[Federal Register Volume 60, Number 193 (Thursday, October 5, 1995)]
[Rules and Regulations]
[Pages 52067-52068]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-24710]
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Rules and Regulations
Federal Register
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This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
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Federal Register / Vol. 60, No. 193 / Thursday, October 5, 1995 /
Rules and Regulations
[[Page 52067]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Parts 916 and 917
[Docket No. FV95-916-3FIR]
Nectarines and Fresh Peaches Grown in California; Expenses and
Assessment Rate for the 1995-96 Fiscal Year
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: The Department of Agriculture (Department) is adopting as
final, without change, the provisions of the interim final rule which
authorized expenses and established an assessment rate for the
Nectarines Administration Committee and the Peach Commodity Committee
(Committees) under Marketing Order Nos. 916 and 917 for the 1995-96
fiscal year. Authorization of these budgets enables the Committees to
incur expenses that are reasonable and necessary to administer their
programs. Funds to administer the program are derived from assessments
on handlers.
EFFECTIVE DATE: March 1, 1995, through February 29, 1996.
FOR FURTHER INFORMATION CONTACT: Karen T. Chaney, Marketing Order
Administration Branch, Fruit and Vegetable Division, AMS, USDA, P.O.
Box 96456, room 2523-S, Washington, DC 20090-6456, telephone: 202-720-
5127; or J. Terry Vawter, California Marketing Field Office, Fruit and
Vegetable Division, AMS, USDA, 2202 Monterey Street, Suite 102B,
Fresno, California 93721, telephone: 209-487-5901.
SUPPLEMENTARY INFORMATION: This rule is issued under Marketing
Agreement No. 916 (CFR Part 916) regulating the handling of nectarines
grown in California and Marketing Agreement and Order No. 917 (7 CFR
Part 917) regulating the handling of fresh peaches grown in California.
The agreements and orders are effective under the Agricultural
Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-674),
hereinafter referred to as the Act.
The Department is issuing this rule in conformance with Executive
Order 12866.
This final rule has been reviewed under Executive Order 12778,
Civil Justice Reform. Under the marketing order provisions now in
effect, nectarines and peaches grown in California are subject to
assessments. It is intended that the assessment rates specifies herein
will be applicable to all assessable nectarines and peaches handled
during the 1995-96 fiscal year, which began March 1, 1995, through
February 29, 1996. This final rule will not preempt any State or local
laws, regulations, or policies, unless they present an irreconcilable
conflict with this rule.
The Act provides that administrative proceedings must be exhausted
before parties may file suit in court. Under section 688c(15)(A) of the
Act, any handler subject to an order may file with the Secretary a
petition stating that the order, or any provision of the order, or any
obligation imposed in connection with the order is not in accordance
with law and requesting a modification of the order or to be exempted
therefrom. Such handler is afforded the opportunity for a hearing on
the petition. After the hearing the Secretary would rule on the
petition. The Act provides that the district court of the United States
in any district in which the handler is an inhabitant, or has his or
her principal place of business, has jurisdiction in equity to review
the Secretary's ruling on the petition, provided a bill in equity is
filed not later than 20 days after date of entry of the ruling.
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), the Administrator of the Agricultural Marketing Service
(AMS) has considered the economic impact of this rule on small
entities.
The purpose of the RFA is to fit regulatory actions to the scale of
business subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and the rules issued thereunder, are unique in
that they are brought about through group action of essentially small
entities acting on their own behalf. Thus, both statutes have small
entity orientation and compatibility.
There are approximately 300 handlers of nectarines and peaches
regulated under the marketing order each season and approximately 1,800
producers of these fruits in California. Small agricultural producers
have been defined by the Small Business Administration (13 CFR 121.601)
as those having annual receipts of less than $500,000, and small
agricultural service firms are defined as those whose annual receipts
are less than $5,000,000. The majority of these handlers and producers
may be classified as small entities.
The nectarine and peach marketing orders, administered by the
Department, require that the assessment rates for particular fiscal
year apply to all assessable nectarines and peaches handled from the
beginning of such year. Annual budgets of expenses are prepared by the
Committees, the agencies responsible for local administration of their
respective marketing order, and submitted to the Department for
approval. The members of the Committees are nectarine and peach
handlers and producers. They are familiar with the Committees' needs
and with the cost for goods, services, and personnel in their local
area, and are thus in a position to formulate appropriate budgets. The
Committees' budgets are formulated and discussed in public meetings.
Thus, all directly affected persons have an opportunity to participate
and provide input.
The assessment rate recommended by the Committee was derived by
dividing anticipated expenses by expected shipments of nectarines and
peaches. Because these rates are applied to actual shipments, they must
be established at a rate that will provide sufficient income to pay the
Committee's expenses.
The Nectarines Administrative Committee met on May 4, 1995, and
unanimously recommended total expenses of $3,683,031 for the 1995-96
fiscal year. In comparison, this is $161,604 less than $3,844,635
expenses amount that was recommended for the 1994-95 fiscal year.
The Committee also unanimously recommended an assessment rate of
[[Page 52068]]
$0.1850 per 25-pound container or equivalent for the 1995-96 fiscal
year, which is $0.5 cent higher than the assessment rate that was
approved for the 1994-95 fiscal year. The assessment rate, when applied
to anticipated shipments of 16,860,000 25-pound containers or
equivalent of nectarines would yield $3,119,100 in assessment income.
Adequate funds exits in the Committee's reserve to cover additional
expenses.
Major expense categories for the 1995-96 nectarine budget include
$340,025 for salaries and benefits, $1,534,593 for domestic market
development $99,117 for production and cultural research, and $855,000
for inspection. Funds in the reserve at the end of the 1995-96 fiscal
year's expenses.
The Peach Commodity Committee also met May 4, 1995, and unanimously
recommended total expenses of $3,736,531, for the 1995-96 fiscal year.
In comparison, this is $230,804 less than the $3,967,335 expenses
amount that was recommended for the 1994-95 fiscal year.
The Committee also unanimously recommended an assessment rate of
$0.19 per 25-pound container or equivalent for the 1995-96 fiscal year,
which is the same assessment rate that was approved for the previous
fiscal year. The assessment rate, when applied to anticipated shipments
of $16,982,000 25-pound containers or equivalent of peaches, would
yield $3,226,580 in assessment income. Adequate funds exist in the
Committee's reserve fund to cover additional expenses
Major expense categories for the 1995-96 fiscal period are $340,024
in salaries and benefits, $1,534,593 for domestic market development,
$99,117 for research, and $900,000 for inspection. Funds in the reserve
at the end of the 1995-96 fiscal year, estimated at $335,864, will be
within the maximum permitted by the order of on fiscal year's expenses.
An interim final rule concerning this action was published in the
August 21, 1995 Federal Register [60 FR 43352], with a 30 day comment
period ending September 30, 1995. No comments were received.
While this action will impose some additional costs on handlers,
the cost are in the form of uniform assessments on all handlers. Some
of the additional costs may be passed on to producers. However, these
costs will be offset by the benefits derived from the operation of the
marketing orders. Therefore, the Administrator of the AMS has
determined that this action will not have a significant economic impact
on a substantial number of small entities. It is found that the
specified expenses for the marketing orders covered in their rule are
reasonable and likely to be incurred and that such expenses and the
specified assessment rates to cover such expenses will tend to
effectuate the declared policy of the Act.
After consideration of all relevant material presented, including
the Committee's recommendations, and other available information, it is
found that this interim final rule, as hereinafter set forth, will tend
to effectuate the declared policy of the Act.
It is further found that good cause exists for not postponing the
effective date of this action until 30 days after publication in the
Federal Register because the Committees need to have sufficient funds
to pay their expenses which are incurred on a continuous basis. The
1995-96 fiscal year began on March 1, 1995, and the marketing orders
require that the rates of assessment for the fiscal year apply to all
assessable nectarines and peaches handled during the fiscal year. In
addition, handlers are aware of this action which was recommended by
the Committees at public meetings. No comments were received concerning
the interim final rule that is adopted in this action as a final rule
without change.
List of Subjects
7 CFR Part 916
Marketing agreements, Nectarines, Reporting and recordkeeping
requirements.
7 CFR Part 917
Marketing agreements, Pears, Peaches, Reporting and recordkeeping
requirements
PART 916--NECTARINES GROWN IN CALIFORNIA
1. Accordingly, the interim final rule amending 7 CFR Part 916
which was published at 60 FR 43350 on August 21, 1995, is adopted as a
final rule without change.
PART 917--FRESH PEARS AND PEACHES GROWN IN CALIFORNIA
2. Accordingly, the interim final rule amending 7 CFR Part 917
which was published at 60 FR 43350 on August 21, 1995, is adopted as a
final rule without change.
Dated: September 28, 1995.
Martha B. Ransom,
Acting Deputy Director, Fruit and Vegetable Division.
[FR Doc. 95-24710 Filed 10-4-95; 8:45 am]
BILLING CODE 3410-02-P
