[Federal Register Volume 60, Number 221 (Thursday, November 16, 1995)]
[Rules and Regulations]
[Pages 57533-57534]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-28323]
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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
to and codified in the Code of Federal Regulations, which is published
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Federal Register / Vol. 60, No. 221 / Thursday, November 16, 1995 /
Rules and Regulations
[[Page 57533]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 989
[Docket No. FV95-989-4FIR]
Raisins Produced From Grapes Grown in California; Expenses and
Assessment Rate
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 authorized expenses and established an assessment rate that will
generate funds to pay those expenses. Authorization of this budget
enables the Raisin Administrative Committee (Committee) to incur
expenses that are reasonable and necessary to administer the program.
Funds to administer this program are derived from assessments on
handlers.
EFFECTIVE DATE: August 1, 1995, through July 31, 1996.
FOR FURTHER INFORMATION CONTACT: Martha Sue Clark, Marketing Order
Administration Branch, Fruit and Vegetable Division, AMS, USDA, P.O.
Box 96456, room 2523-S, Washington, DC 20090-6456, telephone 202-720-
9918, or Richard P. Van Diest, California Marketing Field Office, Fruit
and Vegetable Division, AMS, USDA, suite 102B, 2202 Monterey Street,
Fresno, CA 93721, telephone 209-487-5901.
SUPPLEMENTARY INFORMATION: This rule is issued under Marketing
Agreement and Order No. 989 (7 CFR part 989), both as amended (7 CFR
part 989), regulating the handling of raisins produced from grapes
grown in California, hereinafter referred to as the ``order.'' The
marketing agreement and order 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 is issuing this rule in conformance
with Executive Order 12866.
This rule has been reviewed under Executive Order 12778, Civil
Justice Reform. Under the provisions of the marketing order now in
effect, California raisins are subject to assessments. It is intended
that the assessment rate as issued herein will be applicable to all
assessable raisins handled during the 1995-96 crop year, which began
August 1, 1995, and ends July 31, 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 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 handler is afforded the opportunity for a hearing 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 the date of the entry of
the ruling.
Pursuant to the 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 20 handlers of California raisins who are
subject to regulation under the raisin marketing order, and
approximately 4,500 producers in the regulated area. Small agricultural
service firms have been defined by the Small Business Administration
(13 CFR 121.601) as those whose annual receipts (from all sources) are
less than $5,000,000, and small agricultural producers are defined as
those having annual receipts of less than $500,000. No more than eight
handlers, and a majority of producers, of California raisins may be
classified as small entities. Twelve of the 20 handlers subject to
regulation have annual sales estimated to be at least $5,000,000, and
the remaining eight handlers have sales less than $5,000,000, excluding
receipts from any other sources.
The budget of expenses for the 1995-96 crop year was prepared by
the Committee, the agency responsible for local administration of the
marketing order, and submitted to the Department for approval. The
members of the Committee are producers and handlers of California
raisins. They are familiar with the Committee's needs and with the
costs of goods and services in their local area and are thus in a
position to formulate an appropriate budget. The budget was formulated
and discussed in a public meeting. Thus, all directly affected persons
have had an opportunity to participate and provide input.
The assessment rate recommended by the Committee was derived by
dividing anticipated expenses by expected acquisitions of California
raisins. Because that rate will be applied to actual acquisitions, it
must be established at a rate that will provide sufficient income to
pay the Committee's expenses.
The Committee met August 15, 1995, and unanimously recommended a
1995-96 budget of $1,500,000, which is $176,000 more than the previous
year. Budget items for 1995-96 which have increased compared to those
budgeted for 1994-95 (in parentheses) are: Office salaries, $226,000
($123,000), field and compliance salaries, $75,000 ($44,000), Payroll
taxes, $32,000 ($30,000), group retirement, $23,000 ($20,000), employee
benefit expense, $6,000 ($2,500), general insurance, $16,000 ($8,000),
group medical insurance, $48,000 ($40,000), Committee members
insurance, $385 ($350), equipment expense, $20,000 ($10,000), office
travel, $20,000
[[Page 57534]]
($14,000), objective measurement survey, $15,500 ($14,750), and export
program foreign administration, $385,000 ($357,000). The Committee also
recommended $35,000 for export program trade activities and $23,000 for
research and communications, for which no funding was recommended last
year. Items which have decreased compared to those budgeted for 1994-95
(in parentheses) are: Executive salaries, $170,000 ($230,000),
Committee travel, $50,000 ($75,000), and reserve for contingencies,
$142,115 ($142,400).
The Committee unanimously recommended an assessment rate of $5.00
per ton, which is $1.00 more than last year. This rate, when applied to
anticipated acquisitions of 300,000 tons, will yield $1,500,000 in
assessment income, which will be adequate to cover anticipated
administrative expenses. Any unexpended assessment funds from the crop
year are required to be credited or refunded to the handlers from whom
collected.
An interim final rule was published in the Federal Register on
September 15, 1995 (60 FR 47860). That interim final rule added
Sec. 989.346 to authorize expenses and establish an assessment rate for
the Committee. That rule provided that interested persons could file
comments through October 16, 1995. No comments were received.
While this rule will impose some additional costs on handlers, the
costs are in the form of uniform assessments on 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 order. 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.
After consideration of all relevant matter presented, including the
information and recommendations submitted by the Committee 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.
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 (5 U.S.C. 553) because the Committee needs to have
sufficient funds to pay its expenses which are incurred on a continuous
basis. The 1995-96 crop year began on August 1, 1995. The marketing
order requires that the rate of assessment for the crop year apply to
all assessable raisins handled during the crop year. In addition,
handlers are aware of this action which was unanimously recommended by
the Committee at a public meeting and published in the Federal Register
as an interim final rule.
List of Subjects in 7 CFR Part 989
Grapes, Marketing agreements, Raisins, Reporting and recordkeeping
requirements.
For the reasons set forth in the preamble, 7 CFR part 989 is
amended as follows:
PART 989--RAISINS PRODUCED FROM GRAPES GROWN IN CALIFORNIA
Accordingly, the interim final rule amending 7 CFR part 989 which
was published at 60 FR 47860 on September 15, 1995, is adopted as a
final rule without change.
Dated: November 8, 1995.
Sharon Bomer Lauritsen,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 95-28323 Filed 11-15-95; 8:45 am]
BILLING CODE 3410-02-P
