[Federal Register: June 9, 2003 (Volume 68, Number 110)]
[Page 34373-34374]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]



Food Safety and Inspection Service

[Docket No. 03-013N]

Exemption for Retail Store Operations

AGENCY: Food Safety and Inspection Service, USDA.

ACTION: Notice of Adjusted Dollar Limitations.


SUMMARY: The Food Safety and Inspection Service (FSIS) is announcing 
the dollar limitations on sales of meat and meat food products and 
poultry products to hotels, restaurants, and similar institutions that 
do not disqualify a store for exemption from Federal inspection 
requirements. By reason of FSIS' regulations, for calendar year 2003 
the dollar limitation for meat and meat food products is remaining at 
$47,000 and for poultry products at $41,600. FSIS is retaining the 
dollar limitations from calendar year 2002 based on the small price 
changes for these products evidenced by the Consumer Price Index (CPI).

EFFECTIVE DATE: This notice is effective June 9, 2003.

Regulations and Directives Development Staff, Office of Policy, Program 
Development, and Evaluation, FSIS, U.S. Department of Agriculture, Room 
112, Cotton Annex Building, 300 12th Street, SW, Washington, DC 20250-
3700; telephone (202) 720-5627, fax (202) 690-0486.



    The Federal Meat Inspection Act (21 U.S.C. 601 et seq.) and the 
Poultry Products Inspection Act (21 U.S.C. 451 et seq.) provide that 
the statutory provisions requiring inspection of the slaughter of 
livestock or poultry and the preparation or processing of products 
thereof do not apply to operations of types traditionally and usually 
conducted at retail stores and restaurants, when conducted at any 
retail store or restaurant or similar retail-type establishment for 
sale in normal retail quantities or service to consumers at such 
establishments (21 U.S.C. 454(c)(2)and 661(c)(2)). In Title 9 of the 
Code of Federal Regulations Sec. Sec.  303.1(d) and 381.10(d), 
respectively, FSIS regulations address the conditions under which 
requirements for inspection do not apply to retail operations.
    Under these regulations, sales to hotels, restaurants, and similar 
institutions disqualify a store for exemption if they exceed either of 
two maximum limits: 25 percent of the dollar value of total product 
sales or the calendar year dollar limitation set by the Administrator. 
The dollar limitation is adjusted automatically during the first 
quarter of the year if the CPI, published by the Bureau of Labor 
Statistics, indicates an increase or decrease of more than $500 in the 
price of the same volume of product for the previous year. FSIS 
publishes a notice of the adjusted dollar limitations in the Federal 
Register. (See paragraphs (d)(2)(iii)(b) and (d)(2)(iii) of Sec. Sec.  
303.1 and 381.10.)
    The CPI for 2002 reveals an average annual price increase for meat 
and meat food products of 0.2 percent and an annual average price 
decrease for poultry products of 0.7 percent. The price increase for 
meat and meat food products is $94 and the price decrease for poultry 
products is $291. Because the price of meat and meat food products and 
the price of poultry products have not changed by more than $500, in 
accordance with Sec. Sec.  303.1 (d)(2)(iii)(b) and 
381.10(d)(2)(iii)(b) of the regulations, FSIS has retained the dollar 
limitation on sales to hotels, restaurants, and similar institutions at 
$47,000 for meat and meat food products and at $41,600 for poultry 
products for calendar year 2003.

Additional Public Notification

    Public awareness of all segments of rulemaking and policy 
development is important. Consequently, in an effort to better ensure 
that minorities, women, and persons with disabilities are aware of this 
notice, FSIS will announce it and make copies of this Federal Register 
publication available through the FSIS Constituent Update. FSIS 
provides a weekly Constituent Update, which is communicated via 
Listserv, a free e-mail subscription service. In addition, the update 
is available on-line through the Internet at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.fsis.usda.gov. 
The update is used to provide information regarding FSIS policies, 
procedures, regulations, Federal Register notices, FSIS public 
meetings, recalls, and any other types of information that could affect 
or would be of interest to our constituents/stakeholders. The 
constituent Listserv consists of industry, trade, and farm groups, 
consumer interest groups, allied

[[Page 34374]]

health professionals, scientific professionals, and other individuals 
that have requested to be included. Through the Listserv and web page, 
FSIS is able to provide information to a much broader, more diverse 
    For more information contact the Congressional and Public Affairs 
Office, at (202) 720-9113. To be added to the free e-mail subscription 
service (Listserv) go to the ``Constituent Update'' page on the 
Internet at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.fsis.usda.gov/oa/update/update.htm. Click on the 
``Subscribe to the Constituent Update Listserv'' link, then fill out 
and submit the form.

    Done at Washington, DC, on: June 4, 2003.
Garry L. McKee,
[FR Doc. 03-14417 Filed 6-6-03; 8:45 am]