[Federal Register Volume 61, Number 196 (Tuesday, October 8, 1996)]
[Rules and Regulations]
[Pages 52681-52682]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-25706]
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Rules and Regulations
Federal Register
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This section of the FEDERAL REGISTER contains regulatory documents
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Federal Register / Vol. 61, No. 196 / Tuesday, October 8, 1996 /
Rules and Regulations
[[Page 52681]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Parts 927 and 931
[Docket No. FV96-927-2 FIR]
Assessment Rates for Specified Marketing Orders
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: The Department of Agriculture (Department) is adopting as a
final rule, without change, the provisions of an interim final rule
that established assessment rates for Marketing Order Nos. 927 and 931
for the 1996-97 and subsequent fiscal periods. The Winter Pear Control
Committee and the Northwest Fresh Bartlett Marketing Committee
(Committees) are responsible for local administration of the marketing
orders which regulate the handling of winter pears grown in Oregon,
Washington, and California and fresh Bartlett pears grown in Oregon and
Washington. Authorization to assess winter pear and fresh Bartlett pear
handlers enables the Committees to incur expenses that are reasonable
and necessary to administer the programs.
EFFECTIVE DATE: July 1, 1996.
FOR FURTHER INFORMATION CONTACT: Tershirra Yeager, Marketing Assistant,
Marketing Order Administration Branch, Fruit and Vegetable Division,
AMS, USDA, P.O. Box 96456, Room 2522-S, Washington, DC 20090-6456,
telephone (202) 720-5127, FAX# (202) 720-5698, or Teresa L. Hutchinson,
Marketing Specialist, Northwest Marketing Field Office, Fruit and
Vegetable Division, AMS, USDA, 1220 SW Third Avenue, room 369,
Portland, OR 97204, telephone (503) 326-2724, FAX# (503) 326-7440.
Small businesses may request information on compliance with this
regulation by contacting: Jay Guerber, Marketing Order Administration
Branch, Fruit and Vegetable Division, AMS, USDA, P.O. Box 96456, Room
2523-S, Washington, DC 20090-6456; telephone: (202) 720-2491, FAX#
(202) 720-5698.
SUPPLEMENTARY INFORMATION: This rule is issued under Marketing
Agreement and Order No. 927 [7 CFR part 927], regulating the handling
of winter pears grown in Oregon, Washington, and California, and
Marketing Order No. 931 [7 CFR part 931] regulating the handling of
fresh Bartlett pears grown in Oregon and Washington, hereinafter
referred to as the ``orders.'' The marketing 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 of Agriculture (Department) is issuing this rule in
conformance with Executive Order 12866.
This rule has been reviewed under Executive Order 12988, Civil
Justice Reform. Under the marketing orders now in effect, handlers in
designated areas are subject to assessments. Funds to administer the
orders are derived from such assessments. It is intended that the
assessment rates as issued herein will be applicable to all assessable
winter pears and fresh Bartlett pears beginning July 1, 1996, and
continuing until amended, suspended, or terminated. This 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 608c(15)(A) of the
Act, any handler subject to an order may file with the Secretary a
petition stating that the order, any provision of the order, or any
obligation imposed in connection with the order is not in accordance
with law and request a modification of the order or to be exempted
therefrom. Such handlers are 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 to review the
Secretary's ruling on the petition, provided an action is filed not
later than 20 days after the date of the entry of the ruling.
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), 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 90 handlers of winter pears and 65 handlers
of fresh Bartlett pears subject to regulation under the marketing
orders. In addition, there are about 1,800 winter pear and fresh
Bartlett pear producers in the respective production areas. 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
winter pear and fresh Bartlett pear producers and handlers may be
classified as small entities.
The orders provide authority for the Committees, with the approval
of the Department, to formulate annual budgets of expenses and collect
assessments from handlers to administer the programs. The members of
the Committees are producers and handlers of Oregon, Washington, and
California pears. They are familiar with the Committees' needs and with
the costs for goods and services in their local areas and are thus in a
position to formulate appropriate budgets and assessment rates. The
assessment rates are formulated and discussed in public meetings. Thus,
all directly affected persons have an opportunity to participate and
provide input.
The Winter Pear Control Committee met on May 31, 1996, and
unanimously recommended 1996-97 expenditures of $5,887,084 and an
assessment rate of $0.405 per standard box. In comparison,
[[Page 52682]]
last year's budgeted expenditures were $7,384,440.
The assessment rate recommended by the Committee was derived by
dividing anticipated expenses by expected shipments of winter pears
grown in Oregon, Washington, and California. Winter pear shipments for
the year are estimated at 12,465,800 standard boxes which should
provide assessment revenue of $5,048,649. Income derived from handler
assessments, along with interest income and funds from the Committee's
authorized reserve, will be adequate to cover budgeted expenses. Funds
in the reserve will be kept within the maximum permitted by the order.
Major expenditures recommended by the Winter Pear Control Committee
for the 1996-97 year include $154,387 for salaries, $4,674,675 for paid
advertising, and $249,316 for production research. Budgeted expenses
for these items in 1995-96 were $147,152, $6,064,163, and $323,422,
respectively.
The Northwest Fresh Bartlett Marketing Committee met on May 30,
1996, and unanimously recommended 1996-97 expenditures of $89,774 and
an assessment rate of $0.0375 per western standard pear box. In
comparison, last year's budgeted expenditures were $92,254.
The assessment rate recommended by the Committee was derived by
dividing anticipated expenses by expected shipments of fresh Bartlett
pears grown in Oregon and Washington. Shipments for the year are
estimated at 1,842,000 packed boxes which should provide $69,075 in
assessment income. Income derived from handler assessments, along with
interest income and funds from the Committee's authorized reserve, will
be adequate to cover budgeted expenses. Funds in the reserve will be
kept within the maximum permitted by the order.
Major expenditures recommended by the Northwest Fresh Bartlett
Marketing Committee for the 1996-97 year include $46,306 for salaries,
$4,991 for health insurance, and $7,016 for office rent. Budgeted
expenses for these items in 1995-96 were $44,135, $4,989 and $5,206,
respectively.
An interim final rule regarding this action was published in the
August 16, 1996, issue of the Federal Register (61 FR 42529). That rule
provided a 30-day comment period. No comments were received.
While this rule will impose some additional costs on handlers, the
costs 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 by the operation of the
marketing orders. Therefore, the AMS has determined that this rule will
not have a significant economic impact on a substantial number of small
entities.
The assessment rates established in this rule will continue in
effect indefinitely unless modified, suspended, or terminated by the
Secretary upon recommendation and information submitted by the
Committees or other available information.
Although these assessment rates are effective for an indefinite
period, the Committees will continue to meet prior to or during each
fiscal period to consider recommendations for modification of the
assessment rates.
The dates and times of Committee meetings are available from the
Committees or the Department. Committee meetings are open to the public
and interested persons may express their views at these meetings. The
Department will evaluate Committee recommendations and other available
information to determine whether modifications of the assessment rates
are needed. Further rulemaking will be undertaken as necessary. The
Committees' 1996-97 budgets and those for subsequent fiscal periods
will be reviewed and, as appropriate, approved by the Department.
After consideration of all relevant material presented, including
the information and recommendation submitted by the Committees and
other available information, it is hereby found that this rule, as
hereinafter set forth, will tend to effectuate the declared policy of
the Act.
Pursuant to 5 U.S.C. 553, it is also found and determined that good
cause exists for not postponing the effective date of this rule until
30 days after publication in the Federal Register because: (1) The
Committees need to have sufficient funds to pay their expenses which
are incurred on a continuous basis; (2) the 1996-97 fiscal periods
began on July 1, 1996, and the marketing orders require that the rates
of assessment for each fiscal period apply to all assessable winter
pears and fresh Bartlett pears handled during such fiscal period; (3)
handlers are aware of the actions which were recommended by the
Committees at public meetings and are similar to other assessment rate
actions issued in past years; and (4) an interim final rule was
published on this action, providing a 30-day comment period, and no
comments were received.
List of Subjects
7 CFR Part 927
Marketing agreements, Pears, Reporting and recordkeeping
requirements.
7 CFR Part 931
Marketing agreements, Pears, Reporting and recordkeeping
requirements.
For the reasons set forth in the preamble, 7 CFR parts 927 and 931
are amended as follows:
PART 927--WINTER PEARS GROWN IN OREGON, WASHINGTON AND CALIFORNIA
PART 931--FRESH BARTLETT PEARS GROWN IN OREGON AND WASHINGTON
Accordingly, the interim final rule amending 7 CFR parts 927 and
931 which was published at 61 FR 42529 on August 16, 1996, is adopted
as a final rule without change.
Dated: October 1, 1996.
Robert C. Keeney,
Director, Fruit and Vegetable Division.
[FR Doc. 96-25706 Filed 10-7-96; 8:45 am]
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