96-25706. Assessment Rates for Specified Marketing Orders  

  • [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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    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]
    BILLING CODE 3410-02-P
    
    
    

Document Information

Effective Date:
7/1/1996
Published:
10/08/1996
Department:
Agricultural Marketing Service
Entry Type:
Rule
Action:
Final rule.
Document Number:
96-25706
Dates:
July 1, 1996.
Pages:
52681-52682 (2 pages)
Docket Numbers:
Docket No. FV96-927-2 FIR
PDF File:
96-25706.pdf
CFR: (2)
7 CFR 927
7 CFR 931