[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: 94-19894]


  Federal Register / Vol. 59, No. 155 / Friday, August 12, 1994 /
  
[[Page Unknown]]

[Federal Register: August 12, 1994]


                                                   VOL. 59, NO. 155

                                            Friday, August 12, 1994

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 52

[FV-94-327]
RIN 0581-AB16

 

Processed Fruits and Vegetables, Processed Products Thereof, and 
Certain Other Processed Food Products Regulations Governing Inspection 
and Certification

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final Rule.

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SUMMARY: This final rule revises the Regulations Governing Inspection 
and Certification of Processed Fruits and Vegetables and Certain Other 
Products\1\ by increasing the fees charged for inspection and by adding 
a section concerning cancellation of contracts. The revision is 
necessary in order to recover, as nearly as practicable, the costs of 
performing inspection services under the Agricultural Marketing Act of 
1946.
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    \1\Other processed products may include the following: Honey; 
molasses, except for stockfeed; nuts and nut products, except oil; 
sugar (cane, beet, and maple); sirups (blended), sirups, except from 
grain; tea, cocoa, coffee, spices, condiments.


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EFFECTIVE DATE: August 12, 1994.

FOR FURTHER INFORMATION CONTACT: Mr. James R. Rodeheaver, Processed 
Products Branch, Fruit and Vegetable Division, Agricultural Marketing 
Service, U.S. Department of Agriculture, P.O. Box 96456, Room 0709 
South Building, Washington, D.C. 20090-6456, Telephone (202) 720-4693.

SUPPLEMENTARY INFORMATION: This rule has been determined significant 
for purposes of Executive Order 12866, and therefore has been reviewed 
by OMB.
    This final rule has been reviewed under Executive Order 12778, 
Civil Justice Reform. This action is not intended to have retroactive 
effect. This rule will not preempt any State or local laws, 
regulations, or policies, unless they present an irreconcilable 
conflict with this rule. There are no administrative procedures which 
must be exhausted prior to any judicial challenge to the provisions of 
this rule.
    The Administrator, Agricultural Marketing Service (AMS), has 
certified that this action will not have a significant economic impact 
on a substantial number of small entities, as defined in the Regulatory 
Flexibility Act, P.L. 96-354 (5 U.S.C. 601).
    The final rule reflects fee increases needed to recover the costs 
of services rendered in accordance with the Agricultural Marketing Act 
(AMA) of 1946. The inspection, grading and certification program for 
processed fruits and vegetables and related products is voluntary.
    The AMA authorizes official inspection, grading, and certification 
on a user-fee basis, of processed food products including processed 
fruits, vegetables, and processed products made from them. The AMA 
provides that reasonable fees be collected from the user of the program 
services to cover as nearly as practicable the costs of services 
rendered. This final rule amends the schedule of fees and charges for 
inspection, grading, and certification services to more nearly reflect 
the costs currently associated with the program. The amendment includes 
the addition of the new Section 52.47 pertaining to charges when 
service is canceled or changed in order to manage the program in the 
most cost effective manner. Former Section 52.47, which was removed, 
pertained to microbiological and other types of testing functions which 
were transferred to the AMS Science Division.
    AMS regularly reviews its programs to determine if fees are 
adequate. Employee salary and fringe benefits are major program costs 
that account for approximately 85 percent of the total operating 
budget. Two salary increases for Federal employees, a 3.7 percent pay 
increase effective January 10, 1993, and a locality pay increase, 
ranging from 3.09 to 6.52 percent depending upon locality, effective 
January 8, 1994, have materially affected program costs. Unemployment 
insurance, FTS 2000 telecommunications, General Services Administration 
rent, and other administrative, supervisory, and program costs have 
also increased.
    In addition, the Agricultural Appropriation Bill for fiscal year 
1994 directed AMS to establish a user fee program to recover the costs 
associated with agricultural commodities quality standards. In 
response, the service has implemented cost-cutting actions 
(reorganization and/or downsizing of field offices and technical 
support services) which reduced obligations by $569,175 from FY-92 to 
FY-93. Nonetheless, despite these measures, the Agency has determined 
that due to the increases in program operating costs, an increase in 
fees is necessary to meet rising costs and prevent financial losses.
    A notice of proposed rulemaking was published in the Federal 
Register (59 FR 26762) on May 24, 1994 with a thirty day comment 
period. The comment period closed on June 24, 1994. Interested persons 
were invited to participate in this rulemaking proceeding by submitting 
written comments on the proposal to the Agricultural Marketing Service. 
No comments were received regarding this proposed rule.
    Pursuant to 5 USC 553, it is found and determined that good cause 
exists for not postponing the effective date until thirty days after 
the publication in the Federal Register because: (1) these programs 
have incurred a loss in fiscal year 1994; (2) this action should be 
made effective upon publication in the Federal Register so that fees 
will reflect the costs of services rendered as soon as possible and; 
(3) interested persons were afforded a thirty day comment period and no 
comments were received.

List of Subjects in 7 CFR Part 52

    Food grades and standards, Food labeling, Frozen foods, Fruit 
juices, Fruits, Reporting and recordkeeping requirements, and 
Vegetables.
    For the reasons set forth in the preamble, 7 CFR Part 52 is amended 
as follows:

PART 52 REGULATIONS GOVERNING INSPECTION AND CERTIFICATION OF 
PROCESSED FRUITS AND VEGETABLES, PROCESSED PRODUCTS THEREOF, AND 
CERTAIN OTHER PROCESSED FOOD PRODUCTS

    1. The authority citation for 7 CFR Part 52 is revised to read as 
follows:

    Authority: 7 USC 1622, 1624.

    2. Section 52.42 is revised to read as follows:


Sec. 52.42  Schedule of fees.

    Unless otherwise provided in a written agreement between the 
applicant and the Administrator, the fee for any inspection service 
performed under the regulations in this part, shall be at the rate of 
$39.50 per hour plus one-half the hourly rate per hour for all 
scheduled overtime hours. When work is performed on a holiday, an 
additional hour shall be charged at the regular hourly rate for each 
hour worked. A ten (10) percent night differential charge will be made 
for all work performed between the hours of 6 p.m. and 6 a.m.
    3. A new Sec. 52.47 is added to read as follows:


Sec. 52.47  Changing Types of Service.

    If an applicant cancels a new year-round contract before a full 
year has elapsed, the applicant shall be charged the difference between 
the year-round rate and less than year-round rate for the full period 
the year-round contract was in effect. If an applicant cancels a year-
round contract after a full year or more of uninterrupted service, the 
fee remains at the year-round rate.
    4. In Sec. 52.50, the 1st sentence is revised to read as follows:


Sec. 52.50  Travel and other expenses.

    Charges may be made to cover the cost of travel time incurred in 
connection with the performance of any inspection service, including 
appeal inspections, at the rate of $39.50 per hour. * * *
    5. In Sec. 52.51, paragraphs (c) (1), (c) (2), (d) (1), and (d) (2) 
are revised to read as follows:


Sec. 52.51  Charges for inspection on a contract basis.

* * * * *
    (c) * * *
    (1) For personnel assigned on a year-round basis: Each inspector--
$34.00 per hour.
    (2) For personnel assigned on less than a year-round basis: Each 
inspector--$39.50 per hour. In-plant sampler--$22.00 per hour.
* * * * *
    (d) * * *
    (1) Each inspector--$39.50 per hour.\1\
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    \1\Except a minimum of 8 hours per day will be billed in lieu of 
a minimum of 40 hours a week.
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    (2) In-plant sampler--$22.00 per hour.
* * * * *
    Dated: August 8, 1994.
Lon Hatamiya,
Administrator.
[FR Doc. 94-19894 Filed 8-11-94; 8:45 am]
BILLING CODE 3410-02-P