[Federal Register Volume 60, Number 109 (Wednesday, June 7, 1995)]
[Rules and Regulations]
[Pages 29960-29962]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-13921]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1220
RIN 0581-AB18
[No. LS-94-003]
Soybean Promotion and Research: Amend the Order To Adjust
Representation on the United Soybean Board and Adjust Number of Board
Meetings Required
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: This rule adjusts the number of members for certain States on
the United Soybean Board (Board) to reflect changes in production
levels which have occurred since the Board was appointed in 1991 and
decreases the number of required Board meetings from four a year to
three a year.
EFFECTIVE DATE: June 7, 1995.
FOR FURTHER INFORMATION CONTACT: Ralph L. Tapp, Chief, Marketing
Programs Branch; Livestock and Seed Division; Agricultural Marketing
Service (AMS), USDA, room 2606-S; P.O. Box 96456; Washington, D.C.
20090-6456. Telephone number 202/720-1115.
SUPPLEMENTARY INFORMATION: Prior document in this proceeding: Proposed
Rule--Soybean Promotion and Research: Amend the Order to Adjust
Representation on the United Soybean [[Page 29961]] Board and Adjust
Number of Board Meetings Required published March 22, 1995 (60 FR
15082).
Executive Orders 12866 and 12778 and Regulatory Flexibility Act
The Department of Agriculture is issuing this rule in conformance
with Executive Order 12866.
This final rule has been reviewed under Executive Order No. 12778,
Civil Justice Reform. It is not intended to have a retroactive effect.
The Soybean Promotion, Research, and Consumer Information Act (Act)
provides that administrative proceedings must be exhausted before
parties may file suit in court. Under section 1971 of the Act, a person
subject to the Soybean Promotion and Research Order (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 an exemption from the Order. The petitioner has the opportunity for
a hearing on the petition. After a hearing the Secretary will rule on
the petition. The statute provides that the district court of the
United States in any district in which the person resides or carries on
a business has jurisdiction to review a ruling on the petition if a
complaint for that purpose is filed not later than 20 days after the
date of entry of the ruling.
Further, section 1974 of the Act provides, with certain exceptions,
that nothing in the Act may be construed to preempt or supersede any
other program organized and operated under the laws of the United
States relating to soybean promotion, research, consumer industry, or
industry information. One exception in the Act concerns assessments
collected by Qualified State Soybean Boards (QSSBs). This exception
provides that, in order to ensure adequate funding of the operations of
QSSBs under the Act, no State law or regulation may limit or have the
effect of limiting the full amount of assessments that a QSSB in that
State may collect, and which is authorized to be credited under the
Act. Another exception concerns certain referenda conducted during
specified periods by a State relating to the continuation or
termination of a QSSB or State soybean assessment.
This action has also been reviewed under the Regulatory Flexibility
Act (5 U.S.C. 601 et seq.). This final rule adjusts representation on
the Board to reflect changes in production levels that have occurred
since the Board was appointed in 1991. It also decreases the number of
required Board meetings from four a year to three a year. The
Administrator of AMS has determined that this rule will not have a
significant economic impact on a substantial number of small business
entities.
Background
The Act (7 U.S.C. 6301-6311) provides for the establishment of a
coordinated program of promotion and research designed to strengthen
the soybean industry's position in the marketplace, and to maintain and
expand domestic and foreign markets and uses for soybeans and soybean
products. The program is financed by an assessment of 0.5 of 1 percent
of the net market price of soybeans sold by producers. Pursuant to the
Act, an Order was made effective July 9, 1991. The Order established a
Board of 60 members. For purposes of establishing the Board, the United
States was divided into 31 geographic units. Representation on the
Board from each unit was determined by the level of production in each
unit. The Secretary appointed the initial Board on July 11, 1991.
Section 1220.201(c) of the Order provides that at the end of each 3
year period, the Board shall review soybean production levels in the
geographic units throughout the United States. The Board may recommend
to the Secretary modification in the levels of production necessary for
Board membership for each unit. At its September 1994 meeting and again
at its December 1994 meeting, the Board voted to recommend to the
Secretary that no modification be made.
Section 1220.201(d) of the Order provides that at the end of each 3
year period, the Secretary must review the volume of production of each
unit and adjust the boundaries of any unit and the number of Board
members from each such unit as necessary to conform with the criteria
set forth in Sec. 1220.201(e): (1) To the extent practicable, States
with annual average soybean production of less than 3,000,000 bushels
shall be grouped into geographically contiguous units, each of which
has a combined production level equal to or greater than 3,000,000
bushels, and each such group shall be entitled to at least one member
on the Board; (2) units with at least 3,000,000 bushels, but fewer than
15,000,000 bushels shall be entitled to one Board member; (3) units
with 15,000,000 bushels or more but fewer than 70,000,000 bushels shall
be entitled to two Board members; (4) units with 70,000,000 bushels or
more but fewer than 200,000,000 bushels shall be entitled to three
Board members; and (5) units with 200,000,000 bushels or more shall be
entitled to four members.
Representation on the Board, effective with this final rule, is
based on average production levels for the years 1989-1993 (excluding
the crops in the years in which production was the highest and in which
production was the lowest) as reported by the National Agricultural
Statistics Service of the U.S. Department of Agriculture.
Based on the average production levels for the years 1989-1993,
this rule adjusts the number of geographic units from 31 to 30; and
Board members from 60 to 59. Florida is no longer a separate unit. It
joins the Eastern Region, and is represented by its Board
representative. Georgia and South Carolina each lose one member and
Wisconsin and Maryland each gain one member.
This adjustment is effective with the 1995 nominations and
appointments.
Section 1220.212(a) of the Order provides that the Board shall meet
at least four times a year, and more often if necessary for the Board
to carry out its responsibilities. The Board, which operates under a 5
percent administrative cap, has recommended to the Secretary that in
order to reduce its administrative costs and comply with the 5 percent
cap, Sec. 1220.212(a) be amended to reduce the number of required
yearly Board meetings to three. This rule reduces the required minimum
number of Board meetings from four to three a year.
On March 22, 1995, AMS published in the Federal Register (60 FR
15082) a proposed rule adjusting representation on the Board and
adjusting the number of Board meetings required.
The proposed rule was published with a request for comments to be
submitted by April 21, 1995.
The Department received four written comments. The comments and our
responses follow:
The South Carolina Soybean Board (South Carolina Board) and the
Georgia Agricultural Commodity Commission for Soybeans (Georgia
Commission) objected to the proposed reapportionment because it would
reduce Board membership for each State by one seat. Both assert that
the Department did not adhere directly to the Act and Order by using
the 1989-1993 crop production data to adjust representation on the
Board. Based on their interpretation they suggest that the crop
production years used in the proposed reapportionment should be 1988-
1992. The South Carolina Soybean Association's (Association) and the
Georgia Soybean Association's [[Page 29962]] (Association) comments
also objected to the proposed reapportionment.
The Department decision to use the crop production years 1989-1993
was based on section 1969(b)(2)(E) of the Act and Sec. 1220.201 of the
Order which provides that at the end of each 3 year period starting on
the effective date of the Order (July 9, 1991) the Secretary shall
review the volume of production of each State or unit and shall adjust
the number of Board members to conform with the volume of production
specified in the Act and Order. The Act and Order also state that
average annual soybean production shall be determined by using the
average of the production for the State or unit over the five previous
years, excluding the crops in which production was the highest and
lowest.
Accordingly, in July of 1994, at the end of the first 3 year
period, the Department reviewed the volume of production for the
required 5 years. The five previous years data available in July 1994
were 1989-1993. Since the commenters' assertions are not consistent
with the requirements of the Act and Order, no change is being made in
this final rule.
The South Carolina Board and the Georgia Commission argue that
reapportionment of the Board should have been made effective with the
1994 appointments to the Board. The two State Associations commented in
support of this position.
To ensure sufficient time for Departmental clearance and
appointment by December, the nomination and selection process for Board
appointment has been initiated prior to July each year. Thus, the
nominations for 1994 appointments by the Secretary had already been
submitted based on the allocation of Board seats established by the
initial Order when the reapportionment process began in July of 1994.
Also, in order for the appointments to be made under a revised
allocation based on reapportionment, a final rule must be promulgated
which establishes the new allocation of Board seats. Consequently, the
1995 appointments rather than 1994 appointments are the first
appointments which can be made under this reapportionment. Accordingly,
no change is being made in this final rule.
Effective Date
Pursuant to 5 U.S.C. 553 it is found and determined that good cause
exists for not postponing the effective date of the action until 30
days after publication of this rule in the Federal Register. This rule
adjusts representation on the Board and reduces the required number of
meetings of the Board and should be made effective upon publication in
order to begin the 1995 nomination and appointment process and to allow
the Board to schedule fiscal year 1995 meetings accordingly.
List of Subjects in 7 CFR Part 1220
Agricultural research, Reporting and recordkeeping requirements,
Soybeans.
For the reasons set forth in the preamble, 7 CFR is amended as
follows:
PART 1220--SOYBEAN PROMOTION, RESEARCH, AND CONSUMER INFORMATION
1. The authority citation for 7 CFR part 1220 continues to read as
follows:
Authority: 7 U.S.C. 6301-6311.
2. Section 1220.201 is amended by revising the section heading and
paragraph (a), removing paragraph (f), and redesignating paragraph (g)
as paragraph (f) as follows:
Sec. 1220.201 Membership of board.
(a) For the purposes of nominating and appointing producers to the
Board, the United States shall be divided into 30 geographic units and
the number of Board members from each unit, subject to paragraphs (d)
and (e) of this section shall be as follows:
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No. of
Unit members
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Illinois....................................................... 4
Iowa........................................................... 4
Minnesota...................................................... 3
Indiana........................................................ 3
Missouri....................................................... 3
Ohio........................................................... 3
Arkansas....................................................... 3
Nebraska....................................................... 3
Mississippi.................................................... 2
Kansas......................................................... 2
Louisiana...................................................... 2
South Dakota................................................... 2
Tennessee...................................................... 2
North Carolina................................................. 2
Kentucky....................................................... 2
Michigan....................................................... 2
Virginia....................................................... 2
Maryland....................................................... 2
Wisconsin...................................................... 2
Georgia........................................................ 1
South Carolina................................................. 1
Alabama........................................................ 1
North Dakota................................................... 1
Delaware....................................................... 1
Texas.......................................................... 1
Pennsylvania................................................... 1
Oklahoma....................................................... 1
New Jersey..................................................... 1
Eastern Region (New York, Massachusetts, Connecticut, Florida,
Rhode Island, Vermont, New Hampshire, Maine, West Virginia,
District of Columbia, and Puerto Rico)........................ 1
Western Region (Montana, Wyoming, Colorado, New Mexico, Idaho,
Utah, Arizona, Washington, Oregon, Nevada, California, Hawaii,
and Alaska)................................................... 1
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3. In Sec. 1220.212, paragraph (a) is revised to read as follows:
Sec. 1220.212 Duties.
* * * * *
(a) To meet not less than three times annually, or more often if
required for the Board to carry out its responsibilities pursuant to
this subpart.
* * * * *
Dated: June 1, 1995.
Lon Hatamiya,
Administrator.
[FR Doc. 95-13921 Filed 6-6-95; 8:45 am]
BILLING CODE 3410-02-P