Animal Drug User Fee Rates and Payment Procedures for Fiscal Year 2024, 72763-72767 [2023-23373]
Download as PDF
72763
Federal Register / Vol. 88, No. 203 / Monday, October 23, 2023 / Notices
four years. CDC requests information
from states regarding children’s cavity
risk, one-year sealant retention rate,
sealant program services delivered, and
school sealant program cost and
quantity of resources used at each
school event. This data will allow CDC
and states to monitor the performance
and efficiency of their school sealant
programs, which will improve and
extend program delivery to more
children.
CDC requests OMB approval for a
Reinstatement of a previously approved
data collection. The total estimated
annualized burden hours requested are
1,388. There are no costs to respondents
other than their time.
ESTIMATED ANNUALIZED BURDEN HOURS
Form name
State Sealant Administrator ..................................
SSP Local Administrator .......................................
SSP Local Administrator .......................................
SSP Local Administrator .......................................
Add Program and Add User .................................
Add User and Add School ...................................
Program Options and Cost Options .....................
Add Event .............................................................
Jeffrey M. Zirger,
Lead, Information Collection Review Office,
Office of Public Health Ethics and
Regulations, Office of Science, Centers for
Disease Control and Prevention.
[FR Doc. 2023–23339 Filed 10–20–23; 8:45 am]
BILLING CODE 4163–18–P
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Food and Drug Administration
[Docket No. FDA–2023–N–4488]
Animal Drug User Fee Rates and
Payment Procedures for Fiscal Year
2024
AGENCY:
Food and Drug Administration,
HHS.
ACTION:
Notice.
The Food and Drug
Administration (FDA or Agency) is
announcing the fee rates and payment
procedures for fiscal year (FY) 2024
animal drug user fees. The Federal
Food, Drug, and Cosmetic Act (FD&C
Act), as amended by the Animal Drug
User Fee Amendments of 2023 (ADUFA
V), authorizes FDA to collect user fees
for certain animal drug applications and
supplemental animal drug applications,
for certain animal drug products, for
certain establishments where such
products are made, and for certain
sponsors of such animal drug
applications and/or investigational
animal drug submissions. This notice
establishes the fee rates for FY 2024.
DATES: The application fee rates are
effective for applications submitted on
or after October 1, 2023, and will remain
in effect through September 30, 2024.
FOR FURTHER INFORMATION CONTACT: Visit
FDA’s website at https://www.fda.gov/
ForIndustry/UserFees/AnimalDrug
UserFeeActADUFA/default.htm or
contact Lisa Kable, Center for Veterinary
SUMMARY:
lotter on DSK11XQN23PROD with NOTICES1
Number of
respondents
Type of respondents
VerDate Sep<11>2014
17:24 Oct 20, 2023
Jkt 262001
Medicine (HFV–10), Food and Drug
Administration, 7500 Standish Pl.,
Rockville, MD 20855, 240–402–6888,
Lisa.Kable@fda.hhs.gov. For general
questions, you may also email FDA’s
Center for Veterinary Medicine (CVM)
at: cvmadufa@fda.hhs.gov.
SUPPLEMENTARY INFORMATION:
I. Background
Section 740 of the FD&C Act (21
U.S.C. 379j–12), as amended by ADUFA
V, establishes four different types of
user fees: (1) fees for certain types of
animal drug applications and
supplemental animal drug applications;
(2) annual fees for certain animal drug
products; (3) annual fees for certain
establishments where such products are
made; and (4) annual fees for certain
sponsors of animal drug applications
and/or investigational animal drug
submissions (21 U.S.C. 379j–12(a)).
When certain conditions are met, FDA
will waive or reduce fees (21 U.S.C.
379j–12(d)).
For FYs 2024 through 2028, the FD&C
Act establishes the base revenue amount
for each fiscal year (21 U.S.C. 379j–
12(b)(1)). Beginning in FY 2025, the
base revenue amount is subject to
adjustment for inflation and workload
(21 U.S.C. 379j–12(c)(2) and (3)). Also
beginning in FY 2025, ADUFA V
provides for an operating reserve
adjustment to allow FDA to adjust the
fee revenue amount to maintain a
specified operating reserve of carryover
user fees (21 U.S.C. 379j–12(c)(4)). FDA
may increase the fee revenue amount to
maintain a 12-week minimum. If FDA
has an excess operating reserve, FDA
will decrease the fee revenue amount so
that FDA has 22 weeks of operating
reserve for FY 2025, 20 weeks for FY
2026, 18 weeks for FY 2027, and 16
weeks for FY 2028.
Fees for applications, establishments,
products, and sponsors are to be
established each year by FDA so that the
PO 00000
Frm 00035
Fmt 4703
Sfmt 4703
18
162
162
162
Number of
responses
per
respondent
1
1
1
20
Average
burden per
response
(in hours)
45/60
43/60
46/60
21/60
percentages of the total revenue that are
derived from each type of user fee will
be as follows: (1) revenue from
application fees shall be 20 percent of
total fee revenue; (2) revenue from
product fees shall be 27 percent of total
fee revenue; (3) revenue from
establishment fees shall be 26 percent of
total fee revenue; and (4) revenue from
sponsor fees shall be 27 percent of total
fee revenue (21 U.S.C.
379jndash;12(b)(2)). The fee revenue
amount for FY 2024 is $33,500,000 (21
U.S.C. 379j–12(b)(1)). The target revenue
amounts for each fee category for FY
2024 are as follows: for application fees,
the target revenue amount is $6,700,000;
for product fees, the target revenue
amount is $9,045,000; for establishment
fees, the target revenue amount is
$8,710,000; and for sponsor fees, the
target revenue amount is $9,045,000.
For FY 2024, the animal drug user fee
rates are: $683,673 for an animal drug
application; $341,837 for a
supplemental animal drug application
for which safety or effectiveness data are
required, for an animal drug application
subject to the criteria set forth in section
512(d)(4) of the FD&C Act (21 U.S.C.
360b(d)(4)), and for an application for
conditional approval under section 571
of the FD&C Act (21 U.S.C. 360ccc) for
which an animal drug application
submitted under section 512(b)(1) of the
FD&C Act has been previously approved
under section 512(d)(1) of the FD&C Act
for another intended use; $12,459 for
the annual product fee; $174,200 for the
annual establishment fee; and $153,305
for the annual sponsor fee. FDA will
issue invoices for FY 2024 product,
establishment, and sponsor fees by
December 31, 2023, and payment will
be due by January 31, 2024. The
application fee rates are effective for
applications submitted on or after
October 1, 2023, and will remain in
effect through September 30, 2024.
E:\FR\FM\23OCN1.SGM
23OCN1
72764
Federal Register / Vol. 88, No. 203 / Monday, October 23, 2023 / Notices
Applications will not be accepted for
review until FDA has received full
payment of application fees and any
other animal drug user fees owed under
the ADUFA program.
II. Revenue Amount for FY 2024
A. Statutory Fee Revenue Amounts
ADUFA V, Title III of Public Law
118–15, specifies that the aggregate base
fee revenue amount for FY 2024 for all
animal drug user fee categories is
$33,500,000 (21 U.S.C. 379j–12(b)(1)).
B. Inflation Adjustment to Fee Revenue
Amount
ADUFA V specifies that the annual
fee revenue amount is to be adjusted for
inflation increases for FY 2025 and
subsequent fiscal years (21 U.S.C. 379j–
12(c)(2)). Since ADUFA V does not
adjust for inflation until FY 2025, there
is no inflation adjustment for FY 2024.
C. Workload Adjustment to Inflation
Adjusted Fee Revenue Amount
The fee revenue amounts established
in ADUFA V for FY 2025 and
subsequent fiscal years are also subject
to adjustment to account for changes in
FDA’s review workload (21 U.S.C. 379j–
12(c)(3)). Since ADUFA V does not
adjust for workload until FY 2025, there
is no workload adjustment for FY 2024.
D. Operating Reserve Adjustment
For fiscal year 2025 and each
subsequent fiscal year, after the fee
revenue amount established under
section 740(b) of the FD&C Act is
adjusted for inflation and workload, the
Secretary shall increase the fee revenue
amount for such fiscal year, if necessary
to provide an operating reserve of not
less than 12 weeks. If the operating
reserve is in excess of the number of
weeks specified in section 740(c)(4)(C)
of the FD&C Act for that fiscal year, the
Secretary shall decrease the fee revenue
amount to provide not more than the
number of weeks specified for that fiscal
year. Since ADUFA V does not adjust
for the operating reserve until FY 2025,
there is no adjustment for FY 2024.
lotter on DSK11XQN23PROD with NOTICES1
E. FY 2024 Fee Revenue Amounts
The fee revenue amount for FY 2024
is $33,500,000. ADUFA V specifies that
this revenue amount is to be divided as
follows: 20 percent, or a total of
$6,700,000, is to come from application
fees; 27 percent, or a total of $9,045,000,
is to come from product fees; 26
percent, or a total of $8,710,000 is to
come from establishment fees; and 27
percent, or a total of $9,045,000 is to
come from sponsor fees (21 U.S.C. 379j–
12(b)).
VerDate Sep<11>2014
17:24 Oct 20, 2023
Jkt 262001
III. Application Fee Calculations for FY
2024
A. Application Fee Revenues and
Numbers of Fee-Paying Applications
Each person that submits an animal
drug application or a supplemental
animal drug application shall be subject
to an application fee, with limited
exceptions (see 21 U.S.C. 379j–12(a)(1)).
The term ‘‘animal drug application’’
means an application for approval of
any new animal drug submitted under
section 512(b)(1) of the FD&C Act or an
application for conditional approval of
a new animal drug submitted under
section 571 of the FD&C Act (see section
739(1) of the FD&C Act (21 U.S.C. 379j–
11(1)). A ‘‘supplemental animal drug
application’’ is defined as a request to
FDA to approve a change in an
approved animal drug application, or a
request to FDA to approve a change to
an application approved under section
512(c)(2) of the FD&C Act for which
data with respect to safety or
effectiveness are required. Such
applications are subject to ADUFA fees,
except those fees may be waived if the
application is intended solely to provide
for a minor use or minor species
(MUMS) indication (see 21 U.S.C. 379j–
12(d)(1)(D)).
Furthermore, ADUFA V continues to
provide an exception from application
fees for animal drug applications
submitted under section 512(b)(1) of the
FD&C Act by a sponsor who previously
applied for conditional approval under
section 571 of the FD&C Act for the
same product and paid an application
fee at the time they applied for
conditional approval. The purpose of
this exception is to prevent sponsors of
conditionally approved products from
having to pay a second application fee
at the time they apply for full approval
of their products under section 512(b)(1)
of the FD&C Act, provided the sponsor’s
application for full approval is filed
consistent with the timeframes
established in section 571(h) of the
FD&C Act (see 21 U.S.C. 379j–
12(a)(1)(C)(ii)).
The application fees are to be set so
that they will generate $6,700,000 in fee
revenue for FY 2024. The fee for a
supplemental animal drug application
for which safety or effectiveness data are
required, for an animal drug application
subject to criteria set forth in section
512(d)(4) of the FD&C Act, and for an
application for conditional approval
under section 571 of the FD&C Act of a
new animal drug for which an animal
drug application submitted under
section 512(b)(1) of the FD&C Act has
been previously approved under section
512(d)(1) for another intended use is to
PO 00000
Frm 00036
Fmt 4703
Sfmt 4703
be set at 50 percent of the animal drug
application fee (21 U.S.C. 379j–
12(a)(1)(A)(ii)).
To set animal drug application fees
and supplemental animal drug
application fees to realize $6,700,000,
FDA must first make some assumptions
about the number of fee-paying
applications and supplemental
applications the Agency will receive in
FY 2024.
The Agency knows the number of
applications that have been submitted
in previous fiscal years. That number
fluctuates annually. In estimating the
fee revenue to be generated by animal
drug application fees in FY 2024, FDA
is assuming that the number of
applications for which fees will be paid
in FY 2024 will equal the average
number of applications over the 5 most
recently completed fiscal years of the
ADUFA program (FY 2018 to FY 2022).
Over the 5 most recently completed
fiscal years, the average number of
animal drug applications subject to the
full fee was 5.20. Over this same period,
the average number of supplemental
applications for which safety or
effectiveness data are required,
applications subject to the criteria set
forth in section 512(d)(4) of the FD&C
Act, and applications for conditional
approval of a new animal drug for
which a section 512(b)(1) application
has been previously approved for
another intended use subject to half of
the full fee was 9.20.
Based on the previous assumptions,
FDA is estimating that it will receive a
total of 9.80 fee-paying animal drug
applications in FY 2024 (5.20
applications paying a full fee and 9.20
applications paying a half fee).
B. Application Fee Rates for FY 2024
FDA must set the fee rates for FY 2024
so that the estimated 9.80 applications
that pay the fee will generate a total of
$6,700,000. To generate this amount, the
fee for an animal drug application,
rounded to the nearest dollar, will have
to be $683,673, and the fee for a
supplemental animal drug application
for which safety or effectiveness data are
required, for applications subject to the
criteria set forth in section 512(d)(4) of
the FD&C Act, and for an application for
conditional approval under section 571
of the FD&C Act of a new animal drug
for which an animal drug application
submitted under section 512(b)(1) of the
FD&C Act has been previously approved
under section 512(d)(1) for another
intended use will have to be $341,837.
E:\FR\FM\23OCN1.SGM
23OCN1
Federal Register / Vol. 88, No. 203 / Monday, October 23, 2023 / Notices
lotter on DSK11XQN23PROD with NOTICES1
IV. Animal Drug Product Fee
Calculations for FY 2024
A. Product Fee Revenues and Numbers
of Fee-Paying Products
The animal drug product fee must be
paid annually by the person named as
the applicant in a new animal drug
application or supplemental new animal
drug application for an animal drug
product submitted for listing under
section 510 of the FD&C Act (21 U.S.C.
360) and who had an animal drug
application or supplemental animal
drug application pending at FDA after
September 1, 2003 (21 U.S.C. 379j–
12(a)(2)). The term ‘‘animal drug
product’’ means each specific strength
or potency of a particular active
ingredient or ingredients in final dosage
form marketed by a particular
manufacturer or distributor, which is
uniquely identified by the labeler code
and product code portions of the
National Drug Code, and for which an
animal drug application or a
supplemental animal drug application
has been approved (21 U.S.C. 379j–
11(3)). The product fees are to be set so
that they will generate $9,045,000 in fee
revenue for FY 2024.
To set animal drug product fees to
realize $9,045,000, FDA must make
some assumptions about the number of
products for which these fees will be
paid in FY 2024. FDA developed data
on all animal drug products that have
been submitted for listing under section
510 of the FD&C Act and matched this
to the list of all persons who had an
animal drug application or
supplemental animal drug application
pending after September 1, 2003. As of
May 2023, FDA estimates that there are
733 products submitted for listing by
persons who had an animal drug
application or supplemental animal
drug application pending after
September 1, 2003. Based on this, FDA
estimates that a total of 733 products
will be subject to this fee in FY 2024.
In estimating the fee revenue to be
generated by animal drug product fees
in FY 2024, FDA is assuming that 1
percent of the products invoiced, or
seven, will not pay fees in FY 2024, due
to fee waivers and reductions. FDA has
made this estimate at 1 percent this
year, based on historical data over the
past 5 completed fiscal years of the
ADUFA program.
Accordingly, the Agency estimates
that a total of 726 (733 minus 7)
products will be subject to product fees
in FY 2024.
B. Product Fee Rates for FY 2024
FDA must set the fee rates for FY 2024
so that the estimated 726 products for
VerDate Sep<11>2014
17:24 Oct 20, 2023
Jkt 262001
which fees are paid will generate a total
of $9,045,000. To generate this amount
will require the fee for an animal drug
product, rounded to the nearest dollar,
to be $12,459.
V. Animal Establishment Fee
Calculations for FY 2024
The animal drug establishment fee
must be paid annually by the person
who: (1) owns or operates, directly or
through an affiliate, an animal drug
establishment; (2) is named as the
applicant in an animal drug application
or supplemental animal drug
application for an animal drug product
submitted for listing under section 510
of the FD&C Act; (3) had an animal drug
application or supplemental animal
drug application pending at FDA after
September 1, 2003; and (4) whose
establishment engaged in the
manufacture of the animal drug product
during the fiscal year (see 21 U.S.C.
379j–12(a)(3)). An establishment subject
to animal drug establishment fees is
assessed only one such fee per fiscal
year. The term ‘‘animal drug
establishment’’ is defined as a foreign or
domestic place of business at one
general physical location, consisting of
one or more buildings, all of which are
within 5 miles of each other, at which
one or more animal drug products are
manufactured in final dosage form (21
U.S.C. 379j–11(4)). The establishment
fees are to be set so that they will
generate $8,710,000 in fee revenue for
FY 2024.
To set animal drug establishment fees
to realize $8,710,000, FDA must make
some assumptions about the number of
establishments for which these fees will
be paid in FY 2024. FDA developed data
on all animal drug establishments and
matched this to the list of all persons
who had an animal drug application or
supplemental animal drug application
pending after September 1, 2003. As of
May 2023, FDA estimates that there are
a total of 53 establishments owned or
operated by persons who had an animal
drug application or supplemental
animal drug application pending after
September 1, 2003. Based on this, FDA
believes that 53 establishments will be
subject to this fee in FY 2024.
In estimating the fee revenue to be
generated by animal drug establishment
fees in FY 2024, FDA is assuming that
6 percent of the establishments
invoiced, or three, will not pay fees in
FY 2024 due to fee waivers and
reductions. FDA has made this estimate
at 6 percent this year, based on
Frm 00037
Fmt 4703
Sfmt 4703
historical data over the past 5 completed
fiscal years.
Accordingly, the Agency estimates
that a total of 50 establishments (53
minus 3) will be subject to
establishment fees in FY 2024.
B. Establishment Fee Rates for FY 2024
A. Establishment Fee Revenues and
Numbers of Fee-Paying Establishments
PO 00000
72765
FDA must set the fee rates for FY 2024
so that the fees paid for the estimated 50
establishments will generate a total of
$8,710,000. To generate this amount
will require the fee for an animal drug
establishment, rounded to the nearest
dollar, to be $174,200.
VI. Animal Drug Sponsor Fee
Calculations for FY 2024
A. Sponsor Fee Revenues and Numbers
of Fee-Paying Sponsors
The animal drug sponsor fee must be
paid annually by each person who: (1)
is named as the applicant in an animal
drug application, except for an
approved application for which all
subject products have been removed
from listing under section 510 of the
FD&C Act, or has submitted an
investigational animal drug submission
that has not been terminated or
otherwise rendered inactive and (2) had
an animal drug application,
supplemental animal drug application,
or investigational animal drug
submission pending at FDA after
September 1, 2003 (see 21 U.S.C. 379j–
11(6) and 379j–12(a)(4)). An animal
drug sponsor is subject to only one such
fee each fiscal year (see 21 U.S.C. 379j–
12(a)(4)). The sponsor fees are to be set
so that they will generate $9,045,000 in
fee revenue for FY 2024.
To set animal drug sponsor fees to
realize $9,045,000, FDA must make
some assumptions about the number of
sponsors who will pay these fees in FY
2024. FDA developed data on all animal
drug sponsors and matched this to the
list of all sponsors who had pending
submissions and applications after
September 1, 2003. As of May, 2023,
FDA estimates that a total of 179
sponsors will meet this definition in FY
2024.
In estimating the fee revenue to be
generated by animal drug sponsor fees
in FY 2024, FDA is assuming that 67
percent of the sponsors invoiced, or 120,
will not pay sponsor fees in FY 2024
due to fee waivers and reductions. FDA
has made this estimate at 67 percent this
year, based on historical data over the
past 5 completed fiscal years of the
ADUFA program.
Accordingly, the Agency estimates
that a total of 59 sponsors (179 minus
120) will be subject to and pay sponsor
fees in FY 2024.
E:\FR\FM\23OCN1.SGM
23OCN1
72766
Federal Register / Vol. 88, No. 203 / Monday, October 23, 2023 / Notices
B. Sponsor Fee Rates for FY 2024
FDA must set the fee rates for FY 2024
so that the estimated 59 sponsors that
pay fees will generate a total of
$9,045,000. To generate this amount
will require the fee for an animal drug
sponsor, rounded to the nearest dollar,
to be $153,305.
VII. Fee Schedule for FY 2024
The fee rates for FY 2024 are
summarized in table 1.
TABLE 1—FY 2024 FEE RATES
Fee rate for
FY 2024
Animal drug user fee category
Animal Drug Application Fees:
Animal Drug Application ...............................................................................................................................................................
Supplemental Animal Drug Application for Which Safety or Effectiveness Data are Required, Animal Drug Application Subject to the Criteria Set Forth in Section 512(d)(4) of the FD&C Act, or Application for Conditional Approval Under Section
571 of the FD&C Act for Which an Animal Drug Application Submitted Under Section 512(b)(1) of the FD&C Act Has
Been Previously Approved Under Section 512(d)(1) for Another Intended Use .....................................................................
Animal Drug Product Fee ....................................................................................................................................................................
Animal Drug Establishment Fee 1 ........................................................................................................................................................
Animal Drug Sponsor Fee 2 .................................................................................................................................................................
1 An
2 An
341,837
12,459
174,200
153,305
animal drug establishment is subject to only one such fee each fiscal year.
animal drug sponsor is subject to only one such fee each fiscal year.
VIII. Fee Waiver or Reduction;
Exemption From Fees
The types of fee waivers, fee
reductions, and exemptions from fees
that applied during ADUFA IV still exist
in ADUFA V, with one exception. No
longer available is the exemption for a
supplemental animal drug application
relating to a new animal drug
application approved under section 512
of the FD&C Act, solely to add the
application number to the labeling of
the drug in the manner specified in
section 503(w) of the FD&C Act (21
U.S.C. 352(w)).
Remaining waivers and reductions
apply for the following: barriers to
innovation; where fees will exceed the
cost to review the animal drug
application; if the application is related
to certain free-choice medicated feeds; if
the application is solely for a MUMS
indication; or if the sponsor is a small
business submitting its first animal drug
application. See section 740(d)(1) of the
FD&C Act.
lotter on DSK11XQN23PROD with NOTICES1
$683,673
A. Barrier to Innovation Waivers or Fee
Reductions
Under section 740(d)(1)(A) of the
FD&C Act, an animal drug applicant
may qualify for a waiver or reduction of
one or more ADUFA fees if the fee
would present a significant barrier to
innovation because of limited resources
available to the applicant or other
circumstances. CVM’s guidance for
industry (GFI) #170, entitled ‘‘Animal
Drug User Fees and Fee Waivers and
Reductions,’’ 1 states that the Agency
interprets this provision to mean that a
waiver or reduction is appropriate
1 CVM’s GFI #170 is located at: https://
www.fda.gov/downloads/AnimalVeterinary/
GuidanceComplianceEnforcement/
GuidanceforIndustry/UCM052494.pdf.
VerDate Sep<11>2014
17:24 Oct 20, 2023
Jkt 262001
when: (1) the product for which the
waiver is being requested is innovative,
or the requestor is otherwise pursuing
innovative animal drug products or
technology, and (2) the fee would be a
significant barrier to the applicant’s
ability to develop, manufacture, or
market the innovative product or
technology. Only those applicants that
meet both of these criteria will qualify
for a waiver or reduction in user fees
under this provision (see GFI #170 at
pp. 6–8). For purposes of determining
whether the second criterion would be
met on the basis of limited financial
resources available to the applicant,
FDA has determined an applicant with
financial resources of less than
$20,000,000 (including the financial
resources of the applicant’s affiliates),
adjusted annually for inflation, has
limited resources available. Using the
Consumer Price Index for urban
consumers (U.S. city average; not
seasonally adjusted; all items; annual
index), the inflation-adjusted level for
FY 2024 will be $22,796,000; this level
represents the financial resource ceiling
that will be used to determine if there
are limited resources available to an
applicant requesting a Barrier to
Innovation waiver on financial grounds
for FY 2024. Requests for a waiver need
to be submitted to FDA each fiscal year
not later than 180 days from when the
fees are due. A waiver granted on
Barrier to Innovation grounds (or any of
the other grounds listed in section
740(d)(1) of the FD&C Act) is only valid
for 1 fiscal year. If a sponsor is not
granted a waiver, they are liable for the
fees.
B. Exemption or Exception From Fees
In addition to the waivers and fee
reductions described above, one fee
PO 00000
Frm 00038
Fmt 4703
Sfmt 4703
exemption and two exceptions still
apply in ADUFA V.
If an animal drug application,
supplemental animal drug application,
or investigational submission involves
the intentional genomic alteration of an
animal that is intended to produce a
human medical product, any person
who is the named applicant or sponsor
of that application or submission will
not be subject to sponsor, product, or
establishment fees under ADUFA based
solely on that application or submission
(21 U.S.C. 379j–12(d)(4)).
There is an exception from
application fees for animal drug
applications submitted under section
512(b)(1) of the FD&C Act by a sponsor
who previously applied for conditional
approval under section 571 of the FD&C
Act for the same product and paid an
application fee at the time they applied
for conditional approval, provided the
sponsor has submitted the application
under section 512(b)(1) of the FD&C Act
within the timeframe specified in
section 571(h) of the FD&C Act. There
is also an exception from application
fees for previously filed applications
that were not approved or were
withdrawn (without waiver or refund).
Both exceptions are detailed in section
740(a)(1)(C) of the FD&C Act.
IX. Procedures for Paying the FY 2024
Fees
A. Application Fees and Payment
Instructions
The FY 2024 fee established in the
new fee schedule must be paid for an
animal drug application or supplement
subject to fees under ADUFA V that is
submitted on or after October 1, 2023.
The payment must be made in U.S.
currency from a U.S. bank by one of the
following methods: wire transfer,
E:\FR\FM\23OCN1.SGM
23OCN1
lotter on DSK11XQN23PROD with NOTICES1
Federal Register / Vol. 88, No. 203 / Monday, October 23, 2023 / Notices
electronically, check, bank draft, or U.S.
postal money order made payable to the
Food and Drug Administration. The
preferred payment method is online
using electronic check (Automated
Clearing House (ACH) also known as
eCheck) or credit card (Discover, VISA,
MasterCard, American Express). Secure
electronic payments can be submitted
using the User Fees Payment Portal at
https://userfees.fda.gov/pay, or the
Pay.gov payment option is available to
you after you submit a cover sheet.
(Note: Only full payments are accepted.
No partial payments can be made
online.) Once you search for and find
your invoice, select ‘‘Pay Now’’ to be
redirected to www.pay.gov. Electronic
payment options are based on the
balance due. Payment by credit card is
available only for balances that are less
than $25,000. If the balance exceeds this
amount, only the ACH option is
available. Payments must be made using
U.S. bank accounts as well as U.S. credit
cards.
When paying by check, bank draft, or
U.S. postal money order, please write
your application’s unique Payment
Identification Number (PIN), beginning
with the letters AD, on the upper righthand corner of your completed Animal
Drug User Fee Cover Sheet. Also write
the FDA’s post office box number (P.O.
Box 979033) and PIN on the enclosed
check, bank draft, or money order. Mail
the payment and a copy of the
completed Animal Drug User Fee Cover
Sheet to: Food and Drug
Administration, P.O. Box 979033, St.
Louis, MO 63197–9000. Note: In no case
should the payment for the fee be
submitted to FDA with the application.
When paying by wire transfer, the
invoice number or PIN needs to be
included. Without the invoice number
or PIN, the payment may not be applied,
and the invoice amount would be
referred to collections. The originating
financial institution may charge a wire
transfer fee. If the financial institution
charges a wire transfer fee, it is required
to add that amount to the payment to
ensure that the invoice is paid in full.
Use the following account
information when sending a payment by
wire transfer: U.S. Department of the
Treasury, TREAS NYC, 33 Liberty St.,
New York, NY 10045, Account Name:
Food and Drug Administration, Account
Number: 75060099, U.S. Department of
the Treasury routing/transit number:
021030004, SWIFT Number:
FRNYUS33.
To send a check by a courier such as
FedEx, the courier must deliver the
check and printed copy of the cover
sheet to U.S. Bank: U.S. Bank, Attn:
Government Lockbox 979033, 3180
VerDate Sep<11>2014
17:24 Oct 20, 2023
Jkt 262001
Rider Trail S., Earth City, MO 63045.
(Note: This address is for courier
delivery only. If you have any questions
concerning courier delivery, contact
U.S. Bank at 314–418–4013. This
telephone number is only for questions
about courier delivery.)
It is important that the fee arrives at
the bank at least a day or two before the
application arrives at FDA’s CVM. FDA
records the official application receipt
date as the later of the following: the
date the application was received by
CVM, or the date U.S. Bank notifies
FDA that your payment in the full
amount has been received, or when the
U.S. Department of the Treasury notifies
FDA of receipt of an electronic or wire
transfer payment. U.S. Bank and the
U.S. Department of the Treasury are
required to notify FDA within 1 working
day, using the PIN described previously.
The tax identification number of FDA
is 53–0196965.
B. Application Cover Sheet Procedures
Step One: Create a user account and
password. Log on to the ADUFA website
at https://www.fda.gov/industry/animaldrug-user-fee-act-adufa/animal-druguser-fee-cover-sheet and, under
Application Submission Information,
click on ‘‘Create ADUFA User Fee Cover
Sheet.’’ For security reasons, each firm
submitting an application will be
assigned an organization identification
number, and each user will also be
required to set up a user account and
password the first time you use this site.
Online instructions will walk you
through this process.
Step Two: Create an Animal Drug
User Fee Cover Sheet, transmit it to
FDA, and print a copy. After logging
into your account with your username
and password, complete the steps
required to create an Animal Drug User
Fee Cover Sheet. One cover sheet is
needed for each animal drug application
or supplement. Once you are satisfied
that the data on the cover sheet are
accurate and you have finalized the
cover sheet, you will be able to transmit
it electronically to FDA and you will be
able to print a copy of your cover sheet
showing your unique PIN.
Step Three: Send the payment for
your application as described in section
IX.A.
Step Four: Submit your application.
C. Product, Establishment, and Sponsor
Fees
By December 31, 2023, FDA will issue
invoices and payment instructions for
product, establishment, and sponsor
fees for FY 2024 using this fee schedule.
Payment will be due by January 31,
2024. FDA will issue invoices in
PO 00000
Frm 00039
Fmt 4703
Sfmt 4703
72767
November 2024 for any products,
establishments, and sponsors subject to
fees for FY 2024 that qualify for fees
after the December 2023 billing.
Dated: October 18, 2023.
Lauren K. Roth,
Associate Commissioner for Policy.
[FR Doc. 2023–23373 Filed 10–20–23; 8:45 am]
BILLING CODE 4164–01–P
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Food and Drug Administration
[Docket No. FDA–2023–N–4468]
Animal Generic Drug User Fee
Program Rates and Payment
Procedures for Fiscal Year 2024
AGENCY:
Food and Drug Administration,
HHS.
ACTION:
Notice.
The Food and Drug
Administration (FDA or Agency) is
announcing the fee rates and payment
procedures for fiscal year (FY) 2024
generic new animal drug program user
fees. The Federal Food, Drug, and
Cosmetic Act (FD&C Act), as amended
by the Animal Generic Drug User Fee
Amendments of 2023 (AGDUFA IV),
authorizes FDA to collect user fees for
certain abbreviated applications for
generic new animal drugs, for certain
generic new animal drug products, for
certain sponsors of such abbreviated
applications for generic new animal
drugs and/or investigational
submissions for generic new animal
drugs, and for certain submissions
related to generic investigational new
animal drug (JINAD) files. This notice
establishes the fee rates for FY 2024.
DATES: The application fee rates are
effective for all abbreviated applications
for a generic new animal drug submitted
on or after October 1, 2023, and will
remain in effect through September 30,
2024. The fee rates for requests to
establish a JINAD file, and for certain
submissions to JINAD files established
prior to October 1, 2023, are effective on
October 1, 2023, and will remain in
effect through September 30, 2024.
FOR FURTHER INFORMATION CONTACT: Lisa
Kable, Center for Veterinary Medicine
(HFV–10), Food and Drug
Administration, 7500 Standish Pl.,
Rockville, MD 20855, 240–402–6888,
Lisa.Kable@fda.hhs.gov, or visit FDA’s
website at https://www.fda.gov/
ForIndustry/UserFees/AnimalGeneric
DrugUserFeeActAGDUFA/default.htm.
For general questions, you may also
email the Center for Veterinary
SUMMARY:
E:\FR\FM\23OCN1.SGM
23OCN1
Agencies
[Federal Register Volume 88, Number 203 (Monday, October 23, 2023)]
[Notices]
[Pages 72763-72767]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-23373]
-----------------------------------------------------------------------
DEPARTMENT OF HEALTH AND HUMAN SERVICES
Food and Drug Administration
[Docket No. FDA-2023-N-4488]
Animal Drug User Fee Rates and Payment Procedures for Fiscal Year
2024
AGENCY: Food and Drug Administration, HHS.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: The Food and Drug Administration (FDA or Agency) is announcing
the fee rates and payment procedures for fiscal year (FY) 2024 animal
drug user fees. The Federal Food, Drug, and Cosmetic Act (FD&C Act), as
amended by the Animal Drug User Fee Amendments of 2023 (ADUFA V),
authorizes FDA to collect user fees for certain animal drug
applications and supplemental animal drug applications, for certain
animal drug products, for certain establishments where such products
are made, and for certain sponsors of such animal drug applications
and/or investigational animal drug submissions. This notice establishes
the fee rates for FY 2024.
DATES: The application fee rates are effective for applications
submitted on or after October 1, 2023, and will remain in effect
through September 30, 2024.
FOR FURTHER INFORMATION CONTACT: Visit FDA's website at https://www.fda.gov/ForIndustry/UserFees/AnimalDrugUserFeeActADUFA/default.htm
or contact Lisa Kable, Center for Veterinary Medicine (HFV-10), Food
and Drug Administration, 7500 Standish Pl., Rockville, MD 20855, 240-
402-6888, [email protected]. For general questions, you may also
email FDA's Center for Veterinary Medicine (CVM) at:
[email protected].
SUPPLEMENTARY INFORMATION:
I. Background
Section 740 of the FD&C Act (21 U.S.C. 379j-12), as amended by
ADUFA V, establishes four different types of user fees: (1) fees for
certain types of animal drug applications and supplemental animal drug
applications; (2) annual fees for certain animal drug products; (3)
annual fees for certain establishments where such products are made;
and (4) annual fees for certain sponsors of animal drug applications
and/or investigational animal drug submissions (21 U.S.C. 379j-12(a)).
When certain conditions are met, FDA will waive or reduce fees (21
U.S.C. 379j-12(d)).
For FYs 2024 through 2028, the FD&C Act establishes the base
revenue amount for each fiscal year (21 U.S.C. 379j-12(b)(1)).
Beginning in FY 2025, the base revenue amount is subject to adjustment
for inflation and workload (21 U.S.C. 379j-12(c)(2) and (3)). Also
beginning in FY 2025, ADUFA V provides for an operating reserve
adjustment to allow FDA to adjust the fee revenue amount to maintain a
specified operating reserve of carryover user fees (21 U.S.C. 379j-
12(c)(4)). FDA may increase the fee revenue amount to maintain a 12-
week minimum. If FDA has an excess operating reserve, FDA will decrease
the fee revenue amount so that FDA has 22 weeks of operating reserve
for FY 2025, 20 weeks for FY 2026, 18 weeks for FY 2027, and 16 weeks
for FY 2028.
Fees for applications, establishments, products, and sponsors are
to be established each year by FDA so that the percentages of the total
revenue that are derived from each type of user fee will be as follows:
(1) revenue from application fees shall be 20 percent of total fee
revenue; (2) revenue from product fees shall be 27 percent of total fee
revenue; (3) revenue from establishment fees shall be 26 percent of
total fee revenue; and (4) revenue from sponsor fees shall be 27
percent of total fee revenue (21 U.S.C. 379jndash;12(b)(2)). The fee
revenue amount for FY 2024 is $33,500,000 (21 U.S.C. 379j-12(b)(1)).
The target revenue amounts for each fee category for FY 2024 are as
follows: for application fees, the target revenue amount is $6,700,000;
for product fees, the target revenue amount is $9,045,000; for
establishment fees, the target revenue amount is $8,710,000; and for
sponsor fees, the target revenue amount is $9,045,000.
For FY 2024, the animal drug user fee rates are: $683,673 for an
animal drug application; $341,837 for a supplemental animal drug
application for which safety or effectiveness data are required, for an
animal drug application subject to the criteria set forth in section
512(d)(4) of the FD&C Act (21 U.S.C. 360b(d)(4)), and for an
application for conditional approval under section 571 of the FD&C Act
(21 U.S.C. 360ccc) for which an animal drug application submitted under
section 512(b)(1) of the FD&C Act has been previously approved under
section 512(d)(1) of the FD&C Act for another intended use; $12,459 for
the annual product fee; $174,200 for the annual establishment fee; and
$153,305 for the annual sponsor fee. FDA will issue invoices for FY
2024 product, establishment, and sponsor fees by December 31, 2023, and
payment will be due by January 31, 2024. The application fee rates are
effective for applications submitted on or after October 1, 2023, and
will remain in effect through September 30, 2024.
[[Page 72764]]
Applications will not be accepted for review until FDA has received
full payment of application fees and any other animal drug user fees
owed under the ADUFA program.
II. Revenue Amount for FY 2024
A. Statutory Fee Revenue Amounts
ADUFA V, Title III of Public Law 118-15, specifies that the
aggregate base fee revenue amount for FY 2024 for all animal drug user
fee categories is $33,500,000 (21 U.S.C. 379j-12(b)(1)).
B. Inflation Adjustment to Fee Revenue Amount
ADUFA V specifies that the annual fee revenue amount is to be
adjusted for inflation increases for FY 2025 and subsequent fiscal
years (21 U.S.C. 379j-12(c)(2)). Since ADUFA V does not adjust for
inflation until FY 2025, there is no inflation adjustment for FY 2024.
C. Workload Adjustment to Inflation Adjusted Fee Revenue Amount
The fee revenue amounts established in ADUFA V for FY 2025 and
subsequent fiscal years are also subject to adjustment to account for
changes in FDA's review workload (21 U.S.C. 379j-12(c)(3)). Since ADUFA
V does not adjust for workload until FY 2025, there is no workload
adjustment for FY 2024.
D. Operating Reserve Adjustment
For fiscal year 2025 and each subsequent fiscal year, after the fee
revenue amount established under section 740(b) of the FD&C Act is
adjusted for inflation and workload, the Secretary shall increase the
fee revenue amount for such fiscal year, if necessary to provide an
operating reserve of not less than 12 weeks. If the operating reserve
is in excess of the number of weeks specified in section 740(c)(4)(C)
of the FD&C Act for that fiscal year, the Secretary shall decrease the
fee revenue amount to provide not more than the number of weeks
specified for that fiscal year. Since ADUFA V does not adjust for the
operating reserve until FY 2025, there is no adjustment for FY 2024.
E. FY 2024 Fee Revenue Amounts
The fee revenue amount for FY 2024 is $33,500,000. ADUFA V
specifies that this revenue amount is to be divided as follows: 20
percent, or a total of $6,700,000, is to come from application fees; 27
percent, or a total of $9,045,000, is to come from product fees; 26
percent, or a total of $8,710,000 is to come from establishment fees;
and 27 percent, or a total of $9,045,000 is to come from sponsor fees
(21 U.S.C. 379j-12(b)).
III. Application Fee Calculations for FY 2024
A. Application Fee Revenues and Numbers of Fee-Paying Applications
Each person that submits an animal drug application or a
supplemental animal drug application shall be subject to an application
fee, with limited exceptions (see 21 U.S.C. 379j-12(a)(1)). The term
``animal drug application'' means an application for approval of any
new animal drug submitted under section 512(b)(1) of the FD&C Act or an
application for conditional approval of a new animal drug submitted
under section 571 of the FD&C Act (see section 739(1) of the FD&C Act
(21 U.S.C. 379j-11(1)). A ``supplemental animal drug application'' is
defined as a request to FDA to approve a change in an approved animal
drug application, or a request to FDA to approve a change to an
application approved under section 512(c)(2) of the FD&C Act for which
data with respect to safety or effectiveness are required. Such
applications are subject to ADUFA fees, except those fees may be waived
if the application is intended solely to provide for a minor use or
minor species (MUMS) indication (see 21 U.S.C. 379j-12(d)(1)(D)).
Furthermore, ADUFA V continues to provide an exception from
application fees for animal drug applications submitted under section
512(b)(1) of the FD&C Act by a sponsor who previously applied for
conditional approval under section 571 of the FD&C Act for the same
product and paid an application fee at the time they applied for
conditional approval. The purpose of this exception is to prevent
sponsors of conditionally approved products from having to pay a second
application fee at the time they apply for full approval of their
products under section 512(b)(1) of the FD&C Act, provided the
sponsor's application for full approval is filed consistent with the
timeframes established in section 571(h) of the FD&C Act (see 21 U.S.C.
379j-12(a)(1)(C)(ii)).
The application fees are to be set so that they will generate
$6,700,000 in fee revenue for FY 2024. The fee for a supplemental
animal drug application for which safety or effectiveness data are
required, for an animal drug application subject to criteria set forth
in section 512(d)(4) of the FD&C Act, and for an application for
conditional approval under section 571 of the FD&C Act of a new animal
drug for which an animal drug application submitted under section
512(b)(1) of the FD&C Act has been previously approved under section
512(d)(1) for another intended use is to be set at 50 percent of the
animal drug application fee (21 U.S.C. 379j-12(a)(1)(A)(ii)).
To set animal drug application fees and supplemental animal drug
application fees to realize $6,700,000, FDA must first make some
assumptions about the number of fee-paying applications and
supplemental applications the Agency will receive in FY 2024.
The Agency knows the number of applications that have been
submitted in previous fiscal years. That number fluctuates annually. In
estimating the fee revenue to be generated by animal drug application
fees in FY 2024, FDA is assuming that the number of applications for
which fees will be paid in FY 2024 will equal the average number of
applications over the 5 most recently completed fiscal years of the
ADUFA program (FY 2018 to FY 2022).
Over the 5 most recently completed fiscal years, the average number
of animal drug applications subject to the full fee was 5.20. Over this
same period, the average number of supplemental applications for which
safety or effectiveness data are required, applications subject to the
criteria set forth in section 512(d)(4) of the FD&C Act, and
applications for conditional approval of a new animal drug for which a
section 512(b)(1) application has been previously approved for another
intended use subject to half of the full fee was 9.20.
Based on the previous assumptions, FDA is estimating that it will
receive a total of 9.80 fee-paying animal drug applications in FY 2024
(5.20 applications paying a full fee and 9.20 applications paying a
half fee).
B. Application Fee Rates for FY 2024
FDA must set the fee rates for FY 2024 so that the estimated 9.80
applications that pay the fee will generate a total of $6,700,000. To
generate this amount, the fee for an animal drug application, rounded
to the nearest dollar, will have to be $683,673, and the fee for a
supplemental animal drug application for which safety or effectiveness
data are required, for applications subject to the criteria set forth
in section 512(d)(4) of the FD&C Act, and for an application for
conditional approval under section 571 of the FD&C Act of a new animal
drug for which an animal drug application submitted under section
512(b)(1) of the FD&C Act has been previously approved under section
512(d)(1) for another intended use will have to be $341,837.
[[Page 72765]]
IV. Animal Drug Product Fee Calculations for FY 2024
A. Product Fee Revenues and Numbers of Fee-Paying Products
The animal drug product fee must be paid annually by the person
named as the applicant in a new animal drug application or supplemental
new animal drug application for an animal drug product submitted for
listing under section 510 of the FD&C Act (21 U.S.C. 360) and who had
an animal drug application or supplemental animal drug application
pending at FDA after September 1, 2003 (21 U.S.C. 379j-12(a)(2)). The
term ``animal drug product'' means each specific strength or potency of
a particular active ingredient or ingredients in final dosage form
marketed by a particular manufacturer or distributor, which is uniquely
identified by the labeler code and product code portions of the
National Drug Code, and for which an animal drug application or a
supplemental animal drug application has been approved (21 U.S.C. 379j-
11(3)). The product fees are to be set so that they will generate
$9,045,000 in fee revenue for FY 2024.
To set animal drug product fees to realize $9,045,000, FDA must
make some assumptions about the number of products for which these fees
will be paid in FY 2024. FDA developed data on all animal drug products
that have been submitted for listing under section 510 of the FD&C Act
and matched this to the list of all persons who had an animal drug
application or supplemental animal drug application pending after
September 1, 2003. As of May 2023, FDA estimates that there are 733
products submitted for listing by persons who had an animal drug
application or supplemental animal drug application pending after
September 1, 2003. Based on this, FDA estimates that a total of 733
products will be subject to this fee in FY 2024.
In estimating the fee revenue to be generated by animal drug
product fees in FY 2024, FDA is assuming that 1 percent of the products
invoiced, or seven, will not pay fees in FY 2024, due to fee waivers
and reductions. FDA has made this estimate at 1 percent this year,
based on historical data over the past 5 completed fiscal years of the
ADUFA program.
Accordingly, the Agency estimates that a total of 726 (733 minus 7)
products will be subject to product fees in FY 2024.
B. Product Fee Rates for FY 2024
FDA must set the fee rates for FY 2024 so that the estimated 726
products for which fees are paid will generate a total of $9,045,000.
To generate this amount will require the fee for an animal drug
product, rounded to the nearest dollar, to be $12,459.
V. Animal Establishment Fee Calculations for FY 2024
A. Establishment Fee Revenues and Numbers of Fee-Paying Establishments
The animal drug establishment fee must be paid annually by the
person who: (1) owns or operates, directly or through an affiliate, an
animal drug establishment; (2) is named as the applicant in an animal
drug application or supplemental animal drug application for an animal
drug product submitted for listing under section 510 of the FD&C Act;
(3) had an animal drug application or supplemental animal drug
application pending at FDA after September 1, 2003; and (4) whose
establishment engaged in the manufacture of the animal drug product
during the fiscal year (see 21 U.S.C. 379j-12(a)(3)). An establishment
subject to animal drug establishment fees is assessed only one such fee
per fiscal year. The term ``animal drug establishment'' is defined as a
foreign or domestic place of business at one general physical location,
consisting of one or more buildings, all of which are within 5 miles of
each other, at which one or more animal drug products are manufactured
in final dosage form (21 U.S.C. 379j-11(4)). The establishment fees are
to be set so that they will generate $8,710,000 in fee revenue for FY
2024.
To set animal drug establishment fees to realize $8,710,000, FDA
must make some assumptions about the number of establishments for which
these fees will be paid in FY 2024. FDA developed data on all animal
drug establishments and matched this to the list of all persons who had
an animal drug application or supplemental animal drug application
pending after September 1, 2003. As of May 2023, FDA estimates that
there are a total of 53 establishments owned or operated by persons who
had an animal drug application or supplemental animal drug application
pending after September 1, 2003. Based on this, FDA believes that 53
establishments will be subject to this fee in FY 2024.
In estimating the fee revenue to be generated by animal drug
establishment fees in FY 2024, FDA is assuming that 6 percent of the
establishments invoiced, or three, will not pay fees in FY 2024 due to
fee waivers and reductions. FDA has made this estimate at 6 percent
this year, based on historical data over the past 5 completed fiscal
years.
Accordingly, the Agency estimates that a total of 50 establishments
(53 minus 3) will be subject to establishment fees in FY 2024.
B. Establishment Fee Rates for FY 2024
FDA must set the fee rates for FY 2024 so that the fees paid for
the estimated 50 establishments will generate a total of $8,710,000. To
generate this amount will require the fee for an animal drug
establishment, rounded to the nearest dollar, to be $174,200.
VI. Animal Drug Sponsor Fee Calculations for FY 2024
A. Sponsor Fee Revenues and Numbers of Fee-Paying Sponsors
The animal drug sponsor fee must be paid annually by each person
who: (1) is named as the applicant in an animal drug application,
except for an approved application for which all subject products have
been removed from listing under section 510 of the FD&C Act, or has
submitted an investigational animal drug submission that has not been
terminated or otherwise rendered inactive and (2) had an animal drug
application, supplemental animal drug application, or investigational
animal drug submission pending at FDA after September 1, 2003 (see 21
U.S.C. 379j-11(6) and 379j-12(a)(4)). An animal drug sponsor is subject
to only one such fee each fiscal year (see 21 U.S.C. 379j-12(a)(4)).
The sponsor fees are to be set so that they will generate $9,045,000 in
fee revenue for FY 2024.
To set animal drug sponsor fees to realize $9,045,000, FDA must
make some assumptions about the number of sponsors who will pay these
fees in FY 2024. FDA developed data on all animal drug sponsors and
matched this to the list of all sponsors who had pending submissions
and applications after September 1, 2003. As of May, 2023, FDA
estimates that a total of 179 sponsors will meet this definition in FY
2024.
In estimating the fee revenue to be generated by animal drug
sponsor fees in FY 2024, FDA is assuming that 67 percent of the
sponsors invoiced, or 120, will not pay sponsor fees in FY 2024 due to
fee waivers and reductions. FDA has made this estimate at 67 percent
this year, based on historical data over the past 5 completed fiscal
years of the ADUFA program.
Accordingly, the Agency estimates that a total of 59 sponsors (179
minus 120) will be subject to and pay sponsor fees in FY 2024.
[[Page 72766]]
B. Sponsor Fee Rates for FY 2024
FDA must set the fee rates for FY 2024 so that the estimated 59
sponsors that pay fees will generate a total of $9,045,000. To generate
this amount will require the fee for an animal drug sponsor, rounded to
the nearest dollar, to be $153,305.
VII. Fee Schedule for FY 2024
The fee rates for FY 2024 are summarized in table 1.
Table 1--FY 2024 Fee Rates
------------------------------------------------------------------------
Fee rate for
Animal drug user fee category FY 2024
------------------------------------------------------------------------
Animal Drug Application Fees:
Animal Drug Application............................. $683,673
Supplemental Animal Drug Application for Which 341,837
Safety or Effectiveness Data are Required, Animal
Drug Application Subject to the Criteria Set Forth
in Section 512(d)(4) of the FD&C Act, or
Application for Conditional Approval Under Section
571 of the FD&C Act for Which an Animal Drug
Application Submitted Under Section 512(b)(1) of
the FD&C Act Has Been Previously Approved Under
Section 512(d)(1) for Another Intended Use.........
Animal Drug Product Fee................................. 12,459
Animal Drug Establishment Fee \1\....................... 174,200
Animal Drug Sponsor Fee \2\............................. 153,305
------------------------------------------------------------------------
\1\ An animal drug establishment is subject to only one such fee each
fiscal year.
\2\ An animal drug sponsor is subject to only one such fee each fiscal
year.
VIII. Fee Waiver or Reduction; Exemption From Fees
The types of fee waivers, fee reductions, and exemptions from fees
that applied during ADUFA IV still exist in ADUFA V, with one
exception. No longer available is the exemption for a supplemental
animal drug application relating to a new animal drug application
approved under section 512 of the FD&C Act, solely to add the
application number to the labeling of the drug in the manner specified
in section 503(w) of the FD&C Act (21 U.S.C. 352(w)).
Remaining waivers and reductions apply for the following: barriers
to innovation; where fees will exceed the cost to review the animal
drug application; if the application is related to certain free-choice
medicated feeds; if the application is solely for a MUMS indication; or
if the sponsor is a small business submitting its first animal drug
application. See section 740(d)(1) of the FD&C Act.
A. Barrier to Innovation Waivers or Fee Reductions
Under section 740(d)(1)(A) of the FD&C Act, an animal drug
applicant may qualify for a waiver or reduction of one or more ADUFA
fees if the fee would present a significant barrier to innovation
because of limited resources available to the applicant or other
circumstances. CVM's guidance for industry (GFI) #170, entitled
``Animal Drug User Fees and Fee Waivers and Reductions,'' \1\ states
that the Agency interprets this provision to mean that a waiver or
reduction is appropriate when: (1) the product for which the waiver is
being requested is innovative, or the requestor is otherwise pursuing
innovative animal drug products or technology, and (2) the fee would be
a significant barrier to the applicant's ability to develop,
manufacture, or market the innovative product or technology. Only those
applicants that meet both of these criteria will qualify for a waiver
or reduction in user fees under this provision (see GFI #170 at pp. 6-
8). For purposes of determining whether the second criterion would be
met on the basis of limited financial resources available to the
applicant, FDA has determined an applicant with financial resources of
less than $20,000,000 (including the financial resources of the
applicant's affiliates), adjusted annually for inflation, has limited
resources available. Using the Consumer Price Index for urban consumers
(U.S. city average; not seasonally adjusted; all items; annual index),
the inflation-adjusted level for FY 2024 will be $22,796,000; this
level represents the financial resource ceiling that will be used to
determine if there are limited resources available to an applicant
requesting a Barrier to Innovation waiver on financial grounds for FY
2024. Requests for a waiver need to be submitted to FDA each fiscal
year not later than 180 days from when the fees are due. A waiver
granted on Barrier to Innovation grounds (or any of the other grounds
listed in section 740(d)(1) of the FD&C Act) is only valid for 1 fiscal
year. If a sponsor is not granted a waiver, they are liable for the
fees.
---------------------------------------------------------------------------
\1\ CVM's GFI #170 is located at: https://www.fda.gov/downloads/AnimalVeterinary/GuidanceComplianceEnforcement/GuidanceforIndustry/UCM052494.pdf.
---------------------------------------------------------------------------
B. Exemption or Exception From Fees
In addition to the waivers and fee reductions described above, one
fee exemption and two exceptions still apply in ADUFA V.
If an animal drug application, supplemental animal drug
application, or investigational submission involves the intentional
genomic alteration of an animal that is intended to produce a human
medical product, any person who is the named applicant or sponsor of
that application or submission will not be subject to sponsor, product,
or establishment fees under ADUFA based solely on that application or
submission (21 U.S.C. 379j-12(d)(4)).
There is an exception from application fees for animal drug
applications submitted under section 512(b)(1) of the FD&C Act by a
sponsor who previously applied for conditional approval under section
571 of the FD&C Act for the same product and paid an application fee at
the time they applied for conditional approval, provided the sponsor
has submitted the application under section 512(b)(1) of the FD&C Act
within the timeframe specified in section 571(h) of the FD&C Act. There
is also an exception from application fees for previously filed
applications that were not approved or were withdrawn (without waiver
or refund). Both exceptions are detailed in section 740(a)(1)(C) of the
FD&C Act.
IX. Procedures for Paying the FY 2024 Fees
A. Application Fees and Payment Instructions
The FY 2024 fee established in the new fee schedule must be paid
for an animal drug application or supplement subject to fees under
ADUFA V that is submitted on or after October 1, 2023. The payment must
be made in U.S. currency from a U.S. bank by one of the following
methods: wire transfer,
[[Page 72767]]
electronically, check, bank draft, or U.S. postal money order made
payable to the Food and Drug Administration. The preferred payment
method is online using electronic check (Automated Clearing House (ACH)
also known as eCheck) or credit card (Discover, VISA, MasterCard,
American Express). Secure electronic payments can be submitted using
the User Fees Payment Portal at https://userfees.fda.gov/pay, or the
Pay.gov payment option is available to you after you submit a cover
sheet. (Note: Only full payments are accepted. No partial payments can
be made online.) Once you search for and find your invoice, select
``Pay Now'' to be redirected to www.pay.gov. Electronic payment options
are based on the balance due. Payment by credit card is available only
for balances that are less than $25,000. If the balance exceeds this
amount, only the ACH option is available. Payments must be made using
U.S. bank accounts as well as U.S. credit cards.
When paying by check, bank draft, or U.S. postal money order,
please write your application's unique Payment Identification Number
(PIN), beginning with the letters AD, on the upper right-hand corner of
your completed Animal Drug User Fee Cover Sheet. Also write the FDA's
post office box number (P.O. Box 979033) and PIN on the enclosed check,
bank draft, or money order. Mail the payment and a copy of the
completed Animal Drug User Fee Cover Sheet to: Food and Drug
Administration, P.O. Box 979033, St. Louis, MO 63197-9000. Note: In no
case should the payment for the fee be submitted to FDA with the
application.
When paying by wire transfer, the invoice number or PIN needs to be
included. Without the invoice number or PIN, the payment may not be
applied, and the invoice amount would be referred to collections. The
originating financial institution may charge a wire transfer fee. If
the financial institution charges a wire transfer fee, it is required
to add that amount to the payment to ensure that the invoice is paid in
full.
Use the following account information when sending a payment by
wire transfer: U.S. Department of the Treasury, TREAS NYC, 33 Liberty
St., New York, NY 10045, Account Name: Food and Drug Administration,
Account Number: 75060099, U.S. Department of the Treasury routing/
transit number: 021030004, SWIFT Number: FRNYUS33.
To send a check by a courier such as FedEx, the courier must
deliver the check and printed copy of the cover sheet to U.S. Bank:
U.S. Bank, Attn: Government Lockbox 979033, 3180 Rider Trail S., Earth
City, MO 63045. (Note: This address is for courier delivery only. If
you have any questions concerning courier delivery, contact U.S. Bank
at 314-418-4013. This telephone number is only for questions about
courier delivery.)
It is important that the fee arrives at the bank at least a day or
two before the application arrives at FDA's CVM. FDA records the
official application receipt date as the later of the following: the
date the application was received by CVM, or the date U.S. Bank
notifies FDA that your payment in the full amount has been received, or
when the U.S. Department of the Treasury notifies FDA of receipt of an
electronic or wire transfer payment. U.S. Bank and the U.S. Department
of the Treasury are required to notify FDA within 1 working day, using
the PIN described previously.
The tax identification number of FDA is 53-0196965.
B. Application Cover Sheet Procedures
Step One: Create a user account and password. Log on to the ADUFA
website at https://www.fda.gov/industry/animal-drug-user-fee-act-adufa/animal-drug-user-fee-cover-sheet and, under Application Submission
Information, click on ``Create ADUFA User Fee Cover Sheet.'' For
security reasons, each firm submitting an application will be assigned
an organization identification number, and each user will also be
required to set up a user account and password the first time you use
this site. Online instructions will walk you through this process.
Step Two: Create an Animal Drug User Fee Cover Sheet, transmit it
to FDA, and print a copy. After logging into your account with your
username and password, complete the steps required to create an Animal
Drug User Fee Cover Sheet. One cover sheet is needed for each animal
drug application or supplement. Once you are satisfied that the data on
the cover sheet are accurate and you have finalized the cover sheet,
you will be able to transmit it electronically to FDA and you will be
able to print a copy of your cover sheet showing your unique PIN.
Step Three: Send the payment for your application as described in
section IX.A.
Step Four: Submit your application.
C. Product, Establishment, and Sponsor Fees
By December 31, 2023, FDA will issue invoices and payment
instructions for product, establishment, and sponsor fees for FY 2024
using this fee schedule. Payment will be due by January 31, 2024. FDA
will issue invoices in November 2024 for any products, establishments,
and sponsors subject to fees for FY 2024 that qualify for fees after
the December 2023 billing.
Dated: October 18, 2023.
Lauren K. Roth,
Associate Commissioner for Policy.
[FR Doc. 2023-23373 Filed 10-20-23; 8:45 am]
BILLING CODE 4164-01-P