[Federal Register Volume 59, Number 23 (Thursday, February 3, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-2418]
Federal Register / Vol. 59, No. 23 / Thursday, February 3, 1994 /
[[Page Unknown]]
[Federal Register: February 3, 1994]
VOL. 59, NO. 23
Thursday, February 3, 1994
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Parts 911 and 915
[FV93-911-1IFR]
Expenses and Assessment Rates for Marketing Orders Covering Limes
and Avocados Grown in Florida Orders
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Interim final rule with request for comments.
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SUMMARY: This interim final rule authorizes expenses and establishes
assessment rates for the Florida Lime Administrative Committee and the
Avocado Administrative Committee (Committees) under Marketing Orders
911 and 915 for the 1994-95 fiscal year. The Committees are responsible
for local administration of the marketing orders which regulate the
handling of Florida limes and avocados. Authorization of these budgets
enables the Committees to incur expenses that are reasonable and
necessary to administer their respective programs. Funds to administer
these programs are derived from assessments on handlers.
DATES: Effective beginning April 1, 1994, through March 31, 1995.
Comments received by March 7, 1994, will be considered prior to
issuance of a final rule.
ADDRESSES: Interested persons are invited to submit written comments
concerning this interim final rule. Comments must be sent in triplicate
to the Docket Clerk, Fruit and Vegetable Division, AMS, USDA, P.O. Box
96456, room 2523-S, Washington, DC 20090-6456, Fax # (202) 720-5698.
Comments should reference the docket number and the date and page
number of this issue of the Federal Register and will be available for
public inspection in the Office of the Docket Clerk during regular
business hours.
FOR FURTHER INFORMATION CONTACT: Aleck Jonas, Southeast Marketing Field
Office, Fruit and Vegetable Division, AMS, USDA, P.O. Box 2276, Winter
Haven, Florida 33883, telephone 813-299-4770; or Gary D. Rasmussen,
Marketing Order Administration Branch, F&V, AMS, USDA, P.O. Box 96456,
Room 2523-S, Washington, DC 20090-6456; telephone 202-720-5331.
SUPPLEMENTARY INFORMATION: This interim final rule is issued under
Marketing Agreement and Order No. 911 [7 CFR part 911], as amended,
regulating the handling of limes grown in Florida; and Marketing
Agreement and Order No. 915 [7 CFR part 915] regulating the handling of
avocados grown in Florida. These agreements and orders are effective
under the Agricultural Marketing Agreement Act of 1937, as amended [7
U.S.C. 601-674], hereinafter referred to as the ``Act.''
The Department of Agriculture (Department) is issuing this rule in
conformance with Executive Order 12866. This interim final rule has
been reviewed under Executive Order 12778, Civil Justice Reform. Under
the marketing order provisions now in effect, limes and avocados grown
in Florida are subject to assessments. It is intended that the
assessment rates as issued herein will be applicable to all assessable
Florida limes and avocados handled during the 1994-95 fiscal year,
beginning April 1, 1994, through March 31, 1995. This interim 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. A handler is afforded the opportunity for a hearing on the
petition. After the hearing the Secretary would rule on the petition.
The Act provides that the district court of the United States in any
district in which the handler is an inhabitant, or has his or her
principal place of business, has jurisdiction in equity to review the
Secretary's ruling on the petition, provided a bill in equity is filed
not later than 20 days after date of the entry of the ruling.
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), the Administrator of the Agricultural Marketing Service
(AMS) has considered the economic impact of this rule on small
entities.
The purpose of the RFA is to fit regulatory actions to the scale of
business subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and 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 45 handlers of limes grown in Florida, and
approximately 40 producers in the regulated area who are subject to
regulation under the lime marketing order. Also, there are
approximately 65 handlers of avocados grown in Florida, and
approximately 95 producers in the regulated area who are subject to
regulation under the avocado marketing order. Small agricultural
producers have been defined by the Small Business Administration (13
CFR 121.601) as those having annual receipts of less than $500,000, and
small agricultural service firms are defined as those whose annual
receipts are less than $3,500,000. The majority of lime and avocado
producers and handlers may be classified as small entities.
The lime and avocado marketing orders, administered by the
Department, require that the assessment rates for a particular fiscal
year apply to all assessable limes and avocados handled from the
beginning of such year. Annual budgets of expenses are prepared by the
Committees, the agencies responsible for local administration of their
respective marketing orders, and submitted to the Department for
approval. Each Committee consists of producers, handlers and a non-
industry public member. They are familiar with the Committees' needs
and with the costs for goods, services, and personnel in their local
area and are thus in a position to formulate an appropriate budget. The
Committees' budgets are formulated and discussed in public meetings.
Thus, all directly affected persons have an opportunity to participate
and provide input.
The assessment rates recommended by the Committees are derived by
dividing anticipated expenses by expected shipments of limes and
avocados (in bushels). Because those rates are applied to actual
shipments, they must be established at rates which will produce
sufficient income to pay the Committees' expected expenses. The
recommended budgets and rates of assessment are usually acted upon by
the Committees shortly before a season starts, and expenses are
incurred on a continuous basis. Therefore, the budget and assessment
rate approval must be expedited so that the Committees will have funds
to pay their expenses.
The Florida Lime Administrative Committee met on December 8, 1993,
and unanimously recommended 1994-95 marketing order expenditures of
$89,697 and an assessment rate of $0.16 per 55-pound bushel of limes.
In comparison, 1993-94 marketing year budgeted expenditures were
$113,846, which is $24,149 more than the $89,697 recommended for this
fiscal year. The assessment rate of $0.16 per bushel remains the same
as last year's assessment rate of $0.16. The major budget categories
for 1994-95 are $28,000 for administrative staff salaries and $10,100
for employee benefits.
Assessment income for 1994-95 is estimated to total $64,000 based
on anticipated fresh domestic shipments of 400,000 55-pound bushels of
limes. Interest on savings is expected to add an additional $2,000 to
income. The assessment and interest income will have to be augmented by
$23,697 from the Committee's reserves to provide adequate funds to
cover budgeted expenses. Sufficient reserve funds are available to
cover the projected deficit. Funds in the reserve at the end of the
1994-95 fiscal year are estimated to be $250,000. These reserve funds
will be within the maximum permitted by the order of three fiscal
years' expenses.
The Avocado Administrative Committee also met on December 8, 1993,
and unanimously recommended 1994-95 marketing order expenditures of
$97,000 and an assessment rate of $0.16 per 55-pound bushel of
avocados. In comparison, 1993-94 marketing year budgeted expenditures
were $113,846, which is $16,846 more than the $97,000 recommended for
this fiscal year. The assessment rate of $0.16 per bushel remains the
same as last year's assessment rate of $0.16. The major budget
categories for 1994-95 are $28,000 for administrative staff salaries,
$15,600 for compliance, and $10,100 for employee benefits.
Assessment income for 1994-95 is estimated to total $96,000 based
on anticipated fresh domestic shipments of 600,000 55-pound bushels of
avocados. Interest on savings is expected to add an additional $1,000
to income. Sufficient reserve funds are available to cover any
unexpected shortfall in projected income. Funds in the reserve at the
end of the 1994-95 fiscal year are estimated to be $100,000. These
reserve funds will be within the maximum permitted by the order of
three fiscal years' expenses.
While this action will impose some additional costs on handlers,
the costs are in the form of uniform assessments on all handlers. Some
of the additional costs may be passed on to producers. However, these
costs will be offset by the benefits derived from the operation of the
marketing orders. Therefore, the Administrator of the AMS has
determined that this action will not have a significant economic impact
on a substantial number of small entities.
After consideration of all relevant material presented, including
the Committees' recommendations, and other available information, it is
found that this interim final rule, as hereinafter set forth, will tend
to effectuate the declared policy of the Act.
Pursuant to 5 U.S.C. 553, it is also found and determined upon good
cause that it is impracticable, unnecessary, and contrary to the public
interest to give preliminary notice prior to putting this rule into
effect and that good cause exists for not postponing the effective date
of this action until 30 days after publication in the Federal Register
because: (1) The Committees need to have sufficient funds to pay their
expenses which are incurred on a continuous basis; (2) the 1994-95
fiscal year begins on April 1, 1994, and the marketing orders require
that the rate of assessment for the fiscal year apply to all assessable
limes and avocados handled during the fiscal year; (3) handlers are
aware of this action which was recommended by the Committees at public
meetings; and (4) this interim final rule provides a 30-day comment
period, and all comments timely received will be considered prior to
finalization of this action.
List of Subjects
7 CFR Part 911
Limes, Marketing agreements, Reporting and recordkeeping
requirements.
7 CFR Part 915
Avocados, Marketing agreements, Reporting and recordkeeping
requirements.
For the reasons set forth in the preamble, 7 CFR Parts 911 and 915
are amended as follows:
1. The authority citation for both 7 CFR parts 911 and 915
continues to read as follows:
Authority: 7 U.S.C. 601-674.
Note: These sections will not appear in the Code of Federal
Regulations.
PART 911--LIMES GROWN IN FLORIDA
2. A new Sec. 911.232 is added to read as follows:
Sec. 911.232 Expenses and Assessment rate.
Expenses of $89,697 by the Florida Lime Administrative Committee
are authorized, and an assessment rate of $0.16 per bushel of
assessable limes is established for the 1994-95 fiscal year ending on
March 31, 1995. Unexpended funds may be carried over as a reserve.
PART 915--AVOCADOS GROWN IN SOUTH FLORIDA
3. A new Sec. 915.232 is added to read as follows:
Sec. 915.232 Expenses and Assessment rate.
Expenses of $97,000 by the Avocado Administrative Committee are
authorized, and an assessment rate of $0.16 per bushel of assessable
avocados is established for the 1994-95 fiscal year ending on March 31,
1995. Unexpended funds may be carried over as a reserve.
Dated: January 25, 1994.
Robert C. Keeney,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 94-2418 Filed 2-2-94; 8:45 am]
BILLING CODE 3410-02-P
