 applications to use HSTAIC during a
particular year. As stated above, we expect fewer applicants when this
rule takes effect. Of the total number of applicants, only two to three
will actually be able to use HSTAIC in any given year. Additionally, as
we stated above, we expect the great majority of applicants to be other
than small entities, so the chances are small that each of the two or
three importers using HSTAIC will be small entities.
Under these circumstances, the Administrator of the Animal and
Plant Health Inspection Service has determined that this rule will not
have a significant economic impact on a substantial number of small
entities.
Executive Order 12778
This rule has been reviewed under Executive Order 12778, Civil
Justice Reform. This rule: (1) Preempts all State and local laws and
regulations that are inconsistent with this rule; (2) has no
retroactive effect; and (3) does not require administrative proceedings
before parties may file suit in court challenging this rule.
Paperwork Reduction Act
In accordance with the Paperwork Reduction Act of 1980 (44 U.S.C.
3501 et seq.), the information collection or recordkeeping requirements
included in this rule will be submitted for approval to the Office of
Management and Budget.
List of Subjects in 9 CFR Part 92
Animal diseases, Imports, Livestock, Poultry and poultry products,
Quarantine, Reporting and recordkeeping requirements.
Accordingly, 9 CFR part 92 is amended as follows:
PART 92--IMPORTATION OF CERTAIN ANIMALS AND POULTRY AND CERTAIN
ANIMAL AND POULTRY PRODUCTS; INSPECTION AND OTHER REQUIREMENTS FOR
CERTAIN MEANS OF CONVEYANCE AND SHIPPING CONTAINERS THEREON
1. The authority citation for part 92 continues to read as follows:
Authority: 7 U.S.C. 1622; 19 U.S.C. 1306; 21 U.S.C. 102-105,
111, 114a, 134a, 134b, 134c, 134d, 134f, 135, 136 and 136a; 31
U.S.C. 9701; 7 CFR 2.17, 2.51, and 371.2(d).
Sec. 92.430 [Amended]
2. Section 92.430 is amended as follows:
a. Paragraph (a) is amended by adding, immediately after the first
sentence, ``Applications for the HSTAIC lottery will not be accepted
from, and a cooperative-service agreement to use HSTAIC will not be
offered to or entered into with, any person who has debts owing to
APHIS that have not been paid by the date specified in APHIS's original
billing notification to the person. Any person who has debts owing to
APHIS that have not been paid by the date specified in APHIS's original
billing notification to that person will be removed from the current
priority list.''
b. Paragraph (a) is amended by adding, immediately after the fourth
sentence, ``The animal qualification process begins on the date the
cooperative-service agreement is delivered to the address listed on the
importer's HSTAIC application, for the importer's signature, if HSTAIC
is not available to other importers, up to a maximum of 30 days. A
cooperative-service agreement will be deemed to have been delivered
when the importer signs the U.S. Postal Service domestic return
receipt, or the importer refuses delivery of the cooperative-service
agreement by the U.S. Postal Service, or the cooperative-service
agreement is returned by the U.S. Postal Service as either unclaimed or
undeliverable.''
c. Paragraph (b)(1)(ii) is revised to read as set forth below.
d. Paragraph (b)(2)(i) is amended by removing ``October'' both
times it appears, and by adding ``December'' in its place; and by
removing ``September'' where it appears in the second sentence, and
adding ``October'' in its place.
e. In paragraph (b)(2)(i), footnote 12 is amended by removing
``October'' and adding ``December'' in its place.
f. Paragraph (b)(2)(ii) is amended by removing the last sentence
and adding in its place ``Deposits required by paragraph (b)(1)(ii) of
this section must be received by APHIS at least 7 calendar days prior
to the date of the lottery.''
g. Paragraph (b)(3)(i) is removed.
h. Paragraph (b)(3)(ii) is redesignated as paragraph (b)(3) and is
revised to read as set forth below.
i. Paragraph (b)(4) is amended by revising the first sentence to
read as set forth below; removing ``October'' in the fifth sentence and
adding ``December'' in its place; and removing ``September'' where it
appears in the fifth and sixth sentences, and adding ``October'' in its
place.
j. Paragraph (b)(5) is amended by removing ``October'' both times
it appears and adding ``December'' in its place; and by removing
``September'' both times it appears and adding ``October'' in its
place.
k. In paragraph (b)(6), the second sentence is amended by removing
``, in lieu of an irrevocable letter of credit,''; and by removing
``$50,000'' and adding ``$32,000 by certified check or money order,
payable in U.S. funds'' in its place.
l. In paragraph (b)(6), footnote 13 is amended by removing
``September'' and adding ``October'' in its place.
m. In paragraph (c) introductory text, the third and fourth
sentences are revised to read as set forth below, and the fifth
sentence is removed.
n. In paragraph (c)(1), the second sentence is amended by adding
``any portion of'' immediately before ``the importer's deposit'' and by
adding ``that has not been expended'' immediately before the period.
o. In paragraph (c)(3), the second sentence is amended by adding
``expenses for preparing and maintaining HSTAIC in readiness for the
importation;'' immediately after ``must assume responsibility
includes:''.
p. In paragraph (d), sample cooperative-service agreement, under
``The importer agrees:'', paragraph 2 is revised to read as set forth
below.
q. In paragraph (d), sample cooperative-service agreement, under
``The importer agrees:'', paragraph 3 is removed, and paragraphs 4
through 13 are redesignated as paragraphs 3 through 12, respectively.
r. In paragraph (d), sample cooperative-service agreement, under
``The importer agrees:'', redesignated paragraph 4, the first sentence
is amended by adding ``preparing and maintaining HSTAIC in readiness
for the importation, and to'' immediately after ``all costs (except
capital expenditures at HSTAIC) attributable to''.
s. In paragraph (d), sample cooperative-service agreement, under
``The importer agrees:'', redesignated paragraph 12 is revised to read
as set forth below.
Sec. 92.430 Importation of ruminants through the Harry S Truman
Animal Import Center (HSTAIC).
* * * * *
(b) * * *
(1) * * *
(ii) Each applicant for the importation of animals through HSTAIC
must make a deposit of $32,000 in the form of a certified check or
money order, payable in U.S. funds. The deposit of each applicant who
is not given the opportunity to use HSTAIC will be returned to the
applicant at the end of the calendar year of the prospective
importation, or whenever the applicant removes his or her name from the
priority list described in paragraph (b)(4) of this section. The Animal
and Plant Health Inspection Service will draw on the deposit of the
applicant whose application is selected, to pay for the costs of
preparing and maintaining HSTAIC in readiness for the applicant's
animals. A charge of $1,067 will be made for each day that HSTAIC is
not available to another importer, starting on the date the
cooperative-service agreement is delivered to the address listed on the
importer's HSTAIC application, and ending either with the day that
APHIS receives the signed cooperative-service agreement or the day the
applicant notifies APHIS in writing that he or she does not intend to
sign the cooperative-service agreement, up to a maximum of 30 days. A
cooperative-service agreement will be deemed to have been delivered
when the importer signs the U.S. Postal Service domestic return
receipt, or refuses delivery of the cooperative-service agreement by
the U.S. Postal Service, or the cooperative-service agreement is
returned by the U.S. Postal Service as either unclaimed or
undeliverable.
* * * * *
(3) The priority list established by the annual December lottery
will remain effective from January 1 through December 31 of the next
calendar year, superseding all previous lists. Which year's list is
used is governed by the date exclusive use of HSTAIC is offered and not
by the date the applicant's animals are scheduled to arrive at HSTAIC.
(4) The names of all applicants whose applications have reached the
Import-Export Animals Staff, Veterinary Services, no earlier than
October 1 and no later than October 15 (see paragraphs (b)(1) and (2)
of this section), and whose deposits have reached APHIS at least 7
calendar days prior to the date of the lottery, will be drawn during
the December lottery. * * *
* * * * *
(c) * * * The cooperative-service agreement must be accompanied by
a certified check or money order, or an irrevocable letter of credit
(the letter of credit having an effective date 90 days after the
animals' scheduled release date from HSTAIC), payable in U.S. funds,
for the amount specified in the cooperative-service agreement. Any
funds remaining from the $32,000 deposit will be applied to the
quarantine costs, and will be deducted from the balance due with the
cooperative-service agreement. * * *
* * * * *
(d) * * *
The importer agrees:
* * * * *
2. To remit with the cooperative-service agreement a certified
check, money order, or irrevocable letter of credit having an
effective date that extends 90 days beyond the animals' scheduled
release from HSTAIC, payable in U.S. funds to the United States
Department of Agriculture, Animal and Plant Health Inspection
Service, in the amount of $____________. (This amount represents the
estimated cost (except capital expenditures at HSTAIC) of qualifying
the animals for importation through HSTAIC, less any unused portion
of the $32,000 deposited in conjunction with the application for the
exclusive right to use HSTAIC.
* * * * *
12. To pay, upon receipt, post-quarantine billings incurred
during this importation, for costs exceeding the amount remitted
with this cooperative-service agreement plus the initial $32,000
deposit.
* * * * *
Sec. 92.522 [Amended]
3. Section 92.522 is amended as follows:
a. Paragraph (a) is amended by adding, immediately after the first
sentence, ``Applications for the HSTAIC lottery will not be accepted
from, and a cooperative-service agreement to use HSTAIC will not be
offered to or entered into with, any person who has debts owing to
APHIS that have not been paid by the date specified in APHIS's original
billing notification to the person. Any person who has debts owing to
APHIS that have not been paid by the date specified in APHIS's original
billing notification to that person will be removed from the current
priority list.''
b. Paragraph (a) is amended by adding, immediately after the fourth
sentence, ``The animal qualification process begins on the date the
cooperative-service agreement is delivered to the address listed on the
importer's HSTAIC application, for the importer's signature, if HSTAIC
is not available to other importers, up to a maximum of 30 days. A
cooperative-service agreement will be deemed to have been delivered
when the importer signs the U.S. Postal Service domestic return
receipt, or the importer refuses delivery of the cooperative-service
agreement by the U.S. Postal Service, or the cooperative-service
agreement is returned by the U.S. Postal Service as either unclaimed or
undeliverable.''
c. Paragraph (b)(1)(ii) is revised to read as set forth below.
d. Paragraph (b)(2)(i) is amended by removing ``October'' both
times it appears and adding ``December'' in their place; and by
removing ``September'' both times it appears in the second sentence,
and adding ``October'' in its place.
e. In paragraph (b)(2)(i), footnote 11 is amended by removing
``October'' and adding ``December'' in its place.
f. Paragraph (b)(2)(ii) is amended by removing the last sentence
and adding in its place ``Deposits required by paragraph (b)(1)(ii) of
this section must be received by APHIS at least 7 calendar days prior
to the date of the lottery.''
g. Paragraph (b)(3)(i) is removed.
h. Paragraph (b)(3)(ii) is redesignated as paragraph (b)(3) and is
revised to read as set forth below.
i. Paragraph (b)(4) is amended by revising the first sentence to
read as set forth below; removing ``October'' in the fifth sentence and
adding ``December'' in its place; and removing ``September'' where it
appears in the fifth and sixth sentences and adding ``October'' in its
place.
j. Paragraph (b)(5) is amended by removing ``October'' both times
it appears and adding ``December'' in its place; and by removing
``September'' both times it appears and adding ``October'' in its
place.
k. In paragraph (b)(6), the second sentence is amended by removing
``, in lieu of an irrevocable letter of credit,''; and by removing
``$50,000'' and adding ``$32,000 by certified check or money order,
payable in U.S. funds'' in its place.
l. In paragraph (b)(6), footnote 12 is amended by removing
``September'' and adding ``October'' in its place.
m. In paragraph (c) introductory text, the third and fourth
sentences are revised to read as set forth below, and the fifth
sentence is removed.
n. In paragraph (c)(1), the second sentence is amended by adding
``any portion of'' immediately before ``the importer's deposit'' and by
adding ``that has not been expended'' immediately before the period.
o. In paragraph (c)(3), the second sentence is amended by removing
the word ``Expenses'' and adding in its place ``expenses''; and by
adding ``Expenses for preparing and maintaining HSTAIC in readiness for
the importation;'' immediately after ``must assume responsibility
includes:''.
p. In paragraph (d), sample cooperative-service agreement, under
``The importer agrees:'', paragraph 2 is revised to read as set forth
below.
q. In paragraph (d), sample cooperative-service agreement, under
``The importer agrees:'', paragraph 3 is removed and paragraphs 4
through 13 are redesignated as paragraphs 3 through 12, respectively.
r. In paragraph (d), sample cooperative-service agreement, under
``The importer agrees:'', redesignated paragraph 4, the first sentence
is amended by adding ``preparing and maintaining HSTAIC in readiness
for the importation, and to'' immediately after ``all costs (except
capital expenditures at HSTAIC) attributable to''.
s. In paragraph (d), sample cooperative-service agreement, under
``The importer agrees:'', redesignated paragraph 12 is revised to read
as set forth below.
Sec. 92.522 Importation of swine through the Harry S Truman Animal
Import Center (HSTAIC).
* * * * *
(b) * * *
(1) * * *
(ii) Each applicant for the importation of animals through HSTAIC
must make a deposit of $32,000 in the form of a certified check or
money order, payable in U.S. funds. The deposit of each applicant who
is not given the opportunity to use HSTAIC will be returned to the
applicant at the end of the calendar year of the prospective
importation, or whenever the applicant removes his or her name from the
priority list described in paragraph (b)(4) of this section. The Animal
and Plant Health Inspection Service will draw on the deposit of the
applicant whose application is selected, to pay for the costs of
preparing and maintaining HSTAIC in readiness for the applicant's
animals. A charge of $1,067 will be made for each day HSTAIC is not
available to another importer, starting on the date the cooperative-
service agreement is delivered to the address listed on the HSTAIC
application, and ending either with the day that APHIS receives a
signed cooperative-service agreement from the applicant or the day the
applicant notifies APHIS in writing that he or she does not intend to
sign the cooperative-service agreement, up to a maximum of 30 days. A
cooperative-service agreement will be deemed to have been delivered
when the importer signs the U.S. Postal Service domestic return
receipt, or refuses delivery of the cooperative-service agreement by
the U.S. Postal Service, or the cooperative-service agreement is
returned by the U.S. Postal Service as either unclaimed or
undeliverable.
* * * * *
(3) The priority list established by the annual December lottery
will remain effective from January 1 through December 31 of the next
calendar year, superseding all previous lists. Which year's list is
used is governed by the date exclusive use of HSTAIC is offered, and
not by the date the applicant's animals are scheduled to arrive at
HSTAIC.
(4) The names of all applicants whose applications have reached the
Import-Export Animals Staff, Veterinary Services, no earlier than
October 1 and no later than October 15 (see paragraphs (b) (1) and (2)
of this section), and whose deposits have reached APHIS at least 7 days
prior to the date of the lottery, will be drawn during the December
lottery. * * *
* * * * *
(c) * * * The cooperative-service agreement must be accompanied by
a certified check, a money order, or an irrevocable letter of credit
(the letter of credit having an effective date 90 days after the
animals' scheduled release date from HSTAIC), payable in U.S. funds,
for the amount specified in the cooperative-service agreement. Any
funds remaining from the $32,000 deposit will be applied to the
quarantine costs, and will be deducted from the balance due with the
cooperative-service agreement. * * *
* * * * *
(d) * * *
The importer agrees:
* * * * *
2. To remit with the cooperative-service agreement a certified
check, money order, or irrevocable letter of credit having an
effective date that extends 90 days beyond the animals' scheduled
release from HSTAIC, payable in U.S. funds to the United States
Department of Agriculture, Animal and Plant Health Inspection
Service, in the amount of $____________. (This amount represents the
estimated cost (except capital expenditures at HSTAIC) of qualifying
the animals for importation through HSTAIC, less any unused portion
of the $32,000 deposited in conjunction with the application for the
exclusive right to use HSTAIC.)
* * * * *
12. To pay, upon receipt, post-quarantine billings incurred
during this importation, for costs exceeding the amount remitted
with this cooperative-service agreement plus the initial $32,000
deposit.
* * * * *
Done in Washington, DC, this 18th day of February 1994.
Patricia Jensen,
Acting Assistant Secretary, Marketing and Inspection Services.
[FR Doc. 94-4593 Filed 2-28-94; 8:45 am]
BILLING CODE 3410-34-P
