[Federal Register Volume 64, Number 10 (Friday, January 15, 1999)]
[Rules and Regulations]
[Pages 2545-2550]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-969]



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Rules and Regulations
                                                Federal Register
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Federal Register / Vol. 64, No. 10 / Friday, January 15, 1999 / Rules 
and Regulations

[[Page 2545]]


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DEPARTMENT OF AGRICULTURE

Animal and Plant Health Inspection Service

9 CFR Part 52

[Docket No. 98-123-2]
RIN 0579-AB10


Pseudorabies in Swine; Payment of Indemnity

AGENCY: Animal and Plant Health Inspection Service, USDA.

ACTION: Interim rule and request for comments.

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SUMMARY: We are establishing animal health regulations to provide for 
the payment of indemnity by the United States Department of Agriculture 
for the voluntary depopulation of herds of swine known to be infected 
with pseudorabies. The payment of indemnity will encourage depopulation 
of infected herds, and therefore will reduce the risk of other swine 
becoming infected with the disease. We have determined that this 
action, which will accelerate existing pseudorabies eradication 
efforts, is necessary to protect swine not infected with pseudorabies 
from the disease.

DATES: Interim rule effective January 12, 1999. Consideration will be 
given only to comments received on or before March 16, 1999.

ADDRESSES: Please send an original and three copies of your comments to 
Docket No. 98-123-2, Regulatory Analysis and Development, PPD, APHIS, 
suite 3C03, 4700 River Road Unit 118, Riverdale, MD 20737-1238. Please 
state that your comments refer to Docket No. 98-123-2. Comments 
received may be inspected at USDA, room 1141, South Building, 14th 
Street and Independence Avenue SW., Washington, DC, between 8 a.m. and 
4:30 p.m., Monday through Friday, except holidays. Persons wishing to 
inspect comments are requested to call ahead on (202) 690-2817 to 
facilitate entry into the comment reading room.

FOR FURTHER INFORMATION CONTACT: Dr. Keith Hand, Senior Staff 
Veterinarian, VS, APHIS, 4700 River Road Unit 41, Riverdale, MD 20737-
1231, (301) 734-8073.

SUPPLEMENTARY INFORMATION:

Background

    The Animal and Plant Health Inspection Service's (APHIS's) 
regulations in 9 CFR part 85 govern the interstate movement of swine 
and other livestock (cattle, sheep, and goats) in order to help prevent 
the spread of pseudorabies.
    Pseudorabies is a contagious, infectious, and communicable disease 
of livestock, primarily swine. The disease, also known as Aujeszky's 
disease, mad itch, and infectious bulbar paralysis, is caused by a 
herpes virus, and is known to cause reproductive problems, including 
abortion and stillborn death in neonatal pigs, and occasional death 
losses in breeding and finishing hogs. The cost of pseudorabies to pork 
producers alone in the United States is over $30 million annually. Of 
this amount, more than half, $17 million, represents the cost of 
vaccination. Another $11 million is attributable to pig deaths. The 
remainder is spent on testing.
    A Federal eradication program for pseudorabies was implemented in 
the United States in 1989. The program is cooperative in nature and 
involves Federal, State, and industry participation. The Federal 
Government coordinates the National Program, the State Governments 
promulgate and enforce the intrastate regulations, and producers 
contribute by having their herds tested, purchasing their own vaccines, 
and conducting risk management practices, such as cleaning and 
disinfecting conveyances used to transport infected swine.
    In fiscal year 1998, the Federal Government appropriated $8.6 
million for its portion of the pseudorabies program. Appropriated 
Federal monies are used for disease surveillance and field staff. The 
monies spent by swine producers are used to prevent the transmission of 
pseudorabies within herds and to eliminate the disease from infected 
herds. Typically, a swine producer taking part in the eradication 
program will vaccinate all pigs in a herd once pseudorabies has been 
identified in the herd. Breeding sows in the herd will be vaccinated 
two to four times a year. Newborn pigs born to sows that have 
antibodies to the disease are immune. Sows develop antibodies to the 
disease either several weeks after being infected or through 
vaccination. The producer will wean young pigs in the herd at 2 to 3 
weeks and segregate them from the rest of the herd in nurseries, where 
they will be raised for approximately 2 months. At that time, the 
producer will transfer them to ``finishing barns,'' where they will be 
raised to market weight. The producer will then ship the pigs to market 
under strict biosecurity methods (e.g., cleaning and disinfection of 
trucks previously used, or to be reused, for shipment of swine).
    Breeding sows in the herd of origin that are infected with the 
disease are capable of producing multiple litters. Once infected, the 
sows go through a stage when they can shed the virus (i.e., transmit it 
to other swine). Following this stage, they develop antibodies to the 
disease. Although sows that have gone through the shedding stage have 
customarily been retained in the herd to produce additional litters, as 
of January 1, 1999, all States with pseudorabies will implement a 
``test and removal'' requirement, to remove from each herd any sows 
identified with the pseudorabies virus. This removal of breeding sows 
will add to producer costs.

Dangers to Success of Program

    Industry/State/Federal pseudorabies eradication efforts have been 
markedly successful. In 1992, for instance, approximately 8,000 herds 
of swine nationwide were infected with the disease. Today, 
approximately 1,000 herds are known to be infected. This represents 
slightly less than 1 percent of the herds of swine in the United 
States. The goal of the cooperative pseudorabies eradication program is 
the elimination of pseudorabies in the United States in the year 2000. 
However, at this time, the success of the program may be in jeopardy.
    Because of the current depressed market conditions for swine, it 
appears that swine producers might decide to eliminate the costs they 
have been

[[Page 2546]]

incurring to participate in the pseudorabies eradication program. In 
November 1997, market swine were being sold at $45.10 per 
hundredweight. As of the fourth week of December 1998, market swine 
were valued at $11.90 per hundredweight. A surplus of live swine, due 
in part to reduced export markets, has slaughter facilities operating 
at maximum capability. Consequently, swine producers are being forced 
to continue feeding swine that cannot go to slaughter. Swine that are 
slaughtered are being sold at prices below the costs of feeding and 
transportation.
    Cessation of eradication efforts, particularly the elimination of 
herd vaccination, is likely to result in an increase in the number of 
herds infected with pseudorabies. This growth in pseudorabies-infected 
herds will likely extend the amount of time necessary to eradicate 
pseudorabies, ultimately cost both the industry and Federal and State 
Governments additional monies in eradication efforts.

Payment of Indemnity

    We have determined that all of the factors discussed above--the 
danger of elimination of eradication efforts among some swine 
producers, the relatively small number of herds currently infected with 
pseudorabies, and the markedly depressed market prices for swine--make 
this an appropriate time to accelerate the pseudorabies eradication 
effort by swift and thorough elimination of infected herds. This action 
would accelerate the efforts toward removal of infected swine already 
underway at the State level. Therefore, in this interim rule, we are 
establishing regulations that will allow the Department to pay 
indemnity to owners of infected herds who depopulate those herds. In 
addition to indemnity for the value of the animals, the Department will 
provide funding for trucking costs to disposal, for euthanasia and 
disposal costs, and for cleaning and disinfection of conveyances used 
for transporting the swine to disposal.
    Although the regulations being established will allow for the 
payment of indemnity by the Department, participation in the indemnity 
program will be entirely voluntary for swine producers. Producers who 
choose not to have an infected herd depopulated will not be required to 
do so. However, such producers must still adhere to the previously 
established program rules and regulations.
    We are setting forth the provisions of this interim rule in a new 
part 52 in title 9 of the Code of Federal Regulations.

Program Guidelines

    Swine producers who choose to take part in the indemnity program 
may apply for participation as of the date of publication of this 
interim rule in the Federal Register. Further action will be taken upon 
APHIS' receipt of funding for the accelerated eradication program from 
the Commodity Credit Corporation. The indemnity program will extend 
from the date of publication of this interim rule for 6 months, or 
until funds allocated for the program are depleted, whichever comes 
first. In a separate document, APHIS Docket No. 98-123-1, published in 
the Federal Register on January 14, 1999, the Secretary of Agriculture 
gave notice that he is authorizing the transfer of $80 million in funds 
for the accelerated pseudorabies eradication program. Approximately 78 
percent will be used for indemnity costs. The remainder will be used 
for euthanasia, transport, disposal, clean-up, and surveillance.
    The owner of any herd that is determined to be a known pseudorabies 
infected herd will be eligible for payment of indemnity for 
depopulation. The definition of known infected herd will be the same as 
that set forth in 9 CFR part 85, which deals with the existing 
pseudorabies program. A known infected herd will be defined as any herd 
in which swine have been determined to be infected with pseudorabies, 
based on an official pseudorabies test or an approved differential 
pseudorabies test, or diagnosed by an official pseudorabies 
epidemiologist as having pseudorabies. Through the existing 
pseudorabies program, infected herds have already been identified. 
Monitoring and surveillance conducted by APHIS and State agencies may 
identify additional infected herds during the accelerated eradication 
program.
    An official pseudorabies epidemiologist will be defined as a State 
or Federally employed veterinarian designated by the State animal 
health official and the APHIS veterinarian in charge to investigate and 
diagnose pseudorabies in livestock.
    An official pseudorabies test will be defined as in part 85 to mean 
any test for the diagnosis of pseudorabies approved by the 
Administrator and conducted in a laboratory approved by the 
Administrator as listed in a Veterinary Services Notice listing such 
laboratories.
    The following tests for the diagnosis of pseudorabies have been 
approved by the Administrator:
     Microtitration serum-virus neutralization test
     Virus isolation and identification test
     Fluorescent antibody tissue section test
     Enzyme-linked immunosorbent assay (ELISA) test, except for 
approved differential pseudorabies tests other than the glycoprotein I 
(gpI) ELISA test
     Latex agglutination test (LAT)
     Particle concentration fluorescence immunoassay (PCFIA) 
test
    State, Federal, and university laboratories will be approved by the 
Administrator to conduct official pseudorabies tests following his 
determination that the laboratory has personnel trained at the 
Veterinary Services Diagnostic Laboratory at Ames, IA, assigned to 
supervise the test, follows standard test protocol, meets check test 
proficiency requirements, and will report all test results to State and 
Federal animal health officials. Lists of approved laboratories are 
periodically published in the Notices section of the Federal Register.
    An approved pseudorabies differential test also will be defined as 
in current part 85 to mean any test for the diagnosis of pseudorabies 
that can distinguish vaccinated swine from infected swine; is produced 
under license from the Secretary of Agriculture under the Virus-Serum-
Toxin Act of March 4, 1913, and subsequent amendments (21 U.S.C. 151 et 
seq.) with indications for use in the Cooperative State-Federal 
Pseudorabies Eradication Program; and is conducted in a laboratory 
approved by the Administrator.

Fair Market Value

    The Department will pay fair market value for swine depopulated due 
to pseudorabies. The fair market value of the animals will be appraised 
by an APHIS employee and a representative of the State jointly, or, if 
the State authorities approve, by an APHIS official alone. The fair 
market value will be based primarily on a per pound compensation. The 
per pound compensation will be based on the weighted average base 
market prices of the previous week (as released in ``USDA-AMS Livestock 
Market News''). The per pound compensation amount will be updated each 
week. An additional producer cost offset will be paid according to 
whether the animal is a breeder pig, a baby pig or market hog less than 
200 pounds, or a market hog greater than 200 pounds. Animals may be 
appraised in groups, provided that, where the appraisal is by head for 
cost offset purposes, each animal in the group is the same type. As 
noted, each

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animal in the group will be the same value per pound.
    Appraisals of animals will be reported on forms furnished by APHIS. 
Reports of appraisals will show the number of animals and the value per 
head or the weight and value by pound.
    All premises, including barns, stockyards, and pens, and all cars 
and other conveyances, and the materials on any premises or conveyances 
used to house or transport swine for which indemnity is paid under the 
provisions of this interim rule must be cleaned and disinfected under 
the supervision of an APHIS employee or a State representative before 
being reused to house or convey swine. The producers of the swine for 
which indemnity is paid will be responsible for the costs of all 
cleaning and disinfection, except for the cleaning and disinfection of 
conveyances used to transport the swine to the disposal location. Once 
the swine purchased by the Department have been removed from the 
premises where they were kept, additional swine may not be moved onto 
those premises for at least 30 days following the approved cleaning and 
disinfection of premises.
    Claims for the compensation for the value of animals destroyed must 
be presented, through the inspector in charge, to APHIS on a form 
furnished by APHIS. The owner of the animals must certify on the form 
that the animals covered either are or are not subject to any mortgage. 
If the owner states that there is a mortgage, the owner, and each 
person holding a mortgage on the animals, must sign forms furnished by 
APHIS consenting to the payment of indemnity to the owner or 
lienholder.
    This interim rule provides that no indemnity will be paid if the 
infected animals have been moved or handled by the owner in violation 
of a law or regulation administered by the Secretary regarding animal 
disease, or in violation of a law or regulation for which the Secretary 
has entered into a cooperative agreement.

Emergency Action

    The Administrator of the Animal and Plant Health Inspection Service 
has determined that an emergency exists that warrants publication of 
this interim rule without prior opportunity for public comment. We are 
making this action effective upon signature. This effective date is 
necessary to ensure that the pseudorabies accelerated eradication 
program is implemented as soon as possible to prevent the spread of 
pseudorabies.
    Because prior notice and other public procedures with respect to 
this action are impracticable and contrary to the public interest under 
these conditions, we find good cause under 5 U.S.C. 533 to make the 
rule effective less than 30 days after publication. We will consider 
comments that are received within 60 days of publication of this rule 
in the Federal Register. After the comment period closes, we will 
publish another document in the Federal Register. It will include a 
discussion of any comments we receive and any amendments we are making 
to the rule as a result of the comments.

Executive Order 12866 and Regulatory Flexibility Act

    This rule has been reviewed under Executive Order 12866. The rule 
has been determined to be economically significant for the purposes of 
Executive Order 12866 and, therefore, has been reviewed by the Office 
of Management and Budget. We have done a preliminary analysis of the 
potential costs and benefits of this rule in accordance with Executive 
Order 12866, as follows. A final analysis will be published in a 
subsequent document published in the Federal Register.

Potential Economic Impact

    Pseudorabies is a herpes virus disease primarily affecting swine, 
that is known to cause reproductive problems, including abortion and 
stillborn death in neonatal pigs, and occasional death losses in 
breeding and finishing hogs. The disease is recognized to cause 
considerable economic loss. The cost to pork producers alone is over 
$30 million annually. Of this amount, $17 million represents the cost 
of vaccination. Another $11 million is attributable to pig deaths, and 
the remainder is spent on testing.
    A Federal eradication program for this disease was implemented in 
the United States in 1989. The program is cooperative in nature and 
involves Federal, State, and industry participation. The Federal 
Government coordinates the National Program, the State Governments 
promulgate and enforce intrastate regulations, and producers contribute 
by testing their herds and purchasing vaccines. For the 1999 fiscal 
year, Congress appropriated close to $9.1 million for Federal 
Government participation in the pseudorabies program, including funds 
for monitoring and surveillance.
    The pseudorabies eradication program has been markedly successful. 
By 1992, nearly 8,000 herds had been identified as being infected with 
pseudorabies. Currently, there are just over 1,000 herds, or slightly 
less than 1 percent of the total number of U.S. herds, left remaining 
under quarantine for pseudorabies in the United States. As of September 
30, 1998, herds under quarantine were distributed as follows. 
(Preliminary information available to APHIS indicates that some of 
these numbers have decreased since September.)

           Number of Herds Under Quarantine and Swine by State
------------------------------------------------------------------------
                                                Herds under   Number of
                    States                       quarantine     swine
------------------------------------------------------------------------
Arkansas......................................            1        1,000
California....................................            2        5,000
Florida.......................................           14          354
Illinois......................................           14        3,912
Indiana.......................................          214      153,010
Iowa..........................................          632      479,520
Louisiana.....................................            1            7
Massachusetts.................................            1        1,000
Michigan......................................            3       18,902
Minnesota.....................................          147      180,714
Nebraska......................................           17        1,100
North Carolina................................          226      850,757
Pennsylvania..................................            6        6,815
South Dakota..................................            2        1,100
Texas.........................................            2           14
                                               -------------------------
    Total.....................................        1,291    1,719,755
------------------------------------------------------------------------

    Due to the severe downturn in the value of market swine, progress 
in the pseudorabies eradication program may be threatened. A surplus of 
live swine, due in part to reduced export markets, has slaughter plants 
operating at maximum capacity and has led to depressed prices. 
Consequently, swine producers are being forced to continue feeding 
swine that cannot go to slaughter. Swine that are slaughtered are being 
sold at prices below the costs of feeding and transportation. As a 
result of depressed swine market prices, producers may stop vaccinating 
their herds because of the added expense. This could seriously affect 
the pseudorabies eradication program. Without vaccinations, the virus 
could spread to unvaccinated herds. This could increase production 
losses in the swine industry, increase costs to the Federal Government 
due to delays in eradicating the disease, and possibly jeopardize the 
trading position of the United States.
    Pork production in the United States is a vital part of the 
economy. Over 19 billion pounds will be processed from about 99 million 
hogs in 1998. The economic impact of the industry on rural America is 
immense. Annual farm sales of swine in the United States usually exceed 
$11 billion. The retail value of pork sold to consumers exceeds $30 
billion. In addition, the U.S. pork industry supports over 600,000 jobs 
and contributes to $23 billion in personal income.

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    To avoid the potential costs associated with the possible reduction 
of producer participation in the voluntary eradication program, we are 
commencing a voluntary, accelerated pseudorabies eradication program in 
which we will pay indemnity at fair market value for, and depopulate as 
quickly as possible, as many pseudorabies-infected herds as possible. 
Normally, the fair market value of these animals would make such an 
operation cost-prohibitive. However, the severely depressed value of 
swine in the United States offers us a unique window of opportunity to 
pay indemnity for these animals at a considerable savings.
    This may provide several benefits. First, it will reduce the 
presence of pseudorabies in the United States sooner than the target 
date.
    Second, if eradication is complete, the resources that we are 
currently expending on our pseudorabies program can be diverted to 
other disease eradication and prevention efforts, including 
surveillance and monitoring.
    Third, swine producers will benefit by our payment of indemnity for 
the depopulation of infected herds. Although these producers will 
receive fair market value for these animals, and consequently, under 
present conditions, will not make a profit on their animals, they will 
at least be spared the continued expense of feeding and maintaining 
them.
    The Secretary of Agriculture has authorized the transfer of $80 
million in funds from the Commodity Credit Corporation to conduct the 
indemnity program. This is a transfer from taxpayers. Approximately 78 
percent of this money ($62 million) will be used for indemnity costs, 
and the remainder will be used for euthanasia, transport, disposal 
(most likely through rendering), clean-up, and surveillance. Payment of 
indemnity will be based on fair market value, and the amount paid per 
pig will likely fluctuate during the course of the accelerated 
pseudorabies eradication program, which will last approximately 6 
months. The amount authorized assumes 100 percent participation of 
owners with infected herds. However, participation may be limited if 
funds are exhausted due to increases in the fair market value above our 
current estimates. Funds will be paid out on a first-come-first served 
basis. Additionally, some producers may not choose to participate.
    We anticipate that the expected decrease in the number of hogs 
available for market will cause an increase in the prices paid to swine 
producers by pork processors. In such a case, there would be some 
negative impact on pork processors. Currently, we do not have 
sufficient information to determine the effect on the market. Nor do we 
have sufficient information to determine the net benefit or the 
distributional impacts of the chosen option.

Options Considered

    In assessing the need for this interim rule, we identified three 
alternatives. The first was to maintain the status quo. We rejected 
this option because it would not address the potential risks that may 
endanger the pseudorabies program.
    The second option would have been to provide financial assistance 
to the swine industry for continuation of vaccination and other herd 
management practices to eliminate pseudorabies. The fiscal year 2000 
target for the eradication of pseudorabies could have been achieved, 
but monitoring and surveillance would have continued. Although this 
option may be less costly than the option we chose, option 3 below, we 
did not choose it because it does not allow us to eradicate 
pseudorabies as quickly as the chosen option.
    The third option, to provide indemnity payments to accelerate the 
eradication program by providing indemnity for the depopulation of 
pseudorabies-infected herds, was the one we chose. Depopulation of 
infected herds is the single most effective way to eliminate 
pseudorabies. The current severely depressed values of market swine 
present a unique opportunity to significantly accelerate pseudorabies 
eradication in a cost-effective way through depopulation. At the same 
time, pork producers will gain some compensation for pigs they are 
currently paying to feed, and that many owners cannot send to slaughter 
due to slaughter plants already being used to maximum.

Potential Impact on Small Entities

    This emergency situation makes compliance with section 603 and 
timely compliance with section 604 of the Regulatory Flexibility Act (5 
U.S.C. 601 et seq.) impracticable. This interim rule establishes a 
voluntary program that allows swine producers to be paid indemnity for 
known pseudorabies-infected herds. Because slaughtering plants are 
operating at maximum capacity, it is likely that many of these swine 
could not be sold at market at this time, and the owners would 
otherwise receive no compensation for the swine. We do not anticipate 
any negative impact from this rule, other than perhaps some impact on 
pork processors who may eventually pay a higher price for swine. 
However, we will conduct further analyses of the potential impact of 
this rule. If we determine this rule will have a significant economic 
impact on a substantial number of small entities, then we will discuss 
the issues raised by section 604 of the Regulatory Flexibility Act in 
our Final Regulatory Flexibility Analysis.

Executive Order 12988

    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. This rule: (1) Preempts all State and local laws and 
regulations that are in conflict 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 section 3507(j) of the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et seq.), the information collection or 
recordkeeping requirements included in this interim rule have been 
submitted for emergency approval to the Office of Management and Budget 
(OMB). OMB has assigned control number 0579-0137 to the information 
collection and recordkeeping requirements. Notwithstanding any other 
provision of the law, no person is required to respond to, nor shall 
any person be subject to a penalty for failure to comply with, a 
collection of information subject to the requirements of the Paperwork 
Reduction Act unless that collection of information displays a 
currently valid OMB control number.
    Please send written comments to the Office of Information and 
Regulatory Affairs, OMB, Attention: Desk Officer for APHIS, Washington, 
DC 20503. Please state that your comments refer to Docket No. 98-123-2. 
Please send a copy of your comments to: (1) Docket No. 98-123-2, 
Regulatory Analysis and Development, PPD, APHIS, suite 3C03, 4700 River 
Road Unit 118, Riverdale, MD 20737-1238, and (2) Clearance Officer, 
OCIO, USDA, room 404-W, 14th Street and Independence Avenue SW., 
Washington, DC 20250. A comment to OMB is best assured of having its 
full effect if OMB receives it within 30 days of publication of this 
interim rule.
    This interim rule establishes regulations to provide for the 
payment of indemnity by the Department for the voluntary depopulation 
of herds of swine known to be infected with pseudorabies. In order to 
take part in the indemnity program, swine producers must apply for 
participation, must sign

[[Page 2549]]

a payment, appraisal and agreement form, and must certify as to whether 
any other parties hold mortgages on the herd. We are soliciting 
comments from the public concerning our information collection and 
recordkeeping requirements. We need this outside input to help us:
    (1) Evaluate whether the information collection is necessary for 
the proper performance of our agency's functions, including whether the 
information will have practical utility;
    (2) Evaluate the accuracy of our estimate of the burden of the 
proposed information collection, including the validity of the 
methodology and assumptions used;
    (3) Enhance the quality, utility, and clarity of the information to 
be collected; and
    (4) Minimize the burden of the information collection on those who 
are to respond (such as through the use of appropriate automated, 
electronic, mechanical, or other technological collection techniques or 
other forms of information technology, e.g., permitting electronic 
submission of responses).
    Estimate of burden. Public reporting burden for this collection of 
information is estimated to average 0.26673 hour per response.
    Respondents. Swine producers.
    Estimated number of respondents. 1,300.
    Estimated number of responses per respondent. 4.
    Estimated total annual number of responses. 5,200.
    Estimated total annual burden on respondents. 1,387.
    Copies of this information collection can be obtained from: 
Clearance Officer, OCIO, USDA, room 404-W, 14th Street and Independence 
Avenue, SW., Washington, DC 20250.

List of Subjects in 9 CFR Part 52

    Animal diseases, Pseudorabies, Swine, Indemnity payments, 
Transportation.

    Accordingly, we are amending 9 CFR, chapter I, subchapter B, by 
adding a new part to read as follows:

PART 52--SWINE DESTROYED BECAUSE OF PSEUDORABIES

Sec.
52.1  Definitions.
52.2  Payment of indemnity.
52.3  Appraisal of swine.
52.4  Disinfection of premises, conveyances, and materials.
52.5  Presentation of claims.
52.6  Mortgage against animals.
52.7  Claims not allowed.

    Authority: 21 U.S.C. 111-113, 114, 114a, 114a-1, 120, 121, 125, 
and 134b; 7 CFR 2.22, 2.80, and 371.2(d).

Sec. 52.1  Definitions.

    Administrator. The Administrator, Animal and Plant Health 
Inspection Service, or any other employee of the Animal and Plant 
Health Inspection Service, United States Department of Agriculture, 
delegated to act in the Administrator's stead.
    Animal and Plant Health Inspection Service (APHIS). The Animal and 
Plant Health Inspection Service of the United States Department of 
Agriculture.
    APHIS employee. Any individual employed by the Animal and Plant 
Health Inspection Service who is authorized by the Administrator to do 
any work or perform any duty in connection with the control and 
eradication of disease.
    Approved differential pseudorabies test. Any test for the diagnosis 
of pseudorabies that can distinguish vaccinated swine from infected 
swine; is produced under license from the Secretary of Agriculture 
under the Virus-Serum-Toxin Act of March 4, 1913, and subsequent 
amendments (21 U.S.C. 151 et seq.) with indications for use in the 
Cooperative State-Federal Pseudorabies Eradication Program; and is 
conducted in a laboratory approved by the Administrator.1
---------------------------------------------------------------------------

    \1\ The names and addresses of laboratories approved by the 
Administrator to conduct approved differential pseudorabies tests 
are published in the Notices Section of the Federal Register. A list 
of approved laboratories is also available upon request from the 
Animal and Plant Health Inspection Service, 4700 River Road Unit 37, 
Riverdale, Maryland 20737-1231. State, Federal, and university 
laboratories will be approved by the Administrator when he or she 
determines that the laboratory: employs personnel trained at the 
National Veterinary Services Laboratories assigned to supervise the 
testing; follows standard test protocols; meets check test 
proficiency requirements; and will report all test results to State 
and Federal animal health officials. Before the Administrator may 
withdraw approval of any laboratory for failure to meet any of these 
conditions, the Administrator must give written notice of the 
proposed withdrawal to the director of the laboratory, and must give 
the director an opportunity to respond. If there are conflicts as to 
any material fact, a hearing will be held to resolve the conflict.
---------------------------------------------------------------------------

    Department. The United States Department of Agriculture.
    Herd. Any group of swine maintained on common ground for any 
purpose, or two or more groups of swine under common ownership or 
supervision, that are geographically separated but have an interchange 
or movement of animals without regard to whether the animals are 
infected with or exposed to pseudorabies.
    Inspector in charge. An APHIS employee who is designated by the 
Administrator to take charge of work in connection with the control and 
eradication of disease.
    Known infected herd. Any herd in which swine have been determined 
to be infected with pseudorabies based on an official pseudorabies test 
or an approved differential pseudorabies test, or as diagnosed by an 
official pseudorabies epidemiologist as having pseudorabies.
    Materials. Parts of barns or other structures, straw, hay, and 
other feed for animals, farm products or equipment, clothing, and 
articles stored in or adjacent to barns or other structures.
    Mortgage. Any mortgage, lien, or other security or beneficial 
interest held by any person other than the one claiming indemnity.
    Official pseudorabies epidemiologist. A State or Federally employed 
veterinarian designated by the State animal health official and the 
veterinarian in charge to investigate and diagnose pseudorabies in 
livestock.
    Official pseudorabies test. Any test for the diagnosis of 
pseudorabies approved by the Administrator and conducted in a 
laboratory approved by the Administrator. The following tests for the 
diagnosis of pseudorabies have been approved by the Administrator: 
Microtitration Serum-Virus Neutralization Test; Virus Isolation and 
Identification Test; Fluorescent Antibody Tissue Section Test; Enzyme-
Linked Immunosorbent Assay (ELISA) Test, except for approved 
differential pseudorabies tests other than the glycoprotein I (gpI) 
ELISA test; Latex Agglutination Test (LAT); and Particle Concentration 
Fluorescence Immunoassay (PCFIA) Test.2 State, Federal, and 
university laboratories will be approved by the Administrator following 
his determination that the laboratory: has personnel trained at the 
Veterinary Services Diagnostic Laboratory at Ames, Iowa, assigned to 
supervise the test; follows standard test protocol; meets check test 
proficiency requirements; and will report all test results to State and 
Federal animal health officials.3
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    \2\ Copies of the test protocols (Recommended Minimum Standards 
for Diagnostic Tests Employed in the Diagnosis of Pseudorabies 
(Aujeszky's Disease) are available upon request from the Animal and 
Plant Health Inspection Service, Veterinary Services, Operational 
Support, 4700 River Road Unit 33, Riverdale, MD 20737-1231.
    \3\ Before the Administrator withdraws the approval of any 
laboratory, the Director of the laboratory will be given a notice by 
the Administrator of the proposed disapproval and the reasons for 
it, and the Director will have the opportunity to respond. In those 
instances where there are conflicts as to the facts, a hearing will 
be held to resolve such conflicts.
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    Person. Any individual, corporation, company, association, firm, 
partnership, society, joint stock company, or other legal entity.

[[Page 2550]]

    Pseudorabies. The contagious, infectious, and communicable disease 
of livestock and other animals, also known as Aujeszky's disease, mad 
itch, or infectious bulbar paralysis.
    Secretary. The Secretary of Agriculture of the United States, or 
any officer or employee of the Department delegated to act in the 
Secretary's stead.
    State. Each of the States of the United States, the District of 
Columbia, Puerto Rico, the Northern Mariana Islands, Guam, the Virgin 
Islands of the United States, or any other territory or possession of 
the United States.
    State representative. A person regularly employed in the animal 
health work of a State and who is authorized by that State to perform 
the function involved under a cooperative agreement with the United 
States Department of Agriculture.
    Veterinarian in charge. The veterinary official of Veterinary 
Services, APHIS, who is assigned by the Administrator to supervise and 
perform official animal health work for APHIS in the State concerned.


Sec. 52.2  Payment of indemnity.

    The Administrator is hereby authorized to agree, on the part of the 
Department, to pay 100 percent of the expenses of purchase, destruction 
and disposition of herds of swine that are destroyed because the herds 
are known to be infected with pseudorabies.


Sec. 52.3  Appraisal of swine.

    (a) Herds of swine destroyed because the herds are known to be 
infected with pseudorabies will be appraised by an APHIS employee and a 
representative of the State jointly, or, if the State authorities 
approve, by an APHIS employee alone.
    (b) The appraisal of swine will be based on the fair market value 
as determined by the meat or breeding value of the animals. Animals may 
be appraised in groups, provided that where appraisal is by the head, 
each animal in the group is the same value per head, and where 
appraisal is by the pound, each animal in the group is the same value 
per pound.
    (c) Appraisals of swine must be reported on forms furnished by 
APHIS and signed by the owner of the swine. Reports of appraisals must 
show the number of swine and the value per head or the weight and value 
by pound. (Approved by the Office of Management and Budget under 
control number 0579-0137).


Sec. 52.4  Disinfection of premises, conveyances, and materials.

    All premises, including barns, stockyards and pens, and all cars 
and other conveyances, and the materials on any premises or conveyances 
used to house or transport swine for which indemnity is paid under this 
part must be cleaned and disinfected under the supervision of an APHIS 
employee after removal of the swine from the known infected herd. 
Premises may not be restocked with swine for at least 30 days following 
an approved cleaning and disinfection. The owner to whom the indemnity 
is paid will be responsible for expenses incurred in connection with 
the cleaning and disinfection, except for cleaning and disinfection of 
the conveyances used to transport the swine to the location of 
disposal.


Sec. 52.5  Presentation of claims.

    Claims for compensation for the value of animals destroyed must 
each be presented, through the inspector in charge, to APHIS on a form 
furnished by APHIS.

(Approved by the Office of Management and Budget under control 
number 0579-0137).


Sec. 52.6  Mortgage against animals.

    When swine have been destroyed under this part, any claim for 
indemnity must be presented on forms furnished by APHIS. The owner of 
the swine must certify on the forms that the swine covered are, or are 
not, subject to any mortgage as defined in this part. If the owner 
states there is a mortgage, the owner and each person holding a 
mortgage on the swine must sign, consenting to the payment of indemnity 
to the person specified on the form.

(Approved by the Office of Management and Budget under control 
number 0579-0137).


Sec. 52.7  Claims not allowed.

    (a) The Department will not allow claims arising out of the 
destruction of swine unless the swine have been appraised as prescribed 
in this part and the owners have signed a written agreement to the 
appraisals.
    (b) The Department will not allow claims arising out of the 
destruction of swine that have been moved or handled by the owner or a 
representative of the owner in violation of a law or regulation 
administered by the Secretary regarding animal disease, or in violation 
of a law or regulation for which the Secretary has entered into a 
cooperative agreement.

(Approved by the Office of Management and Budget under control 
number 0579-0137).

    Done in Washington, DC, this 12th day of January 1999.
Joan M. Arnoldi,
Acting Administrator, Animal and Plant Health Inspection Service.
[FR Doc. 99-969 Filed 1-14-99; 8:45 am]
BILLING CODE 3410-34-P