[Federal Register Volume 60, Number 241 (Friday, December 15, 1995)]
[Rules and Regulations]
[Pages 64297-64311]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-30491]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1280
[No. LS-95-008]
Sheep Promotion, Research, and Information Program: Procedures
for the Conduct of Referendum
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule; referendum order.
-----------------------------------------------------------------------
SUMMARY: The Sheep Promotion, Research, and Information Act of 1994
(Act) authorizes a program of promotion, research, and information to
be developed through the promulgation of the Sheep and Wool Promotion,
Research, Education, and Information Order (Order). The U.S. Department
of Agriculture (Department) recently completed this process and issued
an Order which will become effective if approved by sheep producers,
sheep feeders, and importers of sheep and sheep products. Importers who
only import raw wool are not eligible to participate in the referendum.
This rule sets forth the procedures for conducting the initial
referendum and the relevant referendum dates.
DATES: Effective Date: This final rule is effective December 15, 1995.
Referendum Dates: In-person voting in the referendum will be on
February 6, 1996, at the county Cooperative Extension Service offices.
Absentee ballots will be available at those offices from January 16,
1996, through January 26, 1996. The representative period to establish
voter eligibility will be the period from January 1, 1994, through
December 31, 1994.
FOR FURTHER INFORMATION CONTACT: Ralph L. Tapp, Chief, Marketing
Programs Branch; Livestock and Seed Division; Agricultural Marketing
Service (AMS), USDA, Room 2606-S; P.O. Box 96456; Washington, D.C.
20090-6456, telephone number 202/720-1115.
SUPPLEMENTARY INFORMATION: Prior document in this proceeding: Proposed
Rule--Sheep Promotion and Research Program: Procedures for Conduct of
Referendum published August 8, 1995 (60 FR 40313).
Regulatory Impact Analysis
Executive Orders 12866 and 12778 and the Regulatory Flexibility Act
This final rule has been determined to be not significant for
purposes of Executive Order 12866 and therefore has not been reviewed
by the Office of Management and Budget (OMB).
This final rule has been reviewed under Executive Order 12778,
Civil Justice Reform. It is not intended to have a retroactive effect.
This rule would not preempt any State or local laws, regulations, or
policies unless they present an irreconcilable conflict with this rule.
The Act provides that any person subject to the 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 the law, and request a modification of the Order or an
exemption from certain provisions or obligations of the Order. The
petitioner will have the opportunity for a hearing on the petition.
Thereafter the Secretary will issue a decision on the petition. The Act
provides that the district court of the United States in any district
in which the petitioner resides or carries on business has jurisdiction
to review a ruling on the petition, if the petitioner files a complaint
for that purpose not later than 20 days after the date of the entry of
the Secretary's decision. The petitioner must exhaust his or her
administrative remedies before he or she can initiate any such
proceeding in the district court.
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA)(5 U.S.C. 601 et seq.), the Administrator of AMS has
considered the economic impact of this final action on small entities.
According to the January 27, 1995, issue of ``Sheep and Goats,''
published
[[Page 64298]]
by the Department's National Agricultural Statistics Service, there are
approximately 87,350 operations with sheep in the United States that
may be eligible to vote in the referendum. To obtain the estimated
number of importers of sheep and sheep products who would be subject to
an assessment and who may be eligible to vote in the referendum, the
Department consulted with major importer organizations whose members
import sheep and sheep products into the United States. Based on its
consultations with these organizations, the Department estimates that
the number of importers of sheep and sheep products in the United
States who would be subject to these rules and regulations is
approximately 9,000. Nearly all of the sheep operations in the United
States and nearly all of the importers of sheep and sheep products
would be classified as small entities by the Small Business
Administration (13 CFR 121.601).
This action has also been reviewed under RFA (5 U.S.C. 601 et
seq.). This final rule would establish procedures for the conduct of a
referendum to determine whether an Order promulgated under the Act
becomes operational. Such procedures would permit all eligible sheep
producers, sheep feeders, and importers of sheep and sheep products,
excluding importers who import only raw wool, who have been engaged in
sheep production, sheep feeding, or the importation of sheep and sheep
products to vote in the referendum. Participation in the referendum is
voluntary. Votes may be cast either by mail ballots or in person at
polling places. Casting votes by mail or in person would not impose a
significant economic burden on participants. Accordingly, the
Administrator of AMS has determined that this rule will not have a
significant economic impact on a substantial number of small business
entities.
Paperwork Reduction Act
In accordance with the Paperwork Reduction Act of 1980 (44 U.S.C.
Chapter 35), OMB has approved the information collection requirements
contained in this final rule. The control number assigned to the
information collection requirements in Part 1280 by OMB pursuant to the
Paperwork Reduction Act is OMB 0581-0093. The information collection
required by this action and necessary to conduct a referendum includes
the following:
(a) For in-person voting:
(1) Each sheep producer, sheep feeder, or importer of sheep and
sheep products, except an importer who imports only raw wool, who votes
in person in the referendum must sign the In-Person Voter Registration
List (Form LS-61-3) and complete a Ballot (Form LS-61) at the county
Cooperative Extension Service (CES) office of the Department. The voter
must complete the ballot and insert it into the SHEEP BALLOT envelope
(Form LS-61-1).
(2) Each producer, feeder, and importer must complete the
Registration and Certification Form that is printed on the SHEEP
REFERENDUM envelope (Form LS-61-2) and insert the SHEEP BALLOT envelope
with the enclosed ballot in the SHEEP REFERENDUM envelope (Form LS-61-
2). The estimated average time burden for completing the forms for in-
person voting is 6 minutes per voter.
(b) For absentee voting: Each sheep producer, sheep feeder, and
importer of sheep and sheep products, except an importer who imports
only raw wool, who wants to cast an absentee vote instead of an in-
person vote, must complete, in a legible manner, a combined
registration/certification and absentee ballot form (Form LS-62). The
voting producer, feeder, or importer must complete the registration/
certification and absentee ballot form (Form LS-62), remove the ballot
portion of the form, insert the ballot in a SHEEP BALLOT envelope (Form
LS-61-1)(same as for in-person voting) and then insert the sealed SHEEP
BALLOT envelope and the registration/certification form in the SHEEP
REFERENDUM envelope (Form LS-62-1). The estimated average time burden
for completing this procedure is 6 minutes per voter.
(c) The final rule requires each sheep producer, sheep feeder, or
importer of sheep and sheep products who votes in person to record his
or her name on the In-Person Voter Registration List (Form LS-61-3)
and, if applicable, the name of the entity he or she represents. The
estimated average time burden for registering to vote in person is 0.5
minutes per voter. For absentee voters, the county CES agent shall
enter on the Absentee Voter Request List (Form LS-62-2) the date the
ballot was requested, the voter's name and address, the name of the
represented entity, if any, and the date the ballot was mailed from the
county CES office. This information may be used to validate ballots and
to challenge potentially-ineligible voters. Each county CES agent will
fill out one or more of the Absentee Voter Request Lists (Form LS-62-2)
per referendum. Because only county CES agents will complete the
Absentee Voter Request List, the estimated average reporting burden
would not apply to the producer, feeder, or importer voting in the
referendum.
Based on previous referendums conducted under the National Wool Act
of 1954, the estimated number of producers, feeders, and importers who
will vote in the referendum is 25,000, with each voting once.
Background
The Act (7 U.S.C. 7101-7111) provides for the establishment of a
coordinated program of promotion, research, education, consumer
information, industry information, and producer information designed to
strengthen the sheep industry's position in the marketplace, maintain
and expand existing markets, and develop new markets and uses for sheep
and sheep products.
The program will be funded by a mandatory assessment on domestic
producers, feeders, and exporters of live sheep and greasy wool of 1-
cent-per-pound on live sheep sold and 2-cents- per-pound on greasy wool
sold. Importers will be assessed 1-cent-per-pound on live sheep, the
equivalent of 1-cent-per-pound of live sheep for sheep products as well
as 2-cents-per-pound of degreased wool or the equivalent of degreased
wool for wool and wool products. Imported raw wool would be exempt from
assessments. Each person who processes or causes to be processed sheep
and sheep products of that person's own production, and who markets the
processed products, would be assessed the equivalent of 1-cent-per-
pound of live sheep sold or 2-cents-per-pound of greasy wool sold. All
assessments may be adjusted in accordance with the applicable
provisions of the Act.
The Act requires that a referendum be conducted after the issuance
of the final Order to determine whether the Order will go into effect.
The referendum would be conducted among persons who were sheep
producers, sheep feeders, or importers of sheep and sheep products,
during a representative period specified by the Secretary. Importers
who import only raw wool are not eligible to participate in the
referendum because raw wool is exempt from assessments under the Act.
The Order would become operational only if it is approved by a majority
of the producers, feeders, and importers voting in the referendum or by
producers, feeders, and importers voting in the referendum who account
for at least two-thirds of the production represented by persons voting
in the referendum. If the Order is not approved by persons voting in
the referendum, the program will not become operational. An Order was
[[Page 64299]]
published in the Federal Register on December 5, 1995 (60 FR 62298).
To vote in the referendum, eligible persons will complete the
registration and certification form, mark their ballots and record
their volume of production on the ballot if the volume of production is
voted. The volume of production will be recorded as the number of live
domestic sheep or live sheep equivalents that a person owned or
imported during the representative period. The domestic volume of
production includes the largest number of head of domestic sheep owned
for any single consecutive 30-day period during the representative
period. The number of live sheep equivalents for imported sheep
products will be calculated based on the amount of such products
imported during the representative period. Producers, feeders, and
importers who also cast ballots based on volume of production must
determine their volume of production before they register and vote in
the referendum.
The Act specifies that the Secretary shall determine a method of
allocating, by a pro rata percentage of annual projected or actual
assessments from importers, the volume of production represented by
importers in a referendum conducted pursuant to this subpart. Because
an Order implementing the provisions of the Act has not been in effect,
imported sheep and sheep products have not been subject to the
assessments described in the proposed Order published June 2, 1995 (60
FR 28747). Consequently, there are no projected or actual annual
assessments available to use in calculating the volume of production
for importers during the representative period. In the absence of that
information on annual assessments, the Department has decided that
importers of sheep and sheep products will determine their volume of
production by converting the volume of those imported products that
would have been subject to assessment if an Order had been in effect
during the representative period. Imported sheep, sheep meat, and wool
and wool products that would have been subject to assessment during the
representative period are identified by the Harmonized Tariff Schedule
(HTS) classification numbers listed in Table 1--HTS Classification
Numbers and Conversion Factors for Imported Sheep and Sheep Products--
contained herein, which includes sheep, sheep meat, and wool and wool
products. Because the Act exempts imported raw wool from assessments,
HTS numbers and corresponding conversion factors are not included for
imported raw wool. For the purpose of the initial referendum, importers
will use the 1994 HTS classification numbers and conversion factors in
Table 1. These HTS numbers for imported sheep and sheep products are
published in the Harmonized Tariff Schedule of the United States. To
enable importers to convert sheep meat and wool and wool products
identified by the HTS numbers for 1994 listed in Table 1, the
Department will use the conversion factors listed in the same table
that correspond to each listed HTS number. The Department's Economic
Research Service (ERS) has developed these conversion factors and
maintains them in an import library. For sheep meat, these conversion
factors take into account removal of bone, weight loss in processing or
cooking, and nonsheep components of the sheep products. The conversion
factors for wool products are used to determine the raw fiber content
of imported wool products, and take into account fiber loss during
processing, fabric trim loss, and cutting loss for wool and other
nonsheep components of wool and wool products.
Factors in determining the number of live sheep equivalents include
(1) the weight of the imported sheep meat, the weight of imported wool
and wool products and the corresponding conversion factors, (2) the
average carcass weight of 57 pounds for domestic mature sheep as
published by the Department's National Agricultural Statistics Service
in the March 1995 edition of the 1994 Livestock Slaughter Summary, (3)
a dressing percentage of 50 percent, and (4) an equivalent live weight
of 114 pounds for domestic mature sheep (57 lbs. 50% = 114
lbs.). The dressing percentage of 50 percent is widely recognized as
the average dressing percentage for sheep in the United States. The
formula for calculating importer volume of production for imported wool
and wool products will use the listed conversion factors and a
degreased wool yield of 52.8 percent, as published by ERS in the 1992
Weight, Measures, and Conversion Factors for Agricultural Commodities
and Their Products, to convert degreased wool to a greasy wool basis.
In the absence of official data for carcass weights, live weights,
dressing percentages and wool yield percentages of sheep from importing
countries, the Department has determined that the initially proposed
carcass weight, the dressing percentage, the live weight, and the
percentage of degreased wool yield, on the average, would be most
representative of carcass weights, dressing percentages, live weights
and degreased wool yield percentages of sheep from which imported sheep
products are derived.
Imported live sheep require no conversion and each head of imported
live sheep will be counted in determining the total volume of
production for importers.
The calculation procedures for both imported sheep meat and
imported wool and wool products are as follows:
Imported Sheep Meat
To calculate the live sheep equivalents of imported sheep meat, an
importer would first multiply the total weight of imported sheep meat
for each applicable HTS number by the corresponding conversion factor
to determine the total carcass weight equivalent. The importer would
then divide the total carcass weight equivalent by the average carcass
weight of 57 pounds to determine the equivalent number of live sheep.
Because the carcass weight of 57 pounds represents the equivalent live
weight of 114 pounds (57 lbs. 50% = 114 lbs.), it is not
necessary to convert the carcass weight to a live weight equivalent.
The Department has determined that the number of live sheep equivalents
should be rounded to the nearest whole number. If the decimal is 0.5 or
greater, the number of head of sheep would be rounded upward (i.e., 7.5
= 8.0). If the decimal is less than 0.5, the number of head of sheep
would be rounded downward (i.e., 7.49 = 7.0). The following examples
illustrate two typical calculations:
Examples I and II
1. Sheep Meat (Bone-in)
HTS 0204100000, Carcasses and half carcasses of lamb, fresh or
chilled
Assume: Company X imports 1,000 pounds of bone-in sheep meat
Conversion factor: 1.00
Average carcass weight: 57 pounds
Calculation:
Pounds of sheep meat..................... 1,000 lbs.
Conversion factor........................ x 1.00
----------------------------
Pounds of carcass weight equivalents..... 1,000 lbs.
Average carcass weight................... 57 lbs.
----------------------------
Live sheep equivalents................... = 17.5 or 18
2. Sheep Meat (Boneless)
HTS 0204232000, Other meat of sheep, fresh or chilled: Boneless:
lamb
Assume: Company X imports 1,000 pounds of boneless sheep meat
Conversion factor: 1.52
Average carcass weight: 57 pounds
Calculation:
Pounds of sheep meat..................... 1,000 lbs.
Conversion factor........................ x 1.52
----------------------------
[[Page 64300]]
Pounds of carcass weight equivalents..... 1,520 lbs.
Average carcass weight................... 57
----------------------------
Live sheep equivalents................... = 26.7 or 27
Imported Wool and Wool Products
Because assessments of all imported products are based on weight
and the referendum vote will include a volume consideration which, for
domestic voters, will be based on live sheep, the Department has
determined that the 114 pounds of mature sheep weight will be the live
sheep equivalent for both imported sheep meat and imported wool. For
purposes of the referendum, the domestic vote is based entirely on the
number of live sheep with no regard for the wool. However, to provide
an equitable voting basis for importers of wool and wool products, an
amount of greasy wool equal in weight to a live mature sheep--114
pounds--was established as a live sheep equivalent for importers of
wool and wool products.
To calculate the number of live sheep equivalents of imported wool
products, the importer would first multiply the total weight of
imported wool products for each applicable HTS number by the
corresponding conversion factor to determine the total weight of
degreased wool. The importer would then divide the total weight of the
degreased wool equivalent by 52.8 percent, to convert the degreased
wool to a greasy wool basis. Finally, the importer would divide the
total pounds of greasy wool by the calculated average live weight of
114 pounds to determine the number of live sheep equivalents. The
Department has determined that the number of live sheep equivalents
should be rounded to the nearest whole number. If the decimal is 0.5 or
greater, the number of head of sheep would be rounded upward (i.e.,
7.5=8.0). If the decimal is less than 0.5, the number of head of sheep
would be rounded downward (i.e., 7.49=7.0). The following example
illustrates a typical calculation:
Example III
HTS 6201110010, Mens or boys overcoats of wool or fine animal
hair
Assume: Company X imports 1,000 overcoats weighing 2,000 pounds into
the United States.
Conversion factor: 0.9774
Calculation:
Weight of imported product............... 2,000 lbs.
Conversion factor........................ x 0.9774
----------------------------
Pounds of greasy wool.................... 1,954.8 lbs.
Degreased wool yield..................... 52.8%
----------------------------
Pounds of degreased wool................. 3,702.3 lbs.
Equivalent live weight................... 114 lbs.
----------------------------
Number of live sheep equivalents......... =32.5 or 33
The HTS numbers, the conversion factors, and other information used
to calculate number of live sheep equivalents apply only to the initial
referendum described herein.
The 1994 HTS classification numbers and conversion factors for
imported sheep and sheep products and wool and wool products that
importers will use in determining their volume of production are as
follows:
Table I.--HTS and Conversion Factors for Imported Sheep and Sheep
Products
------------------------------------------------------------------------
HTS CF
------------------------------------------------------------------------
Live Sheep:
0104100000................................................. 1.00
Sheep Meat:
0204100000................................................. 1.00
0204210000................................................. 1.00
0204222000................................................. 1.00
0204224000................................................. 1.00
0204232000................................................. 1.52
0204234000................................................. 1.52
0204300000................................................. 1.00
0204410000................................................. 1.00
0204422000................................................. 1.00
0204424000................................................. 1.00
0204432000................................................. 1.52
0204434000................................................. 1.52
------------------------------------------------------------------------
Wool and Wool Products
------------------------------------------------------------------------
5007106030................................................. 0.5315
5007906030................................................. 0.5315
5103100000................................................. 1.0417
5103200000................................................. 1.0417
5105100000................................................. 1.0309
5105210000................................................. 1.1111
5105290000................................................. 1.1111
5106100010................................................. 1.0417
5106100090................................................. 1.0417
5106200000................................................. 0.5208
5107100000................................................. 1.0417
5107200000................................................. 0.5208
5109102000................................................. 1.0417
5109902000................................................. 1.0417
5111112000................................................. 1.0629
5111113000................................................. 1.0629
5111117030................................................. 1.0629
5111117060................................................. 1.0629
5111191000................................................. 1.0629
5111192000................................................. 1.0629
5111196020................................................. 0.5315
5111196040................................................. 0.5315
5111196060................................................. 1.0629
5111196080................................................. 1.0629
5111200500................................................. 0.5315
5111201000................................................. 0.5315
5111209000................................................. 0.5315
5111300500................................................. 0.5315
5111301000................................................. 0.5315
5111309000................................................. 0.5315
5111903000................................................. 0.5315
5111904000................................................. 0.7972
5111905000................................................. 0.5315
5111906000................................................. 0.7972
5111909000................................................. 0.7972
5112110030................................................. 0.5315
5112110060................................................. 0.9566
5112111000................................................. 0.9566
5112112030................................................. 1.0629
5112112060................................................. 0.9566
5112192000................................................. 1.0629
5112199010................................................. 1.0629
5112199020................................................. 1.0629
5112199030................................................. 1.0629
5112199040................................................. 1.0629
5112199050................................................. 1.0629
5112199060................................................. 1.0629
5112201000................................................. 0.5315
5112202000................................................. 0.5315
5112203000................................................. 0.5315
5112301000................................................. 0.5315
5112302000................................................. 0.5315
5112303000................................................. 0.5315
5112903000................................................. 0.6378
5112904000................................................. 0.7972
5112905000................................................. 0.7972
5112909010................................................. 0.5315
5112909090................................................. 0.5315
5212111010................................................. 0.4783
5212111020................................................. 0.4783
5212116010................................................. 0.2126
5212121010................................................. 0.4783
5212121020................................................. 0.4783
5212126010................................................. 0.2126
5212131010................................................. 0.4783
5212131020................................................. 0.4783
5212136010................................................. 0.2126
5212141010................................................. 0.4783
5212141020................................................. 0.4783
5212146010................................................. 0.2126
5212151010................................................. 0.4783
5212151020................................................. 0.4783
5212156010................................................. 0.2126
5212211010................................................. 0.4783
5212211020................................................. 0.4783
5212216010................................................. 0.2126
5212221010................................................. 0.4783
5212221020................................................. 0.4783
5212226010................................................. 0.2126
5212231010................................................. 0.4783
5212231020................................................. 0.4783
5212236010................................................. 0.2126
5212241010................................................. 0.4783
5212241020................................................. 0.4783
5212246010................................................. 0.2126
5212251010................................................. 0.4783
5212251020................................................. 0.4783
5212256010................................................. 0.2126
5309212000................................................. 0.5315
5309292000................................................. 0.5315
5311002000................................................. 0.2126
5407910510................................................. 0.4783
5407910520................................................. 0.4783
5407911000................................................. 0.2126
5407920510................................................. 0.4783
5407920520................................................. 0.4783
5407921010................................................. 0.2126
5407921020................................................. 0.2126
5407930510................................................. 0.4783
5407930520................................................. 0.4783
5407931000................................................. 0.2126
5407940510................................................. 0.4783
5407940520................................................. 0.4783
5407941000................................................. 0.2126
[[Page 64301]]
5408310510................................................. 0.4783
5408310520................................................. 0.4783
5408311000................................................. 0.2126
5408320510................................................. 0.4783
5408320520................................................. 0.4783
5408321000................................................. 0.2126
5408330510................................................. 0.4783
5408330520................................................. 0.4783
5408331000................................................. 0.2126
5408340510................................................. 0.4783
5408340520................................................. 0.4783
5408341000................................................. 0.2126
5509520000................................................. 0.3646
5509610000................................................. 0.1563
5509910000................................................. 0.3646
5510200000................................................. 0.3646
5515130510................................................. 0.4783
5515130520................................................. 0.4783
5515131010................................................. 0.2126
5515131020................................................. 0.2126
5515220510................................................. 0.4783
5515220520................................................. 0.4783
5515221000................................................. 0.2126
5515920510................................................. 0.4783
5515920520................................................. 0.4783
5515921010................................................. 0.2126
5515921020................................................. 0.2126
5516310510................................................. 0.4783
5516310520................................................. 0.4783
5516311000................................................. 0.2126
5516320510................................................. 0.4783
5516320520................................................. 0.4783
5516321000................................................. 0.2126
5516330510................................................. 0.4783
5516330520................................................. 0.4783
5516331000................................................. 0.2126
5516340510................................................. 0.4783
5516340520................................................. 0.4783
5516341000................................................. 0.2126
5601290020................................................. 0.9035
5602109010................................................. 1.0629
5602109090................................................. 0.5315
5602210000................................................. 1.0629
5602903000................................................. 0.2657
5603001010................................................. 1.0629
5701101300................................................. 0.9479
5701101600................................................. 0.9479
5702101000................................................. 1.0156
5702109010................................................. 1.0156
5702311000................................................. 0.7708
5702312000................................................. 0.6563
5702411000................................................. 0.6979
5702412000................................................. 0.5729
5702512000................................................. 0.9531
5702514000................................................. 0.9010
5702912000................................................. 0.9531
5702913000................................................. 0.9531
5702914000................................................. 0.9010
5703100000................................................. 0.6313
5704100010................................................. 0.2630
5704900010................................................. 0.2630
5705002010................................................. 0.6313
5801100000................................................. 1.0629
5801902090................................................. 1.0629
5802300020................................................. 1.0629
5803901100................................................. 1.0629
5803901200................................................. 1.0629
5805001000................................................. 0.5315
5805002000................................................. 1.0629
5805002500................................................. 1.0629
5806103020................................................. 1.0629
5806391000................................................. 1.0629
5810990010................................................. 1.0629
5811001000................................................. 1.0629
5903203010................................................. 0.5315
5903903010................................................. 0.5315
6001290000................................................. 1.0629
6002209000................................................. 1.0851
6002410000................................................. 1.0851
6002490000................................................. 1.0851
6002910000................................................. 1.0851
6101100000................................................. 1.0094
6101301500................................................. 0.5047
6101900020................................................. 0.5678
6102100000................................................. 1.0094
6102301000................................................. 0.5047
6102900010................................................. 0.5678
6103110000................................................. 0.8439
6103121000................................................. 0.4823
6103122000................................................. 0.1808
6103191000................................................. 0.4823
6103191500................................................. 0.2411
6103194010................................................. 0.1206
6103194020................................................. 0.1206
6103194030................................................. 0.1206
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[[Page 64302]]
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[[Page 64303]]
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------------------------------------------------------------------------
The Act also requires the Secretary to hold additional referendums
if so requested by a representative group comprised of 10 percent or
more of the producers, feeders, and importers who, during a
representative period as determined by the Secretary, were engaged in
the production, feeding, importation, or processing of sheep or sheep
products. In any such referendum, if the continuation of the Order is
not approved by a majority of producers, feeders, and importers voting
in the referendum, or by producers, feeders, and importers voting in
the referendum who account for at least two-thirds of the production
represented by the persons voting in the referendum, the Secretary will
suspend or terminate the Order. While the proposed rule indicated that
the rules would also apply to any additional referendum conducted
pursuant to the Act, it has been determined that these rules would
apply only to the initial referendum and that rules for additional
referendums would be published as necessary. This conforms to recent
changes to other research and promotion programs.
The Act specifies that the initial referendum be conducted on a
date and location established by the Secretary, under a procedure by
which sheep producers, sheep feeders, and importers of sheep and sheep
products intending to vote in the referendum shall certify that they
were engaged in sheep production, sheep feeding, or importation of
sheep and sheep products during the representative period and, on the
same day, would vote in the referendum. In addition, the Act provides
that the Secretary must provide absentee ballots on request made either
in person or by mail. The initial referendum will be conducted at
county CES offices. The CES of the Department will coordinate with
State and county CES offices concerning their roles in conducting the
initial referendum.
The final rule sets forth procedures to be followed in conducting
the referendum under the Act, including definitions, supervision of the
referendum, registration, voting procedures, reporting referendum
results, and disposition of the ballots and records. The Farm Service
Agency (FSA) of the Department will assist in the conduct of the
referendum by (1) counting ballots, (2) determining the eligibility of
challenged voters, and (3) reporting referendum results.
On August 8, 1995, AMS published in the Federal Register (60 FR
40313) a proposed rule that set forth procedures to be followed in
conducting the referendum under the Act. The proposed rule included
provisions concerning definitions, supervision of the referendum,
registration, voting procedures, reporting referendum results, and
disposition of the ballots and records. It also proposed that the
initial referendum be conducted at the county CES offices and that FSA,
formerly the Agricultural Stabilization and Conservation Service of the
Department, assist in the conduct of the referendum by (1) counting
ballots, (2) determining the eligibility of challenged voters, and (3)
reporting referendum results.
The proposed rule was published (60 FR 40313, August 8, 1995) with
a request for comments to be submitted by September 7, 1995. The
Department received 26 written comments concerning the proposed
referendum procedures from individual sheep producers and sheep
feeders, as well as producer, feeder, and importer organizations and
universities. Twenty-three written comments were filed on time and
three comments were filed after the comment period closed. The late
comments generally expressed the same views as the timely comments
which are responded to herein. The commenters generally supported the
proposed rule with certain qualifications.
The substantive changes suggested by commenters are discussed
below, together with a description of the
[[Page 64304]]
substantive changes made by the Department upon review of the proposed
procedures for the conduct of the referendum. Also, the Department has
made other minor changes of a nonsubstantive nature for purposes of
clarity and accuracy. For the reader's convenience, the discussion is
organized by the topic headings of the proposed rule.
Definitions
Section 1280.621 Raw Wool
Twenty commenters suggested that the definition of ``raw wool''
should include wooltop, noils of wool, and wool waste. The Department
finds that wooltop, noils of wool, and wool waste result from the
processing of raw wool as defined in the Act and that to expand the
definition would not be consistent with the intent of the Act.
Accordingly, this suggestion is not adopted in the final rule.
Section 1280.624 Representative Period
Twenty-one commenters suggested that the representative period
should be the 1995 calendar year. The Department has determined that
the representative period should be the 12 consecutive months of
calendar year 1994 to ensure that importers have ample opportunity to
calculate their ``volume of production'' prior to casting a ballot.
This is particularly true for those persons voting absentee.
Accordingly, this suggestion is not adopted.
Section 1280.631 Volume of Production
Four commenters suggested that the importer's volume of production
should be based on imports for a single consecutive 30-day period
within the 12-month representative period, because domestic production
is based on a 30-day period. The commenters were concerned that basing
importer's volume of production on imports for an entire year would
provide importers with an advantage over domestic producers. The
Department finds that basing importer's volume of production on import
volume for a calendar year is consistent with Sec. 6(c)(4) of the Act.
Accordingly, this suggestion is not adopted.
One commenter suggested that lambs younger than 6 months of age
should be counted toward a producer's or feeder's volume of production
total because all imported sheep products are used to calculate
importers' live animal equivalents for the 12-month representative
period. The Department determined that this suggestion has merit
because all sheep and lambs in the inventory are subject to sale during
a calendar year and many are marketed at less than 6 months of age.
Accordingly, this suggestion is adopted and we have amended
Sec. 1280.631, Volume of Production, to reflect this change.
One commenter questioned whether domestic producers would be
required to use a conversion factor to determine domestic volume of
production. The Department has determined that domestic volume of
production would be based on the number of live sheep owned
continuously during a single period of at least 30 days during calendar
year 1994, and located in the United States. Accordingly, no conversion
factors are necessary for domestic producers or feeders. Two commenters
suggested that the Department review the definition of volume of
production and revise it to include an actual head count to establish
volume of production. The commenter believed this would more accurately
reflect the annual flock size of each producer. The Department reviewed
this definition and determined that the basis for establishing volume
of production is consistent with the intent of the Act. Accordingly,
this suggestion is not adopted.
Referendum
Section 1280.650 General
One commenter asked whether two-thirds of the production
represented by those persons voting in the referendum, or whether 51
percent of the simple majority vote could approve or defeat the Order.
The Act provides that the final Order will become effective if it is
approved by either a simple majority of the producers, feeders, and
importers voting in the referendum or by those voting who account for
at least two-thirds of the production represented by persons voting in
the referendum.
One commenter suggested that the simple majority vote and the
eligibility requirements that allow any sheep owner to participate in
the referendum could mean that a disproportionately high number of
hobby sheep owners will participate in the referendum and might lead to
the adoption of an Order commercial producers, feeders, and importers
are not in favor of it. The Act provides that each person who markets
sheep and sheep products is subject to the assessment provisions of the
Act. Therefore, all persons who are required to pay an assessment would
be entitled to vote in the referendum regardless of the number of sheep
they owned. Accordingly, this suggestion is not adopted.
One commenter suggested that the Order should not become operative
unless the Secretary finds that at least 40 percent of those eligible
to vote have participated in the referendum and that: (1) 65 percent of
those voting cast votes in favor of implementation of the Order, and
those so voting own the majority of the total quantity of sheep and
sheep products in the preceding year owned by all who voted in the
referendum, and (2) a majority of those who voted in favor of
implementation of the Order, and those so voting owned 65 percent or
more of the total quantity of sheep and sheep products in the preceding
year owned by all who voted in the referendum. The Act provides that
all persons who were engaged in the production, feeding, or importation
of sheep or sheep products will be eligible to vote and that each
person may cast a vote. Additionally, the Act provides that for the
Order to become effective, it has to be approved by either a simple
majority of the producers, feeders, and importers voting in the
referendum or by those voting who account for at least two-thirds of
the production represented by those persons voting in the referendum.
Accordingly, this suggestion is not adopted.
Section 1280.652 Eligibility
Twenty-four commenters suggested either that no person under the
age of 18 should be allowed to vote or that there should be some age
limitation on eligibility to vote in the referendum. The Department
finds that any person who is subject to the assessment should be
entitled to vote. Accordingly, this suggestion is not adopted.
Nineteen commenters asked if producers who also qualify as feeders
could vote once as a producer and once as a feeder. Section 1280.652 of
the rule specifically states that each producer, feeder, and importer
entity shall be entitled to cast only one ballot in the referendum. The
intent is that there is only one vote per individual or legal entity.
Thus, an individual who is both a producer and a feeder would have only
one vote unless the individual represents more than one legal entity.
One commenter suggested that a person who collects a wool incentive
check should be the only person eligible to vote. The Act specifically
designates and establishes the requirements of those persons who are
eligible to vote in the referendum. Receiving a wool incentive check
under the National Wool Act of 1954 is not a requirement of eligibility
to vote in the referendum. The Department believes that each person who
is subject to the assessment should be entitled to cast a vote.
[[Page 64305]]
Accordingly, this suggestion is not adopted.
One commenter asked why a person who owned only one sheep for any
single consecutive 30-day period in 1994 should have the same voting
privileges as a producer who makes his or her living in the sheep
business. If the Order is approved in referendum, all sales of domestic
sheep and greasy wool will be subject to the assessment under the
Order. Thus, the Department finds that any person subject to the
assessment should be entitled to vote.
One commenter questioned whether the American producers want
importers of sheep and sheep products voting in the referendum. The Act
specifies that producers, feeders, and importers, except importers of
raw wool, who were engaged in the production, feeding, or importation
of sheep and sheep products during the representative period will be
eligible to vote.
Two commenters suggested that all votes should be based on the
actual volume of production (i.e., one sheep equals one vote). The Act
clearly provides for approval of the Order based on a simple majority
vote of participants or a two-thirds majority of the production
represented by those voting in the referendum. Accordingly, this
suggestion is not adopted.
One commenter suggested that voter eligibility needed to be
clarified, but did not suggest any particular language. The Department
has determined that any person who was a sheep producer, sheep feeder,
or importer of sheep and sheep products during the representative
period is eligible to vote and shall be entitled to cast one ballot in
the referendum.
Section 1280.655 Registration Form and Ballot.
The Department, after further review of this section, determined
that the last sentence in this section beginning with ``The ballot * *
*'' and ending with ``* * * volume of production,'' should be deleted
because it duplicates the fourth sentence in this section and thus is
not necessary. Accordingly, the last sentence is deleted from this
final rule.
Additionally, the Department is clarifying this section to make it
clear that producers, feeders, and importers will enter their volume of
production on the ballot, only if they intend to also cast their ballot
based on their volume of production. Accordingly, we have amended
Sec. 1280.655 to reflect this clarification.
Section 1280.656 Registration and Voting.
One commenter suggested that a signature should not be required to
request an absentee ballot. The rule does not require a signature, but
it is the Department's intent that the request for an absentee ballot
be made only by persons who are eligible to vote. It is the
Department's expectation that nearly all written requests will be
signed. No change in the final rule is required to accommodate this
suggestion. The same commenter recommended that requests for an
absentee ballot via electronic mail (e-mail) system be accepted. Since
e-mail is available at many locations, using this method of
communication would likely facilitate requests for absentee ballots for
e-mail users in those offices that can receive e-mail. Any requests for
absentee ballots by e-mail would be subject to the same conditions that
apply to absentee ballots requested by mail or in person. Accordingly,
this suggestion is adopted.
Additional Comments
One commenter suggested that the Department use the 63 pound
average carcass weight for lambs and yearlings rather than the 57 pound
average carcass weight for mature sheep to convert imported sheep meat
to a live animal equivalent. The Department finds that the average
carcass weight for imported lambs is widely recognized as being less
than the average carcass weight of domestically slaughtered lambs and
yearlings. Therefore, in the absence of definitive imported carcass
weights and dressing percents, the Department believes that the 57
pound mature sheep weight as officially published in 1994 Livestock
Slaughter Summary in March of 1995 more nearly reflects the average
carcass weight of imported lamb and should be used for the purpose of
calculating import volume of production for this initial referendum.
Accordingly, this suggestion is not adopted.
Twenty commenters asked which base number the Department would use
if a request or petition were made by a representative group comprised
of 10 percent or more of the producers, feeders, and importers to
conduct a subsequent referendum. The Department would use the most
recent officially published Government data available at the time the
request is made.
One commenter suggested that the conversion factors for wool
products that account for fiber loss during production, fabric trim
loss, and cutting loss be clarified to account only for the loss that
is not recoverable and cannot be recycled back through the processing
system at some point in the future. After discussions with the
Department's Economic Research Service (ERS), the Department believes
that these suggestions should be considered in any future revisions of
the conversion factors that ERS may publish as an import library and
maintained and updated. The conversion factors that account for fiber
lost during processing are currently established by ERS based on
consultation with major wool manufacturers. The Department does not
intend to propose any changes to the most recent published conversion
factors for the purpose of this initial referendum. Accordingly, this
suggestion is not adopted.
Three commenters suggested that the proposed method of converting
the weight of wool represented by wool product imports is inherently
incorrect in that it (1) uses conversion factors developed for sheep
and sheep products, (2) assumes that they translate equally to wool and
wool products, and (3) will significantly understate the contribution
of wool product imports. The commenters further suggested that the
greasy wool equivalent weight of wool products should be determined by
fleece weight for both the U.S. producers and importers rather than the
live sheep weight for importers and the fleece weight for domestic
producers. Additionally, the commenters suggested that the common
denominator for determining live sheep equivalents for wool and wool
products should be the average weight of greasy wool fleece. Finally,
the commenters suggested that the Department use 7.7 pounds of greasy
wool per head as published by the Department's National Agricultural
Statistics Service in the March 29, 1995, issue of ``Wool and Mohair''
to calculate the number of live animal equivalents rather than the 114
pound of live weight as proposed by the Department. The Department
reviewed these comments carefully and determined that since domestic
volume of production is based on the number of live animals and not on
wool production that a live weight which more nearly reflects the live
weight of imported sheep would be used to calculate the number of live
sheep equivalents for both imported sheep meat and wool products.
Accordingly, this suggestion is not adopted.
Two commenters suggested that the Department review the conversion
factors to ensure that conversion factors are consistent. ERS maintains
these conversion factors as an import library, reviews these factors
periodically, and
[[Page 64306]]
makes changes whenever new or additional information is available. At
this time the Department does not anticipate changes in the conversion
factors for the purposes of the vote. Nevertheless, we welcome all
information regarding conversion factors with the goal of adding to our
knowledge of fiber contents for all wool and wool products.
Three commenters suggested that the Department initiate a fact
finding process to identify importers eligible to vote in the
referendum to ensure that all importers identified are adequately
notified of the referendum. Additionally, one commenter suggested that
voting instructions and absentee ballots be mailed to all importers.
The Department believes that producers, feeders, and importers will
have ample opportunity to learn of the referendum through industry
organizations, newspapers, industry publications, Federal Register, and
other news service resources. The Department will make information
concerning the referendum available to a variety of news outlets,
including outlets recommended by importers. An absentee voting period
will be announced when the in person voting date is announced.
Producers, feeders, and importers will request an absentee ballot from
the county CES office and mail or personally deliver the absentee
ballot to the county CES office where the absentee ballot was
requested. Accordingly, we have not adopted these suggestions as
proposed.
One commenter requested that the Department permanently establish,
through regulatory promulgation, HTS numbers subject to assessment as
part of this proposed rule. The Department published in the October 3,
1995, Federal Register (60 FR 51737) for public comment implementing
rules and regulations, which include HTS classification numbers subject
to assessment. Thus, the commenters' proposal has already been proposed
in another rulemaking.
One commenter suggested that AMS should use information available
from the U.S. Customs Service to calculate the volume vote for each
importer in the referendum rather than requiring importers to make this
calculation. The Department believes that this information should be
readily available to importer businesses through normal recordkeeping
processes. Accordingly this suggestion is not adopted.
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 action until
30 days after publication in the Federal Register. An Order which will
be the subject of a referendum vote was published in the December 5,
1995, Federal Register (60 FR 62298). For the program to become
operational, the Order must be approved by sheep producers, sheep
feeders, and importers of sheep and sheep products voting in the
initial referendum. In order to conduct a referendum in a timely
manner, this rule should be made effective as soon as possible.
Further, interested persons were afforded a 30 day comment period on
the proposed referendum rule, and no useful purpose would be served in
delaying the effective date. Therefore, this final rule is effective on
the date of publication in the Federal Register.
Referendum Order
It is hereby directed that a referendum be conducted among eligible
sheep producers, sheep feeders, and importers of sheep and sheep
products to determine whether an Order will become effective if
approved by those eligible persons voting in the referendum. In-person
voting in the referendum will be on February 6, 1996, at the county
Cooperative Extension Service offices. Absentee ballots will be
available at those offices from January 16, 1996, through January 26,
1996. The representative period to establish voter eligibility will be
the period from January 1, 1994, through December 31, 1994.
In summary, this final rule adopts provisions of the August 8, 1995
proposed rule with the changes discussed herein and with other minor
changes made for purposes of clarity and accuracy.
List of Subjects in 7 CFR Part 1280
Administrative practice and procedure, Advertising, Agricultural
research, Marketing agreements, Sheep and sheep products, Reporting and
recordkeeping requirements.
For the reasons set forth in the preamble, 7 CFR part 1280 is added
to Chapter XI to read as follows:
PART 1280--SHEEP PROMOTION, RESEARCH, AND INFORMATION
Subpart A--[Reserved]
Subpart B--[Reserved]
Subpart C--[Reserved]
Subpart D--[Reserved]
Subpart E--Procedures for the Conduct of Referendum
Definitions
Sec.
1280.601 Act.
1280.602 Administrator.
1280.603 Carbonized wool.
1280.604 Farm Service Agency.
1280.605 Farm Service Agency County Committee.
1280.606 Farm Service Agency County Executive Director.
1280.607 Cooperative Extension Service.
1280.608 Cooperative Extension Service agent.
1280.609 Cooperative Extension Service of the U.S. Department of
Agriculture.
1280.610 Degreased wool.
1280.611 Department.
1280.612 Deputy Administrator.
1280.613 Feeder.
1280.614 Greasy wool.
1280.615 Importer.
1280.616 Order.
1280.617 Person.
1280.618 Producer.
1280.619 Public notice.
1280.620 Pulled wool.
1280.621 Raw wool.
1280.622 Referendum.
1280.623 Registration period.
1280.624 Representative period.
1280.625 Secretary.
1280.626 Sheep.
1280.627 Sheep products.
1280.628 State.
1280.629 Unit.
1280.630 United States.
1280.631 Volume of production.
1280.632 Voting period.
1280.633 Wool.
1280.634 Wool products.
Referendum
1280.650 General.
1280.651 Supervision of referendum.
1280.652 Eligibility.
1280.653 Time and place of registration and voting.
1280.654 Facilities for registering and voting.
1280.655 Registration form and ballot.
1280.656 Registration and voting procedures.
1280.657 List of registered voters.
1280.658 Challenge of voters.
1280.659 Receiving ballots.
1280.660 Canvassing ballots.
1280.661 FSA county office report.
1280.662 FSA State office report.
1280.663 Results of the referendum.
1280.664 Disposition of ballots and records.
1280.665 Instructions and forms.
Authority: 7 U.S.C. 7101-7111.
Subpart E--Procedures for the Conduct of Referendum
Definitions
Sec. 1280.601 Act.
The term Act means the Sheep Promotion, Research, and Information
Act of 1994, 7 U.S.C. 7101-7111; Public Law 103-407; 108 Statute 4210;
as approved October 22, 1994, and any amendments thereto.
Sec. 1280.602 Administrator.
The term Administrator means the Administrator of the Agricultural
Marketing Service, or any officer or
[[Page 64307]]
employee of the Department to whom there has heretofore been delegated
or may hereafter be delegated the authority to act in the
Administrator's stead.
Sec. 1280.603 Carbonized wool.
The term Carbonized wool means wool that has been immersed in a
bath, usually of mineral acids or acid salts, that destroys vegetable
matter in the wool, but does not affect the wool fibers.
Sec. 1280.604 Farm Service Agency.
The term Farm Service Agency--formerly Agricultural Stabilization
and Conservation Service (ASCS)--also referred to as ``FSA,'' means the
Farm Service Agency of the Department.
Sec. 1280.605 Farm Service Agency County Committee.
The term Farm Service Agency County Committee, also referred to as
the ``FSA County Committee or COC,'' means the group of persons within
a county elected to act as the FSA County Committee or COC.
Sec. 1280.606 Farm Service Agency County Executive Director.
The term Farm Service Agency County Executive Director also
referred as the ``FSA County Executive Director,'' means the person
employed by the FSA County Committee to execute the policies of the FSA
County Committee and be responsible for the day-to-day operations of
the county FSA office, or the person acting in such capacity.
Sec. 1280.607 Cooperative Extension Service.
The term Cooperative Extension Service, also referred to as ``CES''
means the State partner in the Cooperative Extension Service system.
Sec. 1280.608 Cooperative Extension Service Agent.
The term Cooperative Extension Service Agent, also referred to as
the ``CES Agent,'' means an employee of the Cooperative Extension
Service.
Sec. 1280.609 Cooperative Extension Service of the U.S. Department of
Agriculture.
The term Cooperative Extension Service of the U.S. Department of
Agriculture, also referred to as ``CES,'' means the Federal component
of the Cooperative Extension Service.
Sec. 1280.610 Degreased wool.
The term Degreased wool means wool from which the bulk of
impurities has been removed by processing.
Sec. 1280.611 Department.
The term Department means the U.S. Department of Agriculture.
Sec. 1280.612 Deputy Administrator.
The term Deputy Administrator means the Deputy Administrator for
Program Delivery and Field Operations, FSA, U.S. Department of
Agriculture or any officer or employee of the Department to whom there
has heretofore been delegated or may hereafter be delegated the
authority to act in the Deputy Administrator's stead.
Sec. 1280.613 Feeder.
The term Feeder means a person who feeds lambs until the lambs
reach slaughter weight.
Sec. 1280.614 Greasy wool.
The term Greasy wool means wool that has not been washed or
otherwise cleaned.
Sec. 1280.615 Importer.
The term Importer means any person who imports sheep and sheep
products into the United States.
Sec. 1280.616 Order.
The term Order means the Sheep and Wool Promotion, Research,
Education, and Information Order.
Sec. 1280.617 Person.
The term Person means any individual, group of individuals,
partnership, corporation, association, cooperative, or any other legal
entity.
Sec. 1280.618 Producer.
The term Producer means any person, other than a feeder, who owns
or acquires ownership of sheep.
Sec. 1280.619 Public notice.
The term Public notice means information regarding a referendum
which shall be provided by the Secretary, without advertising expenses,
through press releases and by State and county CES offices and county
FSA offices, by means of newspapers, electronic media, county
newsletters, and the like. Such notice shall contain the referendum
date and location, registration and voting requirements, rules
regarding absentee voting, and other pertinent information.
Sec. 1280.620 Pulled wool.
The term Pulled wool means wool that is pulled from the skin of
slaughtered sheep.
Sec. 1280.621 Raw wool.
The term Raw wool means greasy wool, pulled wool, degreased wool,
or other carbonized wool.
Sec. 1280.622 Referendum.
The term Referendum means any referendum to be conducted by the
Secretary pursuant to the Act where producers, feeders, and importers
of sheep and sheep products, except an importer of only raw wool, shall
be given the opportunity to vote.
Sec. 1280.623 Registration period.
The term Registration period means a 1 day period to be announced
by the Secretary for registration of producers, feeders, and importers
desiring to vote in a referendum. The registration period shall be the
same day as the voting period.
Sec. 1280.624 Representative period.
The term Representative period means 12 consecutive months of
calendar year 1994.
Sec. 1280.625 Secretary.
The term Secretary means the Secretary of Agriculture of the United
States or any other officer or employee of the Department to whom there
has been delegated or to whom authority may hereafter be delegated to
act in the Secretary's stead.
Sec. 1280.626 Sheep.
The term Sheep means ovine animals of any age, including lambs.
Sec. 1280.627 Sheep products.
The term Sheep products means products produced, in whole or in
part, from sheep, including wool and products containing wool fiber.
Sec. 1280.628 State.
The term State means each of the 50 States.
Sec. 1280.629 Unit.
The term Unit means each State, group of States, or class
designation that is represented on the Board.
Sec. 1280.630 United States.
The term United States means the 50 States and the District of
Columbia.
Sec. 1280.631 Volume of production
The term volume of production means the largest number of head of
domestic sheep that a domestic sheep producer or sheep feeder entity
continuously owned and that were located in the United States during
any single consecutive 30-day period during the representative period.
The term ``volume of production'' also means the number of head of
imported live sheep or the number of live sheep equivalents that an
importer imported into the United States during the representative
period, excluding imported raw wool.
Sec. 1280.632 Voting period.
The term Voting period means a 1-day period to be announced by the
Secretary for voting in the referendum.
[[Page 64308]]
Sec. 1280.633 Wool.
The term Wool means the fiber from the fleece of a sheep.
Sec. 1280.634 Wool products.
The term Wool products means products produced, in whole or in
part, from wool and products containing wool fiber.
Referendum
Sec. 1280.650 General.
(a) A referendum to determine whether eligible sheep producers,
sheep feeders, and importers of sheep and sheep products approve the
Order. Importers who only import raw wool are not eligible to vote in
the referendum.
(b) The Order shall become operational only if the Secretary
determines that the Order is approved by a majority of sheep producers,
sheep feeders, and importers of sheep and sheep products voting in the
referendum or by sheep producers, sheep feeders, and importers of sheep
and sheep products voting in the referendum who account for at least
two-thirds of the production represented by those voting in the
referendum.
(c) The initial referendum shall be conducted at the county CES
offices.
(d) The FSA of the Department shall assist in the conduct of the
initial referendum.
Sec. 1280.651 Supervision of referendum.
The Administrator shall be responsible for conducting the
referendum in accordance with this subpart.
Sec. 1280.652 Eligibility.
(a) Eligible producers, feeders, and importers. Each person who was
a sheep producer, sheep feeder, or importer of sheep and sheep products
during the representative period is entitled to register and vote in
the referendum. Each producer, feeder, and importer entity shall be
entitled to cast only one ballot in the referendum. Importers who only
import raw wool are not eligible to register and vote in the
referendum.
(b) Proxy registration and voting. Proxy registration and voting is
not authorized, except that an officer or employee of a corporate
producer, feeder, or importer, or any guardian, administrator,
executor, or trustee of a producer's, feeder's, or importer's estate,
or an authorized representative of any eligible producer, feeder, or
importer entity (other than an individual producer, feeder, or
importer), such as a corporation or partnership, may register and cast
a ballot on behalf of that entity. Any individual who registers to vote
in the referendum on behalf of any producer, feeder, or importer entity
shall certify that he or she is authorized by such entity to take such
action.
(c) Joint and group interest. A group of individuals, such as
members of a family, joint tenants, tenants in common, a partnership,
owners of community property, or a corporation engaged in sheep
production, sheep feeding, or the importation of sheep and sheep
products as a producer, feeder, or importer entity, shall be entitled
to only one vote, provided, however, that any member of a group may
register to vote as a producer, feeder, or importer if he or she is an
eligible producer, feeder, or importer separate from the group.
Sec. 1280.653 Time and place of registration and voting.
The referendum shall be held for one day on a date to be determined
by the Secretary. Eligible persons shall register and vote following
the procedures in Sec. 1280.656. Except for absentee ballots,
registration and voting shall take place during the normal business
hours of each county CES office.
Sec. 1280.654 Facilities for registering and voting.
Each county CES office shall provide:
(a) adequate facilities and space to permit producers, feeders, and
importers to register and to mark their ballots in secret,
(b) a sealed box or other suitable receptacle for registration
forms and ballots that is kept under observation during office hours
and secured at all times, and
(c) copies of the Order for review.
Sec. 1280.655 Registration form and ballot.
A ballot (Form LS-61) and a registration and certification form
(Form LS-61-2) shall be used for voting in person. The information
required on the registration and certification form includes name,
address, telephone number, and county of voter residence. The form also
contains the certification statement referenced in Sec. 1280.656(a)(1).
The ballot requires producers, feeders and importers to check a ``yes''
or ``no'' and provides space to record volume of production. If a
producer, feeder, or importer wishes to cast their ballot based on
their volume of production, the voter must record their volume of
production in the space provided on the ballot. A combined
registration/certification and ballot form (Form LS-62) shall be used
for absentee voting. The information required on the combined
registration/certification and ballot form includes name, address,
telephone number, and county of voter residence. Form LS-62 also
contains the certification statement referenced in Sec. 1280.656(b)(1)
and the absentee ballot.
Sec. 1280.656 Registration and voting procedures.
(a) Registering and voting in-person.
(1) Each producer, feeder, and importer, except importers who
import only raw wool, who wants to vote in a referendum shall register
on the day of voting at the county CES office in which the producer's,
feeder's, or importer's residence is located, or at the county CES
office that serves the county in which the producer's, feeder's, or
importer's residence is located. Producer, feeder, or importer entities
other than individuals shall register at the county CES office in the
county in which their headquarters office or business is located, or at
the county CES office that serves the county in which the entities'
headquarters office or business is located. Producers, feeders, and
importers will be required to record on the in-person voter
registration list (Form LS-61-3) their names and, if applicable, the
name of the entity they represent before they receive a registration
and certification form and ballot. To register, producers, feeders, or
importers shall complete the registration and certification form (Form
LS-61-2) and certify that:
(i) they or the entity they represent were producers, feeders, or
importers during the specified representative period;
(ii) the person voting on behalf of an entity referred to in
Sec. 1280.652 is authorized to do so; and
(iii) the volume of production listed on the ballot is a true and
accurate representation.
(2) Each eligible producer, feeder, or importer who has not voted
by means of an absentee ballot may cast a ballot in-person at the
location and time set forth in Sec. 1280.653 and on a date to be
announced by the Secretary. Eligible persons who record their name and
the entity they represent on the in-person voter registration list
(Form LS-61-3) will receive a registration and certification form (Form
LS-61-2) and a ballot (Form LS-61). Voting shall be conducted under the
supervision of the county CES agent or designee. Voters will enter the
information requested on the registration and certification form (Form
LS-61-2) as indicated above. Producers, feeders, and importers will
then mark their ballots to indicate ``yes'' or ``no'' and if voting
volume of production record their volume of production in the space
provided on the ballot. Voters shall place their
[[Page 64309]]
completed ballots in an envelope marked ``SHEEP BALLOT,'' (Form LS-61-
1) seal and place it in the completed and signed registration and
certification form/envelope marked ``SHEEP REFERENDUM,'' (Form LS-61-2)
seal that envelope and personally place it in a box marked ``Ballot
Box'' or other suitable receptacle. A copy of the applicable in-person
voter registration list (Form LS-61-3) prepared by the county CES
office shall be provided to each FSA county office for in-person voter
verification.
(b) Absentee voting. (1) Eligible producers, feeders, and importers
who are unable to vote in person may request a combined registration/
certification and absentee ballot form (Form LS-62) and two envelopes--
one marked ``SHEEP BALLOT'' (Form LS-61-1) and the other marked ``SHEEP
REFERENDUM'' (LS-62-1), by mail or in person from the county CES office
in the county in which they reside or the county CES office that serves
the county in which they reside, if individuals, or in which their main
office is located, if a corporation or other entity. These forms and
envelopes will be mailed by the county CES agent or designee to the
address provided by the prospective voter. Only one absentee
registration/certification form and absentee ballot will be provided to
each eligible producer, feeder, or importer. The forms must be
requested during a specified time period which will be announced by the
Secretary. The county CES office shall enter on the absentee voter
request list (Form LS-62-2) the name, address and entity requesting an
absentee ballot and the date the forms were requested. A copy of the
applicable absentee voter request list (Form LS-62-2) prepared by the
county CES office shall be provided to each FSA county office for
absentee voter verification.
(2) To register, eligible producers, feeders, and importers must
complete and sign the combined registration/certification form and
absentee ballot (Form LS-62) and certify that:
(i) they or the entity they represent were producers, feeders, or
importers during the specified representative period,
(ii) if voting on behalf of an entity referred to in Sec. 1280.652,
they are authorized to do so; and
(iii) the volume of production listed on the ballot is a true and
accurate representation.
(3) A producer, feeder, or importer, after completing the absentee
voter registration form and the ballot, shall remove the ballot portion
of the combined registration/certification and absentee ballot form
(Form LS-62) and seal the completed ballot in a separate envelope
marked ``SHEEP BALLOT'' (Form LS-61-1) and place the sealed envelope in
a second envelope marked ``SHEEP REFERENDUM'' (Form LS-62-1) along with
the signed registration form. Producers, feeders, and importers shall
legibly print their names on the envelope marked ``SHEEP REFERENDUM''
(Form LS-62-1), and mail or hand deliver it to the local county CES
office of the county in which they reside or the county CES office
serving the county in which they reside. In the case of a partnership,
corporation, estate, or other entity, the registration form and ballot
must be mailed or hand delivered to the county CES office in the county
in which its main office is located or the county CES office in the
county serving the county in which its main office is located.
(4) Absentee ballots must be received in the county CES office by
the close of business, 2 business days before the date of the
referendum. Absentee ballots received after that date shall be counted
as invalid ballots. Upon receiving the ``SHEEP REFERENDUM'' envelope
containing the registration form and ballot, the county CES agent or
designee shall place it, unopened in a secure ballot box. The county
CES agent or designee shall record receipt of the absentee vote on the
absentee voter request list (Form LS-62-2).
(5) A person who casts an absentee ballot that is not recorded as
being received or that is received after the deadline specified in this
section may vote in person at the appropriate county CES office on the
day of the referendum.
Sec. 1280.657 List of registered voters.
The in-person voter registration list (Form LS-61-3) and the
absentee voter request list (Form LS-62-2) shall be available for
inspection on the day of the referendum at the county CES office and
subsequently at the FSA county office. They shall be posted during
regular office hours in a conspicuous public location at the FSA county
office on the second business day following the date of the referendum.
Sec. 1280.658 Challenge of voters.
(a) Challenge period. On the day of the referendum, the names of
voters challenged shall be reported to the CES county agent, who will
refer them to the FSA county office. After that, the names of the
challenged voters shall be referred directly to the FSA county office.
A challenge may be made no later than the close of business on the
second business day after the date of the referendum.
(b) Who may challenge. Any person may challenge a voter. Any person
who wants to challenge must do so in writing and must include the full
name of the individual or other entity being challenged. Each challenge
of a voter must be made separately and each challenge must be signed by
the challenger. The Secretary may issue other guidelines as the
Secretary deems necessary.
(c) Determination of challenges. The FSA County Committee or its
representative, acting on behalf of the Administrator, shall make a
determination concerning the challenge and shall notify challenged
producers, feeders, or importers as soon as practicable, but no later
than five business days after the date of the referendum. If the FSA
County Committee or its representative, acting on behalf of the
Administrator, is unable to determine whether a person was a producer,
feeder, or importer during the representative period, or verify a
voter's recorded volume of production, it may require the person
challenged to submit records such as sales documents, import documents,
or other similar documents in order to demonstrate his or her
eligibility or to prove that the person was a producer, feeder, or
importer during the representative period and to verify that the
recorded volume of production was accurately stated.
(d) Challenged ballot. The registration and certification form
(Form LS-61-2) containing the ballots cast by producers, feeders, or
importers voting in person who are challenged shall be removed from the
ballot box and placed in a separate box until the challenge has been
resolved. The SHEEP REFERENDUM envelopes (Form LS-62-1) containing
absentee voter registration forms and absentee ballots of challenged
absentee voters also shall be removed from the ballot box and placed in
the box containing ballots of challenged producers, feeders, and
importers. A challenge to a ballot shall be deemed to have been
resolved if the determination of the FSA County Committee or its
representative is not appealed within the time allowed for appeal or
there has been a determination by FSA after an appeal.
(e) Appeal. A person declared to be ineligible to register and vote
or whose recorded volume of production has been questioned by the FSA
County Committee or its designee, acting on behalf of the
Administrator, may file an appeal at the FSA county office within three
business days after notification of such decision. Such person may be
required to provide documentation such as sales documents, import
documents, or similar documents in order to demonstrate his or her
eligibility or
[[Page 64310]]
verify the recorded volume of production. An appeal shall be determined
by the FSA County Committee, or its designee, acting on behalf of the
Administrator, as soon as practicable, but in all cases not later than
the ninth business day after the date of the referendum. The FSA County
Committee or its designee's determination on an appeal is final.
Sec. 1280.659 Receiving ballots.
A ballot shall be considered to have been received during the
voting period if:
(a) it was cast in person in the county CES office prior to the
close of business on the day of the referendum; or
(b) it was cast as an absentee ballot, and was received in the
county CES office not later than two business days before the date of
the referendum.
Sec. 1280.660 Canvassing ballots.
(a) Counting the ballots. The county CES agent or designee shall
deliver the sealed ballot box, the in-person voter registration list
(Form LS-61-3) and the absentee voter request list (Form LS-62-2) to
the FSA county office by the close of business on the first business
day following the date of the referendum. FSA county Executive Director
and the county CES agent or designee shall check the registration forms
and ballots of all voters against the in-person voter registration list
(Form LS-61-3) and the absentee voter request list (Form LS-62-2) to
determine properly registered voters. The ballots of producers,
feeders, and importers voting in person whose names are not on the in-
person voter registration list (Form LS-61-3), shall be declared
invalid. Likewise, the ballots of producers, feeders, and importers
voting absentee whose names are not on the absentee voter request list
(Form LS-62-2) shall be declared invalid. All ballots of challenged
voters declared ineligible or invalid shall be kept separate from the
other ballots and shall not be counted as valid ballots. The valid
ballots shall be counted on the tenth business day after the referendum
date. FSA county office employees shall remove the ``SHEEP BALLOT''
envelope from the registration/certification form envelopes or absentee
ballot envelopes of all eligible voters and all challenged voters
determined to be eligible. After removing all ``Sheep Ballot''
envelopes, FSA county employees shall open them and count the ballots.
The ballots shall be counted as follows:
(1) Number of eligible producers, feeders, and importers casting
valid ballots;
(2) Number of producers, feeders, and importers favoring the Order;
(3) Number of producers, feeders, and importers not approving the
Order;
(4) Volume of production recorded by producers, feeders, and
importers approving the Order;
(5) Volume of production of producers, feeders, and importers not
approving the Order;
(6) Number of challenged ballots;
(7) Number of challenged ballots deemed ineligible;
(8) Number of invalid ballots; and
(9) Number of spoiled ballots.
(b) Invalid Ballots. Ballots shall be declared invalid if a
producer, feeder, or importer voting in-person has failed to sign the
voter registration list (Form LS-61-3) or an absentee voter's name is
not recorded on the absentee voter request list (Form LS-62-2), or the
registration form or ballot was incomplete or incorrectly completed.
(c) Spoiled Ballots. Ballots shall be considered spoiled if they
are mutilated or marked in such a way that the ``yes'' or ``no'' vote
is illegible. Spoiled ballots shall not be considered as approving or
disapproving the Order, or as a ballot cast in the referendum.
(d) Confidentiality. All ballots shall be confidential and the
contents of the ballots shall not be divulged except as the Secretary
may direct. The public may witness the opening of the ballot box and
the counting of the votes but may not interfere with the process.
Sec. 1280.661 FSA county office report.
The FSA county office shall notify the FSA State office of the
results of the referendum. Each FSA county office shall transmit the
results of the referendum in its county to the FSA State office. Such
report shall include the information listed in Sec. 1280.660(a). The
results of the referendum in each county may be made available to the
public upon notification from the Deputy Administrator FSA that the
final results have been released by the Secretary. A copy of the report
of results shall be posted for 30 days in the FSA county office in a
conspicuous place accessible to the public, and a copy shall be kept on
file in the FSA county office for a period of at least 12 months after
the referendum.
Sec. 1280.662 FSA State office report.
Each FSA State office shall transmit to the Deputy Administrator,
FSA, a written summary of the results of the referendum received from
all the FSA county offices within the State. The summary shall include
the information on the referendum results contained in the reports from
all county offices within each State, and shall be certified by the FSA
State Executive Director. The FSA State office shall maintain a copy of
the summary where it shall be available for public inspection for a
period of not less than 12 months beginning upon notification from the
Deputy Administrator, FSA, that the final results have been released by
the Secretary.
Sec. 1280.663 Results of the referendum.
(a) The Deputy Administrator, FSA, shall submit the results of the
referendum to the Administrator. The Administrator shall prepare and
submit to the Secretary a report of the results of the referendum. The
results of any referendum shall be issued by the Department in an
official press release and published in the Federal Register. State
reports and related papers shall be available for public inspection in
the office of the Marketing Programs Branch, Livestock and Seed
Division, AMS, USDA, Room 2606, South Agriculture Building, 14th and
Independence Avenue, SW., Washington, DC.
(b) If the Secretary deems it necessary, the report of any State or
county shall be reexamined and checked by such persons as may be
designated by the Deputy Administrator, FSA, or the Secretary.
Sec. 1280.664 Disposition of ballots and records.
Each FSA county Executive Director shall place in sealed containers
marked with the identification of the referendum the in-person voter
registration list, absentee voter request list, voted ballots,
challenged registration/certification forms/envelopes, challenged
absentee voter registration forms, challenged ballots found to be
ineligible, invalid ballots, spoiled ballots, and county summaries.
Such records shall be placed under lock in a safe place under the
custody of the FSA county Executive Director for a period of not less
than twelve months after the referendum. If no notice to the contrary
is received from the Deputy Administrator, FSA, by the end of such
time, the records shall be destroyed.
Sec. 1280.665 Instructions and forms.
The Administrator is hereby authorized to prescribe additional
instructions and forms not inconsistent with the provisions of this
subpart to govern the conduct of the referendum.
[[Page 64311]]
Dated: December 8, 1995.
Lon Hatamiya,
Administrator, Agricultural Marketing Service.
[FR Doc. 95-30491 Filed 12-14-95; 8:45 am]
BILLING CODE 3410-2-P
