[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: 94-21084]
[[Page Unknown]]
[Federal Register: August 26, 1994]
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DEPARTMENT OF AGRICULTURE
7 CFR Part 1030
[DA-94-16]
Milk in the Chicago Regional Marketing Area; Revision of Rule
agency: Agricultural Marketing Service, USDA.
action: Revision of rule.
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summary: This document temporarily revises the supply plant shipping
standards under the Chicago Regional order for the month of September
1994. Shipping percentages for individual supply plants and units of
supply plants are reduced to 1 percent and 4 percent, respectively, for
the month of September. The action is necessary to prevent uneconomic
and inefficient movements of milk to qualify plants for pooling. A
proposed reduction for the month of August was found to be not
necessary.
effective date: Amendment number 1 is effective September 1, 1994.
Amendment number 2 is effective September 1, 1994, through
September 30, 1994.
Amendment number 3 is effective October 1, 1994.
for further information contact: Constance M. Brenner, Marketing
Specialist, USDA/AMS/Division, Order Formulation Branch, Room 2971,
South Building, P.O. Box 96456, Washington, DC 20090-6456, (202) 720-
2357.
supplementary information: Prior document in this proceeding:
Notice of Proposed Temporary Revision: Issued July 11, 1994;
published July 15, 1994 (59 FR 36094).
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 rule will not have a
significant economic impact on a substantial number of small entities.
This rule lessens the regulatory impact of the order on certain milk
handlers and tends to ensure that dairy farmers will continue to have
their milk priced under the order and thereby receive the benefits that
accrue from such pricing.
The Department is issuing this final rule in conformance with
Executive Order 12866.
This final rule has been reviewed under Executive Order 12778,
Civil Justice Reform. This rule is not intended to have a retroactive
effect. This rule will not preempt any state or local laws,
regulations, or policies, unless they present an irreconcilable
conflict with this 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 the law and requesting 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.
This revision is issued pursuant to the provisions of the
Agricultural Marketing Agreement Act and the provisions of
Sec. 1030.7(b)(5) of the Chicago Regional milk order.
Notice of proposed rulemaking was published in the Federal Register
(59 FR 36094) concerning a proposed temporary relaxation of the supply
plant shipping percentages under the Chicago Regional milk order. The
revisions were proposed to be effective for the months of August and
September 1994. The public was afforded the opportunity to comment on
the proposed notice by submitting written data, views and arguments by
July 22, 1994.
Two comments supporting the proposed revision for the month of
September were received. The comments agreed that the degree of
adjustment that the order allows the market administrator to make in
supply plant shipping requirements would be sufficient for the month of
August. No opposing comments were received.
Statement of Consideration
For the month of September 1994 this rule revises from 5 percent to
1 percent the requirements of the Chicago Regional order that pool
supply plants ship to distributing plants a minimum percentage of
receipts. For a unit of supply plants, the action reduces the required
shipping percentage from 10 percent of the supply plants' receipts to 4
percent. A proposed revision for the month of August is found to be
unnecessary because the order authorizes the market administrator to
reduce the supply plant shipping percentages to a great enough degree
to meet current market needs. The degree to which the market
administrator is authorized to revise shipping requirements is,
however, not great enough to meet the needs of the market for
September.
The temporary revision was requested by Central Milk Producers
Cooperative (CMPC), a federation of cooperative associations that
represent a substantial number of the producers who supply the market.
CMPC contends that a reduction of the shipping percentages is necessary
to prevent uneconomic shipments of milk from distant supply plants
solely for pooling purposes.
CMPC originally requested that the required supply plant shipping
percentages be eliminated for September for both individual supply
plants and supply plant units. After having the opportunity to see data
for further months, however, the cooperative federation stated that the
revision originally requested would be excessive in view of recent
increases in production over the volume CMPC had projected and recent
increased demand for milk for manufacturing uses. CMPC therefore
recommended that the proposed reduction be modified to establish
shipping standards of 1 percent for individual supply plants and 4
percent for units. Dean Foods, a large fluid milk handler regulated
under the Chicago Regional order, supported CMPC's request for
September.
In view of the supply/demand relationship for the market the supply
plant shipping percentages should be reduced for September 1994. A
reduction of the shipping percentages will contribute to orderly
marketing in that costly and inefficient shipments of milk from distant
supply plants will not be necessary. Thus, dairy farmers who have
supplied the market will continue to have their milk pooled under the
order.
The revision needed for September is greater than the market
administrator is authorized to accomplish under the order. Therefore,
it must be effectuated by the Director of the Dairy Division.
After consideration of all relevant material, including the
proposal set forth in the aforesaid notice, and other available
information, it is hereby found and determined that the pool supply
plant shipping percentage set forth in Sec. 1030.7(b) should be reduced
for the month of September to 1 percent of individual supply plant
receipts and 4 percent of supply plant unit receipts.
It is hereby found and determined that 30 days' notice of the
effective date hereof is impractical, unnecessary, and contrary to the
public interest in that:
(a) This revision is necessary to reflect current marketing
conditions and to maintain orderly marketing conditions in the
marketing area for the month of September;
(b) This revision does not require of persons affected substantial
or extensive preparation prior to the effective date; and
(c) Notice of the proposed revision was given interested parties
and they were afforded opportunity to file written data, views, or
arguments concerning this revision.
Two comments supporting the proposed revision were received, with
no comments opposing.
Therefore, good cause exists for making this revision effective
less than 30 days from the date of publication in the Federal Register.
List of Subjects in 7 CFR Part 1030
Milk marketing orders.
For the reasons set forth in the preamble, the following provisions
in Title 7, Part 1030, are amended as follows:
PART 1030--MILK IN THE CHICAGO REGIONAL MARKETING AREA
1. The authority for 7 CFR Part 1030 continues to read as follows:
Authority: Secs. 1-19, 48 Stat 31, as amended; 7 U.S.C. 601-674.
Sec. 1030.7 [Amended]
2. In Sec. 1030.7(b), the introductory text is amended by changing
the ``5 percent'' to ``1 percent'', and by changing the ``10 percent''
to ``4 percent'' for the period September 1, 1994, through September
30, 1994.
3. In Sec. 1030.7(b), the introductory text is amended by changing
the ``1 percent'' to ``5 percent'', and by changing the ``4 percent''
to ``10 percent'', effective October 1, 1994.
Dated: August 22, 1994.
Silvio Capponi, Jr.,
Acting Director, Dairy Division.
[FR Doc. 94-21084 Filed 8-25-94; 8:45 am]
BILLING CODE 3410-02-M
