[Federal Register Volume 60, Number 12 (Thursday, January 19, 1995)]
[Rules and Regulations]
[Pages 3725-3726]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-1234]



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 Rules and Regulations
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  Federal Register / Vol. 60, No. 12 / Thursday, January 19, 1995 / 
Rules and Regulations  

[[Page 3725]]


DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 925

[Docket No. FV94-925-1-IFR]


Grapes Grown in a Designated Area of Southeastern California; 
Expenses for the 1995 Fiscal Year

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim final rule with request for comments.

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SUMMARY: This document authorizes expenditures for the California 
Desert Grape Administrative Committee (Committee) under Marketing Order 
(M.O.) No. 925 for the 1995 fiscal year. Authorization of this budget 
enables the Committee to incur expenses that are reasonable and 
necessary to administer this program.

DATES: Effective beginning January 1, 1995, through December 31, 1995. 
Comments received by February 21, 1995 will be considered prior to 
issuance of a final rule.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this interim final rule. Comments must be sent in triplicate 
to the Docket Clerk, Fruit and Vegetable Division, AMS, USDA, P.O. Box 
96456, Room 2523-S, Washington, D.C. 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: Charles L. Rush, Marketing Order 
Administration Branch, Fruit and Vegetable Division, AMS, USDA, P.O. 
Box 96456, Room 2523-S, Washington, D.C. 20090-6456, telephone: (202) 
690-3670; or Rose Aguayo, 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 interim final rule is issued under 
Marketing Agreement and Order No. 925 [7 CFR Part 925] regulating the 
handling of table grapes grown in a designated area of 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. This rule authorizes expenditures for the 
1995 fiscal year, beginning January 1, 1995, through December 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 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. 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 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 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 grapes regulated under the 
marketing order each season and approximately 90 grape producers in 
California. Small agricultural producers have been defined by the Small 
Business Administration [13 CFR Sec. 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 these handlers and producers may be classified as small 
entities.
    The table grape marketing order, administered by the Department, 
requires that the assessment rate for a particular fiscal year apply to 
all assessable grapes handled from the beginning of such year. Annual 
budgets of expenses are prepared by the Committee, the agency 
responsible for local administration of this marketing order, and 
submitted to the Department for approval. The members of the Committee 
are handlers and producers of California table grapes. They are 
familiar with the Committee's needs and with the costs for goods, 
services, and personnel in their local area, and are thus in a position 
to formulate appropriate budgets. The Committee's budget is formulated 
and discussed in a public meeting. Thus, all directly affected persons 
have an opportunity to participate and provide input.
    The assessment rate recommended by the Committee is derived by 
dividing the anticipated expenses by expected shipments of table 
grapes. Because that rate is applied to actual shipments, it must be 
established at a rate which will provide sufficient income to pay the 
Committee's expected expenses.
    The Committee met on October 20, 1994, and unanimously recommended 
expenses of $54,427 and an assessment rate of $0.005 per lug. However, 
the reserve fund was in excess of the amount of expenses for one year. 
Section 925.42 of the order specifies that the reserve fund may not 
exceed approximately one fiscal year's 

[[Page 3726]]
expenses. Accordingly, the Department returned the recommendation to 
the Committee for reconsideration.
    The Committee conducted a telephone vote on November 21, 1994, and 
approved by a majority vote a revised budget with an additional $20,000 
for salaries. There were two Committee members who were unavailable to 
vote. The Committee's recommended revised total expense amount is 
$74,427, which is $29,117 less in expenses than the previous year.
    The Committee also recommended not to have an assessment rate for 
the 1995 fiscal year. The $2,500 in interest income and $71,927 from 
the Committee's authorized reserves will adequately cover estimated 
expenses.
    Major expense categories for the 1995 fiscal year include $24,000 
for the Western Grape Leaf Skeletonizer project, $12,487 for salaries, 
$20,000 for salaries of Los Angeles Market inspectors and $4,440 for 
rent. Funds in the reserve at the end of the 1995 fiscal year are 
estimated at $93,431.
    This action will not impose additional costs on handlers. 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 fiscal year 
for the Committee begins January 1, 1995, (3) handlers are aware of 
this action which is similar to budgets 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 925

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

    For the reasons set forth in the preamble, 7 CFR Part 925 is 
amended as follows:

PART 925--GRAPES GROWN IN A DESIGNATED AREA OF SOUTHEASTERN 
CALIFORNIA

    1. The authority citation for 7 CFR Part 925 continues to read as 
follows:

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

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

    2. A new Sec. 925.214 is added to read as follows:


Sec. 925.214  Expenses.

    Expenses of $74,427 by the California Desert Grape Administrative 
Committee are authorized for the fiscal year ending December 31, 1995. 
Unexpended funds may be carried over as a reserve.

    Dated: January 12, 1995.
Sharon Bomer Lauritsen,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 95-1234 Filed 1-18-95; 8:45 am]
BILLING CODE 3410-02-P