[Federal Register Volume 60, Number 139 (Thursday, July 20, 1995)]
[Proposed Rules]
[Pages 37373-37374]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-17861]



 ========================================================================
 Proposed Rules
                                                 Federal Register
 ________________________________________________________________________
 
 This section of the FEDERAL REGISTER contains notices to the public of 
 the proposed issuance of rules and regulations. The purpose of these 
 notices is to give interested persons an opportunity to participate in 
 the rule making prior to the adoption of the final rules.
 
 ========================================================================
 

  Federal Register / Vol. 60, No. 139 / Thursday July 20, 1995 / 
Proposed Rules  


[[Page 37373]]


DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1138

[DA-95-20]


Milk in the New Mexico-West Texas Marketing Area; Notice of 
Proposed Suspension of Certain Provisions of the Order

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed suspension of rule.

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SUMMARY: This document invites written comments on a proposal that 
would continue the suspension of certain segments of the pool plant and 
producer milk definitions of the New Mexico-West Texas order for a two-
year period. Associated Milk Producers, Inc. (AMPI), a cooperative 
association that represents a majority of the producers who supply milk 
to the market, has requested continuation of the suspension. The 
cooperative asserts that continuation of the suspension is necessary to 
insure that dairy farmers who have historically supplied the New 
Mexico-West Texas order will continue to have their milk priced under 
the order without incurring costly and inefficient movements of milk.

DATES: Comments are due no later than August 21, 1995.

ADDRESSES: Comments (two copies) should be filed with the USDA/AMS/
Dairy Division, Order Formulation Branch, Room 2971, South Building, 
P.O. Box 96456, Washington, DC 20090-6456.

FOR FURTHER INFORMATION CONTACT: Clifford M. Carman, Marketing 
Specialist, USDA/AMS/Dairy Division, Order Formulation Branch, Room 
2971, South Building, P.O. Box 96456, Washington, DC 20090-6456, (202) 
720-9368.

SUPPLEMENTARY INFORMATION: The Regulatory Flexibility Act (5 U.S.C. 
601-612) requires the Agency to examine the impact of a proposed rule 
on small entities. Pursuant to 5 U.S.C. 605(b), the Administrator of 
the Agricultural Marketing Service has certified that this proposed 
rule would not have a significant economic impact on a substantial 
number of small entities. This rule would tend to ensure that dairy 
farmers would continue to have their milk priced under the order and 
thereby receive the benefits that accrue from such pricing.
    The Department is issuing this proposed rule in conformance with 
Executive Order 12866.
    This proposed rule has been reviewed under Executive Order 12778, 
Civil Justice Reform. This rule is not intended to have a retroactive 
effect. If adopted, this proposed rule will not preempt any state or 
local laws, regulations, or policies, unless they present an 
irreconcilable conflict with the rule.
    The Agricultural Marketing Agreement Act of 1937, as amended (7 
U.S.C. 601-674), 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 request a modification of an order or to be 
exempted from the order. 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 
its 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.
    Notice is hereby given that, pursuant to the provisions of the 
Agricultural Marketing Agreement Act, the suspension of the following 
provisions of the order regulating the handling of milk in the New 
Mexico-West Texas marketing area is being considered for the months of 
October 1, 1995, through September 30, 1997:
    1. In Sec. 1138.7, paragraph (a)(1), the words ``including producer 
milk diverted from the plant,'';
    2. In Sec. 1138.7, paragraph (c), the words ``35 percent or more of 
the producer''; and
    3. In Sec. 1138.13(d), paragraphs (1), (2), and (5).
    All persons who want to submit written data, views or arguments 
about the proposed suspension should send two copies of their views to 
the USDA/AMS/Dairy Division, Order Formulation Branch, Room 2971, South 
Building, P.O. Box 96456, Washington, DC 20090-6456, by the 30th day 
after publication of this notice in the Federal Register.
    All written submissions made pursuant to this notice will be made 
available for public inspection in the Dairy Division during regular 
business hours (7 CFR 1.27(b)).

Statement of Consideration

    The proposed suspension would continue the current suspension of 
segments of the pool plant and producer milk definitions under the New 
Mexico-West Texas order. The provisions that are suspended limit the 
pooling of diverted milk. The proposed suspension would be in effect 
from October 1995 through September 1997. The current suspension will 
expire September 30, 1995.
    The proposed suspension would continue the suspension of the 
following:
    1. The requirement that milk diverted to a nonpool plant be 
considered a receipt at the distributing plant from which it was 
diverted;
    2. The requirement that a cooperative must deliver at least 35 
percent of its milk to pool distributing plants in order to pool a 
plant that the cooperative operates which is located in the marketing 
area and is neither a distributing plant nor a supply plant;
    3. The requirement that a producer must deliver one day's 
production to a pool plant during the months of September through 
January to be eligible to be diverted to a nonpool plant;
    4. The provision that limits a cooperative's diversions to nonpool 
plants to an amount equal to the milk it caused to be delivered to, and 
physically received at, pool plants during the month; and
    5. The provision that excludes from the pool milk diverted from a 
pool plant to the extent that it would cause the plant to lose its 
status as a pool plant.
    The continuation of the current suspension was requested by 
Associated Milk Producers, Inc., a cooperative association that 
represents a substantial 

[[Page 37374]]
number of dairy farmers who supply the New Mexico-West Texas market. 
The cooperative stated that marketing conditions have not changed since 
the provisions were suspended in 1993, and therefore should be 
continued until restructuring of the order can be achieved through the 
formal rulemaking process.
    The cooperative states that the continuation of the current 
suspension is necessary to insure that dairy farmers who have 
historically supplied the New Mexico-West Texas market will continue to 
have their milk priced under this order. In addition, they maintain 
that the suspension would continue to provide handlers the flexibility 
needed to move milk supplies in the most efficient manner and to 
eliminate costly and inefficient movements of milk that would be made 
solely for the purpose of pooling the milk of dairy farmers who have 
historically supplied the market.
    Accordingly, it may be appropriate to suspend the aforesaid 
provisions from October 1, 1995, through September 30, 1997.

List of Subjects in 7 CFR Part 1138

    Milk marketing orders.

    The authority citation for 7 CFR Part 1138 continues to read as 
follows:

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

    Dated: July 14, 1995.
Lon Hatamiya,
Administrator, Agricultural Marketing Service.
[FR Doc. 95-17861 Filed 7-19-95; 8:45 am]
BILLING CODE 3410-02-P