[Federal Register Volume 59, Number 143 (Wednesday, July 27, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-18216]


[[Page Unknown]]

[Federal Register: July 27, 1994]



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DEPARTMENT OF AGRICULTURE
7 CFR Part 989
[Docket No. FV94-989-2FIR]

 

Raisins Produced From Grapes Grown in California; Reapportionment 
of Independent Handler Representation

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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SUMMARY: The Department of Agriculture (Department) is adopting as a 
final rule, without change, the provisions of an interim final rule 
which revised the administrative rules and regulations established 
under the Federal marketing order for raisins produced from grapes 
grown in California. The interim final rule reapportioned the 
representation established for independent and small cooperative 
marketing association handlers on the Raisin Administrative Committee 
(Committee), to provide more equitable representation. This rule is 
based on a unanimous recommendation of the Committee, which is 
responsible for local administration of the order.

EFFECTIVE DATE: August 26, 1994.

FOR FURTHER INFORMATION CONTACT: Richard P. Van Diest, Marketing 
Specialist, California Marketing Field Office, Fruit and Vegetable 
Division, AMS, USDA, 2202 Monterey Street, Suite 102B, Fresno, 
California 93721; telephone: (209) 487-5901, or FAX (209) 487-5906; or 
Valerie L. Emmer, Marketing Specialist, Marketing Order Administration 
Branch, F&V, AMS, USDA, Room 2523-S, P.O. Box 96456, Washington, D.C. 
20090-6456; Telephone: (202) 205-2829, or FAX (202) 720-5698.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement and Order No. 989 [7 CFR Part 989], both as amended, 
regulating the handling of raisins produced from grapes grown in 
California. The order is effective under 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 rule has been reviewed under Executive Order 12778, Civil 
Justice Reform. It is not intended to have any retroactive effect. This 
action 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 8c(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 requesting a modification of the order or to be exempted 
therefrom. 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 his or her 
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 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 20 handlers of California raisins who are 
subject to regulation under the raisin marketing order, and 
approximately 5,000 producers in the regulated 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. A majority of producers and a 
minority of handlers of California raisins may be classified as small 
entities.
     This rule finalizes an interim final rule which revised Section 
989.126 of Subpart--Administrative Rules and Regulations [7 CFR 
989.102-989.176] and is based on a unanimous recommendation of the 
Committee and other available information.
    The interim final rule, published in the Federal Register on May 
26, 1994, [59 FR 27225], reapportioned the Committee representation 
established for independent and small cooperative marketing association 
handlers on the Committee. The interim rule provided for broader 
independent handler/small cooperative handler representation on the 
Committee to reflect the different handler segments in the raisin 
industry. The change did not impose any additional regulatory, 
informational, or cost requirements on handlers or producers.
    Section 989.26 of the order provides that the Committee shall 
consist of 47 members, of whom 35 shall represent producers, 10 shall 
represent handlers, 1 shall represent the cooperative bargaining 
association, and 1 shall be a public member. The 10 handler positions 
are allocated between: (1) Cooperative marketing associations, each of 
which acquired not less than 10 percent of the total raisin 
acquisitions during the preceding crop year (referred to as major 
cooperative handlers); and (2) independent handlers and small 
cooperative marketing associations; i.e., those who acquired less than 
10 percent of the total raisin acquisitions during the preceding crop 
year. Currently, there is one cooperative in group (1) engaged in 
handling raisins. That handler is allocated three positions on the 
Committee. Group (2) handlers are allocated seven positions. The 
allocation of members between the two handler groups is based on the 
provisions specified in paragraph (d) of Sec. 989.26.
    Section 989.126(b) of the Administrative Rules and Regulations had 
previously provided for independent and small cooperative handler 
representation on the Committee as follows:
    (1) Two members selected from and representing the four handler(s) 
other than major cooperative handler(s) who acquired the largest 
percentage of the total raisin acquisitions during the preceding crop 
year;
    (2) Two members selected from and representing the six handlers 
other than major cooperative marketing association handler(s) who 
acquired the next largest percentage of the total raisin acquisitions 
during the preceding crop year; and
    (3) The remaining member(s) selected from and representing all 
other handlers, including small cooperative marketing association 
handler(s) and all processors.
    For the purposes of this final rule, category (1) is referred to as 
the ``large-sized handler'' group, category (2) is referred to as the 
``medium-sized handler'' group, and category (3) is referred to as the 
``all other handler'' group. The number of handlers in the ``all other 
handler'' group has decreased from 10 to 7 since the 1990-91 crop year. 
In addition, during the 1992-93 crop year, the ``medium-sized handler'' 
group acquired more than four times the tonnage acquired by the ``all 
other handler'' group.
    Based on this information, the Committee met on March 9, 1994, and 
unanimously recommended to move one handler position from the ``all 
other handler'' group to the ``medium-sized handler'' group.
    The interim final rule amended Sec. 989.126(b) of the 
Administrative Rules and Regulations by changing the independent and 
small cooperative handler representation on the Committee as follows:
    (1) Two members selected from and representing the four handler(s) 
other than major cooperative handler(s) who acquired the largest 
percentage of the total raisin acquisitions during the preceding crop 
year;
    (2) Three members selected from and representing the six handlers 
other than major cooperative marketing association handler(s) who 
acquired the next largest percentage of the total raisin acquisitions 
during the preceding crop year; and
    (3) The remaining member(s) selected from and representing all 
other handlers, including small cooperative marketing association 
handler(s) and all processors.
    The previous and current independent handler/small cooperative 
handler representation are shown as follows: 

------------------------------------------------------------------------
                                                       Representation   
   Independent handler/small cooperative handler   ---------------------
                     category                        Previous   Current 
------------------------------------------------------------------------
Largest 4 Handlers................................          2          2
Next Largest 6 Handlers...........................          2          3
Remaining Handlers................................          3         2 
------------------------------------------------------------------------

    The shift in membership recognized the relative importance of the 
``large-sized handler,'' ``medium-sized handler,'' and ``all other 
handler groups,'' and provides an opportunity for the ten largest 
independent/small cooperative handlers to be represented on the 
Committee either as a member or as an alternate member. The ``all other 
handler'' group is eligible to nominate two members and two alternate 
members.
    The interim final rule provided a 30-day comment period which ended 
June 27, 1994. No comments were received.
    Based on the above, the Administrator of the AMS has determined 
that this final rule will not have a significant economic impact on a 
substantial number of small entities.
    After consideration of all relevant information presented, 
including the Committee's unanimous recommendation and other available 
information, it is found that finalizing the interim final rule, 
without change, as published in the Federal Register on May 26, 1994, 
[59 FR 27225], will tend to effectuate the declared policy of the Act.

List of Subjects in 7 CFR Part 989

    Grapes, Marketing agreements, Raisins, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR Part 989 is 
amended as follows:

PART 989--RAISINS PRODUCED FROM GRAPES GROWN IN CALIFORNIA

    1. The authority citation for 7 CFR Part 989 continues to read as 
follows:

    Authority: 7 U.S.C. 601-674.

    2. Accordingly, the interim final rule amending Sec. 989.126, which 
was published at 59 FR 27225 on May 26, 1994, is adopted as a final 
rule without change.

    Dated: July 21, 1994.
Terry C. Long,
Acting Deputy Director, Fruit and Vegetable Division.
[FR Doc. 94-18216 Filed 7-26-94; 8:45 am]
BILLING CODE 3410-02-P