[Federal Register Volume 59, Number 155 (Friday, August 12, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-19783]


[[Page Unknown]]

[Federal Register: August 12, 1994]


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DEPARTMENT OF AGRICULTURE
7 CFR Part 993

[Docket No. FV94-993-1IFR]

 

Dried Prunes Produced in California; Expenses and Assessment Rate

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim final rule with request for comments.

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SUMMARY: This interim final rule authorizes expenditures and 
establishes an assessment rate under Marketing Order No. 993 for the 
1994-95 crop year. Authorization of this budget enables the Prune 
Marketing Committee (Committee) to incur expenses that are reasonable 
and necessary to administer the program. Funds to administer this 
program are derived from assessments on handlers.

DATES: Effective beginning August 1, 1994, through July 31, 1995. 
Comments received by September 12, 1994, will be considered prior to 
issuance of a final rule.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this action. Comments must be sent in triplicate to the 
Docket Clerk, Fruit and Vegetable Division, AMS, USDA, P.O. Box 96456, 
room 2523-S, Washington, DC 20090-6456, FAX 202-720-5698. Comments 
should reference the docket number and the date and page number of this 
issue of the Federal Register and will be available for public 
inspection in the Office of the Docket Clerk during regular business 
hours.

FOR FURTHER INFORMATION CONTACT: Martha Sue Clark, Marketing Order 
Administration Branch, Fruit and Vegetable Division, AMS, USDA, P.O. 
Box 96456, room 2523-S, Washington, DC 20090-6456, telephone 202-720-
9918; or Richard P. Van Diest, California Marketing Field Office, Fruit 
and Vegetable Division, AMS, USDA, 2202 Monterey Street, suite 102B, 
Fresno, California 93721, telephone 209-487-5901.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement and Order No. 993, both as amended (7 CFR part 993), 
regulating the handling of dried prunes produced in California. The 
marketing agreement and order are 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 interim final rule has been reviewed under Executive Order 
12778, Civil Justice Reform. Under the provisions of the marketing 
order now in effect, California prunes are subject to assessments. It 
is intended that the assessment rate as issued herein will be 
applicable to all assessable prunes handled during the 1994-95 crop 
year, which begins August 1, 1994, and ends July 31, 1995. This interim 
final rule 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 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 requesting a modification of the order or to be exempted 
therefrom. Such handler 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 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 the entry of the ruling.
    Pursuant to the requirements set forth in the Regulatory 
Flexibility Act (RFA), the Administrator of the Agricultural Marketing 
Service (AMS) has considered the economic impact of this rule 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 the 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 1,360 producers of California prunes under 
this marketing order, and approximately 20 handlers. 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. The majority of California prune 
producers and handlers may be classified as small entities.
    The budget of expenses for the 1994-95 crop year was prepared by 
the Prune Marketing Committee, the agency responsible for local 
administration of the marketing order, and submitted to the Department 
of Agriculture for approval. The members of the Committee are producers 
and handlers of California prunes. They are familiar with the 
Committee's needs and with the costs of goods and services in their 
local area and are thus in a position to formulate an appropriate 
budget. The budget was formulated and discussed in a public meeting. 
Thus, all directly affected persons have had an opportunity to 
participate and provide input.
    The assessment rate recommended by the Committee was derived by 
dividing anticipated expenses by expected shipments of dried California 
prunes. Because that rate will be applied to actual shipments, it must 
be established at a rate that will provide sufficient income to pay the 
Committee's expenses.
    The Committee met June 28, 1994, and unanimously recommended a 
1994-95 budget of $270,200, $21,395 more than the previous year. Budget 
items for 1994-95 which have increased compared to those budgeted for 
1993-94 (in parentheses) are: Executive salaries, $83,850 ($81,500), 
clerical salaries, $18,650 ($17,600), employee benefits, $15,800 
($14,500), audit fees, $3,650 ($3,500), office rent, $21,500 ($19,000), 
postage and messenger, $5,000 ($4,500), telephone, $2,500 ($2,000), 
fieldman travel, $4,000 ($3,500), purchase of equipment, $4,500 
(3,000), acreage survey $10,000 ($5,000), and reserve for 
contingencies, $19,250 ($6,705). Items which have decreased compared to 
the amount budgeted for 1993-94 (in parentheses) are: Temporary help, 
$5,000 ($8,000), and data processing, $3,500 ($7,000). All other items 
are budgeted at last year's amounts.
    The Committee also unanimously recommended an assessment rate of 
$1.60 per salable ton, $0.30 less than the previous year. This rate, 
when applied to anticipated shipments of 168,875 salable tons, will 
yield $270,200 in assessment income, which will be adequate to cover 
budgeted expenses. Any funds not expended by the Committee during a 
crop year may be used, pursuant to Sec. 993.81(c), for a period of five 
months subsequent to that crop year. At the end of such period, the 
excess funds are returned or credited to handlers.
    While this action will impose some additional costs on handlers, 
the costs are in the form of uniform assessments on handlers. Some of 
the additional costs may be passed on to producers. However, these 
costs will be offset by the benefits derived by the operation of the 
marketing order. Therefore, the Administrator of the AMS has determined 
that this action will not have a significant economic impact on a 
substantial number of small entities.
    After consideration of all relevant matter presented, including the 
information and recommendations submitted by the Committee and other 
available information, it is hereby found that this rule, as 
hereinafter set forth, will tend to effectuate the declared policy of 
the Act.
    Pursuant to 5 U.S.C. 553, it is also found and determined upon good 
cause that it is impracticable, unnecessary, and contrary to the public 
interest to give preliminary notice prior to putting this rule into 
effect and that good cause exists for not postponing the effective date 
of this action until 30 days after publication in the Federal Register 
because: (1) The Committee needs to have sufficient funds to pay its 
expenses which are incurred on a continuous basis, (2) the crop year 
begins on August 1, 1994, and the marketing order requires that the 
rate of assessment for the fiscal period apply to all assessable 
California prunes handled during the crop year; (3) handlers are aware 
of this action which was unanimously recommended by the Committee at a 
public meeting and is similar to other budget actions issued in past 
years; and (4) this interim final rule provides a 30-day comment 
period, and all comments timely received will be considered prior to 
finalization of this action.

List of Subjects in 7 CFR Part 993

    Marketing agreements, Plums, Prunes, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR part 993 is 
amended as follows:

PART 993--DRIED PRUNES PRODUCED IN CALIFORNIA

    1. The authority citation for 7 CFR part 993 continues to read as 
follows:

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

    2. A new Sec. 993.345 is added to read as follows:

    Note: This section will not appear in the Code of Federal 
Regulations.


Sec. 993.345  Expenses and assessment rate.

    Expenses of $270,200 by the Prune Marketing Committee are 
authorized, and an assessment rate of $1.60 per salable ton of dried 
prunes is established for the crop year ending July 31, 1995. 
Unexpended funds may be carried over as a reserve within the 
limitations specified in Sec. 993.81(c).

    Dated: August 8, 1994.
Eric M. Forman,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 94-19783 Filed 8-11-94; 8:45 am]
BILLING CODE 3410-02-P