97-7808. Amendments to the Perishable Agricultural Commodities Act (PACA)  

  • [Federal Register Volume 62, Number 61 (Monday, March 31, 1997)]
    [Proposed Rules]
    [Page 15129]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 97-7808]
    
    
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    Proposed Rules
                                                    Federal Register
    ________________________________________________________________________
    
    This section of the FEDERAL REGISTER contains notices to the public of 
    the proposed issuance of rules and regulations. The purpose of these 
    notices is to give interested persons an opportunity to participate in 
    the rule making prior to the adoption of the final rules.
    
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    Federal Register / Vol. 62, No. 61 / Monday, March 31, 1997 / 
    Proposed Rules
    
    [[Page 15129]]
    
    
    
    DEPARTMENT OF AGRICULTURE
    
    Agricultural Marketing Service
    
    7 CFR Part 46
    
    [Docket No. FV96-351A]
    RIN: 0581-AB41
    
    
    Amendments to the Perishable Agricultural Commodities Act (PACA)
    
    AGENCY: Agricultural Marketing Service, USDA.
    
    ACTION: Proposed rule; reopening of the comment period.
    
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    SUMMARY: This document reopens the period for filing written comments 
    on revisions to the Perishable Agricultural Commodities Act (PACA) 
    license fees. These changes would conform current regulations to new 
    legislative changes signed into law by President Clinton. Specifically, 
    the changes to the license fee structure phase retailers and grocery 
    wholesalers out of license fee payments over a 3-year period; establish 
    a one-time administrative fee for new retailers and grocery wholesalers 
    entering the program after the 3-year phase-out period; and increase 
    license fees from $400 to $550 annually for all other licensees.
    
    DATES: Comments must be received by April 30, 1997.
    
    ADDRESSES: Interested persons are invited to submit written comments 
    concerning this reopened action. Comments must be sent to James R. 
    Frazier, Chief, PACA Branch, Fruit and Vegetable Division, Room 2095-
    South Building, 1400 Independence Avenue, S.W., P.O. Box 96456, 
    Washington, DC 20090-6456. All comments should reference the docket 
    number and the date and page number of this issue in the Federal 
    Register and will be made available for inspection in the PACA Branch 
    during regular business hours.
    
    FOR FURTHER INFORMATION CONTACT: James R. Frazier, Chief, PACA Branch, 
    F&V Division, AMS, USDA, Room 2095-South Building, P.O. Box 96456, 
    Washington, DC 20090-6456, Phone (202) 720-2272.
    
    SUPPLEMENTARY INFORMATION: The PACA was amended by Public Law 104-48. 
    The regulations implementing the PACA (other than the Rules of 
    Practice) are published in the Code of Federal Regulations at Title 7, 
    Part 46 (7 CFR Part 46). A proposed rule to amend the regulations to 
    implement Public Law 104-48 was published in the September 10, 1996 
    issue of the Federal Register (61 FR 47674). The 60-day comment period 
    closed on November 12, 1996. Twelve comments were received on the 
    proposed rule from four trade associations representing growers and 
    shippers, three trade groups representing retailers and grocery 
    wholesalers, three law firms, one association representing the frozen 
    food industry, and one fruit and vegetable broker.
        Section 46.6 of the proposed rule would phase all retailers and 
    grocery wholesalers out of license fee payments over the 3-year period, 
    beginning November 15, 1995 and ending November 14, 1998. The gradual 
    phase-out of fee payments under this proposed rule is inclusive of all 
    retailers and grocery wholesalers, regardless of when they were 
    initially licensed under the PACA.
        Of the twelve comments received, three addressed the collection of 
    renewal fees paid by grocery wholesalers and retailers licensed by USDA 
    after enactment of Public Law 104-48. The three commentors write that 
    USDA is incorrectly proposing that first-time licensed retailers and 
    grocery wholesalers pay renewal fees. They refer to section 499 (c) (3) 
    of the statute designated, ``ONE-TIME FEE FOR RETAILERS AND GROCERY 
    WHOLESALERS THAT ARE DEALERS'', which specifies the fees to be paid by 
    a retailer or a grocery wholesaler making an initial application during 
    the phase-out period and after such period ends. The commentors 
    emphasized the statutory language ending section 499 (c) (3) which 
    states: ``* * *a retailer or grocery wholesaler paying a fee under this 
    paragraph shall not be required to pay any fee for renewal of the 
    license for subsequent years.'' Since the commentors' interpretation of 
    the legislative amendment is substantially different from USDA's view 
    but appears to be plausible, USDA has determined that reopening the 
    comment period until April 30, 1997, would allow other parties 
    interested in this matter more time to review this section of the 
    proposed rule and provide their comments. In the meantime, USDA will 
    continue to assess license renewal fees as provided in 7 CFR Part 46.6. 
    Should USDA, after notice and comment, conclude that the law excludes 
    certain categories of licensees from the requirement to pay regular 
    renewal fees, all such fees paid by those firms or individuals shall be 
    refunded with interest. If USDA reaches such a conclusion, the PACA 
    program will face a projected $750,000 loss in revenue over the three-
    year phase-out period.
        Accordingly, the period in which to file written comments is 
    reopened until April 30, 1997.
    
    List of Subjects in 7 CFR Part 46
    
        Agricultural commodities, Brokers, Penalties, Reporting and 
    recordkeeping requirements.
    
        Dated: March 21, 1997.
    Eric M. Forman,
    Acting Director, Fruit and Vegetable Division.
    [FR Doc. 97-7808 Filed 3-28-97; 8:45 am]
    BILLING CODE 3410-02-P
    
    
    

Document Information

Published:
03/31/1997
Department:
Agricultural Marketing Service
Entry Type:
Proposed Rule
Action:
Proposed rule; reopening of the comment period.
Document Number:
97-7808
Dates:
Comments must be received by April 30, 1997.
Pages:
15129-15129 (1 pages)
Docket Numbers:
Docket No. FV96-351A
PDF File:
97-7808.pdf
CFR: (1)
7 CFR 46