94-18879. Proposed Amendment to Regulations for Collecting Cotton Research and Promotion Assessment  

  • [Federal Register Volume 59, Number 148 (Wednesday, August 3, 1994)]
    [Unknown Section]
    [Page 0]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 94-18879]
    
    
    [[Page Unknown]]
    
    [Federal Register: August 3, 1994]
    
    
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    DEPARTMENT OF AGRICULTURE
    7 CFR Part 1205
    
    [CN-94-001]
    RIN 0581-AB14
    
     
    
    Proposed Amendment to Regulations for Collecting Cotton Research 
    and Promotion Assessment
    
    AGENCY: Agricultural Marketing Service, USDA.
    
    ACTION: Proposed rule.
    
    -----------------------------------------------------------------------
    
    SUMMARY: The Agricultural Marketing Service is amending the Cotton 
    Board Rules and Regulations by raising the value assigned to imported 
    cotton for the purpose of calculating supplemental assessments 
    collected for use by the Cotton Research and Promotion Program. The 
    amended value reflects the 12-month average price received by U.S. 
    farmers for Upland cotton for calendar year 1993.
    
    DATES: Written comments concerning the proposed rule must be sent in 
    triplicate and received no later than September 2, 1994.
    
    ADDRESSES: Written comments should be sent to: Craig Shackelford, USDA, 
    AMS, Cotton Division; PO Box 96456; Room 2641-S; Washington, DC 20090-
    6456. All comments will be made available for public inspection at that 
    address between the hours of 8 a.m. and 5 p.m.
    
    FOR FURTHER INFORMATION CONTACT: Craig Shackelford, (202) 720-2259.
    
    SUPPLEMENTARY INFORMATION: This rule has been determined to be ``not 
    significant'' for purposes of Executive Order 12866, and therefore has 
    not been reviewed by the Office of Management and Budget.
        This rule has been reviewed under Executive Order 12778, Civil 
    Justice Reform. It is not intended to have retroactive effect. This 
    rule would 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 12 of the Act, any 
    person subject to an order may file with the Secretary a petition 
    stating that the order, any provision of the plan, or any obligation 
    imposed in connection with the order is not in accordance with law and 
    requesting a modification of the order or to be exempted therefrom. 
    Such person 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 person is an inhabitant, or has his principal place of 
    business, has jurisdiction to review the Secretary's ruling, provided a 
    complaint is filed within 20 days from the date of the entry of the 
    ruling.
        The Administrator, Agricultural Marketing Service (AMS) has 
    considered the economic impact of this action on small entities 
    pursuant to the Regulatory Flexibility Act (5 U.S.C. 601 et seq.).
        There are an estimated 10,000 importers who are presently subject 
    to rules and regulations issued pursuant to the Cotton Research and 
    Promotion Order. This proposed rule will affect importers of cotton and 
    cotton-containing products. The majority of these importers are small 
    businesses under the criteria established by the Small Business 
    Administration. This proposed rule would raise the assessments paid by 
    the importers under the Cotton Research and Promotion Order. Even 
    though the assessment would be raised, the increase is small and would 
    not significantly affect small businesses. The AMS Administrator 
    therefore has certified that this rule, if adopted, would not have a 
    significant economic impact on a substantial number of small entities.
        In compliance with Office of Management and Budget (OMB) 
    regulations (5 CFR Part 1320) which implement the Paperwork Reduction 
    Act (PRA) of 1980 (44 U.S.C. 3501 et seq.) the information collection 
    requirements contained in this proposed rule have been previously 
    approved by OMB and were assigned control number 0581-0093.
        The Cotton Research and Promotion Act Amendments of 1990 enacted by 
    Congress under Subtitle G of Title XIX of the Food, Agriculture, 
    Conservation and Trade Act of 1990 on November 28, 1990, contained two 
    provisions that authorized changes in the funding procedures for the 
    Cotton Research and Promotion Program.
        These provisions are: (1) The assessment of imported cotton and 
    cotton products; and (2) termination of the right of producers to 
    demand a refund of assessments.
        An amended Cotton Research and Promotion Order was approved by 
    producers and importers voting in a referendum held July 17-26, 1991. 
    Proposed rules implementing the amended Order were published in the 
    Federal Register on December 17, 1991, (56 FR 65450). The final 
    implementing rules were published on July 1 and 2, 1992, (57 FR 29181) 
    and (57 FR 29431), respectively.
        This proposed rule would increase the value assigned to imported 
    cotton in the Cotton Board Rules and Regulations 7 CFR 1205.510 (b)(2). 
    This value is used to calculate supplemental assessments on imported 
    cotton and the cotton content of imported products. Supplemental 
    assessments are the second part of a two-part assessment. The first 
    part of the assessment is levied on the weight of cotton produced or 
    imported at a rate of $1 per bale of cotton which is equivalent to 500 
    pounds or $1 per 226.8 kilograms.
        Supplemental assessments are levied at a rate of five tenths of one 
    percent of the value of domestically produced cotton, imported cotton, 
    and the cotton content of imported products. The agency adopted the use 
    of the average price received by U.S. farmers for Upland cotton as a 
    benchmark for the value of domestically produced cotton. The source for 
    this statistic is ``Agricultural Prices'', a publication of the 
    National Agricultural Statistics Service of the Department of 
    Agriculture. Use of the average price figure in the calculation of 
    supplemental assessments on imported cotton and the cotton content of 
    imported products yields an assessment that approximates assessments 
    paid on domestically produced cotton.
        The current value of imported cotton as published in the Federal 
    Register (57 FR 29431) for the purpose of calculating supplemental 
    assessments on imported cotton is $1.160 per kilogram. Using the 
    Average Price Received by U.S. farmers for Upland cotton for the 
    calendar year 1993, which is $0.543 per pound, the new value of 
    imported cotton would be $1.197 per kilogram.
        An example of the assessment formula and how the various figures 
    are obtained is as follows:
    
    One bale is equal to 500 pounds.
    One kilogram equals 2.2046 pounds.
    One pound equals 0.453597 kilograms.
    
        One dollar per bale assessment converted to kilograms
    
    A 500 pound bale=226.8 kg. (500 x .453597)
    $1 per bale assessment
        =$0.002000 per pound (1500)
        =$0.004409 per kg. (1226.8)
    
        Supplemental assessment of \5/10\ of one percent of the value of 
    the cotton converted to kilograms
    
    Average price received=$0.543 per pound
    or average value=$1.197 per kg. (0.543 x 2.2046)
    
    \5/10\ of one percent of the average price in kg.=$0.005985 per kg. 
    (1.1970 x .005)
    
        Total assessment per kilogram
    
    $1 per bale equivalent assessment=$0.004409 per kg.
    Supplemental assessment+$0.005985 per kg.
    total assessment per kg.=$0.010394
    
        Since the value of cotton is the basis of the supplemental 
    assessment calculation and the figures shown in the right hand column 
    of the Import Assessment Table 1205.510 (b)(3) are a result of such a 
    calculation, these figures would be revised. These figures indicate the 
    total assessment per kilogram due for each Harmonized Tariff Schedule 
    (HTS) number subject to assessment.
    
    List of Subjects in 7 CFR Part 1205
    
        Advertising, Agricultural research, Cotton, Marketing agreements, 
    Reporting and recordkeeping requirements.
    
        For the reasons set forth in the preamble, 7 CFR Part 1205 is 
    amended as follows:
    
    PART 1205--COTTON RESEARCH AND PROMOTION
    
        1. The authority citation for Part 1205 continues to read as 
    follows:
    
        Authority: 7 U.S.C. 2101-2118.
    
        2. In Section 1205.510 (b)(2) and (3) are revised and a new 
    paragraph (b)(10) is added to read as follows:
    
    
    Sec. 1205.510  Levy of assessments.
    
    * * * * *
        (b) * * *
        (2) The 12-month average of monthly average prices received by U.S. 
    farmers will be calculated annually. Such average will be used as the 
    value of imported cotton for the purpose of levying the supplemental 
    assessment on imported cotton and will be expressed in kilograms. The 
    value of imported cotton for the purpose of levying this supplemental 
    assessment is $1.197 per kilogram.
        (3) The following table contains the Harmonized Tariff Schedule 
    (HTS) classification numbers and corresponding conversion factors and 
    assessments. The left column of the table indicates the HTS 
    classifications of imported cotton and cotton-containing products 
    subject to assessment. The center column indicates the conversion 
    factor for determining the raw fiber content for each kilogram of the 
    HTS. HTS numbers for raw cotton have no conversion factors in the 
    table. The right column indicates the total assessment per kilogram of 
    the article assessed. Any line item entry of cotton appearing on 
    Customs entry documentation in which the value of the cotton contained 
    therein is less than $220.99 will not be subject to assessments as 
    described in this section.
    
                             Import Assessment Table                        
                               [Raw Cotton Fiber]                           
    ------------------------------------------------------------------------
        HTS classification       Conversion factor           Cents/kg.      
    ------------------------------------------------------------------------
    5201001000...............             0.0000                 1.0394     
    5201002000...............             0.0000                 1.0394     
    5201002010...............             0.0000                 1.0394     
    5201002020...............             0.0000                 1.0394     
    5201002050...............             0.0000                 1.0394     
    5204110000...............             1.1111                 1.1549     
    5204200000...............             1.1111                 1.1549     
    5205111000...............             1.1111                 1.1549     
    5205112000...............             1.1111                 1.1549     
    5205121000...............             1.1111                 1.1549     
    5205122000...............             1.1111                 1.1549     
    5205131000...............             1.1111                 1.1549     
    5205132000...............             1.1111                 1.1549     
    5205141000...............             1.1111                 1.1549     
    5205210000...............             1.1111                 1.1549     
    5205220000...............             1.1111                 1.1549     
    5205230000...............             1.1111                 1.1549     
    5205240000...............             1.1111                 1.1549     
    5205250000...............             1.1111                 1.1549     
    5205310000...............             1.1111                 1.1549     
    5205320000...............             1.1111                 1.1549     
    5205330000...............             1.1111                 1.1549     
    5205340000...............             1.1111                 1.1549     
    5205410000...............             1.1111                 1.1549     
    5205420000...............             1.1111                 1.1549     
    5205440000...............             1.1111                 1.1549     
    5205450000...............             1.1111                 1.1549     
    5206120000...............             0.5556                 0.5775     
    5206130000...............             0.5556                 0.5775     
    5206140000...............             0.5556                 0.5775     
    5206220000...............             0.5556                 0.5775     
    5206230000...............             0.5556                 0.5775     
    5206240000...............             0.5556                 0.5775     
    5206310000...............             0.5556                 0.5775     
    5207100000...............             1.1111                 1.1549     
    5207900000...............             0.5556                 0.5775     
    5208112020...............             1.1455                 1.1906     
    5208112040...............             1.1455                 1.1906     
    5208112090...............             1.1455                 1.1906     
    5208114020...............             1.1455                 1.1906     
    5208114060...............             1.1455                 1.1906     
    5208114090...............             1.1455                 1.1906     
    5208118090...............             1.1455                 1.1906     
    5208124020...............             1.1455                 1.1906     
    5208124040...............             1.1455                 1.1906     
    5208124090...............             1.1455                 1.1906     
    5208126020...............             1.1455                 1.1906     
    5208126040...............             1.1455                 1.1906     
    5208126060...............             1.1455                 1.1906     
    5208126090...............             1.1455                 1.1906     
    5208128020...............             1.1455                 1.1906     
    5208128090...............             1.1455                 1.1906     
    5208130000...............             1.1455                 1.1906     
    5208192020...............             1.1455                 1.1906     
    5208192090...............             1.1455                 1.1906     
    5208194020...............             1.1455                 1.1906     
    5208194090...............             1.1455                 1.1906     
    5208196020...............             1.1455                 1.1906     
    5208196090...............             1.1455                 1.1906     
    5208224040...............             1.1455                 1.1906     
    5208224090...............             1.1455                 1.1906     
    5208226020...............             1.1455                 1.1906     
    5208226060...............             1.1455                 1.1906     
    5208228020...............             1.1455                 1.1906     
    5208230000...............             1.1455                 1.1906     
    5208292020...............             1.1455                 1.1906     
    5208292090...............             1.1455                 1.1906     
    5208294090...............             1.1455                 1.1906     
    5208296090...............             1.1455                 1.1906     
    5208298020...............             1.1455                 1.1906     
    5208312000...............             1.1455                 1.1906     
    5208321000...............             1.1455                 1.1906     
    5208323020...............             1.1455                 1.1906     
    5208323040...............             1.1455                 1.1906     
    5208323090...............             1.1455                 1.1906     
    5208324020...............             1.1455                 1.1906     
    5208324040...............             1.1455                 1.1906     
    5208325020...............             1.1455                 1.1906     
    5208330000...............             1.1455                 1.1906     
    5208392020...............             1.1455                 1.1906     
    5208392090...............             1.1455                 1.1906     
    5208394090...............             1.1455                 1.1906     
    5208396090...............             1.1455                 1.1906     
    5208398020...............             1.1455                 1.1906     
    5208412000...............             1.1455                 1.1906     
    5208416000...............             1.1455                 1.1906     
    5208418000...............             1.1455                 1.1906     
    5208421000...............             1.1455                 1.1906     
    5208423000...............             1.1455                 1.1906     
    5208424000...............             1.1455                 1.1906     
    5208425000...............             1.1455                 1.1906     
    5208430000...............             1.1455                 1.1906     
    5208492000...............             1.1455                 1.1906     
    5208494020...............             1.1455                 1.1906     
    5208494090...............             1.1455                 1.1906     
    5208496010...............             1.1455                 1.1906     
    5208496090...............             1.1455                 1.1906     
    5208498090...............             1.1455                 1.1906     
    5208512000...............             1.1455                 1.1906     
    5208516060...............             1.1455                 1.1906     
    5208518090...............             1.1455                 1.1906     
    5208523020...............             1.1455                 1.1906     
    5208523040...............             1.1455                 1.1906     
    5208523090...............             1.1455                 1.1906     
    5208524020...............             1.1455                 1.1906     
    5208524040...............             1.1455                 1.1906     
    5208524060...............             1.1455                 1.1906     
    5208525020...............             1.1455                 1.1906     
    5208530000...............             1.1455                 1.1906     
    5208592020...............             1.1455                 1.1906     
    5208592090...............             1.1455                 1.1906     
    5208594090...............             1.1455                 1.1906     
    5208596090...............             1.1455                 1.1906     
    5209110020...............             1.1455                 1.1906     
    5209110030...............             1.1455                 1.1906     
    5209110090...............             1.1455                 1.1906     
    5209120020...............             1.1455                 1.1906     
    5209120040...............             1.1455                 1.1906     
    5209190020...............             1.1455                 1.1906     
    5209190040...............             1.1455                 1.1906     
    5209190060...............             1.1455                 1.1906     
    5209190090...............             1.1455                 1.1906     
    5209210090...............             1.1455                 1.1906     
    5209220020...............             1.1455                 1.1906     
    5209220040...............             1.1455                 1.1906     
    5209290040...............             1.1455                 1.1906     
    5209290090...............             1.1455                 1.1906     
    5209313000...............             1.1455                 1.1906     
    5209316020...............             1.1455                 1.1906     
    5209316030...............             1.1455                 1.1906     
    5209316050...............             1.1455                 1.1906     
    5209316090...............             1.1455                 1.1906     
    5209320020...............             1.1455                 1.1906     
    5209320040...............             1.1455                 1.1906     
    5209390020...............             1.1455                 1.1906     
    5209390040...............             1.1455                 1.1906     
    5209390060...............             1.1455                 1.1906     
    5209390080...............             1.1455                 1.1906     
    5209390090...............             1.1455                 1.1906     
    5209413000...............             1.1455                 1.1906     
    5209416020...............             1.1455                 1.1906     
    5209416040...............             1.1455                 1.1906     
    5209420020...............             1.0309                 1.0715     
    5209420040...............             1.0309                 1.0715     
    5209430020...............             1.1455                 1.1906     
    5209430040...............             1.1455                 1.1906     
    5209490020...............             1.1455                 1.1906     
    5209490090...............             1.1455                 1.1906     
    5209516030...............             1.1455                 1.1906     
    5209516050...............             1.1455                 1.1906     
    5209520020...............             1.1455                 1.1906     
    5209590020...............             1.1455                 1.1906     
    5209590040...............             1.1455                 1.1906     
    5209590090...............             1.1455                 1.1906     
    5210114020...............             0.6873                 0.7144     
    5210114040...............             0.6873                 0.7144     
    5210116020...............             0.6873                 0.7144     
    5210116040...............             0.6873                 0.7144     
    5210116060...............             0.6873                 0.7144     
    5210118020...............             0.6873                 0.7144     
    5210120000...............             0.6873                 0.7144     
    5210192090...............             0.6873                 0.7144     
    5210214040...............             0.6873                 0.7144     
    5210216020...............             0.6873                 0.7144     
    5210216060...............             0.6873                 0.7144     
    5210218020...............             0.6873                 0.7144     
    5210314020...............             0.6873                 0.7144     
    5210314040...............             0.6873                 0.7144     
    5210316020...............             0.6873                 0.7144     
    5210318020...............             0.6873                 0.7144     
    5210414000...............             0.6873                 0.7144     
    5210416000...............             0.6873                 0.7144     
    5210418000...............             0.6873                 0.7144     
    5210498090...............             0.6873                 0.7144     
    5210514040...............             0.6873                 0.7144     
    5210516020...............             0.6873                 0.7144     
    5210516040...............             0.6873                 0.7144     
    5210516060...............             0.6873                 0.7144     
    5211110090...............             0.6873                 0.7144     
    5211120020...............             0.6873                 0.7144     
    5211190020...............             0.6873                 0.7144     
    5211190060...............             0.6873                 0.7144     
    5211210030...............             0.4165                 0.4329     
    5211210050...............             0.6873                 0.7144     
    5211290090...............             0.6873                 0.7144     
    5211320020...............             0.6873                 0.7144     
    5211390040...............             0.6873                 0.7144     
    5211390060...............             0.6873                 0.7144     
    5211490020...............             0.6873                 0.7144     
    5211490090...............             0.6873                 0.7144     
    5211590020...............             0.6873                 0.7144     
    5212146090...............             0.9164                 0.9525     
    5212156020...............             0.9164                 0.9525     
    5212216090...............             0.9164                 0.9525     
    5309214010...............             0.2864                 0.2977     
    5309214090...............             0.2864                 0.2977     
    5309294010...............             0.2864                 0.2977     
    5311004000...............             0.9164                 0.9525     
    5407810010...............             0.5727                 0.5953     
    5407810030...............             0.5727                 0.5953     
    5407912020...............             0.4009                 0.4167     
    5408312020...............             0.4009                 0.4167     
    5408329020...............             0.4009                 0.4167     
    5408349020...............             0.4009                 0.4167     
    5408349090...............             0.4009                 0.4167     
    5509530030...............             0.5556                 0.5775     
    5509530060...............             0.5556                 0.5775     
    5513110020...............             0.4009                 0.4167     
    5513110040...............             0.4009                 0.4167     
    5513110060...............             0.4009                 0.4167     
    5513110090...............             0.4009                 0.4167     
    5513120000...............             0.4009                 0.4167     
    5513130020...............             0.4009                 0.4167     
    5513210020...............             0.4009                 0.4167     
    5513310000...............             0.4009                 0.4167     
    5514120020...............             0.4009                 0.4167     
    5516420060...............             0.4009                 0.4167     
    5516910060...............             0.4009                 0.4167     
    5516930090...............             0.4009                 0.4167     
    5601210010...............             1.1455                 1.1906     
    5601210090...............             1.1455                 1.1906     
    5601300000...............             1.1455                 1.1906     
    5602109090...............             0.5727                 0.5953     
    5602290000...............             1.1455                 1.1906     
    5602906000...............             0.5260                 0.5467     
    5604900000...............             0.5556                 0.5775     
    5607902000...............             0.8889                 0.9239     
    5608901000...............             1.1111                 1.1549     
    5608902300...............             1.1111                 1.1549     
    5609001000...............             1.1111                 1.1549     
    5609004000...............             0.5556                 0.5775     
    5701102010...............             0.0556                 0.0578     
    5701102090...............             0.1111                 0.1155     
    5701901010...............             1.0444                 1.0855     
    5702109020...............             1.1000                 1.1433     
    5702312000...............             0.0778                 0.0809     
    5702411000...............             0.0722                 0.0750     
    5702412000...............             0.0778                 0.0809     
    5702421000...............             0.0778                 0.0809     
    5702422090...............             0.0778                 0.0809     
    5702491010...............             1.0333                 1.0740     
    5702491090...............             1.0333                 1.0740     
    5702913000...............             0.0889                 0.0924     
    5702991010...............             1.1111                 1.1549     
    5702991090...............             1.1111                 1.1549     
    5703900000...............             0.4489                 0.4666     
    5801220000...............             1.1455                 1.1906     
    5801230000...............             1.1455                 1.1906     
    5801250010...............             1.1455                 1.1906     
    5801250020...............             1.1455                 1.1906     
    5801260020...............             1.1455                 1.1906     
    5802190000...............             1.1455                 1.1906     
    5802300030...............             0.5727                 0.5953     
    5804290020...............             1.1455                 1.1906     
    5806200000...............             0.3534                 0.3673     
    5806310000...............             1.1455                 1.1906     
    5806400000...............             0.4296                 0.4465     
    5808103010...............             0.5727                 0.5953     
    5808900010...............             0.5727                 0.5953     
    5811002000...............             1.1455                 1.1906     
    6001106000...............             1.1455                 1.1906     
    6001210000...............             0.8591                 0.8929     
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    6302312030...............             1.1689                 1.2150     
    6302312040...............             0.8182                 0.8504     
    6302312055...............             0.8182                 0.8504     
    6302312090...............             0.8182                 0.8504     
    6302322020...............             0.4091                 0.4252     
    6302322040...............             0.4091                 0.4252     
    6302402010...............             0.9935                 1.0326     
    6302511000...............             0.5844                 0.6074     
    6302512000...............             0.8766                 0.9111     
    6302513000...............             0.5844                 0.6074     
    6302514000...............             0.8182                 0.8504     
    6302600010...............             1.1689                 1.2150     
    6302600020...............             1.0520                 1.0934     
    6302600030...............             1.0520                 1.0934     
    6302910005...............             1.0520                 1.0934     
    6302910015...............             1.1689                 1.2150     
    6302910025...............             1.0520                 1.0934     
    6302910035...............             1.0520                 1.0934     
    6302910045...............             1.0520                 1.0934     
    6302910050...............             1.0520                 1.0934     
    6302910060...............             1.0520                 1.0934     
    6303110000...............             0.9448                 0.9820     
    6303910000...............             0.6429                 0.6682     
    6303920000...............             0.2922                 0.3037     
    6304111000...............             1.0629                 1.1048     
    6304190500...............             1.0520                 1.0934     
    6304191000...............             1.1689                 1.2150     
    6304191500...............             0.4091                 0.4252     
    6304192000...............             0.4091                 0.4252     
    6304910020...............             0.9351                 0.9719     
    6304920000...............             0.9351                 0.9719     
    6505901540...............             1.1810                 1.2275     
    6505902060...............             0.9935                 1.0326     
    6505902545...............             0.5844                 0.6074     
    ------------------------------------------------------------------------
    
        Dated: July 28, 1994.
    Lon Hatamiya,
    Administrator.
    [FR Doc. 94-18879 Filed 8-2-94; 8:45 am]
    BILLING CODE 3410-02-P
    
    
    

Document Information

Published:
08/03/1994
Department:
Agriculture Department
Entry Type:
Uncategorized Document
Action:
Proposed rule.
Document Number:
94-18879
Dates:
Written comments concerning the proposed rule must be sent in triplicate and received no later than September 2, 1994.
Pages:
0-0 (1 pages)
Docket Numbers:
Federal Register: August 3, 1994, CN-94-001
RINs:
0581-AB14
CFR: (1)
7 CFR 1205.510