[Federal Register Volume 59, Number 165 (Friday, August 26, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-21080]
[[Page Unknown]]
[Federal Register: August 26, 1994]
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DEPARTMENT OF AGRICULTURE
7 CFR Part 1036
[DA-94-20]
Milk in the Eastern Ohio-Western Pennsylvania Marketing Area;
Proposed Temporary Revision of Certain Provisions of the Order
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Proposed temporary revision of rule.
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SUMMARY: This document invites written comments on a proposal to revise
the supply plant shipping standards under the Eastern Ohio-Western
Pennsylvania order for the months of September 1994 through February
1995. The proposal would reduce shipping percentages for pool supply
plants by 10 percentage points for each month during the requested
period. The temporary revision was requested by Brewster Dairy, Inc., a
proprietary handler who operates a pool supply plant. The handler
contends that the action is necessary to prevent inefficient and
uneconomic movements of milk.
DATES: Comments are due no later than September 2, 1994.
ADDRESSES: Comments (two copies) should be sent to USDA/AMS/Dairy
Division, Order Formulation Branch, room 2971, South Building, P.O. Box
96456, Washington, DC 20090-6456.
FOR FURTHER INFORMATION CONTACT: Constance M. Brenner, Marketing
Specialist, USDA/AMS/Dairy Division, Order Formulation Branch, room
2971, South Building, P.O. Box 96456, Washington, DC 20090-6456 (202)
720-2357.
SUPPLEMENTARY INFORMATION: The Regulatory Flexibility Act (5 U.S.C.
601-612) requires the Agency to examine the impact of a proposed rule
on small entities. Pursuant to 5 U.S.C. 605(b), the Administrator of
the Agricultural Marketing Service has certified that this proposed
rule would not have a significant economic impact on a substantial
number of small entities. This rule would lessen the regulatory impact
of the order on certain milk handlers and would tend to ensure that
dairy farmers would continue to have their milk priced under the order
and thereby receive the benefits that accrue from such pricing.
The Department of Agriculture (Department) is issuing this proposed
rule in conformance with Executive Order 12866.
This proposed rule has been reviewed under Executive Order 12778,
Civil Justice Reform. This rule is not intended to have a retroactive
effect. If adopted, this proposed rule will not preempt any state or
local laws, regulations, or policies, unless they present an
irreconcilable conflict with the rule.
The Agricultural Marketing Agreement Act of 1937, as amended (7
U.S.C. 601-674), 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 provisions of the
order, or any obligation imposed in connection with the order is not in
accordance with law and request a modification of an order or to be
exempted from the order. A handler is afforded the opportunity for a
hearing on the petition. After a 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
its principal place of business, has jurisdiction in equity to review
the Secretary's ruling on the petition, provided a bill in equity is
filed not later than 20 days after the date of the entry of the ruling.
Notice is hereby given that, pursuant to the provisions of the
Agricultural Marketing Agreement Act and the provisions of
Sec. 1036.7(f) of the order, the temporary revision of certain
provisions of the order regulating the handling of milk in the Eastern
Ohio-Western Pennsylvania marketing area is being considered for the
months of September 1, 1994, through February 28, 1995.
All persons who desire to submit written data, views or arguments
about the proposed revision should send two copies of their views to
USDA/AMS/Dairy Division, Order Formulation Branch, room 2971, South
Building, P.O. Box 96456, Washington, DC 20090-6456 by the 7th day
after publication of this notice in the Federal Register. The period
for filing comments is limited to 7 days because a longer period would
not provide the time needed to complete the required procedures and
include September 1994 in the temporary revision period.
All written submissions made pursuant to this notice will be made
available for public inspection in the Dairy Division during regular
business hours (7 CFR 1.27(b)).
Statement of Consideration
The provisions proposed to be revised are the supply plant shipping
percentages for the months of September 1994 through February 1995. The
proposed action would reduce the amount of milk that supply plants must
ship to pool distributing plants by 10 percentage points.
Currently, the order provides that for a supply plant to be
considered a pool plant, a minimum percentage of the total quantity of
milk received at the supply plant must be transferred or diverted to
and physically received at pool distributing plants regulated under the
order. The minimum percentages are: 40 percent for September, October,
and November; 30 percent for December; and 35 percent for January and
February.
The Eastern Ohio-Western Pennsylvania order provides that the
Director of the Dairy Division may increase or decrease the percentage
delivery requirement by up to 10 percentage points if the Director
finds that such revision is necessary to obtain needed shipments or to
prevent uneconomic shipments.
The revision was requested by Brewster Dairy, Inc. (Brewster), a
proprietary handler who operates a pool supply plant regulated under
the order. Brewster contends that in Fall 1993 the plant was unable to
accept surplus distributing plant milk associated with Order 36 and
still meet supply plant qualifications. Consequently, milk from a
distributing plant located 10 miles from Brewster had to be diverted to
a manufacturing facility 92 miles away. At the same time, Brewster had
to procure surplus milk from greater distances to fulfill manufacturing
obligations. Brewster contends that this situation represents
inequitable and inefficient movements of milk for both supply and
distributing plants, undertaken to meet order shipping requirements.
Brewster asserts that the same inequitable and inefficient movements of
milk are expected again for Fall 1994. Thus, Brewster contends, a
reduction of supply plant shipping percentages is necessary to prevent
uneconomic and inefficient shipments of milk.
In view of the current supply and demand relationship, it may be
necessary to reduce the supply plant shipping percentage requirements
as proposed to provide for the efficient and economic marketing of milk
during the months of September 1, 1994, through February 28, 1994.
List of Subjects in 7 CFR Part 1036
Milk marketing orders.
PART 1036--[AMENDED]
The authority citation for 7 CFR Part 1036 continues to read as
follows:
Authority: Secs. 1-19, 48 Stat. 31, as amended; 7 U.S.C. 601-
674.
Dated: August 22, 1994.
Silvio Capponi, Jr.,
Deputy Director, Dairy Division.
[FR Doc. 94-21080 Filed 8-25-94; 8:45 am]
BILLING CODE 3410-02-P