95-17281. Termination of Marketing Order 921; Fresh Peaches Grown in Designated Counties in Washington  

  • [Federal Register Volume 60, Number 135 (Friday, July 14, 1995)]
    [Rules and Regulations]
    [Pages 36204-36205]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-17281]
    
    
    
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    DEPARTMENT OF AGRICULTURE
    
    Agricultural Marketing Service
    
    7 CFR Part 921
    
    [Docket No. FV94-921-1FR]
    
    
    Termination of Marketing Order 921; Fresh Peaches Grown in 
    Designated Counties in Washington
    
    AGENCY: Agricultural Marketing Service, USDA.
    
    ACTION: Termination order.
    
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    SUMMARY: This document terminates the Federal marketing order for 
    peaches grown in designated counties in Washington and the rules and 
    regulations issued thereunder. The Secretary of Agriculture has 
    determined that the marketing order no longer tends to effectuate the 
    declared policy of the Agricultural Marketing Agreement Act of 1937 
    (Act). Results of a producer referendum, held to determine the level of 
    support for the marketing order, indicate that continuance is favored 
    by only 14 percent of the producers voting, representing 1.5 percent of 
    the volume voted. The vote demonstrates a lack of producer support 
    necessary to accomplish the objectives of the Act.
    
    EFFECTIVE DATE: August 14, 1995.
    
    FOR FURTHER INFORMATION CONTACT: Mark J. Kreaggor, Marketing Order 
    Administration Branch, Fruit and Vegetable Division, AMS, USDA, P.O. 
    Box 96456, Room 2525-S, Washington, DC 20090-6456, telephone (202) 720-
    1755, or Robert Curry, Northwest Marketing Field Office, 1220 SW Third 
    Avenue, Room 369, Portland, Oregon 97204, telephone (503) 326-2724.
    
    SUPPLEMENTARY INFORMATION: This rule is governed by the provisions of 
    section 608c(16)(A) of 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 termination rule has been reviewed under Executive Order 
    12778, Civil Justice Reform. This rule is not intended to have 
    retroactive effect. This termination order 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 of 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 a 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 action 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 65 Washington peach handlers who were 
    subject to regulation under the marketing order and approximately 260 
    producers within the production area. Small agricultural producers have 
    been defined by the Small Business Administration [13 CFR 121.601] as 
    those having annual receipts of less than $500,000, and small 
    agricultural service firms are defined as those whose annual receipts 
    are less than $5,000,000. The majority of the Washington peach handlers 
    and producers may be classified as small entities.
        Prior to its suspension on March 31, 1993, Marketing Order No. 921 
    had been in effect since 1960. The marketing order provided for the 
    establishment of grade, size, quality, maturity, pack, container and 
    inspection requirements. In addition, the order authorized marketing 
    research and development projects.
        The Washington Fresh Peach Marketing Committee (committee) met on 
    May 12, 1992, and by an 11 to 1 vote recommended that the marketing 
    order be suspended at the end of the 1992-93 fiscal period. The 
    recommendation was made to eliminate the continued expense of 
    administering the order. Since that time, handling requirements similar 
    to those under the Federal order 
    
    [[Page 36205]]
    have been promulgated through the Washington State Department of 
    Agriculture (State) for intrastate shipments of fresh peaches. Thus, 
    the committee determined that continued funding through the Federal 
    order was an unnecessary expense.
        On January 5, 1993, the Department issued an order published in the 
    Federal Register [58 FR 220, January 5, 1993] suspending all of the 
    provisions of Marketing Order No. 921 effective March 31, 1993. The 
    action also directed that a referendum be conducted during the period 
    November 13 through December 10, 1993, to determine if affected 
    producers favored continuation of the order. The referendum order 
    provided that the Secretary would consider terminating the order if 
    less than two-thirds of the number of producers voting, and producers 
    of less than two-thirds of the volume of peaches represented in the 
    referendum, favored continuance.
        Of the 260 ballots mailed to producers of record, 21 valid votes 
    were cast, representing approximately 8 percent of producers. The 
    results of the referendum indicate that only 14 percent of the growers 
    who voted, representing 1.5 percent of the volume voted, favored 
    continuance of the order. Thus, the vote failed to meet the approval 
    criteria by both number and volume.
        Given the level of producer participation, as well as the 
    demonstrated lack of producer support for the order, these results are 
    a reliable indicator of industry sentiment, and clearly demonstrate 
    that a significant portion of the producers do not favor continuation 
    of the order.
        Therefore, based on the foregoing considerations, pursuant to 
    section 608c(16)(A) of the Act and section 9231.64 of the order, it is 
    found that Marketing Order No. 921, covering peaches grown in 
    designated counties in Washington, does not tend to effectuate the 
    declared policy of the Act and is hereby terminated.
        Section 608c(16)(A) of the Act requires the Secretary to notify 
    Congress 60 days in advance of the termination of a Federal marketing 
    order. Congress was so notified on March 1, 1994.
    
    List of Subjects in 7 CFR Part 921
    
        Marketing agreements, Peaches, Reporting and recordkeeping 
    requirements.
    
    PART 921--[REMOVED]
    
        For the reasons set forth in the preamble, and under the authority 
    of 7 U.S.C. 601-674, 7 CFR Part 921 is removed.
    
        Dated: July 10, 1995.
    Patricia Jensen,
    Acting Assistant Secretary, Marketing and Regulatory Programs.
    [FR Doc. 95-17281 Filed 7-13-95; 8:45 am]
    BILLING CODE 3410-02-P
    
    

Document Information

Effective Date:
8/14/1995
Published:
07/14/1995
Department:
Agricultural Marketing Service
Entry Type:
Rule
Action:
Termination order.
Document Number:
95-17281
Dates:
August 14, 1995.
Pages:
36204-36205 (2 pages)
Docket Numbers:
Docket No. FV94-921-1FR
PDF File:
95-17281.pdf
CFR: (1)
7 CFR 921