Schedule of Fees for Consular Services-Nonimmigrant and Special Visa Fees, 18243-18248 [2023-06290]
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Federal Register / Vol. 88, No. 59 / Tuesday, March 28, 2023 / Rules and Regulations
Simpson Field and within 1.8 miles each
side of Spartanburg VORTAC 192° radial,
extending from the 4.3-mile radius to the
VORTAC, excluding the portion within the
Greenville-Spartanburg International Airport,
SC, Class C airspace area. This Class E
airspace area is effective during the specific
dates and times established in advance by a
Notice to Air Missions. The effective date
and time will thereafter be continuously
published in the Chart Supplement.
DEPARTMENT OF STATE
Paragraph 6005 Class E Airspace Areas
Extending Upward From 700 Feet or More
Above the Surface of the Earth.
ACTION:
*
*
*
ASO SC E5
*
*
Greenville, SC [Amended]
Spartanburg, SC
Spartanburg Downtown Memorial Airport/
Simpson Field, SC
(Lat. 34°54′59″ N, long. 81°57′21″ W)
Spartanburg VORTAC
(Lat. 35°02′01″ N, long. 81°55′37″ W)
That airspace extending upward from 700
feet above the surface within a 7-mile radius
of Spartanburg Downtown Memorial Airport/
Simpson Field and within 3.1 miles each
side of Spartanburg VORTAC 012° radial,
extending from the 7-mile radius to 7 miles
north of the VORTAC and within 2 miles
each side of Spartanburg localizer southwest
course, extending from the 7-mile radius to
15.1 miles south of the VORTAC.
Issued in College Park, Georgia, on March
22, 2023
Andreese C. Davis,
Manager, Airspace & Procedures Team South,
Eastern Service Center, Air Traffic
Organization.
[FR Doc. 2023–06326 Filed 3–27–23; 8:45 am]
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[Public Notice: 11954]
RIN 1400–AF33
Schedule of Fees for Consular
Services—Nonimmigrant and Special
Visa Fees
Department of State.
Final rule.
AGENCY:
This rule adopts as final
adjustments to the Schedule of Fees for
Consular Services (Schedule of Fees) for
several nonimmigrant visa (NIV)
application processing fees and the
Border Crossing Card (BCC) for Mexican
citizens age 15 and over. These
adjustments are based on the findings of
the most recently approved update to
the Cost of Service Model (CoSM) and
incorporate revised projections for
nonimmigrant visa demand. This rule
also addresses public comments
received by the Department on the
originally proposed fee
recommendations found in the notice of
proposed rulemaking (NPRM).
DATES: This final rule is effective on
May 30, 2023.
FOR FURTHER INFORMATION CONTACT:
Johanna Cruz, Management Analyst,
Office of the Comptroller, Bureau of
Consular Affairs, Department of State;
phone: 202–485–8915; email: fees@
state.gov.
SUPPLEMENTARY INFORMATION:
SUMMARY:
Greenville Downtown Airport, SC
(Lat. 34°50′53″ N, long. 82°21′00″ W)
Greenville-Spartanburg International Airport
(Lat. 34°53′44″ N, long. 82°13′08″ W)
Donaldson Field Airport
(Lat. 34°45′30″ N, long. 82°22′35″ W)
DYANA NDB
(Lat. 34°41′28″ N, long. 82°26′37″ W)
That airspace extending upward from 700
feet above the surface within a 9.3-mile
radius of Greenville Downtown Airport, and
within a 10-mile radius of GreenvilleSpartanburg International Airport, and
within a 6.7-mile radius of Donaldson Field
Airport and within 4 miles northwest and 8
miles southeast of the 224° bearing from the
DYANA NDB extending from the 6.7-mile
radius to 16 miles southwest of Donaldson
Field Airport.
ASO SC E5
22 CFR Part 22
Background
This rule makes changes to the
Schedule of Fees, found at 22 CFR 22.1.
The Department generally sets and
collects fees for consular services based
on the concept of full cost recovery to
the U.S. Government. The Department’s
CoSM uses an Activity-Based Costing
(ABC) methodology to calculate
annually the direct and indirect costs to
the U.S. Government associated with
each consular good and service the
Department provides. The CoSM
provides a comprehensive and detailed
look at all consular services as well as
all services that the Department
performs for other agencies in
connection with its consular operations.
Fees are based on these cost estimates
and the Department aims to update the
Schedule of Fees biennially unless a
significant change in costs warrants an
immediate recommendation to amend
the Schedule.
The most recently approved update to
the CoSM indicated that fee increases
were needed to fully recover the costs
of providing several categories of NIV
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18243
services. As a result, the Department
published an NPRM in the Federal
Register on December 29, 2021 (86 FR
74018), for a 60-day public comment
period that ended on February 28, 2022.
The NPRM proposed the following
increases:
• The application processing fee for
non-petition-based nonimmigrant visas
(except E category), from $160 to $245;
• The application processing fee for
H, L, O, P, Q, and R category
nonimmigrant visas, from $190 to $310;
• The application processing fee for E
category nonimmigrant visas, from $205
to $485;
• The processing fee for BCCs for
Mexican citizens age 15 and over from
$160 to $245: and
• The fee for waiver of the two-year
residency requirement for exchange
visitors, from $120 to $510.
As discussed in more depth in the
NPRM, the unit costs that inform the
recommended fees for each NIV service
were calculated by taking the total cost
of each service and dividing by the 10year average number of receipts (i.e.,
demand) for that service.
The fee increases that will be
implemented as a result of this final rule
are smaller than those proposed in the
NPRM due to revised projections for
fiscal year (FY) 2022–2024 demand. The
CoSM uses historical workloads as well
as projected future workloads to
calculate demand for each service.
Projecting future demand is extremely
difficult because travel for both U.S.
citizens and foreign nationals can
change quickly and dramatically, as
demonstrated by the COVID–19
pandemic. Therefore, the current model
update applied a 10-year average for
workload volumes for NIVs, using
historic workload actuals from FYs
2015–2019 and projected workload
volumes for FYs 2020–2024. Using a 10year average helped minimize the
impact of demand volatility on unit cost
calculations. Recognizing that actual
demand will always vary, this practical
approach helped to stabilize fees at an
amount sufficient to recover costs with
only a modest increase to the consumer.
See 86 FR 74018, 74020–21.
The fee increases proposed in the
NPRM were based on a 10-year average
of 7.7 million NIVs of all classes per
year. After the NPRM was issued,
however, it became apparent that
demand for NIVs was rebounding
significantly faster than previously
anticipated and that actual demand
would exceed the projected volume in
the NPRM. The Department therefore
decided to recalculate demand before
moving forward with the final rule to
ensure that it did not implement fees in
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excess of its actual costs. In its revised
analysis, the Department included
historic actual workload amounts for
FY2015–2021 (rather than FY2015–2019
as in the original recommendations) and
revised projected workload amounts for
FY2022–2024. As with the original
calculations, the Department divided
the total actual and projected demand
by 10, which resulted in a revised 10year average of 9.5 million NIVs of all
classes per year.
Because actual costs and level of
effort for most categories of NIVs have
been relatively stable over this period,
the significant increase in average
demand generates a corresponding
decrease in the unit costs of providing
these services. As a result, the
Department will implement smaller fee
increases than originally proposed for
all categories of NIVs.
The Department is also postponing
the fee increase for the exchange visitor
waiver of two-year residency
requirement (‘‘J-Waiver’’) fee. Unlike
machine-readable visa (MRV) fees,
which must be set at the cost of
providing nonimmigrant visa
application processing and border
crossing card processing services, see 8
U.S.C. 1713(b); 8 U.S.C. 1351 (note), the
Department has discretion to take
factors other than cost into account
when setting the J-Waiver fee. See 31
U.S.C. 9701 (permitting the Government
to consider ‘‘other relevant facts’’ in
addition to costs when setting fees);
Office of Management and Budget
(OMB) Circular A–25, Section 6(c)(2)(b)
(recognizing exceptions to the general
policy of full cost recovery when
conditions exist that justify an
exception); see also 22 U.S.C. 1475e
(authorizing the Department to retain
fees related to Exchange Visitor Program
services ‘‘to such extent as may be
provided in advance in appropriations
acts’’ and expend such fees for
‘‘authorized purposes’’ without
specifying the amount at which the fees
much be set). Although the costs of
providing the J-Waiver service have
increased as indicated in the NPRM, the
Department has assessed that currently
available retained revenue from this fee
is sufficient to permit the Department to
sustain the J-Waiver service in the near
term without raising the fee at this time.
Below are the adjustments to the fee
recommendations in the NPRM that the
Department will implement in this final
rule:
• The application processing fee for
non-petition based NIVs (except E
category), will be raised from $160 to
$185. This represents a 15.6 percent
increase over the current fee, but is $60
or 24.5 percent below the original
proposal of $245.
• The application processing fee for
H, L, O, P, Q, and R category NIVs, will
be raised from $190 to $205. This
represents a 7.9 percent increase over
the current fee, but is $105 or 33.9
percent below the original proposal of
$310.
• The processing fee for the BCCs for
Mexican citizens age 15 and over will be
raised from $160 to $185. This
represents a 15.6 percent increase over
the current fee, but is $60 or 24.5
percent below the original proposal of
$245.
• The fee for E category NIVs will be
raised from $205 to $315. This
represents a 53.7 percent increase over
the current fee, but is $170 or 35 percent
below the original proposal of $485.
• The fee for the exchange visitor
waiver of two-year residency
requirement will be maintained at $120,
instead of the proposed $510.
As discussed above, the Department
applied the same methodology to
calculate the revised fees and the
relevant authorities found in the NPRM
apply to these revised fee
recommendations. This rule also
addresses public comments received by
the Department on the originally
proposed fee recommendations found in
the NPRM.
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Analysis of Comments
In the 60-day period following
publication of the NPRM, the
Department received a total of 328
comments, 94 of which were duplicates.
The comments are categorized into the
following general topics.
Education
The Department received many
comments related to the proposed
increase from $160 to $245 for nonpetition based nonimmigrant visas
(except E category), which include all
types of student visas. Sixty-one
commenters expressed concerns about
the impact of the fee increases on
international education, including the
following sub-topics: 10 comments on
how the COVID–19 pandemic affects
international students and institutions
of higher education in the United States;
11 comments on how the English as a
Second Language (ESL) community
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might be affected; 6 comments on the
Biden Administration’s policies for
attracting international students; and 15
comments on the possibility that an
increase of this kind might drive
international students to seek
educational opportunities in other
countries. As discussed above, this final
rule implements only a $25 increase for
non-petition-based NIV fees, from $160
to $185. The Department believes this
modification largely addresses the
issues raised by the commenters, which
appeared to be driven by financial
impact on visa applicants.
Gradual Increase
The Department received 19
comments from commenters who
accepted the proposed fee increases but
requested that the Department delay the
increases to sometime in the future or
make them more gradual. The
Department’s decision to increase the
non-petition-based NIV (except E
category) fee by only $25 rather than
$85 and to increase the NIV fee for H,
L, O, P, Q, and R category visas by only
$15 rather than $120 for the reasons
discussed above addresses the concerns
raised by these commenters.
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Temporary Work Visas (Agricultural
(H–2As) and Non-Agricultural (H–2Bs))
The Department received 80
comments regarding the H–2 visa
programs. These comments were in
response to the Department’s original
proposal that would have increased the
fee from $190 to $310, and generally
asserted that agricultural businesses
cannot absorb a 63 percent increase to
H–2 visa fees. The comments also
asserted that with rising prices across
the board (e.g., increases in the Adverse
Effect Wage Rate (AEWR)), the fee
increase would put them out of
business. As discussed in the NPRM,
the impact of the proposed fee increases
on the overall cost of bringing over an
H–2 worker would have been minimal.
If implemented, the proposed fee would
have raised the total cost by just over
one percent, from $10,367 ($10,177 +
$190) to $10,487 ($10,177 + $310). See
86 FR 74023. This final rule implements
only a $15 increase in petition-based
NIV fees, from $190 to $205. Assuming
the costs of bringing over an H–2 worker
have not increased since the NPRM was
issued, the total cost is now increasing
by only .15 percent (from $10,367 to
$10,382). This is significantly less than
originally proposed, which should
largely address the concerns of the
commenters.
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Adverse Effect Wage Rate (AEWR)
One commenter requested that if the
fees are increased, then the ‘‘AEWR
should be removed, frozen, or replaced
with a charge that isn’t constantly
increased.’’ The AEWR, which is
determined by the U.S. Department of
Labor’s Office of Foreign Labor
Certification Administrator for the
purpose of preventing the employment
of H–2A workers from adversely
affecting the wages of U.S. workers
similarly employed, see 8 U.S.C.
1188(a)(1)(B), is ‘‘[t]he annual weighted
average hourly wage for field and
livestock workers (combined) in the
States or regions as published annually
by the U.S. Department of Agriculture
(USDA) based on its quarterly wage
survey.’’ 20 CFR 655.103(c). An
employer whose Application for
Temporary Employment Certification in
the H–2A program has been certified by
the Department of Labor must offer,
advertise in its recruitment, and pay a
wage that is at least the highest of the
AEWR, a prevailing wage rate, an
agreed-upon collective bargaining wage,
the Federal minimum wage, or the State
minimum wage. 20 CFR 655.120(a). The
Department recognizes that an AEWR or
other minimum wage under the H–2A
program may impose a financial burden
on agricultural employers; however, it is
a requirement imposed by the
Immigration and Naturalization Act, as
implemented by the Department of
Labor’s H–2A regulations, which is
outside the scope of this rulemaking.
Tourism
The Department received one
comment that specifically discussed the
impact the proposed fee increases could
have on tourism demand. The NPRM
examined the costs associated with
tourist visits to the United States and
the potential impact of the original
proposed fee increase on demand for
tourism. Our analysis showed that even
with the originally proposed $85
increase, from $160 to $245, the impact
on tourism likely would have been
minimal.
Due to the revised demand
projections, the Department is now
implementing only a $25 increase to the
fee for non-petition based NIVs (except
E category). Assuming the average costs
of travel to the United States ($4,834)
have not increased since the publication
of the NPRM, then the adjustment to the
fee will increase the total cost of a trip
from $4,994 ($4,834 + $160) (current
rate) to $5,019 ($4,834 + $185), which
is less than one-half of one percent.
Thus, the impact on tourism almost
certainly will be negligible.
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18245
The commenter also mentioned that
by increasing the tourist visa fee, the
Department risks increased reciprocity
fees imposed by other countries, which
will negatively impact Americans who
wish to travel internationally. The
Department acknowledges this risk but
must set MRV fees to recover the costs
of providing these services. See 8 U.S.C.
1713(b).
Evidence of Reason for Increase
The Department received six
comments requesting additional
evidence to help commenters
understand the reasons for the
increases. As detailed in the NPRM,
while costs for non-petition-based
nonimmigrant visas (except E category)
and the petition-based nonimmigrant
visa services have increased modestly
but steadily since the last adjustment to
these fees in 2012, demand for these
visa categories has fluctuated more
dramatically from year to year. See 86
FR 74021. Because MRV fees must be
set at the cost of providing these
services, 8 U.S.C. 1713(b), the
unprecedented, significant decrease in
demand due to the COVID–19 pandemic
had a substantial impact on the fee
increases proposed in the NPRM.
Subsequently, the Department observed
a considerable, unexpected recovery in
NIV demand and made the decision to
reanalyze the proposed fees in light of
this rebound.
The Department cannot be certain
why NIV demand has recovered more
quickly than expected. The recovery in
demand may be attributable to a variety
of factors, including the increase in
global vaccination rates, relaxation of
travel restrictions and reopening of
international borders, and gradual
resumption of the Department’s visa
operations at overseas posts. When the
initial projected demand for 2021–2024
was calculated, it was uncertain
whether effective COVID–19 vaccines
would be globally available and what
impact vaccination would have on
demand for NIVs. The relatively quick
proliferation of COVID–19 vaccines
worldwide and the corresponding
reductions in the risk of serious illness
and death due to COVID–19 may have
increased individuals’ willingness to
travel and the easing of restrictions
made it increasingly possible to do so.
Regardless, because the CoSM assumed
a negative outlook for a longer period,
the original demand projections
ultimately were too low.
The revised fee recommendation for E
category NIVs reflects a decrease of $170
from the original proposal, from $205 to
$315 rather than $485. As with the other
categories of NIVs, the originally
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proposed fee increase for E NIVs
accounted for very low demand for this
service during the COVID–19 pandemic.
As discussed in the NPRM, however,
the proposed increase also reflected an
increased level of effort on the part of
the adjudicator. The most recent CoSM
demonstrated that consular staff spend
significantly more time providing this
service than was captured previously.
See 86 FR 74018, 74022. The fee that
will be implemented includes NIV
adjudication efforts that were not
previously captured in the current fee
(as discussed in the NRPM), and
accounts for the improved outlook for E
visa demand.
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Activity-Based Costing Methodology
and Calculations
The Department received two
comments related to its Activity-Based
Costing (ABC) methodology and
calculations. One commenter pointed
out the ‘‘vast majority of the cost of
processing visa applications is directly
proportional to the number of
applications’’ and that CA should
consider fixed costs of services to be
minimal in unit cost calculations. The
cost of processing visa applications is
not directly proportional to the number
of applications. A significant portion of
costs are fixed, including costs for rent
and utilities as well as bureau,
directorate, and post management. As
discussed above, these costs have
increased steadily due primarily to
inflation since the last adjustments to
these fees. Although the considerable
fluctuations in demand due to the
COVID–19 pandemic had a greater
impact on the proposed fee increases,
the rise in actual costs had an impact on
the fees as well.
One commenter mentioned that the
Department’s ABC model should
consider visa validity when calculating
the fees for services. The Department
does not set NIV application processing
fees based on the number of years a visa
is valid, because the costs associated
with visa processing do not vary
significantly whether the length of
validity is one year or ten years, or
whether a visa is for a single entry or
multiple entries.
Same Level of Service (Backlog)
The Department received four
comments stating that the commenter
would gladly pay an increased fee for
faster service (i.e., decreased wait
times), but did not support fee increases
to obtain the same level of service
currently provided. The Department
understands the concerns regarding visa
processing times. The COVID–19
pandemic resulted in profound
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reductions in the Department’s visa
processing capacity, and many
embassies and consulates were able to
provide only limited visa services. As
worldwide restrictions due to the
COVID–19 pandemic ease, the
Department is focused on reducing wait
times for all consular services at our
embassies and consulates overseas
while also protecting the health and
safety of our staff and applicants when
they come to embassy or consular
premises. Although local conditions and
restrictions at individual consular posts
may continue to fluctuate, embassies
and consulates have broad discretion to
determine how to prioritize visa
appointments among the ranges of visa
classes as safely as possible, subject to
local conditions and restrictions. The
Department sets MRV fees at the cost of
providing the service, see 8 U.S.C.
1713(b), and these fees are used to cover
the costs of the service, including the
materials, office space, equipment, etc.
needed to process and produce NIVs.
Conclusion
Domestic Renewals (Visa Reissuance in
the U.S. for Certain Visa Holders)
The Department received 75
comments suggesting and requesting
that the Department resume domestic
visa renewals for individuals who were
previously approved to receive certain
visa classes (e.g., H–1B, H–4, Green
Cards) and previously provided
biometrics. These commenters assert
that such renewals would eliminate the
requirement for these individuals to
travel to their home country to renew
their visas, where they may need to
remain for uncertain periods of time
before they can obtain interview
appointments at the embassy or
consulate.
The State Department provided
domestic renewals until the 2002
Enhanced Border Security and Visa
Entry Reform Act required that U.S.
visas issued after October 26, 2004,
include biometric identifiers. This, in
turn, required visa holders to renew
their visas outside the United States,
because domestic fingerprint collection
was not feasible at the time. The
possibility of relying on previously
collected fingerprints would overcome
one obstacle to resuming domestic
renewal. As part of the Department’s
ongoing commitment to exploring
options to make visa processing more
efficient and accessible for all
applicants, the Department is assessing
numerous logistical challenges that
need to be addressed in implementing
such an initiative. The Department
continues to explore options to make
visa processing more efficient and
accessible for all applicants.
The Department published this
rulemaking as a proposed rule and
provided 60 days for public comment.
This final rule will be effective 60 days
after publication, in accordance with 5
U.S.C. 801(a)(3).
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The Department will adjust
application processing fees for NIVs and
adult BCC fees in light of the Cost of
Service Model’s findings that the U.S.
Government is not fully recovering the
costs of processing applications for
several categories of NIVs and the adult
BCC. The Department is postponing the
fee increase for the J-Waiver fee, which
will remain at $120. In accordance with
its statutory authorities and consistent
with OMB guidance, the Department
sets user fees at a level sufficient to
recover the cost of providing services
that provide special benefits to an
identifiable recipient beyond those that
accrue to the general public. See 31
U.S.C. 9701; OMB Circular A–25, sec.
6(a)(1), (a)(2)(a); see also 8 U.S.C.
1713(b). For this reason, the Department
will adjust the Schedule of Fees.
Regulatory Findings
Administrative Procedure Act
Regulatory Flexibility Act
The Department has reviewed this
rule and, by approving it, certifies that
it will not have a significant economic
impact on a substantial number of small
entities as defined in 5 U.S.C. 601(6).
This rule adjusts the application
processing fees for H, L, O, P, Q and R
category visas, which will account for
approximately eleven percent of the
total nonimmigrant visa workload
expected in FY2023. Although the
issuance of some of these visas is
contingent upon approval by DHS of a
petition filed by a United States
company with DHS, and these
companies pay a fee to DHS to cover the
processing of the petition, the visa itself
is sought and paid for by an individual
foreign national overseas who seeks to
come to the United States or, in some
cases, an employer applying on their
behalf. The amount of the petition fees
that are paid by small entities to DHS is
not impacted by the amount of the visa
fees paid by individuals to the
Department of State. While small
entities may cover or reimburse
employees for application processing
fees, the exact number of such entities
that do so is unknown. Whether or not
small entities choose to reimburse the
applicant for their employment-based
NIV fees, the $15 increase is not likely
to have a significant economic impact.
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Unfunded Mandates Act of 1995
This rule will not result in the
expenditure by state, local, and tribal
governments, in the aggregate, or by the
private sector, of $100 million or more
in any year, and it will not significantly
or uniquely affect small governments.
Therefore, no actions were deemed
necessary under the provisions of the
Unfunded Mandates Reform Act of
1995, 2 U.S.C. 1501–1504.
Congressional Review Act
This rule is a major rule as defined by
5 U.S.C. 804(2).
Proposed
fee
Item No.
sets NIV application fees commensurate
with the costs of providing these
services in accordance with 8 U.S.C.
1713(b) and OMB Circular A–25. The
increase in costs therefore justify these
adjustments through the rulemaking
process.
Executive Orders 12866 and 13563
The Department has reviewed this
rule to ensure its consistency with the
regulatory philosophy and principles set
forth in E.O. 12866 and E.O. 13563.
OMB has determined that this rule is
economically significant under
Executive Order 12866.
b. Summary of Changes From the
Current Rule
a. Need for the Regulatory Action
This final rule is necessary in light of
the CoSM’s findings that costs
associated with NIV application
processing have increased since the last
update to these fees. The Department
Current
fee
Change in
fee
The following table summarizes the
impact of this final rule:
Projected
annual
number of
applications 1
Percentage
increase
Estimated
change in
annual fees
collected 2
Change in
state retained
fees
Change in
remittance
to treasury
SCHEDULE OF FEES FOR CONSULAR SERVICES
*
*
*
*
*
*
*
*
*
*
NONIMMIGRANT VISA SERVICES
*
21. Nonimmigrant Visa Application
and Border Crossing Card Processing Fees (per person).
(a)
Non-petition-based
nonimmigrant visa (except E category) .......................................
(b) H, L, O, P, Q, and R category
nonimmigrant visa ...................
(c ) E category nonimmigrant
visa ..........................................
(e) Border Crossing Card—age
15 and over (10 year validity)
*
*
*
$185
$160
$25
16
8,574,624
$214,365,600
$214,365,600
$0
205
190
15
8
1,141,549
17,123,235
17,123,235
0
315
205
110
54
69,326
7,625,860
7,625,860
0
185
160
25
16
1,400,236
35,005,900
35,005,900
0
IMMIGRANT AND SPECIAL VISA SERVICES
*
35. Special Visa Services
(b) Waiver of two-year residency
requirement ..............................
Total .....................................
*
*
*
*
*
*
120
120
0
0
N/A
N/A
N/A
0
....................
....................
....................
........................
........................
$274,120,595
$274,120,595
0
1 Application
lotter on DSK11XQN23PROD with RULES1
volume based on FY 2023 projected workload. FY 2023 is the year likely year of implementation.
2 Change in fee collection is based on FY2023 projected workload × change to fee.
As explained above, the results of the
most recent CoSM indicate that the
costs of providing nonimmigrant visa
services have increased and therefore
the current fees are not set at a level
sufficient to permit the Department to
fully recover the costs of providing
these services. The Department relies
exclusively on retained revenue from
consular fee collections to fund ongoing
consular operations. The NIV fees
proposed by the Department are set to
recover costs necessary to support NIV
operations, in accordance with 8 U.S.C.
1713(b) and OMB Circular A–25. If any
of these fees are set below costs, the
Department’s Bureau of Consular Affairs
would be operating at a deficit. Such a
situation could impact the Department’s
ability to provide consular services to
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16:02 Mar 27, 2023
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those who seek to travel to the United
States for tourism, education, or workrelated reasons, by limiting access to
resources needed to adjudicate and
produce visas. That consequence, in
turn, could have a negative effect on
those aspects of the U.S. economy that
depends on these visitors and workers.
c. Time Horizon of the Analysis
The Department’s CoSM is updated
annually, and the Department aims to
update the Schedule of Fees biennially
unless a significant change in costs
warrants an immediate recommendation
to amend the Schedule. If the results of
the CoSM indicate a change in the cost
(increase/decrease) of providing a
service, then adjustments to the relevant
fees will be made to ensure full cost
PO 00000
Frm 00023
Fmt 4700
Sfmt 4700
recovery. Any future changes to the fees,
however, will not impact NIV holders
during the period of their visa’s validity
(generally 5–10 years).
d. Regulatory Alternatives
Due to the requirements of 8 U.S.C.
1713(b), there are no alternatives to
raising MRV fees. However, as
discussed in the preamble, the
Department is finalizing lower increases
than those proposed in the NPRM due
to the rebound in demand for NIVs. As
in the NPRM, the Department utilized
10-year average for demand to account
for pandemic-related volatility and the
fact that demand for NIVs is still in the
process of recovering. The fees included
in this rule are set at the cost of
providing the relevant nonimmigrant
E:\FR\FM\28MRR1.SGM
28MRR1
18248
Federal Register / Vol. 88, No. 59 / Tuesday, March 28, 2023 / Rules and Regulations
visa services and are used to cover the
costs of those services, including the
materials, offices, equipment, etc.
needed to process and produce NIVs.
Therefore, the Department has no
alternative to this rulemaking; if the
Department does not recover costs for
these NIV services, the Department will
be operating at a deficit and its consular
operations could be impeded.
e. Costs & Benefits of the Rule
The NPRM includes a section titled,
‘‘Economic Impact’’ that demonstrated
that the proposed fee increases resulted
in minimal increases in the totality of
overall costs to both travelers and those
seeking work visas. The economic
impact of these fee increases is also
discussed in the sections of this final
rule responding to public comments.
For the reasons discussed, the
Department does not believe that the
increased NIV application processing
costs will deter non-U.S. citizens from
applying for visas, because these fee
increases do not significantly impact the
costs of an applicant’s travel to the
United States.
Although economic impact on
individual applicants is minimal, these
fee increases will generate revenue that
will be used to cover the costs of
providing consular services. This
revenue will help guarantee the
continued functioning of the
Department’s consular operations,
which will provide a direct benefit to
U.S. citizens. The fees set through this
rulemaking will not change unless and
until the results of a future CoSM
indicate that they need to be adjusted.
As noted above, the Department does
not anticipate any change in demand for
visas services because of this
rulemaking. The cost of an NIV remains
minor in comparison with other costs
associated with travel, education, or
hiring a worker from abroad, as detailed
in the NPRM.
requirements of E.O. 13175 do not apply
to this rulemaking.
Executive Order 12372 and 13132
Accordingly, for the reasons stated in
the preamble, 22 CFR part 22 is
amended as follows:
This regulation will not have
substantial direct effects on the states,
on the relationship between the national
government and the states, or on the
distribution of power and
responsibilities among the various
levels of government. Therefore, in
accordance with section 6 of E.O. 13132,
it is determined that this rule does not
have sufficient federalism implications
to require consultations or warrant the
preparation of a federalism summary
impact statement. The regulations
implementing E.O. 12372 regarding
intergovernmental consultation on
Federal programs and activities do not
apply to this regulation.
Executive Order 13175
Paperwork Reduction Act
This rule does not impose any new
reporting or record-keeping
requirements subject to the Paperwork
Reduction Act.
List of Subjects in 22 CFR Part 22
Consular services, Fees.
PART 22—SCHEDULE OF FEES FOR
CONSULAR SERVICES—
DEPARTMENT OF STATE AND
FOREIGN SERVICE
1. The authority citation for part 22
continues to read as follows:
■
Authority: 8 U.S.C. 1101 note, 1153 note,
1157 note, 1183a note, 1184(c)(12), 1201(c),
1351, 1351 note, 1713, 1714, 1714 note; 10
U.S.C. 2602(c); 22 U.S.C. 214, 214 note,
1475e, 2504(h), 2651a, 4206, 4215, 4219,
6551; 31 U.S.C. 9701; E.O. 10718, 22 FR
4632, 3 CFR, 1954–1958 Comp., p. 382; E.O.
11295, 31 FR 10603, 3 CFR, 1966–1970
Comp., p. 570.
2. In § 22.1, amend the table by
revising entries 21(a), (b), (c), and (e)
under the heading ‘‘Nonimmigrant Visa
Services’’ to read as follows:
■
The Department has determined that
this rulemaking will not have tribal
implications, will not impose
substantial direct compliance costs on
Indian tribal governments, and will not
preempt tribal law. Accordingly, the
§ 22.1
*
Schedule of fees.
*
*
*
*
SCHEDULE OF FEES FOR CONSULAR SERVICES
Item No.
*
*
*
Fee
*
*
*
*
Nonimmigrant Visa Services
*
*
*
*
*
*
21. Nonimmigrant Visa Application and Border Crossing Card Processing Fees (per person)
(a) Non-petition-based nonimmigrant visa (except E category) ...............................................................................................
(b) H, L, O, P, Q and R category nonimmigrant visa ..............................................................................................................
(c) E category nonimmigrant visa ............................................................................................................................................
*
*
*
*
*
*
*
(e) Border crossing card—age 15 and over (10 year ..............................................................................................................
validity) ......................................................................................................................................................................................
*
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*
*
*
*
*
*
Rena Bitter,
Assistant Secretary, Bureau of Consular
Affairs, Department of State.
[FR Doc. 2023–06290 Filed 3–27–23; 8:45 am]
BILLING CODE 4710–06–P
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E:\FR\FM\28MRR1.SGM
28MRR1
$185
205
315
185
*
Agencies
[Federal Register Volume 88, Number 59 (Tuesday, March 28, 2023)]
[Rules and Regulations]
[Pages 18243-18248]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-06290]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF STATE
22 CFR Part 22
[Public Notice: 11954]
RIN 1400-AF33
Schedule of Fees for Consular Services--Nonimmigrant and Special
Visa Fees
AGENCY: Department of State.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule adopts as final adjustments to the Schedule of Fees
for Consular Services (Schedule of Fees) for several nonimmigrant visa
(NIV) application processing fees and the Border Crossing Card (BCC)
for Mexican citizens age 15 and over. These adjustments are based on
the findings of the most recently approved update to the Cost of
Service Model (CoSM) and incorporate revised projections for
nonimmigrant visa demand. This rule also addresses public comments
received by the Department on the originally proposed fee
recommendations found in the notice of proposed rulemaking (NPRM).
DATES: This final rule is effective on May 30, 2023.
FOR FURTHER INFORMATION CONTACT: Johanna Cruz, Management Analyst,
Office of the Comptroller, Bureau of Consular Affairs, Department of
State; phone: 202-485-8915; email: [email protected].
SUPPLEMENTARY INFORMATION:
Background
This rule makes changes to the Schedule of Fees, found at 22 CFR
22.1. The Department generally sets and collects fees for consular
services based on the concept of full cost recovery to the U.S.
Government. The Department's CoSM uses an Activity-Based Costing (ABC)
methodology to calculate annually the direct and indirect costs to the
U.S. Government associated with each consular good and service the
Department provides. The CoSM provides a comprehensive and detailed
look at all consular services as well as all services that the
Department performs for other agencies in connection with its consular
operations. Fees are based on these cost estimates and the Department
aims to update the Schedule of Fees biennially unless a significant
change in costs warrants an immediate recommendation to amend the
Schedule.
The most recently approved update to the CoSM indicated that fee
increases were needed to fully recover the costs of providing several
categories of NIV services. As a result, the Department published an
NPRM in the Federal Register on December 29, 2021 (86 FR 74018), for a
60-day public comment period that ended on February 28, 2022. The NPRM
proposed the following increases:
The application processing fee for non-petition-based
nonimmigrant visas (except E category), from $160 to $245;
The application processing fee for H, L, O, P, Q, and R
category nonimmigrant visas, from $190 to $310;
The application processing fee for E category nonimmigrant
visas, from $205 to $485;
The processing fee for BCCs for Mexican citizens age 15
and over from $160 to $245: and
The fee for waiver of the two-year residency requirement
for exchange visitors, from $120 to $510.
As discussed in more depth in the NPRM, the unit costs that inform
the recommended fees for each NIV service were calculated by taking the
total cost of each service and dividing by the 10-year average number
of receipts (i.e., demand) for that service.
The fee increases that will be implemented as a result of this
final rule are smaller than those proposed in the NPRM due to revised
projections for fiscal year (FY) 2022-2024 demand. The CoSM uses
historical workloads as well as projected future workloads to calculate
demand for each service. Projecting future demand is extremely
difficult because travel for both U.S. citizens and foreign nationals
can change quickly and dramatically, as demonstrated by the COVID-19
pandemic. Therefore, the current model update applied a 10-year average
for workload volumes for NIVs, using historic workload actuals from FYs
2015-2019 and projected workload volumes for FYs 2020-2024. Using a 10-
year average helped minimize the impact of demand volatility on unit
cost calculations. Recognizing that actual demand will always vary,
this practical approach helped to stabilize fees at an amount
sufficient to recover costs with only a modest increase to the
consumer. See 86 FR 74018, 74020-21.
The fee increases proposed in the NPRM were based on a 10-year
average of 7.7 million NIVs of all classes per year. After the NPRM was
issued, however, it became apparent that demand for NIVs was rebounding
significantly faster than previously anticipated and that actual demand
would exceed the projected volume in the NPRM. The Department therefore
decided to recalculate demand before moving forward with the final rule
to ensure that it did not implement fees in
[[Page 18244]]
excess of its actual costs. In its revised analysis, the Department
included historic actual workload amounts for FY2015-2021 (rather than
FY2015-2019 as in the original recommendations) and revised projected
workload amounts for FY2022-2024. As with the original calculations,
the Department divided the total actual and projected demand by 10,
which resulted in a revised 10-year average of 9.5 million NIVs of all
classes per year.
[GRAPHIC] [TIFF OMITTED] TR28MR23.000
Because actual costs and level of effort for most categories of
NIVs have been relatively stable over this period, the significant
increase in average demand generates a corresponding decrease in the
unit costs of providing these services. As a result, the Department
will implement smaller fee increases than originally proposed for all
categories of NIVs.
The Department is also postponing the fee increase for the exchange
visitor waiver of two-year residency requirement (``J-Waiver'') fee.
Unlike machine-readable visa (MRV) fees, which must be set at the cost
of providing nonimmigrant visa application processing and border
crossing card processing services, see 8 U.S.C. 1713(b); 8 U.S.C. 1351
(note), the Department has discretion to take factors other than cost
into account when setting the J-Waiver fee. See 31 U.S.C. 9701
(permitting the Government to consider ``other relevant facts'' in
addition to costs when setting fees); Office of Management and Budget
(OMB) Circular A-25, Section 6(c)(2)(b) (recognizing exceptions to the
general policy of full cost recovery when conditions exist that justify
an exception); see also 22 U.S.C. 1475e (authorizing the Department to
retain fees related to Exchange Visitor Program services ``to such
extent as may be provided in advance in appropriations acts'' and
expend such fees for ``authorized purposes'' without specifying the
amount at which the fees much be set). Although the costs of providing
the J-Waiver service have increased as indicated in the NPRM, the
Department has assessed that currently available retained revenue from
this fee is sufficient to permit the Department to sustain the J-Waiver
service in the near term without raising the fee at this time.
Below are the adjustments to the fee recommendations in the NPRM
that the Department will implement in this final rule:
The application processing fee for non-petition based NIVs
(except E category), will be raised from $160 to $185. This represents
a 15.6 percent increase over the current fee, but is $60 or 24.5
percent below the original proposal of $245.
The application processing fee for H, L, O, P, Q, and R
category NIVs, will be raised from $190 to $205. This represents a 7.9
percent increase over the current fee, but is $105 or 33.9 percent
below the original proposal of $310.
The processing fee for the BCCs for Mexican citizens age
15 and over will be raised from $160 to $185. This represents a 15.6
percent increase over the current fee, but is $60 or 24.5 percent below
the original proposal of $245.
The fee for E category NIVs will be raised from $205 to
$315. This represents a 53.7 percent increase over the current fee, but
is $170 or 35 percent below the original proposal of $485.
The fee for the exchange visitor waiver of two-year
residency requirement will be maintained at $120, instead of the
proposed $510.
As discussed above, the Department applied the same methodology to
calculate the revised fees and the relevant authorities found in the
NPRM apply to these revised fee recommendations. This rule also
addresses public comments received by the Department on the originally
proposed fee recommendations found in the NPRM.
Analysis of Comments
In the 60-day period following publication of the NPRM, the
Department received a total of 328 comments, 94 of which were
duplicates. The comments are categorized into the following general
topics.
Education
The Department received many comments related to the proposed
increase from $160 to $245 for non-petition based nonimmigrant visas
(except E category), which include all types of student visas. Sixty-
one commenters expressed concerns about the impact of the fee increases
on international education, including the following sub-topics: 10
comments on how the COVID-19 pandemic affects international students
and institutions of higher education in the United States; 11 comments
on how the English as a Second Language (ESL) community
[[Page 18245]]
might be affected; 6 comments on the Biden Administration's policies
for attracting international students; and 15 comments on the
possibility that an increase of this kind might drive international
students to seek educational opportunities in other countries. As
discussed above, this final rule implements only a $25 increase for
non-petition-based NIV fees, from $160 to $185. The Department believes
this modification largely addresses the issues raised by the
commenters, which appeared to be driven by financial impact on visa
applicants.
Gradual Increase
The Department received 19 comments from commenters who accepted
the proposed fee increases but requested that the Department delay the
increases to sometime in the future or make them more gradual. The
Department's decision to increase the non-petition-based NIV (except E
category) fee by only $25 rather than $85 and to increase the NIV fee
for H, L, O, P, Q, and R category visas by only $15 rather than $120
for the reasons discussed above addresses the concerns raised by these
commenters.
Temporary Work Visas (Agricultural (H-2As) and Non-Agricultural (H-
2Bs))
The Department received 80 comments regarding the H-2 visa
programs. These comments were in response to the Department's original
proposal that would have increased the fee from $190 to $310, and
generally asserted that agricultural businesses cannot absorb a 63
percent increase to H-2 visa fees. The comments also asserted that with
rising prices across the board (e.g., increases in the Adverse Effect
Wage Rate (AEWR)), the fee increase would put them out of business. As
discussed in the NPRM, the impact of the proposed fee increases on the
overall cost of bringing over an H-2 worker would have been minimal. If
implemented, the proposed fee would have raised the total cost by just
over one percent, from $10,367 ($10,177 + $190) to $10,487 ($10,177 +
$310). See 86 FR 74023. This final rule implements only a $15 increase
in petition-based NIV fees, from $190 to $205. Assuming the costs of
bringing over an H-2 worker have not increased since the NPRM was
issued, the total cost is now increasing by only .15 percent (from
$10,367 to $10,382). This is significantly less than originally
proposed, which should largely address the concerns of the commenters.
Adverse Effect Wage Rate (AEWR)
One commenter requested that if the fees are increased, then the
``AEWR should be removed, frozen, or replaced with a charge that isn't
constantly increased.'' The AEWR, which is determined by the U.S.
Department of Labor's Office of Foreign Labor Certification
Administrator for the purpose of preventing the employment of H-2A
workers from adversely affecting the wages of U.S. workers similarly
employed, see 8 U.S.C. 1188(a)(1)(B), is ``[t]he annual weighted
average hourly wage for field and livestock workers (combined) in the
States or regions as published annually by the U.S. Department of
Agriculture (USDA) based on its quarterly wage survey.'' 20 CFR
655.103(c). An employer whose Application for Temporary Employment
Certification in the H-2A program has been certified by the Department
of Labor must offer, advertise in its recruitment, and pay a wage that
is at least the highest of the AEWR, a prevailing wage rate, an agreed-
upon collective bargaining wage, the Federal minimum wage, or the State
minimum wage. 20 CFR 655.120(a). The Department recognizes that an AEWR
or other minimum wage under the H-2A program may impose a financial
burden on agricultural employers; however, it is a requirement imposed
by the Immigration and Naturalization Act, as implemented by the
Department of Labor's H-2A regulations, which is outside the scope of
this rulemaking.
Tourism
The Department received one comment that specifically discussed the
impact the proposed fee increases could have on tourism demand. The
NPRM examined the costs associated with tourist visits to the United
States and the potential impact of the original proposed fee increase
on demand for tourism. Our analysis showed that even with the
originally proposed $85 increase, from $160 to $245, the impact on
tourism likely would have been minimal.
Due to the revised demand projections, the Department is now
implementing only a $25 increase to the fee for non-petition based NIVs
(except E category). Assuming the average costs of travel to the United
States ($4,834) have not increased since the publication of the NPRM,
then the adjustment to the fee will increase the total cost of a trip
from $4,994 ($4,834 + $160) (current rate) to $5,019 ($4,834 + $185),
which is less than one-half of one percent. Thus, the impact on tourism
almost certainly will be negligible.
The commenter also mentioned that by increasing the tourist visa
fee, the Department risks increased reciprocity fees imposed by other
countries, which will negatively impact Americans who wish to travel
internationally. The Department acknowledges this risk but must set MRV
fees to recover the costs of providing these services. See 8 U.S.C.
1713(b).
Evidence of Reason for Increase
The Department received six comments requesting additional evidence
to help commenters understand the reasons for the increases. As
detailed in the NPRM, while costs for non-petition-based nonimmigrant
visas (except E category) and the petition-based nonimmigrant visa
services have increased modestly but steadily since the last adjustment
to these fees in 2012, demand for these visa categories has fluctuated
more dramatically from year to year. See 86 FR 74021. Because MRV fees
must be set at the cost of providing these services, 8 U.S.C. 1713(b),
the unprecedented, significant decrease in demand due to the COVID-19
pandemic had a substantial impact on the fee increases proposed in the
NPRM. Subsequently, the Department observed a considerable, unexpected
recovery in NIV demand and made the decision to reanalyze the proposed
fees in light of this rebound.
The Department cannot be certain why NIV demand has recovered more
quickly than expected. The recovery in demand may be attributable to a
variety of factors, including the increase in global vaccination rates,
relaxation of travel restrictions and reopening of international
borders, and gradual resumption of the Department's visa operations at
overseas posts. When the initial projected demand for 2021-2024 was
calculated, it was uncertain whether effective COVID-19 vaccines would
be globally available and what impact vaccination would have on demand
for NIVs. The relatively quick proliferation of COVID-19 vaccines
worldwide and the corresponding reductions in the risk of serious
illness and death due to COVID-19 may have increased individuals'
willingness to travel and the easing of restrictions made it
increasingly possible to do so. Regardless, because the CoSM assumed a
negative outlook for a longer period, the original demand projections
ultimately were too low.
The revised fee recommendation for E category NIVs reflects a
decrease of $170 from the original proposal, from $205 to $315 rather
than $485. As with the other categories of NIVs, the originally
[[Page 18246]]
proposed fee increase for E NIVs accounted for very low demand for this
service during the COVID-19 pandemic. As discussed in the NPRM,
however, the proposed increase also reflected an increased level of
effort on the part of the adjudicator. The most recent CoSM
demonstrated that consular staff spend significantly more time
providing this service than was captured previously. See 86 FR 74018,
74022. The fee that will be implemented includes NIV adjudication
efforts that were not previously captured in the current fee (as
discussed in the NRPM), and accounts for the improved outlook for E
visa demand.
Activity-Based Costing Methodology and Calculations
The Department received two comments related to its Activity-Based
Costing (ABC) methodology and calculations. One commenter pointed out
the ``vast majority of the cost of processing visa applications is
directly proportional to the number of applications'' and that CA
should consider fixed costs of services to be minimal in unit cost
calculations. The cost of processing visa applications is not directly
proportional to the number of applications. A significant portion of
costs are fixed, including costs for rent and utilities as well as
bureau, directorate, and post management. As discussed above, these
costs have increased steadily due primarily to inflation since the last
adjustments to these fees. Although the considerable fluctuations in
demand due to the COVID-19 pandemic had a greater impact on the
proposed fee increases, the rise in actual costs had an impact on the
fees as well.
One commenter mentioned that the Department's ABC model should
consider visa validity when calculating the fees for services. The
Department does not set NIV application processing fees based on the
number of years a visa is valid, because the costs associated with visa
processing do not vary significantly whether the length of validity is
one year or ten years, or whether a visa is for a single entry or
multiple entries.
Same Level of Service (Backlog)
The Department received four comments stating that the commenter
would gladly pay an increased fee for faster service (i.e., decreased
wait times), but did not support fee increases to obtain the same level
of service currently provided. The Department understands the concerns
regarding visa processing times. The COVID-19 pandemic resulted in
profound reductions in the Department's visa processing capacity, and
many embassies and consulates were able to provide only limited visa
services. As worldwide restrictions due to the COVID-19 pandemic ease,
the Department is focused on reducing wait times for all consular
services at our embassies and consulates overseas while also protecting
the health and safety of our staff and applicants when they come to
embassy or consular premises. Although local conditions and
restrictions at individual consular posts may continue to fluctuate,
embassies and consulates have broad discretion to determine how to
prioritize visa appointments among the ranges of visa classes as safely
as possible, subject to local conditions and restrictions. The
Department sets MRV fees at the cost of providing the service, see 8
U.S.C. 1713(b), and these fees are used to cover the costs of the
service, including the materials, office space, equipment, etc. needed
to process and produce NIVs.
Domestic Renewals (Visa Reissuance in the U.S. for Certain Visa
Holders)
The Department received 75 comments suggesting and requesting that
the Department resume domestic visa renewals for individuals who were
previously approved to receive certain visa classes (e.g., H-1B, H-4,
Green Cards) and previously provided biometrics. These commenters
assert that such renewals would eliminate the requirement for these
individuals to travel to their home country to renew their visas, where
they may need to remain for uncertain periods of time before they can
obtain interview appointments at the embassy or consulate.
The State Department provided domestic renewals until the 2002
Enhanced Border Security and Visa Entry Reform Act required that U.S.
visas issued after October 26, 2004, include biometric identifiers.
This, in turn, required visa holders to renew their visas outside the
United States, because domestic fingerprint collection was not feasible
at the time. The possibility of relying on previously collected
fingerprints would overcome one obstacle to resuming domestic renewal.
As part of the Department's ongoing commitment to exploring options to
make visa processing more efficient and accessible for all applicants,
the Department is assessing numerous logistical challenges that need to
be addressed in implementing such an initiative. The Department
continues to explore options to make visa processing more efficient and
accessible for all applicants.
Conclusion
The Department will adjust application processing fees for NIVs and
adult BCC fees in light of the Cost of Service Model's findings that
the U.S. Government is not fully recovering the costs of processing
applications for several categories of NIVs and the adult BCC. The
Department is postponing the fee increase for the J-Waiver fee, which
will remain at $120. In accordance with its statutory authorities and
consistent with OMB guidance, the Department sets user fees at a level
sufficient to recover the cost of providing services that provide
special benefits to an identifiable recipient beyond those that accrue
to the general public. See 31 U.S.C. 9701; OMB Circular A-25, sec.
6(a)(1), (a)(2)(a); see also 8 U.S.C. 1713(b). For this reason, the
Department will adjust the Schedule of Fees.
Regulatory Findings
Administrative Procedure Act
The Department published this rulemaking as a proposed rule and
provided 60 days for public comment. This final rule will be effective
60 days after publication, in accordance with 5 U.S.C. 801(a)(3).
Regulatory Flexibility Act
The Department has reviewed this rule and, by approving it,
certifies that it will not have a significant economic impact on a
substantial number of small entities as defined in 5 U.S.C. 601(6).
This rule adjusts the application processing fees for H, L, O, P, Q and
R category visas, which will account for approximately eleven percent
of the total nonimmigrant visa workload expected in FY2023. Although
the issuance of some of these visas is contingent upon approval by DHS
of a petition filed by a United States company with DHS, and these
companies pay a fee to DHS to cover the processing of the petition, the
visa itself is sought and paid for by an individual foreign national
overseas who seeks to come to the United States or, in some cases, an
employer applying on their behalf. The amount of the petition fees that
are paid by small entities to DHS is not impacted by the amount of the
visa fees paid by individuals to the Department of State. While small
entities may cover or reimburse employees for application processing
fees, the exact number of such entities that do so is unknown. Whether
or not small entities choose to reimburse the applicant for their
employment-based NIV fees, the $15 increase is not likely to have a
significant economic impact.
[[Page 18247]]
Unfunded Mandates Act of 1995
This rule will not result in the expenditure by state, local, and
tribal governments, in the aggregate, or by the private sector, of $100
million or more in any year, and it will not significantly or uniquely
affect small governments. Therefore, no actions were deemed necessary
under the provisions of the Unfunded Mandates Reform Act of 1995, 2
U.S.C. 1501-1504.
Congressional Review Act
This rule is a major rule as defined by 5 U.S.C. 804(2).
Executive Orders 12866 and 13563
The Department has reviewed this rule to ensure its consistency
with the regulatory philosophy and principles set forth in E.O. 12866
and E.O. 13563. OMB has determined that this rule is economically
significant under Executive Order 12866.
a. Need for the Regulatory Action
This final rule is necessary in light of the CoSM's findings that
costs associated with NIV application processing have increased since
the last update to these fees. The Department sets NIV application fees
commensurate with the costs of providing these services in accordance
with 8 U.S.C. 1713(b) and OMB Circular A-25. The increase in costs
therefore justify these adjustments through the rulemaking process.
b. Summary of Changes From the Current Rule
The following table summarizes the impact of this final rule:
--------------------------------------------------------------------------------------------------------------------------------------------------------
Projected
annual number Estimated Change in Change in
Item No. Proposed Current fee Change in Percentage of change in state retained remittance
fee fee increase applications annual fees fees to treasury
\1\ collected \2\
--------------------------------------------------------------------------------------------------------------------------------------------------------
SCHEDULE OF FEES FOR CONSULAR SERVICES
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
--------------------------------------------------------------------------------------------------------------------------------------------------------
NONIMMIGRANT VISA SERVICES
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
21. Nonimmigrant Visa Application
and Border Crossing Card Processing
Fees (per person)..................
(a) Non-petition-based $185 $160 $25 16 8,574,624 $214,365,600 $214,365,600 $0
nonimmigrant visa (except E
category)......................
(b) H, L, O, P, Q, and R 205 190 15 8 1,141,549 17,123,235 17,123,235 0
category nonimmigrant visa.....
(c ) E category nonimmigrant 315 205 110 54 69,326 7,625,860 7,625,860 0
visa...........................
(e) Border Crossing Card--age 15 185 160 25 16 1,400,236 35,005,900 35,005,900 0
and over (10 year validity)....
--------------------------------------------------------------------------------------------------------------------------------------------------------
IMMIGRANT AND SPECIAL VISA SERVICES
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
35. Special Visa Services
(b) Waiver of two-year residency 120 120 0 0 N/A N/A N/A 0
requirement....................
-------------------------------------------------------------------------------------------------------------------
Total....................... ........... ........... ........... .............. .............. $274,120,595 $274,120,595 0
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Application volume based on FY 2023 projected workload. FY 2023 is the year likely year of implementation.
\2\ Change in fee collection is based on FY2023 projected workload x change to fee.
As explained above, the results of the most recent CoSM indicate
that the costs of providing nonimmigrant visa services have increased
and therefore the current fees are not set at a level sufficient to
permit the Department to fully recover the costs of providing these
services. The Department relies exclusively on retained revenue from
consular fee collections to fund ongoing consular operations. The NIV
fees proposed by the Department are set to recover costs necessary to
support NIV operations, in accordance with 8 U.S.C. 1713(b) and OMB
Circular A-25. If any of these fees are set below costs, the
Department's Bureau of Consular Affairs would be operating at a
deficit. Such a situation could impact the Department's ability to
provide consular services to those who seek to travel to the United
States for tourism, education, or work-related reasons, by limiting
access to resources needed to adjudicate and produce visas. That
consequence, in turn, could have a negative effect on those aspects of
the U.S. economy that depends on these visitors and workers.
c. Time Horizon of the Analysis
The Department's CoSM is updated annually, and the Department aims
to update the Schedule of Fees biennially unless a significant change
in costs warrants an immediate recommendation to amend the Schedule. If
the results of the CoSM indicate a change in the cost (increase/
decrease) of providing a service, then adjustments to the relevant fees
will be made to ensure full cost recovery. Any future changes to the
fees, however, will not impact NIV holders during the period of their
visa's validity (generally 5-10 years).
d. Regulatory Alternatives
Due to the requirements of 8 U.S.C. 1713(b), there are no
alternatives to raising MRV fees. However, as discussed in the
preamble, the Department is finalizing lower increases than those
proposed in the NPRM due to the rebound in demand for NIVs. As in the
NPRM, the Department utilized 10-year average for demand to account for
pandemic-related volatility and the fact that demand for NIVs is still
in the process of recovering. The fees included in this rule are set at
the cost of providing the relevant nonimmigrant
[[Page 18248]]
visa services and are used to cover the costs of those services,
including the materials, offices, equipment, etc. needed to process and
produce NIVs.
Therefore, the Department has no alternative to this rulemaking; if
the Department does not recover costs for these NIV services, the
Department will be operating at a deficit and its consular operations
could be impeded.
e. Costs & Benefits of the Rule
The NPRM includes a section titled, ``Economic Impact'' that
demonstrated that the proposed fee increases resulted in minimal
increases in the totality of overall costs to both travelers and those
seeking work visas. The economic impact of these fee increases is also
discussed in the sections of this final rule responding to public
comments. For the reasons discussed, the Department does not believe
that the increased NIV application processing costs will deter non-U.S.
citizens from applying for visas, because these fee increases do not
significantly impact the costs of an applicant's travel to the United
States.
Although economic impact on individual applicants is minimal, these
fee increases will generate revenue that will be used to cover the
costs of providing consular services. This revenue will help guarantee
the continued functioning of the Department's consular operations,
which will provide a direct benefit to U.S. citizens. The fees set
through this rulemaking will not change unless and until the results of
a future CoSM indicate that they need to be adjusted. As noted above,
the Department does not anticipate any change in demand for visas
services because of this rulemaking. The cost of an NIV remains minor
in comparison with other costs associated with travel, education, or
hiring a worker from abroad, as detailed in the NPRM.
Executive Order 12372 and 13132
This regulation will not have substantial direct effects on the
states, on the relationship between the national government and the
states, or on the distribution of power and responsibilities among the
various levels of government. Therefore, in accordance with section 6
of E.O. 13132, it is determined that this rule does not have sufficient
federalism implications to require consultations or warrant the
preparation of a federalism summary impact statement. The regulations
implementing E.O. 12372 regarding intergovernmental consultation on
Federal programs and activities do not apply to this regulation.
Executive Order 13175
The Department has determined that this rulemaking will not have
tribal implications, will not impose substantial direct compliance
costs on Indian tribal governments, and will not preempt tribal law.
Accordingly, the requirements of E.O. 13175 do not apply to this
rulemaking.
Paperwork Reduction Act
This rule does not impose any new reporting or record-keeping
requirements subject to the Paperwork Reduction Act.
List of Subjects in 22 CFR Part 22
Consular services, Fees.
Accordingly, for the reasons stated in the preamble, 22 CFR part 22
is amended as follows:
PART 22--SCHEDULE OF FEES FOR CONSULAR SERVICES--DEPARTMENT OF
STATE AND FOREIGN SERVICE
0
1. The authority citation for part 22 continues to read as follows:
Authority: 8 U.S.C. 1101 note, 1153 note, 1157 note, 1183a note,
1184(c)(12), 1201(c), 1351, 1351 note, 1713, 1714, 1714 note; 10
U.S.C. 2602(c); 22 U.S.C. 214, 214 note, 1475e, 2504(h), 2651a,
4206, 4215, 4219, 6551; 31 U.S.C. 9701; E.O. 10718, 22 FR 4632, 3
CFR, 1954-1958 Comp., p. 382; E.O. 11295, 31 FR 10603, 3 CFR, 1966-
1970 Comp., p. 570.
0
2. In Sec. 22.1, amend the table by revising entries 21(a), (b), (c),
and (e) under the heading ``Nonimmigrant Visa Services'' to read as
follows:
Sec. 22.1 Schedule of fees.
* * * * *
Schedule of Fees for Consular Services
------------------------------------------------------------------------
Item No. Fee
------------------------------------------------------------------------
* * * * * * *
------------------------------------------------------------------------
Nonimmigrant Visa Services
------------------------------------------------------------------------
* * * * * * *
21. Nonimmigrant Visa Application and Border Crossing
Card Processing Fees (per person)
(a) Non-petition-based nonimmigrant visa (except E $185
category)........................................
(b) H, L, O, P, Q and R category nonimmigrant visa 205
(c) E category nonimmigrant visa.................. 315
* * * * * * *
(e) Border crossing card--age 15 and over (10 year 185
validity).........................................
* * * * * * *
------------------------------------------------------------------------
Rena Bitter,
Assistant Secretary, Bureau of Consular Affairs, Department of State.
[FR Doc. 2023-06290 Filed 3-27-23; 8:45 am]
BILLING CODE 4710-06-P