[Federal Register Volume 59, Number 20 (Monday, January 31, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-2023]
[[Page Unknown]]
[Federal Register: January 31, 1994]
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DEPARTMENT OF AGRICULTURE
7 CFR Part 981
[Docket No. FV93-981-2IFR]
Almonds Grown in California; Reopening of Comment Period on
Interim Final Rule
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Reopening of comment period.
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SUMMARY: This document reopens the period for filing written comments
on an interim final rule establishing a revised advertising program
under the almond marketing order. That rule substantially revised the
advertising program and broadened the scope of creditable promotion/
advertising activities available to handlers and expanded the Board's
ability to engage in a significant generic promotion/advertising
program.
DATES: Comments must be received by March 2, 1994.
ADDRESSES: Interested persons are invited to submit written comments
concerning this reopened action. Comments must be sent in triplicate to
the Docket Clerk, Marketing Order Administration Branch, F&V, AMS,
USDA, room 2523-S, P.O. Box 96456, Washington, DC 20090-6456, FAX
Number (202) 720-5698. Comments should reference the docket number, the
date and page number of this issue of the Federal Register and will be
made available for public inspection in the Office of the Docket Clerk
during regular business hours.
FOR FURTHER INFORMATION CONTACT: Kathleen M. Finn, Marketing
Specialist, Marketing Order Administration Branch, Fruit and Vegetable
Division, AMS, USDA, room 2536-S., P.O. Box 96456, Washington, DC
20090-6456; telephone: (202) 720-1509, or FAX (202) 720-5698; or Martin
Engeler, Assistant Officer-in-Charge, California Marketing Field
Office, Fruit and Vegetable Division, AMS, USDA, 2202 Monterey Street,
suite 102-B, Fresno, California 93721; (209) 487-5901 or FAX (209) 487-
5906.
SUPPLEMENTARY INFORMATION: The interim final rule was issued under
Marketing Agreement and Order No. 981 (7 CFR part 981), both as
amended, regulating the handling of almonds grown in California. The
marketing agreement and order are authorized by the Agricultural
Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-674),
hereinafter referred to as the Act.
The interim final rule was issued on July 14, 1993, and published
in the August 17, 1993, issue of the Federal Register (57 FR 43500). It
amended Sec. 981.441 of Subpart--Administrative Rules and Regulations
by substantially revising the Board's promotion/advertising program by
broadening the scope of creditable activities available to handlers and
expanding the Board's ability to engage in a significant and more
effective generic promotion/advertising program.
Authority for marketing promotion, including paid advertising, was
added to the almond marketing order in 1972. This authority allows
handlers to receive credit against an assessment obligation for their
own paid promotional activities, and also provides for generic
promotion to be conducted by the Board on behalf of the industry.
Since this authority was added to the marketing order, almond
production has increased, markets have expanded, the number of handlers
has increased and the relative proportion of product sold to ingredient
manufacturers in bulk quantities has likewise increased. The creditable
promotion/advertising regulations issued under the almond marketing
order have been changed numerous times to better meet industry needs
and changing market conditions (37 FR 13790, 7/14/72, as amended at 37
FR 16930, 8/28/72; 38 FR 9988, 4/23/73; 39 FR 39258, 11/6/74; 40 FR
25437, 6/16/75; 42 FR 5342, 1/28/77; 44 FR 67076, 11/23/79; 46 FR
51603, 10/21/81; 47 FR 40784, 9/16/82; 48 FR 11250, 3/17/83; 49 FR
19798, 5/10/84; 50 FR 16452, 4/26/85; 52 FR 13428, 4/23/87; 52 FR
37926, 10/13/87; 52 FR 45611, 12/1/87; 54 FR 5409, 2/3/89; 54 FR 6866,
2/15/89; 55 FR 130, 1/3/90; 55 FR 30194, 7/25/90; 55 FR 41826, 10/16/
90; 57 FR 30383, 7/9/92; 58 FR 33023, 6/15/93).
The most recent change in the advertising regulations substantially
revised the creditable promotion/advertising program by incorporating a
new program called the ``credit-back'' program.
On December 22, 1993, the United States Court of Appeals for the
Ninth Circuit in California issued a ruling on a district court order
involving an action against the Department by three independent almond
handlers wherein such handlers alleged, among other things, that the
Board's advertising program during the 1980's was unconstitutional
because the program violated the handlers' First Amendment Rights. The
district court ruled that the advertising program was constitutional.
The Ninth Circuit Court of Appeals acknowledged the substantial public
interest in designing effective promotion programs to stimulate demand
and to increase returns to growers but concluded that the almond
program in place during the 1980's was sufficiently flawed that it did
not meet the constitutional standards.
In light of the potential effect of the Ninth Circuit Court of
Appeal's decision on the current promotion program conducted under the
almond marketing order and on the health of the almond industry as a
whole, the Department has determined that it is in the public interest
to reopen the comment period for this interim final rule. Such action
will provide interested persons the opportunity to review the rules for
the current program and submit additional written views and information
pertinent to the potential effect of the decision on the current
program and on how the Department can best address the issues raised in
the court's decision. Accordingly, the comment period is reopened to
March 2, 1994.
Authority: 7 U.S.C. 601-674.
Dated: January 25, 1994.
Robert C. Keeney,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 94-2023 Filed 1-28-94; 8:45 am]
BILLING CODE 3410-02-P